Unit4 Kicks Off North America Market Focus

unit4_logoUnit4, long-time European ERP leader, is making a concerted push into North America. To that end, it hosted industry analysts at the beautiful 60 State Street Boston venue on June 10. Read my Storify account of the event here.

Coming Full Circle: Small Business and the Circular Economy

canstockphoto26603076Today, most businesses take a “take, make and dispose” approach to create their products, without much thought as to where these products will go when we dispose of them. But there is an alternative to this traditional, linear model–one that recognizes the reality that natural resources are limited.

The circular economy takes an end-to-end approach to source, develop and dispose of products. Companies applying this approach design and build products and services to minimize waste while maintaining natural resources. Going beyond recycling, the circular economy brings design, manufacturing, distribution and utilization into the picture as well.

This two-part blog series examines the drivers for businesses to shift from traditional, linear economy models to the circular economy. The first post, Reimagining Business: The Circular Economy, explains the differences between linear and circular economies, and discusses Dell’s evolution. This second post, focuses on how two small business owners are using this model to build successful, sustainable businesses, and how your small business can put this concept to work.

Blue Avocado: Making It Easy to Be Green

Amy GeorgeAmy George had planned to go to medical school after college. But when her dad died, she took a job with an architectural firm that designed sustainable buildings. As she learned about sustainability, she decided that what she really wanted to do was to create a sustainable business by “turning garbage into great products.”

After attending business school, Amy founded Blue Avocado. Blue Avocado’s goal is to entice new consumers to join the green movement with functional and chic reusable bags that minimize waste from design to production.

The company’s first products were reusable shopping bags, which she launched as cities began establishing plastic bag bans. When the 2008-2009 recession hit, more people wanted to bring lunch to work, so Amy added reusable lunch bags to the portfolio. These reusable bags are made with Repreve fabric, which is certified by the UNFI, Repreve’s parent company’s proprietary U Trust method to ensure that Repreve fibers are truly made from post-consumer plastic.

blueavocadobagsAccording to Amy, “To really grow consumer momentum, products not only have to be green, but be great. To attract each new wave of consumers, you need to create new solutions and new functionality.” So four years ago Blue Avocado added (re)zip® storage bag line, an alternative to disposable baggies. Since then, the company has also introduced reusable produce bags and this year, reusable trash bags.

Amy estimates that by the end of 2014, Blue Avocado had helped consumers avoid 200 million disposable alternatives. The seven-employee company now sells its products through The Container Store, Amazon, Whole Foods, Bloomingdales, Kroeger, Wegman’s, Target, OfficeMax, and Bed Bath & Beyond. Looking ahead, Blue Avocado is expanding distribution through retailers in Asia, Australia and Europe by 2016. In addition, the company forged a new partnership this year with Terra Cycle that allows BlueAvocado to upcycle all of their products into secondary parts or material versus end in a landfill.

Techway: Turning Trash To Treasure

Cathi High Res HeadshotWith a background in hardware sales, Cathi Coan, CEO of Techway Services, Inc., invested in a company to resell used computer equipment. When the lead investor died, Cathi found herself with a warehouse full of equipment. While she could find buyers for some of it, there was a lot of e-waste–from outdated monitors and PCs to toner cartridges and batteries–that no one wanted to buy.

E-waste is the fastest growing segment of the national waste stream. According to a report by the United Nations Environmental Program (UNEP), the amount of e-waste being produced could rise by as much as 500 percent over the next decade. The United States produces the most e-waste in the world at around 3 million tons each year, with China not far behind at 2.3 million tons (2010 estimate). E-waste contains toxic materials which don’t break down naturally and can cause great harm to the environment, groundwater, and ecosystems if not disposed of properly. These toxic materials include lead, cadmium, chromium, mercury, plastics and many others. In 2010, only 27% of this e-waste was recycled in the United States.

techwayCathi decided that in addition to reselling equipment, Techway Services could also break down unwanted hardware to recover metals, plastics and other materials to be repurposed to manufacture new products. According to Cathi, “Most materials can be reused or recycled. We aggregate, hand disassemble, and separate materials into different commodities. The final material is processed by our downstream partners for future use.”

Techway Services is now a nationally recognized Information Technology Asset Disposition (ITAD) company that specializes in end-of-life IT services. Techway Services helps companies with all aspects of IT asset recovery. Techway Services provides secure onsite data eradication for outdated equipment, reverse logistics, IT resale, and certified demanufacturing, which includes responsible recycling. Responsible recycling keeps hazardous material out of landfills. Techway Services is registered with the EPA with R2/RIOS certifications and is ISO certified to ensure streamlined compliance for its customers.

As regulatory concerns have increased, and businesses have become more environmentally conscious, the business has grown. Companies risk stiff fines if they do not safely dispose of these outdated assets. Techway Services works with large Fortune 500 clients, universities and towns, not only to provide services, but also to raise awareness about sustainability and technology recycling. The company has even developed revenue share models with some of its clients to resell their used equipment in secondary markets.

Making the Circular Economy Work for Your Small Business

How can you put the circular economy approach to benefit the environment and your business? Here are some tips:

  • Establish holistic economic, environmental and social goals for your business. By reducing waste and your carbon footprint, you run your business more efficiently, and save money.
  • Look at how you can extend the impact via your networks; whether with your customer, suppliers or through the community you do business in, and how can you help them start this journey.
  • If you’re starting a new business, remember that green alone doesn’t sell a product. Start with a great idea for an innovative product or service, and then look for opportunities waste can offer.
  • If you’re an established business, apply your existing expertise to create a new, green product line.
  • Check out waste brokerage sites to source waste to use in your products, and/or work with a consulting firm such as Brightworks, which focuses on helping companies build a circular economy business model.
  • Aim to make the B Corp list, which certifies companies that meet rigorous standards of social and environmental performance, accountability, and transparency standards.
  • Remember services companies can get on board too. For example, Green Mountain Power, a Vermont energy company, is bundling new energy products and services to help people save money, and use less energy and fossil fuels. SEEDS offers environmentally friendly green printing services from initial concept to final delivery and distribution.

Finally, remember you can’t do everything all at once. The important thing is to get started and set incremental goals to get your business moving in the right direction.

This is the second in a two-part series sponsored by Dell that discusses the circular economy, Dell’s role in it, and how small businesses can transition to and benefit from it.

Reimagining Business: The Circular Economy

Closed Loop RecyclingToday, most businesses take a “take, make and dispose” approach to create their products, without much thought as to where these products will go when we dispose of them.

But a movement is underway to redesign traditional business models for the reality that resources are limited. The alternative, circular economy, which takes an end-to-end view of how materials are sourced and used to build products, is taking shape among businesses of all sizes. In a circular economy, products are designed and produced to minimize waste. As this model gains traction, more people are realizing that it can benefit the environment and contribute to business growth.

In this two-part blog series, we discuss how and why businesses are transitioning from the traditional, linear economy to a more sustainable circular economy. In this first post, I look at the differences between linear and circular economies, and discuss Dell’s goals for and journey to a circular economy. In the second, Coming Full Circle: Small Business and the Circular Economy, I discuss how two small business owners are applying this model, and how your small business can put this concept to work.

Where the Buck Stops: The Linear Economy

landfillThe traditional, linear economy is about taking resources, making products and disposing of them. Not much thought goes into where these products will go when we dispose of them, or whether materials can be recovered and reused.

For example, think about all those bright and shiny objects that we all love–from PCs to fitness bands, tablets to TVs, servers to phones. To produce these products, manufacturers source the raw materials that go into these devices, such as copper, mercury, gold, silicon, platinum and petroleum, from around the globe. The journey continues with stops at refineries and smelters, chip fabrication plants, and assembly lines, where products are assembled and shipped.

An amazing journey to be sure, but what happens to the old stuff when we trade it in for brighter, shinier new models? Unfortunately, the answer is not a pleasant one. Most of the trash we create goes to landfills and dumps, creating environmental and health hazards. In many cases, we are also depleting a finite supply of non-renewable resources.

Today, the linear economy is the norm: The United Nations University reported that only one-sixth of the 46 million tons of electronics that were discarded last year were recycled or reused. However, as resources are exhausted and the population grows, the linear model isn’t sustainable.

Bringing the Economy Full Circle

In contrast, the circular economy takes an end-to-end view of how materials are sourced and used to build products. It requires companies to take a fresh look at their business models, product planning and design, materials sourcing and management, and supply chain collaboration. In this model, products are remade, repaired, resold, or recycled.

By recycling products, components, untapped resources and materials back into relevant value chains, a circular economy enables economic growth with less wasted resources. It reduces toxic waste in dumps and landfills, and helps address the problem of the increasingly scarce supply and growing costs of raw materials.

While economic considerations are a key driver for the circular economy, businesses are also seeing more demand from consumers for sustainably produced goods and services.

Dell’s Circular Journey

Dell has taken a proactive stance to transition to a circular economy for over 20 years. In 1994, Dell began its “Design for Disassembly, Upgradeability, Serviceability” initiative, and became a founding member of the U.S. EPA’s Energy Star Program, integrating energy efficiency into every product line.

Ten years ago, Dell established a partnership with Goodwill to offer consumers a free, easy way to recycle electronics. Consumers simply drop off their unwanted electronics, regardless of brand, at Goodwill. Goodwill determines whether a device can be resold or refurbished. If not, it sends the product to Dell’s third party electronics recyclers to recover precious metals, plastics and other components.

Legacy of GoodTwo years ago, Dell significantly upped its commitment when it announced its 2020 Legacy of Good Plan. Among the 21 corporate responsibility goals outlined in the plan, Dell has set 12 goals specific to environmental sustainability. Building on existing initiatives, these 12 environmental goals focus on three areas: reducing the environmental impact of company operations, driving social and environmental responsibility in the industry and supply chain, and promoting technology’s role in addressing environmental challenges.

Dell’s goals are far-reaching and specific, and include plans to reduce the energy intensity of its product portfolio by 80%, decrease greenhouse gas emissions from facility and logistics operations by 50%; and reduce Dell’s use of fresh water in water-stressed regions by 20%. Other goals include ensuring 90% of waste generated in Dell-operated buildings is diverted from landfills, to source 100% of product packaging from sustainable materials, and to recover 2 billion pounds of used electronics.

Getting Results

Dell’s commitment to minimizing waste is evident throughout the company. For instance, Dell is designing its products with fewer screws and more snap in pieces to make it easier for recyclers to dismantle them. It has free electronics recycling programs for consumers in 78 countries, and provides commercial asset recovery to businesses in 44 countries. Through its closed loop approach, Dell also reuses about 2 million pounds of recycled plastics in fifteen products.

WheatStrawPackagingThe company is innovating in packaging as well, using renewable products such as bamboo, mushrooms and most recently, wheat straw. Wheat straw is what’s left over after wheat grain is harvested. In China, the wheat straw is often burned, leading to air pollution. Dell is now using about 200 tons of Chinese wheat straw to manufacture boxes for its products, reducing an estimated 180 tons of CO2 emissions.

Dell is also extending sourcing standards to its suppliers to help design out waste in the supply chain. For instance, in 2013, the company added social and environmental (SER) criteria to its global supplier selection process, including criteria for clean water and air discharges.

Moving beyond products, 20% of Dell’s workforce now telecommutes, saving an estimated 13 million kWh of energy, and 6,785 metric tons of greenhouse gas emissions–and save $14 million annually on facilities expenses.

Finally, Dell is helping customers build proactive, sustainable IT strategies that not only benefit the environment, but save money and streamline operations. Dell Services helps customers assess current technology practices and determine options to green up existing practices, and/or develop new approaches to meet sustainability and fiscal goals.

Perspective

Dell is playing a leadership role in transitioning to the circular economy. But the circular economy can be as compelling for small businesses as it is for Dell and other big companies. Small businesses can apply the same principles to build more sustainable, differentiated and profitable businesses. In fact, understanding and transitioning to a circular economy can open the door to new opportunities that will help you to future proof your business.

In the next post in this series, I share the stories of two entrepreneurs that have created successful circular economy businesses, and their insights as to how other small businesses can head for greener pastures.

This is the first in a two-part series sponsored by Dell that discusses the circular economy; Dell’s role in it, and how small businesses can transition to and benefit from it.

Mobile Solutions Play a Big Role in Small Businesses

Small businesses are rapidly moving to mobile solutions to gain anytime, anywhere access to people, information and applications. As mobile becomes a mainstream solution technology, small businesses must also factor mobile into their broader technology strategies and plans. Our 2014 SMB Mobile Solutions Study highlights the powerful impact of mobile in very small (1-19 employees) and small (20-99 employees) businesses to date, and implications for the future.

Changes in Attitudes

Mobile applications are quickly becoming indispensable for many small businesses. As shown on Figure 1, a half of very small and two-thirds of small businesses regard mobile solutions as critical for their businesses. Slightly more than half of these organizations also view mobile apps as helping to drive business growth. Consequently, it’s not surprising that mobile apps are playing a bigger role in small business operations. A substantial majority see mobile apps as complementing traditional business apps, and 67% of very small and 73% of small businesses believe that mobile apps will even replace some of their current business applications.

Figure 1: Small Businesses are Bullish on Mobile SolutionsSlide1

For small businesses, cash is king. Attracting new customers, growing revenues, and maintaining/improving profitability as top business goals (Figure 2). Small businesses see mobile solutions as very instrumental in helping them to address these and other important customer engagement, workforce and financial goals.

Figure 2: Top Small Business GoalsSlide2

For instance, 70% of very small and 87% of small businesses agree that mobile solutions play a significant role in improving customer experience and retention (Figure 3). Almost two-thirds see mobile as playing a significant role in helping them to attract new customers.

Figure 3: Significance of Mobile Solutions In Addressing Customer ChallengesSlide3

Survey respondents are also convinced that mobile solutions help them create a more effective, productive workforce environment, with 74% of very small and a close to unanimous 91% of small businesses seeing mobile as boosting employee productivity. Furthermore, almost two-thirds see mobile solutions as helping them to attract and retain quality employees, reflecting the reality that people increasingly want to gain the same level of mobile access, convenience and information in their business lives as they are getting as consumers. Mobile solutions are likely to become even more important to recruiting new employees as small businesses seeking to hire more younger workers and millenials.

Figure 4: Significance of Mobile Solutions In Addressing Workforce ChallengesSlide4

Perhaps most telling, small businesses see mobile solutions as playing a significant role in helping them meet critical top and bottom line business challenges, such as reacting quickly to changing market conditions, reducing operating costs, improving cash flow, and growing revenue.

Figure 5: Significance of Mobile Solutions In Addressing Financial ChallengesSlide5

More Work Is Getting Done On Mobile Devices

Businesses are taking advantage of providing employees with the ability to work anytime, anywhere via mobile devices (Figure 6). Small business use of basic collaboration and productivity tools such as email, calendar and contacts is already mainstream, with upwards of 80% of very small and small businesses already using these apps on mobile devices. However, some mobile collaboration and productivity apps are poised for strong gains next year, with 20%-plus of small business respondents planning to deploy mobile conferencing, document management, find-me-follow-me presence, personal assistant and/or document editing and creation apps within the next 12 months.

Figure 6: Small Business Employees are Doing More Work On Mobile DevicesSlide6

Mobile business apps have made strong gains over the past three years, particularly among businesses with 20-99 employees, where the number of mobile business apps used regularly jumped 27% over the past year. We expect this trend to continue, as respondent’s plans to add new mobile business apps in the next 12 months were strong across the board. Mobile apps for time management and capture lead the way, with 25% of both very small and small businesses planning to add this capability; followed by mobile marketing and advertising (24%); business analytics (23%); and financial management/payment processing (23%).

Small Businesses Are Deploying Mobile Web Sites and Apps for Customers

Since attracting new customers and growing revenues are top goals for small businesses, it’s not surprising that they are investing in mobile web sites and apps for customers, partners and suppliers. 48% of small businesses now have a mobile-friendly website, and 30% offer at least one mobile app for customers. Growth across all functional areas is up dramatically year-over-year (Figure 7), and plans to add more external-facing apps are healthy.

Figure 7: Small Businesses are Rapidly Adopting Customer-Facing Mobile AppsSlide7

Small business attitudes about mobile solutions are remarkably positive, and small business ascent up the mobile adoption curve has been nothing short of revolutionary when compared to other technology areas.

As a result, mobile is already having a significant impact on decision-making in other IT areas (Figure 8).

Figure 8: Mobile Impact on IT DecisionsSlide8

Perspective

As the mobile-first mentality becomes more pervasive, small businesses will need more guidance to ensure that their strategies for cloud, networking, infrastructure, legacy applications and devices support, enhance and integrate with the mobile solutions they deploy. By developing a holistic strategy, rather than taking a reactive approach, small businesses can both maximize value from their mobile investments, and reduce management headaches down the road.

This is the second post in a two-part series sponsored by Dell that discusses how small businesses are using mobile technologies in their businesses.

Charting a Course in the ERP Clouds

cloud question markFor many SMBs, limited IT resources and budgets are the norm. This makes keeping pace with technology requirements an uphill battle.

Over the past several years, cloud-based solutions have helped SMBs put technology solutions to work with less cost and complexity, and more flexibility, than traditional on-premise deployments. The technology underlying cloud ERP solutions provides SMBs with agility, efficiency and financial benefits. For instance, cloud solutions:

  • Capitalize on virtualization and load-balancing technology. Applications are more easily deployed, managed, and even scaled across multiple servers and database resources as demand and growth changes
  • Provide access to software, server, storage and other computing resources that you provision—and users access—over the Internet or a private network via browser, so you don’t need to deal with client upgrades.
  • Store data resources in the cloud instead of on individual devices, easing management and security concerns.
  • Typically take a layered security approach, which includes encryption, key management, strong access controls, and security intelligence to further increase data security.

This translates into big advantages for businesses. For instance, one of the biggest benefits cloud solutions provide is on the mobile front. Users can easily self-provision and use cloud applications from a web browser, through Apple and Android mobile devices, or Windows, Mac or Linux desktop platforms—without expensive, complex VPN and remote access software. This makes it easier for businesses to support BYOD (Bring Your Own Device) programs.

Slide1These kinds of benefits have convinced many SMBs to adopt cloud solutions in areas such as CRM and collaboration. As they realize benefits in these areas, they are increasingly likely to consider the cloud for core business functions, such as accounting, financials, and ERP. As indicated on Figure 1, only 14% of SMBs currently use cloud Accounting/ERP solution. However, among those planning to purchase or upgrade, 20% plan to select cloud Accounting/ERP. 14% are not sure, and likely to consider both options.

However, clouds come in different shapes and sizes, including public (software-as-a-service or SaaS) private clouds and hybrid clouds. Adding to the confusion, the lines between different cloud models are blurring. Finally, the list of vendors offering cloud financials and ERP solutions for SMBs is growing.

So how can you determine which cloud ERP approach is right for your business? .

Screen Shot 2015-04-29 at 9.19.54 AMSponsored by Acumatica, SMB Group’s free ebook, Clearing the SMB Clouds will help you understand the cloud variants that you’re most likely to encounter when evaluating ERP solutions and deployment alternatives, the tradeoffs between them, and critical security questions. The ebook provides guidance to help you determine which model will best match your company’s strategy, workloads, performance and security needs, and how to assess cloud ERP providers, partners, and solution capabilities.

The bottom line is that the business models, goals and requirements of SMBs are as diverse as the cloud ERP choices available–there is no “one size fits all” cloud ERP choice that’s right for all SMBs. While cloud ERP solutions offer SMBs the means to streamline operations, adapt, and grow in today’s fast-paced business environment, it’s important to do your homework to figure out which solution will be the best fit for your business.

Trends in Small Business Adoption of Mobile Solutions

Mobile technology is revolutionizing how small businesses get things done. Over the last few years, SMB Group has conducted detailed surveys to quantify the impact of mobile in the small business market. Having recently published our 2014 SMB Mobile Solutions Study, we thought the timing was right to look at some key benchmarks to illuminate just how quickly very small (1-19 employees) and small (20-99 employees) businesses are evolving in the mobile solutions area.

Mobile Making Steady Gains as a Percentage of Overall Small Business Technology Spending

Mobile solutions also account for a growing share of very small and small business technology budgets (Figure 1). Year-over-year, median spending on mobile solutions as a percentage of total technology spending has risen 10% year among very small businesses, and 7% among small businesses.

Figure 1: Mobile Accounts for an Increasing Share of Small Business Technology Budgets

Slide1

 In addition, both very small and small businesses continue to be bullish on mobile spending plans (Figure 2). In 2014, 48% of very small businesses and 70% of small businesses forecast that they would increase mobile spending in the coming year.

 Figure 2: Small Businesses Mobile Spending Plans Continue to Rise

Slide2

Mobile Applications Play an Increasingly Bigger Role in Small Business

Trending analysis shows that mobile applications are becoming more critical for small businesses. Both very small and very small businesses continue to incorporate a growing number of mobile apps into their day-to-day business operations (Figure 3).

Figure 3: Increasing Use of Mobile AppsSlide3

Since upwards of 80% of very small and small businesses already use basic collaboration and productivity tools such as email, calendar and contacts, growth is tapering somewhat in this area. However, some mobile collaboration and productivity apps are poised for strong gains next year, with 20%-plus of small business respondents planning to deploy mobile conferencing, document management, find-me-follow-me presence, personal assistant and/or document editing and creation apps within the next 12 months.

Mobile business apps have made bigger gains over the past three years, particularly among businesses with 20-99 employees, where the number of mobile business apps used regularly jumped 27% over the past year. We expect this trend to continue, as respondent’s plans to add new mobile business apps in the next 12 months were strong across the board. Mobile apps for time management and capture lead the way, with 25% of both very small and small businesses planning to add this capability; followed by mobile marketing and advertising (24%); business analytics (23%); and financial management/payment processing (23%).

Furthermore, 67% of very small and 73% of small businesses believe that mobile apps will replace some of their current business applications, further underscoring that mobile apps are becoming core to the business (Figure 4).

Figure 4: Mobile Apps Increasingly Likely to Complement/Displace Traditional Business AppsSlide4

BYOD Support Still Gaining

Employees increasingly want to use their own devices to access corporate data. This is part of a growing trend dubbed Bring Your Own Device (BYOD). In the BYOD model, employees can use the device of their choice for work. BYOD has both pros and cons. Most people think it helps improve employee productivity, and some think it can lower costs. However, most also agree that BYOD devices are more difficult to manage and secure than company owned devices.

Despite these tradeoffs, small business support for bring-your-own-device (BYOD) programs for employees also continues to enjoy strong growth (Figure 5). Top drivers for the 60% of small businesses that currently support BYOD support include employee familiarity/preference for their own device (71%); saving money (63%); and meeting employee expectations/demands (42%). Roughly one-quarter of these businesses pay for all smartphone device and service expenses. In contrast, 20% cover smartphone service plan costs only; 18% cover business use expenses only, and 20% provide employees with fixed monthly stipends. Interestingly, 18% expect employees to use their own mobile device for work but do not cover any BYOD expenses.

Figure 5: Growth In Small Business BYOD SupportSlide5

But BYOD challenges hinder wider adoption. 40% of small businesses don’t support BYOD due to security concerns (56%); difficult to manage (54%); and because reimbursing employees for BYOD is too time consuming/complex (38%). These businesses are not likely to add BYOD support until it is easier to partition, secure, bill and manage work-related versus personal mobile use and expenses.

Small Businesses Slower to Add Mobile Management Capabilities

In fact, small business adoption of bright and shiny mobile devices and apps has quickly outpaced their embrace of mobile management solutions in general. As shown on Figure 6, only 43% of businesses with 20-99 employees are using a mobile device management solution, while just 33% use a solution to manage and secure mobile apps.

Figure 6: Small Business (20-99 employees) Adoption of Mobile Management SolutionsSlide6

In addition, while small business spending on mobile devices, service plans and apps as a percentage of total mobile spending has risen from 2013 to 2014, spending on mobile management, consulting and security has declined somewhat from 2013.

But it does not appear that cost is what’s holding small businesses back. Just 16% of respondents said that they didn’t’ use a mobile management solution because they are too expensive. Instead, the biggest obstacles are they don’t think they need it (51%); they don’t know which solution is right for their company (22%) and they don’t have the resources to deploy it (22%).

Perspective

Small businesses are clearly swept up in the mobile tsunami, and mobile solutions are becoming essential to small business success. However, small business adoption of mobile devices, apps and services is rapidly outpacing their ability to secure and manage mobile assets.

Without appropriate mobile device, application and data management policies and solutions in place, small businesses risk putting their corporate financial and brand security at ever-higher risk. In addition, as reliance on mobile solutions rises without adequate attention to management, many small businesses will find manual attempts to track and manage mobile use increasingly time-consuming and frustrating.

Study findings strongly suggest that while small businesses have quickly grasped how mobile can help their businesses, they are still struggling to understand the why, what, and how of mobile management. Vendors will need to dramatically ramp up education, guidance and consulting initiative and services to help more small businesses understand and take action in this area.

This is the first post in a two-part series sponsored by Dell that discusses how small businesses are using mobile technologies in their businesses.

The State of SMB Adoption of Mobile Apps and Management Solutions

Slide1We recently published two new Perspectives reports that provide in-depth data and insights about the state of SMB mobile solution adoption. These reports tell an interesting story: While 55% of small and 65% of medium businesses view mobile solutions as critical to their businesses, and as mobile budgets continue to rise, SMBs are challenged by high data service costs, uncertainty about which solutions are the right fit for their businesses, security and management concerns, and integration.

The first, SMB Adoption Trends and Requirements: Mobile Applications, examines SMB drivers, challenges, requirements and future implications for SMB adoption and of mobile applications. Some of what we learned includes:

  • 84% of small and 87% of medium businesses view mobile apps as complementary to traditional business applications, and a majority envision that mobile apps will replace some traditional applications.
  • Employee use of mobile collaboration apps is ubiquitous, and adoption of mobile business apps jumped 9% in small and 5% in medium business from 2013 to 2014.
  • SMBs are rapidly adopting customer-facing mobile websites and apps to help attract new customers, respond faster to external constituents and keep up with the competition.
  • Security concerns, development and deployment costs, and lack of a strong business case are preventing SMBs from implementing more mobile apps.

The second report, SMB Adoption Trends and Requirements: Mobile Management, explores how SMBs are handling mobile management today, their future plans, and what they need vendors to do to better serve their needs. For instance, we found that:

  • From 2013 to 2014, spending for mobile consulting, management, apps and security services rose in terms of actual dollar expenditures. However, dollars allocated for these areas decreased as a percentage of the total SMB mobile spend, while the percentage allocated for mobile devices and services continues to grow.From 2013 to 2014, small business support for BYOD jumped 33%, while medium business support grew 10%. However, BYOD adopters are struggling to determine the best policies to administer and reimburse for BYOD device and service plans.
  • Less than half of SMBs have implemented mobile device management solutions, while about one-third use a mobile application management solution.
  • 29% of small and 28% of medium businesses are seeking services to help them craft mobile strategy, security, use and management policies.

These reports underscore that although many SMBs want to continue to expand their use mobile technologies to transform their businesses, they need vendors to provide them with easier access to better solutions to manage and scale their mobile capabilities.

For More Information
Report highlights, detailed table of contents and pricing are available for each report by clicking on the report links above. 
Please contact Lisa Lincoln, lisa.lincoln70@smb-gr.com or 508.734.5658, for additional information or to order.

Follow

Get every new post delivered to your Inbox.

Join 12,344 other followers