IBM Rational Software Conference 2009 Day 2 Keynote: Steve Mills


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IBM Rational Software Conference 2009
Orlando, FL May 31-June 4
General Session
Day 2 Keynote
Steve Mills

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IBM Rational Software Conference 2009 Day 2 Keynote: Steve Mills

  1. 1. Steve Mills IBM Senior VP & Group Executive IBM Software
  2. 2. Innovation for a Smarter Planet
  3. 3. The World is Changing
  4. 4. The Reality of Living in a Globally Integrated World Increase in global water Idle computer usage since the 1900s, capacity twice the rate of human population growth The losses of electrical energy due to inefficiency - around the world Spent on Worth of produce is wasted in India because IT maintenance of outdated post-harvest infrastructure Lost annually in the US due to healthcare fraud Annual consumer product and retail sales lost in United States due to of total port supply chain inefficiencies Annual volume in North impact of America is empty congested containers roadways
  5. 5. Building a Smarter Planet Thinking and Acting in New Ways to Make Our Systems More Efficient, Productive and Responsive “Data is “Our resources exploding and New Green and are limited” it’s in silos” Intelligence Beyond I Need I Need Insight Efficiency “New business “My infrastructure and process Dynamic is inflexible and demands” Smart Work costly” Infrastructure I Need to I Need to Work Smart Respond Quickly
  6. 6. Smart Planet ……. Our world is becoming INSTRUMENTED By 2010, 30 billion RFID tags will be embedded into our world and across entire ecosystems Our world is becoming An estimated 2 billion people will be on the Web INTERCONNECTED by 2011 …. and a trillion connected objects – cars, appliances, camera, roadways, pipelines – comprising the “Internet of Things” All things becoming INTELLIGENT Every day, 15 petabytes of new information are being generated. This is 8x more than the information in all U.S. libraries
  7. 7. What Does It Mean to Become Smarter? Sensors and Metering Data collection New Data Event Processing + Real Data Integration Time Data Integration Comparison of historical data, New Insights Real Time + Historical with newly collected data Data Data Modeling & Analytics Data modeling and analytics to create insights from data to feed decision support and actions Process Visualization & Leading businesses today are benefiting from Innovation Decisions new sensor data when combined with IBM’s business process management, event processing New and Optimized and business optimization capabilities Business Processes
  8. 8. Innovative Solutions for a Smarter Planet Smarter Smarter Smarter Smarter Smarter Smarter Roads Oil & Gas Food Healthcare Utilities Retail Smarter Smarter Smarter Smarter Smarter Smarter Smarter Telco Supply Chains Public Safety Money Transportation Cities Products
  9. 9. Creating Smarter Manufacturing Significant reduction in parts delivery errors Reduced inventory levels through better visibility Highly instrumented supply chain using AutoID and RFID
  10. 10. SOA-based Control Center Smarter Manufacturing WebSphere Premise Server WebSphere Business Monitor 16 Manufacturing Sites WebSphere Process Server WBI Adapter for SAP IBM Sensor and Actuator Solutions RFID Tivoli Monitoring Rational ClearCase, ClearQuest Final RFID Assembly Large parts transportation operation RFID Final assembly line operation Tracks parts and goods from the moment the RFID is detected to the moment the ERP system is updated Toulouse, France
  11. 11. Creating Smarter Energy Grid 25-50% reduction in outages Up to 90% capital savings Real-time instrumentation and intelligent analytics
  12. 12. Smarter Energy Grid SOA-based Control Center WebSphere Application Server WebSphere Message Broker WebSphere MQ Generating IBM ILOG Software Plant Rational Software Architect Problem Detection Response Optical Current Sensors Residence Traditional IT Support Intelligent Management of Physical Assets Smart Devices
  13. 13. Products are Getting Smarter to Meet More Demanding Requirements Demand for more customizable products unique to the needs of individual people or businesses Leverage of information and environmental conditions to achieve desired outcomes Improved use of scarce resources such as time, energy and money
  14. 14. A Smarter Planet Requires Smarter Products …. …. Which are Intelligent, Interconnected and Instrumented Vehicle Services Traffic Services Vehicle monitoring Police/emergency Personal Services Traffic congestion News Roadside assistance Weather Entertainment Advanced diagnostics Concierge Banking Software fault analytics Insurance Government Service and warranty data “pay as you drive” Utilities Dealer Vehicle to Vehicle Electric Vehicle/ Toll Vehicle to Hybrid Collection GPS Roadside Charging
  15. 15. Complex Systems for Automotive What’s Smart First prepackaged airbag assembly within a steering wheel Teams in 35 countries collaborating on parallel releases using shared requirements Smarter Business Outcomes 2008 introduction of prepackaged airbag/steering wheel in the Smart Fortwo vehicle made by Daimler How Rational Enables Smarter Products Requirements sharing across globally “Rational DOORS has helped Delphi distributed teams and projects improve development team communication, resulting in meeting customer requirements Component reuse enabled by automated faster and more accurately.” requirements management
  16. 16. Mobile Access to Medical Images Merge Healthcare What’s Smart Provides medical professionals access to complex medical images on mobile devices Smarter Business Outcomes Reduced hospital operations costs Reliable, secure, scalable delivery of medical images and reports How Rational Enables Smarter Products Collaboration across globally distributed “We rely on Rational Synergy and Change to development teams manage the complexity of the software and to ensure that our global development teams Change management across the end-to-end operate as one, for the best result to our software lifecycle customers. This software from IBM is part of our livelihood; it's our DNA.”
  17. 17. Smarter Planet Requires a Significant Investment in Software Software is increasingly viewed as a strategic business asset Imagine the amount of software necessary to: • Deliver a more energy efficient world • Take advantage of information base explosion • Communicate with a trillion devices • Drive on-going product differentiation • Serve new global markets Leaders everywhere are deploying increasingly intelligent software, systems and products Accelerating innovation and enabling effective change is highly dependent on their ability to manage effective software delivery
  18. 18. Software as a Strategic Business Asset $ 4.5T Cumulative Value Annual Expenditures of Software Investments and In-house developed Cumulative Value of Investments $ 3.3T Work for Hire $ 2.3T Purchased $ 2.6T $ 0.6T Annual Software $ 1.5T Expenditures $ 690B $ 550B $ 480B $ 290B In-house developed $ 380B $ 1.6T $ 80B Work for Hire $ 320B Purchased 1995 2000 2005 2010
  19. 19. System and Software Lifecycle Processes Optimizing Value From Investments Across the Software “Supply Chain” Business Capabilities Development Capabilities Enterprise Architecture / Analysis & Design Architecture Frameworks Requirements Product Portfolio Definition and Construction Management Management Configuration and Change Management Measurement and Reporting Release Management Operations Tivoli Production / Asset and Service Operations Quality Management Management