Budget Constraints, Cost-Cutting Delay Uptake of New Technology

December 12, 2009 at 12:11 am Leave a comment

According to a new online poll conducted by Deloitte, a resistance to adopt virtual workforce tools and methods, along with budget constraints and prevailing cost-cutting strategies, are the major reasons companies are not providing employees with new workplace technologies.

            Of the 750 technology executives across multiple industries surveyed during Deloitte’s online poll in November 2009, more than 40% cited organizational resistance as the primary roadblock to new workplace technologies. Additionally, nearly 28% of the respondents, ranging from upper management to managerial level, pointed to budget and cost constraints as the main deterrents.

            “The polling results indicate that corporate leaders should devote as much interest and investment into where and how the work is performed as they do into the nature of the work itself. The recent realities of a changing workforce and evolving worker demands are driving up the need for new workplace technologies,” said Hope Hughes, director, Deloitte Consulting LLP. “However, our polling indicated that some companies are still slow in adopting ‘workplace of tomorrow’ type strategies that could help improve agility and effectiveness, as well as respond to workforce changes in a cost-effective manner.”

            Highlights from the poll included:

  • 44.7% of respondents said their companies have begun workplace of tomorrow initiatives, including alternative work policies, workforce mobility, virtual technologies, telecommuting, and increased collaborative spaces.
  • Nearly 30% of respondents’ companies are not using Web 2.0 tools, increasing shared workplace areas, or developing real estate strategies to improve workplace utilization.
  • Blogs, wikis, podcasts, instant messaging, social networks and other Web 2.0 tools are the mobile technologies most companies are considering, according to 29% of respondents.

            Deloitte Consulting Director Seth Siegel commented: “A hiring surge can result in a significant increase in the real estate and facility costs required to provide a physical workspace for the new personnel. Similarly, a workforce reduction might result in a significant increase in vacant, unused space. Effective workplace of tomorrow strategies and technologies can help de-link physical workspace consumption from headcount and align technology investments with business demands and workforce patterns.”

            The webcast about results of this poll is accessible at:



Entry filed under: Collaboration & Telecommunications, Surveys. Tags: , , , .

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