Title: Benchmarks for IT Investments: Trends and Insights NACUBO 2003
1Benchmarks for IT Investments Trends and
Insights NACUBO 2003
- Hamilton College
- Karen L. Leach VP Administration and Finance
2The COSTS ProjectCost Of Supporting Technology
Serviceswww.costsproject.org
- Project began 1997
- Current data collection model began 1999
- Data collected
- Institutional demographics budget
- IT budgets
- IT staffing
- Seven Benchmarks developed 2001
- Three additional benchmarks in 2003
3COSTS Participants at-a-glance Carnegie
Classifications (1999-2002)
4IT LeadersAm I doing a Good Job?
- Are we spending appropriately on information
resources to support the institutional mission? - Are we staffing our organizations appropriately
and compensating our staffs appropriately to
attract and retain the needed support personnel? - Are we maintaining and utilizing our
infrastructure appropriately to assure that it
continues to deliver the necessary services? - Are we providing appropriate services to meet the
needs of users of information resources?
5Presidents Am I headed in the right direction?
- How much IT is enough?
- What tools are there to help my institution
develop strategies that will be effective and
efficient? - What additional issues are important for me to
understand to go beyond essential services and
enhance competitive position?
6CFOs Am I getting my moneys worth?
- How do I know what I am measuring?
- How much am I spending relative to others?
- How have the allocations within the IT budget
changed over time? - How can I insure that I am not overstaffed?
- Is there evidence of fixed versus variable costs
and are there economies of scale? - How do I know the money I am spending gets
results?
7AITP Corporate Benchmark Sources
- Direct feedback and data submissions to The
itmWEB Site. - Robert Half, 2003, Salary Guide.
- Meta Group, 2003, Benchmark Report.
- Rubin Report, eMarketer, 2002.
- Gartner Group, 2002, Research notes.
- Robert Half, 2002, Salary Guide.
- Computerworld, Computerworld's 2001 Annual Salary
Survey. - Dice.com's IT Rate Survey Results.
- Information Week, September 22, 1997, IW 500,
Computer Intelligence Survey Findings. - CIO Magazine, September 15, 1997, CIO/Morgan
Stanley Survey Findings. - Computerworld, September 9, 1997, Computerworld's
11th Annual Salary Survey. - CIO Magazine, August 1, 1997, "CIO 100 List of
Winners". - Gartner Group, September 23, 1996, Research Note,
IS Budgets Fail to Reflect Real IT Spending, By
D. Tunick. - Computerworld, March 12, 1996, Computer Sciences
Corp's (CSC) 10th annual "Critical Issues of
Information Systems Management" study. - CHIME 1995 Healthcare CIO Survey Results CIO
Salaries IS Budget Details. - CHIME Information Services Staffing Survey
Results.
8Presenting today COSTS Snapshots and Trends
- 2001/2002 Snapshots
- 86 participants
- 1999/2000 - 2001/2002
- 3 year Benchmark Trends
- 46 Continuing Bachelors (BLA)
- 10 Continuing Masters (MAS)
93 - Year TrendsTypical Ranges
- Analysis of Continuing Institutions
10How do I know what I am measuring?
11COSTS Service Definitions
- Administrative Information Systems
- Helpline
- Desktop Computer Repair
- Training
- Curricular Support
- Hardware/Software Installation Renewal
- Web Support
- Student Support
- Network Support
- Administration and Planning
- Other
12How much am I spending relative to others?
-
- Budget Impact
- IT Spending per Employee
- IT Spending per Person (Employees plus
Students)
13Information Technology as a of Total Revenues
(Gartner Group 2002)
COSTS (BLA) 4.8
14B3 Budget ImpactIT Budget as Percent of
Institutional Budget Typical Range (2001/2002)
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16IT Spending per Employee (AITP Summary Data)
COSTS Avg 5,134 Typical Range 3,500 to
6,500 (2001/2002)
17B2 - IT Budget Per Person Typical Range
(2001/2002)
Employees plus students
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19How have the allocations within the IT budget
changed over time?
-
- Distribution of IT Dollars
20Information Technology Budget Allocation
21Benchmark 1 Budget ProfileAverage Percent
(2001/2002)
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23How can I insure that I am not overstaffed?
24Information Technology Staffing (Employees/IT
Staff)
25In higher ed the customers are also IT usersB4
People Per IT Staff Typical Range (2001/2002)
Employees plus students
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27B6- Staff Service Profile Average Percent
(2001/2002)
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29Is there evidence of fixed versus variable costs
and are there economies of scale?
30106 COSTS Institutions 2001/02
31How do I know the money I am spending gets
results?
32Putting it all together Case Study
- Private, liberal arts college
- 2250 students
- 820 employees
- COSTS 2003-04 Budget Data
- 1,400 2,300 students
- 500 - 820 employees
- Case Study school at 75 percentile in size
33Case Study IT Budget
34Case Study IT Budget Allocation (2002/03)
35Case Study IT Staffing
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37Case Study Additional IT Staffing/Resource
Indicators
38Case Study Subset
- 14 Schools
- Median Size 2,250 FT students
- Range 2,130 to 2,297 (2,261)
- Budget Range 73 to 106 million (69 million)
- IT Budget Range 4.0 to 5.0 million (3.7)
- Budget Impact 4.7 to 5.5 (5.4)
39Case Study Subset
- IT Budget per Person below Median
- Budget Profile Medians
- Salaries 33.3 case- 41.7
- Hardware 22.6 case- 29.5
- Staffing by Students
- 33.2 case-11.3
- Institional Computers per IT Staff
- 53 64 75 case - 79
40Summary for Case Study
- IT low per person, but within range given overall
institutional resources - Look at distribution of professional staff
- Use more students?
- Too much gear?
41COSTS
- httpwww.costsproject.org
- Dsmallen_at_hamilton.edu
- Kleach_at_hamilton.edu
Participate!!!
42Trends Summary
- Growth in IT budgets is slowing
- IT share of the pie is relatively unchanged
- Half of IT budgets are for staffing
- Selective liberal arts colleges spend twice as
much per person as Masters institutions - IT staff continues to grow at all types of
institutions faster than institutional staff - For BLA colleges staff growth is in web,
curricular support, training, student support