CV_Fall_21

be inflation. In April 2021, the U.S. consumer price index reached 4.2 percent, which is the largest increase during a 12-month period since a 4.9 percent increase in 2008. Similarly, the producer price index hit 6.6 percent for the 12 months ending in May 2021, the largest increase since 12-month data were calculated first in 2010. Most experts predict this number will hold or increase for the remainder of the year. The Computer Economics report states that if inflation contin- ues, this would be the first year in nearly a decade in which IT opera- tional spending increases did not keep pace with inflation. IT Budget Dilemma Organizations may find that what seemed like an adequate IT budget increase during their planning phase will be woefully short by the end of the year. The research shows about a third of companies were forced to make IT budget cuts during the pandemic. Most organizations held or even increased their IT budgets, because they saw the digital experience was a significant competitive advantage during lockdowns. Organizations that were farther along in their digital transformation, or those that could accelerate those BUYERS SIDE Source: Computer Economics, 2021 Spending Priorities by IT Initiative: All Sectors Source: Computer Economics, 2021 2017 2018 2019 2020 2021 0% 33% 67% 100% 79% 70% 60% 57% 48% 45% 15% 9% 9% Workforce pikes odifications Cloud applications Cloud infrastructure Data analytics/BI Digital transformation DR/business continuity System/data intgration Legacy systems IT shared services Automation 79 Fall 2021 | CHANNEL V ISION Get info. Find answers. Share ideas. Your connection begins at USA.gov – the official source for federal, state and local government information. Equals total government connecting. PLUS PART INFO GETTING PART IDEA SHARING 3.25 in. 4.625 in.