Optus Future of Business Mobility Insights Paper Maximise the potential of your mobile workforce

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1 Optus Future of Business 2013 Mobility Insights Paper Maximise the potential of your mobile workforce

2 Contents CONTENTS 01 Methodology 01 Executive summary 02 4G mobility enables new ways of working 03 Access to rich applications appeals to organisations and their workers 03 Organisations benefit from improved mobile application performance 04 BYOD brings security and trust into the fold 04 BYOD benefits include engagement and productivity 04 BYOD introduces the need for device management and security policies 05 Key considerations for implementing a BYOD strategy 06 Apps become more important to organisations 07 Five business considerations for developing mobile apps 07 Conclusion 08 How Optus Business can help

3 FUTURE OF BUSINESS: Mobility Insights Paper Methodology. This Mobility Insights Paper is part of a larger business survey conducted by Stancombe Research + Planning for the Optus Future of Business 2013 research series. Specifically, Stancombe surveyed 236 information technology (IT) decision makers from organisations with more than 100 employees across 10 industries and in government. Participants were asked about the use of technology within their organisation, including mobility and 4G. Executive summary. Mobile technologies, in conjunction with new form factors such as tablets, are rapidly improving businesses productivity. They allow businesses to explore more flexible ways for their employees to work, in addition to providing new ways to interact with customers. This paper examines how the rise of bring-your-own device (BYOD) policies, fourth-generation mobile services (4G) and mobile apps are reshaping mobility strategies and changing how Australian organisations operate. Our research shows that organisations are embracing these technologies and plan to significantly lift their technology investment over the next three to five years. For instance, organisations surveyed expect that key benefits of 4G services will include access to a range of new applications and the ability to stay in touch using video and collaborative tools while on the road. As organisations begin to invest more heavily in smartphones and tablets for their staff, many are also endorsing BYOD. This gives employees the flexibility of using their device of choice while allowing organisations to increase workforce mobility and reduce the upfront hardware investment at the same time. With greater flexibility comes greater attention to security, an area that organisations intend to invest more heavily in over the next three to five years. Organisations also expect to pay more attention to setting employee use policies and invest more deeply in mobile device management (MDM). This indicates the increasing importance management places on mobile technologies for productivity growth. Finally, organisations are increasing investment in customised mobile applications for their staff and enabling legacy systems to be accessed through mobile devices. These investments focus especially on support for salespeople and technical staff out in the field. This paper outlines the business considerations in each of these trends and suggests ways organisations can maximise the potential of their mobile workforce.

4 2 FUTURE OF BUSINESS: Mobility Insights Paper 4G mobility enables new ways of working. As more Australians adopt the next generation of smartphones and tablets, internet-connected mobile devices are becoming a more common way to access the web. IDC predicts that over 16 million smartphones and over 5 million tablets will be shipped in Australia in 2017, compared to about 4 million PCs during the same period. The Optus Future of Business research 1 offers a complementary projection: although investment in smartphones by organisations will remain high, it is expected to fall from 61 per cent of organisations investing in smartphones today to 50 per cent over the next three to five years. The focus of mobile device deployment is shifting towards tablets, with about 60 per cent of surveyed organisations expecting to invest in tablet devices during this period. These figures reflect the increased capabilities of tablets as the third screen of business after smartphones and laptops. They also indicate the potential for tablets to replace laptops as the primary work device in some circumstances. As speeds improve with the roll-out of 4G, tablets open up greater possibilities for new ways of working. Applications that demand greater bandwidth such as streaming video, organisational databases, and cloud services can become more accessible and reliable with 4G. You can check Optus 4G coverage at optus.com.au/4gcoverage. CURRENT INVESTMENT IN MOBILITY INTERNAL DEPLOYMENT OF SMARTPHONES INTERNAL DEPLOYMENT OF TABLETS MOBILE DEVICE MANAGEMENT AND SECURITY MOBILE APPS FOR CUSTOMERS MOBILE APPS FOR INTERNAL STAKEHOLDERS 4G Advantages at a glance CURRENTLY EXPECTED IN 3 5 YEARS 61% 50% 61% 60% 46% 57% 36% 59% 31% 57% > Enables richer and more frequent data streams and quicker transfer of larger files. > Improved responsiveness can facilitate real-time communications and faster, more reliable connections, all of which can lead to increased mobility and improved application performance. > Benefits of applications which may include telemedicine, virtual desktops and high-definition video conferencing. > Compared to relying solely on Wi-Fi access points while travelling, 4G can enable use of high-bandwidth applications in more places. 1 Future of Business Report 2013, Optus

5 FUTURE OF BUSINESS: Mobility Insights Paper 3 Access to rich applications appeals to organisations and their workers The appeal of 4G is its potential to make employees more mobile by reducing the barriers to working with large files and making video collaboration a more seamless and rich experience. It offers staff a more consistent, robust connection to business-critical apps and data. Our research shows that 67 per cent of the organisations surveyed offered mobile applications that support field services. A 4G connection, for example, can support richer applications with more substantive content and better network response times while out in the field. Similarly, 38 per cent of surveyed organisations provide mobile apps that enable staff members to demonstrate products or services to customers. A 4G network can help boost these applications by providing faster streaming of video case studies and access to deeper product or service information. Such a network can also better support desktop virtualisation, providing a more robust link between travelling staff and their in-office data and applications. Organisations benefit from improved mobile application performance The Optus Future of Business research also shows that surveyed organisations expect 4G to greatly enhance how field and sales staff do their jobs. Half the organisations surveyed expect improved application performance through lower latency and faster connections in three to five years, while 38 per cent expect it will enable them to access new applications. More broadly, 47 per cent of survey respondents expect that 4G will improve productivity. Over a third also anticipate that 4G will increase use of video streaming over mobile devices, e.g. for video conferencing, collaboration and presence applications. EXPECTED BENEFITS OF 4G IN 3 5 YEARS BUSINESS (%) IMPROVE APPLICATION PERFORMANCE through LOWER latency AND FASTER SPEED INCREASE PRODUCTIVITY ENGAGE CUSTOMERS via MOBILE APPS INCREASE MOBILE AS A CHANNEL TO SELL AND DELIVER PRODUCTS OR SERVICES ACCESS NEW APPLICATIONS INCREASE USE OF VIDEO ON MOBILE DEVICES Organisations recognise the potential of 4G to enable access to new applications and technologies to help employees be more productive. However, to realise these mobility benefits, there are two broader areas to consider: BYOD and applications.

6 4 FUTURE OF BUSINESS: Mobility Insights Paper BYOD brings security and trust into the fold. The rise of BYOD (Bring Your Own Device) is another feature of increasing workforce mobility. The growing need to give more employees access to business-critical systems and applications in a cost-effective way means BYOD will become a greater priority for organisations in the near future. The research finds that organisations are already opening their networks to personal devices. Seventy-two per cent of those surveyed allow their employees to access the enterprise network from their personal smartphones (compared to 56 per cent last year), while 52 per cent let employees use their own laptops for work. Fifty-nine per cent of organisations allowed similar access for staff-owned tablets (up from 43 per cent in 2012), a figure expected to rise to 65 per cent in three to five years. The results indicate that organisations are increasingly comfortable with BYOD and see it as becoming the norm for helping workers access business and IT resources. BRING YOUR OWN DEVICE IS HERE TO STAY ORGANISATIONS ALLOWING BYOD IN THE WORKPLACE. SMARTPHONES LAPTOPS TABLETS % 56% 52% 49% 59% 43% BYOD BENEFITS INCLUDE ENGAGEMENT AND PRODUCTIVITY Organisations stand to gain benefits from BYOD that include enhanced productivity (as more employees are mobile) and better engagement (as employees can work with devices they prefer). BYOD means less is spent upfront on technology, particularly if internal policies extend to the use of laptops and tablets as replacements for desktop computers. It can also help facilitate flexible working arrangements, allowing staff to use their own devices to work on the go with the help of virtual desktop applications. Mobility expands the reach of a company s network well outside the traditional four walls of its office. At the same time, BYOD introduces broader concerns relating to device management and security. Businesses currently considering how best to capitalise on BYOD should also consider the associated technical and governance issues. BYOD introduces the need for device management and security policies Increasing numbers of mobile devices in a business bring new concerns over management and security. Although BYOD may enhance productivity, each new connection between a mobile device and the organisation s network (or the internet) can increase the risk of unauthorised access to an organisation s IT systems and business information. Mobile Device Management (MDM) and security apps are increasingly important for coordinating mobile fleets and realising the benefits of mobility investments well into the future. The Optus Future of Business research suggests that the number of organisations intending to invest in MDM and security is set to rise to 57 per cent in the next three to five years to account for greater numbers of mobile devices in the workplace. Currently, 46 per cent of those surveyed are investing in this area.

7 FUTURE OF BUSINESS: Mobility Insights Paper 5 Case study: Mirvac s mobile device management Mirvac is an integrated real estate group based in Sydney. It owns and manages a $5.7 billion investment portfolio of 77 properties across Australia. In 2012, Optus helped Mirvac migrate from BlackBerry to the Apple iphone handsets, which included the challenge of managing its new fleet using Silverback s mobile device management and security software. Mirvac can now remotely manage each of its workers devices. Silverback encrypts data between the organisation s servers and the mobile devices and can wipe a device if it is reported lost or stolen. The MDM solution enables field employees to access Mirvac corporate systems and data from their mobile devices, which improves their productivity. Optus spent a fair bit of time trying to understand what we were trying to achieve from a business perspective, says Shane Martin, Chief Information Officer, Mirvac. Key considerations for implementing a BYOD strategy Before organisations can maximise the benefits of implementing BYOD, they will need to ensure their networks, IT systems and data are well protected. This will require careful consideration of issues relating to people, processes, policy and technology. For instance, BYOD raises compatibility considerations. Depending on the organisation s network structure and applications, it may be simpler to manage and monitor connections from a particular type of device. In this case, organisations may prefer to issue devices to staff. Given that employee devices may be used at home and in the office, BYOD can also expose corporate networks to malware or viruses downloaded through personal use. Recent research by network equipment maker Juniper Networks indicates that in March 2013, 92 per cent of unique mobile malware instances were for Android devices. Further, it shows that 77 per cent of threats to devices running an Android operating system could be eliminated with regular system updates. 2 To account for such risks, businesses need to carefully consider best practices for employees use of devices on and off the corporate network. Once established, these guidelines should be clearly articulated for employees in a mobile device usage policy. Any mobility policy should also outline how mobile devices will be bought, retrieved and/or decommissioned, and whether this is the responsibility of the employee or the IT department. By introducing clear processes and policies, organisations can increase workforce mobility by allowing staff to work outside the office using their device of choice while reducing exposure to security risks. 2 Juniper Networks Third Annual Mobile Threats Report: March 2012 through March 2013, Juniper Networks, pp.9, 13.

8 6 FUTURE OF BUSINESS: Mobility Insights Paper Apps become more important to organisations. Mobile applications are also increasingly important for organisations wanting to manage and make the most of their growing mobile fleets. Our research suggests that the number of organisations investing in apps for their employees and lines of businesses is set to nearly double from 31 per cent to 57 per cent in the next three to five years. Our research also suggests that future application development won t favour tablets over smartphones 65 per cent of surveyed organisations expect to deploy mobile applications for both tablets and smartphones in the next three to five years, up from 36 per cent today. The projected shift in investment suggests that businesses are turning to app development to make the most of larger and more powerful mobile fleets, and to enable new ways of working for staff. The Optus Future of Business research shows that 55 per cent of the organisations surveyed deployed apps internally to boost workforce productivity. In addition, half of the organisations surveyed deployed applications to help staff collect or maintain data, and 39 per cent did so to equip staff with location-based services or information functions that are often crucial for field services. Supporting sales staff is the next priority for organisations; currently, 38 per cent provide their mobile staff with demonstration apps. CURRENT PURPOSE OF APPLICATIONS PROVIDED FOR STAFF TO SUPPORT FIELD SERVICES TO BOOST workforce PRODUCTIVITY COLLECTING OR MAINTAINING DATA 67% 55% 50% TO DELIVER location-based services OR information to STAFF TO DEMONSTRATE PRODUCTS OR services TO CUSTOMERS TO ASSIST WITH sales TO CUSTOMERS TO RESOLVE CUSTOMER QUERIES OR PROBLEMS in REAL-TIME 39% 38% 35% 28%

9 FUTURE OF BUSINESS: Mobility Insights Paper 7 Five business considerations for developing mobile apps When developing an application, it is worth considering the broader value it brings to the organisation and how it integrates with BYOD policies. Organisations may consider a five-step approach to developing mobile apps: 1. Identify opportunities. Business processes such as customer self-service and job quoting or payment systems for field workers could benefit from mobilisation, but it s important not to mobilise for the sake of technology alone. 2. Assess business impact. All those involved in developing the app and who may benefit from its introduction should be brought on board. Assess the cost of developing and supporting the app; changes to internal processes and systems the app will create; and the costs arising from these cultural and structural shifts. 3. Prioritise apps. Many parts of the business may make competing calls for apps, so it s important to carefully assess how their business benefit aligns with the organisation s goals. Complex apps that take too long to integrate could miss the window of opportunity, so it may be better to start with an entry-level app to get it into the hands of users swiftly and then evolve it as time and budget permit and demand increases. 4. Determine how you will develop the apps. Consider engaging a third-party specialist to write the app for you if you don t already have these skills in-house. 5. Plan for the future. Mobile apps may bring cultural and structural changes to the organisation, and require increased IT support and monitoring. Apps evolve over time and in concert with internal IT systems, partners and customer demands. Measure return on investment and budget for regular updates to keep the app relevant and meeting its objectives. Conclusion. Mobility has the potential to significantly change how Australian organisations operate, enhance the productivity of their staff, and open new ways of working. Specifically, 4G helps organisations with more robust and reliable connectivity to make use of rich applications while working outside of the office. The high-speed mobile technology promises to make workers fully mobile by lessening the limitations of bandwidth, latency and congestion. Anticipating this trend, organisations are expanding their use of mobile devices, with an emphasis on tablets over smartphones in the next three to five years. Many organisations are also adopting BYOD policies to better engage with and empower their employees. The growing use of mobile devices, and especially BYOD for devices explicitly outside IT s control, has prompted many organisations to reconsider their approach to mobile device management and security. Many organisations are also reassessing their security policies, writing guidelines for use, and revising management policies to enable better mobility for their workers. As more organisations adopt mobile devices in greater numbers, the need to develop applications that realise productivity benefits becomes more acute. Current app development focuses on supporting field services and sales staff, with most businesses indicating that they have a broader aim of boosting overall worker productivity. Organisations seeking to capitalise on these trends may need to consider which device type will best suit their evolving needs over the next three to five years. They may also consider revising mobile usage best practices and device management strategies to cope with the complexities of growing mobile fleets. Additionally, many may benefit from developing customised applications to better enable employees to reap the productivity benefits offered by 4G.

10 How Optus Business can help. Optus Business can help you establish a winning mobility strategy for your business. We can help put the right tools into the hands of your people, and tailor mobility solutions to suit your needs. We can guide the way for the development and implementation of new business-critical mobile apps to meet business challenges. Our in-depth mobility insights can also help you develop BYOD best practices to let your business take advantage of the flexibility and productivity of mobility.

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12 Join the conversation Linkedin yesopt.us/li Blog yesopt.us/blog For more information, please visit: optus.com.au/business/mobility 2013 SingTel Optus Pty Limited. OBD0391_1013KD

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