Best Practices: Utilities Industry IT Budget Distribution and Channel Selection, 2009 Western European Survey

This publication has been discontinued on June 28, 2011.

Introduction

Abstract

This IDC study provides an analysis of the results of the annual IDC-Energy Insights Survey covering France, Germany, Italy, Spain, and the United Kingdom. Analysis is focused on the utilities industry and on 132 interviews carried out between January and April 2009.

The scope of this study is to understand IT budget allocation and evolution, channel selection, and satisfaction with primary IT suppliers among utility enterprises in Western Europe. This report is one of a series of studies including the analysis of enterprise and line of business solutions adoption and investment plans.

"The overall economic scenario in which utilities operate has radically changed over the last 9–10 months," says Roberta Bigliani, EMEA Research Director, Energy Insights. "The industry has proved more resilient to the economic crisis than other sectors, but it is obviously not immune to it, and the effects are being felt. Our 2009 survey demonstrates that even if utilities still have a positive outlook for the near future, ICT budgets trends are leaning on negative."

Table of Contents

• Energy Insights Opinion
• In This Report
• Methodology
• Definitions
• Utilities Industry
• Survey Respondent Profiles
• Situation Overview
• IT Budget Distribution Patterns
• Utilities Evenly Spreading ICT Budget Over Spending Areas
• Internal IT and Telecom Lead Over External IT
• Table: Western Europe Utilities' Current Distribution of ICT Operating Budget Between Internal, External, and Telecom Spending
• IT Vendors Selection
• Utilities Rely on External Consultants
• Primary IT Vendor' s Characteristics Sought After by Utilities
• The Gap Between Selection Criteria and Utilities' Satisfaction
• Decision-Making Process: The Role of the CIO and Other Departments
• Future Outlook
• Positive Outlook Still Dominates Utility Firms in Western Europe
• Stability and Negativity Sweep Western Europe Utilities' ICT Budget Expectations
• Supporting Existing Initiatives Is a Must
• Utilities Looking to Internalize Spending
• Primary Source of IT Products and Services: Purchasing Directly from the Source Is Preferred
• Main Areas of Focus Among Utilities
• Top 3 IT Focus Areas in the Near Future
• Utilities' Leading Business Initiatives to Support IT Decisions
• Utilities' Urgent Issues
• Essential Guidance
• Actions to Consider
• Actions to Consider For ICT Vendors
• Learn More
• Related Research
• Synopsis
• Table: Western Europe Utilities' Respondent Company Distribution
• Table: Western Europe Utilities' Survey Respondent Profiles by Functional Area and Country (% of Companies)
• Table: Western Europe Utilities' Survey Respondent Profiles by Location and Country (% of Companies)
• Table: Western Europe Utilities' Current Distribution of ICT Operating Budget Among Spending Areas
• Table: Western Europe Utilities' Current Distribution of ICT Operating Budget Between Internal, External and Telecom Spending
• Table: Western Europe Utilities' Business Outlook for the Next 12 Months by Sub-Industry (% of Respondents)
• Table: Western Europe Utilities' Expected Change in ICT Operating Budget in the Next 12 Months
• Table: Western Europe Utilities' Expected Change in IT Deployment Over the Next 12 Months by Spending Area
• Table: Western Europe Utilities' Expected Change in External Share of ICT Operating Budget in the Next 12 Months
• Figure: Western Europe Utilities' Current Distribution of ICT Operating Budget Among Spending Areas
• Figure: Western Europe Utilities' Use of External Consultants/Third Parties to Support IT Decisions
• Figure: Western Europe Utilities' Type of External Consultants/Third Parties Supporting IT Decisions
• Figure: Western Europe Utilities' Scope of Involvement of External Consultants/Third Parties to Support IT Decisions
• Figure: Western Europe Utilities' Satisfaction with External Consultants/Third Parties
• Figure: Western Europe Utilities' Level of Importance of Criteria for Choosing Primary Supplier
• Figure: Western Europe Utilities' Level of Satisfaction with Primary Suppliers
• Figure: Western Europe Utilities' Level of Importance for Choice of Primary IT Vendor Against the Satisfaction Rating of Primary IT Supplier' s Performance
• Figure: Western Europe Utilities: Role of Business Functions in Determining Level of Total IT and Telecom Budget
• Figure: Western Europe Utilities: Role of Business Functions in the Implementation/Enhancement of Important IT Solutions
• Figure: Western Europe Utilities: Role of Business Functions in the Selection of an IT Brand or Vendor or Telecom Services Supplier
• Figure: Western Europe Utilities' Business Outlook for the Next 12 Months by Sub-Industry
• Figure: Western Europe Utilities' Expected Change in ICT Operating Budget in the Next 12 Months
• Figure: Western Europe Utilities: 2008 versus 2009 Expected Increase in ICT Operating Budget in the Next 12 months
• Figure: Western Europe Utilities' Expected Change in IT Deployment in the Next 12 Months by Spending Area
• Figure: Western Europe Utilities' Expected Change in the Next 12 Months in the Share of External Spending
• Figure: Western Europe Utilities' Primary Source of IT Products and Services Over the Last 6 Months
• Figure: Western Europe Utilities' Primary Mode of Purchase for IT Products and Services
• Figure: Western Europe Utilities' Primary Source of IT Products and Services Over the Next 6 Months
• Figure: Western Europe Utilities' Main Areas of IT Focus During the Next 12 Months
• Figure: Western Europe Utilities' Leading Business Initiatives to Support IT decisions
• Figure: Western Europe Utilities: Importance of Key Items

Related Reports