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Avanade Collaboration Vision and Business Value
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Avanade Collaboration Vision and Business Value


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  • ** Note ** Customize based on your customer’s pain points.Need to address: could bring in value-add by industry - but need to crystallize the horizontal general cross-industry trends/ issues - need #s, i.e., what kind of time/$ lost Take this opportunity to listen to the client and gain an understanding of their existing environment and their goals moving forward. Using the information gained during this discussion, tailor your conversation throughout the rest of the presentation to focus on their needs, and use examples that relate to their situation. Use the topics in the shaded box to trigger discussion/discovery, and to learn more about clients’ current state and any specific goals or mandates. Sales wants to maximize sales and commissions. Supply chain managers need to keep things moving slowly to satisfy customer commitments.Business unit leaders need to know how the business is doing – now. Is this working in your organization? For example:C-level pains Leaving money on the tableDisconnectedCan’t see how the business is doing NOWCOOInadequate information to support day-to-day operational decisionsNo up-to-date performance management capabilitiesLack of visibility to business processesCFO High costsInability to identify key drivers of shareholder value creationCIO System silos for planning and reportingIneffective planning processesTried before and it got out of controlRogue efforts around the company
  • Key message: Let’s talk a bit broader about the opportunity for collaboration. Capitalize on community and connection to create value - Tremendous opportunity for value creation across the entire value chain … product development and operations … marketing, sales and after-sales support activities… business support activitiesThe McKinsey Global Institute published a seminal study on the social economy in July 2012. “The social economy: Unlocking value and productivity through social technology” revealed many staggering statistics outlining the opportunity for collaboration in the enterprise. For instance, there are 1.5 trillion members of IT-enabled collaboration communities.In the four industries they analyzed in detail (consumer packaged goods, consumer financial services, professional services, advanced manufacturing), the estimated total annual value creation potential is $900 billion to $1.3 trillion across the entire value chain (not just in consumer-facing applications that are at the forefront of adoption). $345 billion value potential from product development and operations$500 billion from marketing, sales and after-sales support activities$230 billion from improvements in business support activities. The value contribution from improved communication, coordination and collaboration—potentially two-thirds of all potential value from use of social technologies in business organizations—is embedded in these projects. Twice as much potential value lies in using social tools to enhance communications, knowledge sharing, and collaboration within and across enterprises.One powerful example that McKinsey pointed out: Consumer goods companies can increase their margins by as much as 60% by using social technologies to connect with customers and generate sharper consumer insights—as well as by using social technologies to improve the productivity of knowledge workers. McKinsey characterizes this as “transformative”If you need a statistic that is easier to get your arms around: email use by interaction workers (knowledge workers) could be reduced by 25% , freeing up 7-8% of the workweek for more productive activities. Think of all of the knowledge workers you have in your organization. This adds up.**Source: Gartner G00226087, “Predicts 2012: The Rising Force of Social Networking and Collaboration Services,” 28 November 2011Although Gartner expects the number of enterprises blocking all access to social media to diminish to 30% in 2014, we also expect that 10% to 20% of enterprises will continue to practice comprehensive blocking for the foreseeable future — based on high security requirements.
  • Key message: So, what does it look like? Connecting people: Social and mobile collaboration enables communication and collaboration across the organization, regardless of location or device or method, opening up opportunities across the business. It helps you get things done faster. For example, crowd sourcing for ideation / idea generation (what do you think our tagline should be? What should we do to improve x product?), co-creating products, acting quicker on sales leads, and interacting with suppliers. “Social” components: ‘Presence’MicrobloggingCollaboratingPeople profiles share experiences, “Ask me what I’m interested in”Alerts when someone blogs on a topic of interestDraw people into conversationIdeation/crowd sourcing to generate ideasShare (calendar, status, experiences, content, views)Find (find experts; find people with similar needs/interests)Build (build community)Collaboration provides a platform to improve content, driving increased productivity and organizational knowledge. Examples:Corporate/departmental/custom portals with mash-ups of internal and external content Short and long-term project workspaces Portal pages for corporate “authoritative” content (policies, etc.)Content tagging/rating/feedback, meta-data enabledThe collaboration platform opens up enormous opportunities to improve productivity and agility—by facilitating and extending processes, as well as providing visibility and transparency. This is where you can really get creative. The platform is very flexible and geared for developing custom apps.Some examples: Work flow engine, facilitating and extending business processes(rules based; provide visibility, transparency; notifications to incite action (act/review/delegate))—for single function and multi-function processesDashboards: intelligence about the business with content served up based on user needs/ profile Collaborative applications—these are custom applicationsFunctional apps (training—have personalized portal view, workflow, alerts, potential integration with LMS)Line of business appsIndustry apps (Pharmaresearch,Case management)Backend Integration to legacy systems such as SAP reduces manual effortSearch: more and more of our customers are finding this to be incredibly valuable. The quicker employees can find what they need, whether its content or an expert, the more productive they are. With social capabilities, the most popular content and voracious contributors bubble to the top (i.e., “liking” content)Secure and unified environmentAnd knowing that your employees are collaborating within the firewall, in a unified environment. This is especially important given BYOD policies of many enterprises. Cloud – we also offer this via the cloud, so you don’t have to build this in your environment.There are so many ways that you can exploit the platform, and it really depends on your business objectives and needs, and where you will realize the most value.
  • Key message: Collaboration is not a one-size-fits all. It needs to be thought through with the user in mind—optimize how they work where it is value-adding. Three distinct use case scenarios:SueLine of business executive--They are interested in metrics and KPIs on how the business is doing. They need to get to facts quickly, especially regarding issues. They are involved in approvals on budgets, deals, funds, etc.Sue wants ONE view of her key metrics and intelligence about the business, and values ease of use—she does not have a lot of time. She has numerous budget and funding requests and needs to receive alerts and be able to approve, respond with questions, delegate or decline. She also needs to be able to find key people quickly, whether it be to ask questions in advance of a meeting with a customer, to probe on a business issue, or check in a key project. Presence is also important to her so she can engage quickly. Information drivenMetrics/KPI Single viewLight touchWants effective teamsBobSupply chain manager.Bob is a desk-based knowledge worker and deals with a lot of processes, workflow and external vendors. He values process transparency and current data is very important to him. He wants very detailed information aggregated across multiple back-end systems (ERP, CRM etc.) and spreadsheets. He needs summary information on a dashboard that flags issues in key manufacturing processes (for example: flagging potential inventory issues). He also needs to get in touch with his global team instantly when serious issues arise. This is where presence comes in, as well as being able to instant message, video chat and share his screen—with several people at a time. Process drivenDesk workerNeeds detail fastWants transparent workflow Many interfaces with suppliersJohnField sales rep—as a mobile worker, he’s always on the go. Sales reps tend to have limited attention spans, are rarely in the office and need content to support them. John travels 4 days a week. He needs quick access to key content from various company systems—current news, deal flow, receivables, sales presentations, etc. He expects to have some apps on a mobile device to get to enterprise content. He wants to feel a sense of community despite being out of the office. Document drivenShort attention spanHighly mobileNeeds sense of community
  • Key message: As an early adopter of enterprise social collaboration, we are intimately familiar with the challenges and pitfalls of these initiatives. We have lived through this in our own organization, in addition to guiding our customers. We know how to enable effective change management and governance to help customers achieve their stated objectives. We rely on enterprise collaboration to deliver seamless service globally to our clients. We can reach out to anyone, anywhere, at anytime in our global organization.
  • Key message: Here are some of the internal metrics that we monitor to ascertain momentum of our collaboration environment. *profile pictures are a good indicator of profile completeness**Important to note that more people view the feed than the ‘average # of page views’ indicates because we have email notifications and a daily digest which is sent to nearly everyone at Avanade (unless they’ve opted out).
  • Key message: And here you can see some point-specific examples… for example, we built a groundswell of community through in-person events to celebrate cultural diversity in International Women’s Day – likewise our technical teams drove an exciting set of ideas that will benefit our business.
  • Key message: Earlier we talked about the elements—connected people, improved content, optimized process and relevant search—that combine to deliver results. This is the distillation of the business value we see time and again with our customers worldwide: These three pillars are to improve competitiveness with business agility; do more with less through operational efficiency; and attract and retain employees by building a great place to work.Speaker notes:Business agilityWork more nimbly internally and with partners and suppliersBetter harness human capital knowledge and IP Improve knowledge sharing—especially from retiring employeesOperational efficiencyImprove internal processes and workflowImprove planning, visibility, access Reduce technology and travel costsGreat place to workCreate environment to attract and retain progressive workforceA digital workplace is also more environmentally friendly; many companies have sustainability objectivesFoster creativity, innovation and serendipitous discoveryGive everyone a “voice”, improve productivityMcKinsey just published a Quarterly report entitled: The social economy: Unlocking value and productivity through #social technologies: )Some key takeaways:“While 72 percent of companies use social technologies in some way, very few are anywhere near to achieving the full potential benefit…McKinsey finds that twice as much potential value lies in using social tools to enhance communications, knowledge sharing, and collaboration within and across enterprises." - "Companies have an opportunity to raise the productivity of interaction workers—high-skill knowledge workers, including managers and professionals—by 20 to 25 percent.“- "As with earlier waves of IT innovation, it could take years for the benefits to be fully realized, because these management innovations must accompany technological innovations. The greatest benefits will be realized by organizations that have or can develop open, non-hierarchical, knowledge-sharing cultures."- "We estimate that total email use by interaction workers could be reduced by 25 percent, freeing up 7 to 8 percent of the workweek for more productive activities."
  • Key message:Theseare a few examples of how our customers are realizing business results from collaboration. Note that these are very different enterprises, with different objectives—from helping with global expansion efforts to better understanding what to offer customers to improving innovation and competitive advantage.Telenor: Helped support global expansion We helped Telenor, one of the world’s major providers of mobile communications with operations in 11 countries across Europe and Asia, integrate their teams, departments and offices to support their global expansion. We built a collaboration platform for their enterprise that has helped them increase efficiency, share best practices and reduced duplication of work, which they believe provides them with a competitive advantage and aid in their growth. We also developed an analytics solution for Telenor to measure collaboration success and how the program changed their collaboration style. Large country government (Australia NBN): faster time to market for massive infrastructure projectOne of our customers, a large country government, asked us to help with a massive infrastructure deployment. The imperative was to get to market quickly with a scalable, seamless collaboration solution to support the infrastructure initiative. We helped this customer develop a flexible and scalable collaboration solution that enables government employees, partners and contractors involved in the project to manage content and collaborate seamlessly. Global financial services company (AON): Drive revenue, improve customer serviceAt multi-billion USD insurance company, we were involved with a CEO-sponsored initiative to connect their people (silo’d) and content on one global platform so they are more well-rounded representatives of their company and can better serve customers—building customer loyalty—and drive more revenue. The CEO sees this effort as very strategic to the future of their company. They are also leveraging the cloud to drive down costs. Citizen schools: Improved sharing and collaboration. Also saved $50K upgrade costs, which is significant given the size of this organization. Citizen Schools partners with middle schools to expand the learning day for children in low-income communities in the US. They needed to transform to support anticipated doubling of growth by 2014. Built a collaboration platform.North American retailer (Sally Beauty): Tiny project of retooling accounts payable had a big impact. Greater efficiency, 220% ROI, project had a 3-year NPV of $1.2M. For one of our customers, a $3B retailer, we created a business management tool to automate and distribute key pieces of their previously centralized accounts payable process, which has enabled them to reassign work as well as take advantage of discounts. They have received an ROI of 220% for the project with a 3 year NPV of $1.2M. Data Sources:Avanade Results brochure (updated quarterly)Service Line credentials deck (updated quarterly) – includes public and generic references [insert link]
  • Key message:Discuss steps we can take together to schedule follow-on conversations. Ask what resonated the mostCollect any additional information from them to create our value proposition for the next meetingEnsure that we have a next steps discussion with the client
  • Transcript

    • 1. Transform how you work for competitive advantage © 2013-2014 Avanade Inc. All Rights Reserved.
    • 2. Does this sound familiar? Sales Supply chain manager Business unit leader IT Finance “It is difficult to figure out all that we have that I can sell to customers.” “We need better automation & integration with suppliers.” “I don’t have the metrics. I need to run the business.” “We need to consolidate —I’d like ONE platform for the enterprise.” “We need to continue to reduce costs.” “I don‟t have time to hunt for information.” “I need access to customer information when on the road.” “I am leaving money on the table.” “I spend way too much time pulling data together manually.” “I need better visibility to business processes.” “Version control is a huge issue.” “We need to get our people more engaged. Communications are not connecting us.” “People don‟t have the information they need to do their jobs well.” “Just pulling a budget and forecast together is painful.” “I continue to need to reduce costs.” “I don‟t have visibility to collaboration adoption across the enterprise.” “We have tried this before and it got out of control.” “What is the business case for collaboration tools?” “I‟d like to see improvements in business efficiency.” “Travel costs are still too big a line item.” © 2013-2014 Avanade Inc. All Rights Reserved. 3
    • 3. Capitalize on community and connection to create value 1.5 trillion members 72% of companies of IT-enabled collaboration communities use social technologies in some way… Reducing email use by knowledge workers 25% would free up 7-8% of the work week 90% report some business benefit… Only a few are anywhere near to achieving the full potential Tremendous opportunity for value creation 20-25% potential productivity improvement is attainable Source: McKinsey Global Institute, Social Economy Study, July 2012 © 2013-2014 Avanade Inc. All Rights Reserved. 4
    • 4. What does transformation look like? © 2013-2014 Avanade Inc. All Rights Reserved. 5
    • 5. Collaboration in action • Highly mobile • Document driven • Find experts • Information driven • Single view of metrics • Ease of use © 2013-2014 Avanade Inc. All Rights Reserved. • Desk worker • Process driven • Needs detail fast 6
    • 6. We are early adopters • This is how we use collaboration © 2013-2014 Avanade Inc. All Rights Reserved. 7
    • 7. Some of our metrics: Collaboration is critical to ideation and customer service # of microblogs # of profile pictures # of comments 3,403 Average # of page views/day 2,991 68 218 Sept „11 August „12 Sept „11 August „12 Sept „11 August „12 © 2013-2014 Avanade Inc. All Rights Reserved. Sept „11 August „12 8
    • 8. Collaboration synergies impact our culture and organizational performance International Women‟s Day 29 in-person events Innovation Contest 108 ideas generated TechSummit 1,300 community site visitors 40% increase in 370 microblog posts microblogs on IWD on February 29 230 community members 140 ideas to retain 13,185 @Avanade 625 microblog & attract women page views at launch posts during TS12 9,000 @Avanade page views on March 6-7 © 2013-2014 Avanade Inc. All Rights Reserved. 9
    • 9. Delivering results Business agility • Work more nimbly • Exploit people knowledge and IP • Improve productivity Operational efficiency • Improve processes and workflow • Improve planning, visibility, access • Reduce technology and travel costs Great place to work • Create modern, digital workplace • Foster creativity and innovation • Give everyone a “voice” © 2013-2014 Avanade Inc. All Rights Reserved. 10
    • 10. Global players harnessing the power of collaboration Global expansion Large country government Faster time to market Global financial services company Better revenue and customer service $50K saved upgrade costs North American retailer 220% ROI © 2013-2014 Avanade Inc. All Rights Reserved. 11
    • 11. Avanade Collaboration services • Comprehensive services © 2013-2014 Avanade Inc. All Rights Reserved. 12
    • 12. Avanade Collaboration services • Collaboration environment Enterprise Search Find experts and content effortlessly © 2013-2014 Avanade Inc. All Rights Reserved. 13
    • 13. We would like to talk more with you How we can help © 2013-2014 Avanade Inc. All Rights Reserved. 15