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Embracing and Empowering the Connected Enterprise
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Embracing and Empowering the Connected Enterprise
©Tangoe Inc. | tangoe.com
Thanks to rapid technological developments
and evolving global business trends, companies
have become virtual communication hubs, where
employees and data link together seamlessly
to drive commerce through the collaboration
and sharing of information. Organizations have
essentially become “connected enterprises,”
where the quantity and quality of their
Executive Summary
The connected enterprise is not just a concept; it is a way of running an
organization that involves improving efficiencies across the globe,
maximizing assets, and attaining the greatest value out of each and
every resource and relationship.
connections have a direct impact on efficiency
and progress. As important as it is to acknowledge
the rise of connected enterprises, it’s also crucial
to understand the challenges they face and the
solutions and strategies available.
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Embracing and Empowering the Connected Enterprise
©Tangoe Inc. | tangoe.com
What is the Connected Enterprise?
The connected enterprise is not just a concept; it is a way of running an organization
that involves improving efficiencies across the globe, maximizing assets, and attaining
the greatest value out of each and every resource and relationship. Historically, we
would consider a company “connected” if it simply had a few phone lines. In the
last few decades however, the definition of “connected” has changed considerably
as companies have quickly implemented email and Internet protocols to increase
productivity and enhance their connectivity. Today, we have more ways to connect
than ever before, and the quantity and types of connections have experienced
exponential growth and vast improvements in accessibility.
The meteoric rise of mobility has rapidly ushered in accelerating rates of introduction,
adoption, productivity, responsibility, risk, and complexity within enterprises
worldwide. This enhanced mobility has prompted a shift towards introducing and
leveraging more types of connections among platforms such as social, cloud, IT,
and machine. While these new technologies and connection points are entering the
workplace with the promise of increased productivity, they can also pose challenges.
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Embracing and Empowering the Connected Enterprise
©Tangoe Inc. | tangoe.com
Mobility Creates Opportunities and Challenges
Evolving mobile technology creates opportunities
in efficiency and commerce for employees and
the connected enterprise alike. When it comes
to choosing their personal devices, users want
options in regards to hardware manufacturers
and operating systems. Increased productivity
and efficiency flow logically from an elevated
comfort level of device usage. That is, the more
comfortable a user is with a device, the more
they will accomplish at a faster pace within the
connected enterprise; but each individual has
unique needs and preferences.
Analyst firms like Gartner have stated that, “the rise
of bring your own device (BYOD) programs is the
single most radical shift in the economics of client
computing for business since PCs invaded the
workplace.”1 These unique needs and preferences
not only make a BYOD policy an attractive option,
but also give rise to the notion of BYOC – bring
your own connection. This growing prevalence of
BYOC sparked a landmark ruling in 2014, where
a California court established that companies
are required to reimburse any work calls placed
on any employee’s personal phone or device.
(Labor Code section 2802). Ken Lienemann,
Tangoe’s SVP of Marketing, asserts that smart
companies will regularly have to evaluate their
business objectives and adjust their blend of
corporate and individually liable devices and
connections; “It’s really more than just BYOD now.
1 David A. Willis, “Bring Your Own Device: New Opportunities, New Challenges,” (Gartner), August 2012.
As of 2014, at least 51% of mobile users
connect to unsecured wireless networks
with their smartphone
Cisco
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Embracing and Empowering the Connected Enterprise
©Tangoe Inc. | tangoe.com
According to networking giant Cisco, as of 2014,
at least 51% of mobile users connect to unse-
cured wireless networks with their smartphone.2
Another point to consider is the fact that carriers
are now moving towards data-only plans in
response to the overwhelming use of over-the-
top voice applications (OTT) instead of traditional
voice and SMS. As a result, enterprises will want
to understand how data is being consumed in
order to limit or promote consumption, enforce
chargeback, control and monitor users, and
negotiate better deals with their suppliers.
2 “Cisco Visual Networking Index: Global Mobile Data Traffic Forecast Update,” (Cisco), 2013–2018.
We are seeing a lot of employees bringing their
own connections as well as devices. This invites
another level of complexity and set of challenges
in regards to personal and corporate liability.”
What used to be a simple scenario of enterprises
managing company issued devices operating
on a company controlled network has erupted
into a communication free-for-all. This new set
of challenges can potentially cause headaches
for enterprises as they are forced to re-evaluate
certain aspects of connection security, stipends,
reimbursements, allowances, and associated
taxes and payments. Enterprises need to create
and implement policies that adapt and evolve in
the face of these realities.
As of 2014, at least 51% of mobile users
connect to unsecured wireless networks
with their smartphone
Cisco
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Embracing and Empowering the Connected Enterprise
©Tangoe Inc. | tangoe.com
Connecting to the Cloud
The combination of an unremitting demand for
immediate access to everything and a seemingly
omnipresent connectivity has created a need
for more cloud services than ever before. Cloud
technology has been around for quite some
time under various nomenclatures, but in the
past few years we’ve embraced “cloud” as the
umbrella term for numerous types of remote and
decentralized computing and storage options.
Cloud applications and services represent some
of the greatest benefits but also create seemingly
intractable challenges for IT teams due to their
ease of adoptability and capacity to spread
systemically without IT’s knowledge or control.
Cloud services, including Software-as-a-service
(SaaS), Platform-as-a-Service (PaaS), and
Infrastructure-as-a-Service, are well-suited to
mobile working practices, allowing users to gain
access to countless services from any device with
a connection. In addition, cloud services offers
speed, ease of deployment, fast patching, and
updating. Enterprises using cloud services benefit
from not having to maintain their own datacenter
and servers.
As such, the use of cloud is on the rise.
According to analyst firm, IHS, “Enterprises
will spend more than $235 billion on cloud
architecture and services by 2017.”3 The most
rapid growth in cloud comes from SaaS.
3 “Enterprise Cloud Spending to Soar to New Heights in Quest to Drive Greater Business Success,” (IHS Pressroom), April, 2014.
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©Tangoe Inc. | tangoe.com
Forbes magazine predicts that end-user spending
on cloud services could exceed $180 billion by
the end of 2015.4 But this considerable increase
in SaaS spend conjures up various challenges
such as on-boarding as part of a broader process
that tethers the user to the license, expense,
and usage in accordance with policy to minimize
wastage. Enterprises utilizing SaaS will want to
monitor on-going usage to determine if licenses
are underutilized in order to create an opportunity
for savings. This includes verifying expense
according to contract rates and accurately
charging back departments.
4 TJ McCue, “Cloud Computing: United States Businesses Will Spend $13 Billion On It,” (Forbes), 2014.
Enterprises’ growing reliance on cloud services
is pushing the issue of negotiating better rates
to the forefront. To date, cloud service providers
have commanded pricing power, but as their fees
start digging in to the bottom line, we expect this
to change. Currently, enterprises do not always
negotiate rates, and the ones that do, often lack
the correct methods and appropriate service level
agreements. Armed with powerful management
technology such as Tangoe’s MatrixCloud,
companies can begin taking control of the cloud
chaos and utilize pertinent data to effectively
negotiate beneficial rates and cost savings.
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Embracing and Empowering the Connected Enterprise
©Tangoe Inc. | tangoe.com
Another aspect of the connected enterprise is the
use of machine-to-machine (M2M) connections.
M2M falls under the umbrella term for connected
devices, or the “Internet of Things,” (IoT). This
refers to technologies that enable wireless and
wired systems to communicate with other devices,
systems, and people. M2M has been in use for
decades, but has only recently been embraced
in a more mainstream manner. Decades ago,
banks rolled out ATMs and logistics companies
leveraged RFIDs, but these connections remained
limited in scope and access. But M2M has gained
momentum because of pervasive connectivity,
cheap hardware, and easily developed mobile
apps.
Experts at Cisco predict that approximately 50
billion devices will be connected by 2020, while
Morgan Stanley expects that number to be as
high as 75 billion5. Although M2M or IoT will
revolutionize a number of industries by slashing
costs and bolstering profits, enterprises will
experience severe growing pains if they do not
have the proper tools to track, manage, secure, and
support the infrastructure of these connections.
IoT keeps vital devices connected such as heart
monitors, fire alarm systems, and built-in sensors
in automobiles; if we cannot properly manage
them, productivity and precious lives could be lost.
5 Tony Danova, “Morgan Stanley: 75 Billion Devices Will Be Connected To The Internet Of Things By 2020,” (Business Insider), 2013.
Rise of the Machines - M2M
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Whether discussing consumer products or
organizing community collaboration, people
around the world constantly use social media
platforms to find and share information. According
to analyst Heidi Cohen, more than 70% of U.S.
online adults use some form of social media
networking6. In spite of this staggering statistic,
few businesses take full advantage of the potential
benefits of social media within the organization.
The very nature of our social communication
makes it difficult to reap the potential rewards.
This is because our way of communicating today is
finicky, volatile, and every-changing. An enterprise
may feel that it has a firm grasp on a social media
concept, only to watch that concept morph into an
unrecognizable trend.
6 Heidi Cohen, “Social Media Marketing 2014: Where Your Audience Is,” (heidicohen.com), 2014
Millennials make up the largest part of today’s work
force, and their influence on other age groups has
caused a ripple effect across all industries and
markets. In general, these employees exhibit an
air of disdain towards email because it represents
the “old paradigm.” They expect immediate
gratification, are highly self-oriented, and expect
tools in the workplace similar to in the ones they
use in their personal lives. They rely heavily on
chat, text, online collaboration, expiring messages,
and video exchanges. It is this same socialized
and mobile work force that has powered the shift
to social media within a business context and
has also discarded antiquated systems like the
corporate managed directory.
Social Communication and Collaboration – The Millennial Effect
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Embracing and Empowering the Connected Enterprise
©Tangoe Inc. | tangoe.com
Millennials and other groups make static
connections irrelevant and have consequently
spearheaded the widespread adoption of BYOD;
usurping many configuration powers from IT
teams and creating a world in which each of us
must manage and share our own contacts and
preferences. This shift in paradigm has enterprises
scrambling for control and visibility into their own
specialized workforces.
To harness the potential of these specialized
workforces, enterprises need to utilize
applications that allow users to identify an
individual’s preferred contact method. One such
application is MatrixSocial, which empowers
employees to seize moments of inspiration and
to express ideas by creating an environment in
which everyone can be reached at any time based
on their communication preferences. This facilities
the exchange of information and enhances
collaboration throughout the entire enterprise.
The Shifting Landscape of IT Services
The connected enterprise puts enormous pressure
on IT leaders to reduce spending and tighten
control over the connected landscape, while also
increasing expectations on value and service.
Many IT teams are responding by leveraging
third parties to do the work they previously did,
and redirecting their efforts towards higher value
tasks such as delivering analytics and cross
departmental support associated with these
third party services. In many ways, IT becomes a
steward of the vital data that can positively impact
a company’s performance.
Additionally, the consumerization of technology is
re-orientating the way we think about IT assets.
The connected enterprise leans toward requiring
IT shops to leverage best practices from other
areas to improve their tools for managing the
assets, expense, and usage of these new IT
services and consumerized technologies.
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Embracing and Empowering the Connected Enterprise
©Tangoe Inc. | tangoe.com
The Future of the Enterprise
While you may not be thinking about this now, you
soon will be. When asked about their technology
spending priorities, 2,339 CIOs responding to the
Gartner 2014 CIO Agenda Survey indicated that
business intelligence and analytics, infrastructure
and data center, mobile, ERP, and cloud were their
top five imperatives. At the top of the list is the
intention to exploit new digital trends, especially
the ability to mine a greater volume, velocity, and
variety of information (big data)7.
Clearly, IT leaders are finding innovative, novel
ways to reduce costs with their limited resources.
They are redirecting and reinvesting the savings
from their traditional TEM engagements into more
strategic areas, such as big data analytics, to
help drive enterprise growth and improve overall
IT performance levels. In discussing this trend,
Tom Eagle, a leading Gartner analyst covering
communication services and TEM, asserts “TEM
is a specific, but challenging function within IT
7 “Taming the Digital Dragon: The 2014 CIO Agenda,” (Gartner), 2014.
and cost management, and is widening in scope
as most enterprises’ range of fixed services and
mobile devices grows and diverges.”
“Whether you lead an IT or a marketing
organization, it’s time to expand your focus beyond
the rapidly changing world of devices and the apps
that run on them. You need a mobile strategy that
encompasses this entire chain of connections.”8
8 Tom Eagle, Geoff Spick, “Critical Capabilities for Telecom Expense Management,” (Gartner), November 2013
“Whether you lead an IT or a marketing
organization, it’s time to expand your focus
beyond the rapidly changing world of devices
and the apps that run on them. You need a
mobile strategy that encompasses this entire
chain of connections.”
Ted Schadler, Forrester “Mobile Is About More Than Apps and
Devices,” (Forrester), 2014
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Embracing and Empowering the Connected Enterprise
©Tangoe Inc. | tangoe.com
Expert Innovators Fill the Void
The connected enterprise constantly strives
to improve efficiencies on a global scale by
maximizing assets and achieving the ultimate value
from available resources and relationships. The
inherent challenges of multiple connection points
and unrestrained mobility force organizations
to re-evaluate their policies and methodologies
within their business framework. An aspect of this
re-evaluation must take into consideration the
growing millennial push for BYOD and the need
for instant access to everything. This aspect of
the workforce looks to the superior functionality
of cloud and SaaS applications. Moreover, the
connected enterprise workforce looks more and
more to M2M and social media to quench its thirst
for connections.
Harnessing the Potential of the Connected Enterprise
Enterprises need tools, strategies, and
methodologies to gain control and visibility of
their assets, expense, and usage associated with
the entirety of their connections. The ability to
do this creates virtually limitless possibilities for
improving efficiencies, costs savings, employee
and client satisfaction, and streamlining the on-
boarding processes for all enterprise connections.
Few qualified organizations have endeavored to
provide tools with the power and scope to address
the pressing issues of the connected enterprise
such as:
Eliminate cost by outsourcing the provisioning
and fulfillment
Eliminate waste through accurate and timely
inventory management for assets and licenses
Leverage buying power with suppliers
Ensure security of your assets and information
Deliver support to keep end users productive
Deploy innovative approaches to drive
revenue
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Embracing and Empowering the Connected Enterprise
©Tangoe Inc. | tangoe.com
Mobile – Smartphones, tablets, ruggedized
devices
Fixed – Traditional voice and data
M2M – Data from devices supporting business
goals
Cloud – SaaS, backbone services, limitless
storage
IT – Equipment, data systems, enterprise
software, IT services
Social – Collaborative communication tools
Today, the connected enterprise rules the
landscape with its insatiable appetite for all types
of connections and mobile tools. Fortunately,
Matrix was designed to enable organizations to
turn-on, manage, secure, and support various
connections, while more effectively managing the
strategy, risks, expense, productivity, visibility, and
expand potential of connections throughout the
connected enterprise ecosystem.
The opportunity to harness the potential of the
connected enterprise now seems clear. But
powerful tools and knowledge form the foundation
of this ambition endeavor. Luckily, Tangoe
predicted the rise of the connected enterprise
many years ago and anticipated the current
market’s shift to a heightened state of connected
mobility.
To address the issues and challenges that
enterprises face, Tangoe created the Matrix
Solution Suite, a comprehensive set of software
tools and services designed to help enterprises
harness the power of these new connections.
Available whole or in part, the Matrix Solution lines
come as pre-configured packages or a-la-carte,
providing support for the critical connections
driving business communications such as:
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Embracing and Empowering the Connected Enterprise
©Tangoe Inc. | tangoe.com
Summary
The vast amounts of new connections, platforms, services, and communication
channels are re-shaping the very fabric of today’s business world and transforming
traditionally structured companies into connected enterprises. As we embrace the
new reality of pervasive connectivity, we must also address the inherent challenges
and opportunities that come with it. The shifting landscape of IT devices, cloud
computing, and mobile concepts are just some of these issues. Companies such as
Tangoe remain at the forefront of these developing trends and technologies to help
keep the connected enterprise safe, secure, and streamlined through innovative
methodologies, strategies, and software.
Next Steps
Interested in learning more about Tangoe’s capabilities? Visit www.tangoe.com to find
out more about how Tangoe can help your organization outperform your competitors.
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Embracing and Empowering the Connected Enterprise
©Tangoe Inc. | tangoe.com
About Tangoe
Tangoe (NASDAQ: TNGO) is a leading global
provider of Connection Lifecycle Management
software and services to a wide range of global
enterprises and service providers. The company’s
Connection Lifecycle Management technology,
Matrix is an on-demand suite of software and
services designed to turn on, manage, secure,
and support various connections in an enterprise’s
communications lifecycle, including mobile, fixed,
machine, cloud, social, and IT.
©2015 Tangoe Inc. | Powering the Connected Enterprise
Additional information about Tangoe can be
found at www.tangoe.com. Tangoe is a registered
trademark of Tangoe, Inc.
Tangoe, Inc.
35 Executive Blvd., Orange, CT 06477
203.859.9300 | www.tangoe.com