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SHYING AWAY FROM SPENDING

By:Vinas, Tonya
Publication: Industry Week
Date:Sunday, January 1 2006
Subject: Information technology, Expenditures
Location: United States
HEADNOTE

U.S. MANUFACTURERS KNOW THEY NEED TO INVEST IN IT-AND SOME EVEN PLAN FOR IT-BUT RESEARCH SHOWS FEWER ACTUALLY ARE BUYING.

IMAGE ILLUSTRATION 1

Which of the following information technology applications currently are in use at your plant? (multiple responses possible)

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AHH, THE HALCYON DAYS of 2004. Sure it was no 1998, but it was sure better than 2001. Manufacturers were so sure that the turn-of-the-century recession was over that more than 90% of them told IW/MPI Census of Manufacturers surveyors that they would maintain their current annual investment in IT or spend even more in 2005. Those planning to spend the most-those above the 75th percentile-said they would invest 3% to 5% of sales on IT in 2004. INDUSTRYWEEK reported this good news with the headline "The Juice Flows Again."

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