Enterprise Mobile Messaging Transforming the Workplace Through Mobile Devices

Enterprise mobile messaging:transforming the workplacethrough mobile devices

Shannon Arvizu, Ph.D.

This report underwitten by: Cotap

a mobile report

Enterprise mobile messaging: transformingthe workplace through mobile devices06/30/2014

TABLE OF CONTENTS

1. EXECUTIVE SUMMARY

2. THE POTENTIAL OF ENTERPRISE MOBILE MESSAGING

3. BYOD AS THE GATEWAY TECH

4. MOBILE MESSAGING AND THE TRANSFORMATION OF WORKPLACEPRACTICES

5. EXISTING SOLUTIONS

6. OPTIMIZING FOR MOBILE FIRST

7. THE FUTURE OF ENTERPRISE MOBILE MESSAGING

8. ABOUT SHANNON ARVIZU

9. ABOUT GIGAOM RESEARCH

10. KEY TAKEAWAYS

11. COPYRIGHT

Enterprise mobile messaging: transforming the workplace through mobile devicesThis PDF prepared for: dhop__ ([email protected])

2

Enterprise mobility programs have focused on device security at the expense of truly“mobile first” productivity. Early app-development efforts have been limited to mobileports of existing line-of-business applications, and remote email remains the primarymobile use case for most enterprises. Until businesses understand and harness the contextin which consumers use mobile devices, they will continue to fall short of customerexpectations.

This report examines the potential for mobile messaging in the enterprise, considers theideal functions for a mobile-messaging platform, provides use cases that best display themost immediate potential, and offers advice for integrating messaging into yourenterprise in ways that will provide a measurable return on investment (ROI).

Key findings include:

▪ Supporting only mobile email as a primary bring-your-own-device (BYOD) use caseis shortsighted.

▪ Enterprise mobile messaging can be effective for eliminating redundancies, findingcreative ways of increasing productivity, and increasing team cohesiveness for bothoperational execution and overall culture.

▪ Consumer-focused mobile-messaging services are inadequate for business use.Enterprise-focused mobile-messaging providers are emerging.

▪ The ideal enterprise mobile messaging solution should address six key concerns:administration, security, storage, integration, user experience, responsive design, anduser privacy.


3

The potential of enterprise mobile messaging

The mobile-human relationship is pervasive. It is this device that we turn to first thing inthe morning and throughout the day for information that pertains to our daily lives.Smartphone users check their devices within 15 minutes of waking up, and 79 percenthave their phones with them for all but two hours of the day. Yet few companies havefigured out how to integrate mobile phones for organizational operations in anymeaningful way. Given what we know about how mobile technology layers informationinto our daily lives to inform our choices and behaviors, what is its potential in theworkplace?

To date, enterprise mobility programs have focused primarily on reducing risk throughdevice security rather than enabling new forms of interaction. Most efforts at encouragingproductivity and engagement have been limited to custom line-of-business applicationsthat replicate existing application functionality on mobile devices. While mobile devicesare the fastest growing segment in enterprise hardware, mobile-first thinking has yet toappear.

When companies do support BYOD use among employees, it is primarily for enablingthem to check email when away from the office. While important, email is not the mostdominant activity in smartphone use. Text messaging has been, and continues to be, themost popular way that people use their cell phones.

Short message service (SMS) continues to be the primary means of text messaging, butmore people are turning to over-the-top (OTT) messaging apps that operate via cell phoneinternet service. OTT messaging apps, such as WhatsApp, are a low-cost or freealternative to SMS. They often integrate social-network and multimedia-messaging-service (MMS) functionalities. They offer a richer experience to traditional SMSmessaging and are even beginning to undermine SMS revenue in some markets.

To some, enterprise mobile messaging promises a world in which executives engage incommunication with frontline employees to make rapid, informed, strategic choices aboutproducts and services; employees interact more frequently on an informal basis and thusenhance workplace culture; and teams increase their productivity through rapidcommunication with one another while responding to fewer emails. Others are somewhatless optimistic, citing the need for enterprise-grade security if companies are going to relyon mobile messaging as a dominant form of workplace communication. The truth liessomewhere between the two: Enterprise mobile-messaging apps do hold the potential toimprove workplace communications in a significant way, but a failure to addressworkplace-specific concerns could put an enterprise at risk.


4

http://www.pewinternet.org/2013/09/19/cell-phone-activities-2013/

http://www.pewinternet.org/2013/09/19/cell-phone-activities-2013/

http://www.telecoms.com/197721/ott-app-use-undermining-sms-revenue/

BYOD as the gateway tech

Many employees use their own smartphones for work purposes on a regular basis. In arecent survey reported on eWeek, 92 percent of respondents said they used their ownsmartphones for work at least once every week (and 62 percent used their own phones forwork every day).

But the fact that the majority of employees are using their personal smartphones for workdoes not mean they are widely supported by employers. Employer BYOD policies ensurethat such devices are properly supported with an acceptable level of security, but a 2013Citrix study reported that only 44 percent of firms have a formal BYOD policy in place.

There are obvious advantages to implementing a formal BYOD policy, including lowerIT costs and reduced security risk. Beyond these potential benefits, BYOD use may bethe gateway to increased productivity and associated operational benefits.

Expanding BYOD policies to include enterprise mobile messaging

Just how much productivity can be typically gained with a BYOD policy? A 2013 Ciscostudy estimates that annual benefits from having a BYOD policy range from $300 to$1,300 per employee, depending on the employee’s job role and whether the level ofBYOD support is “basic” or “comprehensive.” Under both of these scenarios, however,the primary assumption is that employees will be using mobile phones in more or less thesame ways that they do today. In its 2014 IT Buyers Survey, Gigaom Research found thatwhile 81.7 percent of surveyed companies support mobile email, far less likely to besupported were conferencing (47.6 percent), productivity (42.6 percent), and file sharing(39.2 percent), while other applications were extremely rare. Checking email continues tobe the primary way that employees are expected to use their phones for work.

Mobile access to email is a helpful step forward, but it fails to use mobile devices in theirnative, most productive context. Mobile devices aren’t going to be nearly as productive atemail management as a device with a large screen and a keyboard. Moreover, employeesare already burdened with the task of reading and responding to an abundance of emails.McKinsey reports that the average employee spends two hours and 18 minutes daily onemail. A quick search on Harvard Business Review finds more than 500 articles on howto cope with email overload. Mobileemail may not be the most appropriate use ofmanagement and employee time, especially when it cuts into downtime and upsets work/life balance.

Supporting mobile email as a primary BYOD policy is a shortsighted approach. Usingconsumer mobile usage as a proxy, we see that mobile devices are ideally suited for


5

http://www.eweek.com/mobile/byod-taking-over-business-but-security-issues-persist/

http://www.citrix.com/content/dam/citrix/en_us/documents/news/citrix-mobility-in-business-report.pdf

http://www.citrix.com/content/dam/citrix/en_us/documents/news/citrix-mobility-in-business-report.pdf

http://www.cisco.com/web/about/ac79/docs/re/byod/byod-economics_econ_analysis.pdf

http://www.cisco.com/web/about/ac79/docs/re/byod/byod-economics_econ_analysis.pdf

http://www.mckinsey.com/insights/high_tech_telecoms_internet/the_social_economy

http://hbr.org/search/email/0

short-form communications on the go. Moreover, with mobile messaging, the need towrite and respond to short-form emails may be eliminated all together.


6

Mobile messaging and the transformation of workplace practices

Enterprise mobile messaging has the potential to eliminate redundancies, increaseproductivity and collaboration in creative ways, and increase team cohesiveness for bothoperational execution and overall culture.

Eliminate redundancies

In workplace situations where employees carry company phones or walkie-talkies, asecure enterprise mobile app eliminates the need for carrying multiple devices. In aconversation with Hyatt Regency Jersey City Rooms Manager Anderson Foote, welearned that it is not uncommon for managers in the hospitality industry to walk aroundpremises with a two-way radio, a company phone, and a personal phone.

Having a BYOD phone with an enterprise-level messaging platform simplifies devicemanagement. That said, if companies switch out redundant means of communication(such as two-way radios), it is imperative that a mobile-messaging platform be at least assecure and reliable as the technologies it is replacing.

Increase productivity through speedy and secure messaging

It’s well known that responding to a text takes far less time than responding to an email.In fact, it takes 90 seconds for the average person to respond to a text, compared to 90minutes for the average person to respond to an email. We can imagine that many formsof workplace communication that need short, timely responses will best be served in theform of text versus email. This can save company time in both crafting and replying toemails.

For team members to feel safe and confident in sending short messages to each other,however, an enterprise-level messaging platform needs to have enterprise-level security.This is the primary reason that many companies have hesitated to promote mobilemessaging for workplace communications. Robb Henshaw, head of communications forthe San Francisco-based company inPowered, mentions that their organization workswith large clients and needs to securely communicate status updates about new customeracquisition and keep any information shared about product development under a tightwrap. They also need to know that the messaging platform they use treats their data “withrespect.” With a secure mobile-messaging platform, the company can send rapid updatesto make quick decisions on important client matters.


7

http://www.ctia.org/your-wireless-life/how-wireless-works/wireless-quick-facts

Increase productivity by unbundling work

There may be several untapped opportunities for mobile messaging — particularly foremployees who need to attend to duties away from the desk.

Employees at the Hyatt Regency in New Jersey, for example, regularly examine thepremises to find things that need to be fixed or replaced. Historically, employeesdocumented such items via text in an Excel spreadsheet on a laptop. With enterprisemobile messaging, team members can simply pull up an app on their phones and sendrequests for repairs or replacements, without a custom-developed app.

“We’ve seen huge gains in our response time. If we had 50 items to fix, that wouldnormally take us two days. Now we can do it in 12 hours because the information is soimmediate,” says Foote.

The ability to archive messages, images, and videos via mobile messaging is key. Giventhis capability, one can imagine similar cases for tracking repairs in the property-management industry or for equipment malfunctions in the manufacturing industry.

Increase collaboration with group alerts

McKinsey reports that social technologies — those that enable groups to communicateand collaborate — could raise the productivity of employees by 20 to 25 percent.

An enterprise mobile-messaging app gives the ability to reach employees wherever theyare — at the office, a conference, or a job site. Mobile messaging can be invaluable forcompany-wide and group alerts like celebrating a recent milestone (e.g. a “virtual gong”)or alerting employees of an emergency. Having a secure and reliable platform to send outmobile alerts is critical for companies to effectively manage emergency situations.

Putting a message where people will see it immediately, wherever they happen to be,enables just-in-time collaboration that no other medium provides.

Increase collaboration with frontline workers

Mobile messaging can be a boon to industries that depend on rapid response fromcustomers on new products and services.

Take, for example, a mobile survey question that asks frontline workers to provide real-time information on public responses to a recently deployed product. Such types of


8

http://www.mckinsey.com/insights/high_tech_telecoms_internet/the_social_economy

communication enable companies to be more nimble in their search for product-marketfit.

To date, software providers have developed products largely for knowledge workers orfrontline field workers, but not both. Mobile messaging can help bridge the gap betweenthose who sit at their desk and those who are on their feet with clients and customers.

Mobile messaging could also lead to more face time with actual customers. Whenmanagers are able to communicate more efficiently among themselves and with frontlineworkers, they free up time to spend in front of customers.

Enhance company culture

Company culture is about more than just social gatherings. Creating a culture whereemployees feel comfortable being open and transparent about their work creates greateropportunities for success within an organization.

“Without a formal channel for communication, team members hesitated to reach outbecause they thought it would be a burden,” explains Dave Lanning, founder and CEO ofDave’s Coffee in Rhode Island. “[Enterprise mobile messaging] has given us acompetitive advantage because our team is completely aligned. People on our teamcommunicate much more than they ever did before, which makes our business movefaster.”

Mobile messaging can convey the feeling of being “an arm’s length away” fromemployees at any given time. Not only do messages get out quicker to the team, but italso creates a sense of closeness among recipients that is absent from email.

Real-time updates to the executive team

Executives and managers are always eager to hear regular updates from employees andthose on the frontline. Too often, however, organizational leaders do not learn about thehappenings of the company until scheduled meetings.

Mobile messaging of real-time updates, milestones, and successes can put employees infront of their leadership team more often. This does not need to come in the form of along email. Instead, companies can create a “leadership team” messaging group to shareinsights as they happen.


9

Implementation challenges

For mobile messaging to work at the enterprise level, a given platform needs to provideacceptable levels of archivability, security, and storage — at an affordable price. Evenwith those elements present, much of mobile messaging’s success in the workplacedepends on the extent to which employees take advantage of its many functions. Mobilemessaging, like any new technology, requires a thoughtful approach to deployment thatidentifies use cases and begins with groups who have the most to gain.

Lastly, work email is not going away. But there is a difference in the medium. Manypeople use the email inbox as a to-do list. They prioritize some communications andarchive others. With mobile messaging, the communication is an alert. It’s in the moment.Businesses need to make important decisions in the moment and it’s paramount to haveaccess to the right information and people to make those timely decisions. Theseefficiencies are extremely valuable for companies looking to produce value and scalequickly.


10

Existing solutions

What secure and affordable solutions exist to meet enterprise needs?

Most OTT mobile-messaging services are designed with consumers in mind. WhatsApp,GroupMe, and WeChat, for example, work well for convenient, informal communicationsamong friends and families. They offer more sophisticated features than SMS messagingservices and are usually free. It is estimated that in 2013 55 percent of smartphoneowners worldwide were active users of OTT messaging services. The services have muchhigher levels of user engagement than SMS. WhatsApp achieved a record 10 billionoutgoing messages on a single day in June 2013, which equated to an average of morethan 30 messages per user per day.

These services are less useful for businesses, however, which need enterprise-gradesecurity, support, and administrative functionality. WhatsApp conversations on Wi-Finetworks, for example, are susceptible to security breaches.

To date, there are few up-and-coming OTT mobile-messaging platforms designed forbusiness use. HeyWire Business Messenger, Cotap, and Voxer are among the earlyentrants.

HeyWire began as a consumer platform and added business features t0 launch HeywireBusiness Manager in 2013. According to its site, the service adds text, picture, and voicemessaging to existing landline phone numbers. So while the company owns and operatestheir own OTT IP infrastructure, it also connects business landline numbers to IPnetworks.

Cotap also launched in 2013. The company was founded by Yammer’s ex-chief productofficer, Jim Patterson, and ex-senior director of engineering, Zack Parker. Cotap is anOTT enterprise mobile-messaging app designed specifically for instant communicationand coordination across departments and geographies. Users sign up for the service witha work email address for free and are added to a shared directory based on their emaildomain. This means employees never have to swap personal phone numbers. Theplatform also has a premium service that allows administrators to manage users and datashared on Cotap, along with a dashboard to customize and distribute mobile alerts.

Voxer is a consumer walkie-talkie and text-messaging application that launched abusiness version in 2013 based on the strength of its push-to-talk service. In an attempt toreplace Sprint’s Nextel iDEN Network, the app lets employees listen to a voice message


11

http://www.apple.com

http://www.apple.com

http://heywire.com/businessmessenger/

as it comes in or later as a recording. It also enables employees to send audio, texts, andphotos to individuals or groups.


12

Optimizing for mobile first

What would an ideal mobile-messaging platform for the workplace look like? Designingfor enterprise mobile messaging is not easy. Ideally, businesses need a mobile platformwith the following functions:

▪ Administration: Employers need a way to manage and monitor message activities,access usage analytics, export data, integrate directories, and wipe data remotely inthe case of device theft or tampering.

▪ Security: Employers need data privacy, data protection, and multifactorauthentication. Ideally, the application is third-party tested with routine internal andexternal vulnerability scans.

▪ Storage: Employers need a mobile platform with reliable infrastructure and secureservers for data storage and transfer. This entails having multiple secure data centers,each with redundant internet connections.

▪ Integration:Employers need a messaging platform that integrates cloud-basedidentity and access management. Ideally, the platform also enables employees toshare links to important cloud-based content and CRM data.

▪ User experience: Users need a mobile interface that is light and intuitive, limiting theamount of training required and the number of help-desk tickets caused by userconfusion.

▪ Responsive design:Mobile messaging is obviously designed for smartphone use, butmany managers may want to access the app via a tablet or desktop. Responsivedesign that enables the platform to be accessed across devices is key.

▪ Attuned to user privacy: There is no denying that social resistance to sharingpersonal phone information with fellow employees exists. Employees will also wantto be able to differentiate between work messages and personal messages. The abilityto sign in to the platform with a workplace email will generate greater buy-in amongemployees.


13

The future of enterprise mobile messaging

Enterprise mobile messaging is about improving the way people work. Mobilemessaging, combined with security features and a user interface that is designed forwork, has the potential to create far more nimble, connected teams.

When asked about the ROI of using enterprise mobile messaging, Henshaw replies, “It isself-evident to us that we are saving time. If we calculate how much time we used tospend in those roundabout email chains, we would see huge gains. Any time people arespending on email is time that they are not driving traffic to our site or generating leads.”

For CIOs, CTOs, IT professionals, and line-of-business managers looking to integratemobile messaging, it is key to assess the architecture of the product. This is not just abouthaving the equivalent of a WhatsApp for business. Businesses have specific needs for anenterprise-grade app, which include an administrative layer, tight security, and a reliableinfrastructure. Be sure to evaluate options against these important criteria.

It is also important to examine the costs and time associated with embarking on aninternal effort to build a custom solution versus working with a vendor. Building andmaintaining a highly functional mobile-messaging app that evolves as the technologylandscape changes will be a significant, long-term company investment.

In the evolution of the mobile-human relationship, we may finally begin to see mobilephones play a significant role in the workplace with apps that are built specifically forthat environment. Companies who recognize this potential will have an advantage overthose who fail to see how easy and convenient it is to improve the way we interact in theworkplace.


14

About Shannon Arvizu

Dr. Shannon Arvizu is a sociologist of technology, with a specialization in technologiesthat improve organizational performance and lead to sector-wide change. She hasauthored reports on technological disruptions to the university system, the business ofmobile democracy, and improvements to electric vehicle infrastructure. She has a Ph.D.in sociology from Columbia University, an M.A. in anthropology from the AmericanUniversity in Cairo, and a B.A. in history from U.C. Berkeley.


15

About Gigaom Research

Gigaom Research gives you insider access to expert industry insights on emergingmarkets. Focused on delivering highly relevant and timely research to the people whoneed it most, our analysis, reports, and original research come from the most respectedvoices in the industry. Whether you’re beginning to learn about a new market or are anindustry insider, Gigaom Research addresses the need for relevant, illuminating insightsinto the industry’s most dynamic markets.

Visit us at: research.gigaom.com.


16

http://research.gigaom.com

Key takeaways

▪ Supporting mobile email as the primary BYOD use case is shortsighted.

▪ Enterprise mobile messaging can be effective for eliminating redundancies, findingcreative ways of increasing productivity, and increasing team cohesiveness for bothoperational execution and overall culture.

▪ Consumer-focused mobile-messaging services are inadequate for business use.Enterprise-focused mobile-messaging providers are emerging.

▪ The ideal enterprise mobile-messaging solution should address six key concerns:administration, security, storage, integration, user experience, responsive design, anduser privacy.

© Giga Omni Media 2014. "Enterprise mobile messaging: transforming the workplacethrough mobile devices" is a trademark of Giga Omni Media. For permission toreproduce this report, please contact [email protected].


17

mailto:[email protected]

Documents

Enterprise Mobile Messaging Transforming the Workplace Through Mobile Devices