The dramatic fall was enough to drag the overall index across the five sectors down by three percent, despite the other four sectors registering growth in demand.
"Information technology is more a hostage of the geopolitical tensions than the other sectors because of the strength of the multinationals. The other industry sectors performed strongly to withstand those tensions," said E.L. Consult managing director, Grant Montgomery.
The IT Executive Index now rests at a point less than one-tenth of the level achieved three years ago, indicating the extent to which demand for executives has dropped since the peak of the tech boom. "There is no doubt that demand for IT executives has now declined past a natural low," read the report.
The report put the collapse of demand for IT executives down to the dire state of the e-economy and international uncertainty, but added that cutting IT budgets has become fashionable in the tech sector. However, the report is optimistic for the future, as always predicting an upturn just around the corner.
"Smart companies are now reassessing their IT and realising that even without the stupid frenzy on the e-economy boom there are good, fundamental and profitable reasons to build the IT processes and make use of the opportunities," stated the report.
The future for executives overall is looking good, with Montgomery not only standing by his prediction of a significant upturn in executive demand in the second quarter of this year, but going so far as to predict a skills shortage.
"It is clear from the figures that smart managers are now planning for the future and buying skills in the current buyer's market. Continuing with the fashionable cutting of management costs until skill needs again become critical, could be a disaster for some businesses," said Montgomery.
