System stall: Enterprises still struggle with file transfer processes

A new survey confirms very few companies have enacted a comprehensive managed file transfer (MFT) process, but both applications vendors and industry experts alike know there’s plenty of interest in solutions adoption in the coming year.

By Manufacturing Business Technology Staff October 31, 2008

Despite a host of problems that corporations are encountering with the transfer of digital files, most large enterprises have yet to adopt a comprehensive solution to address these issues, according to the results of a new study announced by Group Logic , a provider of Managed File Transfer ( MFT ) and Mac/Windows connectivity.Although few respondents have implemented comprehensiveThe study, conducted in conjunction with emedia USA , surveyed nearly 300 IT professionals across multiple industries. According to the findings, many of America’s top corporations are regularly transferring high-value and data-intensive files across internal departments and external partner networks. Yet these same companies still face significant challenges in managing the movement of these digital assets.The most pressing problems include:• Slow transfer rates (59 percent);• Inability to send large files or a need to babysit important transfers (42 percent);• High burden of file transfer system management (25 percent);• Use of file transfer servers for storage by users and a resulting lack of disk space (23 percent);• Lack of security; users sending unencrypted files via the Internet; file transfers that do not comply with corporate security (22 percent);• Lack of audit trails and/or inability to track down transfers (19 percent); and• User/customer dissatisfaction (19 percent)Many enterprises surveyed also confirmed their reliance on rudimentary and poorly managed processes.The top methods of file transfer are as follows:• Email (75 percent);• FTP sites (59 percent); and• Burning data to CDs or DVDs and send via courier/overnight delivery service (45 percent).“Corporations are feeling the pain of digital file transfer overload. Too many organizations are encountering major challenges impacting corporate governance, security, productivity, and business process management,” says T. Reid Lewis, president and CEO of Group Logic. Comprehensive MFT solutions from companies like Group Logic can transform digital file transfer into a strategic business process that safeguards files of large size and scale moving across an enterprise’s entire supply chain and partner networks worldwide.”Stamford, Conn.-based analyst firm Gartner estimates the market for MFT is approximately $450 million a year and growing at a rate of 21 percent to 26 percent year over year.Says L. Frank Kenney, research director with Gartner, “Enterprises today face a number of issues that impact the file transfer process, and will greatly benefit from solutions that meet the needs of today’s complex enterprises.”