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Strategy: Web-Based Apps

Big Idea: Web-based productivity software products are here, making thin-client computing a lot more compelling

Article: "Web-Based Apps: A Strategic View" by Rodrigo Fontecilla and Steve Wardell, published by strategy + business, Winter 2007

Despite the widespread use of client-server networks, their cost and maintenance has not been a plus for CIOs. And if you add to that the time and cost of training users to use personal productivity applications, then you have a compelling reason for CIOs to want another alternative.

Thin-client computing has long been a dream of many in the technology industry, but without the personal productivity applications to provide workers with the tools they need to perform their jobs, such a vision was unlikely to become reality.

But now, according to Booz Allen Hamilton principal Rodrigo Fontecilla and associate Steve Wardell, the early tools are here to start IT executives thinking about what the future will bring. In their article for strategy + business, the two cite products such as Zoho's office suite, ThinkFree Office and Google Apps as examples of the changing landscape. Even Microsoft is getting into the act with Microsoft Works http://www.microsoft.com/products/works/default.mspx (although Word and Excel are still not offered online). Said the authors, "Although these applications aren't yet quite ready for prime time, especially in computing environments on the scale of large corporations, their strategic implications, especially in an age of vastly increased mobility and the rise of the globally integrated corporation, are profound."

The authors do some simple arithmetic to point out why Web-based apps will be so appealing to CIOs: They estimate the cost of outfitting 19,000 employees with Microsoft Office over a 10-year period is $17.6 million. If only 20% of workers received Office and the rest used a free Web-based application suite, the total 10-year cost would be $3.5 million.

Read more about the advantages of Web-based apps and some concerns. And as you ponder the future of computing, consider that your younger employees who are used to taking advantage of Web-based software and services on the Net will be eager to have the flexibility that many of these tools provide wherever they are working.

CIOZ Question: Will your organization consider web-based apps for its workers? Why or why not. Post your ideas below.

Comments (1)

	1. 11-03-2008 18:34
	It costs us only 400 dollars a month to support 1000 members.     We at Vyass Information Center chalked out a plan in 2007 and started a project called Project Vyas on March 25th through which we wanted to teach one million people Internet. Even though we didn't really calculate how much we are about to save we have created a organization that runs virtually only having a limited hardware infrastructure of 5 PCs and 600 sft of commercial space. Now we are supporting 1000 associates just spending 10 dollars a year that too for domain registration. We are using mix of Google Apps, Yahoo, MSN and others available. Each of our associates received one to threee months training.You may visit our official website www.vyass.org Guest

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