CIO Mind

In 2007 IT budget grow by 23% to help companies to grow while facing an increased competition.

On Tuesday 19th CIO Council Romania released its second CIO Agenda survey. The survey includes input from 25 Romanian CIOs:

• IT budgets totaling more than EUR 270 millions
• Average IT budget of respondents is EUR 10 million

Provides a comprehensive view of CIO priorities, initiative, decisions and issues including:

• Business expectations for CIOs and IT
• CIO strategies and priorities

Romanian market
Competition is increasing on the Romanian market: in 2006 only 5% of the companies have their growth plans challenged while in 2007 this increased to 15%. In 2006 85% of the companies aim to grow faster than the market while in 2007 this decrease by 10% to 75%.

Paths to growth
Most of the companies want to “play safe”: 53% want to increase in the same market with new products or services. In Romania most of the markets grow, some of them with double digits CAGR. Now it’s the moment when the pie is sliced and everyone wants a bigger slice.
Romania is in a consolidation wave: 19% of the companies aim to grow by acquiring other companies or making partnerships.

14% will expand into new markets.

A surprisingly small percentage, only 14% will increase relationships with current customers. This indicates that most of the companies are in an extensive growth phase. Most of the companies want to get new clients, and current customers are sometimes neglected.

This is part one of a series covering the results of CIO Agenda 2007. The second part is here.