Successfully reported this slideshow.
We use your LinkedIn profile and activity data to personalize ads and to show you more relevant ads. You can change your ad preferences anytime.

Tech Trends 2015: The fusion of business and IT | Deloitte Australia | Technology trends report


Published on

Deloitte’s annual Tech Trends report identifies the eight technology trends that we believe have the most potential to impact business over the next 12 to 24 months.

Published in: Technology

Tech Trends 2015: The fusion of business and IT | Deloitte Australia | Technology trends report

  1. 1.
  2. 2. Bridging business and technology, new CxO roles, and the possibilities of tomorrow with the realities of today.
  3. 3. 3 Deloitte Touche Tohmatsu © 2015 – Tech Trends 2015. LESSONS FROM THE FRONT LINES • The role of the CIO is evolving as technology transforms existing business models and gives rise to new ones • Who better than the CIO to take advantage of shifting technologies and harness them for the business? • New CxO roles—Chief Digital Officer, Chief Innovation Officer, Chief Data Officer—are cropping up with technology at their core • CIOs acting as chief integration officers can serve as the glue linking various initiatives together Intel AIG Brown- Forman
  4. 4. 4 Deloitte Touche Tohmatsu © 2015 – Tech Trends 2015.  Evaluate current positioning: understanding the balance sheet of IT is a requirement  Mind the store: invest in underlying capabilities to improve departmental efficacy  Engage leadership: Solicit feedback and understand priorities  Knock down walls: tap into ideas through new employee and partnership channels  Show, don’t tell: prototype and demo to make art of the possible become feasible  Industrialise innovation: standardise approach for new technology As security breaches become more frequent, senior stakeholders expect that their organisations will be kept safe and secure. CIOs can create strong linkages between IT and other functions by emphasising cyber risk and privacy, embedding cyber defense as a discipline. IT departments are in a position to orchestrate awareness of and responses to cyber threats. WHERE DO YOU START? CYBER IMPLICATIONS
  5. 5. Integration as a discipline, exposing core assets for reuse, growth, and innovation.
  6. 6. 6 Deloitte Touche Tohmatsu © 2015 – Tech Trends 2015. LESSONS FROM THE FRONT LINES Web 2.0 • Application programming interfaces (APIs) are evolving from a development technique to a business model driver and boardroom consideration • The API revolution is upon us, more than 10,000 have been published to-date1 • Core assets can be reused, shared, and monetised through APIs—creating a growing need for management platforms and experts • The opportunity exists to provoke and harvest how business services and underlying APIs can reshape how organisations compete Netflix Federal Data Services Hub 1ProgrammableWeb, http://www. all/apis?order=field_popularity
  7. 7. 7 Deloitte Touche Tohmatsu © 2015 – Tech Trends 2015.  Clarify strategy: clearly define the intention, value, and audience of the API  Establish ownership: placing effort under an IT executive can simplify the path forward  Embrace the necessities: evaluate the available tools, platforms, and integration possibilities WHERE DO YOU START?  Plan big, start small: businesses should balance payoff with added complexity  See it through: drive a sustained campaign for awareness and support, while keeping ongoing documentation and maintenance needs in mind Cyber risk considerations should be at the heart of API strategies. An API built with security in mind can be a more solid cornerstone of every application it enables; done poorly, it can multiply application risks. New controls and tools are likely necessary to protect unbounded potential use cases while providing end-to-end effectiveness. CYBER IMPLICATIONS
  8. 8. Harnessing the real potential of the Internet of Things.
  9. 9. 9 Deloitte Touche Tohmatsu © 2015 – Tech Trends 2015. LESSONS FROM THE FRONT LINES ComEd • IoT is becoming a reality with connectivity and intelligence increasingly embedded in assets across the value chain • But putting the estimated 11 billion sensors1 to work is the challenge, along with deciding which of the 1.5 trillion objects in the world2 should be connected and for what purpose • The goal should not be the Internet of Everything; it should be the network of some things, deliberately chosen and purposely deployed Nest Labs Streetline Bosch SI 1 Karen A. Frenkel, “12 obstacles to the Internet of Things,” CIO Insight, July 30, 2014, http:// slideshows/12-obstacles-to- the-internet-of-things.html, accessed November 12, 2014. 2 Cisco Systems, Inc., Embracing the Internet of Everything to capture your share of $14.4 trillion, February 12, 2013, web/about/ac79/docs/innov/IoE_Economy. pdf, accessed November 12, 2014. City of Melbourne
  10. 10. 10 Deloitte Touche Tohmatsu © 2015 – Tech Trends 2015.  Beware fragmentation: compelling use cases will require cross- organisational collaboration  Stay on target: avoid distractions from exciting new technologies by starting with concrete business outcome  User first: usability should guide implementation, even if the solution is automated WHERE DO YOU START?  Network: don’t lose sight of the importance of connectivity, especially for items outside of established facilities  Stand by for standards: IoT standards will continue to evolve, but don’t wait to invest until standards are finalised, help shape them New security risks are embedded in each layer of IoT: sensors, networks, integrations, rules engines, people, and processes. IT leaders should be extra cautious when scenarios move from signal detection to actuation. Consider cyber logistics before placing new objects into the IT environment and take a broad approach to proactive risk management. CYBER IMPLICATIONS
  11. 11. Modern marketing brings new challenges in customer engagement, connectivity, data, and insight.
  12. 12. 12 Deloitte Touche Tohmatsu © 2015 – Tech Trends 2015. LESSONS FROM THE FRONT LINES Insurance Industry • A new vision for marketing is being formed as CMOs and CIOs invest in technology to reach digitally connected customers • Four new dimensions are being added to original marketing mix: engagement, connectivity, data, and technology • Technology and analytics can deliver convenient, contextual, and hyper- targeted customer experiences • CIOs can help deliver analytics, mobile, social, and web while maintaining security, reliability, and interoperability Rocket Fuel Telstra
  13. 13. 13 Deloitte Touche Tohmatsu © 2015 – Tech Trends 2015.  Customer-led: understand the customer journey and focus on authentic engagement  Focus on data: big data and predictive analytics should play a role in how you invest in targets and priorities  Holistic approach: explore new channels and tools to complement existing ones WHERE DO YOU START?  Content management: authoring, provisioning, and measuring usage and effectiveness should be seamless processes that provide users with contextual content across channels  Social activation: move beyond passive listening to inspiring brand ambassadors There are privacy concerns, laws, policies, and standards for using personal data for marketing which may limit the degree to which marketers can use data for personalisation and outreach. Establishing and maintaining trust is key. Organisations should consider public policies, privacy awareness programs, and end-user license agreements joined with explicit security and privacy controls. CYBER IMPLICATIONS
  14. 14. The entire operating environment —server, storage, and network— can now be virtualised and automated.
  15. 15. 15 Deloitte Touche Tohmatsu © 2015 – Tech Trends 2015. LESSONS FROM THE FRONT LINES Cisco • The entire operating environment can now be virtualised and automated, elevating infrastructure investments from costs to competitive differentiators • Savings come from retirement of gear, shrinking of data center footprints, and lowering of recurring maintenance costs • And it’s not just about the cloud; it’s about removing constraints and being a platform for growth • First movers will likely benefit from greater efficiencies and eventually reshape how their companies work Amerisource Bergen eBay Acxiom
  16. 16. 16 Deloitte Touche Tohmatsu © 2015 – Tech Trends 2015. WHERE DO YOU START? CYBER IMPLICATIONS The software-defined stack will require new tools, but it can also help produce more streamlined, responsive IT capabilities where risk management becomes muscle memory. Standardisation can minimise vulnerabilities and variances, and produce an accurate assessment of your risk profile.  Consider financing: some vendors may accommodate creative financing arrangements  Standardise design: emphasise templates and commonality to manage complexity  Facilitate teamwork: infrastructure and application teams should work in tandem for rapid deployment  Support migration: existing assets should be analysed application by application to determine the technical considerations needed to support migration. The business needs should then be layered on.  Beyond the data center: companies may realise benefits by coupling SDDC initiatives with a broader IT transformation effort
  17. 17. Replatforming, architecting, and revitalising IT at the heart of the business.
  18. 18. 18 Deloitte Touche Tohmatsu © 2015 – Tech Trends 2015. LESSONS FROM THE FRONT LINES Sysco • Core system investment can be the foundation for growth and new service development • 80% of time, energy and budgets are consumed by the care of existing IT capabilities1 • Many organisations are modernising to pay down technical debt and remove barriers to performance • One size does not fit all: replatform, remediate, revitalise, replace, or retrench Electronics Industry The Bureau of Engraving and Printings 1Bob Evans, “Dear CIO: Is the time bomb in your IT budget about to explode?,” Forbes, January 22, 2013, sites/oracle/2013/01/22/dear-cio-is- the-time-bomb-in-your-it-budget-about-to-explode/, accessed January 14, 2015. Geelong Football Club
  19. 19. 19 Deloitte Touche Tohmatsu © 2015 – Tech Trends 2015.  Have a plan: balance business needs with limitations of existing systems and potential of emerging technology  Spark a light: find a burning platform to move the conversation about the core to the center stage  Plant the seed: invest deliberately in the core to eventually become a catalyst for growth WHERE DO YOU START? CYBER IMPLICATIONS  Partner up: strategic vendors can be allies in exploring new solutions for existing issues  Design as a discipline: embrace a living approach to architecture with usability, integration, data, and security in mind Identify what attracts cyber threat and be vigilant in protecting your assets. Scratch the assumption that the emerging technologies are inherently riskier than the legacy systems and, regardless of the platform, define probable and acceptable risks. Leverage vendors to outsource risk, but recognise that your organisation still retains responsibility for its security.
  20. 20. Augmenting and enhancing the individual with emerging technologies— cognitive analytics, visualisations, wearables, and beyond.
  21. 21. 21 Deloitte Touche Tohmatsu © 2015 – Tech Trends 2015. LESSONS FROM THE FRONT LINES • Artificial intelligence is now a reality, but the more promising application is not in replacing workers, but augmenting their capabilities • True impact comes from putting insights to work and changing behavior at the point where decisions are made • The human element remains critical to discovering new patterns and identifying the questions that should be asked • Solutions should start from the user down, not from the data model and analytics up University of Minnesota Los Angeles Police Department Oil & Gas Industry VCCC
  22. 22. 22 Deloitte Touche Tohmatsu © 2015 – Tech Trends 2015.  Ask questions: develop wish list to guide priorities and reveal what data is needed  Be honest: balance opportunity against expected organisational resistance; it may take time to become a data-driven culture WHERE DO YOU START?  Design from the user down: let user experience dictate the format, granularity and decisiveness of insights  Enhance the worker: be transparent in intent and consider programs to retool and redeploy workers CYBER IMPLICATIONS Traditional techniques to protect your data when it is at rest, in flight, and in use become less effective as the development of criminal products, services, and markets advances. Machine learning and predictive analytics can take cyber security a step further. Leading cyber initiatives balance reactionary methods with advanced techniques to identify the coming threat and proactively respond.
  23. 23. STEAM, not just STEM—fine arts alongside deep technical talent.
  24. 24. 24 Deloitte Touche Tohmatsu © 2015 – Tech Trends 2015. LESSONS FROM THE FRONT LINES AIG • Scarcity of technical talent is a concern across many industries as the legacy- skilled workforce retires and new technologies emerge • Companies likely need to cultivate workers with new habits, incentives, and skills; hands-on capabilities may trump credentials • Nature of employment changing: alternative models include virtual work arrangements, crowdsourcing, contract work • Support knowledge sharing by cross- pollinating teams with a mix of new and experienced, cross-functional, diverse workers GSA Deloitte NSW Police
  25. 25. 25 Deloitte Touche Tohmatsu © 2015 – Tech Trends 2015. WHERE DO YOU START? Balance the need for security with a focus on user experience by creating a well-integrated risk framework that is anchored around the end user’s journey. Teach your workers how to manage risk, and embed cyber security into all aspects of your organisation—software delivery, system maintenance and business process execution. CYBER IMPLICATIONS  Incentivise IT leaders: activate communities around them  Rethink hiring: include externships, hackathons, and recruit those with design aptitude  Industrialise innovation: introduce mechanisms to submit, explore, and potentially develop new ideas  Create a virtual culture: provide tools that support remote workers  Venture out: leverage crowdsourcing, incubators and start-up spaces  Invest in your own IT workforce: drive retention and encourage referrals  Transform HR: shift the focus to talent attraction and development
  26. 26. Science and technology breakthroughs advancing faster than Moore’s law, potentially impacting 230 lives.
  27. 27. 27 Deloitte Touche Tohmatsu © 2015 – Tech Trends 2015. FOUR DIMENSIONS FOR EFFECTIVE INNOVATION STRATEGY • Trend sensing: stay on top of new developments—use “show” vs “tell” in demos and prototypes • Ecosystems: combine the traditional allies with players from relevant adjacencies such as entrepreneurs, start-ups, venture capitalists and engineers • Experimentation: fail fast and cheap, move forward, and think about the impact, feasibility and risk • Scaling edges: achieve innovation at an institutional level by establishing new teams on the fringes of the organisation
  28. 28. 28 Deloitte Touche Tohmatsu © 2015 – Tech Trends 2015. General information only This presentation contains general information only, and none of Deloitte Touche Tohmatsu Limited, its member firms, or their related entities (collectively the “Deloitte Network”) is, by means of this presentation, rendering professional advice or services. Before making any decision or taking any action that may affect your finances or your business, you should consult a qualified professional adviser. No entity in the Deloitte Network shall be responsible for any loss whatsoever sustained by any person who relies on this presentation. About Deloitte Deloitte refers to one or more of Deloitte Touche Tohmatsu Limited, a UK private company limited by guarantee, and its network of member firms, each of which is a legally separate and independent entity. Please see for a detailed description of the legal structure of Deloitte Touche Tohmatsu Limited and its member firms. Deloitte provides audit, tax, consulting, and financial advisory services to public and private clients spanning multiple industries. With a globally connected network of member firms in more than 150 countries, Deloitte brings world-class capabilities and high-quality service to clients, delivering the insights they need to address their most complex business challenges. Deloitte has in the region of 200,000 professionals, all committed to becoming the standard of excellence. About Deloitte Australia In Australia, the member firm is the Australian partnership of Deloitte Touche Tohmatsu. As one of Australia’s leading professional services firms. Deloitte Touche Tohmatsu and its affiliates provide audit, tax, consulting, and financial advisory services through approximately 6,000 people across the country. Focused on the creation of value and growth, and known as an employer of choice for innovative human resources programs, we are dedicated to helping our clients and our people excel. For more information, please visit our web site at Liability limited by a scheme approved under Professional Standards Legislation. Member of Deloitte Touche Tohmatsu Limited © 2015 Deloitte Touche Tohmatsu