NEW YORK … Dec. 8, 2003 – The most popular collaboration tool in use today—and for the foreseeable future—is instant messaging. A new benchmark by Nemertes Research shows that 90% of IT executives say their employees use IM, even if it’s not officially sanctioned by IT.

A consumer technology that came into most enterprises through the back door, IM is starting to show up on IT managers’ radar screens. They’re realizing that they need to get a handle on the technology to ensure it delivers maximum value.

“Although most companies allow the use of IM today, many haven’t standardized on a specific client or service,” says Melanie Turek, Nemertes’ principal research analyst. “That creates an opportunity for vendors of enterprise-class IM software and services—and a challenge for IT managers who are trying to figure out how best to deploy the technology.”

IT executives expect IM will help them boost productivity, speed time to market for developing and delivering new products and services, and manage remote employees—a growing concern among today’s global organizations. “IM can do a lot to ensure far-flung employees get the information they need right when the need it,” says Turek. “That’s especially important for companies whose employees are located around the country, and the world.”

Still, IT executives face challenges as they standardize on IM. Integration is an issue—if they choose one client and forbid the use of any others, employees may not be able to message partners, suppliers and customers. And security is an issue everyone must take seriously: Companies that permit consumer IM services must also use a third-party management/compliance/security application.

Few IT executives have performed a return-on-investment calculation for their current or planned IM rollouts, but most say the cost of entry is low enough to justify. The benchmark includes two IM-specific ROI models based on Nemertes’ Total Value of Service Delivered (TSVD) methodology: Just in Time Fetch the Expert for Professional Services, and Just in Time Fetch the Expert for Banks.

The report, which draws on four months of research with 40 IT leaders and nearly 50 vendors, also found:

• IT is becoming more involved when it comes to making purchasing decisions around IM, but the needs and wants of business end users must be addressed.

• Nearly 80% of companies report that employees, not IT, first introduced IM into the organization.

• Today, 13% of enterprises ban the use of any IM on their networks because of security concerns.

• More than half of companies restrict the use of IM.

• When it comes to deploying an enterprise-class IM system, 37% of companies do so today, and 20% expect to do so within the next six months.

• Within organizations that have standardized on an IM client, 70% ban the use of consumer services—though few monitor their actual use.

• Twenty-one percent of companies are deploying presence in other enterprise applications; another 38% plan to do so in the next three years.

• IT execs are concerned about security, especially around virus protection and regulatory compliance.

• IM can boost productivity—but it can also be a productivity drain. IT and business managers need to work together to ensure that employees use the technology wisely.

Nemertes IT executive & market assessment benchmark research series provide detailed recommendations for vendors and IT executives based on direct input from participants and in-depth assessment of their best practices and pain points. “IM in the Enterprise” contains input from organizations across a range of industries—58% have revenue exceeding $1 billion—and is part of a broader study on collaboration technologies, including audio, video and Web conferencing and collaboration suites.

The report is part of a series, “Getting a Grip on Collaboration.” The complete, 140-page benchmark study is available now, as is Volume 1, “IM in the Enterprise.” Volume II, “Sizing up Conferencing,” will be available as a stand-alone report January 5, 2004. Volume III, “The Value of Collaboration Suites,” will be available February 2, 2004.

Founded in 2002, Nemertes Research specializes in analyzing the business value of emerging technologies for IT executives, vendors, and venture capitalists. Upcoming research includes externalizing the enterprise, service level agreements, secure messaging, and bandwidth optimization.

For more information, please contact Shirlene Browne, 718-877-0074.

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