Mobiledevicesand theITdepartment ITDResearch#13 4November2011

ITD#13MobiledevicesandtheITdepartment ITDecisions4November2011Allrightsreserved 1

Introduction
Mobiledevicesaretakingovermanyorganizationswith anincreaseinemployeescarryingsmartphonesintothe workplaceanddemandingtherighttousetheirown device. WhilstthemobilerevolutionmeanstheCIOcanworry lessaboutnetworkinfrastructureattheofficesuchas structuredcablingitintroducesaseriesofnewissues, suchaswirelesssecurity.Acompletelockdownofthe networkisunpopularwithworkerswhowanttobeable toworkonemail,documents,andcompanyinformation usingthesamedeviceathomeasintheoffice. ButwithhackerseventargetingtheAndroidandApple operatingsystems,whatcouldbethepriceofflexible accesstoyourcompanysystemsusingmobiledevices? Aninformationleakbecauseofsecurityweaknesses createdbymobiledevicesisjustonepossibleoutcome fromtheproliferationofsmartdevices.Therecanalsobe theopportunitytocreateamoreflexibleworking environmentforyourteamcanyourememberatime beforetheBlackberry,whenemailcould onlybeansweredintheoffice? Mobiledevicescanalsocreatenew innovationsforyourendcustomerstoo inmanydifferentindustries. Customersareinteractingwith informationinnewwaysandmanyof themwantamobileoffering,soitisonly naturalthatthiswouldtranslateintothe useofmoresmartdeviceswithinthe organization. Thereisachangeincustomer expectationsandintheexpectationsof yourownworkerseveryonewantsto abilitytousemobiledevicestoaccess information.ButasanITleader,howdo yousupportallofthischange?Itsalong wayfromthestandardizedsystemsof oldnowpeoplearebringingtheirown devicesintotheofficeandexpecting yourITteamtosupportthem. InthisITDecisionsreport,weexplore whatourITleadersthinkaboutthe explosionofuseinmobiledevicesat work.Whatopportunitiesarecreated forthecreationofnewservicesand whatcomplexitiesarecreatedwiththe needtomanagethis?

whatcouldbe thepriceofaccess tocompany systemsthrough mobiledevices?

2 ITD#13MobiledevicesandtheITdepartment ITDecisions4November2011Allrightsreserved

Participantfeedback
ToexploretheissueofpreparingtheITdepartmentforachangeinbusinessstrategyweaskedfour questionsthreeofwhichweremultiplechoiceandonedesignedtopromoteanopendiscussion. Wereceivedanswersfrom22executivesfrom11industrysectors:Shipbuilding,consumergoods, insurance,media,foodproduction,chemicals,logistics,financialservices,consumerservices, manufacturing,andtransportation. Question1:Hasyourorganizationfacedanactualorthethreatofaninformationleakbecause ofwirelessnetworksanddevices?

Notyet,butisathreat

36.4%

No

50%

Yes,butwecloseditquickly

4.5%

Yes

9.1%

10

12

OurITleadersareoverwhelminglyincontroloftheirownsecurityrisksregardingmobiledevicesin theworkplace. Despitetheriskofsecuritybreachesbeingoneofthemainconcernsaroundtheproliferationof mobilecomputingdevices,afull50%ofourrespondentssaidthattheyhavenotfacedanyformof informationleakbecauseofmobiledevices.Thiswasfurtherstrengthenedbyanadditional36.4% whoansweredthattheyhavenotfacedanyinformationleak,buttheyperceiveitasanongoing threat. Onlyoneintenofourrespondentshadfacedarealsituationwheredatawasstolenorleaked becauseofmobiledevices. ITD#13MobiledevicesandtheITdepartment ITDecisions4November2011Allrightsreserved

Question2:Howhaveyoudealtwiththeincreaseofsmartphonesintheworkplace?

Otherstrategy Blendedstrategyofcompanyanduser devices Blockedaccess

0%

36.4%

13.6%

Usereducation

9.1%

Bettergovernance 0 1 2 3 4 5 6

40.9%

Itsadifficultquestion.Userswantflexibility.Theywanttheabilitytoworkonemailandother toolsfromtheofficeandfromhomeorduringthejourneybetweenworkandhome.Butifthe usersarenotalwaysusingcompanyissuedequipmentthenhowmuchcontrolshouldbeapplied? Aninterestingobservationfromourresearchhereisthatveryfewrespondentssuggested blockingaccesstouserswithnoncompanydevicesonly13.6%suggestedthisisthecorrect strategy. Theactualsupportforbestpracticeinmanagingmobiledeviceswassplitfairlyevenlybetween improvingthegovernancearounddeviceaccess(40.9%)anddesigningastrategythatexplicitly allowsuserstousebothcompanyandpersonaldevicesforwork(36.4%). Thisoverwhelmingsupportfordesigningastrategyaroundusersshowsastrongsenseof pragmatismusersdontleavetheirmobiledevicesattheofficeentrance.Youcantrytoblock them,butitsmoresensibletodesigngovernancethatallowsuserstoaccessofficesystems withinsomeformofstructuredgovernancethatallowsflexibilitywithsecurity.

4 ITD#13MobiledevicesandtheITdepartment ITDecisions4November2011Allrightsreserved

Question3:Wouldyouconsiderpayingafeetouserstousetheirowndevicesatworkin exchangeforthemagreeingtonotuseyourinternalITsupportservice?

No,itintroducesrisks

38.1%

No

38.1%

Maybe,ifIcanseeithasworkedelsewhere

14.3%

Yes

9.5%

Thiswasaveryunpopularsuggestion.Itisastrategythatsomecompaniessuchattheenergy giantBPhaveadopted.Withalltheirinternalsoftwareavailableviabrowsers,theactualdevice usedtoaccesscompanysoftwareisnolongerimportant,andtheygiveanannualfeetousersto notbotherthelocalITsupportteam. Butthistakesahugeamountofplanninganditisnotalwayspossibletolocateeverypieceof corporatesoftwareinthecloud.Andifausercannotfixtheirownlaptopthenshouldtheir managersimplyallowthemtokeeponstruggling,orcallonITsupporteventhoughitwasagreed thattheywouldbeleftalone? OurownITleaderscouldseemoreproblemsthanadvantageswiththisapproachwithafull38.1% sayingtheywouldnotbeinterestedinthiskindofidea,andthesamepercentagesayingthatit introducesnewrisksintotheorganization. Perhapsthisisanideathathasyettomature.

5 ITD#13MobiledevicesandtheITdepartment ITDecisions4November2011Allrightsreserved

Question4:OncepeoplehadtobeinfrontofaPCtoaccesstheInternet,nowtheycandoit fromanywhereusingamobiledevice.Thisintroducesnewopportunitiesforbusinessesinall sectorsnewservicescanbedevisedaroundlocationawaremobiledevices,butitcreatesnew securitychallengestoo. Whatarethemobileinnovationsyouareexploringinyourbusinessandwheredoyouadvise cautionshouldbeapplied? ThemostrelevantresponsesfromourCIOrespondentsarelistedhere. Insurance:Ourmainchallengeis"havingtokeepeverythingopen" Mobilityissomethingdesiredforalongtimeandnowisabigreality.Likeany"new"technology, thesafetyfactormustbewellplanned,andfrankly,today,veryfewinstitutionsarepreparedto understandandclosesecuritygapsthatcurrentlyexist.Mycompanyoperatesexactlyinthisfield, andwehavedevelopedproductsthathelpalotinthissense,andcostshavedecreasedalot,but themainblockeristhecultureofhavingto"keepeverythingopen." Media:Everynewtechnologycreatesrisks Everynewproductlinkedtomobilitywhichenablesaccesstotheenterpriseenvironmentcreates securitydemands,evenifit'sonlytoreviewpoliciesandmethods.Thereisnowaytoprevent accesstothesedevices,sincethedynamicsthatbusinessesdemandrequiresaccesstocorporate informationoutsideoftheorganizationsasanessentialelementofmarketcompetition. Consumergoods:Thisisaonewayjourney Theeraofconsumerizationarrived,itisalreadywithinmediumandlargecompanies,isaoneway journey.ThemajorchallengeinITistomitigatetheimpactsofthisrevolution. Foodproduction:Carryoutpilotsbeforehand Theadoptionofconsumerizationinbusinessisinevitable.Thus,wehavebeendiscerninginthat regardandhavelimitedusetoalimitedaudience,withtheimplementationofpoliciesthatmake clearthatonlyafewapplicationsavailable. Chemicals:Wecan'tswimagainstthetide Mobiledevicesintheenterprisearearealityandwecannotswimagainstthetide.Inadditionto distributingmanysmartphones,weextendedourbasewiththepolicyof"bringyourowndevice." Thatis,wewilldevicesthatbelongtoourownemployeestoreceivecorporateemailoraccessa segregatedwifinetwork. 6 ITD#13MobiledevicesandtheITdepartment ITDecisions4November2011Allrightsreserved

Wewillmanagetheriskswithrulesandtechnology,butbeingconnectedisessential.We'relate inthedevelopmentofapplicationstoleveragethisimportanttechnology.Thatwillcomeinthe nextfewyears. Logistics:Createasupportpolicyforpersonaldevices Wehaveapolicythatisalreadyinplacewhichallowstheuseofpersonaldevices(smartphones andtablets),solongastheyarenotsupportedbytheinternalservicedesk. Inpractice,thisdoesnotworkverywell,becausewestillgetcallsandnotansweringthem generatesdissatisfactionfromthosewhoputthecallsin. Theconsumerizationassociatedwithsocialnetworksisstillabigchallengeforcompanies,butI thinkthefundamentalproblemisonerelatedtoeducationandtrust,whichultimatelygenerates ahighmanagementcost. Financialservices:Themixedmodelisthereality TheCIOhastofaceuptoanewreality:providing,withappropriatecontrolsandsecurity, applicationsandcompanyinformationonmultipledevicessomebelongingtothecompany, otherstotheuser. CustomerService:Applicationofmobilityrequiresmaturity Indeed,mobilityisafactorthatcannotbedismissedasatoolthatgivescompetitiveedgein business.Accesstoinformationatanytimeallowsmoreagiledecisions.Butmobilitytechnologyis stillfairlyimmaturefromthestandpointofinformationsecurity. Companiesneedtolookmorecloselyatthisissue,otherwisewewilllivetheproblemsthatwere experiencedearlierduringtheboomofInternetaccess. Financialservices:Donotbanaccess Whathasnosolution,isalreadysolved.InvestineducatingconsumersofIT(formerlyknownas users),setpoliciesthatareconsistentwiththerealityofyourcompanyanddonotprohibitaccess (thereisnowaytoprohibitaccesseveninprisonsthatisnotpossible).

7 ITD#13MobiledevicesandtheITdepartment ITDecisions4November2011Allrightsreserved

ManufacturingSettheimportanceandbenefitofusingmobiledevices Indeed,thisisasituationthatishereandhastobedealtwith.Theeasiestwaywouldbeto prohibittheuse,butifwearetocreatevalueforourorganizations,theattitudeshouldbe: minimizetherisksandenablebenefits.Therefore,weneedtoanswerthefollowingquestion:how significantis[theuseofmobiledevices]andwheredoesthebenefitcomefrom? OtherCIOsalsosaid... Shipbuilding: Theadventofmobiledevicesisarealitythatcompaniesmustconsiderandtakeadvantageofthe opportunitiesthatcangenerate. ConsumerGoods: Eventhemobiledevicemanufacturersareconcernedaboutthesecurityissuesofthistypeof equipment.CertainfeaturesofIOS5alreadydemonstratethat.

8 ITD#13MobiledevicesandtheITdepartment ITDecisions4November2011Allrightsreserved

ConclusionandExecutiveSummary
Theworldhaschanged.Notonlyisworkandhometimeblending,butmobiledeviceshave allowedexecutivestomanagetheirworkonthemovebuttheuseofmobiledeviceswith Internetaccesshasnowmovedfarbeyondtheboardroomalone. Thereisnowawaveofuserowneddevicesenteringtheworkplaceandthoseusersexpecttobe abletoworkontheirowndeviceaswellasanytoolssuppliedbythecompany.Inmanycases,the personaldevicesaremorepowerfulanduserfriendlythanthecorporatetools. ButourITleaderresponsesdemonstratesomeimportantinitialfindingsthisweek: Thereisnotmuchevidenceofuserdevicescausingsecuritythreatsyet,butmanyofourIT leadersareawareofthepossibilityandtakingmeasurestoensuresecurityisimproved. Thereisastrongsenseofpragmatism.Thiscannotbeprevented.Everyonenowcarriesa phone,mosthaveInternetaccess,andmanyarecarryingtabletdeviceswecantreturnto anagewhereouruserscarriedanoldLCDscreenNokiaphonethatwasjustaphone.The bestwaytoapproachtheproblemistodefinegovernanceandbehaviors,sothe workplacecanbeflexible,butalsosecure. ThereisverylittlesupportfromourITleadersforapushtomovingtheworkplacetoan almost100%relianceonuserowneddevices.Somecompanieshavetriedthis,and reducedtheirsupportrequirements,butitisadifficultidealtoachieveandourITleaders dontseeitasatargetworthaimingforjustnow. OurITleadersreflectedthesekeyviewsintheiradditionalcommentsonthesubject;withthekey themebeingthatenterpriseITmanagerscannotswimagainstthetideofconsumers.Thepeople formerlyconsideredusersarenowextensiveITconsumersintheirownright,withpersonal iPadsandsmartphonesallequipmentthatispowerfulenoughtobeusedwithintheenterprise inadditiontotheirownpersonaluse. Prohibitioncreatesnovalueanddeniesuserstheopportunitytoaddanyvaluetothe organization.ThesmartITleaderwillexplorehowbesttoopentheorganizationtoeveryuser,so theycanusetheirowndevicestoworkawayfromtheirdesk,butwithoutopeningthecompany todangeroussecurityrisks.

9 ITD#13MobiledevicesandtheITdepartment ITDecisions4November2011Allrightsreserved

Themembersofourresearchnetworkbelievethatthisisnowaonewayjourneyandcannotbe changed,buttheyurgecautionandselfawareness.Mobilesecurityisstillevolvingandis thereforeaneasyplacetoslipup.Ifadeterminedhackerreallywantedtotargetyour organizationthenaflexiblenetworkpolicypromotingremoteaccesscouldbeyourAchillesheel. Timeschangeandusersofenterprisebusinesssystemsarenowalltechnologyusersathomeand atwork.ThesmartITleadercancapturethisenthusiasmtocreateaflexibleworking environment,encouragingablendofcompanyissuedandpersonaldevices.

10 ITD#13MobiledevicesandtheITdepartment ITDecisions4November2011Allrightsreserved

ITDecisionsResearch
ITDecisionsproducesareportlikethiseveryFriday,basedonwhatCIOstoldusthatsameweek. Itisfastandrelevantknowledgefromyourpeers,itisonlyavailabletotheCIOsintheresearch network,anditisfree. Whatisthecatch?Youpaybyparticipating.Everyweek,wewillsendyoufoursimplequestions thatwilltakenomorethanfiveminutestoanswer. Themoreparticipants,thebetterthequalityoftheresearch.Sopleasedoinviteyour colleaguestojoin!Getintouchwithrecommendationsviacontact@itdecs.com. Doyouwanttodirecttheresearchanddefinethetopicsalongsideourboardoffounder members?WealsoofferPlatinummembershipsthatallowyoutosteertheprocess,aswellas otherbenefitsincludingcomprehensivereports,facetofacefocussessionsandmore. TheITDecisionsFutureSkillsfundisacharitable,transparentfundfocusedonimprovingIT educationandtraininginBrazil. IfyourecommendaPlatinummembertothenetwork,wewilldonateR$500tothefundinyour nameandPlatinummemberswillgettochoosewhichorganizationgetsthemoneyattheend oftheyear.Pleasecontactusformoredetails.

11 ITD#13MobiledevicesandtheITdepartment ITDecisions4November2011Allrightsreserved

AboutITDecisions
ITDecisionsisthepremiersourceofinsightintothetechnologyandhightechserviceindustryin Brazil.ThecompanycreatesEnglishlanguagenewsandinsightforaCIOaudiencewithregular featuresandanalysisthatcannotbefoundelsewhere. Wefocusondecisionmakersandinfluencersthebuyside.Reproducingthesalespitchor advertsofsuppliersisnotourthing;wefocusonthosebuyingthesystems. ITDecisionswasfoundedin2011byMarkHillaryandAngelicaMari,twoofthemostrespected businessandtechnologywritersinEuropewithacollectionofbestsellingbooksandindustry awardsbetweenthem. TheITDecisionsresearchnetworkisaninvitationonlygroupofCIOsinBrazilwhoworktogether toproduceanewresearchreporteveryweek. TakeamomenttoconnectwiththeITDecisionsmanagementonLinkedInandtakealookatsome oftheirbooks,othermedia,blogs,andpublications: MarkHillary,CEO http://j.mp/markhillary AngelicaMari,PublishingDirector http://j.mp/angelicamari Mark,Angelica,andthewholeITDecisionsteamisbasedinSoPaulo,Brasilthebiggestcityin theSouthernHemisphere.

www.itdecs.com
ImageCreditslicensedunderCreativeCommons HorizontalIntegrationhttp://www.flickr.com/photos/ebolasmallpox/3536804299/(capa) EdYourdonhttp://www.flickr.com/photos/yourdon/2675323741/(womanwithBlackberry)

12 ITD#13MobiledevicesandtheITdepartment ITDecisions4November2011Allrightsreserved