Stephen Allott Growing Profitable Businesses in the Second Machine Age BoS2016

1. Digital transformation – how to succeed Stephen Allott Chairman, {Pebble Code} 16 May 2016

2. Forecast Trinity College, Cambridge Xerox Sun Microsystems (1st lawyer hired outside the US) McKinsey strategy Tech and corporate finance Micromuse President, CFO and main board director. NASDAQ: MUSE Cambridge Computer Lab Trinamo UK Crown Rep SME 10 chairman roles

3. Micromuse turnover 1 142 83 39 19 63 1995 1996 1997 1998 1999 2000 2001 (£M)

4. OEM STRATEGY 1. Dell big: what’s the growth plan and rep deployment? 2. Huawei growth plan and location of manager? 3. Decide on plans for Lenovo, Intel and Cray MONT VENTOUX

5. Forecast Topics today 1. Digital transformation: how to succeed 2. How to sell to Government 3. A surprising thing I found out

6. “Market cap of $5.1 billion”

7. Forecast Gov Digital

8. Forecast Choosing the right pilots - How many? - What types? - How to manage?

9. 25 GDS exemplar projects

10. Forecast Division Goals Product Goals Organisation Goals Functional Goals Digital Exemplar Best Practice Right approach Thing right Right thing How to succeed

11. Forecast - Secure top down commitment - Insource management and development - Establish agile governance (business case, service & product management) How to succeed Division Goals Product Goals Organisation Goals Functional Goals Digital Exemplar Best Practice Right approach Thing right Right thing

12. Tools for Thing Right - Know and fill key roles - Assess capability honestly - Use employees in key roles/suppliers as skill building/backup - Follow agile best practice with close involvement - Replace non-performers Rightthing:userledMVPservicemgmt Thing right: “actually not contractually” Build the right thing well Tools for Right Thing - Hack days - User research - User lab testing (e.g. at GDS) - Minimum Viable Product - A / B testing - Beta testing - Tight link to helpdesk to react to feedback real time Build the right thing - Badly - Slowly - Expensively Build the wrong thing well Fail Epic fail Right thing is the key

13. Forecast - Secure top down commitment - Insource management and development - Establish agile governance (business case, service & product management) How to succeed Division Goals Product Goals Organisation Goals Functional Goals Digital Exemplar Best Practice Right approach Thing right Right thing - Start with user led design - Develop Minimum Viable Product - “Right size” the components, sourcing from suppliers, COTS and open source

14. Forecast - Secure top down commitment - Insource management and development - Establish agile governance (business case, service & product management) How to succeed Division Goals Product Goals Organisation Goals Functional Goals Digital Exemplar Best Practice Right approach Thing right Right thing - Start with user led design - Develop Minimum Viable Product - “Right size” the components, sourcing from suppliers, COTS and open source - Install requisite capability across all roles - Use best practice lean start up and agile software development approaches - View as a product not a project; it’s forever

15. Roles you will need Programme and project manager Portfolio manager Service manager Business analyst Product manager Delivery manager Technical architect Product / business analyst / data scientist User researcher Interaction designer Front end developer Back end developer Quality assurance / tester Agile coach Hosting platform developer Web operations [Security expert] Infrastructure architect Business representatives, users and subject matter experts Portfolio, product and service management Agile product team Web operations Business representatives

17. Forecast UK public sector 1.6 1.7 2.0 3.2 4.1 5.1 Hardware Software Services Staff Comms IT outsourcing 2014/15, £b Source: Kable

18. Forecast Central Government Departments

19. Forecast Title STEP GENERAL G-CLOUD OJEU FRAMEWORK Get in the conversation Inform prospects Don’t “sell” Use seminars Drive referrals from base Research current buyers using Gov Spend Research competitors’ offerings on the Digital Marketplace Monitor Contracts Finder Monitor Contracts Finder Get on the frameworks Engage and shape the specifications Pre-market engagement is now clear policy and best practice Give references Respond to inquiries Respond to PINS Engage pre- market Engage pre-market Bid and win Get expert help Answer the question Give an example Give proof Use Mystery Shopper Good Documents Face to face Interviews Use clarifying questions Do great bids Use clarifying questions Do great bids Deliver a great result and service Good work wins more work First timers take extra care Wins are public Wins are public

20. Forecast Use G-Cloud £m 18.3 141.3 399.6 FY 12/13 FY 13/14 FY 14/15

22. Forecast Title “Aggregation and Centralisation” = conventional wisdom

23. Forecast Feb 2011 “Today, we are announcing big changes to the way government does business.” “.... wherever possible, we’re going to break up large contracts into smaller elements, so that SMEs can make a bid and get involved” https://www.gov.uk/government/ speeches/pms-speech-at-the- strategic-supplier-summit

24. Forecast The mistake: Aggregation by default is wrong

25. Forecast Peter Kraljic published HBR article in 1983 http://bit.ly/Kraljic

26. Forecast Kraljic is for fixed spec production parts… Not tooling

27. Buy the Thing Right: getting a deal Forecast Innovation impact BuytheRightThing:latesttools Yes No YesNo

28. Buy the Thing Right: getting a deal Forecast BuytheRightThing:latesttools Yes No YesNo Bigger lever?

29. Buy the Thing Right: getting a deal BuytheRightThing:latesttools Yes No YesNo Bigger lever?

30. Buy the Thing Right: getting a deal BuytheRightThing:latesttools Yes No YesNo Tools or Parts?

31. Forecast What else do you need ….? A top developer can be 10x more productive than a mediocre one.1

32. OEM STRATEGY 1. Dell big: what’s the growth plan and rep deployment? 2. Huawei growth plan and location of manager? 3. Decide on plans for Lenovo, Intel and Cray MONT VENTOUX

Stephen Allott Growing Profitable Businesses in the Second Machine Age BoS2016

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