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Gartner Reveals Top Predictions for IT Organizations and Users for 2011 and Beyond

Gartner Reveals Top Predictions for IT Organizations and Users for 2011 and Beyond

Predictions Show Clear Linkage of IT Investments and Business Results Becoming an Imperative for IT Organizations

STAMFORD, Conn., November 30, 2010 — Gartner, Inc. has revealed its top predictions for IT organizations and users for 2011 and beyond. Analysts said that the predictions highlight the significant changes in the roles played by technology and IT organizations in business, the global economy and the lives of individual users.

More than 100 of the strongest Gartner predictions across all research areas were submitted for consideration this year. This year’s selection process included evaluating several criteria that define a top prediction. The issues examined included relevance, impact and audience appeal.

“With costs still under pressure, growth opportunities limited and the tolerance to bear risk low, IT faces increased levels of scrutiny from stakeholders both internal and external,” said Darryl Plummer, managing vice president and Gartner fellow. “As organizations plan for the years ahead, our predictions focus on the impact this scrutiny will have on outcomes, operations, users and reporting. All parties expect greater transparency, and meeting this demand will require that IT become more tightly coupled to the levers of business control.”

“Gartner’s top predictions showcase the trends and disruptive events that will reshape the nature of business for the next year and beyond,” said Brian Gammage, vice president and Gartner fellow. “Selected from across our research areas as the most compelling and critical predictions, the developments and topics they address this year focus on changes in the roles that technologies and IT organizations play: in the lives of workers, the performance of businesses and the wider world.”

Last year’s theme of rebalancing supply, consumer demand and regulation is still present across most of the predictions, but the view has shifted further toward external effects. This year’s top predictions highlight an increasingly visible linkage between technology decisions and outcomes, both economic and societal. The top predictions include:

By 2015, a G20 nation’s critical infrastructure will be disrupted and damaged by online sabotage.

Online attacks can be multimodal, in the sense of targeting multiple systems for maximum impact, such as the financial system (the stock exchange), physical plant (the control systems of a chemical, nuclear or electric plant), or mobile communications (mobile-phone message routers). Such a multimodal attack can have lasting effects beyond a temporary disruption, in the same manner that the Sept. 11 attacks on the U.S. had repercussions that have lasted for nearly a decade. If a national stock market was rendered unavailable for several weeks, there would be lasting effects even if there was no change in government, although it is also possible that such disruptive actions could eventually result in a change in leadership.

By 2015, new revenue generated each year by IT will determine the annual compensation of most new Global 2000 CIOs.

Four initiatives — context-aware computing, IT’s direct involvement in enterprise innovation development efforts, Pattern-Based Strategies and harnessing the power of social networks — can potentially directly increase enterprise revenue. Executive and board-level expectations for realizing revenue from those and other IT initiatives will become so common that, in 2015, the amount of new revenue generated from IT initiatives will become the primary factor determining the incentive portion of new Global 2000 CIOs’ annual compensation.

By 2015, information-smart businesses will increase recognized IT spending per head by 60 percent.

Those IT-enabled enterprises that successfully navigated the recent recession and return to growth will benefit from many internal and external dynamics. Consolidation, optimization and cost transparency programs have made decentralized IT investments more visible, increasing “recognized” IT spending. This, combined with staff reduction and freezes, will reward the leading companies within each industry segment with an IT productivity windfall that culminates in at least a 60 percent increase in the metric for “IT spending per enterprise employee” when compared against the metrics of peer organizations and internal trending metrics.

By 2015, tools and automation will eliminate 25 percent of labor hours associated with IT services.

As the IT services industry matures, it will increasingly mirror other industries, such as manufacturing, in transforming from a craftsmanship to a more industrialized model. Cloud computing will hasten the use of tools and automation in IT services as the new paradigm brings with it self-service, automated provisioning and metering, etc., to deliver industrialized services with the potential to transform the industry from a high-touch custom environment to one characterized by automated delivery of IT services. Productivity levels for service providers will increase, leading to reductions in their costs of delivery.

By 2015, 20 percent of non-IT Global 500 companies will be cloud service providers.

The move by non-IT organizations to provide non-IT capabilities via cloud computing will further expand the role of IT decision making outside the IT organization. This represents yet another opportunity for IT organizations to redefine their value proposition as service enablers — with either consumption or provision of cloud-based services. As non-IT players externalize core competencies via the cloud, they will be interjecting themselves into value chain systems and competing directly with IT organizations that have traditionally served in this capacity.

By 2014, 90 percent of organizations will support corporate applications on personal devices.

The trend toward supporting corporate applications on employee-owned notebooks and smartphones is already under way in many organizations and will become commonplace within four years. The main driver for adoption of mobile devices will be employees — i.e., individuals who prefer to use private consumer smartphones or notebooks for business, rather than using old-style limited enterprise devices. IT is set to enter the next phase of the consumerization trend, in which the attention of users and IT organizations shifts from devices, infrastructure and applications to information and interaction with peers. This change in view will herald the start of the postconsumerization era.

By 2013, 80 percent of businesses will support a workforce using tablets.

The Apple iPad is the first of what promises to be a huge wave of media tablets focused largely on content consumption, and to some extent communications, rather than content creation, with fewer features and less processing power than traditional PCs and notebooks or pen-centric tablet PCs. Support requirements for media tablets will vary across and within enterprises depending on usage scenario. At minimum, in cases where employees are bringing their own devices for convenience, enterprises will have to offer appliance-level support with a limited level of network connectivity (which will likely include access to enterprise mail and calendaring) and help desk support for connectivity issues.

By 2015, 10 percent of your online “friends” will be nonhuman.

Social media strategy involves several steps: establishing a presence, listening to the conversation, speaking (articulating a message), and, ultimately, interacting in a two-way, fully engaged manner. Thus far, many organizations have established a presence, and are mostly projecting messages through Twitter feeds and Facebook updates that are often only an incremental step up from RSS feeds. By 2015, efforts to systematize and automate social engagement will result in the rise of social bots — automated software agents that can handle, to varying degrees, interaction with communities of users in a manner personalized to each individual.

Additional details are in the Gartner report “Gartner’s Top Predictions for IT Organizations and Users, 2011 and Beyond: IT’s Growing Transparency” which is available on Gartner’s website at http://www.gartner.com/resId=1476415.

About Gartner:

Gartner, Inc. (NYSE: IT) is the world’s leading information technology research and advisory company. Gartner deliver the technology-related insight necessary for its clients to make the right decisions, every day. From CIOs and senior IT leaders in corporations and government agencies, to business leaders in high-tech and telecom enterprises and professional services firms, to technology investors, Gartner is the indispensable partner to approximately 60,000 clients in 10,000 distinct organizations. Through the resources of Gartner Research, Gartner Executive Programs, Gartner Consulting and Gartner Events, Gartner works with every client to research, analyze and interpret the business of IT within the context of their individual role. Founded in 1979, Gartner is headquartered in Stamford, Connecticut, U.S.A., and has approximately 4,300 associates, including approximately 1,200 research analysts and consultants serving clients in 80 countries. For more information, visit www.gartner.com.

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