With our model, you have the ability to see all aspects of mobility spend, including those that are charged back by employees and potentially submitted via expense reports, as well as those gigantic AT&T, Verizon and Sprint bills that companies have been paying for years.
When you provided visibility into the spend, what were some of the revelations?
We see shocking things.
During the Haiti earthquake a couple of years ago, we watched an admin at a company spend $3,000 in Haiti relief on the company dime via text message. You might recall American Red Cross saying that if you enter 9099 on your cell phone, it'll send a $10 donation in charitable giving via your cell bill. In the case of the admin, the employee paid for the device and the company paid the bill. The admin sent 300 messages.
People are carrying three, four or five different devices when the policy states they can carry one or possibly two.
Infographic: BYOD's Dirty Little Secret
We see unbelievable overages in messaging and outrageous data consumption. Eleven percent of the download spend in the enterprise is adult content. That could be anything from Misty Mobile love alerts to sexycougars.com. Companies are spending an average, additional 29 cents per cellular line on 411 calls today. One user had $110 on 411 calls in a single month.
Many companies with a BYOD smartphone policy offer a monthly stipend, with the amount varying depending on the employee's role. This caps the risk of outrageous bills, right?
The stipend is a bit of a blunt instrument.
An enterprise will put in a blanket allowance, say, everyone gets $75. If you look at the roles and functions where $75 is actually appropriate, the [number of employees] is pretty small. If you have a single stipend and draw a line in the sand, you're likely under motivating a number of employees while over motivating others.
And you've lost a lot of visibility in how these devices are being used.
The issue here is, who picked $75? What did they do to design that program? Was it based on the way they use mobility? The point we're trying to make is that the stipend hits very few people exactly on the head, in terms of their functional requirements.
VMware claims to be saving $2 million a year with a BYOD smartphone mandate. The CIO told me that it would be cost-prohibitive to take a hybrid approach: BYOD smartphones mixed with company-owned smartphones. Is the mandate the way to go?