Taking an Intelligent Approach to Revenue Growth Management. Matthew Campbell, Managing Director Accenture CG&S Digital Customer Transformation

Transcription

1 Taking an Intelligent Approach to Revenue Growth Management Matthew Campbell, Managing Director Accenture CG&S Digital Customer Transformation

2 EVERY BUSINESS WILL EXPERIENCE SOME FORM OF DISRUPTION ENTIRELY NEW MARKETS OR CHANNELS SMARTER, FASTER DECISION MAKING, AT SCALE BREAKDOWN OF TRADITIONAL CONVENTIONS

3 WHAT S HAPPENING RIGHT NOW CPGS NEW NORMAL Growth among top 50 CPG brands has eroded Consumer purchase decisions are increasingly influenced online; yet trade promotion spend has doubled since 2000, representing 15-30% of revenue CPG share of in-store space has been reduced as private label has grown 23% Digital and mobile are fueling consumer transparency and online competition TOP 25 CPG* TOP 25 CPG PRIVATE LABEL TOP CPG ,000 CPG 45% 3% 23% 25% 49% OF CATEGORY SALES OF CATEGORY GROWTH OF CATEGORY GROWTH OF CATEGORY GROWTH OF CATEGORY GROWTH * Nielsen Breakthrough Innovation Report June 2016; food and beverage manufacturer analysis.

4 NEW DRIVERS OF GROWTH FOR CPG Rules of the game have changed and will continue to change faster than ever before MASS APPEAL MARKETING SCALE, EFFICIENCY & STANDARDIZATION Vs. Vs. PERSONALIZATION, CURATION & AUTHENTICITY AGILITY & AUTOMATION WHAT ARE THE CLEAR IMPERATIVES FASTER BRAND LIFECYCLE PARTNERSHIPS & ECOSYSTEMS OWNED / M&A Vs. PARTNERSHIPS MULTIPLE BUSINESS MODELS COMPLEX WORKFORCE OPERATING MODELS NEED TO EVOLVE

5 DATA & ANALYTICS ARE PIVOTAL TO CONSUMER GOODS MANUFACTURER SUCCESS End to End Experience, Personalization & Customization The workforce becomes liquid and augmented Manufacturing transformation Product democratization Omni-channel platforms accelerate aided by digital assistants Business models shaped by level of engagement Stores shrink and become experience driven Data and predictive analytics Marketing E2Me Ecosystems and supply chain cooperation

6 What We are Seeing Across Industries: Data, Technology, Analytics, and Organization New data sources and technology trends Rise of the Machines New Data Sources (e.g., Social, IOT) Pace of Technology Innovation Embedded Analytics (Analytic Apps ) Immersive Analytics Environments leading to new ways of enabling analytics and driving adoption. The Agile Analytics Operating Model Experience Design Led (Analytics Marketplace) New Delivery Models (Pod Teams, Cloud) Fit for Purpose Technologies Emphasis on changing the Cultural DNA

7 TRENDS & PREDICTIONS

8 DATA DATA EXPLOSION Big data was characterized by an explosion of data. Now, in addition to big data volumes, we are seeing an explosion in the number of data sources and the speed of data. DATA COMPLEXITY The number of data formats is growing, from unstructured data such as images and audio/video to IoT. The ability to capture and act on multi-speed data is a core requirement for next-gen analytics. By 2019, 75% of analytics solutions will incorporate 10 or more exogenous data sources from second-party partners or third-party providers By 2018, 90% of deployed data lakes will be useless as they are overwhelmed with information for uncertain use cases DATA MONETIZATION Companies are realizing the economic value of their data and are making strategies to directly or indirectly monetize it. DATA & DESIGN THINKING Driven by Data Explosion, Complexity and Monetization, businesses are re-designing business processes withand-for data to provide points of action rather than just points of information. All of which is enabled by data. By 2020, 10% of organizations will have a highly profitable business unit for productizing and commercializing their information assets This isn t just about providing employees with an ipad-controlled dashboard with a glut of data. It is about creating points of action instead of points of information Fjord Copyright 2017 Accenture All rights reserved.

9 ORGANIZATION ANALYTICS COE Shift from business intelligence competency centers to analytics centers of excellence that no longer report directly into IT. By 2018, 75% of technologyoriented BICCs will have evolved into strategy-oriented analytics centers of excellence RISE OF CAO/CDO Companies are beginning to build entire business units focused on analytics with senior representations reporting directly into the c-suite. Gartner has noted that the number of CDOs has grown from 15 in 2010 to over 1400 in 2016 WAR FOR ANALYTICS TALENT Inability to source, develop, grow, and retain advanced analytics talent. Plus analysts are spending more time gathering data doing analysis. On average, there are 160 resources in the analytics organization and 43% of companies expect that number to increase moderately over the next 3 years Copyright 2017 Accenture All rights reserved.

10 ANALYTICS COGNITIVE COMPUTING Computer inherently building a human brain that moves from a storage device to abilities of selflearning, data mining while instant pattern recognizing capability. By 2018 half of all consumers will interact with services based on cognitive computing on a regular basis DATA DISCOVERY Rapid exploration of data to identify patterns out of large pools of data (using Big Data concepts). According to Gartner, 40% of organizations currently have adopted some form of data discovery; this will grow to 55% by 2020 INSIGHTS MARKETPLACE Development of Amazon-like enterprise insights marketplace for users to consume and exchange insights through one unifying channel. REAL TIME ANALYTICS Moving from looking at historical results to a continuous feed of data which allow to support artificial intelligence. By 2020, 30% of enterprises will use a Data as a service(daas) approach to provide consistent, ondemand and reusable data delivery By 2018, 50% of agent interactions will be influenced by real-time analytics Copyright 2017 Accenture All rights reserved.

11 TECHNOLOGY HYBRID ECOSYSTEM Industrializing and scaling analytics solutions requires Hybrid Architectures that integrate the strengths of big data tools and tech with the strengths of traditional and pre-existing systems. More than 10% of enterprises have some form logical data warehouse (LDW) architecture, and it has emerged as the primary enabling architecture to support bimodal demands on data management for analytics OPEN SOURCE The advent of cheap storage, highspeed networks and world-wide communication has driven a renaissance of software development, allowing companies to use cutting-edge software for free. By 2016, at least 25% of the major advanced analytics vendors will offer functionality via analytics open source software communities CLOUD & AS-A-SERVICE Cloud & As-a-Service providing the means to quickly and easily trial new solutions without paying the highentry and/or -effort toll that characterized on premise solutions. By 2019, 14% of BI software will be deployed in a SaaS model NEW IT Technology has become the business. The world s fastest growing companies leverage technology to deliver their products at previously impossible speeds and costs. By 2017, fewer than 50% of IT organizations will have tried to put a bimodal IT organizational structure in place; half of them will struggle through multiple attempts before reaching a working state Copyright 2017 Accenture All rights reserved.

12 The age of intellectual and human empowerment.

13 APPLYING INTELLIGENCE to UnTRAP VALUE INCREASE REVENUE TRANSFORM CORE BUSINESS REDUCE COST TO SERVICE TRAPPED VALUE EXPAND MARKET SHARE PIVOT TO THE NEW ACCELERATE TIME TO MARKET DRIVE INNOVATION AGENDA

14 HOW WE APPLY INTELLIGENCE OPERATE WITH NEW AGILITY DEFINE NEW OPPORTUNITIES CREATE NEW CULTURE INTELLIGENT SOLUTIONS UNTRAP NEW DATA DISCOVER WITH NEW SCIENCE

15 NEXT GEN INTELLIGENT REVENUE MANAGEMENT POWERED BY ARTIFICIALINTELLIGENCE TRADITIONAL REVENUE MANAGEMENT Backward Performance Tracking. Focused on few Top Customers and Competitors INTELLIGENT REVENUE GROWTH SOLUTIONS Actionable predictive insights at a granular level to drive action Siloed view, leading to a lack of collaboration among Finance, Sales, Account teams and Marketing (and different sources of truth) Commercial plans (e.g., price and promotion) not cascaded timely to the field Limited and/or aggregated data Challenges to scale Use the same Math/Statistics to drive transparency across the organization Actionable target and timely communication with the Field Reps using simplified visualization and Execution tools More granular data (POS) and new data sources (e.g., social, demographic, macroeconomic trend) with higher signal value One cloud based open architecture powered by artificial intelligence and advanced analytics to achieve a single version of the truth

16 DEFINE NEW OPPORTUNITIES INTELLIGENT REVENUE GROWTH: TRANSFORM TO LEAD WITH INSIGHTS INSIGHTS TO ACTIONS ANALYTICS INSIGHTS Analytics bring the insights PLANNING Planning makes it concrete SALES EXECUTION Sales Execution puts it into action SFA, TPM, E-COMMERCE TOOLS FEEDBACK FROM MARKET INSIGHTS PLATFORM INSIGHTS TOWER Technology integrates and articulates Processes and people support the process

17 Automatic Data Management Services Data Scientist Business Users DEFINE NEW OPPORTUNITIES INTELLIGENT REVENUE GROWTH: TRANSFORM TO LEAD WITH INSIGHTS Analytics Applications Scenario Prioritization Visualization Self-service Analysis visualization WHAT IS IT, HOW IT HELPS? Decision Support So What? embedded predictive and optimized recommendation Analysis, Reporting & Communication Next Best Action and revised Targets tuned by decision makers above WHO IS IT FOR? Few Key Business Users, responsible for decision making Wide Biz Users group, focused on execution & progress monitoring Advanced Analytics building blocks for modelling & processing analytics applications Statistical Models and Algorithms Learn cause-effect from multiple historical data and predict/optimize future effect Data Scientists and analytics modelers Storage Validated, Analytical Storage Data Ingestion Data capturing & Integration Granular DATA Data Lake & DWH Cleansed, Harmonized, Certified for Analysis & Advanced Analytics and Raw data Data Acquisition Toolsets Traditional ETL for structured data Flex Ingestion/Streaming for unstructured data Designed with business logic insight, it s then an automated process, managed by IT specialists Cloud Cloud infrastructure & Security Data Sources Cloud Technical Infrastructure Provides the technical environment for all components above, with Flexibility in sizing, usage & Security.on the Cloud

18 Data to Information Information to Insights Insights to Biz Decisions UNTRAP NEW DATA Intelligent Industry solutions for CPG not a single intelligent APP, BUT an integrated SET OF INTELLIGENT SOLUTONS IN A COMMON APP STORE CPG Business User Experience in Decision Making intelligent BRAND BUILDING with Consumers & Shoppers intelligent REVENUE GROWTH on Trade Channels intelligent SUPPLY CHAIN integrated & connected Decision Output Advanced Analytics for CPG Business iapp 1 iapp 2 iapp n iapp 1 iapp 2 iapp n iapp 1 iapp 2 iapp n Granular QUALIFIED Analytic Data Storage Approved Decision (Plans) TRANSFORMATION CPG Data and Ingestion Templates DATA LAKE STAGING, STREAMING, CLEANSING, HARMONIZATION DATA SOURCES ERP Sales Force Automation Trade Promotion Management External Data Retailers (epos), Syndicated, etc. Marketing Campaign / Loyalty ecommerce / Digital Data Social Media Behavioral Data IoT Sensors (e.g Equipment) Insights to Action (targets)

19 DISCOVER WITH NEW SCIENCE ANALYTICS LAB TO FULL OPERATION MODEL Agile Analytics Services Business Stakeholders Agile Analytics Organization Business/ Functional Teams Delivery Governance & Use Case Governance Value Tracking / Measurement Project Management Delivery Management Implementation Planning Branding & Communications The end state delivery model will provide a combination of exploratory and factory services to serve a variety of business users at scale Sales Marketing Innovation Strategy Insights & Analytics Requests Focus: business need Identification of use cases Identification of business questions Prioritization of use cases Analysis and Recommendations Analytics Pod (Data Science) Focus: problem of the day Data integration Analytics modeling Visualization Prove value I&A Factory (scaling analytics) Focus: ongoing questions/ industrialization Automate capabilities Model tuning Independent certification Technology (IT + Accenture) Run & Operations (Reporting) Focus: repetitive reports/ dashboards Infrastructure operations User support Application operations Copyright 2017 Accenture All rights reserved.

20 CREATE NEW CULTURE FUTURE OF TALENT Workforce of the Future TREND 1 TREND 2 TREND 3 TREND 4 New Ways of Working New Pools of Talent Augmenting the Workforce through Robotics/AI Focusing on Workforce Experience 21

21 OPERATE WITH NEW AGILITY TO TRANSFORM TO A DIGITAL ENTERPRISE COMPANIES NEED A CULTURE THAT INSPIRES DIFFERENT BEHAVIOR. Kill linear processes and break down walls Innovate and fail fast Expand role of CHRO and CFO for business outcomes Assemble and disassemble modular capabilities Orient around customer outcomes Stake claim and ID new partnerships in ecosystem Expand role of COO (architect the modular processes) Insert new technology and liquid workforce to increase speed, responsiveness

22 THANKYOU!