Subscribe / Unsubscribe Enewsletters | Login | Register

Pencil Banner

Embracing mobile and cloud means spending less on office space

Matt Rosoff | May 3, 2013
In a survey by Rackspace and the Manchester School of business, 60% of the companies that encouraged remote work by using cloud-based technologies had reduced their spend on office space by an average of $364,000.

Want a good reason to encourage remote work with cloud apps and a strong mobile policy?

How about this: it saves you money on office space.

That's the conclusion of a recent survey of 1,300 U.S. and U.K. companies conduced by Rackspace and the Manchester School of Business. They polled executives and IT managers in businesses of all sizes, but about 25% were enterprises with more than 1,000 employees.

Of those companies, 60% said that encouraging remote work by using cloud-based technologies had helped them reduce their spend on office space. The average savings was $364,000, although that number is skewed by some big outliers toward the top of the range; most companies saved less than $70,000.

Some other notable results from the study:

  • Document management apps are the number-one type of app that companies are planning to build or buy in the next year -- 67% of companies plan to deploy apps in this category, ahead of 63% for email.
  • Only 6% of companies have a business app store for employees, but 28% are planning to set one up.
  • 66% of employees are demanding smartphone or tablet apps that they can use to access IT resources from work.
  • 78% of the people surveyed believe that apps will become the primary way that employees access IT within the next five years.

The simple takeaway? Employees expect to be able to work remotely, and meeting those expectations not only makes them happier, but also saves you money.


Sign up for CIO Asia eNewsletters.