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US Tech Sector Best in Over 5 Years - Forrester/ITAA US Tech Sector Index Q3 2006

The health of the US tech sector improved in Q3 2006 and posted its best performance in five and a half years, based on the readings from the Forrester/ITAA US Tech Sector Index. The index rose 3.2 points compared with Q2 2006, and 6.7 points from Q3 2005. 

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CIOs struggle to create IT metrics that align with business goals

IT metrics need align closely with business goals to achieve top performance. A recent global survey of 150 CIOs by Accenture found that top performers base IT investment decisions on their ability to drive the business forward, but few companies have created the right IT metrics to help them do it. 75% of companies surveyed recognize the need for such metrics, but only 33% currently use them, according to the study. 

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Call-Center Metrics - Saving Money and Improving Revenues with IT

Have you heard the tale of a telecom company that spent more than $50 million on new customer-relationship-management (CRM) technology for its frontline agents but saw no improvements in revenue or customer satisfaction, because those agents ignored the system. McKinsey has done some extensive research and came up with few insights on using IT to boost call-center performance - making targeted improvements involving more cost-effective technologies, are finally saving money and improving revenues with IT:

key technologies such as voice recognition (VR), interactive voice response (IVR), call routing, customer information management, middleware connectivity, and workforce management have become more powerful and less expensive. Companies that invest in these technologies are seeing their operational expenses tumble even as revenues grow.

The next wave of improvements will probably come from using technology to automate contact with callers, to help frontline staff resolve calls, and to handle call volumes more efficiently.

Transactions that cost $2 to $10 when handled by a live agent cost only 2 cents to 20 cents when automated. A major telecom company recently invested $30 million in technologies that automatically handle additional transactions and allow callers to speak their answers instead of pushing buttons. The new systems are capable of handling 10% more calls, and executives anticipate saving upward of $50 million a year.



Performance Metrics Every CIO Should Know

In its research report on "IT Value Chain Management – Maximizing the ROI from IT Investments", Alinean highlights the key performance metrics that every CIO should know.

To help meet the demand for benchmarking and value management, five major performance metrics every IT stakeholder should know, measure and manage:
􀂃 Information Productivity
􀂃 Economic Value Add
􀂃 Knowledge Capital
􀂃 IT Spending per Capita
􀂃 Total Cost of Ownership

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