IBM: Emergence Of SoMoClo Rapidly Gaining C-Suite Attention

The concept of SoMoClo, the convergence of social, mobile and cloud IT infrastructure towards a services-based continuum, was first coined by Aberdeen Group almost three years, but it is rapidly gaining the attention of the C-Suite, said Rebecca Buisan, Director of IBM SmartCloud and Social Business. “That’s a pretty profound trend… the pairing of these three technologies, they are very interdependent.”

While social networking has had a ‘profound effect’ on business, IBM said when it’s combined with cloud delivery models and mobile device capabilities it can radically transform an organization. It believes businesses have the opportunity to ’empower employees to work more effectively, collaboratively and securely from any location in order to create larger more effective global workforces.’

More than 55% of companies identify social networking as having a strategic significance to their company’s growth while 60% are ready to embrace cloud computing as a means of growing their businesses and achieving competitive advantage, according to IBM’s CIO Survey. Its CEO study reported that 70% of companies surveyed cited human capital as the single biggest contributor to sustained economic value, while its CMO study found that 82% of CMOs are saying they plan to increase their use of social media over the next three-to-five years to communicate with their clients.

According to Aberdeen, SoMoClo business value results include:

-average 2.5 hours faster in responding to customer inquiries than non-SoMoClo respondents;

-reported a higher percentage of better-than-average customer satisfaction;

-33% more likely to provide secure remote access to their mobile works;

-66% more likely to provide cloud-enabled mobile file sharing;

-55% greater workforce productivity improvement year-over-year;

-50% greater revenue increase year-over-year; and,

-38% less employee turnover, indicating higher employee satisfaction.

IBM also has a set of impressive numbers about the reshaping of the industry, including:

-as much as $1.3 trillion of potential value could be created by social business — in just four industry sectors;

-by socially transforming Customer Service, organizations have reduced their customer defection rate by as much as 5%, increasing profits by up to 68%;

-being social has helped businesses cut as much as two-thirds off their new Product Development

times;

-Human Resources functions have reduced by two days New Hire On-Boarding time

-marketing departments have achieved a 100% increase in market exposure via social; and,

-some organizations have jump-started their sales processes, increasing sales manager revenue by 40% and improving sales efficiency by up to 50%, by better connecting sales people and customers.

Buisan spoke with IT Trends & Analysis shortly after IBM made a number of SoMoClo-related announcements, including cloud and mobile-enabled social business software and service capabilities. The company said it has more than 9,000 cloud clients, including 75 of the Fortune 100, transforming their business operations with IBM enterprise social software. “Cloud is important to IBM’s customers, so therefore cloud is very important to IBM.”

Then you throw in mobile and Big Blue’s MobileFirst strategy, including its collection of mobile enterprise software, services, cloud and analytics capabilities. Buisan said her division is designing for mobile devices as the dominant user experience.

“There is a very strong tie between mobile and cloud, a real stickiness to those.” However this convergence represents both an opportunity and a challenge, she added. “One adoption pattern we’re seeing is customers saying they can’t keep up with fast change in mobile with their own staff… so we’re helping them.”

 

Author: Steve Wexler

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