sally parker, research director enterprise systems ... · sally parker, research director...

The Shifting Datacentre Landscape

Sally Parker, Research Director Enterprise Systems, Software and Services

The 3rd Platform for IT Innovation and Growth

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And Business ∧

>90% of all IT growth 2013-2020 will come from 3rd Platform technologies & solutions

Cloud Services - an essential foundation for the other 3 pillars, & virtually all 3rd Platform solutions

A rapidly expanding community of developers to create a 10 fold

increase new killer apps over the next 4-5 years.

Disruptive Business Models are Prevalent

2009 • Mobile app in ~ 60 Countries

•  Expected 2015 revenue ~$10B

• Valuation >$40B

2008 • Crowd sourced home rentals

• 34,000 cities globally

• $28B valuation

2004 • Urban guide • 135M monthly visitors, 71M crowd sourced business review Ad derived revenue

• 2014:Market Cap $2.6B


New, born in the cloud ‘apps’ disrupting established ecosystems Based on publicly sourced investment data

“By 2018 a third of the Top 20 market share leaders in most industries will be significantly

disrupted by New Competitors with New Offerings, New Business

Models and New Cost Structures”


Global Competitiveness and Innovation

Australia’s Wake-Up Call •  Traditionally an early adopter of

technology •  Latent adoption of 3rd Platform

technologies •  Unprecedented rate and pace of

change is impacting established industries and ecosystems


20%

1. Operational Efficiency & Productivity

16%

3. Company Wide Cost Savings

5. Market Expansion

11%

2. Invest to increase share customer wallet

16%

12.5%

4. Customer Engagement

Initiatives

CSUITE 2015

Source: IDC Asia/Pacific C-suite Barometer 2015 (N=1,452 in APAC)

Australian Business Top 5 Priorities 2015

“Innovate for Competitive Leadership” ranked 8th

Australia - Role of ICT 2015

6 Source: IDC Asia/Pacific C-suite Barometer 2015 (N=1,452 in APAC)

CSUITE 2015

Q: Looking to 2015-2016, what role does ICT play in your organization?


39% Optimiser

26% Opportunist

18% Follower

13% Creator

3% Disruptor

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7

17.3%

1. Build Better Management

Tools

9.5%

3. More Secure IT

5. App. Modernisation

7%

2. Manage Suppliers

10%

9%

4. Enhance Infra. to Meet

New Demands

CSUITE 2015


Australia ICT Top 5 Priorities 2015 Q: Looking ahead to 2015-2016, what do you think will be your organisations top 3 ICT priorities?


Cloud Adoption & IT as a Service


“By 2016, 65% of global competitive strategies will

require real-time 3rd Platform IT as a service (ITaaS)”

“By 2016, 80% of CIOs will deliver a new architectural framework that enables innovation & improves

business decision making”

“Pre-existing use of external services remains a primary indicator of cloud readiness…

providing experience in sourcing and service management”

Cloud has changed how we view infrastructure

Source: Market Analysis Perspective: Australia Cloud Services 2015 (Doc #AU251013)

Cloud Maturity Model - Asia Pacific

9

Source: IDC’s APEJ Cloud Study 2014, May 2014; n = 2,300 (Australia = 250, mul<ple responses)

1 2 3 4 5

27% 26% 20% 20% 6% Ad Hoc

Malaysia

Indonesia

Opportunistic Repeatable Managed Optimized 2% of respondents were not using any cloud services

S. Korea New Zealand

India

Thailand

China Taiwan Hong Kong

Australia

Singapore

Vietnam

Philippines


Workload Distribution Preferences

10

Source: IDC’s APEJ Cloud Study 2014, May 2014; n = 2,300 (Australia = 250, mul<ple responses)

Q. In 2016, for your enterprise, could you please estimate the approximate distribution of workloads across the various deployment models

High percentage of on-premises

workloads represent significant

opportunity: 40% of workloads by 2016 to

be in the cloud.


Data as a Strategic Asset

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New Revenue Streams

Better Product & Services

Operational Efficiencies

Profit Optimisation

The Data Opportunity

Important asset - don’t know how to harness

Do not see data as an important asset

Exploring new data monetization opportunities

See data as an important part of their strategy but see the need to do more

CSUITE 2015

Q: Is data a strategic asset for your CEO and organization?

Big Data & Advanced Analytics


“By 2018, 30% of CIOs of global organizations will have rolled out a pan-enterprise data and

analytics strategy”

“By 2016, security will be a top 3 business priority for

70% of CEOs of global enterprises”

“By 2017 80% of the CIO’s time will be focused on analytics, cyber security, and creating new revenue streams

through digital services”

Data is a Rising Commodity

Source: IDC Predictions Documents

Big Data in Australia


Stage 1 Ad Hoc

Stage 2 Opportunistic

Stage 3 Repeatable

Stage 4 Managed

Stage 5 Optimized

Maturity

66%

Yesterday's Strategy Today

Cautious Innovation

Orchestrating IT & Business

Effective IT-Business

Integration

Visionary & Transformative

Proof-of-concept or pilot projects

Value through new knowledge, learning

Functional deploy

Knowledge value grows

Business value opportunities become visible

Persistent adoption

Business value is realized but remains localized to business units

Enterprise use

New product & service opps. transition to business plans - IT efficiency is demonstrated`

Continuous learning & improvement

Prev. unattainable business value continuously produced

Source: IDC Australian Big Data Heat map – June 2015, APeJ Big Data Maturity Assessment and Benchmark 2014 (APEJ=1255, Australia = 150)

Australia Big Data Challenges


11%

11%

18%

22%

22% Data accessibility, security, and governance

Data quality and availability

Deciding what data is relevant

Integra<ng with produc<on

Cost of technology

Source: IDC’s AP BDA Pulse Survey, 2014

“Data Privacy & Security will become boardroom

discussions in 2015”

Q. What are the top 3 IT challenges when looking at Big Data and Analytics?

The Evolving Role of our Datacentre


2010 2015

Devices 3x

2010 2015

Data

6x 2010 2015

VMs 2x

2010 2015

Users 2x

Data centers are the cornerstone of business…

…and Infrastructure needs to be tuned to the task…

Role of IT is Evolving in Parallel


“By 2018 adoption of 3rd platform IT technologies will redefine 90% of IT roles”.

DIGITAL disruption has shifted the boundary of IT… beyond the IT department

“Over the next 2 years > 70% of CIOs will change their primary role from directly managing IT to becoming innovation partners “

“By 2016 80% of new IT investments will directly involve LOB executives”

Australia’s ICT Inhibitors


CSUITE 2015

14.8%

15.3%

17.6%

Growing IT environment complexity & varied user

requirements

Lack of ICT budget for the business requirements to

be supported

Lack of required skill sets or expertise to effectively

execute ICT

Q: What are your organizations top 3 challenges or priorities in leveraging ICT to drive your business forward?

0% 20% 40% 60% 80% 100%

Diversify gender/age/background of workforce

Crowdsource/outsource

Partner with leading academic insitutions

Manage a young workforce

Manage an aging workforce

Upgrade/upskill existing employees

Find and hire the right talent

Source: IDC Australia CIO Intention Survey 2014, April 2014, n = 340

Skills Challenges in ANZ

Essential Guidance


IT has a new baseline & IT’s role is to deliver services - beyond device management

Cloud is at the foundation of agile service delivery and disruptive applications

Re-Imagine IT’s role in the organisation and seize the opportunity to influence

1 2 3 4

Today’s datacentre is everywhere and stakeholders are everywhere

Thank You

Further Research www.idc.com §  Australia Big Data & Advanced Analytics Heat Map 2015

•  DOC #AU251075, June 2015 §  Australia Public Cloud Services 2014-2018 Forecast

•  Doc #AU250903, Jan 2015 §  Market Analysis Perspective: Australia Cloud Services 2015

§  DOC # AU251013, April 2015

Complimentary download for Oracle Data Centre audience §  Australia ICT 2015 Top 10 Predictions http://www.idc.asia/registration/?reg_form_id=512


E: [email protected]

www.idc.com