| On the good news front, industry sources are predicting a recovery for software markets in 2004 and beyond. In general, and not only for software, there will be a release in pent-up demand (frustrated need) stronger than the constraint that is the allocated budget. IT managers will still have to fight for increases in budgets—but many of them will win. The unrelenting pressure from business units for agility in a fast changing world will continue to grow.[7] When a business wants to modify its processes, products, or services, it cannot afford to wait for long IT development cycles. It must be possible to change the way application systems work by simply altering the components that are already in use, rather than buying or coding new components or whole systems from scratch. Wireless and mobile should take another step toward maturity in 2004. The base technologies are now being offered at reasonable prices, and businesses are realizing that continuous supply chains must include a continuous information chain. The demand for innovation and software vendor and venture capital investment in innovation will continue to increase despite low business confidence in the value of IT, which will continue to restrict new license sales for all software markets. Models for IT organizations are changing substantially. In a global, speed-based, information-driven, fluctuating economy, a multiplicity of competing and complementary imperatives arises. In the past, the drivers for these varied initiatives included decentralized organizational constructs, in which achieving enterprise-level synergies was subordinate to the expectation that the business units succeed or fail independently, as well as the nature of an infrastructure as a collection of shared resources. Currently, organizational models and work processes are highly collaborative and fluid, which will usher in the on demand world. As Figure 4.3 illustrates, the path to on demand organizational flexibility is driven by numerous factors. Figure 4.3. Flexibility factors. 
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