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My experience in manufacturing / wholesale is somewhat limited but I feel comfortable saying that they fail to realize the benefits of a strategically placed IT department. One of the issues I see is the neglect of including IT/IS in major decision making processes. Part of it is educating the board and upper management on the benefits, part of it is perception that IT/IS is an "INSTALL IT / SERVICE IT / FIX IT" department and has little to contribute to the overall corporate performance.
And IT vendors may be part of the reason they think this. Right now I'm thinking of outsourcers, within which a client is convinced that their IT infrastructure is something that is for "maintenance mode". I don't know how they think they can even go down to the level of coders with something really strategic. Where I have the freedom to make the decision, I think a proposed interactive screen is best done with interaction with the users themselves, for example.

You also hit the nail when you mentioned short term profits over long term goals.
That's the main driver. They look for budget reductions, and some of them want specific ROI, period. The Internet bubble was not totally ridiculous, because predicting the future in this area is oftentimes a guessing game.

--Alan


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