Rapid increase in mobile ERP investments, global IDC study says
MELBOURNE, NOVEMBER 14, 2012 – A global IDC study sponsored by IFS, the global enterprise applications company, reveals that a majority of companies will increase their investments in mobile solutions. Despite the increasing pace of investment in the field of mobility, more than a third of the companies have no strategy for mobile solutions.
The survey, based on IT decision makers in nine countries including Australia, explores how companies are embracing mobile solutions in terms of strategy as well as current and future investments.
One out of every 8 dollars in the Australian IT budget (one in 10 globally) is dedicated to mobile ERP solutions, confirming the rapidly increasing importance of mobility in the workplace. 68 percent of the surveyed Australian companies (59 percent globally) state that this share will increase more than the rest of the IT budget. Paradoxically, 36 percent of Australian companies (46 percent globally) still do not have a plan for mobile solutions. This is further complicated by the fact that 14 percent of companies (in Australia and globally) have no plan but are earmarking funds for mobility investments.
According to the survey, the top-three areas of investment globally in the coming three years are roll-out of smartphones (35 percent), roll-out of tablets (30 percent), and implementation of enterprise apps for smartphones and tablets (15 percent).
In Australia, however, the top-three areas of investment are roll-out of tablets (38 percent), mobile device management (17 percent), and with roll-out of smartphones and implementation of enterprise apps for smartphones and tablets tied in third place (15 percent).
“The lack of strategies for mobile solutions is surprisingly high,” said Rob Stummer, Managing Director at IFS Australia and New Zealand. “Mobility must not be seen as merely an IT project, but also as a strategic business development and transformation investment. Mobility is a force for competitive differentiation. To avoid costly mistakes, we recommend that companies examine and formulate their business needs in terms of key processes, systems integration, security, and device management. In this way, companies can arrive at a mobility roadmap which can be discussed with their IT vendors.”
“It is clear that future focus will be aimed at integrating mobility to create value, especially in customer relations management, business development, and improving employee efficiency,” IDC Program Director Jason Andersson said. “Companies are clearly preparing for a growing mobile workforce and the changes it brings. However, there is a strong need to increase understanding of how to secure mobile devices and tablets.”
About the study
The survey was performed in nine countries (Sweden, Denmark, Norway, Poland, Germany, United Kingdom, Australia, United States, and France) with a total of 455 phone interviews and web survey responses (50 in Australia) in a number of industry verticals. The survey targeted CIOs or IT Managers who were decision-makers regarding mobile solutions, budgets and strategies. The respondents indicated what current mobile capabilities they provide to their workforce, but also specific drivers for investing in mobility solutions. Over half of the responding companies (52% globally, 46% in Australia) belong to one of five industry verticals: Industrial manufacturing, Process manufacturing, Retail, Construction & Contracting and Service Provider.
International Data Corporation (IDC) is the premier global provider of market intelligence, advisory services, and events for the information technology, telecommunications and consumer technology markets. IDC helps IT professionals, business executives, and the investment community make fact-based decisions on technology purchases and business strategy. More than 1000 IDC analysts provide global, regional, and local expertise on technology and industry opportunities and trends in over 110 countries worldwide. For more than 47 years, IDC has provided strategic insights to help our clients achieve their key business objectives. IDC is a subsidiary of IDG, the world's leading technology media, research, and events company.
IFS is a public company (OMX STO: IFS) founded in 1983 that develops, supplies, and implements IFS Applications™, a component-based extended ERP suite built on SOA technology. IFS focuses on industries where any of four core processes are strategic: Service & asset management, manufacturing, supply chain and projects. The company has 2,000 customers and is present in approximately 60 countries with 2,800 employees in total. Net revenue in 2011 was SKr 2.6 billion.