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1 Global Headquarters: 5 Speen Street Framingham, MA USA P F W H I T E P A P E R T h e N e e d f o r a S t r a t e g i c A p p r o a c h t o E n t e r p r i s e M o b i l i t y Sponsored by: Compuware David Tapper January 2013 T H E C H A N G I N G E N T E R P R I S E Today's enterprises are under tremendous pressure to keep pace with a rapidly changing marketplace while supporting employees, customers, and consumers who are using an entirely new set of capabilities to meet their needs. Capabilities such as social media, cloud services, analytics, and mobility are enabling users and buyers to localize and personalize specific needs to do a variety of tasks, whether for professional or personal purposes. While the combination of these capabilities is radically altering the means by which enterprises need to do business, the move to a mobile-enabled world is creating tremendous opportunities for enterprises to leverage mobility as a means of driving high performance and ensuring competitive advantage. Some of the key factors that are driving enterprises to develop mobile strategies are as follows: Rapidly expanding use of mobile devices. The rapid adoption of "smart" mobile devices by both consumers and employees, coupled with the increase in bring your own device (BYOD) in the work environment, is placing significant challenges on enterprises to meet a broader set of requirements. In particular, enterprises face tremendous pressure to support a widening array of application functions (e.g., sales, customer care, ERP, marketing), technology platforms (e.g., native OS, Web OS, mobile enterprise application platform [MEAP], cloud), and devices (e.g., smartphones, smart tablets, smart vehicles). Expanding integration of "mobile" machine-to-machine (M2M) capabilities. The use of M2M capabilities increasingly involves what are essentially mobile devices. Just consider telematics, including vehicle to vehicle (V2V) and fleet management, as well as mobile telehealth applications involving medication and medical care reminders that include the ability of a mobile device to report indicators such as blood pressure and blood sugar and even alert physicians. In such business cases, critical factors will involve security, accuracy of information, compliance, and regulation. Impact of millennial generation and globalization on mobility. Members of the expanding millennial generation (loosely defined as people born between the early 1980s and the late 1990s) will as they move up the corporate ladder increasingly drive dramatic changes in how enterprises utilize mobility. Much of this is driven by factors such as their ease of leveraging the world of online and what increasingly are referred to as "cloud services" through which they can essentially perform any task, professionally or personally, via a basic Web connection and, now, a mobile device and do so anywhere in the world.

2 Increased role of social media in business environments. Employees are increasingly using social media as part of "doing business," such as for sales, marketing, and customer support or, in unfortunate cases, damage control. Combining mobility with social media presents enterprises with significant opportunities such as targeting new customers for sales or providing improved customer service. However, it also presents new potential challenges such as how to analyze the vast volumes of "Big Data" to benefit the business and how to integrate the appropriate business processes and functions. Utilizing business analytics to optimize the use and impact of mobility. Enterprises are increasingly placing importance on more robust business analytics capabilities to support the tsunami of data generated, referred to as "Big Data." In particular, the combination of social media and mobility is driving an exponential increase in content and information creation. This explosion of data is challenging the ability of businesses to obtain the strategic insight they need to ensure optimal performance and user adoption of services. Using cloud services to support mobile needs. Enterprises are increasingly shifting to using cloud services (e.g., PaaS, TaaS, IaaS, SaaS, BPaaS) to support their businesses. When mobility is used as part of procuring cloud services, the complexity of managing a business is elevated dramatically given that any user with a "smart" device (e.g., phone, tablet) can procure any type of cloud service. This will only further complicate how enterprises manage the many types of mobile-enabled cloud services that need to be integrated into their business while maintaining control. Part of the road map to building a high-performance mobile organization will require taking into account all the aforementioned drivers of mobility. However, businesses must incorporate a number of additional factors into their mobile strategy to truly help optimize their businesses. First, they must understand the different types of relationships a business needs to service, whether business to business (B2B), business to consumer (B2C), or business to employee (B2E). Critical to gaining this understanding is having the in-depth knowledge of which business functions and applications must be mobile enabled. Second, they must determine which and how many mobile platforms (e.g., MEAP, cloud, native OS, Web OS) and devices (e.g., smart tablets, smartphones, smart vehicles) will need to be supported. Third, part of building an effective mobile strategy will involve determining whether to go it alone and do everything in-house or engage with a third-party service provider. Pursuing this latter strategy ultimately will require understanding the value that a third-party provider can bring to a business in building a mobile strategy, what to look for in a provider, and what to expect. 2 # IDC

3 Given the complexity of all these factors, ensuring competitive advantage with regard to mobility will require enterprises to take a holistic approach that can help them achieve high performance. The risks involved in not approaching mobility with a comprehensive strategy include: Losing control and lacking coordination of business operations. The breadth of devices and applications as well as the means of procuring them beyond the current governance structures, such as via BYOD or opex purchase of cloud services, will likely result in a loss of control over and an inability to coordinate business processes and operations. This can have significant impacts, including underperforming financially, not complying with key regulations, or tarnishing brand image via potentially rogue dissemination and use of corporate information. Inability to keep pace with market shifts. The constant introduction of new capabilities (e.g., cloud services, social media), technology platforms, and devices is accelerating the need for enterprises to develop a means of managing these changes more effectively in order to keep up with the market. Without a structure that can help keep pace with these shifts, enterprises might not be able to identify strategic opportunities and optimize business operations, whether providing greater flexibility in aligning workers with the most appropriate set of mobile resources for their specific roles or developing a new business model to create competitive advantage. Underperforming operations. The expanding use of mobility is elevating the complexity of integrating key stakeholders, and the business processes to support them, across both business users (B2B and B2E) and consumers (B2C), which are increasingly being linked into a more holistic value chain. Lack of a business framework that can manage the strategic points of integration to achieve high performance will likely result in an underperforming organization. Missing market opportunities. The deluge of real-time data streaming from mobile devices, whether triggered by businesses or consumers, is pressuring enterprises to mine this information and uncover new and unique market opportunities. However, leveraging these opportunities will require enterprises to incorporate a broad set of key processes and capabilities that can support the collection, integration, organization, authentication, and, ultimately, analysis of this data. Without an integrated approach, enterprises risk losing what are becoming time-sensitive market opportunities. These missed opportunities will have the biggest impact on top-line financial performance. The focus of this white paper is to provide a framework of how U.S. enterprises are evolving their mobile application strategies in regard to the benefits and challenges they view as strategic; which business processes and applications to mobile enable; and which mobile platforms are central to this strategy. Additionally, this paper provides buyer feedback regarding some of the critical criteria organizations look for in a provider of mobile application services and some of the key questions that buyers should ask of these providers when looking to engage with them in building their mobile strategy. This paper also provides a snapshot of Compuware and its mobile capabilities, along with examples of the company's current mobile client engagements that highlight the value that customers see in Compuware Mobile Solutions IDC #

4 B U S I N E S S F A C T O R S, B E N E F I T S, A N D C H A L L E N G E S I N M O B I L I TY B u s i n e s s F a c t o r s As enterprises develop their mobile strategies, they point to five key business factors that will shape their mobile strategy over the next months. The first factor, and the one that will have the biggest influence on the structure of an enterprise's strategy, is the need to innovate and keep pace with rapidly changing mobile technologies. As previously noted, just consider the number of platforms (e.g., native, Web, cloud, MEAP) and devices (e.g., smartphones, smart tablets) and the expanding number of consumer and business applications being deployed for mobile use. The second factor is the ability to identify third-party providers that can help lower the costs of development, which might include such capabilities as code reusability and portability across multiple platforms. These capabilities can mitigate development risks associated with costs and also enable flexibility in provisioning and integrating business processes across multiple mobile environments. The third factor is accelerating speed to market, which, without doubt, is paramount in ensuring competitive advantage and revenue growth. The fourth and fifth major factors that enterprises view as significant in tailoring their mobile strategies are leveraging mobility to build out their brand, which is critical in ensuring differentiation and market position, and generating revenue. B e n e f i t s Enterprises believe that a number of key benefits will drive mobility. To start with, mobility can help generate new revenue or revenue for existing products. This is critical not just for ensuring growth but also for using mobility as a means to change the business model of growth as the market shifts toward consuming services via a more cloud-centric, mobile-based delivery model. Additionally, and as Figure 1 shows, enterprises are looking at mobility as a means of improving employee productivity, which can range from creating improved coordination and collaboration to enabling employees to access services for which they can personalize specific needs. Additionally, enterprises are looking to gain access to improved data quality as well as providing real-time visibility into time-sensitive business data. This will help enterprises across their entire organization develop more effective and targeted sales and marketing campaigns as well as identify where to optimize their existing business operations and focus their R&D/product development efforts. 4 # IDC

5 F I G U R E 1 E x p e c t e d B u s i n e s s B e n e f i t s f r o m E n t e r p r i s e M o b i l e A p p s Q. What type of benefits do you expect enterprise mobile applications will have on your business? Improve employee productivity (time savings through improved coordination) Provide real -time visibility into time - sensitive business data Improve data quality Enhance existing business processes React to market changes more accurately and quickly Achieve better decision making while traveling/on the go Enable new business processes Enhance customer service (% of respondents) n = 325 Source: IDC's U.S. Mobile Enterprise Professional and Outsourced Services Survey, December 2011 C h a l l e n g e s Companies that have a mobile strategy realize many benefits but also face some key challenges, as Figure 2 shows. The top 2 challenges involve investments and breadth of skills and capabilities. Enterprises highlight the challenge of investing in and maintaining varied mobile technology infrastructures and having the expertise and/or ability to develop the skill sets to support multiple mobile OS platforms and technologies (e.g., iphone, Android, Microsoft). Given the challenging economic climate and need to optimize ROI, enterprises must consider the value of making their own investments in these capabilities or look to a third party that can provide these capabilities at lower costs by leveraging the investments/costs across multiple customers. Additional challenges include keeping pace with rapid changes in the mobile OS/hardware landscape, designing to the many types of form factors needed, 2013 IDC #

6 and providing the robust security required to protect not just end-user data but also an enterprise's brand, reputation, and ability to ensure business resiliency due to unforeseen events. In addition, there is the issue of complexity regarding the number of "integration" points that mobility touches. These points of integration involve not just multiple sets of relationships (B2B, B2E, B2C) but also multiple sets of business processes and associated applications. Further, the points of integration increasingly may involve stakeholders outside an enterprise's own traditional business community. The result is a complex hybrid of people, processes, and technologies that a mobile solution will need to take into account. F I G U R E 2 T o p C h a l l e n g e s i n L a u n c h i n g M o b i l e A p p l i c a t i o n s Q. What are the biggest challenges you face in launching mobile applications, whether or not you are developing applications internally? Investing in and maintaining varied mobile infrastructures Expertise/developing skill sets across multiple mobile OS platforms Rapid pace of change in mobile OS/hardware landscape Designing to different form factors (e.g., smartphone versus tablet) Managing to robust security architecture protection of end-user data Ability to optimize usage of different platform resources (e.g., CPU, memory, battery) Complexity of test scenarios to design and execute Reusability of test artifacts to address rapid change in application functionalities Test data/bed preparations to resemble live scenarios under high volume Other (% of respondents) n = 325 Source: IDC's U.S. Mobile Enterprise Professional and Outsourced Services Survey, December # IDC

7 W H E R E A R E C U S T O M E R S T O D A Y? Building a successful enterprise strategy for mobility requires understanding a broad set of stakeholder (whether customer, employee, or consumer) needs and behaviors and in which areas (e.g., sales, marketing, customer support, ERP), for which devices (e.g., smartphones, smart tables, smart cars), and for which technologies (e.g., ios, Android, Microsoft) to provide these users with mobile-enabled capabilities. In addition, enterprises will want to benchmark their approach to see how peers are evolving their strategies as a means of ensuring competitive advantage. Further, enterprises will want to develop an optimal sourcing strategy that involves determining what they will manage internally and in which areas they will look to source services and capabilities from third-party services firms and providers. M a t u r i t y o f M o b i l e S t r a t e g y As Figure 3 shows, more than 40% of U.S. enterprises are either exploring a mobile road map strategy or looking to do so within next months, with retail, manufacturing, professional services, and the public sector (education/government) showing the greatest interest in building a mobile road map strategy. In terms of actual deployment of mobile applications, just 18% of enterprises indicate that they are working on their first mobile application implementation, although 34% of banking, financial services, and insurance (BFSI) buyers are currently implementing their first application. Just 11% of businesses have launched their first mobile application, and another 11% are accelerating the pace of development with a second or third mobile application. However, 38% of telecommunications firms highlight the acceleration of their second or third mobile application and use of innovative cross-platform development strategies. Thus, while a significant share of buyers either are not planning or are beginning to consider planning the development of a mobile road map strategy, an equal share are already actively building their mobile strategies with active deployments. This latter group of customers is now raising the bar for those without a mobile strategy to develop a portfolio of mobile capabilities or risk falling behind in the market IDC #

8 F I G U R E 3 U. S. E n t e r p r i s e s : M a t u r i t y i n M o b i l e A p p l i c a t i o n S t r a t e g y Q. How would you currently categorize your corporate mobile application development strategy? Introducing innovative mobile development techniques across multiple mobile OS platforms (10.6%) No plans (7.1%) Evaluating and exploring mobile road map strategy (27.4%) Launched first mobile application (10.9%) Accelerating pace of development with second or third mobile application (11.1%) No current plans to evaluate but will consider within next months (14.9%) n = 325 Working on first mobile application implementation (18.0%) Source: IDC's U.S. Mobile Enterprise Professional and Outsourced Services Survey, December 2011 P l a t f o r m P r e f e r e n c e s a n d S t r a t e g i c P o i n t s o f I n t e g r a t i o n w i t h B u s i n e s s P r o c e s s e s a n d A p p l i c a t i o n s Enterprises have a multitude of options, involving different platforms and programming languages, to consider for the design of their mobile strategies and mobile applications. In terms of current utilization of different mobile technology options, 44% of U.S. enterprises are primarily focused on developing mobile applications for native devices (e.g., ios, Android, Microsoft), followed by 39% that are focused on mobile Web development. However, while only around 20% or less of businesses are building mobile applications using MEAPs and mobile cloud platforms, more than 40% will look to use these approaches in the next two years. To build a successful mobile strategy, enterprises also need to understand the different types of relationships and users as well as associated types of business process functions that will most likely need to be mobile enabled. Figure 4 provides an overview of these relationships and associated top business applications for which enterprises are currently using and/or developing and deploying mobile capabilities. The figure highlights the unique differences between enterprise-centric (B2B, B2E) relationships and consumercentric (B2C) relationships. Issues of sales, communications, customer support, and financials rank highest for B2B and B2E, whereas marketing, communications, and geographic identification are of paramount importance for B2C. 8 # IDC

9 F I G U R E 4 T o p B u s i n e s s F u n c t i o n s a n d A p p l i c a t i o n s b y T a r g e t U s e r ( C u r r e n t U s e a n d F u t u r e D e p l o y m e n t ) B2B and B2E B2C 1 Social business, collaboration apps 1 Multimedia applications (e.g., educational /entertainment) 2 Customer care, CRM applications 2 Mobile map applications 3 Field, sales force automation 3 Location-based services (LBS) 4 Marketing, advertising, business analytic applications 4 Social-based applications 5 Benefits and payroll administration 5 Mobile advertising solutions 6 High-performance, technical computing apps (engineering, R&D) 6 Combined mobility apps (e.g., comparative product price checking with store geo mapping and LBS) Source: IDC, 2013 Table 1 provides a summary of the top needs for B2B/B2E and B2C by key industries. While there are many similarities across industries, there are some unique differences within industries. For example, healthcare needs to support HR mobile workflow management tools (e.g., retail or nursing shift management) for B2B/B2E; financial services needs to provision mobile wallet for B2C; professional services is looking to deliver mobile maps for B2C; retail-wholesale is pursuing implementation of mobile advertising for B2C; and the public sector needs to mobile-enable ERP/SCM for B2B/B2E IDC #

10 T A B L E 1 B 2 B / B 2 E V e r s u s B 2 C T o p P r i o r i t i e s b y I n d u s t r y Industry B2B/B2E B2C Manufacturing Sales, customer care, social Multimedia, location-based services (LBS) Healthcare Customer care, social, HR/benefits Multimedia, LBS Financial services Social, customer care, sales Social, mobile wallet Retail-wholesale Customer care, sales, multimedia Advertising, social Professional services Social, sales, customer care, benefits Multimedia, mobile map, social Public sector (e.g., education, government) Social, customer care, HR, ERP/SCM Multimedia, mapping, LBS, social Source: IDC, 2013 C u s t o m e r E x p e c t a t i o n s o f T h i r d - P a r t y S e r v i c e P r o v i d e r s While the list of capabilities that customers require of their providers is extensive, customers highlight some capabilities as critical when selecting services firms to support their mobile strategy. The requirement that enterprises view as most critical in choosing providers for developing their mobile applications is knowledge in application user interface (UI) design. This is followed by the need of a provider to support the full application life-cycle services for mobility (from mobile design to application development to testing and maintenance/management); to have expertise across multiple mobile platforms and technology stack layers (e.g., middleware, device drivers); to offer a set of shared resources and infrastructure (e.g., development/testing tools, technologies, and processes); and to have deep systems integration skills. In the area of testing services, buyers indicate that the top criteria they use as part of their selection process with services firms are whether a provider has strong communications skills (e.g., transparency, leadership, strong project management skills) and the ability of a provider to offer test strategy services (including test automation strategy). Additionally, buyers also consider as crucial the ability of a service provider to offer mobile test execution capabilities that utilize "industrialized," prebuilt cross-platform solutions and expertise across multiple mobile platforms and technology stack layers (e.g., middleware, device drivers). 10 # IDC

11 E n t e r p r i s e S o u r c i n g S t r a t e g i e s Part of building a mobile strategy that can deliver high performance requires enterprises to define their sourcing strategy in regard to how they will utilize third-party providers to support this strategy. In the United States, enterprises are actively engaging with services firms across the full array of services needs, from developing and testing mobile applications and devices to providing ongoing management services. According to IDC research, most U.S. enterprises are currently working with services firms to build their mobile road map (e.g., selection of platform[s], architecture). Currently 34% of buyers are engaging with providers for this level of support, followed by approximately 30% of businesses looking to work with providers in areas such as mobile device testing and management services as well as mobile application testing services. Approximately 25% or more of enterprises are currently engaging third-party providers for mobile application design/architecture blueprinting, development (coding and integration), and ongoing (24 x 7) management services. However, over the next two years, more than 40% of buyers will look to these firms to provide support for these capabilities. In the area of testing, enterprises are looking to services firms primarily for support in building their mobile testing strategy (e.g., scope, device selection, governance). While 35% of firms currently use providers for these services, around 25% of enterprises look to third parties for support in areas such as security testing, application testing (e.g., functional testing, UI testing, integration testing to back-end systems), and performance testing, with 45% of buyers indicating that they will look to services providers to support them in these areas in the next months. An additional factor that buyers utilize as a means of structuring their sourcing strategies is bundling of services as part of a single engagement. This impacts the selection of providers and the number of providers that enterprises believe is optimal in supporting their mobile strategies. Currently, nearly 40% of enterprises indicate that they would bundle services involving application development, testing, and integration services, with 30% indicating that they would bundle application management, road map planning, and device management as part of one engagement with a provider. C O M P U W A R E M O B I L I T Y S E R V I C E S : B U S I N E S S F I R S T, M O B I L E S E C O N D Compuware's Mobile Solutions Group centers its approach to building enterprise mobile solutions on the framework of "business first, mobile second." Why this approach? Through its experience, Compuware understands that an effective mobile solution is designed by first having a deep knowledge of a customer's mobile business objectives, which also includes having extensive knowledge of the client's industry and business processes, as well as all stakeholders that will be impacted by such a solution. As part of this approach, and as Figure 5 highlights, Compuware incorporates a set of strategic building blocks that are designed to help customers from the initial stages of identifying the business problem to designing, building, and even providing ongoing management services that support continuous adaptation, via analytics, of the resulting mobile solution to ensure client competitiveness IDC #

12 F I G U R E 5 Com p u w a r e M o b i l e S o l u t i o n s Source: Compuware, 2012 V a l u e P r o p o s i t i o n a n d D i f f e r e n t i a t i o n Compuware's value proposition is centered on mobile applications not as a set of standalone solutions but as part of a business solution that is designed to support strategic business objectives while integrating and linking mobile applications to all critical enterprise systems and processes needed to optimize the ROI of the enterprise environments that require mobility. This value proposition includes: Linking key business processes from front-end sales, marketing, and customer support to back-end enterprise processes, including ERP, supply chain, CRM, and product development, to ensure seamless communication between all necessary stakeholders Providing enterprises with real-time information that delivers analysis and reports, whether for employees, supply chain, or consumers and customers, all with a focus on helping enterprises align their business strategies and investments with market demands 12 # IDC

13 Eliminating manual processes not just by capturing data but also by transmitting data (to the cloud) with further analysis possible Ensuring that information and data are transmitted and captured securely, which includes meeting all regulatory requirements, with a focus on ensuring the integrity of information and data Focusing on business value that drives a user-centric design methodology to ensure maximum adoption while achieving efficiencies Compuware believes that it can achieve this breadth of value for customers utilizing its mobile organization by leveraging the following distinct and differentiating competencies: Visioning process. As a strategic offering, Compuware's Mobile Visioning process helps define, articulate, and prioritize key business objectives and success criteria as well as user needs and benefits prior to the development of mobile road maps and application concepts by adhering to Compuware's "business first, mobile second" approach. This process serves to support alignment across functions business leads, marketing, and IT with the goal of driving real value for both the enterprise and the user by identifying key innovations and differentiators that are in line with stated objectives. Through this approach, the environment is evaluated and a road map is defined. Industry and business process expertise. Using its experience in servicing more than 7,000 customers over four decades and across key industries including auto, financial and insurance, healthcare, and government (federal and state), Compuware provides deep vertical and business expertise to help clients design solutions for which mobility is identified as a critical need. Application performance management (APM) services. APM services include Compuware's Gomez SaaS and dynatrace Enterprise solutions, which provide end-to-end testing of a mobile environment and can easily be incorporated into continuous monitoring and management of a mobile solution to help ensure optimal application performance End-to-end mobile capabilities. To help customers tailor their specific requirements in creating the appropriate mobile solution, Compuware offers enterprises an end-to-end services portfolio that includes professional services (e.g., consulting, designing, integration) and a set of managed services across both applications and infrastructure (e.g., devices, systems, storage) to ensure ongoing operations (e.g., management/monitoring) of the mobile solution. Continuous improvement and adaptation via business analytics. Compuware provides customers with the ability to improve and adapt their mobile business solutions through the use of business analytics that enables the mobile solutions to stay aligned with market demand and needs. By continuously analyzing the performance of a mobile solution using strategic key performance indicators (KPIs), Compuware can help adapt and adjust the solution to accommodate for shifts in needs, whether driven by B2B, B2C, or B2E factors. In particular, Compuware utilizes its strength and strategic investments in performance capabilities, which it 2013 IDC #

14 believes are paramount in ensuring that its mobile solutions are optimized to support employees and business partners as well as the market needs of enterprises, including the following: Platform agnostic. Compuware can support enterprises across the entire spectrum of mobile platforms, including native (e.g., ios, Android, Microsoft), Web, and open source environments as well as M2M. This approach aligns with Compuware's view that designing an effective mobile solution requires incorporating all types of technology capabilities and environments. Security. As a provider of IT integration services to Fortune 50 companies for more than 40 years, Compuware has a robust knowledge to secure the most complex and sensitive IT environments. In particular, Compuware utilizes its strength in its secure platform capabilities to help optimize the security of its mobile solutions, such as: Covisint. Cloud Authentication Services provide primary authentication to users regardless of whether they are employees, contractors, suppliers, partners, clients, or customers. This is done by directly binding users to their credentials and then providing them with a domain-specific security token to be used for session security. This service includes two-factor authentication and also provides support for identity risk scenarios at the time of authentication. The following two-factor authentication techniques are supported: SMS Text, Phone Call, , Mobile Push Notification, Smartphone Passcode, and IDcipher. When mandatory two-factor and risk-based authentication are combined, this tool provides a very robust means of securing an organization's systems. M o b i l e S o l u t i o n s S e r v i c e s P o r t f o l i o Compuware's mobile services portfolio involves a set of end-to-end capabilities that run across the entire life cycle, from strategy to implementation to run (e.g., manage). The capabilities are provided across three key areas: consulting services, application services, and integration services. These services are supported by Compuware's nearly 1,100-strong professional services organization that includes approximately 950 people dedicated to software/data-related services, of which approximately 600 are focused on development/integration. Consulting Services Mobile Solutions Consulting Services are targeted at helping customers develop mobile strategies to solve business and technology issues, with a particular focus on optimizing ROI, while incorporating the required flexibility needed to accommodate future changes with existing enterprise capabilities. The scope of service varies based on need but can include market/competitive assessments, enterprise planning, industry/existing systems mobile offering evaluations, end-user needs assessments, and vision documents (application blueprints/sketches). These services also include utilizing industry best practices around: Project approach strategy Project frameworks Project work plans 14 # IDC

15 Application development scope/resource estimations Mobile road maps Enterprise integration strategy Application Services Mobile Solutions Application Services are designed to provide enterprises with the option of utilizing a fully integrated set of services or selecting just those services that would support critical needs most effectively. These services can help customers gain access to the expertise needed in designing and developing mobile application solutions. Key elements of these services include mobile delivery methodology support/planning, mobile architecture services (performance, security, tools, etc.), and native development expertise. To help facilitate the design and development of mobile application solutions, Compuware's Mobile Solutions Group relies on its strategic expertise and resources in the following areas: Application engineers who can work across multiple platforms, industries, and development methodologies User experience design specialists who remain engaged throughout the entire development process or provide needed expertise throughout various points of the entire life cycle Developers who utilize solution accelerators such as multiplatform tools and reusable assets Deep experience with agile methodology in developing applications Test strategies that consider a rapidly changing landscape Utilizing best practices in providing performance testing Application store deployment services Integration Services Mobile Solutions Integration Services are designed to improve the efficiency of an organization's field-facing assets (e.g., employees, partners, vendors, machine assets), including areas such as M2M and workforce management. Compuware achieves this by reengineering business processes, enabling greater collaboration, improving access to information, and extending services to new geographic locations. Key features of these services include: Management and planning Hybrid development Integration with complex back-end applications such as SAP, Oracle, CRM Web API integration/development Integration of security requirements based on industry and business process factors 2013 IDC #

16 C u s t o m e r E x a m p l e s Compuware's Mobile Solutions Group has provided mobile solutions to customers across a wide array of industries, including manufacturing, financial services, retail, government (federal and state), and professional services. These engagements have involved a broad range of mobile services used to support complex mobile environments including back-end integration. The following examples provide a view of the depth of industry knowledge and expertise as well as the depth of technical skills Compuware utilizes in helping clients realize the benefits of a mobile solution. Large Producer of Fresh Fruit and Vegetables Quality and safety are the primary differentiators for this very large producer and marketer of fresh fruits and vegetables, so it relies on quick and accurate inspection data of its produce to ensure that its customers receive high-quality products. This producer found that the manual process it used to examine its produce was inefficient when informing a farm of a potential problem with its produce, which could delay the farm's ability to resolve the issue and hinder the producer from meeting customer demand. Compuware's Mobile Solutions Group designed a mobile solution to support the producer's quality inspection procedures and improve the data reporting process. This mobile solution incorporates all metrics collected by inspectors, including existence and severity of defects, while automating manual operations and business rule algorithms around calculating defects; allows inspectors to read barcodes for error-free farm traceability information while incorporating photographs and comments of individual metrics as proof of defect; and enables evaluations to be pulled hourly from the cloud to marketing database servers for near-real-time reporting. The benefits that the producer has realized included dramatically reducing the time between field assessment and grower notification; improving the efficiency of field evaluations including facilitating greater communication across departments and partners; and increasing the accuracy of field assessments by using barcode reading and photo features. Large Auto Manufacturer A major automotive company was looking to boost the capabilities inside one of its highend vehicles. As the features inside the car grew more varied and complex, the company became concerned that salespeople at dealerships would not be able to proficiently demonstrate all the new capabilities to customers. After an initial assessment in which the automaker realized that traditional methods used to train sales reps for vehicle introduction were insufficient, coupled with the fact that the in-vehicle system was not yet complete, the manufacturer decided to pursue a mobile solution. Drawing on its extensive experience in the auto industry, Compuware's Mobile Solutions Group suggested a simulation app built for the ipad to allow for "hands-on" training of salespeople. Compuware's mobile experts spent significant time with the auto company's prototypes to ensure that the app gave an accurate representation of the vehicle's actual capabilities. The result was a mobile app with 22 tutorials to guide users through the vehicle system, with three levels of expertise. While the automaker 16 # IDC

17 initially wanted this mobile app for use with just sales personnel, it rolled out the app directly to the general public (buyers) and has deployed it across North America with future introductions planned in other parts of the world. Fractional Aircraft Ownership Firm Formed in 1984, this major fractional aircraft ownership firm focuses on selling fractions of specific aircraft to clients that share in its ownership. The value of this business model to clients is the ability to fly point to point in private jets with access to smaller airports, customize arrival and departure points and departure times, and lower costs via fractional ownership. With a strong focus on safety and reliability as differentiators, this company wanted to improve the ability of the sales force to highlight the company's popular products and services while reducing the overall sales cycle time. Members of the sales staff often carried files and physical books into client meetings; however, many times, these materials lacked critical information for the customer. The result was a longer sales cycle because missing information needed to be communicated via . To improve this firm's processes and competitiveness, Compuware designed a solution that involved building a suite of six mobile applications to be deployed on the ios platform for ipad devices using agile development processes. The resulting strategic capabilities enabled by these mobile solutions included providing flight proposal information for quoting estimated annual fees that factor in criteria such as the selected aircraft model, annual flight hours required, and fuel costs; profiles of cost per flight based on flight origin and destination, number of passengers, baggage, time of year, and other information; competitive rates in the fractional aircraft market; an airport locator highlighting the wide range of locations available; and flight-tracking functionality that alerts sales of incoming flights and ability to meet with clients on short notice. Key benefits realized by this firm included the speed and ease of use in creating better, more engaging and informative interactions with customers as well as acceleration of the entire sales process, from exploring options with customers to fine-tuning specific flights. C H A L L E N G E S Compuware provides a robust set of capabilities to support a full range of mobile services that are designed to deliver industry-specific business solutions with the ability to adapt to changes in business requirements and market demand. However, Compuware, as well as the community of service providers, faces the following critical challenges in ensuring its ability to meet customer needs: Understanding customer business, industry, and regulatory requirements. Success for enterprises requires that providers understand not just the uniqueness of their industry and associated regulatory requirements or key B2B/B2E/B2C needs but also the uniqueness of customers' business systems and business processes, including the ecosystem of industry-specific solutions and custom-developed support systems. The goal is for the provider to have the depth of knowledge across all these areas to support an enterprise IDC #

18 Meeting expected improvements in employee productivity. Critical for service providers is their ability to meet customer expectations in driving improvements in employee productivity involving mobility. This will require a deeper knowledge of the specific roles of all employees within an organization and the critical requirements of employees, which increasingly are centered on the individual and not just a function in which an employee operates (e.g., marketing, sales). Keeping pace with the changes in mobile service requirements and technology advancements. The rate of change in the world of mobility seems only to accelerate with the addition of new devices, applications, content, and more. Providers need to offer a holistic set of support, not just across a vast array of mobile technologies but also involving newer delivery options such as MEAP, cloud platforms, and mobile device management (MDM). Enabling real-time visibility, data quality, and analysis. For customers to effectively utilize the information generated by mobile technologies, service providers need to incorporate the right set of capabilities that range from effective strategy design and implementation to capturing, organizing, and potentially analyzing this information. Having breadth of capabilities to ensure end-to-end support. Providing customers with the flexibility to access the right set of services and capabilities when needed will require that service providers support a set of end-to-end mobile requirements. Essentially, providers need to support both customers looking for an end-to-end set of services and customers looking to use just a select set of these offerings. Supporting global requirements. Given that mobility implies the ability to transact a process anywhere in the world, providers need to support customers with as broad a global footprint as required. The need for global support will only expand as more and more of the world's population adopts mobile technologies and services. R E C O M M E N D A T I O N S : A S K I N G T H E R I G H T Q U E S T I O N S Building a mobility strategy that helps enable an enterprise to achieve high performance will require buyers to make a series of major decisions to optimize their investments. As part of these decisions, enterprises are assessing the role of thirdparty service providers in supporting the development, implementation, and management of this strategy. IDC believes that it is critical to evaluate service providers on their ability to meet key business and service criteria needed to help enterprises achieve these goals. To better prepare you to begin the evaluation process of utilizing a service provider, IDC has provided the following checklist of questions. These questions should be directed at understanding if the service provider has the capabilities to fulfill key requirements that your organization demands in building its mobility strategy. 18 # IDC

19 How much employee productivity can be gained by having an effective mobility strategy? Does the provider have the capabilities to support an industry-specific solution with a personalized mobility strategy? What are the potential revenue enhancements and cost savings (e.g., from improved productivity) that a mobility solution can provide? Does the provider offer SLAs to ensure the quality of and visibility into business data? Does the provider understand your business as well as the business risks and regulatory requirements, such as HIPAA and the Basel Accord, that may impact the effectiveness of the mobile solutions you implement? (Prospects should ask for reference customers that demonstrate an enterprise understanding rather than just focus on standalone mobile applications.) C o p y r i g h t N o t i c e External Publication of IDC Information and Data Any IDC information that is to be used in advertising, press releases, or promotional materials requires prior written approval from the appropriate IDC Vice President or Country Manager. A draft of the proposed document should accompany any such request. IDC reserves the right to deny approval of external usage for any reason. Copyright 2013 IDC. Reproduction without written permission is completely forbidden IDC #

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