Harvey Nash / PA Consulting CIO Survey Reveals Recession has Fundamentally Changed the IT Function as CIOs Look to a Multi-Sourced, Flexible Future Based Around Mobile Devices

By Harvey Nash, PRNE
Monday, May 9, 2011

LONDON, May 16, 2011 - Harvey Nash Group (www.harveynash.com/) today released
its 2011 Harvey Nash / PA Consulting Group CIO Survey revealing that the IT
function is emerging from the recession leaner, more flexible and partnering
with a wider range of smaller local and offshore suppliers.

The 13th edition of the survey, undertaken by Harvey Nash in association
with PA Consulting Group, reflected the views of over 2,500 technology
leaders around the world and reveals that CIOs are:

- Increasingly using flexible labour. 84 per cent of CIOs are
looking to increase or maintain this level of flexibility. The majority
of CIOs (76 per cent) have a flexible labour component of up to
one-quarter of their entire workforce that includes the use of contract,
temporary workers and offshore workers.

- Spending a greater percentage of their IT budget on outsourced
activity than ever before. Almost one-third of global CIOs will spend up
to a quarter of their entire IT budget this year on outsourced activity,
and almost half (46 per cent) expect to increase their outsource spend
over the coming year.

- Turning away from large-scale suppliers and increasingly
partnering with multiple niche suppliers who can provide specialist
skills to drive innovation around mobile, cloud and web computing. 39 per
cent are expecting to increase their dependence on multi-sourcing in the
next 12 months.

- Focusing on building business rather than technical skills in
their internal teams. In a significant drop this year, less than half (42
per cent) of global CIOs felt their organisation suffered from a shortage
of technology skills. This is a 16 per cent decline from 2010 and
corresponds with the growth of multi-sourcing and use of flexible labour.
By far the most in demand skills for internal teams were business
analyses and business facing architecture.

Albert Ellis, CEO Harvey Nash, commented:

"Despite the global economic uncertainty and fears of a
slowdown, the pace of technological change continues. As companies emerge
from recession CIOs are facing new challenges presented by a world which is
increasingly mobile using social networking tools to transact and

Technology leaders have to deal with the two main priorities
from the CEO: driving innovation particularly in the mobile applications
area, whilst continuing to manage costs. The result is an increased
dependence on a flexible, multi-sourced environment which has impacted on the
CIOs and the skills they need in their teams. Not only must technology
functions be business facing, rather than technical, leadership is required
from both the CIO and CEO to meet the challenge of the new mobile and
socially networked world."

Tom McEwan, global head of IT consulting at PA Consulting Group, said:

"The Harvey Nash / PA Consulting Group survey highlights that,
to enable their organisations to be fit for the future, CIOs need to be agile
on a utility/innovation spectrum, flexing their approach to respond to the
combination of a volatile financial environment, a more open connected IT
model and their organisation's particular circumstances."

To discover more please visit harveynash.com. (

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About the research:

(i) Survey conducted online by Harvey Nash between 18 November 2010 and 4
April 2011
amongst 2,575 senior level IT professionals from businesses across
the world. This is the 13th in a series of annual CIO surveys conducted by
Harvey Nash to identify emerging trends and issues in IT leadership and has
firmly established itself as the industry benchmark over the years.

(ii) To receive a full copy of the report please contact: Rob Grimsey at
robert.grimsey@harveynash.com or visit www.harveynash.com/ciosurvey

About Harvey Nash

Harvey Nash, a global professional recruitment consultancy and IT
outsourcing service provider, is committed to delivering the very best talent
and IT solutions to a broad base of international clients. The Group is a
trusted advisor to some of the world's leading business, governments and
institutions. Operating from 37 offices covering the USA, Europe and Asia,
its talented professionals pursue the highest levels of integrity and quality
in providing a unique portfolio of services: executive search, interim
management, IT and finance recruitment and IT outsourcing.

Learn more, visit: www.harveynash.com

About PA Consulting Group

PA Consulting Group is a leading management and IT consulting and
technology firm. Independent and employee-owned, we operate globally in more
than 30 countries and transform the performance of major organisations in
both the private and public sectors. From initial idea generation and
strategy development through to detailed implementation, we deliver
significant and tangible results.

We have outstanding technology development capability; a unique breadth
of skills from strategy to performance improvement, from HR to IT; and strong
expertise in communications, media and entertainment, defence, energy,
financial services, government and public services, healthcare, international
development, manufacturing, transportation and logistics, and water. For more
information, visit www.paconsulting.com.


Media Relations Contact: Rob Grimsey, Group Marketing Director, Harvey Nash plc, robert.grimsey at harveynash.com, +44(0)20-7333-1543, +44(0)7899-993422

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