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© 2015 Hitachi Consulting Corporation. All rights reserved. Proprietary and confidential. 11/10/2015 1
Digital Evolution – Enterprise of Things
© 2015 Hitachi Consulting Corporation. All rights reserved. Proprietary and confidential. 11/10/2015 3
Hitachi – Social Innovation (UK)
© 2015 Hitachi Consulting Corporation. All rights reserved. Proprietary and confidential.
Others
Financial Services
Digital Media and Consumer Products
Automotive Systems
High Functional Materials and Components
Construction Machinery
Electronic Systems and Equipment
Social Infrastructure and Industrial Systems
Power Systems
Information and Telecommunication Systems
US$3.4BINNOVATION BUDGET
Founded in 1910
US $93.4B FY13
970 subsidiaries
Ca. 325,000 employees
#1 worldwide for patent applications in emerging technologies (IoT, Big Data)
#78 in the 2014 FORTUNE® Global 500
Hitachi – Social Innovation (UK)
What is Social Innovation?
© 2015 Hitachi Consulting Corporation. All rights reserved. Proprietary and confidential.
Hitachi – Social Innovation
SAFETY
HEALTHCAREENERGY SMART CITIES
TRANSPORT RESEARCH
11/10/2015 6
© 2015 Hitachi Consulting Corporation. All rights reserved. Proprietary and confidential.
Opportunity is everywhereSocial innovation addresses societal and business needs
OIL & GASSMART CITIESFINANCIAL SERVICES
AUTOMOTIVE
HEALTHCARE
LOGISTICS
TRANSPORT
CYBER SECURITY
SAFETY
ENERGYRESEARCH
FINANCIAL SERVICESHARBORS
EVERY COUNTRY EVERY CITYEVERY INDUSTRY
11/10/2015 7
© 2015 Hitachi Consulting Corporation. All rights reserved. Proprietary and confidential.
Social Innovation: Contributing to society requires integrated, converged and connected solutions.
Carbon neutral by 2025Demanding energy
efficiency and transportation goals
Huge amounts of data with huge potential
Make data useable for developers
Tackle public challengesCreate new business
opportunities
EVERY COUNTRY EVERY CITYEVERY INDUSTRY
11/10/2015 8
© 2015 Hitachi Consulting Corporation. All rights reserved. Proprietary and confidential.
Social Innovation: Contributing to society requires integrated, converged and connected solutions.
Traditional Innovation
Social Innovation
Enhanced Social Infrastructure
B2S
Business Model Innovation
TechnologyInnovation
B2CB2B
TechnologyInnovation
B2CB2B
Collaboration, Convergence and Harmonization of Different Types of Innovation
11/10/2015 9
© 2015 Hitachi Consulting Corporation. All rights reserved. Proprietary and confidential.
Hitachi – Social Innovation – Our Future
11/10/2015 10
What is Digital Evolution?
© 2015 Hitachi Consulting Corporation. All rights reserved. Proprietary and confidential. 11/10/2015 12
consumer
employee
business model
around-the-clock availability
mobile
social
personalized service
Information any time, anywhere
flawless
engagement
insight
real-time fulfillment
new markets
The Internet of Things (IoT) is the network of dedicated physical objects thatcontain embedded technology to communicate and sense or interact … ecosystemthat includes things, communication, applications and data analysis
Addressing Digital Disruptive ForcesHow to emerge successfully from the age of Digital Disruption
Digital Evolution
Disrupters
BrochureWare
WebCommerce
MobileCommerce
eBusiness
Tablet
Social
MultiChannel
Cloud
Internet of Things
Artificial Intelligence
Robotics
WebOptimisation
Big Data3D Print
Wearables
Drones
Sensors
However, Digital is not just about “disrupters”
Digital is not just about “disruptors”“It is what the company needs to support the future”
18Register now at [email protected] to receive “Engineering the New Reality” paper.
© 2015 Hitachi Consulting Corporation. All rights reserved. Proprietary and confidential.
Digital Evolution
11/10/2015 19
DIGITAL ORGANISATION
IT CONSUMERISATIONBUSINESS
CONSUMERISATION
CHANGE IN SOCIAL DYNAMICS
Exte
rnal
Fo
rces Mobile
Commerce Social Cloud
DEMOCRATISATION OF DIGITAL TECHNOLOGY OPPORTUNITY & DISRUPTION
XaaSInternet
of Things
Big
Data
© 2015 Hitachi Consulting Corporation. All rights reserved. Proprietary and confidential.
Digital Evolution
11/10/2015 20
INSPIREDIGITAL LEADERSHIP
Innovation
Governance
New Financial models
Delivery Approach
CHALLENGE VALUE PROPOSITIONS
New Products & Services
Big Data Monetisation
IMPROVEOPERATIONAL ENVIRONMENT
Process Control
Intelligent Networks
Advanced Analytics
Digital Workspaces
ENHANCECUSTOMER ENGAGEMENT
Omni-Channel
Hyper-targeted
Single Customer View
Digital Marketing
BETTER ENGAGEMENT
INSIGHT-LED ADAPTABILITY VISION + AGILITYSTRATEGIC
ADVANTAGE
DIGITAL AT THE HEART
Dig
ital
Evo
luti
on
Results
EVOLVE CORE IT ARCHITECTURE
Transform how you exploit Core Systems
Develop new Digital Capabilities
Reach-in and display in new ways
What is the Enterprise of Things?
The ‘Digitalisation’ of the Enterprise of ThingsHow to emerge successfully from the age of Digital Disruption
© 2015 Hitachi Consulting Corporation. All rights reserved. Proprietary and confidential.
Internet of Things: Hype?
11/10/2015 23Source: Gartner (July 2015)
Industry InsightIndustry Hype
© 2015 Hitachi Consulting Corporation. All rights reserved. Proprietary and confidential.
Enterprise of Things: Why?
11/10/2015 24
© 2015 Hitachi Consulting Corporation. All rights reserved. Proprietary and confidential.
$2.5T annual impact
of IoT in healthcare
(by 2025, McKinsey)
>90%IoT data to be hosted on cloud platforms
(IDC)
200Bconnected
objects (Intel)
$19T economic
value created by Internet of
Things (Cisco)
1.1B smart
meters installed(Navigant Research)
152Mconnected
cars (IHS
Automotive)
In the zettabyte era, organizations are finding ways to use data from physical systems to transform their business models.
Enterprise of Things: What?
11/10/2015 25
© 2015 Hitachi Consulting Corporation. All rights reserved. Proprietary and confidential.
DA
TA E
VO
LUTI
ON
ANALYTICS EVOLUTION
ENTERPRISES
PEOPLE
THINGS
WHAT HAPPENED ?BI AND REPORTING
WHAT’S HAPPENING NOW ? REAL TIME
WHAT WILL HAPPEN ? PREDICTIVE
WHAT SHOULD WE DO ? PRESCRIPTIVE
Enterprise of Things: When?
11/10/2015 26
© 2015 Hitachi Consulting Corporation. All rights reserved. Proprietary and confidential.
Retail solutions Business operations Healthcare
MANAGE PEOPLE
Energy Management Building automation Digital factory
MANAGE BUILDINGS
Vehicle telematics Fleet and logistics Heavy equipment
MANAGE ASSETS
MANAGE CITIES
Safety & video analytics Energy & infrastructure Mobility & transportation
Enterprise of Things: Where?
11/10/2015 27
© 2015 Hitachi Consulting Corporation. All rights reserved. Proprietary and confidential.
Information Technology (IT) Operational Technology (OT)
Business and Human Driven Data
I.T. O.T.
ERPEmailVideo
Machine Driven Data
10101010010101010101010101010101010101010101001010101010101010101010101010101010011010101011101010101001001011011101101010101010101010101010110101010101010101010110101010101001
Bringing together the physical infrastructure with data and process
Enterprise of Things: How?
11/10/2015 28
© 2015 Hitachi Consulting Corporation. All rights reserved. Proprietary and confidential.
Enterprise of Things: Things?
11/10/2015 29
Digital thinking is at the heart of our differentiation
Hitachi Consulting formed to exploit this innovation
We invest $3.4bn annually on innovation and R&D
What is Internet of Everything?
The ‘Digitalisation’ of Smart CitiesHow to emerge successfully from the age of Digital Disruption
Hitachi Smart CitiesAward winning first-of-its-kind ‘Big Data’ platform for Copenhagen on which data collection, integration and sharing is centralised for the entire city
The ‘Digitalisation’ of Smart CitiesHow to emerge successfully from the age of Digital Disruption
Hitachi Smart CitiesAward winning first-of-its-kind ‘Big Data’ platform for Copenhagen on which data collection, integration and sharing is centralised for the entire city
The ‘Digitalisation’ of Smart CitiesHow to emerge successfully from the age of Digital Disruption
Hitachi Smart CitiesAward winning first-of-its-kind ‘Big Data’ platform for Copenhagen on which data collection, integration and sharing is centralised for the entire city
© 2015 Hitachi Consulting Corporation. All rights reserved. Proprietary and confidential.
M2M Sensor Platform
Big Data Analytics Platform
Visualization and App Framework
Transport
Sensors Sensors Sensors Sensors
CityData Center
Condition Based Maintenance
Energy Optimization
Fleet Management
Smart City
Public Infra
IT Operations
Internet of Everything: Platforms
11/10/2015 38
© 2015 Hitachi Consulting Corporation. All rights reserved. Proprietary and confidential.
MapCity AssetNationalCensus
SmartCard
VehicleLocation
PhoneLocation
Person Profiles
Transportation Mode
Person TripCity
Dashboard
IndoorSensor
IC
TransportationMobility
HumanMobility
- OptimumRoute
Transportation
- Marketing- Promotion
Retail Store
- InfrastructureDeployment
Urban Planning
- ContingencyPlan
Disaster
MobilityData
Analysis &Visualizing
Application
Internet of Everything: Big Data?Human/Transportation mobility data gathered by mobile devices areanalyzed and visualized on cloud services called, “City Dashboards.”
11/10/2015 39
© 2015 Hitachi Consulting Corporation. All rights reserved. Proprietary and confidential.
Internet of Everything: Sensor Data?From Public Safety (Pre-Crime*) to Algorithms to optimize Bimodal Transportation
11/10/2015 40* http://www.fastcompany.com/3051578/elasticity/hitachi-says-it-can-predict-crimes-before-they-happen
© 2015 Hitachi Consulting Corporation. All rights reserved. Proprietary and confidential.
TravelTransportation
- Route/Operationplanning
- Navigation
Retail
- Trading-Areaanalysis
- Recommendation
UrbanPlanning
OpenStreetMap
- Infrastructuredeployment
- Promotion planning- Route recommendation
City Dashboard
Internet of Everything: New Platforms?City Dashboard platform improves various business operations from a stage of planning to that of operation & maintenance
11/10/2015 41
© 2015 Hitachi Consulting Corporation. All rights reserved. Proprietary and confidential.
AcquiringNew Customers
Following upRepeat Purchase
IncreasingAmount of Sales
Retail StoresMobility Hub
LocationsBehaviors
Understanding Potential/Existing Customers’ Behavior Helps:
Transportation Events
Residents Travelers
Internet of Everything: New Opportunities?
11/10/2015 43
© 2015 Hitachi Consulting Corporation. All rights reserved. Proprietary and confidential.
Internet of Everything: New Architectures?
11/10/2015 44Source: Gartner (August 2015)
© 2015 Hitachi Consulting Corporation. All rights reserved. Proprietary and confidential.
Provide ‘Trains as a Service’ to the UK Government with predictive maintenance to provide 100% uptime of the fleet to meet SLAs
Internet of Everything: New challenges?
11/10/2015 45
© 2015 Hitachi Consulting Corporation. All rights reserved. Proprietary and confidential.
Internet of Everything: New Solutions?
11/10/2015 46
© 2015 Hitachi Consulting Corporation. All rights reserved. Proprietary and confidential.
Internet of Everything: New Solutions?
3G / 4G
Wireless
Learning and Feedback on Train Improvements
Corporate Systems Data store Interface / Staging MobileCommunications
On-board Server Train Systems
Train condition data made available to Maintenance teams.
A master data lake for all train data
Complex ETL solutions that stage all the raw data from all the trains.
Train data is sent over Wi-Fi or 3G networks.
Solution that collates data from all the on-board systems and components.
Thousands of sensors and signals all collecting data in millisecond intervals.
11/10/2015 47
© 2015 Hitachi Consulting Corporation. All rights reserved. Proprietary and confidential.
Safer, Smarter, More Efficient Communities
Internet of Everything: New challenges?
11/10/2015 49
Internet of Everything: New Solutions?
Connected Intelligence through community intervention (i.e. crowdsourcing)
TransportsVehicles in restricted
lanes, wrong-way
driving, speeding,
vehicle classification,
density, and counting,
tailgating at entry
points
Public Safety
Loitering,
unauthorized entry,
predictive crime
analytics
Suspicious
Behavior
Suspicious
gatherings,
disturbances
Border Protection
Wrong-way walking,
crossing forbidden
areas
Public
Transportation
Abandoned/lost
packages, counting
people, forbidden
areas
Vandalism
Camera-tampering
and graffiti
From city and region-wide deployments to vertical applications
Internet of Everything: New Solutions?
© 2015 Hitachi Consulting Corporation. All rights reserved. Proprietary and confidential.
Internet of Everything: The Future?
11/10/2015 52* http://www.fastcompany.com/3051578/elasticity/hitachi-says-it-can-predict-crimes-before-they-happen
Thanks for Listening
54
Hitachi is a digital business, with constant evolution and adaptability in our DNA
“Evolution over Revolution” technology is no longer the enabler, everything is continuously evolving the tools and techniques that worked yesterday may no longer be the correct approach for tomorrow … continuous innovation (open innovation) as strategic partnerships as part of the digital transformation through digital engineering.
Jonathon Wright, Hitachi, Evolving the New Reality, 23rd October 2015
Thought Leadership Booklet - Engineering the New Reality
Putting Digital at the heart of your organisationHow to emerge successfully from the age of Digital Disruption
“Digital engineering breaks down the silos across the entire organisation –allows everyone to get involved in evolving digital capability: connected intelligence maps the value steam mapping of business challenges and goals. This is a new way of IT delivery that allows for digital initiatives to be deployed at pace across the organisation but in a (relatively) stable and industrialized state – a willingness to ‘fail forward’.
Jonathon Wright, Hitachi, Evolving the New Reality, 23rd October 2015
Thought Leadership Booklet - Engineering the New Reality
$740 MillionFY13 Revenue
6,500experienced & dedicated
professionals
Better Approach. Better Results. Better Experience.
$10 Billion
results
© Hitachi Europe Ltd. 2015. All rights reserved.