©2017
Ava
sant
LLC.
AllRig
htsRe
serve
d.
Prop
rieta
rya
ndC
onfid
entia
l.No
pa
rto
fthisd
oc
ume
ntm
ay
be
rep
rod
uce
din
any
form
orb
ya
nye
lec
tronic
orm
ec
hanic
alm
ea
ns,inc
luding
inform
atio
nsto
rag
ea
ndre
trieva
lde
vice
so
rsystem
s,witho
utp
riorw
ritten
pe
rmissio
nfro
mA
vasa
ntLLC
.
We
dne
sda
y, Ap
ril 25, 2018
Building
an A
I Pow
ere
d Ente
rprise
Missio
n: Dig
ital Busine
ss Tra
nsform
atio
n
Dig
ital Tra
nsfo
rma
tion
Ad
visory
2 The rise
of A
I Na
tive c
om
pa
nies
Born D
igita
l –A
I at the
co
re
Tosuc
ce
ed
inthe
dig
itale
ra,
firms
willne
ed
tob
ec
om
ed
igita
lente
rprise
s,re
thinkinge
very
asp
ec
to
fthe
irbusine
ssa
nda
ligning
theiro
pe
rating
mo
de
lino
rde
rtoc
rea
ted
igita
lexp
erie
nce
s.
0
Larg
est a
cc
om
mo
da
tion
pro
vide
r ow
ns no re
al
esta
te
Wo
rld’s la
rge
st Taxi
co
mp
any o
wns no
ta
xis
Larg
est o
nline re
taile
r o
nly ma
kes 10%
of its
pro
fits on re
tail
Mo
st valua
ble
re
taile
r has no
inve
ntory
Mo
st po
pula
r me
dia
c
om
pa
ny cre
ate
s no
co
ntent
Faste
st gro
wing
b
ank ha
s no a
ctua
l m
one
y
Larg
est m
ovie
ho
use o
wns no
c
inem
as
Larg
est so
ftwa
re
vend
ors d
on’t w
rite
the a
pp
s
Faste
st gro
wing
we
alth
ma
nag
em
ent firm
has no
fina
ncia
l ad
visors
3
Intelligent O
perations M
anagement
Agile Platform
/ A
rchitecture
InnovativeEngagem
ent
Transformational
Relationships
Sensors and
D
ata
Integra
tion
Cloud
&
Platform
s AI/C
ognitive-b
ased
System
s M
ana
gement
Ad
ap
tab
le A
pp
. & M
icro-services
Architecture
Autom
ation
and
Business Process
ExcellenceBlockcha
ina
nd D
LT
Outcom
e/ V
alue Ba
se Enga
gement
Agile &
Co-
innovation
Partnership
s
Predictive
Ana
lytics &
Real-tim
e Insights
AR/V
R and
Im
mersive
UX
Custom
er a
nd D
oma
in C
entricity
Digita
l Transform
ation
The new p
ara
digm
for Digita
l Tra
nsforma
tion
Integrated
Security &
C
omplia
nce
Operational excellence,
Autom
ation and D
ata Driven
insights are fundam
ental for Digital
Transformation
… custom
er centricity, innovation investm
ents and
outcome based
engagem
ent aligned to
digital transform
ation objectives
Sourcing relationships in the D
igital age are layered and
support the pervasive and
continuous d
elivery of digital
transformation initiatives w
ithin the organization.
4 Auto
ma
tion a
nd A
I are
the e
ssentia
l fuel fo
r Dig
ital Tra
nsform
atio
n
Hum
an -M
achine coherence
Machine
intelligence
Natural
Language Interface
Biom
etric
s a
nd Io
Tse
nsors
Visua
l and
Pa
ttern
Rec
og
nition
Ma
chine
Le
arning
Lang
uag
e
Ge
nera
tion
Cha
tbo
tsa
nd
Dig
ital V
irtual
Ag
ents
Vo
ice
C
om
me
rce
Swa
rm
Intellig
enc
eC
og
nitive
Rea
soning
Na
tural
Lang
uag
e
Proc
essing
Sem
antic
e
ngine
s
Auto
ma
tion + A
I are
fast b
ec
om
ing o
ne o
f the m
ost tra
nsform
atio
nal b
uilding
b
loc
ks for o
rga
nizatio
ns that a
re e
mb
rac
ing D
igita
l to d
rive b
usiness o
utco
me
s
AI is a
set o
f co
mp
lex fo
unda
tiona
l b
uilding
blo
cks a
nd a
pp
lica
tions
whic
h drive
ubiq
uitous, se
am
less a
nd
auto
nom
ous d
ec
ision m
aking
and
a
ctio
ns.
The AI H
ive
5 The Ro
ad
to Inte
llige
nt Auto
ma
tion
We
are
at a
n inflec
tion p
oint, a
nd a
structure
d V
alue
Ac
ce
lera
tion Ro
ad
ma
pTM
ca
n d
rive 10-15x m
ore
ente
rprise
value
than c
urrent a
utom
atio
n effo
rts
Technology Autom
ationTools
Robotic Autom
ation ofRepetitive Tasks
Judgment and Decision
Accelerators
Cognitive and A
nalytics Integration
Artificial Intelligence enabled
Business Models
% of Enterprise Revenue Impacted
Intelligent Autom
ation Journey
IT
F&A, HR,
Custom
er Ops
Core Business O
perations
Revenue Models
and Channels
We are here
Possible by 2020
Intellig
ent A
utom
atio
n is a jo
urney, a
nd its true
b
usiness va
lue w
ill imp
ac
t co
re o
pe
ratio
ns and
re
venue
s
6 RPA + A
I = Intelligent Autom
ation
Intelligent Autom
ation uses a combination of RPA
and
AI tools, w
hich work together in tand
em to
radically im
prove business processes and custom
er experience, w
hile reducing costs and
enhancing business outcom
es.
ØBut how
do w
e orchestrate and apply them
across the business value chain?
ØHow
do w
e leverage our ecosystem of vend
ors?
ØHow
do w
e achieve ROI?
ØHow
do w
e select the right tools?
But many questions have to be ad
dressed
…
7 AI A
mp
lifies the
imp
ac
t of RPA
Stag
e 3. RPA
Role
A
cc
ep
t co
mm
and
instructio
ns fro
m A
I, alo
ng w
ith custo
me
r ve
rifica
tion.
Exec
ute fina
ncia
l transa
ctio
n–
Enga
ge
pro
prie
ty financ
ial
transa
ctio
ns
Stag
e 6. A
I Role
Big
Da
ta A
nalysis
–a
nalyze
c
ustom
er tra
nsac
tions e
xec
uted
b
y huma
ns and
RPA to
ols to
a
ssess a
nd id
entify p
ote
ntial
fraud
ulent a
ctivitie
s. A
nalyze
ove
rall c
ustom
er a
ctivity
to d
ete
ct tre
nds in c
ustom
er
be
havio
r, rec
om
me
nd ne
w
pro
duc
ts.
Stag
e 4. RPA
Ide
ntify and
sca
le d
elive
ry reso
urce
s, A
utom
atic
upd
ate
s on the
arriva
l a
nd sta
tus of tra
nspo
rted
invento
ry
Stag
e 2. A
I Role
Na
tural La
ngua
ge
Proc
essing
-use
the c
ustom
er’s na
tural sp
ee
ch to
a
cc
ep
t co
mm
and
s. Big
Da
ta A
nalysis a
nd M
ac
hine
Lea
rning -Q
uickly find
quic
k fac
ts a
bo
ut custo
me
r to c
onte
xtualize
e
xpe
rienc
eM
ac
hine Le
arning
–V
erify vo
ice
, c
ustom
er re
spo
nses, id
entify
fraud
ulent p
atte
rns
Stag
e 1. C
ustom
er Re
que
stC
ustom
er d
ials into
a C
all C
ente
r.
Stag
e 5. A
IN
atura
l Lang
uag
e Pro
ce
ssing –
Ve
rba
lize c
onfirm
atio
n resp
onse
to
custo
me
r, and
ac
ce
pt a
dd
itiona
l fe
ed
ba
ck.
While
ea
ch to
ol e
xce
ls unde
r diffe
rent c
ond
itions, A
I and
RPA c
an w
ork in ta
nde
m to
imp
rove
the c
ustom
er
exp
erie
nce
, while
red
ucing
co
sts and
imp
roving
busine
ss outc
om
es.
9 Investment in A
rtificial Intelligence
VC
investment in A
I alm
ost doubled
, attracting $12 billion
AI Startup acquisitions
increased by 44%
between
2016 and 2017
US$ 12 B
US$ 6 B
2017
2016
Corporate Investm
ent lead
ing funding A
I accounting for betw
een US$ 18 –
27 Billion
US $27
Billion
Total investment in A
I in 2017, w
as estim
ated to be
greater than $ 50 Billion
> $50 Billio
n
Source: IDC
September 2017 Forecast
Source: KPMG
Enterprise Venture Pulse Q
4 2017, Global analysis of venture funding
Organizations across ind
ustries, from A
uto-tech to Fintech, Robotics and Health-Tech are increasingly realizing the
potential of AI to transform
their business and are investing in A
I as a key transformational pillar.
115 A
I Startup
Acquired
Spending on cognitive and
AI
solutions will grow
from around
$12.0 billion in 2017. to $57.6 billion in 2021.
US $57
Billion
10 AI Exp
ectations &
Ad
option
22%
32%
23%
18%
5%
0%5%
10%15%
20%25%
30%35%
No Pla
ns to Ad
opt
Has Investig
ated
Pilot Stage
Some A
I Integration
Extensive AI Integ
ration
Source: Boston Consulting G
roup a
nd M
IT Sloan M
ana
gement
Review-Resha
ping Business W
ith Artificia
l Intelligence
While 83%
of orga
nizations b
elieve AI is a
strateg
ic priority for their b
usiness, less than 25%
of businesses ha
ve successfully integ
rated
AI a
s pa
rt of their overall b
usiness strateg
y or opera
tions.
Stag
e o
f Ad
op
tion
84% of resp
ondents sa
y AI w
ill ena
ble them
to obta
in or sustain
a com
petitive a
dva
ntag
e84%
75% sta
te that A
I will a
llow them
to m
ove into new b
usinesses and
ventures.
75%
69% of resp
ondents exp
ect incum
bent com
petitors in their
industry to use A
I to ga
in an
ad
vanta
ge
69%
11 Key Im
pa
cts o
f AI in D
igita
l Transfo
rma
tion
Sourc
e: C
ap
ge
mini -D
igita
l Transfo
rma
tion Re
view
Artific
ial
Intellig
enc
e D
ec
od
ed
Eleve
nth Editio
n: Artific
ial Inte
llige
nce
De
co
de
d
Sales and Custom
er Experience75%
of o
rga
nizatio
ns imp
lem
enting
AI inc
rea
se
sale
s of ne
w p
rod
ucts a
nd se
rvice
s by m
ore
than
10%
75%
78%C
ustomer Experience and Satisfaction
78% o
f org
aniza
tions using
AI e
nhanc
e
custo
me
r satisfa
ctio
n by m
ore
than 10%
Operational M
odels75%
of o
rga
nizatio
ns imp
lem
enting
AI
incre
ase
op
era
tiona
l effic
ienc
y by m
ore
tha
n 10%
75%
28%D
igital Business Models
28% o
f org
aniza
tions im
ple
me
nting A
I initia
tives g
ene
rate
new
insights a
nd
be
tter a
nalysis.
This flurry of inve
stme
nt is be
ing d
riven b
y the a
bility o
f AI to
ge
nera
te
rea
l busine
ss imp
ac
t.
12 AI is a
ccelerating the p
rocess of Digita
l Transform
ation
Digita
l Op
erating M
odels
Creating an agile organization
with a culture of innovation and
end
to end d
igital integration
Digita
l Business Mod
elsPivoting the business m
odel
to drive d
igital revenue and
proactively add
ress market
disruption.
Digita
l Experiences
Driving d
eeper engagement
through intuitive and ubiquitous
user experiences that enhance d
igital entanglement.
Dig
ital re
ad
iness
revo
lves a
round
three
laye
red
pilla
rs that
wo
rk in co
nce
rt to e
nab
le a
n end
to e
nd D
igita
l exp
erie
nce
fo
r eve
ryone
–C
ustom
ers, Pa
rtners, V
end
ors, Em
plo
yee
s, Sta
keho
lde
rs …
AI is d
riving outcomes across all three com
ponents of a Digital enterprise.
13 Building a
n AI Pow
ered O
rganiza
tion
Legacy O
pera
ting mod
elsD
igital O
pera
ting mod
els•
Wa
terfall p
rocesses
•V
ertical integra
tion
•C
omm
and
and
control
•Peop
le-centric process
•M
ulti-year Prod
uct Cycles
•IT a
s a cost center
•Resp
onsive, Ad
ap
tab
le, Agile
•Extend
ed enterp
rise, Digita
l ecosystems
•Innova
tion culture, Dem
ocratized
idea
s
•A
I/Data driven
•C
ontinuous innovation, JIT d
elivery
•IT a
s growth d
river
AI is helping organizations to save costs, and
improve process efficiency, freeing up tim
e to focus on strategic initiatives, that is enabling them
to remain relevant in an evolving land
scape.
14 AI is having a d
ramatic im
pact on business operations across multiple ind
ustries, including, Financial Services,
Retail, Manufacturing and
High Tech.
Business Operations &
AI
Source: Capgem
ini -Digital Transform
ation Review A
rtificial Intelligence D
ecoded Eleventh Edition: Artificial Intelligence D
ecoded
78%
77%
75%
70%
68%
0%20%
40%60%
80%100%
Increased
opera
tional
efficiency
Enhancem
ent in emp
loyeep
roductivity
Reduced
operationa
l costd
ue to process improvem
ent
Greater leg
al/regulatory
complia
nce at low
er cost
Reduced
false-p
ositives
Siemens used
an AI to optim
ize the com
bustion processes in their flagship gas turbines, red
ucing em
issions by 20%
20%Em
issions Red
uction
JP Morgan w
as able to save over 360,000 m
an hours from their legal
team by ad
opting an AI solution
which is faster and
less prone to errors.
360K Em
ployee hours
Atlas C
opco estimates that they
have been able to see gains of over 20%
by moving to m
ore autonom
ous solutions,
20%Efficiency
Ga
ins
16
THEG
OA
L:-Leve
rag
ingA
Itore
duc
em
anho
urssp
ent
on
rep
etitive
issues
and
allo
wsta
ffto
foc
uso
na
ctivitie
sw
here
huma
ninte
llige
nce
ca
nd
riveva
lue.
Overview
:
Case Study: Le
vera
ging
AI to
allo
w sta
ff to
foc
us on Stra
teg
ic Initia
tives
Product Integration Prud
entia
l ga
ve the
ir tea
m o
f ad
visors a
co
mp
etitive
a
dva
ntag
e, b
y leve
rag
ing a
n AI e
nab
led
Dig
ital
Virtua
l ag
ent to
red
uce
the tim
e sp
ent o
n rep
etitive
w
orklo
ad
s, and
allo
wing
them
to fo
cus o
n ad
ding
va
lue to
the c
lient.
Impact
AI is he
lping
Prude
ntial b
e m
ore
op
era
tiona
lly e
fficie
nt, pro
duc
tive, c
om
pe
titive, a
nd im
pro
ve the
q
uality o
f life fo
r staff.
Key Challenge
6000 financ
ial a
dvise
rs we
re sp
end
ing a
n ave
rag
e o
f fo
ur minute
s on e
very c
all d
oing
ca
ller id
entific
atio
n a
nd ve
rifica
tion.
17 Redefining your b
usiness in the Digita
l era
Legacy Business M
odels
Digita
l Business Mod
els•
Priced for O
wnership
•Bulk p
urchase
•A
sset intensive
•Bund
led p
roducts
•M
ass Prod
uced
•Priced
for Usage
•M
icro purcha
se
•A
sset light
•M
odula
r services
•Persona
lizing and
ma
ss customiza
tion
Organizations are seeing tangible benefits from
the adoption of A
I to transform their business m
odels. D
riving new
revenue streams and
products w
hile improving their ability to increase custom
er value
18
Ca
se Stud
y: Ge
nera
l Elec
tric (D
igita
l Business M
od
el)
GE, a
pio
nee
r of the
“Industria
l Interne
t”, is transfo
rming
the tra
ditio
nal
ma
nufac
turing ind
ustry by c
om
bining
hard
wa
re, so
ftwa
re, a
nd
ana
lytics into
system
s that c
an m
onito
r, co
llec
t, exc
hang
e, e
xam
ine,
and
de
liver insig
hts to c
ustom
ers c
rea
ting a
dig
ital e
xpe
rienc
e.
Softw
are
de
fined
GE a
da
pte
d its hig
hly structure
d Six Sig
ma
pro
duc
t d
eve
lop
me
nt pro
ce
ss for m
anufa
cturing
me
dic
al, je
ts, and
p
ow
er e
quip
me
nt with a
new
fail fa
st softw
are
culture
te
rme
d “Fa
stWo
rks” whic
h allo
ws the
m to
integ
rate
and
sell
new
softw
are
servic
es a
long
with the
ir trad
itiona
l pro
duc
ts.
Imp
ac
tRe
inventing
its busine
ss mo
de
l has no
t only a
llow
ed
GE
to b
ette
r serve
its custo
me
rs, but ha
s yield
ed
substa
ntial
financ
ial re
turn, with re
venue
s from
‘Pred
ictivity’
solutio
ns exp
ec
ted
to re
ac
h $5 billio
n by 2017. “Pre
dix”
has b
ec
om
e d
efa
cto
pla
tform
for Ind
ustrial inte
rnet
Cha
nging
Custo
me
r Expe
rienc
e a
nd Busine
ss Mo
de
lsG
E has fo
cuse
d o
n pro
viding
clie
nts with d
ata
-drive
n so
lutions to
imp
rove
ma
chine
effic
ienc
y, pre
vent d
ow
ntime
, a
nalyzing
50 millio
n da
ta p
oints fro
m 10 m
illion se
nsors o
n $1 trillio
n of m
ana
ge
d a
ssets.
19
THEG
OA
L:C
ar
ma
nufac
turers
are
leve
rag
ingA
Ite
chno
log
yto
cre
ate
auto
nom
ous
vehic
les,
whic
hc
an
ena
ble
new
ow
nership
mo
de
lsa
nda
pp
ea
ltoa
wid
erse
gm
ento
fthem
arke
t.
Overview
:
Case Study: Se
lf Driving
Ca
rs
Product Integration A
utono
mo
us tec
hnolo
gy c
ould
po
tentia
lly allo
w
vehic
les to
be
auto
ma
tica
lly de
livere
d to
custo
me
rs re
ga
rdle
ss of the
ir loc
atio
n right a
fter a
n online
p
urcha
se.
Impact
This new
busine
ss line, is he
lping
ma
nufac
turers to
g
ene
rate
mo
re re
venue
from
a tra
ditio
nally
untap
pe
d c
ustom
er b
ase
.
Key Challenge
Ne
w usa
ge
pro
gra
ms like
Aud
i on d
em
and
, and
Vo
lvo
subsc
riptio
n are
ena
bling
new
wa
ys for c
ar
ma
nufac
turers to
cre
ate
pro
duc
ts that a
pp
ea
l to a
w
ide
r custo
me
r ba
se a
nd a
re ye
t pe
rsona
lized
to
individ
ual p
refe
renc
es.
20 Engaging custom
ers where they a
re, when they w
ant, how
they desire …
Legacy Exp
eriencesD
igital Exp
eriences•
Com
plex a
nd Proced
ural
•Ra
ce for more fea
tures
•UX com
pa
red w
ithin the industry
•Fixed
Usage M
odels
•M
ass a
nd sta
nda
rdized
•Sim
ple a
nd Intuitive
•Ra
ce for engagem
ent
•UX com
pa
red to a
ll user experiences
•O
n-Dem
and
•C
ontextual a
nd Persona
lized
AI is enabling business to better engage w
ith their customer base, pred
icting dem
and, personalizing and
allowing
customers to find
the relevant products and
services, and have seam
less on-line to in-store experience
21 AI is d
riving benefits across the organization, improving custom
er intimacy, and
enabling their organizations to becom
e more creative, and
focus on strategic aspects of the customer engagem
ent experience.
AI Transform
ation of the Sales and C
ustomer Experience
Source: Capgem
ini -Digital Transform
ation Review A
rtificial Intelligence D
ecoded Eleventh Edition: Artificial Intelligence D
ecoded
74%
74%
68%
66% 72%
73%
0%20%
40%60%
80%100%
Increase in sa
les of newp
roducts a
nd service
Increase in sa
les of traditiona
lp
roducts a
nd services
Increase in inbound
customer
leads
Reduced churn
Reduced custom
er complaint
Enhanced customer sa
tisfaction(increase in N
PS)
Harley-David
son, used A
I for highly targeted
marketing
activities which helped
increase sales lead
s by 2,930% w
ithin three m
onths
2,930%
In a three-month pilot, C
osabellaused
an AI platform
to produce a
336% return on ad
spend (RO
AS)
and a 155%
increase in revenue (Q
4, 2016).
336%
KLM w
as able to generate a 35%
Improvem
ent in customer service
efficiency using an AI pow
ered
customer experience.
35%“The
mo
st po
pula
r use c
ase
right no
w is in the
co
ntac
t c
ente
r. There
is just so m
uch ro
om
for im
pro
vem
ent in the
c
ustom
er e
xpe
rienc
e, the
ab
ilities o
f the a
ge
nts involve
d,
and
the re
latio
nship b
etw
ee
n the institutio
n and
its c
ustom
ers.” -Rob High, IBM
Fellow, V
P & C
TO, W
atson
22
THEG
OA
L:-LeveragingA
Itored
ucem
anhoursspenton
repetitiveissues
andallow
themto
focuson
activitiesw
herehum
anintelligence
cand
rivevalue
Overview
:
Case Study: Im
prove Digital Sales C
onversion Rates using A
I.
Product Integration Sentient Tech w
as able to use AI to im
prove inventory visibility to betw
een 75% and
80% using A
I to help users navigate the sites and
contextually in real tim
e display the d
esired SKUs.
Cost Saving Im
pactsW
ith improved
catalog visibility, clients like Sunglass Hut and
Skechers, were able to see betw
een 30%
and 40%
improvem
ents in conversion rates
Key Challenge
Online retailers have very low
conversion rates, owing
partially, to the fact that users are only seeing about 10%
of inventory.
23 Challenges in A
dopting A
I as part of the Digital Transform
ation Strategy 59%
of organizations are still gathering information to build
their AI strategies.
Go
verna
nce
Firm
s with a
ded
icated
AI H
ead
or CO
E observed a
17% increa
se in inbound
customer lea
ds using A
I. How
ever, only about a
third (37%
) of orga
nizations im
plementing A
I have a
ded
icated
AI H
ead
in their firm.
Initiative
Sele
ctio
nSom
e organiza
tions have a
lread
y jumped
to ad
opting AI for a
dva
nced
use cases w
hile bypassing the “low
hanging fruit” tha
t can ena
ble quick returns for their orga
nizations. E.g. V
olvo and
self driving ca
rs vs. Custom
er Enga
gement Tech. Test interna
lly before exposing customers to A
I.
Emp
loye
e Eng
ag
em
ent
Effectively comm
unicating w
ith employees a
nd investing in skills
developm
ent should be a
priority for firms. 63%
of organiza
tions said
that
AI d
id not d
estroy any jobs w
ithin their organiza
tions. Ad
ditiona
lly 71% of
organiza
tions are investing in up-skilling their em
ployees in AI field
s.
Sca
le a
nd Sta
keho
lde
r Buy-inO
nly 20% of com
panies a
re implem
enting “must-d
o” use cases a
t sca
le, lacking key sta
keholder buy-in a
nd orga
nizationa
l confidence in
the technology to reliably execute the w
orkload
s.
Source: Gartner Top 10 Strategic Technology Trends for 2018
Source: Capgem
ini -Digital Transform
ation Review A
rtificial Intelligence Decoded Eleventh Edition: A
rtificial Intelligence Decoded
24 The Inte
llige
nt Auto
ma
tion e
co
system
IA Ecosystem
RPA
IT Infra A
utomation
AI
HR
Marketing
Finance
BPM
Security
Emp
owering
Beyond
GET C
ON
NEC
TED
ww
w.A
vasa
nt.com
Wa
shington D
C
New
YorkD
alla
s
Los Ang
eles(H
ead
qua
rters)
Toronto
London
Port of Spa
in
Bang
alore
Mum
ba
iH
ong Kong Tokyo
Delhi
Dub
ai
Johannesb
urg Kam
pa
la
Ma
drid
Partner
Anup
am
Govil
anup
am
.govil@
Ava
sant.com
512-762-7384