Post on 09-Jan-2017
transcript
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Enterprise Digital Lab: Your way to Enterprise Digital Transformation!
Agenda
Enterprise Digital Lab: An Overview
Enablers for creating an Enterprise Digital Lab
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2
2
Conclusion3
A Digital Enterprise is one that leverages customer, contextual and enterprise data and use new-age technologies to drive exponential business impact
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DIGITAL ENTERPRISE
Customer Targeting & Engagement
Supply Chain Optimization
Workforce & Partner
Enablement
Digital Products & ServicesRisk ManagementOperational
Excellence
AREAS OF IMPACT FOR AN ENTERPRISE
CRM Data Partner Data Warehouse Data
Weather/ Seasonality
Data
Natural Resources Data
Traffic Data
Digital Platform
Digital Business Process / Operations
Loyalty Program Data
Point-Of-Sale Social Media App Usage Data
On-board Systems Data
Process-Related Data
Corporate Updates & Notifications
Contextual Data Customer Data Enterprise Data
Modern IT
Virtualization Hybrid Cloud Sensors Mobility Enterprise Security Analytics Platform Software Defined Network
Zinnov recommends the following four steps for all traditional enterprises that are undertaking the digital transformation journey
• Learning industry best practices •Determining key enabling
technology•Understanding internal and
external data sources• Strategies, initiatives and
activities of digitally native enterprises & start-ups
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• Evaluating current state & desired state of business initiatives and prioritizing them in terms of:• Business Impact:
Benefits and Risk• Ease of
Implementation: People, Structure & Technology
•Determining a step-by-step map for creating a digital enterprise:• People • Processes • Infrastructure • Ecosystem Connect
• Part by part implementation of digital solutions incrementally and iteratively along with the required IT infrastructure for those solutions
KnowledgeBuild EDT knowledge base and understand
possibilities
Digital PriorityAssess business & digital
priorities
Organizational Readiness Establish a step-by-step
framework for digital readiness
Implementation Implement digital
solutions incrementally and iteratively
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To facilitate this digital transformation, enterprises are increasingly setting up Digital Labs/Hubs in geographies with rich product capabilities, such as the Bay Area (US) and Bangalore (India)
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US (Bay Area, NY, Seattle) Bangalore
Large number of product companies, a developed and mature ecosystem, abundance of fresh as well as installed talent pool, and a widespread
start-up culture has resulted in several traditional enterprises setting up their digital labs in the Bay Area
Increased globalization of tech enterprises, a booming start-up landscape, proliferation of new-age technologies, availability of digital skillsets (due to the presence of product companies as well as institutes such as the IISc.) are
the collective force behind centers setting up digital hubs in Bangalore
13 acquisitions
300+% CAGR in Headcount
USD 80 MN Annual
Investment*
Launched in Feb, 2015 to create analytics-driven personalized shopping solutions and omni-channel
experience
Note: Estimated annual investment
Reasons for setting up digital labs include developing digital capabilities to serve millennial customers better, fostering and implementing new ideas, and building and disseminating digital culture throughout the organization
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• Started in the Bay Area with the USD 300 MN acquisition of Kosmix; acquired more new-age start-ups such as OneRiot, Grabble, Set Direction, Social Calendar, Adchemy, Stylr, etc.
• Predominant focus is on Omnichannel retailing and expansion of web services• Walmart also caters to its global e-commerce platform from its Bangalore center
• Set up lab in the Bay Area by partnering with Sapient Nitro in 2013• Focus areas include Mobility, Digital Shopping Services, Online Search and social media development• Employees range across the spectrum of designers, data scientists and marketing experts (Cartwheel
is one of their marquee products)• Focus on collaboration with start-ups and VC firms
• Investing USD 100 MN to set eight new labs worldwide, including those in Bangalore and NY for enabling clients work
• Focus areas include design, mobile and digital marketing• "Our researchers are developing capabilities to harness the value of data to help clients create
personalized experiences, while designers are working with clients to develop the design that makes a difference in business outcomes“ - Bridget van Kralingen, VP, Global Business Services
In accordance with this market trend and its 4-step EDT roadmap, Zinnov recommends setting up an Enterprise Digital Lab within the traditional enterprise to provide the catalysis necessary for effective digital transformation
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Characteristics
an Enterprise Digital Lab turnsdigital transformation initiatives into a
program that can be repeated within the organization. It provides the necessary
people, processes, technology and infrastructure for digital initiatives packed
into a short time frame.
It liaisons with different BUs and functions of the organization to understand their
digital requirements and initiatives
Sales & Marketing IT Enterprise
Digital Lab
CMO
Supply Chain BU 1
CIO CDOSupply Chain
HeadCXO /
BU Head
CEO
Customer Targeting & Engagement
Workforce & Partner
Enablement
Operational Excellence
Supply Chain Optimization
Risk Management
Digital Products &
Services
BU 2
CXO / BU Head
Enterprise Digital Lab: Structure
Why is this structure recommended?
• Digital Team is cross-functional and effective in breaking siloes• Results in standardized digital initiatives across all Business Units and consistent
brand messaging• More responsive to changes in market as it is a separate entity in the organization
• Direct and clear view of the organization’s goals and objectives as the CDO directly reports to the CEO
• Rapid dissemination of digital best practices across the organization• Separate digital budget allocated
Note: Digital Horizontals such as Workforce & Partner Enablement, Operational Excellence and Risk Management have a one-to-many relation with different functions and BUs. For instance, depending on the requirement, the Risk Management division of the Enterprise Digital Lab can report to Supply Chain function or a BU.
The EDL is led by the Chief Digital Officer, who directly reports to the CEO
GE operates with a CDO-led structure
Agenda
Enterprise Digital Lab: An Overview
Enablers for creating an Enterprise Digital Lab
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2
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Conclusion3
We have identified four key enablers critical for setting up an EDL
Technology
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People
Processes
Ecosystem Connect
C
A
B
D
• New Roles & Responsibilities• Digital Talent: Acquisition and Development• Digital Skillsets• Technical Career Path
• Distributed Agile• Scaled Agile Framework
• Multi Speed IT• New Age Technology and Tools
• Platform Partnership• Service Provider Partnership• Start Up Connect• University Connect
In order to create the EDL, several new roles and responsibilities need to be created
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Chief Digital Officer
Digital head who drives end-to-end strategy, design & implementation of the digital roadmap to help traditional businesses transform
• Technology & Business Expert• Collaborative skills (with CIO & CMO)
Skills Required
Data Scientist Examines and analyses breadth and depth of data from multiple sources using analytics platforms, in order to derive actionable insights
• Data Analytics• Platform Expertise
Data Visualizer
Presents data in a lucid and understandable manner for employees, partners, customers, etc. in order to help them notice trends and patterns
• UI/UX• Multimedia (Audio & Visual) Skills
Product Engineer Helps in the development of the digital solution incrementally and iteratively
• Software Product development• Agile Methodologies
Solution Architect
Defines the architecture required to implement solutions to meet digital requirements while ensuring alignment with the enterprise architecture
• Mobility• Software Product development
DevOps Enables collaboration between development and operations staff through all stages of the development lifecycle of the digital solutions
• Software Product development• Agile methodologies
Scrum Master Helps the digital team in adopting Agile methodologies better, which are required for the iterative and incremental development of digital solutions
• Software Product development• Data Analytics
• Mobility• UI/UX
Product Manager Strategizes, assigns and drives the development of digital solutions
• Software Product development• Agile Methodologies
• Business Knowledge• Communication Skills
Responsibilities
People
A well-defined team structure also needs to crystallized, along with an extensive Digital L&D initiative
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People
Close Collaboration
SMAC-skilled technologists
User Experience
Experts
Other Skills- REST APIs, Linux, etc.
SCRUM Master,
DevOps and other Agile
roles
CEO
Chief Information Officer Chief Digital Officer
Cross-Functional
Digital Strategy Team
Digital L&D Team
Digital Effectiveness Monitoring
Team
1 Define• The HR, BU Leaders, CDO & the CIO should Define &
design L&D structure collectively• Determine course structure and focus areas keeping
in mind business requirements, existing & required talent, presence of CoEs
• Ascertain Delivery model: On-the-job, External Training, Formal (Live Classroom, e-Learning)
2 Allocate Dollars
• Allocate budget to the L&D program• Budget could come from the HR, the CDO, the
business or a combination
3 Spread Awareness
• Actively spread organization-wide awareness on the purpose of the program and its goals
4 Implement• Sample workshops include those on Agile
frameworks, customer relevance, tools such as R & SAS, domain knowledge, digital career path, etc.
• Deploy innovative learning (gamified learning, exchange programs with product companies)
• Popularize e-Learning tools & real-time knowledge-sharing platforms
5 Assess• Assess success for program as well as employees• Metrics for program evaluation include alignment
to business, employee development plan, faculty evaluation, budget utilization, etc.
• Metrics for employee evaluation include appraisals, training hours, courses taken, new skills developed
Create and integrate the Digital Operations first (focus on Bottomline), then think of redefining value proposition (Topline)
With time and increasing digital maturity of the enterprise, the role of the CDO needs to evolve into one that caters to both topline and bottomline focus (depending on the business model)
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People
Path 1
Path 3
Path 2
Custom Path
Path 1
Enhance, extend & reshape the value proposition with increase in customer base & satisfaction and Digital Products & Services, then focus on integrating Digital Operations
Path 2
Build new set of capabilities around transformed Operational model (Bottomline) and Value Proposition (Topline) in a lock-step
Path 3
Depending on the business priority and market, reach the EDT goal with iterative steps between Operations model (Bottomline and Value Proposition (Topline)
Custom Path
Valu
e De
liver
y Fo
cus (
Botto
mlin
e)
Value Proposition Focus (Topline)
Enhance Extend Redefine
Crea
teLe
vera
geIn
tegr
ate
Note: Map from Persistent Systems
Case Study: A seismic shift in vision, culture and roadmap led by the CDO, has transformed the “Starbucks Experience” from a simple brick & mortar one to a remarkable digital one
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Responsible for Starbucks’ core digital businesses, including mobile payments, web, card, loyalty, e-commerce, Wi-Fi strategy, & the Starbucks Digital Network
Adam Brotman: The man behind Starbucks’ digital revolution Roles & Responsibilities
Evolution of the Chief Digital Officer’s role at Starbucks Collaboration between the CDO and CIO
Adam BrotmanCDO, Starbucks
“Online world gives us the opportunity to build an authentic relationship with our customers in new, interactive and scalable ways. But there are still no shortcuts or different rules just because that relationship is built up over time over digital touch-points vs. the offline world. You still have to be responsive, authentic, and, in our case, the best online barista in terms of our tone, pace, and mix of posts”
Future Roadmap: Extending Starbucks’ customer loyalty program to other companies thereby creating a digital wallet
Latest Endeavor: Allow customers in one undisclosed geographic test market to start placing pickup orders from the Starbucks app later this year
2008 2009 2012Starbucks Digital
Ventures group created Lead by the then CIOSeparate from IT and
Marketing, but collaborated closely
with both
The roles SVP & GM created for Digital Ventures
Charter: Web, mobile, social media, e-commerce,
Wi-Fi, Starbucks’ digital network & emerging store
technologies
The role of CDO createdCharter: Digital Ventures, Global Digital Marketing, Starbucks Cards & mobile payments and loyalty. The last three functions were previously managed by three separate groups
Unofficial (monthly) & official (quarterly) Digital Scrums held between the Digital and the IT team, chaired by the CDO and CIO both
Agenda includes whiteboard sessions to create the next opportunities for better customer experience
Daily collaboration between the CDO and CIOFrequent visits to the store managers by the CDO & CIO together
Weekly review of the digital roadmap by the digital & IT team collectively
Moved from a waterfall disjoint model of digital technology delivery through separate centers of excellence to an agile model of Tiger or SWAT teams which are a lot more
collaborative and innovativeThe CDO, CIO and CSO collectively work for Starbucks’ rapidly evolving digital strategy &
report to the CEOHeadcount Digital: 110+ IT: 760+
People
Bay Area, New York City and Bangalore have the highest concentration of Digital talent owing to the presence of product companies, top universities and a booming startup culture
City Legend
HighMedium-to-High
MediumLow
Companies with digital / innovation labs
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San Francisco Bay Area
New York City
Toronto
London Stockholm
Prague
Bangalore
Shanghai
Beijing
People
TescoTarget
Walmart
JCP
WalmartMcDonaldsJ P Morgan
NestleTargetKohl’s
American EagleCapital One
Big Data, Machine Learning & NLP218 K
Mobility312 K
User Experience Design220 K
2013 2020 2025 2030
Global EDT Talent Pool*
1250K1850K
2850K
750K
Note: *Contains major EDT talent hubs, i.e. USA, UK, India and China
The Digital Talent is radically different from the typical IT talent in terms of skills, approach, business-acumen and compensation structure
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People
Digital Talent IT Talent
• Strong computing skills (esp. Natural Language Programming, Machine Learning, Artificial Intelligence) in addition to JavaScript, HTML5, C++, etc.• Strong background in Statistics
• Adept at Java, Python, C, C++, HTML, etc.• Knowledge of statistics not required
• Have a Product approach• Adept at Agile, Kanban, etc.• Work in short cycles
• Follow Agile or Waterfall• Have long project cycles
• Domain expertise/ business acumen is a must-have• Cross-functional working
• Domain expertise/ business acumen is nice-to-have• Work in silos
• Usually Masters degree from top universities such as Stanford, IITs, IISc, King College, CMU, etc.• A substantial fraction also has a PhD.
• Computer Science graduates from Tier1 or Tier2 engineering colleges
• Startups and Tech Mafias such as Apple, Facebook, Google, etc.
• Typically spread across service providers
• Compensation is high. The median* for the following experience levels are:• Entry: $ 90K• Mid-Career: $ 112K• Experienced: $ 112K (Goes up to $ 300K )
• Compensation is lower. The median* for the following experience levels of a Software Engineer:• Entry: $ 70K• Mid-Career: $ 80K• Experienced: $ 90 - 100K
Skillset
Approach
Business Knowledge
Education
Talent Concentration
Compensation
Note: *US specific
Enterprises need to deploy innovative strategies to acquire and hone this talent
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People
Aqcui-Hire & Strategic Acquisitions
Bought 80% stake in BlinkBox, 91% stake in We7 & Mobcast
Acqui-hired Lucky Sort; retained Big Data Visualization Team; Lucky Sort was shut down
Incubation
Accelerator to partner with tech start-ups through an
Incubator Program
$100M fund to invest in Digital Commerce Startups
Geo-Presence
Set up a Digital Lab in Bay Area to leverage the ecosystem
Increasing number of digital initiatives from
Bangalore
Innovative Recruitment
Loreal’s website “Reveal” has gamified its recruitment
process, lets visitors communicate with employees
and participate in real-life problem-solving cases
Digital L&D Employee Exchange Program
Investment in Digital Training
Presence of a structured Digital
Career Path
The HR should be involved with the business in creating & implementing well-defined
digital training
Employee Exchange Programs should be launched with
product companiesE.g.: P&G with Google
Corporate buy-in to ensure investment in digital training
programs
A well-structured Digital TCP* with its own rewards
Acqu
isitio
n of
Di
gita
l Tal
ent
Deve
lopi
ng &
Re
tain
ing
Digi
tal T
alen
t
Note: *Technical Career Path
They also need to create a well-structured Technical Career Path for their digital employees
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People
Implementation & Maintenance Development/Design & Ownership Conceptualization
Developer Senior Developer Technical Lead Architect -> Senior Architect -> Chief Architect
• Fixes small bugs & does small-scale implementation
• Works with the UI/UX designer with the Project Manager acting as liaison
• Undertakes module ownership and process design responsibility of the module
• Undertakes overall ownership of most of the system; does short-term decision-making
• Hereon, can decide to be a Manager or an Architect
• Complete ownership of the entire system with all decision-making power at the process design and conceptualization level (which framework to choose, etc.)
• With progressive seniority, the breadth of responsibilities increase. Senior Architect is responsible across products whereas the Chief Architect is responsible across the BU
Business Analyst
• Operates & maintains pre-defined statistical models
• Develops statistical data models and analyses them using regression, K means clustering, etc.
• Ownership increases with progression to Principal role
Senior Business Analyst
• Creates cloud-based analytics platforms• Develops algorithms for data modelling, simulation
& optimization• Designs experiments, generates business insights
and visualizes results
Note: Some of the tools commonly used include SCOPE, R, JMP, SQL, WEKA, MATLAB, SAS, Mahout, Scikit-learn, etc.
Note: Some of the tools commonly used include JavaScript, HTML5, CSS3, Angularjs by Google, etc.
Anal
ytics
Engi
neer
ing
Principal Business Analyst
Illustrative
Future TCP Model - Model*
Companies will need to develop and enhance the technical career path for their digital talent to expedite digital implementations
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People
Quick time to market is leading the wave of change
• High Level Understanding of the Technology Stack Areas • Depth of understanding in one area of the stack such as mobility or
application framework etc.• Distinct roles for development, quality assurance within a single
stack area
Data
O.S / InfrastructureMobility
App Framework
UI/ UX design , development, integration, deployment, validation & monitoring
Data migration, mining, modeling, storage & analytics
Private or hybrid cloud development, customization, testing & maintenance
Horizontal/ Vertical specific app design, build ,roll out & support
O.S/ Infra Mobile Data ….
Illustrative
Current TCP Model - T Model
Traditional Model
Traditional Model
Mobility
OR
Data
OR
OS/Infrastructure
OR
App Framework
• High Level Understanding of the Technology Stack Areas • Depth of understanding in at least two areas of the technology stack
such as Data as well as App framework• Amalgamation of development and quality assurance roles to
support continuous integration which is imperative for digital implementation
O.S/ Infra Mobile Data ….
New
Age Digital Model
OR
UI/ UX design , development, integration, deployment, validation & monitoring
Data migration, mining, modeling, storage & analytics
Private or hybrid cloud development, customization, testing & maintenance
Horizontal/ Vertical specific app design, build ,roll out & support
Note: Model is currently being implemented at Persistent Technologies
Tech Stack Tech Stack
Successful implementation of TCP requires a comprehensive approach that tackles the challenges inherent at each stage of TCP maturity
19Note: *Individual Contributors
HR Groundwork Pilot Role Models ScalabilityInstitutionalization & Growth
To create policies regarding Digital TCP to ensure a good launch
To spread awareness, exposure and create processes to enhance Digital TCP
To create the core members of Digital TCP to ensure quick wins and demonstrate value in this path
To inspire the workforce by interaction with successful people in Digital TCP (in and outside the org.)
To design processes around ICs such that the Digital TCP model keeps growing
Communication - Basic
To create general awareness about Digital TCP among the broader workforce
Communication - Advanced
To provide better understanding of Digital TCP to targeted workforce who are inclined towards it
Societal Acceptance
To create awareness and increase acceptance among employees’ peers/family about the roles & responsibilities of an IC in the company and the value it generates
1 2 3 4 5
6B6A
7
People
We have identified four key enablers critical for setting up an EDL
Technology
20
People
Processes
Ecosystem Connect
C
A
B
D
• New Roles & Responsibilities• Digital Talent: Acquisition and Development• Digital Skillsets• Technical Career Path
• Distributed Agile• Scaled Agile Framework
• Multi Speed IT• New Age Technology and Tools
• Platform Partnership• Service Provider Partnership• Start Up Connect• University Connect
The process should be executed incrementally and iteratively using Agile methodology
Prioritized EDT solutions should implemented in an iterative and incremental manner
People
Tech
Implementation Complete
Digital Solution 1
Digital Solution 2
Digital Solution 3
Digital Solution 4
Implementation in process
Agile methodology is used in the development of the digital solutions
Digital Priorities
Update Product Backlog
AGILE DEVELOPMENT
Create Sprint Backlog
Prepare People, Technology & Org
Structure feature by feature
Implement Digital Solution incrementally and iteratively
feature by feature
Sprint Review
Working Solution
Prioritized bucketlist of
features, bugs and development work
by the Product Manager
A list of prioritized features to be
built for the next sprint
Digital Capabilities should be augmented
incrementally to enable the implementation of the
feature being currently built
Review for early warning of broken/
incompatible features
Incremental execution of prioritized digital solutions
Process
21Continuous Tracking
Processes
Enterprises should adopt frameworks like Scaled Agile Framework (SAFe) for implementing Distributed Agile
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Processes
Key Drivers for Distributed Agile in EDT Solution Development
• Barriers to communication and collaboration
• Misunderstood Requirements
• Differences in standards, processes and tools
• Cultural differences and/or insensitivity
• Lack of common ownership• Lack of trust, coordination
and visibility across geographies
Best Practices for adopting and implementing Distributed Agile
Fostering cross-pollination and face-to-face real time communication
Tools for platform integration, sprint & release planning, real/near time team communication, reporting and security
Using collaboration tools (with real-time feedback) for scrum artifacts such as product backlog, sprint backlog, burndown reports, etc.
Remote pairing for common resource ownership
Proxy product owner for each geography
Some Effective Agile Tools
Case Study: The Scaled Agile Framework has proved to be successful in large-scale Agile adoption (1/2)
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Processes
SAFe: Critical for EDTScaled Agile Framework (SAFe): Enterprise level Agile Implementation
Agile estimating, planning and Agile Release trains
Tackles architecture, integration, funding, governance and roles at scale
Continuous value flow and lightweight business cases
Increased speed to market while keeping budget and resources static
2
1
3
4
Companies that follow SAFe
Case Study: The Scaled Agile Framework has proved to be successful in large-scale Agile adoption (2/2)
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Processes
Program Execution Alignment Code Quality Transparency
Core Qualities of SAFe, a proven, publicly-facing framework for applying Agile practices at enterprise scale:
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02
03
Enterprise-Scale ImplementationAllows large-scale incremental and iterative development of digital solutions irrespective of geographically dispersed teams
Facilitates OptimizationUnlike most other frameworks available, SAFe is not limited to the judgment of the user for optimization across cost efficiency, quality and speed
Alignment & QualityEffective in alignment of IT objectives with Business goals while maintaining emphasis on code quality across all teams
BUSINESS RESULTS
Increase in
employee
engagement
20-50%
increase in
productivity
30-75%
faster time
to market
50%+
defect
reduction
Credit Leffingwell et al. © 2014 Scaled Agile Inc.
We have identified four key enablers critical for setting up an EDL
Technology
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People
Processes
Ecosystem Connect
C
A
B
D
• New Roles & Responsibilities• Digital Talent: Acquisition and Development• Digital Skillsets• Technical Career Path
• Distributed Agile• Scaled Agile Framework
• Multi Speed IT• New Age Technology and Tools
• Platform Partnership• Service Provider Partnership• Start Up Connect• University Connect
Enterprises need to adopt Multi Speed IT in order to cater to rapidly changing digital requirements
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Technology
Speed = Slowest
Speed = Faster
Speed = Fastest
Service
Integrate
Access & Expose
Consume
Data Backend Service ESB/SOA Service
Curated Data(Internal/ External)
Standardized API Layer & Management
IP Apps Consumer AppsEnterprise Products
Partner Services
Web Mobile Point of Sale Partner Devices & Things
Note: Credit: Persistent Systems
Rapid development environment to speed up development process, coupled with full-coding Integrated Development Environment for flexibility
Allows continuous integration & feedback Business participates in application
development while IT supports them (& ensures compliance)
Browser-based dev. environment Aggressive time-to-market Adaptable to
constant change
Tools such as Apigee and Mulesoft integrate legacy systems with cloud & SaaS apps, Business Management software (SAP, Salesforce), etc.
The API Layer effectively exposes the data to developers and partners
API-led connectivity enables legacy system access, unlocks data value & reduces legacy service disruptions
Legacy System Integration
Agile Speed
New Age technology and tools are imperative for laying the foundation of a Digital Enterprise
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Technology
UI Frameworks MVC Pattern Data Visualization
Web Apps Native Apps App Dev. Platform
StandardsMobile First Design
User
ExperienceApp
Framew
ork
Web Services Security & Identity Management
Open APIs Mean Stack
Middlew
are
Data Storage Data At Scale Data to Insights ETL
Cloud Deployment OS
DataO
S/ Infrastructure
Project Management
Enterprise Scale Programs
Automated Configuration Management
Cont. Integration
Automated Unit Testing
Alerts & Monitoring
Code Repository Version Control
DevOps
Agile
PROCESSES & TOOLS• Understanding mobile users• Time Space constraints• Touch, Location, Proximity sensors• Mobile Design Patters
Fundamentals: Virtualization & Tenancy Models
Software Defined
Note: Digital tech map from Persistent Systems
We have identified four key enablers critical for setting up an EDL
Technology
• New Roles & Responsibilities• Digital Talent: Acquisition and Development• Digital Skillsets• Technical Career Path
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People
Processes
Ecosystem Connect
C
A
B
D
• Distributed Agile• Scaled Agile Framework
• Multi Speed IT• New Age Technology and Tools
• Platform Partnership• Service Provider Partnership• Start Up Connect• University Connect
Enterprises need to establish partnerships across the ecosystem in order to leverage their talent, technologies, expertise and services
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Partnerships
Service Providers
University Connects
Platform Partners
StartUp Connect
1 2
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Partnerships
List of shortlisted analytics platform companies with
whom Persistent can partner for EDT
Platform Partners: It is critical for enterprises to build platform partnerships in order to leverage their capabilities
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Initial platform company inclusion criteria
• Offer advanced analytics functionality as a stand-alone product that can be deployed and used separately from other BI or business applications
• This product must be vertical agnostic
• Generate at least $2 million in total advanced-analytics-related software license revenue annually, or have more than 1,000 active deployments
Organizational capabilities
Innovation potential in-house
Ecosystem Connection Strategy
US Market Understanding
Platform capabilities
Functionality of product (feature sets and capabilities)
Customer Experience/ Product Reliability
1
2
3
1
2
Partnerships
Note: Platform Partnership framework from Persistent Systems
Zinnov recommends the following framework for selecting platform partners
IBM, SAP and Salesforce.com are some of the best platform partners across Analytics, Mobile App Development and Collaboration
3131
Partnerships
2
3
1
Mobile Application
Development Platform (MAPD)
Advanced Analytics Platform
(AAP)
Collaboration Platform
SAS, a leader in AAP, provides a wide range of advanced analytics (predictive analytics, optimization,
forecasting, text analytics, simulation, etc.) to yield insights for
solutions for risk management, customer intelligence, retail & other
domain-specific offerings
SAP, a leader in MAPD, provides development & services for user-
centric mobile apps for employees, partners and customers on an
integrated, open, standards-based platform*
Salesforce is a Collaboration Platform leader in both Platform Capabilities and Organizational
Capabilities
Note: *Development of apps across People Productivity, Processes, Analytics, Consumer (Loyalty, e-care, etc.), Custom Mobile Apps (transformative) & Partner Apps
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Service Provider Selection
Framework
Scaled Agile Framework
Product Development Capabilities
Platform Partnerships
Solution Accelerators
Global Footprint
Digital Skill-sets
This parameter would measure the number and effectiveness of the
Solution Accelerators of the service providers
This parameter would evaluate whether or not the service provider has a geo-
presence in the desired geographies, or its proximity to the same
This parameter would evaluate the presence and effectiveness of Scaled
Agile Network
This parameter would measure the presence and capabilities of the platform
partnerships the service providers has
This parameter would measure the Product Development capabilities of the
service provider
This parameter would be used to measure the presence of digital skill-sets (Big Data
Analytics, Machine Learning, Natural Language Processing, Mobility & UI/UX)
Service Providers: It is also critical to engage with niche Service Providers with product development capabilitiesPartnerships
Zinnov recommends the following framework for selecting service providers
Digital and Traditional Service Providers vary vastly in their digital capabilities, processes and platform partnershipsPartnerships
Parameter Digital Service Providers Traditional Service ProvidersService maturity Service maturity
Digital skill set
Skillful at advanced technologies such as Natural Language Programming, Machine Learning, Artificial Intelligence
Nascent understanding of growing technologies
Solution Accelerators
Strong PES capabilities around solutions accelerators (both vertical specific & agnostic )
Moderate focus on solution accelerators. Larger focus on services as compared to solutions.
Global Footprint Primary presence in the Bay Area, New York and Bangalore due to concentration of skill sets in these areas
Wide spread global presence due to non-dependency on emerging skill sets
Scaled Agile Framework
Dynamic adoption of distributed and SAFe amongst product and IT teams
Gradual transformation towards agile, primarily standard waterfall model in existence at large
Platform Partnerships
Leverage Product/ Platform players in 360 degree partnerships – To “Sell with“ & “Sell through”
Traditional revenue sharing “ Sell with “ strategy observed with technology players
Product developmentcapabilities
Significant non-linear revenueContinuous integration, rapid prototyping and incremental developmentMature business models (Outcome based etc.)
Inconsequential non-linear revenue Leverages waterfall or spiral methodologiesTraditional business models (T&M, Fixed Price etc.)
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Persistent, Symphony Teleca, Epam and ThoughtWorks exhibit high product capabilitiesPartnerships
Niche vendors such as Persistent Systems, Symphony Teleca & EPAM, specializing in Product Development capabilities are the most suitable for
forging partnerships for EDT
Note: Symphony Teleca’s capabilities have been evaluated taking into account Symphony Teleca’s acquisition of ADITI
Leads the pack in People Capabilities, IP/Solutions & maturity of services
Leads the pack in Business Model and also has mature services
Leads the pack in Alliances forged and Clients
Though not evaluated by GSPR, it exhibits product capabilities & works with clients across several verticals
Zinnov’s Global Service Provider Rating 2014 evaluates the service providers according to their ISV-Enterprise Software capabilities
Startup Connect: A holistic approach needs to be adopted by enterprises to engage with startups
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Partnerships
2
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Drive the internal change
Create an Internal Marketplace
Connect with startups across the entire value chain
Partner with existing startup facilitators41 • Facilitate interaction between startups and
internal teams• Promote and incentivise Intrapreneurship• Ideate, Build and Execute on new ideas
Acquire Targets
• Create a network of accelerators focussed on emerging technologies
• Align your CoEs with accelerators to provide startups with the soft and hard infra
• Create a marketplace for startups to connect with and be mentored by business units
• Validate the startup ideas/products by deploying them in the organizational digital workflow
• Partner with industry initiatives such as NASSCOM-10k, Productnation etc
• Partner with MNCs existing accelerator programs
• Connect with university incubation programs
• Make strategic acquisition of growth stage/Mature companies
• Buy IPs to grow non linear revenues• Partner with startups for a joint GTM
strategy by providing SI services on top of products
Set up an accelerator (Grants4Apps) for Operational Excellence and Customer Targeting & Engagement EDT horizontals
GE, Mayo Clinic, Abbot, UnitedHealth Group, etc. have partnered with Digital Health Accelerator Rock Health
Acquired Cellfire to boost omni-channel
Intrapreneurship to create value within the organization
Has created an internal marketplace for startups
Startup Connect: Target has recently launched its Accelerator Program in Bangalore in order to compete with retail giants such as Amazon and Walmart
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Partnerships
TARGET ACCELERATOR
PROGRAM
Preliminary Stage Shortlist Stage
Pool of 159 Indian Tech
Startups
Helps online retailers & other merchants use 3D modeling & offers
a 360-degree view of products
Helps some of India’s online retailers leverage
social conversations
Personalized search results and highly accurate recommendations
Arrests website bounce rates & increases customer engagement
Facilitate social recommendations
Two-way communication with mobile users by offering a two-way messaging inbox
in the app
Nurture Stage
Specially designed space for 4-month immersive program
Help them generate ideas by providing them access to mentors, tools, resources & operational support
Provide up to USD 30,000 in funding Also to help Target identify potential M&A targets
at early, cheap valuations
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2
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5
Name: Target Accelerator ProgramAim: To compete & catch up with Amazon & WalmartLabs fasterLocation: Bangalore
Focus Areas: Search, Content, Data, Social, Mobility, 3D Imaging, Omnichannel, Digital Marketing and Supply Chain
Year of Establishment: 2014
Startups for the next batch include Twiddly, Whodat’s Spaces, Wazzat, Torch & Visarity
“ At Target, innovation is core to our culture and strategy and we are always looking for new ideas to enhance the shopping experience of our guests. We are in discussions with a variety of partners and start-ups for a Target India Accelerator program..”
- Beth Jacob Ex- CIO
University Connect: It is also critical to establish connects with universities with rich digital profiles
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Partnerships
PEOPLE INFRASTRUCTURE & PROGRAM ENGAGEMENT OTHERS
40% 30% 20% 10%
Professor Rating: 20%Parameters to be considered include:WIP (to be added
Student Profile Rating: 20%Parameters to be considered include:• Related Research
Propensity• Available Skillsets
Infrastructure Rating: 15%Parameters to be considered include:• Relevant Digital Labs &
Tools• Relevant Digital CoEs/
Cells
Program Rating: 5%Parameters to be considered include:• Related course program
Finance Considerations Rating: 15%
Amenability to desired Engagement Model: 5%
Mindshare Rating: 5%Parameters to be considered include:• Related digital
publications & Papers
Partnership Rating: 5%Parameters to be considered include:• Existing related
partnerships with other companies
List of shortlisted universities for partnership
Zinnov recommends the following framework for targeting & selecting universities
Partnered with UA’s Culverhouse Data Analytics lab for data
analytics, providing collaboration and research across government,
industry and academia to help companies anticipate and solve
critical problems
University Connect: Enterprises are increasingly partnering with universities for researches in the digital arena
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Partnerships
Key Drivers Narrow skills gap by building talent for new digital skillsets
Create branding in universities fresh talent pool
Leverage cutting edge technology & research
professors
Industry Examples
Academic Initiative collaborations with more than 1,000 academic
partners to design and teach curriculum to undergraduates and
graduates on big data and analytics skills
Develop curriculum in data science and analytics, focused on
real-world problem areas, in addition to the research on
solving industry issue
Based on identified needs of customers drawn from Infosys’s engagement with enterprises
across industries
Samsung has partnered with University of California, San
Francisco (UCSF) to set up a digital health innovation lab
University Connect: Operational Excellence and Customer Targeting & Engagement are the primary focus areas of university researches across the globe
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Partnerships
Key Universities with research focus on enterprise digital transformation
EDT Horizontals Sample Universities Sample Research Areas
Operational Excellence
• Analytics for genetics & proteomics & preventive healthcare using medical wearable devices
• Predictive analytics for pharma & finance verticals
Customer Targeting & Engagement
• Wearable Device to predict & notify (to family) the risk of falling in elderly patients & send automatic alerts to family
• Wearable vapor sensor being developed for continuous disease monitoring for diabetic patients
Note: Workforce & Partner Enablement and Digital Products and services are very low focus areas for universities
Risk Management
• Skills to collect, analyze, and interpret data in the Risk modeling
• Large Scale Analysis of Forensic Data for Event-Based Representation and Discovery
Supply Chain Optimization
• Focus on Supply Chain Management Analytics
Illustrative
Research Propensity
Agenda
Enterprise Digital Lab: An Overview
Enablers for creating an Enterprise Digital Lab
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Conclusion3
Setting up an EDL might look challenging, and you might face with several questions…
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CORPORATE BUY-IN
CHANGEINFRASTRUCTURE
TALENT
“ The HR is not aligned to the Business “
“ HR tools and processes are not in place for Digital talent “
“ How should I get corporate buy-in ? “
“ How do I get budget allocated for digital initiatives? “
“ How do I modernize my IT and where do I begin? “
“ Should I build or buy the required tools for building an EDL? “
How do I manage Change Management ?
“ How do I realign my organization in order to a smooth transition? “
…however, success stories across verticals reinforce the fact that times are changing, and it is imperative to transform rather than perish!
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• Having faced a substantial decline in sales and customer base, McDonald’s set up a Digital lab in the Bay Area, comprising digital experts from companies such as PayPal, Yahoo, Tesco and Ticketmaster
• Focus areas include enhancing customers' restaurant experience, relevant ways to share the enterprise’s story and improve customer engagement, mobile ordering & payment app
There are numerous industry examples of enterprises that have jumped at the opportunity to transform digitally, only to reap benefits
• Starbucks Digital Ventures created to improve customer experience & engagement via mobile payments, web, card, loyalty, e-commerce, Wi-Fi strategy, & the Starbucks Digital Network
• Nike is at the forefront of digital transformation through its digital tools for making product designs and manufacturing simpler, digital products to track workouts and share them with friends online and receive customized advice from coaches, and the Nike+ platform
• Southwest Airlines has bolstered its customer experience as well as back-end operations by leveraging digital technologies such as a new suite of customer contact and workforce optimization to improve customer satisfaction using predictive analytics, social media analytics for customer targeting, and collaboration with NASA to improve airline safety using Machine Learning skills
Thank You
@zinnov
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