Presented at #DBS2016

1. © 2016 Information Services Group, Inc. All Rights Reserved.

2. © 2016 Information Services Group, Inc. All Rights Reserved
The Enterprise Digital Fabric
Connected
Customers
Connected
Partners
Connected
Employees
Connected Suppliers
Digital
Fabric

3. © 2016 Information Services Group, Inc. All Rights Reserved.
Top 5 Reasons IT as we know it
has changed forever
50% to 70% of enterprise workloads (applications)
will be in the Public Cloud over next 3 to 5 years
Number 1:

4. © 2016 Information Services Group, Inc. All Rights Reserved.
The Agile Enterprise is the dominant operating
model – focus shifting from Run the Business
Change the Business – to radical transformation
Number 2:
Top 5 Reasons IT as we know it
has changed forever

5. © 2016 Information Services Group, Inc. All Rights Reserved.
The Digital Fabric changes the role of IT -- IT
becomes the Revenue Generation Engine
Number 3:
Top 5 Reasons IT as we know it
has changed forever

6. © 2016 Information Services Group, Inc. All Rights Reserved.
The Internet of Things (IoT) and Platforms are
must have capabilities
Number 4:
Top 5 Reasons IT as we know it
has changed forever

7. © 2016 Information Services Group, Inc. All Rights Reserved.
Top 5 Reasons IT as we know it
has changed forever
20% to 40% of labor will be removed through
extensive Automation of IT services
Number 5:

8. © 2016 Information Services Group, Inc. All Rights Reserved.
Market Size in Perspective
As-a-Service vs. Traditional Outsourcing Market Size billions
IaaS
$24
SaaS
$51
Outsourcing
$114
Combined Market
40%
$189
The “as a Service” model disrupts
everything

9. © 2016 Information Services Group, Inc. All Rights Reserved.
With Digital Adoption Accelerating
SaaS
IaaS
Legacy $26.1 $23.7 $22.3
$3.1 $3.6 $4.1
$3.5 $4.9 $6.9
2014 2015 2016E
95%
‘14-’16E
33%
-15%
% ChangeACV $B
113%
Americas
34%
5%
51%
APAC
33%
-35%
90%
EMEA
31%
-25%

10. © 2016 Information Services Group, Inc. All Rights Reserved.
• Historical 3% - 5% annual
improvement is now nearly
30%
• Robotic Process Automation
(RPA), Data mining and
machine learning driving
dramatic increases
ISG Automation Index:
Double Digit Productivity Improvement

11. © 2016 Information Services Group, Inc. All Rights Reserved.
• Significant double-digit
cost savings from all towers
ranging from 26% to 66%
• Up to 28% of savings directly
associated with RPA.
• Tremendous cost pressure on
creating an incumbency dilemma
ISG Automation Index:
Double Digit Cost Savings!

12. © 2016 Information Services Group, Inc. All Rights Reserved.
IT is completely changed by
Digital Transformation
Processes
Automation
Cloud
Customer
Analytics
Collaborative
Product
Innovation
Business
Insights
Customer
Experience
Product
Analytics
IoT
Platforms
Access Channels
Social Media
Collaboration
Enterprise
Customers

13. © 2016 Information Services Group, Inc. All Rights Reserved.