The Future of Enterprise IT

Transcription

1 The Future of Enterprise IT From Systems of Record to Systems of Engagement SNW October 10, 2011

2 Agenda The Future of Enterprise IT From Systems of Record To Systems of Engagement Implications for IT Implications for IT Vendors

3 Enterprise IT: The Current State Systems of Record are Largely Complete Transaction systems for global commerce... Financials, Order Processing, Inventory, HR, CRM, Supply Chain Mainframes, minis, client-server, PC, Internet-enabled, SaaS Drove three decades of investment Data centers everywhere OLTP and Business Intelligence were the key drivers Network seen as a transport mechanism only Y2K put the capstone on this trend Pulled forward a half decade of investment Enterprise IT has had to go through a long digestive period Focus in past decade has been on efficiency investments

4 IT Innovation: For the Past Decade Enterprise IT On Hold Consumer IT On Fire

5 Redefining IT for Consumers The Digitization of Human Culture Access Infinite content, no barriers to entry, no barriers to exit Communications are globally democratized Microsoft, Google, Facebook, Wikipedia, OpenTable Broadband Pictures, video, shopping Internet touches both the mind and the heart Skype, itunes, YouTube, Hulu, Netflix, Zappos Mobile PC for the emerging markets iphone and ipad set the bar in mature markets IM, , camera, game, wallet, magazine... even a phone! How will this impact enterprise IT?

6 Critical Question to Ask First Which describes your company better? A. B-2-B, our goal being to have hundreds to thousands of customers each paying us hundreds of thousands or millions of dollars per year. B. B-2-C, our goal being to have millions to tens of millions of consumers each paying us hundreds of dollars per year. 6

7 B-2-B Ecosystems The Rise of Collaborative Business Networks Structure of business has changed OLD: Hierarchically organized integrated enterprises NEW: Business networks of specialized enterprises Business networks increase demand for Communication Coordination - Collaboration Relationship management and trouble shooting This is a developed economy advantage Challenge: To engage with peers globally to solve problems Answers are not in Systems of Record They are in other people s (and often other companies ) heads

8 B-2-B Ecosystems: Investing in Collaboration Systems of Engagement Collaboration burden falls on the middle of the organization Not front-line workers engaged in transactional workflows Not top executives engaged in strategic issues Need to invest in IT for the middle tier In-the-moment empowerment through Systems of Engagement Broad and easy access to Systems of Record on demand Systems of Engagement must meet four key design goals: Mobile to be in the moment Social to share facts and insights with others Ad Hoc because that s how issues emerge Real Time because that s when issues get resolved

9 Systems of Engagement for B-2-B Can you do a demo for the field? Let s make sure everyone fills out the budget the same way! Let s get everyone together now! Let s look at the data and get Sherry to walk us thru it Enterprise Facebook Enterprise YouTube Enterprise Search Enterprise App Store Enterprise Twitter On demand conferencing Global presence detection Mobile access to everything Social content management With more revolutionary applications to come.... This is the realm of consumerization Who knows energy and speaks Chinese? Who is the VP Operations in Client X? How is the quarter coming? I need to talk to Harry where is he? What got decided at the last project meeting?

10 Digital B-2-C Launching a New Offer On-Line VIRALITY ACQUISITION Starter Motor MONETIZATION ENGAGEMENT 10

11 B-2-C Ecosystems Connecting with Consumers Digitally From Analog Atoms to Digital Bits Physical goods still need and want retail stores Digital goods do not Digital disintermediation puts stores out of business Moving the Moment of Choice P&G: The First Moment of Choice P&G: The Second Moment of Choice Google: The Zeroth Moment of Choice

12 B-2-C Ecosystems Engaging with Consumers Digitally From Transactions to Interactions Automate the context (including the transaction) Engage at the core (all along the life cycle) Keep these two imperatives separate From Command & Control to Participation Social media is not directly under anyone s control Must be present, relevant, and vulnerable Very tough culture change

13 B-2-C Ecosystems Acquiring Consumers Digitally Data is the driver Everything you need to know is on-line somewhere But these are tiny needles in massive haystacks Must find and activate them before prospect moves on No time for people to be in the loop Master data meets metadata Public cloud meets private cloud In-memory algorithms rule

14 Systems of Engagement for B-2-C Who s in the market today? Timely! It just seems to get smarter!! Collaborative filtering Behavioral targeting Personalized transactions Location-based services Predictive analytics Machine learning Fraud detection Multi-channel engagement Birds of a feather flock together! Now that s what I like! Lucky you added that extra inventory! Rats, foiled again Just the way I like it! Near-field transaction processing And lots more to come... No more plastic!

15 The Challenge is Where to Begin Use Moments of Engagement as a Focal Point Every customer-facing strategy is made or broken during a handful of moments of engagement what are yours? What person or system represents you in these moments, and how effective are you at meeting the new expectations? Where could you introduce systems-of-engagement capabilities to amplify your company s power at these specific moments? Do not sponsor this as an IT-only initiative Co-innovate with Line-of-Business partners Pilot at the point of greatest return

16 Systems of Record + Systems of Engagement The Future of Enterprise IT Architecture Systems of Record create efficiency Impossible to do global commerce without them Focus on cost, quality, and contractual commitments Systems of Engagement create effectiveness Create compelling consumer interactions on line Focus on user experience, response time, time to closure Correct architecture SOEs operating on top of and in touch with SORs This is where the evolution in infrastructure comes in

17 The Evolution in IT Infrastructure Consumerization Will Drive the Next $1Trillion Morphing the Stack

18 The Current Infrastructure The Systems of Record Stack Business Layer Business Process Consulting Desktop Environment Transaction Applications Business Intelligence Document-based Collaboration Compute Processes Compute Engines Web Application Infrastructure Systems Management Infrastructure Database Operating System Mainframes Servers Storage Data Network High-Performance Microprocessors

19 An Evolution in Infrastructure Morphing the Stack Business Layer Business User Experience Process Consulting Design Desktop Mobile Environment Clients Transaction Apps Applications Business Real-Time Intelligence Analytics Document-based Live Collaborative Collaboration Sessions Compute Processes Compute Engines Mobile Web Application Infrastructure Systems Public/Private Management Cloud Management Infrastructure In-Memory Database Caches Virtualization Operating System Platforms Mainframes Infrastructure Servers as a Service Storage Voice/Data/Video Network Network High-Performance Low-Power Microprocessors

20 The Future IT Infrastructre Delivering the Systems of Engagement Stack Business Layer User Experience Design Mobile Clients Apps Real-Time Analytics Live Collaborative Sessions Compute Processes Mobile Application Infrastructure Public/Private Cloud Management In-Memory Caches Virtualization Platforms Compute Engines Infrastructure as a Service Voice/Data/Video Network Low-Power Microprocessors

21 Two Different Trajectories Systems of Record Stack Business Process Consulting Desktop Environment Transaction Applications Business Intelligence Document-based Collaboration Consolidated Suites Web Application Infrastructure for Optimization Systems Management Infrastructure Relational Data Management Operating System Mainframes Servers Storage Data Network High-Performance Microprocessors Systems of Engagement Stack User Experience Design Mobile Clients Apps Real-Time Analytics Live collaborative Sessions Best of Breed for Differentiation Mobile Application Infrastructure Public/Private Cloud Management In Memory Caches Virtualization Platforms Infrastructure as a Service Voice/Data/Video Network Low-Power Microprocessors

22 Recap The Consumerization of Enterprise IT From Systems of Record Still required but with much easier access To Systems of Engagement The new playing field must be present to win! Implications for IT Engage with LOB don t leave home with them! Implications for IT Vendors Put on your track shoes!

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