Government CIO spending is set to increase across various technology areas this year according to research from Gartner.
The research from Gartner has found that the top technologies for both new and additional funding by public sector CIOs this year will include cloud, cybersecurity and data analytics. In comparison, data centre and infrastructure areas will be targeted to bring cost savings to organisations.
A total of 16% of government CIOs responded to Gartner’s research outlining that they plan to increase spending on Business Intelligence (BI) and analytics by 16% this year, as well as 6% increase on data management. At the top of the priority list, cloud computing was listed by 19% of CIOs to have greater investment this coming year.
The survey found that digital transformation is ranked more important for Government CIOs, according to 18%. In comparison, private sector companies rank digital transformation as a second priority, after growth/market share increase. The next priorities for government CIOs include security, safety and risk (13%), government compliance and regulations (12%) and technology initiatives and improvements (11%).
“Digital transformation revolves around data. To be successful, public sector CIOs need to focus on expanding their data and analytics capabilities and creating a data-centric culture, by increasing the availability of open data and APIs for internal use and public consumption,” said Rick Howard, research vice president at Gartner. “Building out data analytics infrastructure is fundamental to improving government programme outcomes and services to citizens.”
Compared to all other industries, 19% of government CIOs ranked cloud as the most crucial to achieving company missions and 18% thought BI/analytics was most important. Infrastructure/data centre development was the third top priority, chosen by 11% of government CIOs.
“Many government CIOs are rebalancing capital expenditure and operating expenditure spending patterns to reduce technical debt, while making the strategic shift to cloud,” Mr Howard said. “They should consider cloud as the means to accelerate the digitalisation of their organisations and enable the business optimisation that results.”
An area of spending that could cause some concern is the lack of priority to legacy modernisation. Only 4% of Government CIOs said that this would be crucial to achieving company missions, despite the implementation of GDPR in May this year and Brexit next year.
Furthermore, only 5% of Government CIOs consider security and risk a priority to achieve business aims but despite the low number 17% of CIOs expect to boost spending in cyber/information security.
“Government CIOs have conflicting priorities — to bring transformative change to their organisations while pursuing compliance-oriented priorities,” said Mr Howard. “They will need to work constructively with other business leaders to agree how to balance risk and innovation to support digital transformation.”
Gartner’s 2018 CIO agenda survey gathered data from 3,160 CIO respondents from 98 countries and across industries, including a total of 461 government CIOs.