smac: the new enterprise it model

©2013, Cognizant

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| ©2013, Cognizant 2

Introduction

• If your company is more than 10 years old, its structure is probably wrong in many ways.• Your key processes, and the organizational and financial models

that support them, were likely architected for yesterday’s world of widgets and are floundering in today’s onslaught of digits.

• “Digit winners” possess just one key advantage:• They harmonized their value chains with today’s information-based

markets by harnessing an emerging computing model: the social, mobile, analytics and cloud information technology stack, or “SMAC stack”, for short.

• And if you don’t follow suit, then you risk being usurped by fast-moving competitors that have.


Introduction cont.

• Welcome to the most significant change to hit the business world in decades, as new competitors trounce the old with approaches that reflect the digital world in which we live and work.

• What companies are learning the hard way, is that it’s not enough to simply “bolt on” these new tools to existing business models.• The power of this technology platform is in treating it as a stack,

for its components have a multiplying effect when they work in combination.


Introduction cont.

• Successful companies from the industrial age are crumbling under their own weight, with business models that no longer fit the new digital realities of their markets.• Think Borders, Blockbuster and Kodak, all of which quickly toppled

in the face of new-age competitors, Amazon, Netflix and Shutterfly.

Source: Company reports; valuations as of mid-November, 2012


Today’s corporate reality is the digitization of entire businessmodels and industries.

Are you ready?


The Fifth Wave of IT: The “SMAC Stack”

• The new master corporate IT model — the SMAC stack — is the “fifth wave of IT” (see chart below).

• Like the four waves before it — the mainframe, minicomputer, client/server and the Internet — SMAC will generate significant dislocation and wealth creation for the IT hardware, software and services sectors and drive new levels of productivity for businesses


Building the Modern Enterprise

• To prepare for the fifth wave of IT, business leaders need to understand three key interrelated issues:• Embrace new technology: Transforming business today means

harnessing the multiplying effect of the SMAC stack. • “Unchain” business models: The SMAC stack will help businesses

unbundle tightly-coupled, industrial-age value chains, create boundaryless ways of working and transform key processes and entire industry structures.

• Focus on knowledge processes: Successful transformation will happen when you identify key knowledge process areas, where the confluence of the SMAC stack and new ways of working can truly differentiate your business and change the competitive equation.


Don’t Get SMACked

• Today’s corporate reality is the digitization of entire business models and industries.

• In this new landscape, it doesn’t matter how hard your organization works, how well you manage or what resources are at your disposal; if you are competing with an antiquated business model, you are at risk of facing your own Kodak moment.


Learn More

• Our white paper “Don’t Get SMACked” will help you answer these questions and prepare for the fifth wave of IT.

• This paper and other information about the SMAC stack can be found at www.cognizant.com/smac or contact us at [email protected] to be connected with one of our SMAC experts.

Scan here to downloadDon’t Get SMACked


Key Questions You Should Be Asking

• Whether you’re a general manager, head of information technology or leading your company’s strategy, a decade from now, you’ll be asked the same two questions:

smac: the new enterprise it model

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