Over the next five years, just under half of large enterprises will shift to a hybrid model of delivering business applications in an attempt to cope with changing work patterns and demands for more flexibility.
According to a survey undertaken among chief information officers in 250 UK companies employing more than 1,000 staff by enterprise applications giant SAP, about 71% of respondents use on premise packages today compared with 17% that employ a cloud delivery model and 13% that offer mobile access.
Within 12 months, however, this split is expected to move to more like 66% on-premise, 19% cloud and 15% on-device. But in three to five years time, some 51% will use on-premise packages compared with 28% using cloud services and 21% mobile.
Tim Noble, managing director of SAP UK and Ireland, said: "The shift to on-demand and on-device software is indicative of businesses’ need for faster deployment, access to real-time data and improved performance. It is also led by demand from the end user who increasingly wants access to business critical applications on the go."
The key driver for moving to cloud at the moment is scalability, which was cited by 62% of respondents. Speed of deployment, cost savings and environmental benefits were also seen as important. But 53% of organisations were still put off by security fears, while a third were unconvinced by the potential benefits of the delivery model or believed they were unproven.
As for mobile access, the biggest advantage here was perceived to be flexibility. Some 72% of those questioned said they expected more than one in ten of their workforce to become mobile within five years compared with just under half today.