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2012 Trend: Grow at Limited Costs

Jack Loo & T.C. Seow | Feb. 1, 2012
Many are saying in 2012, CIOs will be looking to reduce overall costs, while investing in new things that can give overall competitive advantage. Some thoughts from industry players.

Yeo cited DHL's success as an example. It recently saved 40 percent of its conferencing costs by moving to a unified communications platform. Another factor that is speeding up UCC adoption rates is the availability of utility based pricing, or pay-as-you-go options. Customers then benefit from only paying for what they use, which helps decrease or align costs to the growth in their business.

"This is important in a region like Asia-Pacific, which comprises a vast array of countries and cultures, with many at different stages of technology development and adoption," he said. "The growing influence of 'digital natives' (also known as  "Gen Y") in the workplace adds to the comfort level when using platforms that offers a wide range of connectivity options such as voice, email, instant messaging, conferencing, file and application sharing, online discussion groups."

Another trend is the rise of corporate video conferencing, said Yeo. According to analyst firm Ovum, the need to cut costs while boosting productivity is going to drive the Asia Pacific video conferencing market to an estimated US$804 million by 2016, comprising 21 percent of total global video conferencing spend.

Yeo said: "Video-based technologies are rapidly gaining prominence in the suite of Unified Communications. Over the last decade, conferencing technologies have evolved to cover a wide spectrum of business needs, and are increasingly being used as revenue generation tools. As improved visual and audio qualities of TelePresence continues to resonate more with businesses, we forsee that there will be more adoption, investments in these technologies and interoperability arrangements between service providers."

The third trend is the so-called "Bring Your Own Device" or BYOD trend. "Another inevitable phenomenon that we're seeing is that employees have embraced the trend of bringing their own smartphones, tablets and other forms of technological devices to the workplace," Yeo added. "According to Forrester, by 2012, 73 percent of enterprise employees will be mobile, growing from 44 percent in 2009. While the jury is still out, virtualisation has made corporate networks accessible to multiple users from across multiple devices and technologies."

"IT departments may worry about security and privacy, and organisations may have the right to monitor anyone who connects to their business network. However, resistance to BYOD is not an option as it is bound to take place, and organisations must be prepared for it," Yeo advised.



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