Today it’s all about the customer. Forrester research confirms that business and technology leaders are prioritizing initiatives that secure their company’s position in the age of the customer – improve customer experience, address rising customer expectations, and improve products and services. And right after customer focused initiatives, business and technology leaders are prioritizing the ability to improve innovation. They know that the disruptions they face in the age of the customer won’t be addressed with business as usual. Innovation has been elevated to an initiative, which means that executives are focused on it. What organizations are just finding out is that Identity and IoT initiatives map directly to customer first and innovation initiatives and are pivotal in their success. Being able to verify identity — both of people and of things — is critical for the IoT: Are they real? Are they who they say they are? Where are they? What are they able to or allowed to do? While machines don’t care about privacy, they — and their owners and operators — do care about who is able to program, operate, or control them. In this presentation, Jennifer Belissent, Principal Analyst at Forrester, will discuss how organizations are tackling the challenges of the IoT and customer first initiatives and how identity is playing an ever increasing role in their success.

2. Jennifer Belissent, Ph.D.
Principal Analyst
15 November 2016
Putting Customers First Requires
Innovation and Identity

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Enter The Age Of The Customer
October 2013 “Competitive Strategy In The Age Of The Customer”
• Tesla
• Salesforce.com
• Facebook
• reBuy

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Source: Forrester Business Technographics, Priorities and Journeys, 2016
The Customer Drives Transformation
70% of firms
prioritize improving the
customer experience
69% of firms
prioritize improving
products and services
56% of firms
prioritize improving
their ability to innovate

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Innovation Requires Customer-Centricity
Source: Forrester Business Technographics, Priorities and Journeys, 2016
“Improve our
understanding
of customer
needs”

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European Companies Must Pay Attention

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Empowered Customers Demand Great Experiences…
Discover Explore Buy
Engage UseAsk
…along the entire customer journey…

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Digital
Customer
Experience
Digital
Operational
Excellence
Digital Product
Innovation
...But Digital Transformation Happens In Business Silos
CMO, CX Leader,
CIO, Sales Leaders
LoB Heads, CIO,
Enterprise Architects
Product CTO, R&D
Heads, CIO, Partners,
Customers

10. Reshape your
business DNA
around the
customer

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Knowing Your Customer Isn’t What It
Used To Be… Profile management
Ability to manage life cycle of
user's identity data including
creation, validation,
augmentation, maintenance,
usage, and end-of-life.
Preference management
User-centric controls at an
application level to
determine how users want
to interact with a given
product or service.
Privacy management
User-centric controls to
determine how personal
data is collected and
used, including opt-out
options for marketing
emails and sharing
attribute data with third
parties.

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A Tangled Customer Engagement Network

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Customer Journey Mapping Improves CX
› Examine the journey and
analyze touchpoints
› Eliminate unnecessary
touchpoints
› Cutting through politics and
organizational silos
› Driving business-IT alignment

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Operational Models Must Be Transformed
Employees can come
from different groups,
have multiple roles
across different clusters.
Clusters Speed
Decision Cycles

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Differentiate Employee And Customer IAM
Source: Q&A: 10 Questions To Ask Before Deploying Customer Identity And Access Management

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Software enabled products drive sustainable business
Kaeser: Selling compressed
air as-a-service
Rolls-Royce: Selling flying
hours of aircraft turbines
Kärcher: Selling operational
hours of street cleaning
machines
Customer-Centric R&D

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A Proliferation Of Products And Services
Available only in black
Out of 500,000 units only 2
cars are the same
Drivers configure services to
meet their needsAnd More Continuous Engagement

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And That Makes Many Uncomfortable…
54% of decision-makers are
concerned about the potential risks
of IoT including…
Source: Forrester’s Business Technographics Global Security Survey, 2016
High level of concern (4,5)
58%
59%
60%
63%
64%
64%
66%
69%
74%
Internal hackers
Physical compromise due to…
IoT device hardening
Third party collection of…
Lack of authentication and…
Firmware updates
Denial of service attacks to…
Privacy violations
External hackers
Base: Decision-makers responsible for security

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Increasing
security and privacy
capabilities are the
#1 technology priority
Good CX Requires Security And Privacy

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Sustainable Business Transformation Means…
› Put delivering new customer value at the center of what you do to
breakdown the silos – know your customers
› Simplify operations, processes, organization, and technology to be
more nimble – cluster your employees
› Offer software-enabling products and services to be a more
customer-centric business – deliver contextual relevance
› Balance the need for flexible and agile processes in a dynamic
environment with security and privacy – ensure trust

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22. forrester.com
Thank you
Jennifer Belissent, Ph.D
+33 6 12 67 48 03
jbelissent@forrester.com