Question:

What is the best way to determine IT spend as a % of revenue?

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I am combing through financial reports in an attempt to determine how much revenue is allotted to the IT group for specific companies.

I am digging around in the company report, 10k, 8k, and any other filings I can get my hands on but I just can't seem to get a number on how much the IT department gets of annual budget.

Short of asking the CFO, is there any other way to determine that? I need the baseline to perform calculations on Opex and Capex spending.

Thanks in advance,

Me

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   Report

1 ANSWERS


  1. I believe you will find that most corporations don't know how much they are spending on IT.

    They know how much is spent on central processors, servers and networks, but don't have a clue when it comes to how much individual departments have spent on desktops, laptops and internet connections.  One problem is that, in order to avoid control by IT, many departments purchase laptops and charge them off as "office equipment".  

    I have even seen a "bootleg" lan with equipment spread over two floors of a large office building set up by a user department complete with servers and connections to the outside world that IT knew nothing about.

    Jerry-the-bookkeeper

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