Report Card" Survey Reveals Global E-Business Plans Of Prominent U.S.-Based Companies
Survey Finds Executives Committed, but Lacking Critical Technology and Organizational Resources
Waltham, MA - May 2, 2001 - Idiom Technologies, Inc., the leading provider of enterprise globalization solutions, today released the results of a provocative survey that examines the readiness of 129 prominent U.S.-based companies to effectively use the Internet in support of their international business needs. "Report Card for E-Business Globalization" finds 64% of respondents have a mandate from senior management to launch aggressive e-business globalization efforts within the next three to six months. But, the survey also reveals that weak technology infrastructure and poor organizational efforts will hinder the charge to create successful e-businesses in critical world markets. This is the second report in Idiom's Globalization Leadership Series, a collection of provocative reports that help companies address the critical issues surrounding the global Web and e-business. The full report is available at http://www.idiominc.com/us/solutions/gls.asp.
Highlights from "Report Card for E-Business Globalization" include:
Businesses already have significant investments abroad - 36% of those surveyed say their business plans assume that more than one-quarter of corporate revenues will come from outside of the U.S. in 2001.
Senior management sees e-business globalization as a leading imperative - 38% expect to launch aggressive e-business globalization initiatives within the next six months.
High-tech and business service firms lead the charge - Of the various industry segments surveyed, business service firms and high-tech companies have the most ambitious management teams with regards to globalization. By contrast, manufacturers remain more conservative. Firms with sites that directly touch customers -- devoted to marketing or commerce -- exhibit the greatest drive to globalize.
Planning efforts are underway - 41% of respondents have conducted an internal analysis to determine which products and services will best meet international customer needs online, while 86% of companies have actively evaluated the international markets they will prioritize for e-business globalization.
Globalization roadmaps are lacking - A full 42% of respondents have only developed a partial blueprint for achieving their global online goals; another 35% lack any comprehensive globalization roadmap at all.
Experienced teams are rare - 39% of those surveyed have not yet recruited a team to execute e-business globalization. Another 29% have pieced together teams comprised mainly of borrowed staff and contractors, and 75% say that these employees have little or no track record bringing online initiatives to international customers.
By far, the weakest link in the respondents' international strategies is the state of their underlying technologies - 75% have given little or no thought to which new technologies are required to serve customers in their target markets.
"What we're seeing across the board is a corporate commitment to e-business globalization," said Fred Lizza, president & CEO at Idiom. "The senior executives we surveyed understand that an effective global Web presence is critical to cost-effectively achieving their international business objectives. However, their planning and execution don't yet match their enthusiasm, and these companies must now develop a comprehensive plan and commit the technical and organizational resources necessary to ensure success."
Methodology
Idiom conducted an online survey in February 2001 of senior executives at U.S.-based companies regarding their international Web expansion plans, as well as the strategic, organizational, and technical resources they have in place to follow through. Research industry veterans then reviewed each response and collected the results into a data set of 129 prominent companies representing a wide variety of industries and profiles.
"U.S. companies are getting serious about e-business globalization, but turmoil lies ahead as their ambitions collide with limited organizational and technical readiness," said Joe Sawyer, director of globalization products at Idiom. "Despite senior level commitment, more than three quarters of our respondents have yet to create a roadmap including such fundamentals as project goals, milestones, budget, timeline, and return on investment. To take their e-businesses to the next level, executives need to step back and assess their efforts in a way that is comprehensive, process-centric, and specific."
Assessing Global Readiness
One such method is Idiom's Global Readiness Assessment™ (GRA), the industry's first services offering dedicated to helping companies globalize effectively and efficiently online. The GRA helps to assist planners and developers in understanding the business, technical, and process issues involved in developing and managing a global Web site, as well as helping them to avoid the pitfalls of undisciplined globalization efforts. The in-depth, on-site workshop is conducted by Idiom's team, and has been delivered to more than 30 companies worldwide, including Adobe, Eastman Chemical, GE, MasterCard, Royal Caribbean Cruise Lines, and Xerox
About the Globalization Leadership Series
The exclusive GLS reports outline the pressing topics and concerns involved in cross-border and multilingual Web development. Future reports will address diverse strategic topics including return on investment of addressing multicultural and international markets, global brand equity, and cross-border commerce in Europe. The Globalization Leadership Series reports will appear on a regular basis at Idiom Globalization Leadership Series. Also, WorldWise™, the leading online resource center for enterprise globalization, will host supplementary features, statistics, and links to enhance and expand the analysis in each report. WorldWise is located at http://www.idiominc.com/worldwise.
About WorldWise
Idiom WorldWise™ is the leading online resource dedicated to helping companies develop successful global and domestic multicultural Web initiatives. Offered free with registration at www.idiominc.com/worldwise, WorldWise can help companies understand the scope of globalization, guide them through the process, find answers to the most critical questions, stay up-to-date on current issues, and measure the success of their efforts.
About Idiom Technologies, Inc.
Idiom is the leading provider of software, strategy, and services for enterprise globalization. Idiom WorldServer™ is Web infrastructure software for globalization that enables the coordinated and efficient development of multilingual, multicultural Web sites and cost-effectively automates and synchronizes their management. Idiom strategy and services offerings include WorldWise™ (www.idiominc.com/worldwise), the premier online resource center for enterprise globalization, and the Global Readiness Assessment™ to help companies develop or expand a path to successful globalization. Idiom's customers include multinational companies such as Adobe®, Eastman Chemical Company, General Electric, MasterCard, Royal Caribbean Cruise Lines, Travelocity™, and Xilinx, Inc.™ Through its Global Partner Network™, Idiom teams with the industry's leading technology, consulting, development, and implementation service organizations to provide customers with end-to-end solutions for enterprise globalization. Idiom is funded by Banc of America Securities, Eastman Chemical Company, Greylock, JAFCO Ventures, North Bridge Venture Partners, Oracle, and Sigma Partners. For information on Idiom products and services, call (781) 464-6000, visit www.idiominc.com or email publicrelations@idiominc.com.