Welcome to the Networked Economy
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This document summarizes a presentation about networks and the networked economy. It discusses how networks achieve critical mass over long periods of time, and how they can remove inefficiencies. It also addresses how a network approach using big data can help predict needs like vaccine demand. Finally, it notes some key criteria for choosing a network, such as being open, complete, global, non-disruptive, intelligent, scalable and secure.
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Welcome to the Networked Economy
- 1. #AribaLIVE Welcome to the Networked Economy James Marland, VP Network Growth, Ariba @JamesMarland Rome, April 2014
- 2. 22 • How to Build a Network • Benefits of a Network Collaboration, Community, Cognition • Which Network to join?
- 3. 3 “What Hath God Wrought?” Samuel Morse (1791 –1872) • Newspaper Wire Services • Wire Transfers • Futures Trading • Greenwich Mean Time • Sears Roebuck and the Catalogue • Railways
- 4. 44 Achieving Critical Mass © 2014 Ariba – an SAP company. All rights reserved.
- 5. 5 A: Alamogordo, New Mexico C: Hiroshima B: Squash Courts, Univ of Chicago D: Max Planck Institute, Munich Critical Mass was first Achieved at…? 6 5 4 $8,000 $6,000 $4,000 3 2 1 $2,000 $1,000 $500 50:50
- 6. 66 Network Started Critical Mass Time Required Built by Railways 1820’s 1890’s 70 years Tycoons, Barons Electricity 1860’s 1930’s 70 years Local Govts, co-ops Telephones 1870’s 1940’s 70 years GPO Oil Pipelines 1880’s 1920’s 40 years Standard Oil Credit cards 1950’s 1980’s 30 years Visa UPC Barcode 1952 1975 23 years CPGs & Retailers Internet 1982 2000 18 years US Government Business Network 1999 NOW! 15 years Ariba © 2014 Ariba – an SAP company. All rights reserved.
- 7. 77 Overcoming “Chicken & Egg” Syndrome
- 8. 8
- 9. 99 • How to Build a Network • Benefits of a Network Collaboration, Community, Cognition • Which Network to join?
- 10. © 2014 SAP AG or an SAP affiliate company. All rights reserved. 10 Collaboration: Removing Inefficiencies
- 11. © 2014 SAP AG or an SAP affiliate company. All rights reserved. 11 Networks Can Remove “Contaminants” © 2014 Ariba – an SAP company. All rights reserved.11
- 12. © 2014 SAP AG or an SAP affiliate company. All rights reserved. 12 Moneyball: The Face that Launched 1,000 Blogs • We are in Europe, do we care? • Can a statistics-crunching machine really understand baseball better than a man? • The Mathematically inspired team win the Championship, including an unheard of 20-game winning streak
- 13. 13 With Data, Almost Anything Can Be Predicted
- 14. © 2014 SAP AG or an SAP affiliate company. All rights reserved. 14 Big Data Leads to a True Picture • Increasing the “resolution” gives a truer picture • Basic enterprise data is no longer enough to understand your business © 2014 Ariba – an SAP company. All rights reserved.14
- 15. © 2014 SAP AG or an SAP affiliate company. All rights reserved. 15 Dark Matter, Dark Data
- 16. © 2014 SAP AG or an SAP affiliate company. All rights reserved. 16 How many vaccines should I buy today? Old school: • Historical Data • Re-order points • CDC trends Network Approach:
- 17. 1717 • How to Build a Network • Benefits of a Network Collaboration, Community, Cognition • Which Network to join?
- 18. © 2014 SAP AG or an SAP affiliate company. All rights reserved. 18 Relics of a Bygone Network © 2014 Ariba – an SAP company. All rights reserved.18
- 19. © 2014 SAP AG or an SAP affiliate company. All rights reserved. 19 “I’ve already got one” • I am setting up a Supplier Portal • I use EDI • We use an industry marketplace • In Spain, we have our own • Our bank provides this © 2014 Ariba – an SAP company. All rights reserved.19
- 20. © 2014 SAP AG or an SAP affiliate company. All rights reserved. 20 Your Wife Hates her Christmas Present; and Your Suppliers Hate Your Portal © 2014 Ariba – an SAP company. All rights reserved.20
- 22. © 2014 SAP AG or an SAP affiliate company. All rights reserved. 22 Feel free to connect with me at: James@ariba.com @JamesMarland Read my Blog: http://thenetworkedeconomy.com/author/jmarland/ +44 (0) 7786 314003 THANK YOU!