Harvey Nash/KPMG

CIO Survey 2016

June 2016

2

The largest IT leadership survey in the world

Almost

3,400respondents

18 yearsof history

From 82countries

With over

$200bnIT budget spend

This year with additionalInsight from MIT

Key findings

Here we provide a high level

overview of the key findings from this

year’s survey.

Come along to one of our CIO

events around the world to hear the

in-depth results and a panel debate

discussing the findings.

Register for an event, or

request the full report at:

www.hnkpmgciosurvey.com

Harvey Nash / KPMG CIO Survey 2016

6

IT budgets are

increasing for 45% of

CIOs, but investment is

shifting towards digital

and cloud-based

solutions.

IT budgets are increasing

43%

47%

42%

36%

25%28%

39%

43% 42%

46%44% 45%

0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

50%

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016

Source: Harvey Nash/KPMG CIO Survey 2016

IT leaders reporting budget increases in last 12 months

7

CIO priorities are changing

Traditional priorities are

declining in

importance.

The priorities that have

either grown or

become more

prominent in our

league table are all

outward facing:

— Better engagement

with customers

— Revenue growth

— Improving business

processes.

2016 2015 2014 2013Change since

2013

Increasing operational efficiencies 57% 61% 63% 68% -16%

Improving business processes 56% 58% 60% 60% -7%

Delivering consistent and stable IT performance to the business 51% 57% 59% 70% -27%

Saving costs 50% 54% 57% 71% -30%

Delivering business intelligence/analytics 44% 47% 41% 48% -8%

Enabling business change 44% 48% 51% 53% -17%

Developing innovative new products and services 41% 41% 41% 51% -20%

Cyber security 41% New in 2016

Driving revenue growth 40% 42% 45% 42% -5%

Better engagement with customers/prospects 38% 38% 36% 33% 15%

Managing operational risk and compliance 36% 39% 40% 41% -12%

Improving time to market 26% 30% 29% 31% -16%

Improving the success rate of projects 26% 29% 30% 36% -28%

Outperforming competitors with new business models 23% 24% 23% 26% -11%

Enabling mobile commerce 19% 22% 24% 33% -42%

Driving synergies from mergers & acquisitions 12% 15% 17% 17% -29%

Investing in social media platforms 7% 9% 10% N/A -30%

Reputation management via social media technology 7% 9% 8% 14% -50%

Achieving sustainable/green IT 7% 8% 9% 9% -22%

Source: Harvey Nash / KPMG CIO Survey 2016

What are the main issues your board is looking for IT to address?

CIO influence reaches new peak

34% Report to CEO(Jump of 10% from last year,

Highest in survey history)

67% Expect influence to

continue to grow

57% Sit on Exec Board(Highest in survey history)

What’s keeping CIOs awake at night?

#1 CYBER SECURITY

#2 SKILLS SHORTAGE

#3 PROJECT SUCCESS

#4 BEING AGILE, BEING DIGITAL

4 key challenges

The Creative CIO

New relationships

New priorities

New profile

We are seeing seismic changes in the

priorities and the profile of the CIO.

New technologies, new relationships

within the business and even new business

models are all requiring the CIO to shift

away from an ‘operational’ mind-set to a

‘creative’ mind-set.

The fourth Industrial Revolution is here. The CIO role needs to evolve to focus on collaboration, not control. The ‘Creative CIO’ will not only be a technology strategist but also a business strategist and innovator. He or she will be working to broaden relationships across the organisation and externally.

A fusion of technologies that is blurring the lines

between the physical, digital, and biological

spheres.

Note: (a) The Fourth Industrial Revolution

Source: Klaus Schwab, Founder and Executive Chairman,

World Economic Forum (2016)

In the past, the IT organization was like a water company; a natural monopoly strictly

plumbed into, and in control of, everything we did.

Today much of what IT does might be better described as a ‘watering hole’; a place

that attracts, unites and gives fuel to often quite disparate groups of people who are

there by choice, not compulsion.

Is it any wonder therefore that 84%

of CIOs are happy?

The future is exciting and the

opportunities for IT leaders are there

to be taken …

Come along to one of our CIO

events around the world, to

find out more.

Register for an event, or

request the full report at:

www.hnkpmgciosurvey.com

Lisa Heneghan

Global Head of CIO Advisory

KPMG in the UK

https://twitter.com/LHeneghanCIOA

Marc Snyder

Managing Director,

Head of CIO Advisory Centre of Excellence

KPMG in the US

https://twitter.com/snydermarc

The KPMG name, logo and “cutting through complexity” are registered trademarks or trademarks of KPMG International.

Produced by Create Graphics UK — CRT059233

The information contained herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavour to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation

© 2016 KPMG International Cooperative (“KPMG International”), a Swiss entity. Member firms of the KPMG network of independent firms are affiliated with KPMG International. KPMG International provides no client services. No member firm has any authority to obligate or bind KPMG International or any other member firm third parties, nor does KPMG International have any such authority to obligate or bind any member firm. All rights reserved.