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The Future State of Enterprise Applica5ons 

Bruce MacVarish 
April 2008 
Innova5on Waves… solving Big Problems… crea5ng Big Opportuni5es 

                         Compu'ng             Connec'...
Ripples of Consumer Innova5on are shaping User expecta5ons at  
the Enterprise Edge 
                     ENTERPRISE      ...
Enterprise Applica5ons are not delivering enough End‐User value 

The Enterprise Applica5ons Industry is in transi5on…  
As Enterprise 2.0 emerges sources of value, compe88ve advantage and...
… resul5ng in a rapidly evolving Enterprise SoOware Value Chain 
                      Architecture:                   Dev...
… and new guiding principles for Value Crea5on & Market Advantage 

  1.  Steward hard‐to‐recreate end user driven data so...
 An Enterprise is the sum of User Transac5ons, Conversa5ons, Rela5onships 

                       For the last 10 years, ...
New Applica5ons will tap the “Flow” of Enterprise  
      Transac5ons, Conversa5ons and Rela5onships 
         Upstream Cu...
The Future State of Enterprise Applica5ons is… 

                 •  On‐Demand / Hybrid 
                 •  End‐User Cent...
Thank You 

        Bruce MacVarish 
Director, Business User Group, UCS 

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Enterprise Apps Future State


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Enterprise Apps Future State

  1. 1. The Future State of Enterprise Applica5ons  Bruce MacVarish  April 2008 
  2. 2. Innova5on Waves… solving Big Problems… crea5ng Big Opportuni5es  Compu'ng  Connec'ng  Sensing  ? 1980’s 1990’s 2000’s 2010’s Mainframe Computers  Remote Access  Relevance ‐ Aware  Mid‐Range  Data Routers / Switches  Context ‐ Aware  Personal Computers  Communica'on Switches  Social ‐ Aware  ACDs  Loca'on – Aware  Gateways  Analy'cs / Intelligent Filtering  Mobile   Presence / Availability   Source: Ins8tute for the Future  2
  3. 3. Ripples of Consumer Innova5on are shaping User expecta5ons at   the Enterprise Edge  ENTERPRISE CONSUMER Mobile Sensing Analytics Content / Collaboration Collective Intelligence Security Flows / Streams Discovery Networking Computing Social Collaboration Cloud + Mobile Telephony IT Individual Business User / Consumer Secure, reliable computing and connecting Easy, Intuitive discovering, creating, sharing and sensing 3
  4. 4. Enterprise Applica5ons are not delivering enough End‐User value  Business  End‐User  Enterprise  Vendor  Employee  IT  Vendor 1  Consumer  End‐User  Vendor 2  Consumer  Vendor 3  Source: CTC, Google  4
  5. 5. The Enterprise Applica5ons Industry is in transi5on…   As Enterprise 2.0 emerges sources of value, compe88ve advantage and architecture shiF  1990 2000 2010 Strategy Own the Stack Own a Layer and Be a Super-Node Orchestrate the Stack Value Hardware Dominance Software Dominance Stewardship of User Data Creation Closed, Proprietary HW Closed, Proprietary SW Power Laws and Network Effects Competitive Scale & Scope of Scale & Scope of Scale & Scope of Advantage Production Core Competency Social “Edge” Competencies Architecture Proprietary network Closed, Client-Server Open Data, Cloud-Premise Hybrid 5
  6. 6. … resul5ng in a rapidly evolving Enterprise SoOware Value Chain  Architecture:  Develop:  Mone5ze:  Distribute:  Customer:  Current  Client‐Server  Slow, Tight  Pay‐to‐Own  Direct  Enterprise IT,  State  Coupling,  Licensing   Indirect  Network  Centralized   Channels   Administra8on  Many startups treat the ‘raw’ Products must now At work, at home, in a hotel, at internet as their platform. Businesses are increasingly embrace a “discover, school or in a coffee shop, the Speed, simplicity and loose considering what internet learn, try, buy, networked appliance has become coupling are paramount. services-based economics of recommend” cycle – our ‘virtual office’ where we file our scale might do to help them sometimes with one of information and interact with others Products must deliver a reduce infrastructure costs or Developers needing tools and those phases being free, seamless experience, one deploy solutions as-needed and libraries to do their work just another ad-supported, in which all the technology on subscription basis. in your life ‘just works’ and search the internet, download, and yet another being subscription-based. The ubiquity of broadband and can work together, on your develop & integrate, deploy, wireless networking has changed behalf, under your control. refine the nature of how people interact, This means designs Subscription and Advertising and they’re increasingly drawn Enterprise products now centered on an intentional The ‘Net Native Service and models have emerged as a toward the simplicity of Net Native fusion of internet-based more often than not enter Software model impacts how significant new means by services and service-enabled services with software an organization through vendors and developers build, which to directly and software that ‘just works’. the internet-based deliver, and monetize indirectly fund the creation research and trial by a innovations. There is and delivery of software and business unit that tremendous revenue potential in services understands a product’s Computing has become linked to the those markets where it is value communications network applicable Architecture:     Develop:  Mone5ze:  Distribute:  Customer:  Future  Seamless  Above any   Free,   Internet   Seamless  State  Hybrid of  one device  Subscrip8on,  Web‐as‐a‐PlaNorm   Business unit  SaaS, Cloud & Client‐  Loose Coupling,   License,  End User   Server On‐Premise   Open, Simple  Adver8sing,  Centric  The emerging Future State for Enterprise SoOware is   Cloud + Premise based and End‐User centric  6
  7. 7. … and new guiding principles for Value Crea5on & Market Advantage  1.  Steward hard‐to‐recreate end user driven data sources  2.  Focus on the End User and all else follows  3.  Offer a Simple, User Centric Experience   4.  Simplify and Shorten User Decision Cycle  5.  Lower cost barriers to Adop8on  6.  Trust in End Users as Co‐Developers   7.  Harness the Power of End User’s Collec8ve Intelligence  8.  Embrace Viral and Social Network Effects  9.  Develop Above the Level of any one Device   10. Use and Share Open, Lightweight Development tools  7
  8. 8.  An Enterprise is the sum of User Transac5ons, Conversa5ons, Rela5onships  For the last 10 years, enterprise soFware innova8on has primarily focused on  organizing and op8mizing Transac5ons.  Over the next 10 years, enterprise soFware innova8on will focus on organizing  and op8mizing End‐User Conversa5ons and Rela5onships as well.  Enterprise  Interac8ons  Interac8ons  Source:  Doc Searls  8
  9. 9. New Applica5ons will tap the “Flow” of Enterprise   Transac5ons, Conversa5ons and Rela5onships  Upstream Customer, Colleague and Partner  Downstream Customer, Colleague and Partner   Transac5ons, Conversa5ons and Rela5onships  Transac5ons, Conversa5ons and Rela5onships  Inbound   Outbound   Streams  Streams  Enterprise   User  Searching  Storing  Tagging / Sharing  Pub / Sub  Analyzing  Sensing  Individuals use  “streams” to shape and focus daily ac8vity and work processes  Teams use “streams” to improve collabora8on and knowledge management  Communi8es use “streams” to build and leverage collec8ve intelligence  Source: Stowe Boyd  9
  10. 10. The Future State of Enterprise Applica5ons is…  •  On‐Demand / Hybrid  •  End‐User Centric  •  Social  •  Device Agnos8c  •  Flow Based  •  Voice, Visual & Analy8cs Driven  10
  11. 11. Thank You  Bruce MacVarish  Director, Business User Group, UCS  Avaya  11