Organisations need to invest in digital technology, skills and products to be successful.
Spending money on technology alone is not adequate; investment in research and analysis is also vital. For example, let’s consider the implementation of a Customer Relationship Management (CRM) system. Success in such a project requires in-depth analysis of data flows, data processing, data storage, and data use.
Only once there is clarity on what is currently going on, and where the organisation aims to get to, can technical implementation be properly planned.
The bigger the digital budget, the more an organisation can achieve. How it spends that budget – staffing, technology, marketing etc – is also important. Effective prioritisation and sustainable investment demonstrates that an organisation values the experience of their users over short-term publicity.
Things to think about
- Does your organisation have a digital budget which covers more than licences and ongoing fees?
- Do you always have to make the case for budget for digital improvements and investments? Is there an understanding that investment in digital is ongoing?
- Do other teams in your organisation hold budgets for digital work? If so, do they consult your digital lead on how to spend this budget?
Budget: five levels of maturity
1. SurvivalThe budget only covers the bare essentials, such as website hosting.
2. MaintenanceThe budget supports the current setup but doesn’t allow for improvements.
3. ExperimentingThe budget allows for the testing of new ideas in priority areas.
4. GrowthThe budget supports increasingly digital ways of thinking and doing.
5. SustainableA healthy budget for the ongoing evolution of digital operations increases impact.
Average budget score
Overall, for this competency, organisations average out at level 3.
Budget scores by year
These graphs show the average scores for budget over the last few years, expressed as a percentage.
- 2020 60% 60%
- 2019 60% 60%
- 2018 64% 64%
- 2017 56% 56%
- 2016 50% 50%