Hybrid Cloud POV Fremtiden ligger i bi-modal IT Frank Østergaard Director, Hybrid Cloud, IBM Nordic 2016 IBM Corporation 1
IBV launched a major study in 2013 that introduced the concept of digital reinvention Reshaping operating model Value Delivery Focus 2011 IBV Digital transformation study 1 2013 IBV Digital reinvention study 2 Digital reinvention framework Reinvention Integrate Transformation Leverage Value Proposition Focus Create Enhance Extend Re-define Reshaping consumer experience With the shift to E2E economy, the historical Digital Transformation Framework is being replaced by a new Digital Reinvention Framework Source: Please see the notes section 2
COLLABORATION The study analyzed the shift to the E2E economy requiring digital reinvention Collaboration and connectedness of consumers and organizations promulgate the E2E economy Everyone-to-everyone economy (E2E) Organization-centered economy Individual- centered economy Producer-driven consumption Empowered consumer- insight driven customized experience Two-way consumer engagement Value creation driven by collaboration and connectedness Multi-directional communication Consumers become intrinsic part of organizations 3
The study revealed four distinct elements that characterize the E2E economy also often called the API Economy Orchestrated Orchestrated Ecosystem is collaborative and seamless Symbiotic Contextual Symbiotic Everyone and everything is mutually interdependent Contextual Experience is calibrated and relevant to actions and needs Source: Please see the notes section Cognitive Cognitive Characterized by self-supported learning and predictive capabilities 4
Ford reinvents itself as a mobility services provider New focus: From traditional automotive manufacturing, Ford has defined a new focus as a mobility services provider 1 New expertise: Ford is building new expertise around vehicle connectivity, mobility, autonomous vehicles and big data New ways to work: Ford has formed an ecosystem of startups and developers around the world to build innovative solutions under its innovate mobility challenge program 2 New experiences: Ford is reimagining customer experience through new products like FordPass- an app-based platform that lets users do things like pay for parking, share vehicles or provide virtual personal assistance to move around more efficiently 3 Source: Please see the notes section 5
GM - industry s first cognitive mobility platform and ecosystem Source: Please see the notes section 6
Technology has disrupted traditional industries 2016 IBM Corporation Page 7
Relentless technological innovations conspires to impact industries on multiple fronts Expectations Technology factors Market factors Macro-economic factors People skills CEOs recognize the impact of technological innovation Factors global CEOs believe will have the biggest impact on their organization 1 Regulatory concerns Socio-economic factors 2004 1 2 3 4 5 6 2006 2008 2010 2012 2013 1 2 3 4 5 6 1 2 3 4 5 6 1 2 3 4 5 6 1 2 3 4 5 6 1 2 3 4 5 6 2015 1 2 3 4 5 6 which continue launching in a series of disruptive waves 2 IoT Advanced analytics Cognitive computing Contextual mobility Time Cloud Indicative time to maturity 2 to 5 years 5 to 10 years 10+ years Source: Please see the notes section 8
CxOs expect industry convergence to have the largest impact on their business Top trends to impact business (in 3 to 5 years) Total CEO CFO CHRO CIO CMO COO 70 % 60 % 50 % 40 % 30 % 20 % 10 % 0 % Industry convergence The anywhere workplace Rising cyber risk The redistribution of consumer purchasing power The sustainability imperative Alternative finance and financing mechanisms The sharing economy Source: IBM Institute for Business Value 9 9
New digital technologies are disrupting the business landscape 3 Contextual mobility hrs per day spent by every US adult per day on a mobile device on average 1 Cloud technologies $419 bn expected global opportunity for cloud computing by 2019 3 20.8 bn connected things will be in use worldwide by 2020 2 $12.6 bn Internet of Things Cognitive analytics expected global market size of cognitive computing by 2019 (38% CAGR) 4 Source: Please see the notes section 10
Disruptions are fundamentally changing business economics Fragmentation of traditional value chains New technologies create more transparent value chains that are easier to decompose functionally Convergence of traditional industries New competitors are emerging that compete in specific value chain functions across industriesdriving industry convergence Emergence of new ecosystems New types of ecosystems emerge, displacing traditional industries and underpin evolution of seamless sophisticated customer experiences R&D Operations Logistics Marketing & sales Consumer experience 55 % global executives feel traditional value chains are being replaced 1 51 % global executives feel boundary between industries are blurring 2 69 % global CEOs rate ecosystems as the most impactful business trend 3 Source: Please see the notes section 11
API Economy 2016 IBM Corporation Page 12
DIGITAL 13 13
API economy value chain Unlock enterprise investments for competitive advantage Exposed as APIs To Develop new Innovative Apps and Services www TH GS IN Unlock Existing Enterprise IT Investments Self Service Consumed by Developers Delivering Differentiated B2C, B2B, B2E Experiences 14
API s enables Bimodal IT Cloud Enabled Solutions Cloud Native Solutions Info Process Interaction Partners Apps Access Core enterprise Multi-speed IT Digital ecosystem Composable environments to rapidly build and deploy new cloud-native and mobile solutions Flexibility to move apps to the cloud as-is or build cloud native solutions Leverage existing investments by connecting them to cloud services 15
16 16
IBM enables hybrid architectures to speed digital transformation 17 17
Blockchain NOW Ready for business Hyperledger fabric on Docker Hub Fastest development of blockchain solutions Certified Hyperledger fabric instances Supported by IBM available cross platform Dedicated compute power isolated partition High security business blockchain on Bluemix Bluemix blockchain service Secure key management (FIPS 140-2 Level 4) Tamper resistant service container Performance optimized (Operating System & Privacy Services) Fast blockchain network on Bluemix also now China Samples for deployment, customization & usage Tool support for development and deployment Supporting serious blockchain deployment! Read more at ibm.com/blockchain 2016 IBM Corporation Page 18 18
Digital transformation demands a new architecture Client-Tier Mobile, IoT, Web Apps Interaction Services Tier Middle-Tier What s needed is the Interaction Services Tier Seamless communication between front-end and back-end systems Supports massive concurrency Non-blocking, event-driven I/O to remain lightweight Designed for a microservices architecture Designed for hybrid cloud deployment Simplified & comprehensive API lifecycle to Create, Run, Manage and Secure APIs Traditional SOA infrastructure designed for internal integration Enterprise Apps & Data Back-end Need for simplified discovery and secure reuse of Systems of Record via APIs 19
An API strategy to Speed application development Securely expose systems of record Publish APIs to expand brand reach Enable new business Via self service library of reusable APIs Apps and data to Mobile, IoT, & hybrid cloud apps Tap into developer & partner ecosystems Monetize existing and new data & algorithms 20
To thrive in the face of technology led disruption, organizations require digital reinvention Digital reinvention Digitization Digitization improves efficiency by applying technology to individual resources or processes. Digital transformation Digital transformation digitizes whole aspects of a business producing customer experiences that support what individuals need or want. Digital reinvention incorporates digital technologies like never before to create revenues and results via innovative strategies, products and experiences. Digitization in banks involves translating analog processes into digital processes such as online banking or electronic funds transfer Digital transformation in banks involves integrating across multiple digital processes to offer customers individualized experiences, e.g., omni-channel and single view of the customer initiatives Digital reinvention in banks involves fundamental reimaging of the way bank engages with customers and other stakeholders e.g. constructing deep customer relationships in which a bank orchestrates comprising financial & other associated services to realize customer ambitions and aspirations 21
IBM Bluemix Platform A Managed Platform to Design, Deploy, and Run Enterprise Applications IBM Your Own Third Party Open Source 2016 IBM Corporation Page 22 22
Use Cases Densou Trading Desk Densou Trading Desk changes the advertising game and increases click rate fivefold Real-time, relevant advertising made possible in 14 days with IBM Cloud Densou Trading Desk is the leading real-time advertising bidding agency in Europe. Founded in 2014, the company works with some of the largest players within the media business, and transacts more than 1 billion impressions a month. Densou is using IBM Cloud to provide a weather-based banner ad solution to Ekstra Bladet, Denmark s largest commercial news brand. Weather Channel API 2016 IBM Corporation Page 23 23
Use Cases Roskilde Festival 2016 IBM Corporation Page 24 24
Thank you! 2016 IBM Corporation
Connect your enterprise to the cloud WebSphere Connect z/os Connect MQ Connect DB2 Connect API Connect App Connect Data Works Application Integration Suite z/os Connect Dedicated Public MQ 2016 IBM Corporation Page 26 26
API Connect Capabilities An integrated experience across the API lifecycle Create, run, manage and secure APIs and microservices Unlock the value of your IT investments Simplified discovery of systems of record APIs Automated API creation Self service access for internal and 3 rd party developers Security and governance across the API lifecycle Unified management and administration of Node.js and Java runtimes for microservice applications Hybrid cloud deployment flexibility Create Secure Run Manage 27
API Connect demo video https://youtu.be/lmxyinmer5y 28