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The Future of Business, The Future of IT…The Socially Enabled Enterprise
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The Future of Business, The Future of IT…The Socially Enabled Enterprise


Jim Stikeleather discusses how Enterprise IT will focus more on enabling, facilitating and accelerating more collaboration, choreography, orchestration, and the provisioning, management, monitoring …

Jim Stikeleather discusses how Enterprise IT will focus more on enabling, facilitating and accelerating more collaboration, choreography, orchestration, and the provisioning, management, monitoring and securing of “services” as these are the things that will be used to create value for the enterprises customers.

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  • There is a very famous quote by Niels Bohr (the Nobel Prize winning Danish Physicist) - Prediction is very difficult, especially about the future. This afternoon I am going to share with you some predictions – but do not take them as facts, but as possibilities. The one fact that we do know is that the role of IT and that of the Chief Information Officer will change and that the key to success is the ability of the IT organization to enable for its parent – adaptability, flexibility and agility in an ever rapidly changing world.Significant opportunities are emerging for technology to improve not only how enterprises organize, manage and conduct business, but also to provide solutions to challenges in areas as wide ranging as energy conservation and poverty reduction. However, many organizations will not be able to keep pace with the changes to come. As new business models take shape thanks to technology advances, older ones will wither, and companies’ ability to survive will rest on their capacity to adapt. In the past decade, technology-enabled business model innovation has changed the face of the music, video, book publishing, travel and other businesses. Most other sectors will undergo similar change in the next decade. For many enterprises, the vertical market in which their organization operates will bear little resemblance in the future to how it looks today, with significant convergence with organizations from other industries creating new value streams and business models.Today’s session is meant to be an introduction to what is happening, why it is happening and areas to explore as we in IT attempt to deal with the rapid change that is happening and the even more rapid change that is coming.
  • To understand the future of enterprise IT one has to anticipate the future of business, and that is an exciting and challenging future. The very ideas of capitalism – moving beyond Return on Investment and Return on Asset – are being challenge by the historical stalwarts of capitalism – Harvard, Stamford, University of Chicago, the London School of Economics – causing a rethink as to the nature of value. The historic paradigms, philosophies, practices and principles of management are changing as we move from industrial work to creative and knowledge work. How we organize to do work and create value is changing as we approach the tipping point of balancing the values of scale and efficiency with the needs for agility and efficacy. The nature of economics itself is transforming as the fields of complexity science and behavioral science provide increasingly valuable and accurate insights as to how markets and buyers really work and think.Last, but not least – technology itself is finally beginning to deliver on the vision of its promise – often seen in science fiction and first practically described by John McCarthy (a Turing Award and United States National Medal of Science winner) in 1961, in a speech given to celebrate MIT's centennial, that the inevitable end point for IT was cloud computing – universal access, availability and on demand performance, though he did not use that specific term.
  • Image courtesy of Yoan Blanc - http://www.flickr.com/photos/greut/502095764First the nature of value changes as a consequence of the serendipity economy. This is an economic environment where value is not fixed but is a function of time, place, participants and many other factors beyond the control of individuals or organizations. Value is not just financial but is also social and emotional. In current economic models once a product is made the value is realized, in the serendipity economy the value is realized and measureable only at consumption. Value is highly individualized – think about smart phones – every person has their own unique collection of apps and services behind those apps that define the value of each individual and combined. Serendipity economy has precursors in the Open Source world as well as AmeridanPotlach cultures. Also is more consistent with themes and theories from Behavioral Economics and the evolving ideas of co-creation of value and emergence from complex adaptive systems theory as being applied to economics.Behavioral economics and the related field, behavioral finance, study the effects of social, cognitive and emotional factors on the economic decisions of individuals and institutions and the consequences for market prices, returns and the resource allocation. The fields are primarily concerned with the bounds of rationality of economic agents. Behavioral models typically integrate insights from psychology with neo-classical economic theory. In so doing they cover a range of concepts, methods, and fields. Behavioral analysts are not only concerned with the effects of market decisions but also with public / social choice, which describes another source of economic decisions with related biases towards promoting self-interest.Technology will shift considerably more power toward our customers. All enterprises (not just IT) have become more adept in recent years at gaining leverage with their suppliers, which will only continue. Increasingly sophisticated data analysis has helped gain a deeper understanding of the customer, but customers have also gained from better, and much faster access to, product and market data. This will reduce the margin generating information asymmetry between vendor and customer. Customers are demanding a more direct influence on their suppliers’ innovation processes. In the future, the main source of new product or service, and even process improvement, will come from customers and online communities, ahead of internal R&D and employees. Internal project teams will typically include representatives from customers, partners and other external communities. Co-creation is a form of marketing strategy or business strategy that emphasizes the generation and ongoing realization of mutual firm-customer value. It views markets as forums for firms and active customers to share, combine and renew each other's resources and capabilities to create value through new forms of interaction, service and learning mechanisms. It differs from the traditional active firm – passive consumer market construct of the past.Co-created value arises in the form of personalized, unique experiences for the customer (value-in-use) and ongoing revenue, learning and enhanced market performance drivers for the firm (loyalty, relationships, customer word of mouth). Value is co-created with customers if and when a customer is able to personalize his or her experience using a firm's product-service proposition – in the lifetime of its use – to a level that is best suited to get his or her job(s) or tasks done and which allows the firm to derive greater value from its product-service investment in the form of new knowledge, higher revenues/profitability and/or superior brand value/loyalty.Scholars C.K. Prahalad and VenkatRamaswamy introduced the concept in their 2000 Harvard Business Review article, "Co-Opting Customer Competence". They developed their arguments further in their book, published by the Harvard Business School Press, The Future of Competition, where they offered examples including Napster and Netflix showing that customers would no longer be satisfied with making yes or no decisions on what a company offers. Value will be increasingly co-created by the firm and the customer, they argued, rather than being created entirely inside the firm. Co-creation in their view not only describes a trend of jointly creating products. It also describes a movement away from customers buying products and services as transactions, to those purchases being made as part of an experience. The authors held that consumers seek freedom of choice to interact with the firm through a range of experiences. Customers want to define choices in a manner that reflects their view of value, and they want to interact and transact in their preferred language and style.In philosophy, systems theory, science, and art, emergence is the way complex systems and patterns arise out of a multiplicity of relatively simple interactions. Emergence is central to the theories of integrative levels and of complex systems. This means that the value of my product or service is as much or more dependent upon other providers’ products and services, and who my and their customers are and the immediate state of all of these than perhaps all the intellectual and financial capital I put into creating my product and services.This idea that value emerges “in the moment” of consumption immediately leads to the ideas, principles, practices of complex adaptive systems theory. These are already being applied to economics, but it is important to understand that the systems environments that will be required in the future also requires this understanding. From this we know that there are underlying principles or consilience that will hold for the new business environments and markets – that they become less transactional and more collaborative and co-creative of value. We also know that value emerges, rather than being planned, from those collaborations and creative activities. This means that our information systems environments move from, in a general systems theory perspective, from their current simple state to complicated (lots of known well understood but independent parts) to complex (lots of parts, known and unknown, with varying degrees of understanding). This means a lot of change for enterprise IT organizations.Fortunately, models have been developed to help deal with this type of change. I share with you one of the leading ones here – the Cynefin Framework developed to help organizations like NASA, ESA, CERN and others to describe problems, situations and systems as they evolve increasing complexity as well as guiding toward what sort of explanations and/or solutions may apply. I call your attention in particular to the learning that as systems or environments increase their complexity, the application of “best practice” a foundation in many IT shops, becomes less effective.Reinforcing what has been said before, in the emerging economic environment – value will be the product of in the moment, at the place collaborative creation. Companies evolve to become “buyers” for their customers – providing the products, knowledge, services from whatever source is best at the moment – to help their customers achieve the outcomes they desire. One key is the ability to innovate on demand – to apply products, services, capabilities to create new processes, business models and customer value – however it might be defined – whenever, wherever and with whomever the opportunity presents itself. This will give rise to digital business ecosystems made up of customers, advisors, partners, suppliers and even competitors – the customer in a digital business ecosystem is the primary asset of a company, not capital, not equipment, not IP.As business and economic focus shifts from industrialization and its focus on repetition, scale, and efficiency to value creation and its focus on originality, innovation and efficacy, then the nature of management shifts as well.We move from planning what we are going to do to preparing for what we might need to do.We move from directing people in their tasks to mentoring people on how to achieve the outcomes we need.We move from staffing organizations to do the work to engaging people to join in the creative and problem solving processes.We move trying to directly control outcomes to framing environments where the desired or even better outcomes are likely to emerge.Simultaneous with the evolution of the marketplace is the evolution of the workforce, much of which is clearly visible today:Old – retiring, forgetting, dying – how is IT going to preserve the institutional memory they carry?New – work differently – 7/24 not continuously but an hour here, a couple of hours there but throughout the day, they bring their own infrastructure – technology they use and a “social” infrastructure they reference and are more loyal to the organizations they work for.Old – thought in a contemplative manner, used a few deep relationships for guidance, and used hierarchical and authoritative process to gather informationNew – quickly look via google or their networks for past examples or quick good enough solutions, use broad relationships and crowdsourcing techniques to gather informationBoth have very different needs for and ideas of value, compensation, security, work, and quality.Our organizations were never built to be adaptable. Those early management pioneers, a hundred years ago, set out to build companies that were disciplined, not resilient. They understood that efficiency comes from routinizing the non-routine. Adaptability, on the other hand, requires a willingness to occasionally abandon those routines—and in most organizations there are precious few incentives to do so. That's why change tends to come in only two varieties: the trivial and the traumaticA turnaround is a poor substitute for timely transformation. That's why we need to change the way we change. The body's autonomic systems give us some useful metaphors. When you jump on a treadmill or pick up some weights, your heart starts to pump more blood, automatically. When you stand in front of a large audience to speak, your adrenal glands ramp up the production of adrenaline, spontaneously. When you catch a glimpse of someone who's physically attractive, your pupils dilate reflexively. Automatically, spontaneously, reflexively—these aren't the words we use to describe how our organizations change, but they should be. That's the holy grail—change without trauma. In a world of mind-flipping change, what matters is not merely a company's competitive advantage at a point in time, but its evolutionary advantage over time.The payoffs to investing in adaptability are many. First, a resilient organization should be able to avoid the sort of big earnings shocks that can slice a company's market value in half. Executives often complain that investors overreact to small earnings misses, but I'm not so sure. In recent years, investors have seen a lot of companies self-destruct when they missed a paradigm shift, underestimated a new competitor, or simply stopped innovating. When a company's earnings disappoint, investors have to ask themselves: was this a blip, the result of an easily corrected operating glitch, or is this an early warning sign of a structural decline in the long-term profitability of this company's business model? Executives will always claim it's a blip, but investors have learned to be wary of glib assurances. The safest thing to do is dump the shares, and then buy them back later once the problems have been remedied. Investors like predictability and will pay more for a less volatile earnings stream. Though short-term earnings can be manipulated with accounting tricks, adaptability is the only thing that can deliver a smooth, upward slope over the long run. An adaptable company rethinks its strategy without having to walk through the valley of the shadow of death; it reinvents itself before getting mugged by the future. As a result, it experiences fewer financial reversals and its share price commands a premium. This is reason enough to care about adaptability, but there's more. An adaptable company is one that captures more than its fair share of new opportunities. It's always redefining its core business in ways that open up new avenues for growth. If it had been more adaptable, Best Buy might have seen the opportunity for delivering movies online and beat Netflix to the punch; Coca-Cola might have preempted Gatorade in the sports drinks business; and General Motors, rather than Toyota, might have developed the world's best-selling hybrid. An adaptable company is always reinventing itself, always pioneering new markets. An enterprise that is constantly exploring new horizons is likely to have a competitive advantage in attracting and retaining talent. When a once-successful company runs aground and starts to list, its most talented employees usually don't stick around to bail water, they jump ship. A dynamic company will have employees who are more engaged, more excited to show up to work every day, and thus more productive. And finally, an adaptable company will be more proactive in responding to emerging customer needs. It will take the lead in redefining customer expectations in positive ways. The result: higher levels of customer loyalty and better margins. Building organizations that are as resilient as they are efficient may be the most fundamental business challenge of our time. Adaptability really matters now.
  • If I could summarize the business environment that enterprise IT has to support in the future, it would be a socially enabled enterprise. An effective social enterprise benefits the enterprise by evolving itself organically to become a relevant, connected and involved 2-way interaction between publishers and consumers of information, content and knowledge. In a social enterprise, people are at the center of sharing and collaborating with knowledge.This basic idea, even more that technology, drives what the future enterprise IT looks like.An effective social enterprise benefits the enterprise by evolving itself organically to become a relevant, connected and involved 2-way interaction between publishers and consumers of information, content and knowledge. In a social enterprise, people are at the center of sharing and collaborating with knowledge.The social enterprise must include several capabilities:Generating content: Employees with subject expertise publish content using a process and technologies to collaborate; discuss and network with each other.Organizing content: Employees need a robust enterprise content management system with right surfacing experience such as search, navigation to increase discoverability.Contributing content: Employees need to see a priority in stories to acquire and understand knowledge easily.Sharing Content: Employees need social capabilities such as Like, Comment with each other.Measuring impact: Quantifying elements of the business receive the most positive results.The key to make it happen are:Empowering people: Skilling leaders & empowering individuals to enable the change and generate support for their organization (formal and emergent) to mobilize around their new experience.Simple Processes: Inventory analysis; cleansing content; developing topic ownerships, on boarding a organization or individuals and communicating effectivelyCulture of Sharing & Simplification: Developing a mindset for sharing and consolidating the enterprise digital experience.Effective Technology: Enabling technologies & processes to maintain content and deal with the signal to noise ration (see MIT’s Center for Collective Intelligence Deliberatorium - http://cci.mit.edu/research/deliberatorium.html ) .Impact & Measurement: Is the social working?And the way we think about organizations is evolving as well. The concept of enterprise 2.0 is that there is an inflexion point where the benefits of scale and efficiency begin to diminish and inevitably impact and hinder adaptability and agility – remember the dinosaurs.We are at the early stages of seeing large organizations break themselves up into smaller more agile enterprises that form up into an ecosystem to speed up the processes of success selection. We also see more intimate partnerships and relationships, even among competitors in order to services customers. Also, we see organizations recognize that they should not be doing things that do not directly create value for their customers, that it is better that someone else, who is focusing on creating value in that area, be given those jobs to do.Some of the consequences of that systems, IT and business processes, need to integrate across enterprise boundaries way more than ever before. It also means that management actions become less direct and more enabling of second and third order effects as actions promulgate through the ecology.At the same time, whole new scale effects come into play. In addition to being able to meet new customer needs with a broader spectrum of capabilities from the ecosystem, we see the ability to massively apply resources beyond what was possible in the past. Here is a graph from a freeware product called NodeXL that maps social interactions. In this example a small startup company with an intractable problem, posted it on the web, and within hours had over 1200 experts working on it. Even the best run organizations would have difficulty marshaling those numbers, much less that quality of resource with that speed.
  • The challenge for enterprise IT is to accomplish this transformation balancing the need to keep the lights on with the need to allow the enterprise to be adaptable and agile and innovative.We are good at scaling, but often at the cost of being adaptable to new business models, processes , customers and markets.We are good at and are constantly being better at our efficiency, but the cost is often in an inability to innovate or do something we have never done before.And while we are very disciplined in our applications of standards and processes like IT Service Management, and the IT Infrastructure Library, and governance models and security models, but in the serendipity world that is emerging, those can inhibit or even prevent customers, suppliers, partners and even our own staff from freely and energetically engaging.
  • One can quickly summarize the implications of all of this for it as – enterprise IT will need to focus more on enabling, facilitating and accelerating more collaboration, choreography, orchestration, and the provisioning, management, monitoring and securing of “services” as these are the things that will be used to create value for the enterprises customers . In order to do this, enterprise IT will need to free up its attention and resources on what we have historically defined as our job – delivering transactions, infrastructure, technology, and codeConsumerization of IT as discussed these days is a good metaphor for IT of the future. Consumerization is not just new devices that IT must respond to (BYOD), it is a new role for IT and a new process for business decision making – value is not just financial but is emotional and social; the value creation process is distinct from the value realization; value realization is displaced (serendipitous) in time from the process that initiated it; the measure of value is externally determine (costs have nothing to do with it); present value and future value are not necessarily related or functions of each other. In the future as a consequence of consumerization, IT will largely not be created, controlled, or directed by IT departments, but hopefully will be supported, managed, and influenced by them. IT organizations will either be a primary enabler of this phenomenon learning to manage and govern it, or they will be largely pushed out of the way and marginalized.What must IT do:Understand innovation, see where the market is heading, and put its all in realizing the goal of getting there first.Keep it simple. Customer wants an outcome, doesn’t want to know how IT gets it for them, or worse, how they have to request it from us. They want to trust we will do the right thing for and with them. The same holds for our partners, our employees and all other stakeholders we interact with.It is not about the enterprise, it is not about the individual, it is about the emerging social enterprise made up of individuals, groups, communities, organizations and enterprises collaborating to create value, globally.Even in the enterprise, behavioral economics and behavioral finance are more important than analytical frameworks, implying it is about emotion, status, and perception as much as dollars and cents, so focus on design and experience.Empower employees – move from planning to preparation; from directing to mentoring; from staffing to engaging; from controlling to framing.Be a servicebuyer for our companies, create an ecosystem of capabilities, then let capability owners (customers, partners, suppliers, employees, contractors, even competitors) within the ecosystem have clear responsibilities and empower them to innovate within the bounds set by the commitments to our customer.Consolidate our the infrastructurein networking, storage, compute, end point devices, software and services into a future vision of an integrated standards based information fabric, let that vision motivate, guide, enable, facilitate and accelerate our transformations and capabilities, leveraging that fabric with the coming industrialized IT services models “in the cloud”.End point devices (PC, tablet, phone, goggles, TV, cars, refrigerators, etc.) are windows into and from that fabric. That should be their design point, purpose and value contribution.
  • The Corporate Executive Board completed an in depth study about the future of IT in 2010, they updated it in August of 2011. I have included it here as a reference for you. It is freely available and can be found by searching for it as described in the lower left. There are 5 key findings as listed here.Summarizing, some of what enterprise IT does today relative to applications and traditional information systems will shift to end users and their departments, who in turn will leverage the breadth of offerings coming available in the Software as a Service space and the depth of the individual software components that will be available – along with accompanying services.More will evolve into horizontal shared services systems replacing the traditional stovepipe vertical applications. Imagine a single new employee transaction crossing multiple service providers versus today a separate transaction each for office space, telephone, benefits, payroll, badge, credit card, etc.Some will simply be outsourced. Critical analysis and decision making is required in determining the value of having your own infrastructure versus leveraging that of utility providers with more scale and expertise than even the largest enterprise IT organization can bring to bear.On the other hand, IT can successfully evolve into the critical enabler of innovation and adaptability by how it identifies, procures, monitors, manages, quality control and consequentially delivers all of these external and internal capabilities. Also, IT may now shift its focus on technology not in terms of operating it but in terms of its capabilities and how they can be applied to the business – its customers, its suppliers, its partners, its markets. IT may in effect become the operations function of the organization in a Digital Business Ecosystem. At a minimum, with electronic engagement of customers – the CIO and CMO must become attached at the hip.
  • There are three levels to the IT of the future. The first is infrastructure or the fabric of IT. It is where in the past and even today, IT spends 80% of its resources. In the future it will be like air and water were for the industrial revolution – necessary, but not sufficient. In the past – scale and capability here provide some competitive advantage. In the world with clouds, everyone has the same capability, it now becomes more important where and how you apply it.The second level of IT is the creation of industrialized services – capabilities that are common, consistent and available – derived from the underlying fabric of infrastructure. If the fabric is the IT equivalent to the towers, bandwidth, switches and interconnections of the cellular network, then the industrialized services are the assemblage of these capabilities into cellular plans and capabilities that are offered to consumers as well as the tools and capabilities to manage, monitor and support the users as they consume the services made manifest in the basic device like a smartphone.The third level then takes these services, assembles them, orchestrates them and choreographs them into unique value propositions for the enterprise and the enterprise’s customers. This is the equivalent of the ecosystem of apps that reside on every smartphone, only on the scale, breadth and depth of an enterprise.At Dell, we are taking these ideas and applying them to ourselves in a constantly developing model of how to transform ourselves, as well as take what we have learned to our customers to help them with their transformations.The starting point is to begin to standardize what you do. Decide what you should be doing – those things that create value for your customers, those things that give you a differentiating capability, those things that you can do better than anyone else – and begin to modernize them in preparation for the evolving capabilities of IT. Everything else – either quite doing or find someone else to do it for you. We do this ourselves with Dell outsourcing its infrastructure and other capabilities to Dell Services in a true customer supplier relationship.Begin simplifying to make sure there is one place to get things done – whether it is virtual or physical, there should only be one version of truth. Begin preparing for the coming fabric and your inevitable adoption of cloud technology – virtualize everything you can, and for those things you cannot, figure out why and start making the changes to eliminate those obstacles.Realize that future value comes from the collaboration and creativity of our people in solving problems or realizing opportunities. If the work to be done requires neither of these, then automate it. And as organizations operate 7x24x52, as work is done across organizational boundaries and as value creation is more a function of the right people, resources and ideas coming together at the right time and in the right place – it becomes increasingly important that those resources not be constrained by dependence on others to be able to do the work. Self-service should always be a first order design principle for any IT offering in the future


  • 1. The Future of Business, TheFuture of IT…The Socially Enabled EnterpriseJim Stikeleather
  • 2. A perfect storm is on the horizon… Enterprise 2.0 Capitalism 2.0 Management 2.0 Economics 2.0 IT 2.0 New Game, New Playing Field, New Rules, New Players… Means Innovation, Flexibility, Agility, and more…2 Services
  • 3. The future of IT in context:Serendipity Economy Planning to Preparation Directing to Mentoring Create Customers, Lower Transaction Costs, Overcome Economic Friction Staffing to Engaging Controlling http://www.zdnet.com/blog/hinchcliffe/the-state-of-enterprise-20/143 to Framing /3 Services
  • 4. The Rise of the Enterprise 2.0 Strategy Domain Closed Corporation Enterprise 2.0 National Global1. World View Engine - US, Japan, Europe Engine - China, India, Emergent Protectionist Free Trade Vertically Integrated Focused on Core2. Corporate Boundaries Business Web Non-porous Content Context, agency M&A + Fasttrack Business Models Closed Innovation + Open Innovation3. Value Innovation Do it Yourself + Co-Creation Proprietary + Open4. Intellectual Property Protected + Shared Plan and Push Engage and Collaborate5. Modus Operandi Hierarchical Self-organizing Power over … Power through … Lumbering Agile Internal (Enterprise Integration) External (+ Inter-enterprise Integration)6. Business Processes Complex Modular Hardwired Reconfigurable Traditional Demographics + Global N-Generation7. Human Capital & Containerized CollaborationKnowledge Capital Internal + Across the B-web Opaque + Transparent8. Information Liquidity Asynchronous processing Real Time Traditional BI Networked Intelligence Transactions + Relationship Capital9. Relationships Product/Services + Experiences Proprietary + Standards-based10. Technology Monolithic Service oriented Silos Interoperable Enterprise + Inter-enterprise Dumb Networks Intelligent Networks
  • 5. The Socially Enabled Enterprise http://moogsoft.wordpress.com http://blog.thecustomerframework.com/?Tag=socially+enabled+business5 Services
  • 6. IT Must Find the Balance: control, conformance and consistency without strategic inertia, frustrated innovation and squandered initiative Efficacy @Moment Engagement Efficiency Freedom Diversity @Scale Mash-ability Management Scale Adaptability Disaggregation Control Collective Intelligence Standardization Community Specialization Experimentation Centralization Opt-in Efficiency Expertise Innovation Serendipity Hierarchy Intrinsic Rewards Alignment Open Conformance Predictability Discipline Extrinsic Rewards Engagement Closedhttp://www.boostzone.fr/en/the-fractal-nature-of-entreprise-2-0/ 6 Services
  • 7. What does it all mean for IT? More collaboration, choreography, orchestration, “services”Less transaction, infrastructure, technology, code Decision criteria varies across the different Overall, the market expects: roles in the organization. • Capability CEO CIO/CTO • Flexibility No Capital Expenditures Legacy Extension • Adaptability Linear or Decreasing Information: Operational Expenditures • Assurance & Security • Speed • Governance & Compliance Time to Market & • Costs to Revenues Capability Integration & Management • Time to Value CFO End User On Demand Any Where Metered Any Time Natural Billing Units Any Device 7 Services
  • 8. 1. Information Over Process The Evolving Competitive advantage from information technology shifts toward customer experience, data analytics, and knowledge worker enablement, consequently, information management Organization skills will rise in importance relative to business process design. Model for IT 2. IT Embedded in Business Services Centrally provided application and infrastructure will be embedded in business services and delivered by a business shared services organization. 3. Externalized Service Delivery Delivery will be predominantly externalized as vendors expand service provision and internal resources become brokers not providers. 4. Greater Business Partner Responsibility Business unit leaders and end users will plan a greater role in obtaining and managing technology for themselves where differentiation has more value than standardization. 5. Diminished Standalone IT Role IT roles will be embedded in business services, evolve into business roles, or be externalized. Remaining IT roles will be housed in a business shared service group. The CIO position will expand to lead this group or shrink to manage IT procurement and integration.8 Services
  • 9. Getting IT “there”(in the end there is no “there”) Standardize Simplify Automate The Future Refresh Mgmt. Tasks Federation Modernize & Centralize & Processes & upgrade tools steps Policy-Based Workloads Compute, On-Demand The Self- Scalability Eliminate unneeded Virtualize storage, Introduce service network Self-Service Self-Service Orchestration (internal) Orchestration Choreography (internal) (external) Management Management Management Monitoring Monitoring Monitoring Compliance Compliance Compliance Virtual Virtual Virtual Virtual Infrastructure Infrastructure Infrastructure Infrastructure Abstraction Abstraction Abstraction Abstraction Abstraction Test and Server Intelligent Data Center Computing Development Consolidation Capacity Automation Clouds9 Services
  • 10. Appendix…10 Services
  • 11. http://www.youtube.com/watch?v=u6XAPnuFjJc 11 Services