digital systems integration (dsi)
Post on 17-Oct-2014
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For any traditional enterprise, digital is the new buzzword with Social computing, Big Data analytics, Cloud enablement, Mobile transformation & Internet of Everything driving every business discussion in every function, be it marketing, supply chain management, production, human resources or finance. But industry standard SMAC (Social computing, Mobile technologies, Analytics & Cloud computing) led approach has not been a success for the IT industry as it is a bolt-on approach that doesn’t address the fundamental problems faced by a legacy burdened enterprise. That’s the reason SMAC uptake has been relatively modest in the industry with hardly any large services provider coming up with credible answers. Enterprises are plagued with Cost of Modernization, Control of risks attached with modernization and Capital locked in Legacy Application environment. For most enterprises, the dependence on legacy is paramount and even a small downtime in a critical applications can result in huge revenue losses. So the quality issue of any digitalization initiative has to be met along-with a deep understanding of the domain requirements. Hence an end-to-end partner is needed who has the complete view of the enterprise application landscape, and who understands the deeper issues of control & implementation intricacies. Digital System Integration (DSI) is HCL Technologies’ answer to a modern corporation’s dilemma in effectively transforming itself from a legacy driven traditional organization to a digitalized corporation with integrated digital systems. Digitalization is the complete transformation of a business with unprecedented combinations of new technologies to generate revenue and business value. HCL Technologies’ Digital Systems Integration (DSI) aims to enable traditional organizations to compete against “born digital” competitors through a strategy called reborn digitalTM, which effectively analyzes and connects a traditional organization’s legacy systems, assesses its readiness for the digital age, addressing the challenges identified through a set of solutions by taking a consultative approach that creates a complete digital enterprise. The 3 tenets of Digital Systems Integration (DSI) Application Modernizationb, Data Fabric and Digital Transformation, allow a digital enterprise to experiment, innovate, and offer new services with new business models. HCL Technologies’ Approach to Digital Systems Integration The 6 step methodology for Digital Systems Integration (DSI) 1. Justification and prioritization of digitalization 2. Creation of a digitalization blue-print for a strategic view of digitalization 3. Focus on transforming processes that create the maximum value 4. Legacy technology landscape transformation 5. Creation of a seamless data fabric 6. Systems Integration approachTRANSCRIPT
Copyright © 2012 HCL Technologies Limited | www.hcltech.com 1
Copyright © 2012 HCL Technologies Limited | www.hcltech.com
We all observe the explosive growth of emerging technologies
2
2011 2012 2015
12.3
14.5
22.1
Worldwide SaaS Revenues
2011 2012 2015
11.8
16.9
34
Worldwide Social Media Revenues
2011 2012 2015
12.913.8
17.1
Worldwide BI & Analyt-ics Revenues
Source: Gartner, Jan 2013 - The Nexus of Forces Changes Everything: Gartner Symposium 2012 Keynote
2011 20160
0.5
1
1.5
2
2.5
3
Worldwide Growth of Mobile Devices by Device Type
Tablets Ultramobiles Notebook PCs
Smartphones Desktop PCs
“Starting in 2014, the enterprise software markets will undergo their greatest level of disruptions, growth and new opportunities since the year 2000” - Gartner
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Companies desire for Emerging Technology to dominate their landscape
2013 2016 2018
79%
58%
45%
7%
12%
9%
5%
12%
12%
1%
5%
14%
3% 12%16%
0%3% 5%5%
15%24%
Back-end application simplification
Services orchestration
Systems of engagement cloud-based services
Systems of engagement analytics
Smartphone and tablet management
Smart product, tablet and phone client app dev
Systems integration
Traditional services
Emerging services
“SAP states that more than 80% of new license sales in recent quarters come fromproducts that did not exist two years ago. Most of these newer products focus on disruptive
technologies, such as cloud, social, mobile, and analytics” – Forrester, 2014
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But the transition to Emerging Technology is dependent on Systems of Records expenditure halving
2016
2011
45%
79%
41%
18%
14%
3%
Systems of record investments Systems of engagement spending System of Innovation
Source: Forrester, Forrsights Services Survey, 2013
“There is cause for worry about underinvestment in systems of engagement… these systems need several key technologies, with a critical focus on back-office integration. The survey
reveals that integration with back-office systems is the biggest barrier to system of engagement delivery – Forrester, 2013
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Organizations that are Born Digital are not restricted by Legacy Technology, Business Process and Thinking. These organizations are disrupting traditional business models.
Business Model
Shifting of value from Front-end to Back-end
Innovations
Collaborative filtering for individual customer targeting
Competitors Under Threat
Business Model
Digitization of Media content
Innovations
Digital content distribution through internet
Competitors Under Threat
Business Model
Subscription of movies vis-à-vis fee based
Innovations
Digital distribution of movies on subscription basis
Competitors Under Threat
All Media Companies
Business Model
SaaS model of Software delivery – moving Capex to Opex
Innovations
Reaching the bottom of the pyramid in software service delivery – eliminating incidents
Competitors Under Threat
Competition is being Amazoned or is looking down the barrel of a Kodak Moment
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Traditional organizations have started adopting digital technologies with varied success. They need a complete overhaul in their corporate and IT strategy - they need to be “Reborn Digital”
Traditional Business Model
Lack of automation and analytics in drilling
Innovations
Changed business model & impact
Built-in GPS, wind sensors, motion sensors and compasses, allows Shell to drill wells with new precision
40% fewer workers required on drilling ships, 50% faster construction of oil rigs
Predictive analytics utilized in drilling mechanism
Traditional Business Model
Traditional fixed price facilities management
Changed business model & impact
Innovations
Expanding service delivery through e-commerce platform, cross service delivery
30% revenue through e-commerce
Multi-level, multi-channel facilities delivery
Traditional Business Model
18 different legacysystems to run payments
Changed business model & impact
Innovations
Partnered with SAP to create a Single platform with standardized processes for all payment type
40% Reduction in time to respond to mandatoryregulatory requirements
Secure straight-through processing of > than 7.4 billion payments a year
Traditional Business Model
Pharmaceutical manufacturing, research and distribution
Changed business model & impact
Innovations
Tie-up with Nintendo for delivering Blood Glucose monitoring system DIDGET
10% faster drug delivery and better control over production
Better, enhanced and superior drug delivery
Traditional Business Model
Traditional manufacturing of automobiles through LEAN processes
Innovations
BMW eKanban – LEAN process monitoring with mobility apps
Better, enhanced production control
10% additional cost savings in production
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For organizations to be Reborn Digital there has to be a change in the current perception of digitalization that overlooks creating the right Strategic and Technological platform
Digital Technologies:OmnichannelMobilityBig DataCollaborationInternet of Things
Current Perception of digitalization
Sources Of Failure
Is the organization able to envisage a digital business model in its industry?
Has the organization been able to create a digitalization strategy?
Does the digitalization strategy applied across the value chain or only the front end?
Are current applications a liability or an asset in the process of digitalization?
Is data an enterprise wide resource or it is siloed?
Is digitalization impacting the economic value add of the enterprise?
TraditionalEnterprise
DigitalEnterprise
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Digital Systems Integration from HCL has been created as a Journey for a traditional organization to be Reborn Digital
Approach to DIGITAL SYSTEMS
INTEGRATION
Digital Discovery
tool set
Co’s Vision
Blue Print aligned to
Vision
Gaps Analysis
Digital Operational
Index
Digital Systems
Integration
Data FabricApplication Modernization Digital Transformation
HCL’s Digital Systems Integration
HCL toolset to asses current
status
Vision of the Enterprise
Blue print to realize
enterprise vision
To identify the gaps to bridge
HCL’s DSI Propositional to bridge the gaps
Feedback for the next phase of transformation
Justification and Prioritization of digitalization
Creation of a digitalization blue print for a strategic view of digitalization
Focus on transforming processes which create the maximum value
Legacy Modernization and Cloud Enablement
Creation of a seamless Data Fabric
System Integration Approach
1
2
3
4
5
6
DSI focuses on
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Digital Assessment & Advisory
Start your first step to a digital journey!
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Thank You