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`IT adoption by businesses rising'

Our Bureau

Nasscom survey finds tangible improvement in efficiencies


Highlights
Eighty per cent of respondents report productivity gains.
28 per cent have more than 90 per cent of their PCs with Net connectivity.
Almost all processes automated in 35 pc of firms.

New Delhi , April 13

With many Indian businesses honing their competitive edge in the global market by using IT as a key enabler, a Nasscom study has found that about 35 per cent of the respondent organisations have moved to a level where almost all processes have been automated.

"With only five per cent of organisations at the opposite end, using IT for a few standalone applications, the Indian IT industry is moving in the right direction," the Nasscom IT User Survey 2005, which covered 300 organisations, has said.

Commenting on the findings of whether respondents have been able to trace the benefits of IT within their organisations, the statement said close to 85 per cent of organisations believe that they have been able to derive benefits out of the IT implementation, with 50 per cent of these respondents claiming to have documentary evidence to support their claims.

About five per cent of organisations were still working on methodology to track returns on IT investments, nine per cent saw limited benefits, while a mere one per cent respondents saw no benefits of IT implementation.

Infrastructure

On IT infrastructure, it said PC-to-employee ratio percentages ranged between both ends of the spectrum with few organisations exhibiting near 100 per cent PC-employee ratio. This essentially means that such organisations have one PC for each employee. The survey noted SMEs typically exhibit ratios between 10-30 per cent.

Assessing the impact of IT implementation on the company productivity, the survey said 80 per cent of the respondents felt they have been able to trace productivity enhancements within their organisations.

"Most organisations seem to have seen 50-75 per cent increase in productivity levels; only 40 per cent of the respondents claim that they have seen significant results in productivity improvements (improvement to the tune of 75 per cent increase in productivity levels)," it said.

User awards

Nasscom has also announced its IT User Awards, which assesses IT usage among key business verticals in India.

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