Gartne's report on the real economics of BYOD

1. © 2015 Gartner, Inc. and/or its affiliates. All rights reserved.
While you are waiting for our webinar to begin,
you might be interested in the downloads on
the Attachment tab:
Have a question for our analyst? Click the Question tab.
Q&A will be at the end of today’s presentation.
If you have any difficulties, please email gartnerwebinars@gartner.com.
A copy of today’s
presentation
Information on how to
dial in if you are unable
to attend via VoIP

2. 1,000
Analysts
9,100
Distinct Client
Organizations
215,000+
Client
Interactions
Vertical
Coverage
in Nine
Industries
5,500
Benchmarks
850 Media
Inquiries
per month
World's
Largest
Community
of CIOs
70+
Conferences
73% of
Global 500
3,200
Consulting
Engagements
Clients in
85 Countries
70% of
Fortune 1000
500
Consultants
Gartner at a Glance

3. © 2014 Gartner, Inc. and/or its affiliates. All rights reserved. Gartner is a registered trademark of Gartner, Inc. or its affiliates. This publication may not be reproduced or distributed in
any form without Gartner's prior written permission. If you are authorized to access this publication, your use of it is subject to the Usage Guidelines for Gartner Services posted on
gartner.com. The information contained in this publication has been obtained from sources believed to be reliable. Gartner disclaims all warranties as to the accuracy, completeness
or adequacy of such information and shall have no liability for errors, omissions or inadequacies in such information. This publication consists of the opinions of Gartner's research
organization and should not be construed as statements of fact. The opinions expressed herein are subject to change without notice. Although Gartner research may include a
discussion of related legal issues, Gartner does not provide legal advice or services and its research should not be construed or used as such. Gartner is a public company, and its
shareholders may include firms and funds that have financial interests in entities covered in Gartner research. Gartner's Board of Directors may include senior managers of these
firms or funds. Gartner research is produced independently by its research organization without input or influence from these firms, funds or their managers. For further information
on the independence and integrity of Gartner research, see "Guiding Principles on Independence and Objectivity."
Federica Troni
@federicatroni
The Real Economic Keys to BYOD

4. © 2014 Gartner, Inc. and/or its affiliates. All rights reserved.
#GartnerSYM
BYO Doesn't Assure Cost Savings
0%
10%
20%
30%
40%
50%
60%
Reduced total cost Higher total cost
Cost Savings?Results Are Mixed
Strong Savings
Strong Increase
Moderate
Savings
Moderate
Increase
Reduced Total Cost Higher Total Cost
Q09. What Level of Benefit (Incl. Cost) Has
Your Organization Seen as a Result
of Its BYOD Program …?
Q10. Has (Cost Savings) Been an Issue for
Your Organization as a Result of Your
BYOD Program?

5. © 2014 Gartner, Inc. and/or its affiliates. All rights reserved.
#GartnerSYM
Key Issues
1. What are the main cost elements of a
BYOD program?
2. What are the essential criteria for analyzing
the cost of BYOD programs?
3. How can the benefits of a BYOD program
be maximized?

6. © 2014 Gartner, Inc. and/or its affiliates. All rights reserved.
#GartnerSYM
Key Issues
1. What are the main cost elements of a
BYOD program?
2. What are the essential criteria for analyzing
the cost of BYOD programs?
3. How can the benefits of a BYOD program
be maximized?

7. © 2014 Gartner, Inc. and/or its affiliates. All rights reserved.
#GartnerSYM
Visible and Hidden Costs
Hardware Software
Facilities
IT Labor
Administration
End User Costs
Voice and Data
Stipends, Subsidies

8. © 2014 Gartner, Inc. and/or its affiliates. All rights reserved.
#GartnerSYM
Which Costs to Consider?
Device Stipend?
Data Services?
Support?
Software!
Application and
Data Access!

9. © 2014 Gartner, Inc. and/or its affiliates. All rights reserved.
#GartnerSYM
End Users and IT Software Costs
MDM
EMM
Client
Management
Tools
CALs
VDA
Server
Based
Computing
Hosted
Vistrual
Desktop
Client
Hosted
Virtual
Desktop
Workspace
Aggregators
User
Personaliz
ation tools
EFSS
EA
Inclusion
The Organization Is Responsible for Compliance

10. © 2014 Gartner, Inc. and/or its affiliates. All rights reserved.
#GartnerSYM
Key Issues
1. What are the main cost elements of a
BYOD program?
2. What are the essential criteria for analyzing
the cost of BYOD programs?
3. How can the benefits of a BYOD program
be maximized?

11. © 2014 Gartner, Inc. and/or its affiliates. All rights reserved.
#GartnerSYM
21%
15%
13%
18%
10%
13%
9%
48%
38%
35%
29%
29%
33%
29%
18%
32%
32%
24%
29%
22%
24%
8%
2%
7%
8%
4%
7%
7%
10%
9%
15%
11%
13%
11%
7%
18%
13%
20%
Mobile Device Management*
Infrastructure Expansion
File Share and Sync*
Virtual Desktop
Other Data Protections
Containerization/
Isolation Technologies*
Other Infrastructure
Protections
High Medium Low Planning Soon None Don't Know
BYOD Drives Investment in
EMM and Infrastructure
N = 135 Who Cited Their Org. Actively Encourages BYOD
87%
84%
80%
71%
68%
67%
62%
Total % Making
Investment
Companies Doing BYOD
Will Invest in Enterprise
Mobility Management,
Infrastructure Growth,
and Virtual Desktop
*Elements of EMM (2Q14 Gartner Magic Quadrant)
38%
Actively encourage
BYOD
Q05. What Level of Investment Is Your Organization Making in the Following
Key Technologies to Support BYO?

12. © 2014 Gartner, Inc. and/or its affiliates. All rights reserved.
#GartnerSYM
Stipends, Reimbursements, Subsidies
• Subsidize legitimate business use of personal devices
• How you subsidize (allowance, stipend, or post-paid
expense) has program cost implications, and may have
tax impact
• Subsidize smartphone service plans, not smartphones
• Use subsidies to favor more supported devices
"My employer SHOULD
subsidize the device
and/or service plan"
"I do not expect a subsidy"
Source: Employee Attitudes Toward Bring Your
Own Device, 06 December 2013, (G00258129)
16%
84%
Employees resist
personal cost-shifting

13. © 2014 Gartner, Inc. and/or its affiliates. All rights reserved.
#GartnerSYM
Smartphone BYO Programs: A Wash!
• Difficult to have uptake without a stipend
• The BYO program will still increase user satisfaction
• Reduce enterprise effort in managing devices
• May want to drive adoption by offering basic
enterprise options
$0 $500 $1,000 $1,500
Ent.-owned, fully
managed
smartphone
User.-owned, semi
managed
smartphone
Hardware and
Software
Voice and Data
Service
IT Labor
Administration
SRA
End User Costs
$0 $500 $1,000 $1,500

14. © 2014 Gartner, Inc. and/or its affiliates. All rights reserved.
#GartnerSYM
Tablets:
Will Users Opt in Without Stipend?
 Without a stipend, direct costs of user owned tablets
are 64% lower.
 With stipend and indirect costs, user owned tablets
are 9% lower.
Will you spend $500K for 1,000 enterprise-owned or 2,745
user-owned Tablets?
$0 $200 $400 $600 $800 $1,000 $1,200
Ent.-owned, fully managed
User-owned, semi
managed Hardware and Software
Voice and Data Service
IT Labor
Administration
Stipend
End User Costs
Hardware and Software
Voice and Data Service
IT Labor
Administration
Stipend
End User Costs
$0 $200 $400 $600 $800 $1,000 $1,200
By 2019, 85% of enterprises will provide no direct compensation for
BYOD purchases.

15. © 2014 Gartner, Inc. and/or its affiliates. All rights reserved.
#GartnerSYM
Windows Applications on Tablets?
$0.00
$100.00
$200.00
$300.00
$400.00
$500.00
$600.00
$700.00
$800.00
$900.00
$1,000.00
Enterprise-owned fully
managed tablet
Employee-owned semi
managed tablet
Employee-owned semi-
managed tablet w/SBC
Employee-owned semi-
managed tablet w/HVD
+11%
+85%
Base
Stipend
Administration
IT operations labor
Hardware and software
Data
-28%
-64%
-25%
+49%
Worthwhile considering if it eliminates the need for another
endpoind device or if it reduces the TCO of the secondary device

16. © 2014 Gartner, Inc. and/or its affiliates. All rights reserved.
#GartnerSYM
How BYOPC Will Users
Access Applications?
(Preliminary Numbers)
$-
$500
$1,000
$1,500
$2,000
$2,500
$3,000
$3,500
Org. Owned BYOD
Device/User
BYO + SBC BYO + Local VM BYO +
Persistent HVD
BYO + Pooled
HVD costs
BYO + DaaS
-4%
Hardware & software
IT operations labor
Administration
Stipend
Base
+24%
+26%
+48%
+42%
+56%
-20%
+8%
+10%
+31%
+26%
+39%

17. © 2014 Gartner, Inc. and/or its affiliates. All rights reserved.
#GartnerSYM
Key Issues
1. What are the main cost elements of a
BYOD program?
2. What are the essential criteria for analyzing the
cost of BYOD programs?
3. How can the benefits of a BYOD program
be maximized?

18. © 2014 Gartner, Inc. and/or its affiliates. All rights reserved.
#GartnerSYM
Lessons Learned: Program
 Understand your goals.
 Don't overreach with policy Controls (e.g., EMM):
- But it's hard to get MORE restrictive over time.
 One global framework with local variations.
 Target the right set of users, those that want BYOD
and that are comfortable with technology.
 Target the right set of devices, don't stop
at smartphones.
 Some users will opt-out. What do they get?
 Consider CYOD where appropriate.

19. © 2014 Gartner, Inc. and/or its affiliates. All rights reserved.
#GartnerSYM
Lessons Learned: Support and Financial
 Redraw the boundaries of IT responsibilities and
implement three levels of support as suggested by
the managed diversity support framework
 Subsidies vary by job role and country
 Know your fully-loaded cost per device/employee
 Handle international travelers carefully
- Loaner programs, concierge service, travel alerts

20. © 2014 Gartner, Inc. and/or its affiliates. All rights reserved.
#GartnerSYM
Lessons Learned: Liabilities
 Employee is liable for business use of personal apps
 E-Discovery can lead to device seizure
 Employee privacy protections: Personal data, location
 Employee responsibilities for app licensing
 Employee maintains personal equipment and data
 Enterprise support limits
Protect the organization via signed policy stating:

21. © 2014 Gartner, Inc. and/or its affiliates. All rights reserved.
#GartnerSYM
Goals Matter!
If the Purpose Is:
Then You Should:
Employee
Satisfaction
Cost
Reduction
Mobile
Expansion
Measure Success by Perception Total Cost
Participation
Rate
Communicate Benefits for Existing
Mobile Users
Senior Management
Priorities
Benefits to All
Workers and
Business Units
Focus on
Employee Choice,
Subsidies
Cost Controls,
Subsidy Limits
Workforce
Enablement Apps
Provide Device and
App Controls
Modest Controls Heavier Controls,
Limited Device
Choice
Vary by
Worker Type

22. © 2014 Gartner, Inc. and/or its affiliates. All rights reserved.
#GartnerSYM
Conclusions: Leveraging BYOD for
Business Benefit
• Segment users, define multiple management regimes
One size of management won't fit everyone
• BYO must be a win-win bargain
Everyone gives something, everyone gets something
• Know your fully loaded costs
Use the Gartner TCO chart of accounts
• Expect additional investments
E.g., EMM, containers, app shielding, VDI, infrastructure, etc.
• Revisit application architectures and tools
Thinner = Lower cost and more device neutral
• Use third-party management and payment processing services
Esp. for more complex scenarios (multi-country/region, complex
tax situations)
• Look on this as an opportunity, not a problem
Identify new opportunities for application growth enabled by BYOD

23. © 2014 Gartner, Inc. and/or its affiliates. All rights reserved.
#GartnerSYM
Recommended Gartner Research
 Understand the Financial Impacts of BYOD Federica Troni
(G00271207)
 Use TCO to Assess Choices in Devices, Support Policies
and Management Approaches Federica Troni (G00271167)
 Intangible Benefits of BYOPC Must Be Considered to
Offset Likely Cost Increases Michael Silver (G00271628)
 Bring Your Own Device: The Results and the Future
David A. Willis (G00264028)
 Toolkit: BYOD Mobile Device Policy Template
Rich Doheny and others (G00258603)
 Magic Quadrant for Enterprise Mobility
Management Suites
Terrence Cosgrove (G00261703)
For more information, stop by Gartner Research Zone.

24. Gartner Business Intelligence, Analytics &
Information Management Summit 2015
23 – 24 February, Sydney, Australia
9 - 10 June, Mumbai, India
23 – 24 June, São Paulo, Brazil
Gartner Business Intelligence & Analytics
Summit 2015
9 - 10 March, London, UK
30 March - 1 April, Las Vegas, NV
19 June, Tokyo, Japan
14 – 15, October, Munich, Germany
23
Events for
Business Intelligence &
Information Management
Professionals
Experience live analyst expertise plus much more at a Gartner event.
Visit gartner.com/events
Gartner Enterprise Information & Master
Data Management Summit 2015
11 - 12 March, London, UK
1 - 2 April, Las Vegas, NV
Gartner Catalyst Conference
10 - 13 August, San Diego, CA
16 - 17 September, London, UK

25. Gartner Symposium/ITxpo: The world's most important
gathering of CIOs and senior IT executives
24
• Hundreds of analyst-led sessions, workshops, how-to clinics and more
• Role-based tracks designed to address your key priorities and challenges
• Immediately actionable take-aways—a clear action plan for the next three, six and 12 months
• Mastermind Interview Keynotes with industry leaders
• ITxpo exhibit floor with hundreds of top solution providers and exciting startups
October 19 - 22 Sao Paulo, Brazil
October 26 - 29 Gold Coast, Australia
November 2 - 5 Goa, India
November 8 - 12 Barcelona, Spain
May 19 – 21 Dubai, UAE
September 28 -30 Cape Town, South Africa
October 4 - 8 Orlando, FL
October 14 - 16 Tokyo, Japan
Visit gartner.com/symposium

26. © 2015 Gartner, Inc. and/or its affiliates. All rights reserved. 25
Simple steps for increasing the value of today's
webinar experience
Today's presentation
is available to download
on the Attachment tab
of our webinar portal
and on our webinar page.
Visit gartner.com/webinars
Check out the schedule
of upcoming Gartner webinars
(plus on-demand webinars)
and don‘t forget to share these
resources with your colleagues.
Contact your Gartner account executive with any
additional questions, comments or for a complimentary
copy of today's presentation.