SlideShare a Scribd company logo
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PUBLIC
Amish Shah
CommerceStrategy and Solution Management
Heed the Agile Commerce Imperative:
Keeping Pace in a Rapidly Evolving World
PUBLIC
2PUBLIC© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Q: What do the following brands have in common?
Uber Airbnb Facebook
3PUBLIC© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ
A: Zero
Uber Airbnb Facebook
4PUBLIC© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ
A: Zero
The world’s largest taxi
company
owns zero cars.
The world’s largest
accommodation provider
owns zero real estate.
The world’s largest media
company
creates zero content.
Uber Airbnb Facebook
5PUBLIC© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ
A: The value of zero?
> $590 billion
$68 billion $31 billion $492 billion
Uber Airbnb Facebook
6PUBLIC© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Kai Riemer
Chair of Discipline
Business Information Systems at
The University of Sydney
“Disruptors don’t set out to
beat you at your own game –
they change the rules.”
7PUBLIC© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Digital is no longer only a set of
sales and marketing channels.
8PUBLIC© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Digital is becoming fundamental
to your value proposition.
9PUBLIC© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ
And change is happening faster than ever!
Time to reach
50 million users
75 years
38 years
13 years
4 years
3.5 years
3 years
2.5 years
19 days
35 days
10PUBLIC© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ
“By 2018, one third of the top 20
in every industry will be disrupted
by digitally transformed
competitors.”
Frank Gens
Chief Analyst, IDC
11PUBLIC© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Under Armour: From apparel to lifestyle company
How can this be achieved?
13PUBLIC© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Agility is required:
organization,
methods, and
architecture
Ability to run at
multiple speeds
14PUBLIC© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ
The agile imperative – Pace Layering
15PUBLIC© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ
The agile imperative – bimodal IT
16PUBLIC© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ
“ By 2018, more than 75% of all new multi-
enterprise processes will be implemented as
distributed composite applications rather than
connected monolithic applications.”
Decomposition of monolithic applications
Source: Gartner
GARTNER
ApplicationArchitecture Key Initiative Overview
17PUBLIC© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Connected, monolithic, hosted in 1
distributed composite application
Small, distributed into the cloud
self-contained (micro) services
Cloud
Microservices – a set of adaptable building blocks
18PUBLIC© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Rapidly extend front-office
applications, test new
concepts, leveraging
prepackaged microservices.
Scale up and down as
required.
Rapidly build the next
generation of custom
applications with built-in
agility using prepackaged
microservices.
Make it easy for customers
and partners to build
compelling data-driven apps
to invent new outcome-based
business models.
Extend Build Transform
Three compelling microservices use cases
19PUBLIC© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Microservices-based commerce is very different
20PUBLIC© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ
And easily embeddable into customers’ daily lives
Clothing Footwear Washing
machines
Printers Refrigerators
Pets Medicines Cosmetics Alcohol and
beverages
Travel
21PUBLIC© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ
What about machine learning and AI?
22PUBLIC© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ
“[Digital transformation] should be as
architecturally flexible as possible –
incorporating reusable components and services
or deploying the same functionality across
multiple channels – while taking care not to
jeopardize the performance of existing systems.”
McKinsey & Company
Digitizing Customer Journeys: Stories from the Front Lines, May 2017
Contact information:
Riad Hijal
Global VP, Commerce Strategy and Solution Management
Amish Shah
Commerce Strategy and Solution Management
Thank you.

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Heed the Agile Commerce Imperative Keeping Pace in a Rapidly Evolving World

  • 1. PUBLIC Amish Shah CommerceStrategy and Solution Management Heed the Agile Commerce Imperative: Keeping Pace in a Rapidly Evolving World PUBLIC
  • 2. 2PUBLIC© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ Q: What do the following brands have in common? Uber Airbnb Facebook
  • 3. 3PUBLIC© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ A: Zero Uber Airbnb Facebook
  • 4. 4PUBLIC© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ A: Zero The world’s largest taxi company owns zero cars. The world’s largest accommodation provider owns zero real estate. The world’s largest media company creates zero content. Uber Airbnb Facebook
  • 5. 5PUBLIC© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ A: The value of zero? > $590 billion $68 billion $31 billion $492 billion Uber Airbnb Facebook
  • 6. 6PUBLIC© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ Kai Riemer Chair of Discipline Business Information Systems at The University of Sydney “Disruptors don’t set out to beat you at your own game – they change the rules.”
  • 7. 7PUBLIC© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ Digital is no longer only a set of sales and marketing channels.
  • 8. 8PUBLIC© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ Digital is becoming fundamental to your value proposition.
  • 9. 9PUBLIC© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ And change is happening faster than ever! Time to reach 50 million users 75 years 38 years 13 years 4 years 3.5 years 3 years 2.5 years 19 days 35 days
  • 10. 10PUBLIC© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ “By 2018, one third of the top 20 in every industry will be disrupted by digitally transformed competitors.” Frank Gens Chief Analyst, IDC
  • 11. 11PUBLIC© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ Under Armour: From apparel to lifestyle company
  • 12. How can this be achieved?
  • 13. 13PUBLIC© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ Agility is required: organization, methods, and architecture Ability to run at multiple speeds
  • 14. 14PUBLIC© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ The agile imperative – Pace Layering
  • 15. 15PUBLIC© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ The agile imperative – bimodal IT
  • 16. 16PUBLIC© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ “ By 2018, more than 75% of all new multi- enterprise processes will be implemented as distributed composite applications rather than connected monolithic applications.” Decomposition of monolithic applications Source: Gartner GARTNER ApplicationArchitecture Key Initiative Overview
  • 17. 17PUBLIC© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ Connected, monolithic, hosted in 1 distributed composite application Small, distributed into the cloud self-contained (micro) services Cloud Microservices – a set of adaptable building blocks
  • 18. 18PUBLIC© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ Rapidly extend front-office applications, test new concepts, leveraging prepackaged microservices. Scale up and down as required. Rapidly build the next generation of custom applications with built-in agility using prepackaged microservices. Make it easy for customers and partners to build compelling data-driven apps to invent new outcome-based business models. Extend Build Transform Three compelling microservices use cases
  • 19. 19PUBLIC© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ Microservices-based commerce is very different
  • 20. 20PUBLIC© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ And easily embeddable into customers’ daily lives Clothing Footwear Washing machines Printers Refrigerators Pets Medicines Cosmetics Alcohol and beverages Travel
  • 21. 21PUBLIC© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ What about machine learning and AI?
  • 22. 22PUBLIC© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ “[Digital transformation] should be as architecturally flexible as possible – incorporating reusable components and services or deploying the same functionality across multiple channels – while taking care not to jeopardize the performance of existing systems.” McKinsey & Company Digitizing Customer Journeys: Stories from the Front Lines, May 2017
  • 23. Contact information: Riad Hijal Global VP, Commerce Strategy and Solution Management Amish Shah Commerce Strategy and Solution Management Thank you.