Mobility outlook 2013 mobile enterprise

Mobility Outlook 2013

• BYOxBecOmesmainstream

• acceptingcOnsumerizatiOn

• amOBileappgOldrush

• thetechnOlOgYsOupBuBBles

• mOvingaheadtOstrategicvalue

In 2013, mobility will move from opportunistic deployment of specific technologies to a more strategic value for businesses.

asupplementtOresearchpartner

MobileEnterpriseMag.com mobility outlook 2013 | MO3

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Contents mo4 byox becomes mainstream as it Does u-turn

mo5 Accepting Consumerization

mo8 A mobile App Gold Rush

mo10 the technology Soup bubbles

mo12 moving Ahead to Strategic Value

AbOut the AuthOr

Chris marsh is a principal analyst with Yankee Group’s Enterprise

Research group. He focuses on analyzing opportunities for enterprises

around mobile apps, unified communications and 3G and 4G wireless

services. Of particular interest is the transformative nature of these

technologies on enterprise and service provider business models.

What happened in 2012The year 2012 has been very eventful for enterprise mobility, with IT finally

taking on BYOD, legacy players falling back and new ones surging. Compa-

nies are increasing their mobile budgets, but are looking at the same time

to gain greater strategic, not just tactical, value from their investments.

It’s also been a year when the levels of complexity from increasing mobil-

ity have risen sharply, and companies were faced with a more complicated

technology soup of managed device and application services; 2013 will see

companies move to address this with greater organizational focus around

creating agility in the mobile strategy.

Thirty-nine percent of the U.S. workforce is now operating in mobile or re-

mote locations for a significant portion of their time. Yankee Group reviews

the transformational 2012 and looks at mobile opportunities of the future.

2013Mobility Outlook

MO4 | mobility outlook 2013 MobileEnterpriseMag.com

BYOx Becomes Main-stream as IT Does U-Turn2012: A TIppInG pOInT fOR MOBIlE WORkERS

This year has been a tipping point for enterprise mobility — with employees and IT now jumping aboard the bring-your-own-device (BYOD) and bring-your-own-applications (BYOA) bandwagons. This was driven by the continuing spread of workplace mobility with 39%, just over 60 mil-lion, of the total workforce in the U.S. now operating in

mobile or remote locations for a significant portion of their time. (See Fig. 1)

The majority (54%) of the total mobile workforce is now, and for the first time, com-prised of professional work-ers — executives, managers and non-managerial workers as opposed to the dedicatedly mobile field, sales and deliv-ery employees. Localized intra-

office working unsurprisingly accounts for most of the in-crease in this mobility, with the spotlight on companies to provide mobile extensions to generic internal business pro-cesses to keep their employees productive when away from their desks and offices.

Fueling this cascading workforce mobility is an in-crease in those employees us-ing a smartphone for work. From June 2011 to June 2012 Yankee Group’s US Enterprise Mobility: Empowered Em-ployee survey reveals that the proportion of U.S. employees using a smartphone for work

0 20 40 60 80 100

SOURCE: Yankee Group, June 2012

Other

: 1%

Professionals

21% of total workforce54% of mobile workforce

Field Force/Sales Force

11% of totalworkforce

29% of mobile workforce

Other

7% of totalworkforce

17% of mobileworkforce

S

enio

r

exec

utives

: 13%

Consulta

nts: 11

%

Man

ager

s: 9%

Admin

istra

tors:

7%

Facu

lty: 2

%

Public

Serv

ice: 3

%

Phys

ician

s/Clin

ician

s: 3%

Other

know

ledge s

taff:

6%

Field

serv

ice te

chnici

ans/e

nginee

rs: 16

%

Field

/sales

man

ager

s: 13

%

Delive

ry/co

uriers:

4%

Public

safe

ty: 2

%

Facto

ry p

roducti

on staf

f: 4%

Constructi

on/trad

espeo

ple: 6%

1311972336161342461

Figure 1: workplace mobilitytotal Workforce = 100 percent ; Mobile Workforce = 39 percent



Accepting Consumerization ORGAnIzATIOnAl ATTITUDES TO WORk BEHAvIORS CHAnGE

As seen in the last few years, BYOx continues to dramati-cally change organizational attitudes to work behaviors. Over the past 12 months, IT leaders have jumped aboard the consumerization band-wagon at long last. Our 2011 survey showed that 57% of IT decision-makers either actively prohibited or discouraged the use of non-sanctioned apps and devices.

Just a year later, attitudes have clearly changed and en-terprises can actually be said to be largely embracing consum-erization, with 60% of firms allowing employees to use con-sumer apps and devices in the workplace. Nearly three-quar-ters of companies now consider working from home or on the

road as part of their wider or-ganizational culture, and the vast majority of companies now believe these workers are as pro-ductive as those working in an office environment. (See Fig. 3)

Although our survey data has shown in the past that employees often use consumer apps for work purposes even when prohibited by their IT department, it is clear that the increasing permissiveness of IT is now accelerating even fur-ther their adoption; 13% more employees now use these tools or would be interested in doing so compared to the same time last year. (See Fig. 4)

This now equates to 58% of all employees, putting huge pressure on IT to find ways to assert policy, security and compliance across a portfolio of internally created, publicly-sourced and curated, and em-ployees’ own consumer apps.

It was another year of U.S. smartphone growth and the further ascendancy of two dominant platforms, Apple’s iOS and Google’s Android, at the expense of Research In Motion (RIM) and muted at-tempts by Microsoft to gain ground with its nascent Win-dows Phone platform. Of the 57% of total mobile subscribers now using smartphones, 29% of them are on iPhones and an-other 49% are on Android de-vices. The market is revolving around these two ecosystems.

Through a discount programarranged by employer and thenexpense it back to the company

16%

Through a discount programarranged by employer and noexpense back to the company

14%

Company pays the bill directly 19%

Personally obtained the service and thenexpense back to the company

14%

Personally obtained the serviceand do not expense it

38%

16

14

19

14

38

0 5 10 15 20 25 30 35 40SOURCE: Yankee Group, July 2012

Figure 2: individual purchases dominate business smartphones thinking of your work mobile device, which statement best describes how you obtained and pay for your service?

purposes increased signifi-cantly from 37% to 60% of all employees.

Of the mobile phones these employees are using, the vast majority continue to be individually owned and procured. Almost all of the increase in smartphone usage at work over the past 12 months has been a rise in individual employee owner-ship. Now less than a fifth of business smartphones can be considered corporate-liable, with the company procuring, owning and paying for the de-vice and service. (See Fig. 2)

The remaining percent were acquired either via a cor-porate-sponsored, individual-ly liable program — essentially employees getting a discount because of their employer (27% of business smartphone users) or pure individual purchas-ing through traditional retail means (55% of business smart-phone users).


Non-sanctioned applications are absolutely nottolerated and immediately blocked or removed

22%13%

35%26%

28%32%

15%28%

It’s not encouraged, but we don’t actively monitor theiruse nor do we offer end user support for them

We allow employees to use any non-harmful device,but we DON’T provide any support for the item

We allow employees to use any non-harmful application ordevices and we DO provide some support for the item

SOURCE: Yankee Group, July 2012JUNE 2011 JUNE 2012

22 13

35 26

28 32

15 280 5 10 15 20 25 30 35

Figure 3: enterprises are coming to terms with consumerization please select the statement that best summarizes the philosophy of your organization regarding employees introducing consumer applications or devices into the work environment

With more than 80% of smartphones used by employ-ees today being acquired by us-ers themselves employees are essentially dictating what plat-forms will be supported by IT in the future. So what choices are employees making with respect to smartphone purchases?

It would make sense that they’re very much in line with overall consumer smartphone purchasing trends, and our survey bears this out. When

asked what type of smartphone they currently use for business purposes, 38% of our employee respondents say they use An-droid, 32% use iPhone and 21% use BlackBerry (See Fig. 5)

Again, if we compare this to overall smartphone market figures in the U.S., we find that Android and iPhone adoption is consistent with recent trends, but percentages differ. Business smartphone users tend to skew slightly more toward iPhones

and BlackBerry still holds a higher percentage among busi-nesses due to its existing legacy within enterprises.

In the future, however, users anticipate continuing to move away from BlackBerry in favor of iPhone and Android devices. Among employees who don’t currently use a smartphone but are considering a purchase within the next several months, the survey reveals that iPhone leads (52%), followed by An-

June 2011 June 2012 % change

i do install/use consumer productivity applications 28% 35% +7% or internet tools for work purposes

i would be interested in installing/using consumer productivity 17% 23% +6% applications or internet tools for work purposes

i am not interested in installing/using consumer productivity 43% 29% -14% applications or internet tools for work purposes

unsure/don’t know 11% 13% +2%

soURCe: Yankee Group Us enterprise Mobility: empowered employee, June 2011 and 2012 surveys

Figure 4: more than half of all employees now use or are interested in using consumer applications for work purposes



droid (45%), with BlackBerry (17%) and Windows Phone (10%) lagging significantly be-hind. (See Fig. 6)

With RIM stuttering in the consumer market, the swell of BYOD is correspondingly shift-ing IT attitudes with BlackBer-ry suffering significantly in a short period of time. Despite the presence of BlackBerry En-terprise Servers (BES) within a vast number of companies, ful-

ly sanctioned, corporate sup-port for BlackBerry has fallen from 50% of firms in October 2011 to 36% as of June 2012, with only 8% of all companies saying that Blackberry OS will be their preferred smartphone OS in two years. Clearly IT is having to respond quickly to a transforming device landscape with the rapidity of RIM’s de-cline provoking many to make contingency plans.

A Mobile App Gold RushClOUD EnABlInG InnOvATIOn AS App plATfORMS AnD DEv EnvIROnMEnTS BECOME AvAIlABlE AS-A-SERvICE

The enterprise is opening up to a new mobile app gold rush driven by this growing mobile workforce, the evolution of higher-speed mobile networks, employees’ familiarity with apps and mobile app stores from their personal lives and the growing importance of mobile as a channel for brands to engage their customers.

These factors together are driving companies to look more closely at where mobili-zation can add not just oppor-tunistic but rather strategic value to their business process-es. As a result, more compa-nies are increasing their bud-gets for mobility and mobile applications. The proportion of companies increasing their budgets for mobile applica-tions has almost doubled from 28% to 51% of all companies saying they will be spending more this coming year.

In addition, the emergence of a varied managed mobile services market has helped decrease the cost of develop-ment, distribution and main-tenance of mobile apps, and

Android 38%

iPhone 32%

BlackBerry 21%

Windows Mobile 4%

Palm OS 1%

Symbian 0%

Other 3%

38

32

21

4

1

0

3SOURCE: Yankee Group, July 2012

0 5 10 15 20 25 30 35 40

iPhone 52%

Android 45%

BlackBerry 17%

Windows Mobile 10%

Symbian 1%

1%Palm OS

SOURCE: Yankee Group, July 2012

52

45

17

10

1

1

0 10 20 30 40 50 60

Figure 5: business smartphone choice begins to mirror consumer trends What type of smartphone do you use for work purposes?

Figure 6: iphone, android will begin to distance themselves further from the packWhich smartphones are you considering for purchase?



companies on both existing enterprise application mobili-zation and mobile-first appli-cations projects has been both stimulated by, and in turn stimulates, significant inno-vation in the managed service marketplace.

A host of solution types has emerged to cater for the explosion. From backend and database connectivity and mobilization platforms such

as mobile app development platforms, mobile backend-as-a-service providers and crossplatform development environments, all are gaining traction. A key consideration for companies now and for the future as they embark on this gold rush is to understand which of the development op-tions available to them — na-tive, hybrid and web — best suit their growing needs.

the cloud is proving to be a rapid source of innovation as application platforms and development environments become available as-a-Service.

This has spurred compa-nies to look expansively be-yond mobile email and basic mobile access to corporate da-tabases to a range of mobile business-to-business (B2B), business-to-employee (B2E) and business-to-consumer (B2C) use cases.

With companies looking to move quickly and work f lexibly in trialing deploy-ments, cloud deployments have also grown. Companies are turning to SaaS and man-aged service deployments over on premise as a way to better manage the complexity and provision to their growing mobile workforce. The pro-portion of companies deploy-ing mobile CRM as SaaS, for example, has grown from 34% to 46% over the past year while those deploying on premise has fallen the same amount from 34% to 22%.

Companies want to be more involved use cases for mobile apps. The value in mobility is passing to the liberation of enterprise data in business sys-tems and the transformation of key processes. While most current and mainstream enter-prise business systems do not provide enough flexibility and interoperability to easily allow real-time and data-intensive mobile enablement, tools and platforms are emerging to be-gin to make this more realistic.

The gold rush is stimulat-ing innovation. The focus of

The proportion of companies increasing their budgets for mobile applications has almost doubled from 28% to 51%

June June Change over 2011 2012 past year

Access to corporate database 37% 55% +18%

CrM/customer 26% 45% +20% management applications

standalone corporate iM 29% 44% +15%

intranet/employee facing web portal 39% 41% +2%

standalone web conferencing 22% 37% +15%

erP/inventory and financial 19% 37% +19% management applications

Dispatch/work order management 23% 40% +17%

unified Communications 13% 33% +21%

enterprise social networking 20% 32% +12%

sFA/sales force automation 17% 29% +13%

soURCe: Yankee Group, June 2012

Figure 8: mobile business use cases


The Technology Soup Bubbles DIffICUlTIES GROW AS COMpAnIES lOOk BEYOnD BASIC MOBIlITY

The surging tide of mobile devices and growing num-ber of apps promise business transformation, but are bring-ing substantial complexities and difficulties for a growing number of companies. Half of all companies now say that managing mobile costs and tasks like upgrading software on mobile devices is very diffi-

cult, compared to around only a fifth of companies a year ago:

As companies look beyond enabling basic mobile connec-tivity and access to more in-volved business process aligned deployments, the mix of tech-nological challenges with which they are faced evolves. Although considered a lesser problem than those above,

twice the number of overall companies in 2012 from 2011 (16% to 30%) cited the need to ensure regulatory compliance as a technological obstacle to supporting mobile workers.

Limitations in mobile de-vices almost tripled, from 17% to 45% of all companies saying it is an obstacle; alongside in-creases also in the proportion of companies struggling with managing a heterogeneous environment of devices and generally struggling with a different set of technologies.

The managed service market-place has responded with a vi-brant market of dozens of TEM, MDM, MAM services having emerged to manage some of the complexity involved. However the value in these services is shift-ing beyond cost management and the implementation of ba-sic security for deployed devices.

As more service types and vendor offerings come to mar-ket, the value is moving to focus on the liberation of business system data through process mobilization and, crucially, the scaling of applications across the workforce to cater for this. While this is making businesses look much more closely at mo-bile application platforms and MAM solutions, companies are struggling with how to in-tegrate these solutions with ex-isting MDM and TEM services to better address the lifecycle of managing their mobile opera-tions — a key challenge

The surging tide of mobile devices and growing number of apps promise business transformation but are bringing substantial complexities and difficulties for a growing number of companies.

Figure 9: difficulties of mobility-related tasks

very difficult very difficult Change over rating in rating in past year June 2011 June 2012

Managing voice 26% 48% +22% and data costs for mobile handsets

Managing software 31% 52% +21% upgrades (e.g., upgrades, patches, policy) on mobile handsets

Distributing mobile 23% 42% +19% applications to mobile devices

soURCe: Yankee Group, June 2012


SOURCE: Yankee Group, June 2012

Telecom ExpenseManagement

Fulfillment/provisioning

Invoice management

Inventory management

Reporting and analytics

Bill auditing

Rate plan optimization

ConnectivityManagement

Remote access across 3G/4G, Wi-Fi and fixed broadband

Single sign-in

Policy management

Quality of service(Q0S)

Secure access, including VPN, private APN and static IP

Mobile DeviceManagement

Remote configuration and provisioning

Device firmware and OT updates

Backup and restore

Troubleshooting and diagnostics

Policy management

Software installation

Password enforcement

Application access via single sign-in

Remote wipe/lock

Data encryption (including removable storage)

Dual-persona

Mobile Application

Management

Application development platforms and tools

Application integration

Application level permissions and security

Application discovery, catalogs and stores

Remote and OTA deployment

Application updating and removal

Mobile ContentManagement

Search and edit corporate documents

Content delivery in multiple formats

File and document sharing

Offline storage

Encryption of files and documents

User access around file editing, sharing and administration

Remote document and data wipe

Policy, Security, ComplianceSupport, Administration, Systems Management


Moving Ahead to Strategic Value“MASSIvE” OppORTUnITY fOR EnTERpRISE MOBIlITY MAnAGEMEnT (EMM) plATfORMS

For mobility to move from an opportunistic deployment of specific technologies to a more strategic value for businesses, platforms must be available to help IT better manage the cost, security and complexity of aligning assets with enter-prise business systems. Partly in answer to this complexity

intense innovation is separat-ing out categories of vendors in the enterprise mobile managed service (EMM) marketplace.

As some vendors in the TEM and MDM categories face commodity death, for others vertical integration and horizontal interoperabil-ity promise to create a massive

new opportunity for enter-prise mobility management platforms.

The platforms will provide businesses with a more flexible way of combining, integrating and utilizing modular enter-prise services and also allow the management of security, policy and compliance across

Figure 10: critical features needed for emm platforms


of mobility in their workforc-es, as the strategic value in the enterprise is passing to apps and app-centric tools and plat-forms, away from the benefits of simply managing and secur-ing their devices.

With this proliferation, come new challenges in the development, distribution and maintenance of those apps as different lines of business initi-ate individual mobile projects, it is no easy task to implement a unified strategy.

look to the lifecycleAs our surveys show, the techno-logical obstacles companies face in supporting widening work-place mobility are considerable.

Companies should view these as interlinked challenges amid an overall goal of sup-porting the lifecycle of their

mobile operations, includ-ing devices, applications and network access.

In the procurement of managed services, this will give them the best chance to achieve the right kind of integrated and interop-erable solution to enable widespread mobilization.

Remove Silos Otherwise companies may be faced with a patchwork of siloed technologies that prevent them from realiz-ing the strategic potential mobility promises.

A key consideration here is ensuring that ad-opted services can provide a joined-up approach to policy setting, security and compliance. However, before procure-

ment needs to come a more coordinated strategy.

Mobility Across BusinessThere needs to be more of a fo-cus organizationally on how to coordinate mobility projects — Mobility Centers of Excel-lence as have already arisen in companies such as Coca-Cola, is one such approach.

These will take the lead as the interface between IT, man-agement and lines of busi-ness. They will play a key role in identifying and prioritizing requirements across the busi-ness, framing best practices, and helping educate workers around usage policies.

Those companies who do this stand to gain the most from the coming innovations in the enterprise mobile ecosystem. //


these integrated capabili-ties. (See Fig. 10)

This technology shift will cause the market to move from bundled services to vendors engineering enough interoperability for closely integrated partnerships on these platforms, necessitat-ing a much less piecemeal approach to security.

For businesses these emerging platforms prom-ise to give IT back some of the control it has lost by bringing better visibil-ity and manageability over their mobile assets.

This year, has been if not a tipping point for en-terprise mobility, then a watershed year. The ma-jority of companies have now jumped on the BYOD bandwagon and support, al-beit to varying degrees, their employees’ usage of consumer technologies.

Get in The Game in 2013Employees will turn to con-sumer technologies regardless of whether they are permitted or not, so companies, if they have not already, should get in the game and address the chal-lenges of how to make mobile management work for — not against — them.

leverage MobilityIt has also been the year when companies have realized that with a proliferation of projects across lines of business the complexity of mobilization increases.

Companies should look to leverage the growing amount

JoiN uS oNliNE for a live discussion during the “out-look on mobility” web seminar.

Hear more about where IT dollars will be spent and gain a real-world perspective from our panelists. Register at mobileen-terprise.com/web-events

11/13/12 2:00 pm est

•rich karpinski Senior Analyst, yankee Group

•donald king Infrastructure Services Customer Solutions kimberly Clark Corporation

•david lawson Svp Information & Strategic Resources universal Hospital Services, inc.

•Jay white Enterprise Delivery Manager, First Solar, inc.

Good Technology, the leader in secure enterprise mobility solutions, creates a world where employees can securely connect, communicate, and collaborate using their personal iOS, Android, and Windows Phone devices. Customers include more than 4,000 organizations worldwide, including F100 leaders in financial services, healthcare, retail, manufacturing, legal, and government. Learn more at www.good.com

SAP helps companies of all sizes and industries run better with mobile solutions. From back office to boardroom, warehouse to storefront – SAP empowers people and organizations to work together more efficiently and use business insight to stay ahead of the competition. For more information, call SAP at 866-727-1489 or visit: www.sap.com/mobile.

Verizon is a global leader in delivering broadband, wireless and wireline communications services and solutions to consumer, business, government and wholesale customers. Verizon Wireless operates America's largest 4G LTE network employing more than 188,000 people and has customers in more than 150 countries. www.verizon.com

Kony is the industry’s leading mobile and multichannel application platform provider. Kony develops a suite of customizable pre-built apps, the KonyOne™ Platform and a comprehensive mobile application management solution, which give companies the confidence and control to build apps once and deploy everywhere - across all mobile devices and operating systems. www.kony.com

Intermec is the workflow performance company. We design the leading data capture and information management solutions at the interface between mobile workers, assets and customers. Through continuous innovation in hardware, software, services and integrated solutions, Intermec helps customers realize the full potential of their people, time, space and information. Intermec.com/FieldResults.

Mobile Enterprise would like to thank the sponsors of Mobility Outlook 2013.

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