The National Association of Software and Services Companies (NASSCOM), in association with Deloitte, today released a report titled ‘Enterprise Mobility: Building Tomorrow’s Enterprise’. The report highlights that the global enterprise mobility (EM) market opportunity is expected to be $140 billion by the year 2020, growing at a CAGR of 15%, thus opening a new paradigm of opportunities for the Indian IT industry. The existing spend by enterprises on mobility is also expected to grow to 10-12% of the total IT spend by 2020, compared to less than 5% at present.
The key factor that is driving the increasing adoption of enterprise mobility across organizations is consumerization of IT, led by the abundance of smart devices at affordable prices, making real time access to enterprise systems possible for employees and customers irrespective of their location. Employees are more and more willing to use their own personal devices in their work life giving rise to the phenomenon of BYOD (Bring Your Own Device). Enterprises are also on a look out for the real time connectivity, improved field force efficiency and enhanced customer satisfaction. Thus, organizations are aligning the user mobility expectations, IT capabilities and needs of the business by adopting EM solutions. A substantial increase in the creation of new opportunities, especially in consulting, application development, testing and security services is expected across ITsolutions within enterprise mobility. Going forward, it will be imperative to make enterprise IT available to wider user base than ever before.
The report further highlights that while North America is expected to remain the largest market, APAC would be the fastest growing market by geography growing at a CAGR of 21%. The opportunity for service providers in the North American market lies in the development of enterprise application stores as well as BYOD and related solutions. The EU market will continue its demand for development of apps for smart phones/tablets while APAC will offer opportunities in developing vertical specific apps and & integration of consumer and business apps.
Elaborating on the report, Som Mittal, President, NASSCOM, said, “Organisations in India are quickly tapping the enterprise mobility opportunity, transforming business process strategies from an enterprise focus to a consumer focus. In the current ecosystem, smaller players are key contributors to this opportunity area; their entrepreneurial spirit and innovative thinking has fuelled the entire app economy not only for consumers but also for the enterprise. This report is an effort to showcase potential of enterprise mobility to organizations, mobility players and prospective employees and will help pave the way for concerted effort to increase the usage.”
Rajat Banerji, Senior Director, Deloitte, said, “The report on ‘Enterprise Mobility’ by NASSCOM & Deloitte will be of interest not only to players associated with enterprise mobility but the entire industry. It puts in place the perspectives, opportunities and imperatives for IT players- start-ups, small, medium or large, enterprises from across the industries, customers, employees, government, & facilitating agencies, along with the success stories to learn from.” Enterprise mobility is the next big thing in the IT industry after cloud computing and more enterprises are adopting the mobility solutions to compete and provide best possible services to their customers.”
The report also presents an analysis of the capabilities that the Indian firms (small-niche, medium & large) will need to develop in order to leverage the enterprise mobility opportunity and maximize its benefits. The industry would move away from the traditional fixed price or subscription-based models towards commercial models based on revenue share, number of transactions undertaken, hybrid usage and output linked and pay-per-use models. The report also includes numerous global and Indian case studies where enterprise mobility has enabled organizations to emerge as leaders in the industry, reap profits and stay ahead of their competition.
The findings of the report reveal that the adoption of enterprise mobility services has been significantly skewed across industries having high number of customer transactions, such as the banking and insurance and retail. However, in the near future, government, healthcare and media are expected to show significant growth in mobility adoption. In India, BFSI and Technology Media & Telecom (TMT) are the early adopters of enterprise mobility. Large integrated players are capitalizing newer opportunities in the mobility domain especially in areas like mobility strategy and consulting, packaged application customization on mobile platforms, testing and security services.
