Chief Technology Officer
Trying to Understand Trying to Understand
the Intersection between Business & Technology the Intersection between Business & Technology
Chief Technology Officer
Capgemini France
Big changes are happening at
the intersection between Business & Technology
1st History
of Enterprise IT2nd History
of Enterprise ITConsumerization of IT
Macro Conditions
New Business models
| Architecture WeekTrying to Understand the Intersection between Business & technology
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‘‘The future is here.
It's just not widely distributed yet ’’
William GIBSON
Cloud Computing
1st History: Initial Construction of IS
Applications automate tasksProductivity Transactions
The tasks we know [as must be done]Project by project
Hundreds of applications in silos
IT is rare, expensiveand complex
The IT org is the owner
Highly technical CultureFortress of specialists
Business peopledo not understand technologies
| Architecture WeekTrying to Understand the Intersection between Business & technology
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Cost centerMore & more expensive
Cost savings within IT
Contract based relationship
Black BoxCascading
Long CyclesOrder takers
Build to last
Decision based onCost of Build
Unique size
Struggling to deliver business & technology alignment
Decide on a Business Strategy
Alignment implies a waterfall process����
| Architecture WeekTrying to Understand the Intersection between Business & technology
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Build your technology on that foundation
TOO
SLOW���� Shadow IT
Business demand for IT is changing
Business peopleunderstand technology
Technology Driven
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Time To Value
Technology Driven Business Differentiation& Transformation
An Inspiring Case
Support 2020 Program���� Increase the revenues coming from differentiatingServices to Airlines
Leveraging Airbus assets
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6
Leveraging Airbus assets
Engineering knowledgeFleet-wide perspectiveInformation captured onboard the aircraftCapability to set industry standards to facilitatecloser integration between Airlines, manufacturers & maintainers
Trying to Understand the Intersection between Business & technology
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A shift in mindset
Stop thinking:
We build a collection of applicationsthat support our business
Application Silos
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Start thinking:
We build our business usingtechnology platforms
Tools & Services allowing
fast & continuous
delivery of user features
Time To Value
A Copernican shift
User
Experience
Social
Computing
Big
Data
Engaging customers
Any Time Any Where Any Device
The
Conversation
Big Data
delivers
5 ENABLING TECHNOLOGIES
| Architecture Week
9
Computing
Business
Process
Mesh
Cloud
Computing
Data
Total
Services
Conversation
Economy
delivers
Big Value
Everything is
elastic
Creating Value
Time To Value
Trying to Understand the Intersection between Business & technology
© 2011 Capgemini. All rights reserved.
Think differently about projects
Automate the tasks we know [as must be done]
Technology Driven Business Differentiation& Transformation
Increase Business performance in complex working situations
Usages are well known New Usages
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Short Cycles& iterations
New engagement models
Usages are well known New Usages
One can completely specifythe system before building it
Long Cycles
Fixed price engagements
30% of the specificationsare unknown the 1st day of the project
Agile project driven by bunisess value analysis
Trying to Understand the Intersection between Business & technology
Agile Development Process
Deliver & test earlyto build the right software
CollaborationThe “agile” approach consists in
implementing functions by “business”
priority, with “continuous” flexibility
and acceptance of business change
Business
IT
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to build the right software
Trying to Understand the Intersection between Business & technology
Business Value Driven Process
High Priority
Items with a highpriority are detailed
New items are integratedwith their priority level
Backlog sprintDuring each iteration, the top priorityitems get implemented
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Low Priority
Items with a lowpriority are describedin a simple way
Product BacklogRequirements expressed from the user perspective
with their priority level
Items in the backlog can bereprioritized at any time
Items can be removedfrom the backlog at any time
Trying to Understand the Intersection between Business & technology
TRADITIONAL PROJECTS ARE LIKE A CANNON BALL
Assumptions :
� The customers know what they want
� The developers know how to build it
� Nothing will change along the way
| Architecture Week
Source: Henrik Kniberg
Trying to Understand the Intersection between Business & technology
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AGILE IS LIKE A HOMING MISSILE
Assumptions:�The customers discover what they wants�The optimal architecture is emerging�Things change along the way
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Source: Henrik Kniberg
Trying to Understand the Intersection between Business & technology
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Business demand for IT is changing
Innovations
Consumerization of IT
Social Apps
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Consumerization of IT
Self serviceEmpowered
Extreme UsabilityNew usage models
Fast changing consumer technology landscape
In 1993, iPad 2 would have been among the
top 30 supercomputersin the world
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in the world
Extreme Usability, Self-service & Freedom of Choice
App Store1-click browse / install / use
Bring Your Own
DEVICEAPPLICATION
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Empowered Users
VisionWhat if Apple were to develop business applications?
Jobs' approach to the future of computing: Make everything simpler , more universally usable , and less constrained by the narrow orthodoxies of the tech industry.
| Architecture WeekSpeakers' Handbook, Arnaud Buisne, v1.2 - 26/08/2011
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User Experience
Like something Apple could have built
Great user experience
• Users can accomplish Useful
| Architecture WeekEnterprise Applications in 2011
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It is what businessusers demand.
It is what IT must deliver.
• Users can accomplish their goals.Useful
• Users can easily perform tasks.Usable
• Users enjoy their experience.Desirable
Consumerization of IT
Consumer Technology is more and more influencing the
enterprise world with employees forcing an unprecedented
pace of change.
����
CIOs Surveyed on Tablet Usage
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2011
2010
Morgan Stanley, “Tablet Demand and Disruption”, February 14, 2011
A Big Shift in mindset for Enterprise IT
Keep technology diversity in check to keep costs in control.
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Harness the technology ideas and initiatives of your empowered employees.
New Capabilities on the Technology side
Cloud ComputingEverything
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Cloud ComputingEverything is elastic
Chief Financial Officerslove Cloud Computing !
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No investment before use.
Pay for what you need, when you need.
Instead of investing in rigidity, you buy flexibility.
Business Executiveslove
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love
Cloud Computing !
Source: HfS Research and London Schoolof Economics, Oct 2010846 Entreprises
By 2015, 50 % or more of NEW enterprise IT spendwill be Cloud-based or Hybrid.
By 2015, 65 % or more of NEW enterprise IT workloads
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By 2015, 65 % or more of NEW enterprise IT workloads will be Cloud-based or Hybrid.
By 2015, 25 % or more of TOTAL enterprise IT workloadswill be Cloud-based or Hybrid.
SaaS is driving adoption. PaaS enables custom & composite solutions.
Cloud Computing & Innovation
10-15 years ago,
experimenting was expensive
Culture of Preliminary AnalysisLimitation : Our capability to
elaborate ROI studiesAfraid of : Errors in ROI studies
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Experimenting costs as much as (or sometimes less than)the analysis
More value for the time spentMore value for the euro spentLimitation : Our capability to manage
experimentationsAfraid of : Have lost an opportunity
to experiment
Culture of Observation allowing fast learning and adjustments
Cloud Sourcing – New IT Supply Chain
Business People are a new buying center for
Enterprise Technology����
Cloud Service Providers
Several Cloud Service providers will be used����
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CloudEnterprise
Cloud Service Providers
Entry
Run
Exit
Total Cost
IT organizations must change
A Capacity oriented IT orgData Centers X 000 m.d. for projects
IT Standards
Process
Demand Management
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IT Standards Demand ManagementBuild & Run
A Business Services oriented IT orgFocus will shift to Businessempowerment.Encourage Innovation or Expect to be bypassed !
Business Services & KPIsLess technology selection & more business support
Short Cycles – Dynamic service provider
Integrating, monitoring & supporting Internal & external servicesValue through governance, orchestration & innovation
IT role in business leverage of technology
IT provisioning of technology for
Business’s use of technology
IT provisioned
Business self-
provisionedBusiness
self-provisioned Business
self-provisioned
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29© 2011 Capgemini. All rights reserved.
technology for business
provisioned
Business self-
provisionedBusiness
self-provisioned
Business self-
provisioned
Source:
Innovation will x3 from 5% to 15%
Vendor mngt will x2 from 10% to 20%
Enterprise Arch will x2 from 10% to 20%
Risk mngt will increase from 10% to 15%
A perfect stormat the intersection of
Business & Technology…but a positive one
2 years ago the goal of the CIO wasto cut costs and keep the lights on
Business empowermentDynamic Service Provider
| Architecture WeekTrying to Understand the Intersection between Business & technology
30© 2011 Capgemini. All rights reserved.
Think differently
Business People understand the value of Technology
Use new technologies and new IT supply chain for competitive advantage
Co-invention / construction
CIO & IT org need to change
Business empowermentDynamic Service Provider
Encourage Innovation or Expect to be bypassed
Build a new governance orExpect to be a cost center
From steward to strategist or revolutionary
www.capgemini.com
The information contained in this presentation is p roprietary. ©2010 Capgemini. All rights reserved