Oracle and PwC have released the results of a survey of 30 communications CIOs, senior IT executives and chief technology officers that found the majority of CIOs are spending more than half of their operational budgets on maintaining structures in use.
The answer CIOs outlined for 2012: “more strategic use of outsourcing and standardization.”
Dan Ford, vice president of product marketing at Oracle Communications believes CSPs are at a crossroads. “They face another year of budgetary pressure, at a time when the need for innovation and competitive differentiation has never been greater,” he said.
The report found that order management, provisioning and network and fault management are probable candidates for outsourcing while mediation and reporting will likely be kept in house.
The survey found upgrades to be hot on the minds of CIOs as some 88 percent of those surveyed indicated they have plans to upgrade their current CRM systems, with many looking to drive revenue with content and portal applications.
Respondents also said that current means will likely deliver applications with “substantial budget overrun” and 95 percent plan to move toward the use of as commercial-off-the-shelf applications, which are more likely to deliver under budget results.
CIOs indicated this standardization game plan will introduce more agility and partnerships, while reducing overall cost.
Read the full report, here.