Winning in the Digital Economy A CIO s Perspective. Christine Ashton, SAP S/4HANA Cloud March 01, 2017

Transcription

1 Winning in the Digital Economy A CIO s Perspective Christine Ashton, SAP S/4HANA Cloud March 01, 2017

2 My Story Passionate about technology as an enabler and business value creator CIO/CTO/CDO FBCS, CISSP, C. Sci, C.Eng Transforming and scaling IT/IS for global operating models Business, culture and IT Transformation to accelerate delivery of Digital Business IT strategy to drive commoditisation and innovation (BYO, EAAS, Enterprise Cloud and PAAS) Global CXO Advocate Major enterprise system implementations and project turnarounds (ERP, CRM, Infrastructure) to support rapid growth Building strategic partner 'market places and innovator eco-systems 2017 SAP SE or an SAP affiliate company. All rights reserved. Customer 2

3 Today s Talking Points What s the impact of the booming digital economy on business survival? What does digital transformation mean for current ways of working in business? How must an organisation leverage technology to address the challenges? 2017 SAP SE or an SAP affiliate company. All rights reserved. Customer 3

4 Grow or Go: Company Survival Rate Value For Customers Opportunities For Employees Number of companies that remained in S&P 500 over 3 decades and had revenue-growth rates outpacing GDP growth In 1983 After the 1st decade After the 2nd decade After the 3rd decade % 32% 12% 8% Organizational Health SOURCE: McKinsey Growth & Innovation Service Line; CPAT 2017 SAP SE or an SAP affiliate company. All rights reserved. Customer 4

5 Company Survival Rates Are Being Disrupted Value For Customers The average lifespan of an S&P 500 In 1983 After the After the After the 1st decade nd decade rd decade Opportunities For Employees Organizational Health Number of companies that remained in S&P 500 over 3 decades and had revenue-growth rates outpacing GDP growth company has decreased by more than 50 years in the last century, from 67 years in 85% 32% 12% 8% the 1920s to just 15 years today SOURCE: McKinsey Growth & Innovation Service Line; CPAT 2017 SAP SE or an SAP affiliate company. All rights reserved. Customer 5

6 Disruption isn t Disruption anymore - It s The New Normal We are a luxury mobility company Re-imagining what a car can be In 2014 we began engineering an electric vehicle of our own design One unbounded by the conventions of internal combustion or heritage One that takes full advantage of the advanced technologies driving dramatic shifts in the mobility experience: electrification, automated driving, connectivity and ridesharing Now, as we prepare to launch our first vehicle 2017 SAP SE or an SAP affiliate company. All rights reserved. Customer 6

7 Business Basics In a Digital World As it happens visibility into product and. customer profitability, daily sales outstanding and inventory Access to real-time resource scheduling to re-direct mobile teams, supply chain and ecosystem resources in real-time Integrated real time view of business to track results of changes and course correct 2017 SAP SE or an SAP affiliate company. All rights reserved. Customer 7

8 2017 SAP SE or an SAP affiliate company. All rights reserved. Customer 8 8 Business Disruption Is Happening On 3 Levels Disruption Internal Change

9 2017 SAP SE or an SAP affiliate company. All rights reserved. Customer 9 9 Digital Readiness Requires New Capabilities Operations Run Efficiently Differentiate and excite Customers Re-imagine, Innovate and Disrupt Internal Change

10 Success Is Linked To How We Re-Allocate Resources Operations Run Efficiently Differentiate and excite Customers Re-imagine, Innovate and Disrupt Priorities Automation of repetitive tasks Reduce costs by adopting standard set of solutions within an integrated ecosystem Resilience - Silent Running with security and privacy built in Easily access new tools & applications available in the wider ecosystem; Reduce infrastructure costs by effective hosting/ storage options, Bill of IT - Transparency across everything Faster time to engage and ability to scale up quickly in the market Connect to people, devices, big data, business networks and applications in real time Requires real-time decision making and supply chain agility Close Business/IT interaction and planning requires an agile approach and continuous deployment Meta product data is king. Leverage data about how your products are used Top notch product and technology talent Collaborative approach to suppliers, JVs and start-ups State of the art technology and environments that increase the speed of concept to production Fast reaction times and data to know when things aren t working Activity COMMODITIZE variablize costs, reduce footprint and cannibalize legacy SCALE - Platforms and ecosystems for knowledge, interaction and collaboration EXPERIMENT - Test out Next generation offerings, 3-7 year horizons 2017 SAP SE or an SAP affiliate company. All rights reserved. Customer 10

11 Fit to Standard is key in any Shift Right digital strategy Gartner 70% of tasks are automatable with the next generation technology. McKinsey SAP SE or an SAP affiliate company. All rights reserved. Customer 11

12 Automation - Machine Learning aids Invoice Matching 2017 SAP SE or an SAP affiliate company. All rights reserved. Customer 12

13 S/4 HANA Cloud A Foundation for Digital Business Streamlined Procure to Pay Sourcing and Contract Management Operational Procurement Inventory Management Invoice and Payables Management Accelerated Plan to Product Basic Production Planning Basic Production Processing Inventory Management Maintenance Management Core Finance Accounting and Closing Operations Cost Management and Profitability Analysis Treasury and Financial Risk Management Finance Operations > Receivables Management Project Services Contract to Cash Project Management Time and Expense Management Optimized Order to Cash Order and Contract Management Inventory Management Receivables Processing HR Connectivity Employee Central Connectivity Talent Management 2017 SAP SE or an SAP affiliate company. All rights reserved. Customer 13

14 SAP Cloud is the Digital Business Platform 2016 SAP SE or an SAP affiliate company. All rights reserved. Public 14

15 What is the most important factor in your company s ability to move to a digitalized business? Changing Industrial era norms and ways of working is the path to digital bottle neck not the technology 2017 SAP SE or an SAP affiliate company. All rights reserved. Customer 15

16 In Summary Digital Business Culture Must Haves Digital Agility is a change in the way the whole company thinks. Determine opportunities and challenge your response to your new reality Create digital advocates at all Leadership levels in your organisation. Focus on a Customer In rather than a Product Out strategy - the customer is now the boss. De-scale and simplify work fit to standard and As A service are the new mindset. Look to deliver value in 90 day waves use any gains to fund innovation to shift-right Actively look for ways to re-inforce entrepreneurial mindsets and behaviors use break-out events e.g ideathons, dev jams, customer jams to create proof points 2017 SAP SE or an SAP affiliate company. All rights reserved. Customer 16

17 In Summary Digital Must Haves Silent Running privacy and security built in, easy upgrades and no hardware or technical debt Shift-Left use Fit to Standard to dismantle legacy and commoditise - invest ONLY where it creates differentiation or something completely new Business in Real-time from anywhere is the new benchmark. No-more waiting. Continuous improvement of best in class capability ahead of demand customers expect it Artificial Intelligence that can help to simplify routine tasks using smart matching and alerting. Extensibility built in Integration out of the box, Open APIs, IOT Scale built in No more re-fits 2017 SAP SE or an SAP affiliate company. All rights reserved. Customer 17

18 The future is here where will you go? 2017 SAP SE or an SAP affiliate company. All rights reserved. Customer 18

19 Thank you Contact information: Christine H. Ashton Customer Experience Executive