What CPAs Need to Know about Mobile Business Analytics

Malware threats.

Malware refers to computer programs intended to harm devices or systems. Malware attacks infect a host device, co-opt or disrupt its operations (sometimes destroying it outright), and spread to other devices or systems. Because there are at least six times more shipments of mobile devices than shipments of traditional PCs worldwide (“Gartner Says Worldwide Traditional PC, Tablet, Ultramobile and Mobile Phone Shipments to Grow 4.2 Percent in 2014,” Gartner Newsroom, July 7, 2014, http://gtnr.it/1zkrzpj), attackers frequently target mobile devices for a better reward. In 2014, there were 295,500 new mobile malicious programs detected, 2.8 times the amount in 2013 (press release, “One Billion More: Kaspersky Lab Reports on Cyber Threats in 2014,” Dec. 8, 2014, http://bit.ly/1LX6IST). This huge increase makes it clear that the malware threats on mobile devices should be well guarded against with up-to-date antimalware software.

Insecure operating systems (OS).

The vast majority of mobile devices are running on either Android or Apple’s iOS. Some contend that iOS is more secure because of its tightly controlled environment; content uploaded to the Apple App Store is screened, and iOS ensures that even malware downloaded from the Internet cannot corrupt the device. The main threat to iOS comes from “jailbreaking,” the process of removing hardware restrictions on the OS.

In contrast to Apple’s proprietary iOS, Android is an open-source OS used by a wide range of manufacturers. The primary goal of Android is to create an open platform for developers to implement their ideas and enhance the mobile experience. Therefore, Android users have many sources for apps and may unknowingly download malware from unsafe sites. In 2014, Kaspersky Labs found that 98.05% of mobile malware targeted the Android platform because of its popularity and the vulnerability of its architecture (Darlene Storm, “98% of Mobile Malware Targets Android Platform,” Computerworld, Feb. 24, 2014, http://bit.ly/1F40Dvp).

Both iOS and Android are generally safe, as long as users install apps only from trusted sources. Regardless of their phone’s manufacturer, users should ensure that their devices are running approved OSs with up-to-date security patches installed.

Jailbreaking or rooting devices.

Some tech-savvy employees may modify their devices to increase functionality. Similar to jailbreaking on iOS, “rooting” is the process of allowing Android mobile device users to have privileged control over Android’s subsystems (akin to having an administrator account on a desktop OS); this allows users to delete stock apps and install third-party apps. But jailbreaking or rooting also removes security controls imposed by manufacturers. Consequently, users who jailbreak or root their devices can be at a higher risk of malware infection. In some cases, the process may even be illegal (Chris Hoffman, “Is It Illegal to Root Your Android or Jailbreak Your iPhone?” Makeuseof.com, Mar. 19, 2014, http://bit.ly/1REZSjT).

Theft or loss of devices.

The versatility of mobile devices has made them a necessity for many employees, but this value also makes them targets for thieves. These thieves can then steal personal data and corporate information stored on the victims’ devices, or even use the stolen devices to access corporate servers. Biometric access controls are effective to protect data on lost or stolen devices. In drastic circumstances, remotely wiping a stolen device may be necessary.

Communication threats and data theft.

Many businesses, and even some municipalities, offer free Wi-Fi to attract customers and tourists, and some employees may use their devices to connect to these open wireless access points. While convenient, this can pose a security threat, as hackers can eavesdrop through Wi-Fi to steal information. In addition, if a user’s Bluetooth settings are not correctly configured, hackers can retrieve the address book, call history, and other information from a victim’s device, or send malware over the unsecured Bluetooth connection. To mitigate this threat, businesses can require employees to use a Virtual Private Network (VPN) when accessing corporate information. VPNs encrypt the communication between a mobile device and the Internet, even on unsecured Wi-Fi, to prevent data theft.

Privacy issues.

People often talk on the phone while walking on the sidewalk, waiting in lines, or sitting in a coffee shop. Consequently, conversations can be heard easily, even when these conversations include sensitive information. Privacy-conscious callers can ensure that no eavesdroppers are around them, but they cannot be certain of the environment on the other end of the call.

Corporate governance.

IT governance is part of corporate governance, which provides organizational structures to ensure that IT investments are developed with adequate IT control mechanisms. Therefore, the security of mobile devices should be integrated with corporate governance to ensure that the process is aligned with an organization’s overall governance strategy.

Enterprise mobility management (EMM).

Enterprise mobility is the trend toward a shift in work habits as a result of the growing popularity of mobile devices and cloud computing. Making corporate servers available to mobile devices, however, increases the risk of system security breaches. It is also difficult for enterprises to control the use of mobile devices by non-employees outside the office. To reduce related security threats, EMM vendors offer suites of programs that manage employees’ mobile devices, apps, content, and security features. Specifically, EMM software can securely manage end points—including smartphones, tablets, and iPads—and corporate servers. In addition, EMM solutions use containerization technology to separate corporate data from personal information and provide secure data communication between the corporate servers and endpoint devices. This allows the remote wiping of corporate data on a lost or stolen device while keeping personal information (e.g., photos, music files) intact, easing employees’ concerns about losing that data.

Natural language processing BA.

Many CPAs may have already tried voice-activated functions on their smartphones and appreciated their handsfree convenience. In fact, many personal needs or business tasks that require information can benefit from natural language processing (NLP), which studies the interactions between computers and human languages by integrating computer science, artificial intelligence, and linguistics. Both IBM’s Watson Analytics and Microsoft’s Power BI offer NLP query functionality. IDC has predicted that 70% of leading BA vendors will have incorporated NLP capabilities into their software by 2016 (“Gartner Says Business Intelligence and Analytics Need to Scale Up to Support Explosive Growth in Data Sources,” Gartner Newsroom, Jan. 24, 2013, http://gtnr.it/1XZWf9O).

Self-service BA.

There is a shortage of data scientists who can analyze business data to generate new intelligence. Therefore, several vendors have self-service BA solutions to make their software easy to use. The self-service approach allows users to design analytical queries and reports without the assistance of IT personnel. Tableau and Qlik have been exploring this approach to empower users to take advantage of BA solutions on their own. Other self-service BA solutions include IBM Cognos, Microstrategy Analytics Desktop, Microsoft Power BI, and SAP Lumira Cloud.

Cloud-based BA.

Cloud-based BA offers scalability and a lower total cost of ownership, which make it easier for businesses to deploy BA solutions. Furthermore, some cloud-based BA vendors also provide self-service options. The pay-as-you-go subscription model (as opposed to on-premise installation) is attractive for any entity, especially small and medium-sized businesses with limited IT resources. Cloud-based BA is becoming a popular deployment option; in December 2014, IDC predicted that over the next five years, spending on cloud-based BA will grow three times faster than that of on-premise solutions (Press Release, “IDC Reveals Worldwide Big Data and Analytics Predictions,” Dec. 11, 2014, http://bit.ly/1ArFxEB). Readers are encouraged to review Gartner’s assessment of 24 BA vendors when planning their firms’ deployment (http://gtnr.it/23dDovF).