Driving Client Innovation Through Outsourcing Relationships
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- Ilene Houston
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2 Driving Client Innovation Through Outsourcing Relationships Dr Colin Harrison Director, Strategic Innovation IBM Service Delivery Europe
3 Agenda New market realities Innovation a spectrum Innovation Sourcing a delivery model Fostering innovation culture Client case studies Key lessons for success
4 New outsourcing market realities Maturity changes client expectations Pressures on the CIO business value Leveraging your outsourcer to drive innovation
5 Innovation: the fusion of new developments and new approaches to solve problems and create opportunities Swiss pharma thinking about working environments for Gen Z employees French bank implementing a business process dashboard German bank minimizing operational risk during consolidation UK government agency asking for help on Zero Carbon Information Technology
6 Innovation Sourcing a delivery model Lightweight approaches: knowledge exchange First of a Kind projects Lines of Business Value Creation Centre Value Creation Centre (VCC): Executive Sponsors Client + IBM physical or virtual centre joint funding joint staffing joint governance Client co-leader Program Manager IBM co-leader research consultants VCC Steering Committee Studies Implementation Resources Projects Client operating environment
7 Leveraging common assets for innovation CLIENT IBM LoB executives; Business strategists; Process experts Industry, business & process insight Business consultants; Institute for Business Value CIO; Chief Architects; Senior IT Managers Technology expertise & intellectual property IBM Research Labs; hardware, software, services and solution specialists Customers + suppliers Business partners + subsidiaries + academia
8 Fostering an innovation culture
9 ABN AMRO: Joint funded Value Creation Centre delivering competitive advantage to ABN AMRO by driving innovation and transformation Typical focus topics: global ATM & self-service technologies Business Service Management branch efficiencies & optimization Client benefits: create new business opportunities link IT cost to the value created for the lines of business deliver speed and competitive advantage develop innovation culture
10 Finnair: Customer Equity Lifetime Management how do we target marketing campaigns to maximise the benefits across all customer segments? Focus areas: analysis of customer travel & purchasing histories understanding the value of customer segments integrating this insight into marketing program design Client benefits: improved understanding of customer value optimised marketing budgets
11 BNP Paribas: Bank card payments pilot of Business Service Management how can we improve the monitoring of our critical financial flows and get better value for our business from the tools we deploy? Focus areas: end-to-end service monitoring top down and bottom up integration of tacit business and IT knowledge real-time, actionable information for IT and the business flexibility and relevance of service Client benefits: improved customer service improved operational efficiency business-driven service priorities
12 Key lessons for success Globalisation is driving innovation throughout the business IT has a special role to play the agile enabler and instigator Clients should expect innovation leadership from their outsourcers Experienced service providers can bring major business impact through innovation Success depends on joint vision, governance and investment
13 Please collect a card as you leave and pick up a USB pen gift at our stand
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