Derick Deleo Director, WW IBM ECM Technical Professionals [email_address]
NEW INTELLIGENCE To manage the mountain of information generated daily by increasingly connected systems, devices and people, while extracting richer insights and making faster, better decisions
We are seeing increasing amounts of data, which must be transformed into information to create new intelligence … Source: IDC, The Expanding Digital Universe, March 2007 New Intelligence is about gaining control of the information explosion Volume of digital data
57% CAGR for enterprise data through 2010
Machine-generated data from a growing array of devices and objects
80% of new data growth is unstructured content
E-mail, images, audio …
Variety of information
Rapidly changing business climate
Need to stay ahead and plan for future
Velocity of decision making
Less and less information is being effectively captured, analyzed and made available to the people who need it
59% do not have access to information across the value chain that would be most useful to them
85% of CIOs do not believe that their information is well managed 70% do not get predictions on future opportunities and problems Source: Information Management Online
Senior executives want to make better use of their information Provide critical insight to identify changes in market behavior, improve relationships, identify new markets and develop new offerings that ensure maximum business impact Drive new revenue, profits and competitive advantage Optimize the allocation and deployment of resources and capital Create cost efficiencies that align to business strategies and objectives Help reduce vulnerability and provide greater certainty in predicting, identifying and responding to threats Lower business risk
The missed opportunity associated with inaccessible or inaccurate information can be considerable 0 10 5 15 20 25 Revenue growth Stock price - industry Finance organizations whose information was more accessible and trusted due to enterprisewide integration and common data definitions, standards and processes Finance organizations that did not exhibit these characteristics Poorly informed finance organizations reported significantly lower revenue and stock price growth Source: IBM Global Business Services, The Global CFO Study 2008; Thomson Financial; 2007 Wall Street Journal “Annual Industry Report.”
How can the enterprise unlock the business value of information?
Consolidating silos of information
Establishing enterprisewide data and process standards
Bringing together stakeholders to establish an information agenda for the enterprise
Developing an information management strategy and roadmap
Implementing a robust, resilient enterprisewide information infrastructure that is the basis for enhanced visibility, control and insight.
With a horizontal view of the business, CIOs can see through the clutter, gain control and maximize the business value of information: Enter the CIO …
New intelligence requires the ability to pull together real-time information on demand from across the value chain Legacy systems News feeds Information networks Customer Web sites Business partner intranets RSS feeds Advances in stream computing, modeling and analytics deliver trusted and predictive intelligence for better decision making and opportunities forecasting
Building a smarter enterprise: transforming information into a strategic asset New York Police Department
Uses Crime Information Warehouse to provide all officers with a single point of access to real-time crime data
Combines global mapping and visualization tools to compile and build crime intelligence
Detects crime patterns as they form
Proactively heads off spikes in criminal activity.
Leverages an information infrastructure capable of accommodating the agency ’s petabyte-sized data growth
Enjoys increased flexibility and efficiency via a robotic storage and retrieval system and automated information management
Has reduced information retrieval from months to as little as a day.
Enterprise Information Management Gartner, Key Issues for Enterprise Information Management 2007 EIM is defined “as an integrative discipline for structuring, describing and governing information assets regardless of organizational and technological boundaries in order to improve operational efficiency, promote transparency and enable business insight.”
EIM is comprised of
Other interdependent data management initiatives
Today, more than ever, organizations use software to enable every facet of their business . Software Business
But with new models and ways of working come new challenges ... Data everywhere As the world becomes more instrumented, the challenge is to get more out of the wealth of new information—from managing data to developing insights. Differentiation through people As always, it ’ s the capabilities and ingenuity of the people in business that deliver results. But today, it ’ s about more than just those on your payroll—the greater opportunity is how well you can engage a worldwide ecosystem of employees, partners, suppliers, and customers to help create new value. New expectations for value Customer expectations have never been higher: Personalized service, delivered flawlessly. Global integration and connectivity As the world becomes more interconnected and as the paradigm of the organization shifts from multinational corporation to globally integrated enterprise, businesses can no longer afford to operate as islands. More than ever, they need to find ways to connect both internally and externally. Security risks Technology has allowed work to move beyond physical locations and brand offices. It now exists on virtual platforms, across dispersed teams and players. But the more data and information organizations make available to their internal audience, the greater the risk.
And as a result, a new set of needs has emerged. Turn information into insights Drive business integration and optimization Connect & collaborate Enable business service & product innovation Optimize the impact of business infrastructures and services Manage risk, security & compliance
These needs range from building technology advantage to developing new strategic business solutions . Turn information into insights Drive business integration and optimization Connect & collaborate Enable business service & product innovation Optimize the impact of business infrastructures and services Manage risk, security & compliance “ I need to make better use of my company’s information. That means my company has to do a better job managing data and content. With timely access to clean data, we could devise new ways to serve our customers.” “ I need better ways to connect my team to improve their productivity and ability to make timely decisions. By connecting key processes and enhancing collaboration, we can be more responsive to our customers and partners.” “ I need to create more efficiency within our existing infrastructure. That starts with greater visibility and control across all of our operations— both IT and enterprise—and better management of our overall resources.” “ I need to create the processes and flexible infrastructure our organization needs to react more quickly to changing market conditions.” “ I need to deliver smarter products, services and capabilities more efficiently and reduce cost and risk across the product and application lifecycle, while also providing better service experiences to my end customers.” “ I need to ensure that my organization is pro-actively identifying all the different types of risks to our business, and that we have security and resiliency plans in place to address any threat or disruption.” Business solutions Technology advantage
Your organizational advantage is trapped in your content. 90% Content that is currently not being managed by organizations 80% New data growth from unstructured content (e.g., email, documents, images, video and audio) 60% Managers who miss key information when making business decisions 50% Organizational content that carries risk without delivering business value Sources: Various IBM and public studies.
To optimize business outcomes, Smarter organizations manage content for value. SMART IS … ELIMINATING PAPER. A large U.S. federal agency saved more than US$1.3 billion annually by eliminating paper. SMART IS … GOVERNING AND DEFENSIBLY DISPOSING OF INFORMATION. JM Family Enterprises saved US$2.1 million annually by reducing call center labor costs. SMART IS … IMPROVING CONTENT-CENTRIC WORKFLOWS. J.B. Hunt added US$870,000 annually by more accurately charging customers. SMART IS … RAPIDLY DERIVING CONTENT INSIGHTS. A large U.S. bank achieved ROI on content analytics in seven months. SMART IS … LOWERING LEGAL RISK AND COST. BASF implemented more cost-effective governance.
Do any of these opportunities resonate? Imagine if you could … … leverage claim patterns to optimize medical treatment approaches … analyze “voice of the customer” insights to decrease churn … adjust loan procedures dynamically to account for risk fluctuations … decommission business records, while improving regulatory and risk postures
Content and the executive agenda Emerging executive-level imperatives underscore the need for content management solutions across the wider organization.
78 percent of customer-focused CEOs will focus on insight and intelligence to realize strategy.
74 percent of CFOs believe that the need for faster decision making will change their industry.
78 percent of CIOs want to improve the way they use and manage their content.
“ Hertz gathers an amazing amount of customer insight daily…. We wanted to leverage this insight at both the strategic level and the local level to drive operational improvements. Working closely with the IBM–Mindshare team, we are able to better focus on improvements that our customers care about.” Joe Eckroth, CIO, Hertz Corporation Sources: IBM 2011 CEO Study; IBM 2011 CFO Study. C-suite Line of business Administration IT Legal
Smarter models are emerging. Smarter content management Content in a shared services model, delivered in context to specific business users and processes, driving faster insight and action Traditional content management Content locked in multiple, siloed repositories, driving uncontrolled proliferation, inconsistent access, and mounting costs and risks Infrastructure-led approaches Business solution–led approaches Siloed, departmental management Collaborative, shared services model Manual, inefficient processes Optimized, dynamic processes “ Keep everything ” governance model Policy-based information lifecycle “ Search and hope ” user experience Analytics- and people-driven insight
State of North Dakota Smart is delivering services more effectively Industry context: government services Value driver: improve process efficiency Solution on-ramp: advanced case management Business challenge The state of North Dakota wanted to securely share citizen information across agencies statewide and to gain greater visibility into its operations. What ’ s smart? The state enabled agencies to efficiently retain, access and share information by replacing paper-based processes with an automated, centralized advanced case management solution from IBM . Smarter business outcomes Reduces response time to citizen inquiries from days to seconds; improves process efficiency, information sharing and cost savings “ Advanced case management will help keep our parole officers safer because they'll have information faster and more reliably.” — Chuck Picard, EDMS coordinator, State of North Dakota
Japan business services provider Smart is gleaning insight about customers Industry context: computer services Value driver: improve customer service Solution on-ramp: content analytics Business challenge A Japanese business services provider operates multiple customer service centers and needed ways to analyze large volumes of information to improve agent training and deliver better customer support. What ’ s smart? The company implemented content analytics from IBM to understand and process natural language. The solution analyzes customer interactions based on consolidated logs of phone calls, email and web, identifying keywords. Smarter business outcomes Improved agent skills and training, resulting in a 92 percent reduction in call transfer and 88 percent improvement in volume; provided new insights about product issues, resulting in an 88 percent decrease in product-related calls “ Insight into customer interaction logs is an information gold mine for us.” — General manager, Japan business services provider
PPL Corporation Smart is knowing what to keep Industry context: energy and utilities Value driver: reduce costs, improve compliance Solution on-ramp: information lifecycle governance Business challenge PPL wanted to minimize the risks and costs associated with records, plus improve document retention for regulatory compliance and information governance. What ’ s smart? PPL addressed its email and records retention requirements by properly capturing, consolidating, storing and managing content across the content lifecycle, enabling compliance staff to find trusted, contextually relevant information in a single retention record. Smarter business outcomes The IBM solution reduced time to access records from up to five days to just seconds, enabled a 75 percent decrease in time to compile information for new projects and helped staff retain critical documents to meet regulatory requirements. “ Before, it could take up to five days to get a file from our records department. Now staff can access documents at the click of a button.” — Jim Mazurowski, supervisor, Information Solutions, PPL Corporation
Identify and quantify the value drivers What ’s your business ? Unlocking value starts within your specific industry context. Industry context
Energy and utilities
What ’s your use case ? The value you derive will be associated with one or more business application areas. Business application
What ’s your goal ? Quantifiable value drivers justify investments in enterprise content management. Value drivers
Product and service innovation
Select your value entry point Where to start ? The path to value lies along one or more specific solution entry points. Document imaging and capture Capture, manage and share content anywhere it exists Social content management Connect people with social content and office documents Advanced case management Optimize case and business outcomes Content analytics Gain unexpected business insights Information lifecycle governance Reduce cost and risk by managing information through its lifecycle
Harness industry-leading technology An effective technology platform for ECM incorporates these elements
Enterprise integration and federation
Unparalleled extensibility and scalability
Flexible deployment models (e.g., on premises, hosted and cloud)