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Andy Mulholland – Global Chief Technology Officer Capgemini
Client Briefing - 2011Business and Technology come together in new ways
2© Copyright Capgemini 2011 All Rights Reserved
The key question for 2011
Don’t just ask what the role of the IT department in the Enterprise should be …
Ask what the role of Technology should be in the Business of the Enterprise
3© Copyright Capgemini 2011 All Rights Reserved
Mean Time between Surprises declines… Globalisation; where and what has to change… New competitors and business models… Consumerisation of Technology; Apple v Corporate IT… New Technology; The Web, The Cloud, Social Networks… Innovation – doing old things in new ways; or ….
A Time of Constant Change
4© Copyright Capgemini 2011 All Rights Reserved
‘Innovation!’ What does it really mean ?
To create VALUE though a new market or product A game changing move that provides sustained first mover advantage
To change COST of production and size of available market A break through in any element of the operation of an enterprise
For SERVICABILITY to secure existing and new customers
Where market or product cannot be innovated service can be used
Defocusing and lost of Optimisation
The immediate and obvious challenge thatany change will bring to an Enterprise
Conway’s Law
Enterprises cannot change beyond the constraints of their communications
The three common forms of innovation
The barriers to innovation
BUT Change is inevitable
Innovation is about controlling the timing and basis of change to be advantageous to our own business
5© Copyright Capgemini 2011 All Rights Reserved
Source; Seizing the White SpaceHarvard Business Press by Mark w Johnson
Source; Seizing the White SpaceHarvard Business Press by Mark w Johnson
Innovation - 19 Technology enabled ‘NEW’ Business Models
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The Result is that Business is changing its Agenda
Source: Gartner Worldwide Survey of More than 1,500 Enterprises in autumn 2009Source: Gartner Worldwide Survey of More than 1,500 Enterprises in autumn 2009
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And CIOs are changing their focuses accordingly …
Source Gartner – Autumn 2010Source Gartner – Autumn 2010
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And their investment in strategic technologies reflects this…
Source Gartner – Autumn 2010Source Gartner – Autumn 2010
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End users autonomy or control – Apple, Web, SaaS– Security, risks, and extent of controls = new policies and training
Services and Clouds – evolution or revolution– A finance issue; Capex v Opex; Or operational issue; Public, Private or Hybrid
Real time Data and Social Networks– A huge benefit to be unlocked, or a further problem around Data
What is meant by ‘at work’– If its not a physical place with fixed provisioned PCs
Book to Bill in an online world– Back office processes extending and connecting externally
Collaborative Agile Business– The decentralised and constantly changing ‘edge of business’
All of which poses some big questions!
Capgemini TechnoVisionThe Vision of how Technology will change your Business
11© Copyright Capgemini 2011 All Rights Reserved
TechnoVision – Technology capabilities driving change
The 21 Specific Clusters of Technology that are drivers of Business change
The TechnoVison Model that SummarisesHow these the Drivers will Impact and Identifiesspecific Challenges and Opportunities
Real-TimeBusinessProcess
Management
HumanMashup
InteractionCLoud Mesh
Execution
Real-TimeInteligence
PackageSector
Solutions
ServiceOrientation
CompositeApplications
AdvancedAnalytics
SmartBusinessNetworks
iPodification SensingNetworks
UtilityBusiness
Infrastructure
BusinesRules!
OpenStandards
Software-as-a-Service
Jericho-StyleSecurity Wikinomics Open Data
RichInternet
Applications
MasterData
Management
12© Copyright Capgemini 2011 All Rights Reserved
The Leveraged Enterprise
SmartBusinessModels
SmartBusinessModels
BusinessUsers &
Managers
BusinessUsers &
Managers
CFOCFO
BusinessProcess
Outsourcing
BusinessProcess
OutsourcingCEOCEO
CEOCEO
13© Copyright Capgemini 2011 All Rights Reserved
The Digital Transformation of Business
SmartBusinessModels
SmartBusinessModels
BusinessUsers &
Managers
BusinessUsers &
Managers
CEOCEO
Decentralisation for Business Optimisation• The need to compete and go to market with new business models• The formation and management of external ‘influences’ / partners• ‘Localised’ geographical and virtual products, become expectations• Real-Time decision making to optimise events and opportunities• Speed, flexibility, agility in resourcing with direct cost allocations• Shift to a pay at point of consumption for what is used
CFOCFO
Business
ProcessOutsour
cing
Business
ProcessOutsour
cingCEOCEO
14© Copyright Capgemini 2011 All Rights Reserved
CFOCFO
Business
ProcessOutsour
cing
Business
ProcessOutsour
cingCEOCEO
The Digital Transformation of Business
SmartBusinessModels
SmartBusinessModels
BusinessUsers &
Managers
BusinessUsers &
Managers
CEOCEO
Technologies enabled Decentralisation• A shift from Monolithic Transactional Applications for Back Office procedures
to Granular ‘Services’ front office processes• From Client-Server ‘Systems Integration’ based on tight coupled,
state-full and deterministic architecture to Browser-Cloud ‘Web Services Orchestration based on loose coupled, stateless, and non deterministic Cloud architecture
• From finite internal resources to infinite external resources interconnected by the Internet
• From passive infrastructure to active business platform managingthe decentralisation
15© Copyright Capgemini 2011 All Rights Reserved
CFOCFO
BusinessProcess
Outsourcing
BusinessProcess
OutsourcingCEOCEO
The Digital Transformation of Business
SmartBusinessModels
SmartBusinessModels
BusinessUsers &Manage
rs
BusinessUsers &Manage
rs
CEOCEO
Centralised Enterprise Management• The traditional role of IT and vital to the successful compliant operation
of the Enterprise. The role of the CIO and the IT department was defined around the dangers of decentralisation introduced by the PC in the twenty years ago. The reintroduction of technology and business manager driven decentralisation seems a danger to be resisted
16© Copyright Capgemini 2011 All Rights Reserved
The Digital Transformation of Business
SmartBusinessModels
SmartBusinessModels
BusinessUsers &
Managers
BusinessUsers &
Managers
CEOCEO CFOCFO
BusinessProcess
Outsourcing
BusinessProcess
OutsourcingCEOCEO
The Consumerisation of ITA new generation of ‘digital’ savvy users and their managers
are importing their knowledge and expectations in the use of Web based ‘services’ on a wide variety of devices into their business roles. Just as a previous generation introduced the PC to drive business change this is ‘game changing’ in its impact on the Enterprise
17© Copyright Capgemini 2011 All Rights Reserved
The Digital Transformation of Business
SmartBusinessModels
SmartBusinessModels
BusinessUsers &
Managers
BusinessUsers &
Managers
CEOCEO CFOCFO
BusinessProcess
Outsourcing
BusinessProcess
OutsourcingCEOCEO
Business InnovationA recognition of the emergence of new Business markets and
revenue opportunities created around by a perfect storm of new factors; Globalisation; emergent high growth economies; but most of all by the ubiquitous adoption and deployment of
Technology through all aspects of society
18© Copyright Capgemini 2011 All Rights Reserved
The Digital Transformation of Business
SmartBusinessModels
SmartBusinessModels
BusinessUsers &
Managers
BusinessUsers &
Managers
CEOCEO CFOCFO
BusinessProcess
Outsourcing
BusinessProcess
OutsourcingCEOCEO
New Business ModelsThe combination of the instrumentation of devices, (RFI etc);
the social interaction between people; the interconnection of everything and everyone; leading to the real-time intelligence to support new ways to ‘service’ customers individually, to localise and optimise products as well as react to circumstances and events
19© Copyright Capgemini 2011 All Rights Reserved
The Digital Transformation of Business
SmartBusinessModels
SmartBusinessModels
BusinessUsers &
Managers
BusinessUsers &
Managers
CEOCEO CFOCFO
BusinessProcess
Outsourcing
BusinessProcess
OutsourcingCEOCEO
Challenged by DecentralisedAuditors asking for proof of how the enterprise understands
its end to end processes, empowerment of users, policy management, data ownership, and operating costs.
20© Copyright Capgemini 2011 All Rights Reserved
The Digital Transformation of Business
SmartBusinessModels
SmartBusinessModels
BusinessUsers &
Managers
BusinessUsers &
Managers
CEOCEO CFOCFO
BusinessProcess
Outsourcing
BusinessProcess
OutsourcingCEOCEO
The Interface to ITStrong concerns about how dangerous and disruptive the user
driven model with be and how it integrates
21© Copyright Capgemini 2011 All Rights Reserved
The Digital Transformation of Business
SmartBusinessModels
SmartBusinessModels
BusinessUsers &
Managers
BusinessUsers &
Managers
CEOCEO CFOCFO
BusinessProcess
Outsourcing
BusinessProcess
OutsourcingCEOCEO
The Interface to ITWhere technology ceases to be a differentiator the focus
moves from outsourcing the technology elements to outsourcing process
22© Copyright Capgemini 2011 All Rights Reserved
The Leveraged Enterprise
SmartBusinessModels
SmartBusinessModels
BusinessUsers &
Managers
BusinessUsers &
Managers
CFOCFO
BusinessProcess
Outsourcing
BusinessProcess
OutsourcingCEOCEO
CEOCEO
Reorientation of the EnterpriseThe pressures and challenges making themselves felt
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IT has been successfulIn its goal of automating Processes
!
In summary the use of and value from people has changed…
BusinessProcessesBusinessProcesses
But what about the rest?