Economic crisis means hard times, hard decisions for IT

With the recession putting a big squeeze on IT budgets, cutbacks are the rule. But CIOs are trying to keep key tech projects on track.

To help make up for the workforce reductions, the company's IT department, which had been structured regionally, is tapping staffers from different parts of the world to work on projects. And the executive is trying to keep employees' spirits up by talking about the role IT can play in helping to pull companies out of the slump. "The message I have for my team is, we are part of the solution," he said.

Applied Materials also has reduced its IT staff, said Steve Finnerty, vice president of IT demand management at the maker of semiconductor production equipment and other goods. And while Applied Materials plans to complete the second phase of an SAP project this year, Finnerty said IT primarily is looking to "leverage what we already have in place."

In the wake of the cuts, Applied's IT execs are trying to boost morale by laying out a road map for when business conditions improve. "We're looking forward," Finnerty said, "not just hunkering down and being fearful."

Another IT manager who isn't hunkering down - at least not any more than usual - is Brian Lurie, vice president of IT at Stryker Orthopaedics. Lurie said his budget is "pretty stable."

Health care is better off than many other industries. But in keeping with parent company Stryker's culture, the maker of surgical implants takes a conservative approach toward IT even in good times, Lurie said. And its IT staff is lean, with 125 people supporting 5,000 workers.

That's below consulting firm Gartner's recommended staffing level. But, Lurie said, "we don't find ourselves on a hiring-and-firing roller coaster" as economic conditions change.

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Tags global recession

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