mesh the gears: mastering the economics of digital leverage
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Mesh the Gears or be Ground Between Them Mastering the Economics of Digital LeverageBryan Kirschner@bryan_kirschner
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“The future is already here — it's just not very evenly
distributed.”- William Gibson
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2013
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2013 2016
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APIs unlocked the economics of digital leverage
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perfectly replicatedan infinite # of timesat zero marginal cost
Source: Iansiti & Lakhani, Digital Ubiquity: How Connections, Sensors, and Data Are Revolutionizing BusinessHarvard Business Review, November 2014
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©2016 Apigee Corp. All Rights Reserved. 19Source: John Deere
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OpportunityUsecreatesvalue
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Opportunity
Tools
Usecreatesvalue
Scale on demand
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Opportunity
Tools
Know HowUsecreatesvalue
Scale on demand
Sustainableagility at pace
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Opportunity
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©2016 Apigee Corp. All Rights Reserved. 24Source: The Center for Global Enterprise
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$4.3T
Source: The Center for Global Enterprise
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$4.3T The Uber of…
Source: The Center for Global Enterprise
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Putting an API around our stores
A single, universal way to measure physical movement
The Pandora of food
The operating system for live entertainment
The platform for the Industrial Internet
$4.3T
Source: The Center for Global Enterprise
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Use creates value through network effects
Data
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Use creates value through network effects
Data Interaction
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Use creates value through network effects
Data Interaction Transaction
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Use creates value through network effects
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Opportunity
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Use creates value through network effects
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Opportunity
!Core competency of digital disruptors
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Tools
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“More and more, companies will fulfill their IT requirements simply by purchasing fee-based 'Web services' from third parties -- similar
to the way they currently buy electric power or telecommunications services.”2003
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“…a spokeswoman…said recent news stories
claiming that the state may need less than 10 percent of the data center are not
entirely true.”
2011
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“What's wrong with the Washington State data
center?Facility sits mostly empty
after more than two years.”
2014
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“The state's CIO…has suggested the space would make a good Sensitive
Compartmented Information Facility… That's government-speak
for a room full of classified document filing cabinets...”
2014
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©2016 Apigee Corp. All Rights Reserved. 40Source: Wikimedia.org
©2016 Apigee Corp. All Rights Reserved. 41Source: Beat via Flickr.com
©2016 Apigee Corp. All Rights Reserved. 42Source: Beat via Flickr.com
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Cloud enables scale on demand
Compute
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Cloud enables scale on demand
Compute Data
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Cloud enables scale and scope on demand
Compute Data Intelligence
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Cloud enables scale and scope on demand
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Tools
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Cloud enables scale and scope on demand
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Tools
!Core competency of digital disruptors
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Know how
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1975
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1975
Complex programming projects cannot be perfectly partitioned into discrete tasks that can be worked on without communication between the workers and without establishing a set of complex interrelationships between tasks and the workers performing them.
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Source: McConnell, Code Complete
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Source: McConnell, Code Complete Source: Wikimedia.org
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Source: Cooking StackExchange.comSource: McConnell, Code Complete Source: Wikimedia.org
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“All teams will expose their data and functionality
through service interfaces. The only communication
allowed is via service interface calls over the
network…All service interfaces, without exception, must be
designed from the ground up to be externalizable. No
exceptions. Anyone who doesn’t do this will be
fired.” - Jeff Bezos, CEO, Amazon2002
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“All teams will expose their data and functionality
through service interfaces. The only communication
allowed is via service interface calls over the
network…All service interfaces, without exception, must be
designed from the ground up to be externalizable. No
exceptions. Anyone who doesn’t do this will be
fired.” - Jeff Bezos, CEO, Amazon
“You literally put APIs everywhere. That’s how you
do internal development, that’s how the IT shop works, that’s how your
providers should do development for you, that’s
how your offshore stuff lands into your environment…”
- John Donovan, EVP AT&T
2002 2012
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Small Promises Built for the world
Web API know how = sustainable agility at pace
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Web API know how = sustainable agility at pace
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Know how
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Opportunity
Tools
Know HowUsecreatesvalue
Scale on demand
Sustainableagility at pace
©2016 Apigee Corp. All Rights Reserved. 63
Opportunity
Tools
Know HowUsecreatesvalue
Scale on demand
Sustainableagility at pace
!How APIs are changing our jobs
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BoDprofit
CEOmovefaster
CIO/CMOinnovate
LOBdelight
customers
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BoDprofit
CEOmovefaster
CIO/CMOinnovate
LOBdelight
customers
!Why it’s time to Adapt or Die
Thank you@bryan_kirschner@apigeetext @QQQ to 35134