Agendamagazine How videoconferencing grew up Once the preserve of science fiction, telepresence technology is now a reality in many multinationals. But can it transform how you work? BY ROBERT JEFFERY When Cisco launched the first widely available multiple participants in different locations to hold corporate telepresence system in 2006, CEO John a virtual conference and collaborate in real time. Chambers said he was bringing “Star Trek Cisco itself holds 6,000 Cisco TelePresence teleporting” to the boardroom. meetings a week and through the integration of Four years later, at global law firm Latham & Tandberg into the newly formed Cisco TelePresence Watkins – one of thousands of companies to Technology group averages about 75,000 video introduce a videoconferencing solution from the calls per month among 1,700 employees worldwide. dozens of providers now on the market – the reality Fredrik Halvorsen, senior vice-president of the is more prosaic. Videoconferencing between the Cisco Telepresence Technology Group, says: firm’s 29 offices worldwide has become a seamless “Telepresence is integral to everything we do. It part of everyday corporate life, no different to drives so much productivity for us and has enabled sending an email or accessing a server. us to be much more nimble and responsive to our Nobody talks about “beaming up” any more, customers and the market.” says Latham & Watkins CIO Ken Heaps, because At Latham & Watkins, more than 100 high today’s technology doesn’t seem out of place in the definition Tandberg units can be taken to desks so C-suite. “High definition videoconferencing is a staff can videoconference on demand. Heaps says defining technology,” he says. “It’s the same as PCs, it allows attorneys to read body language, which networking or the internet.” can be crucial. Telepresence also means it’s more “When we introduced PCs, clients would say: difficult to check a mobile phone or become ‘How are you preparing my document? Pen and distracted during a conference call, which improves paper? Are you dictating it to your secretary?’ It productivity. But the biggest benefit has been was clients who demanded PCs, and soon they will engagement – Heaps believes the firm has demand videoconferencing, which will drive “improved client relationships” by showing its adoption.” willingness and commitment “to leverage While Heaps’ firm is as an early adopter, many technology to provide enhanced client service, other companies are catching up. The global increased productivity and greater efficiency.” business spend on videoconferencing technology There is a danger in over-relying on in 2009 was US$3bn (€2.1bn), according to research videoconferencing – as Heaps puts it: “You need to company Wainhouse, which says the average user stand elbow-to-elbow with people sometimes to saves 30% on annual travel costs, 25% on training develop the relationship. But from a day-to-day and gets to market 24% faster. Eight out of ten perspective, it fits the bill.” Leaders should be Chinese companies surveyed by Global IP mindful, too, of using the technology to build Solutions in February 2010 were planning to remote teams without considering employee introduce the technology within 18 months. The engagement, or of removing face-to-face meetings UK’s National Health Service is implementing a from the client mix. Adoption of the new technology nationwide system it believes could cut up to may be slow if CEOs fail to bring about the cultural US$150m (€110m) a year in travel costs, as doctors change which will make videoconferencing part of and managers can meet virtually. It’s not hard to everyday corporate processes. see why, across countries and continents, the There are also technical considerations. Getting savings are even more attractive. the vendor right is crucial: systems must be reliable, Telepresence aims to move the but also need to sync easily with those of partners videoconferencing experience beyond grainy, and clients, a goal not all can currently achieve. The webcam-like close-ups of faces, providing a more support requirement can be intensive. immersive view of conference rooms and offices, But as Cisco envisages a worldwide network of with screens up to 31 feet wide. Most corporate telepresence suites in accessible locations such as offerings from industry leaders like Cisco (with its hotels, and businesses of all sizes use the technology recently acquired Tandberg product portfolio) to drive rapid global expansion cheaply, the and Polycom can display content such as web methods of working Latham & Watkins is ©KPMG Agenda magazine 2010 magazine Agenda ©KPMG pages or presentations on screen, while allowing pioneering could become the norm. ● » GO ONLINE 29 Visit www.kpmg.com/ agendaonline to discover how Cisco is .