Korean Corporate Leaders Are Considering IT A Strategic Business.
Recent studies done by CA Technologies Korea stated that during June 12th over 99 percent of Korea’s top corporate leaders were consider information technology as one of the most important strategic assets. This is more than over 10 percentage point higher than any other Asia-Pacifica region companies including those of Japan.
According to a published report “TechInsights Report: The Changing Role of IT and What to Do About IT” published by Vanson Bourne, a specialist in the technology market research, commissioned by CA Technologies, as much as a quarter of IT budget spending occurred in non-IT departments within Korea. The report was based on a survey of over 1,300 info-tech decision makers in over 21 countries all over the globe.
The 22 percentage share of info-tech spending for non-IT departments is lower than that for India (55%) and China (49%), but the ratio is projected to rise to 39 percent within three years.
Michael Choi, vice president of CA Technologies Korea and the head of the North Asia Region, said, “Software and technology are changing the whole landscape of industry. These are creating totally new business offerings while forcing business leaders to think out of the box in business models.”
He added, “Customers ask for new applications and experience while employees require new tools for improving their business productivity. Unless the IT department can evolve into something that doubles as a business consultant, intermediary, and advisor, it will risk being alienated from the software- and technology-centered economy.”
As non-related IT department gain more influence over the IT budgeting process, the share of info-tech budget for non-IT parts is increasingly on the rise. At the moment, Korea companies are spend more towards repairs and maintenance than new service developments and installation
The ratio for the second is far much lower among the Asia-Pacific region countries, this includes Japan. But the percentage is expected to rise steadily towards 61 percent by the year of 2017 as the info-tech purchasing drive of non-IT department continues to soar.