Download - Oracle Channel 1 Februari 2011
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Cloud Computing
Ruud Ramakers1 februari 2011GB Applications Partner Sales Update FY11
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Innitiator SaaS4ChannelBestuur
SaaS~Cloud netwerkICT Office
Directeur Centre4CloudAdviseur / coach migratie
ICT bedrijf naar Cloud
Adviseur / coachCIO
Migratie naar Cloud
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Agenda
• Evolution of cloud• Why SaaS & Cloud• SaaS / Cloud & channel• Why Now?• Channel / implementation consultancy in
SaaS&Cloud market• What’s in it for me?• Take a ways
Evolution of cloud computing
Mainframe Mini computer Workstation PC
Netbooks Smart phones Game consoles
Cloud Cloud
SaaS evolution / Disruptive innovation
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Source: Saugatuck Technology
Wave III: 2008-2013Workflow-Enabled
Business Transformation
Beyond Software-as-a-Service: Cloud Computing
Wave I: 1999-2006 Cost-Effective
Software Delivery
Ad
op
tio
n
Wave II: 2005-2010Integrated
Business Solutions
ASP
Early SaaS Adoption• Stand-alone Apps• Multi-tenancy• Limited Configurability• Focus on TCO / rapid deployment
Mainstream SaaS Adoption• Integrated Business• SaaS Integration Platforms • Business Marketplaces and SaaS Ecosystems• Customization Capability• Focus on Integration
SaaS 1.0
Ubiquitous SaaS Adoption• Optimized Business Ecosystems• IT-Targeted Ecosystems• SaaS Development Platforms• Inter-enterprise Collaboration• IT Utility / SaaS Infrastructure• Customized, Personalized Workflow• Focus on Business Transformation
2006 2007 2008 2009 2010
2011 2012 20132004 2005 2014 2015 20162003
Cloud Computing
Post-SaaS Adoption• End-to-End Business Processes• Integrated Services Anywhere• Intelligent Hubs Linking Platforms• Mobile Device- and Sensor-Controllable• SLAs for Composite Service Offerings• Dynamically Scalable Infrastructure• Focus on Optimal Business Process
Wave IV: 2011-2016Measured, Monitored, Managed
Business Processes
SaaS 2.0
Developments
Variants of the Clouds
•Companies host applications in the cloud that many users access through Internet Connections. The service being sold or offered is a complete end-user application.
User Level“software as a service”
•Developers can design, build and test applications that run on the Cloud provieder’s infrastructure and then deliver those applications to end-users from the provider’s servers
Developer Level
“platform as a service”
•System administrators optain general processing, storage, database, management and other resources and applications through the network and pay only for what gets used.
IT Level“Infrastructure as a service”
Cloud Characteristics
On-demand self-service• Customer provisioning
Ubiquitous network access• Through network• For all type of clients
Location independent resource pooling• Multi tenant• Virtualisation
Rapid elasticity• Quickly scale up / down• Capacity infinte
Pay per use• Fee for a service• Fee for transaction
Distribution models
ASP - SaaS
• Software deliverd throug the Internet• Service on demand• Webbased• Pay as you use• Hosted / part of the Cloud
Distribution models (cont)
WHY SAAS & CLOUD?
Moore’s LawEvery 18 months processing power
doubles
Kryders LawComputer memory doubles every 12
months as function of the price
Grove’s LawWorlds global
communication networks double every
100 years
Right time for cloud
computing
How did it hapen
(Dis)advantages Vendor
Sales•Earlier sales,•Shorter sales cycles•Up selling possibilities•More market potential
Customer relationship•Partner in succes of your customer•Be aware of problem before customer knows•Keep continuously in contact with customer
Product•No hassles of installation, configuration, manage and update at
customers site•Guaranteed Version Control•Absolute access control•Direct Feedback•Insight in usage of software•Easy to offer extra third party online services•Shorter development cycles
Finance
•Regular cash flow•Single cost of deployment•Additional revenue possibilities•Predictable revenue stream.•No Illegal copiesDisadvantages:
• Disruptive change of business model• Culture change• Organization change• No license revenue• Responsibility of customers environment• Rewriting software
(Dis)advantages of Cloud for Customer
Advantages• Back to Core Business• Time-to-Market• Low up-front costs &
Total Cost of Ownership • Responsibility vendor• Low switching costs• Flexibility• ROI• RTS• High availability • Integration• …..
Disadvantages• Control• Privacy• Security• Continuity• Total Cost of Ownership• Flexibility in SLA• SLA’s• Proven technology• Interoperability
WHY NOW?
Fases of the market
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Market research KPMG
Why now?
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July 26 - 2010SaaS Revenue to Grow Five Times Faster Than Traditional Packaged Software Through
2014, IDC Finds
June 4th 2010IBM says The Cloud cuts IT labor costs by up to 50%, improves capital utilization by 75%
39% of respondents to Aberdeen’s 2010 ERP survey are willing to consider SaaS ERP implementations. This is a 61% increase in the willingness to consider SaaS from 2009 to 2010Not just that, there is a decreased willingness to consider the traditional licensed on-premise option, which dropped by almost 18%
By 2013, at least 20 percent of enterprise IT workloads –that historically would have operated on-premise –will be run in the cloud, providing significantly enhanced functionality, lower costs, fewer staff, and reduced carbon footprint. (Saugatuck (2010)
SaaS & Cloud markt
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Merrill Lynch:The cloud computing the cloud computing market to reach $160 billion by 2011
The estimate includes $95 billion in business and productivity applications
IDC, By 2012, nearly 85% of net-new software firms coming to market will be built around SaaS service composition and delivery; by 2014, about 65% of new products
from established ISVs will be delivered as SaaS services.
July 26 - 2010SaaS Revenue to Grow Five Times Faster Than Traditional Packaged Software Through
2014, IDC Finds
Volgens Gartner 50 % van huidige (2009) ISV’s bestaan niet meer in 2012
Server market
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The number of physical servers in the World today: 50 million.At 10 VM's per physical host that means about 80-100 million virtual machines are
being created per year or 273,972 per day or 11,375 per hour
50 + percent of the 8 million servers sold every year end up in data centers
SAAS / CLOUD & CHANNELS
SaaS distrubtive Innovation
• Disruption:– Current channels are not suitable?– Low margins– New business models.– Change of current model.
Why channels?
• Sales marketing costs are high.
Analist stating:* Customer Acquisition and Admin costs are the profit killers: The SaaS firms spent about 55% of revenue on
Sales & Marketing and G&A. The software vendors spent about 33%. The SaaS vendors also spend over 6% of
revenue on capital expenditures or more than 2X the software vendors
Analist stating: the biggest problem sales and marketing or customer acquisition costs. Without
question, the #1 cause I see is that many companies (not just SaaS vendors) make the twofold mistake of ramping up the sales force too fast and essentially eliminating Marketing, thinking it will save money.
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IMPLEMENTATION CONSULTANCY IN SAAS&CLOUD MARKET
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Two Factors reduce implementation Consultancy
Suppliers Customers
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1. SaaS – Supliers and implementation
Reduce in order to scale
2. Customers
QuickROIRTS
EducationExpectationCustomizati
on
IntegrationOn
Premisses
Infrastructure
Pilots
Integration/
webservices
One central
datasource
One software version
Standardization / flexibility
Scientific ResearchERP implementation on premisses, 5 till 10 times licencens costs
SaaS Implementation10 till 20% van consultancy compared to on premisses
SaaS-ERP
Upgrading speed
Trust
Integration Importancy
Number and types
Security, privacy,
suistanebillity
Why stays SaaS-ERP behind other SaaS implementations?
Gartner:SaaS ERP in 2011 in US 16,7 % of New ERP sales
2009SAP ERP revenu, decline 27 %SAP business by Design, growth 16 %Oracle ERP Revenu, decline ± 10 %Netsuite Revenu, growth 9 %
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Cloud Computing
Forrester : Cloud Computing : 12 – 15 % of the channel companies will
wash out completelyHow can you avoid that fate? Easy:
get into cloud services now, and build a solid offering.
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IT Budget + a few percentage
Sales budgetProductivity increase
Marketing budget
Cost reduction
HR-budget
Revenu increase
Win situationChances
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System Infrastructure Services
Business Services
Information Services
Application Services
App. Infrastructure ServicesCloud
enablers Mgm
t. an
d Se
curit
y
IaaS: get rid of servers
PaaS: get rid of middleware
vCloud
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Market•Segmentation•Verticalisation•Chain automation•Information services
SaaS partners are not “resellers” delivering software, but rather catalysts for this new industry, making it work long term
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Customer•Know your customer•Business process relevant implementation•Deployment•Partnership in business•Trusted Advisor
Cloud Resellers help customers become quickly productive and ensure the service is fully embedded into organizational processes.
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Technology•Integration services•Single logon•Metering•Private Cloud?•Be the bridge
Industry consultant Reed sums it up this way: "'Empower me. Give me the tools to create differentiating processes that allow me to define myself from my competitors. And make sure that it's easier for me to do, so I don't have to hire 100 programmers. Give me the building blocks to put that together quickly, so that it's just humming in the background, and leave me free to focus on what makes us better than other companies.' That's what customers are expecting now and really want."
Rondetafel SpecialisatieConclusies:• Gestandaardiseerde processen lenen zich het beste• Specialisatie is raadzaam• Verticalisatie is niet noodzakelijk• SaaS is een enabler van (strategische) partnerschappen• SaaS wordt vooral aangeschaft op een sluitende businesscase• Het aanspreekpunt binnen klantorganisaties verandert• De impact op de reseller-organisatie is groot
Lees het volledige verslag op www.saas4channel.nl
2010 37
2010 38
Missie SaaS4Channel
SaaS4Channel is het business platform in Nederland voor ICT bedrijven die betrokken
zijn bij het in de markt zetten van SaaS gebaseerde oplossingen via een
verkoopkanaal. Het faciliteert het onderling uitwisselen van kennis en business
opportunities.
Take Aways
• ASP, SaaS and Cloud aren’t the same• SaaS is important part from Cloud• Still market for traditional model• Cloud disrupts the ICT-market• Cloud train continues, if you don’t get in you want
see the destination.• Implementation will be different • There are a huge number of opportunities
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BEDANKT VOOR UW AANDACHT
Ruud [email protected] : Ruud_Ramakershttp://nl.linkedin.com/in/ruudramakersSaaS4Channel.nl