Allan Cook (Deloitte Consulting): How Do I Sell a “First” VR/AR Project to My Company?

How Do I Sell a “First” VR/AR
Project to My Company?
Allan V. Cook
6 / 1 / 2 0 1 7

2 | Copyright © 2017 Deloitte Development LLC. All rights reserved.
Innovation
Trigger
Peak of Inflated
Expectations
Trough of
Disillusionment
Slope of
Enlightenment
Plateau of
Productivity
Smart Dust
4D Printing
General-Purpose Machine Intelligence
802.11ax
Context Brokering
Neuromorphic Hardware
Data Broker PaaS (dbrPaas)
Quantum Computing
Human Augmentation
Personal Analytics
Smart Workspace
Volumetric Displays
Conversational User Interfaces
Brain-Computer Interface
Virtual Personal Assistants
Smart Data Discovery
Affective Computing
Commercial UAVs (Drones)
IoT Platform
Gesture Control Devices
Micro Data Centers
Smart Robots
Blockchain
Connected Home
Cognitive Expert Advisors
Machine Learning
Software-Defined Security
Autonomous Vehicles
Nanotube Electronics
Software-Defined Anything (SDx)
Natural-language Question
Answering
Enterprise Taxonomy and
Ontology Management
Augmented Reality
Virtual Reality
Time
Expectations
• VR & AR in the Lead – Leading the exponentials (e.g. blockchain, cognitive,
connected home, IoT, commercial drones, autonomous vehicles, etc.). VR is the
only one to have left the “trough of disillusionment” & pushing to “slope of
enlightenment”
• Some Disillusionment Today – Because this is where we are in the hype
cycle – need to realize the potential is still there, just the previous wave set
expectations too high
• Now is the Opportunity – If we wait for the “plateau of productivity,” we will
be too late– this is the time when we can become the dominant player
Understanding the Hype Curve

Identification of the Buyers
Looking at how the fourth transformation will impact their organization. Those that have a
budget and a vision, but want to understand the need.
CTO’s
Looking at how they can drive growth, savings or something else (innovation,
collaboration, etc.). Understand the need, have a budget, but need a vision
Those who have the Digital Reality vision and understand the need, but don’t have a
budget to work with.
Looking to do “one off” attention-grabbing things. Those that have a budget, but don’t
have a vision (may not need one).
CMO’s
Buyers
Evangelists
Business
Unit
Owners

Delivering Return on Investment
say that they are under more pressure
to deliver measurable ROI.
93% of
CMOs
84% of
Execsbelieve an organization that has
shared purpose will be more
successful in transformation efforts.

How to Identify Digital Reality Use Cases
What are the big, bold, best
case ideas that would
transform our industry
What is required to scale
solution concepts within
existing infrastructure:
Operational, IT,
Manufacturing
How do we translate moonshots
into scalable concept solutions
that drive measurable impact in
product life cycle, time to market,
bottom line cost
How will DR solution concepts
accelerate ongoing initiatives,
further strategic priorities and
fit within the company culture
3. What’s
Feasible?
(Technology
adoption)
2. What’s
Desirable?
(Customer
experience)
1. What’s Possible?
(Industry moonshot)
4. What’s viable

Use Case Development
Mfg / Ops Growing skill gap between high skilled technicians and new hires
Field technicians
• See-what-I-see guidance: connecting technicians to SMEs
• IoT Integration: pull information from connected
equipment/buildings and push information to business
intelligence layers
• Computer vision: object recognition and geolocation services
• Digitized Work Instruction: object specific information tagged to
object recognition
• Heads up Display: visual overlay of instructions over problem
Highly technical, specialized equipment in
remote areas
• Technician looks at the
site of mechanical error
• User equips glasses and
looks at the scene of
triage
• Glasses recognize the 3D
object and unique tag
elements
(CAD/Shape/Marker)
• Glasses reconcile the
recognized image with
database of work
instruction
• Glasses display relevant
work instruction and
record task completion
• Task completion data is
uploaded and tracked in
workforce ERP layer

V I S I O N
First, define the vision, ambition,
and success metrics for an digital
reality project. Develop art-of-the-
possible goals and an initial case for
change for transforming digital
processes.
A N A L Y S I S
Next, assess the pain points and
value provided by overcoming
these challenges. Analyze current
process flow and operations to
identify opportunities for growth.
Identify value drivers to form the
foundation of the future state
recommendations and building that
follows.
B U S I N E S S
J U S T I F I C A T I O N
Leverage capability analysis,
identified opportunities, and an
understanding of the platform to
create use cases that support the
highest value opportunities.
Prioritize use cases that meet
business needs and bring the most
ROI. Project the incremental
business benefits based on
success measures.
Our Approach
R O A D M A P
Create a roadmap that can be used
to deliver the future state Digital
Reality design capabilities. Outline
the framework used for vendor
selection and solution selection.

The first step establishes the ambitions and success measures
Greenhouse Labs
Market Research, Thought Leadership, and Industry
Expertise
A C T I V I T I E S
• Establish success measures to leverage the bottom-line impact of
your VR/AR initiative
• Define the guiding principles of the ideation and how it integrates
effectively across the value chain, where appropriate
• Detail the art-of-the-possible immersive experience through
interactive, innovative workshop with identified stakeholder group
• Establish the initial case for change for your Digital Reality Vision
A C C E L E R A T O R S
D E L I V E R A B L E S
• Journey Map Aspiration Workshop
• Digital Reality Prioritization Framework
Vision

A C T I V I T I E S
• Map existing capabilities and processes against identified value
drivers
• Establish initial requirements for how information is governed and
distributed across the ecosystem
• Document technology decisions and dependencies
• Determine readiness requirements for Digital Reality
• Propose initial Digital Reality technology platform
• Content Asset Mapping Document
• Initial Platform Readiness Requirements
M&E Systems Framework
Digital Agility Framework & Methodology
The next step is information gathering, which forms the foundation of the future state
recommendations and use cases that follow
Analysis

This step outlines recommendations for value creation opportunities through use cases and a necessity for
change
Business Justification
A C T I V I T I E S
• Document Digital Reality use cases which detail an experience
based on reducing pain points
• Document Digital Reality technology platform use cases based on
opportunities to enable the acceleration of processes and
workflows
• Create recommendations that support the creation, delivery, and
longevity of Digital Reality solutions
• Leverage benchmarking studies, industry analysis and company
data to project business benefits and value over time based on
financial measures
• Document key assumptions
• Digital Reality Use Cases
• Executive Readout
Use Case Template
Journey Map Template

The final step defines the roadmap which will be used to achieve prioritized Digital Reality capabilities
Roadmap
A C T I V I T I E S
• Document holistic set of capabilities needed to enable the future-
state customer and data vision including initial change
management/readiness recommendations
• Establish prioritization framework for future-state capabilities
• Determine required technology for existing and new systems
considering ecosystem
• Logically group capabilities for delivery purposes by taking into
account business and technical dependencies and shared impacts
on specific business groups
• Prioritization Framework & Gap Analysis
• Prioritized Capabilities
• Digital Reality Roadmap
Capability Set
Roadmap Toolkits
Prioritization Framework
Toolkits

FocusAreas
Digital
Reality
EXPLORE
• Researching
• Touring
• Travel
LEARN
• Training
• Immersive
• Safety
PLAY
• Storytelling
• Live Events
• Gaming
CONNECT
• Holo-Presence
• See What I See
• Remote Scribing
• Social
KNOW
• Medical
• Design
• Field Service
THINK
• ROI/ Value
• Ecosystem
• Use Cases
• M&A

T E L E C O M
Telco client could save $1 million per day
with efficiencies gained from digital reality
training
V I D E O G A M E S
70 million gamers are expected to generate $7
billion in Digital Reality revenue by 2020
F I N A N C I A L S E R V I C E S
From 2014 to 2016, there have been 225
Digital Reality venture capital investments
amounting to $3.5 billion
L I V E E V E N T S
By 2020, 28 million people annually are
expected to use VR to supplement or
entirely replace their live event experience
E D U C A T I O N
7 million US students will learn in school
using VR by the year 2020
M A N U F A C T U R I N G
Manufacturing engineers are expected to
generate $1.5 billion in Digital Reality
revenue by 2020
R E T A I L
By 2020, nearly 10 million shoppers are
expected to use Digital Reality to inform
their decisions and purchasing habits
F E D E R A L
The US Airforce expects to save $400
million annually by using Digital Reality
flight simulators
A U T O M O T I V E
In 2015, automaker released an AR
maintenance app compatible with over
40,000 US cars
Key Industry Projections

TippingPOINTSFIVE MAJOR CHALLENGES TO CONQUER FOR MASS CONSUMERS
Extended
Battery Life
Mobile
Computing
App
Ecosystem
Decrease
Latency
Price
Point
Are you ready?
Mass consumer adoption is just around the corner

This publication contains general information only, and none of the member firms of Deloitte Touche Tohmatsu
Limited, its member firms, or their related entities (collective, the “Deloitte Network”) is, by means of this
publication, rendering professional advice or services. Before making any decision or taking any action that may
affect 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 publication.
As used in this document, “Deloitte” means Deloitte Consulting LLP, a subsidiary of Deloitte LLP. Please see
www.deloitte.com/us/about for a detailed description of the legal structure of Deloitte USA LLP, Deloitte LLP and
their respective subsidiaries. Certain services may not be available to attest clients under the rules and
regulations of public accounting.
Copyright © 2016 Deloitte Development LLC. All rights reserved.
Member of Deloitte Touche Tohmatsu Limited
THANK YOU!
Contact us.
www.deloittedigital.com
Allan Cook
allcook@deloitte.com

Appendix: References
Slide 2
• http://www.gartner.com/newsroom/id/3412017
Slide 4
• http://www.cmo.com/features/articles/2015/1/6/15_stats_marketing_ROI.html#gs.3xLXrmA
• https://hbr.org/resources/pdfs/comm/ey/19392HBRReportEY.pdf
Slide 13
• Telecom information gathered from client
• http://www.goldmansachs.com/our-thinking/pages/technology-driving-innovation-folder/virtual-and-augmented-reality/report.pdf
• http://www.defenseone.com/technology/2015/01/better-simulation-could-save-military-millions/104172/
• http://www.theverge.com/2016/1/5/10712686/hyundai-augmented-reality-owners-manual-video-ar-ces-2016

Allan Cook (Deloitte Consulting): How Do I Sell a “First” VR/AR Project to My Company?

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