Survey finds that app dev budgets are increasing

Despite current economic uncertainty across the globe, senior-level executives and software development professionals are seeing an increase in development budgets, according to a recent survey by software development outsourcer SoftServe.

Conducted from April to June of this year, the survey of more than 6,000 executives and development professionals revealed that 60% of respondents reported increases in software development budgets for 2009. Results of the survey were announced Wednesday. Twenty-six percent indicated budgets had increased in excess of 10% over 2008 expenditures.

[ Earlier this year, Evans Data reported a slower growth rate for the number of developers because of the economy. ]

"Even amidst reports of global economic uncertainty and confusion, many companies are choosing to steel themselves for recovery by investing more, not less, in business-critical software development initiatives," said Taras Kytsmey, president of SoftServe, in a statement released by the company.  "Though overall findings of this survey point to project management and design of such initiatives as ongoing challenges, the most important thing is that these organizations recognize the need for improvement in the people, processes, tools and communication employed in these efforts.  This data gives companies a starting point for streamlining development efforts onward into 2010 and ensuring that development initiatives translate into greater return on software investments."

In other findings in the survey:

  • Nearly three-quarters of respondents, 71%, listed new product or software development as a top priority in their organizations. Cost-cutting also rated high, as did improving end-user usability.
  • Enterprise applications were the focus of 62% of respondents, while 51% were focused on Web development.
  • Eighty-seven percent of respondents reported comfort with their company's basic coding skills, while 36% said they needed improved project management. Thirty-four percent cited a need for help in defining business requirements for development projects.
  • Some 38% of organizations revealed the use of some type of software development outsourcing, with two-thirds of those outsourcing doing so in India, with the Ukraine, China and other Eastern European countries also showing up as top development locations to watch.
  • Forty-two percent favored agile development methodologies while just 18% preferred the waterfall method.
  • CMMI (Capability Maturity Model Integration) was cited as the process maturity and quality model of 36% of respondents.
  • For software customization and integration, Microsoft Dynamics/SharePoint was the most used platform, by 42% of those polled. Oracle and SAP followed with 38% and 29%, respectively.

This story, "Survey finds that app dev budgets are increasing" was originally published by InfoWorld.

Copyright © 2009 IDG Communications, Inc.

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