Central IS Budgets as a Percent of Revenue Increase in 2002

April, 2002

April 9, 2002

(CARLSBAD, CA) Most sectors have experienced increases in the percent of revenue spent on their central IS budgets in 2002 according to the 13th annual Information Systems and E-Business Spending study conducted by Computer Economics.

Central IS budgets as a percent of revenue in the lower quartile (25th percentile) have increased to 0.74% of revenue in 2002 compared to 0.48% during the prior three-year period.

Central IS budgets as a percent of revenue at the median (50th percentile) have increased to 1.87% of revenue in 2002 compared to 1.41% during the prior three-year period.

Central IS budgets as a percent of revenue in the upper quartile (75th percentile) have increased to 5.09% of revenue in 2002 compared to 3.33% during the prior three-year period.

Figure 1 shows the Central IS Budgets as a Percent of Revenue in 2002. The lower quartile (25th percentile) presents the lowest 25 percent of spending by all of the organizations, where 25 percent spent less than that amount. The median (50th percentile) is the level at which half of the organizations spent less and the remainder spent more. The upper quartile (75th percentile) presents the highest 25 percent of spending by all of the organizations, where 25 percent spent more than that amount. The AnnuMark represents the current year and the TriMark shows aggregate three-year trends from 1999 to 2001.

Figure 1:  Central IS Budgets as a Percent of Revenue 2002

ALL SECTORS

AnnuMark
2002

TriMark
1999 to 2001

25th Percentile

   0.74%

   0.48%

Median

1.87

1.41

75th Percentile

5.09

3.33

About Computer Economics

Computer Economics is an independent research firm specializing in helping business decision-makers plan, manage, and control technology costs through advisory services, analyst support, and innovative advisory websites. Based in Carlsbad, California, Computer Economics serves information technology users around the world.

© 2002 Computer Economics, Inc.