making leaders successful every day€¦ · embrace the mobile mind shift . our view: mobility has...

Making Leaders Successful Every Day

Embracing Technology Disruption in the Age of the Customer

Michael Barnes, Vice President, Research Director

May, 2014

© 2012 Forrester Research, Inc. Reproduction Prohibited

Forrester’s 2014 APJ Market Predictions – The IT Perspective

3

1. IT spending growth remains consistent at 4% in 2014.

2. CIO’s IT spending will decline as the influence of the business in technology decisions grows.

3. Customer experience will surge as a CIO priority.

4. Few IT organizations will meet business demands for improved analytics

© 2013 Forrester Research, Inc. Reproduction Prohibited 4

Stable competitive advantage Agility advantage

Being good at what you do is essential — but no longer enough


Agenda

Welcome to the age of the customer

Implications for Business (and IT)

Embracing technology disruptions


Something is wrong when there is 70% Fortune 1000 turnover within the past decade

New companies on F1000 in decade

New companies on F1000 in decade


The Age of the Customer

A 20-year business cycle in which the most successful enterprises will

reinvent themselves to systematically understand and

serve increasingly powerful customers

© 2012 Forrester Research, Inc. Reproduction Prohibited © 2013 Forrester Research, Inc. Reproduction Prohibited 8

Empowered customers have given rise to a new era


The Power Has Shifted


Agenda



Embracing disruptions

A customer-obsessed enterprise… …focuses its strategy, its energy, and its budget on processes that enhance knowledge of, and engagement with, customers and prioritizes these over traditional competitive barriers.

A customer-obsessed enterprise… …focuses its , its and its

on processes that enhance knowledge of, and engagement with, and

these over traditional competitive barriers.

Thriving in the age of the customer


Translating age of the customer into business imperatives

A 20-year business cycle in which the most successful

enterprises will reinvent themselves to systematically

understand and serve increasingly powerful customers.

Reinvent Systematically

Understand Serve


Four business imperatives in the AoC

Become a digital disruptor

Reinvent

Transform the customer

experience

Systematically

Embrace the mobile mind shift

Serve

Turn big data into business

insights

Understand

Age of the Customer


Transform the customer experience

Our view: Customer obsession requires real investment in customer experience to build & maintain relationships.

• 90% of organizations say CX is a top priority, but only 3% deliver excellent experiences.

• You must deliver a unified experience across all channels and an ecosystem that includes employees and partners.

• Innovation in service delivery requires agile architectures, more flexible software delivery, and new design-first skillsets.

BUSINESS TECHNOLOGY PROFESSIONALS


Embrace the mobile mind shift

Our view: Mobility has trained people to expect any information or service to be available to them in their moment of need.

• Mobile apps are the face for systems of engagement.

• Applications designed for transactions are mismatched to the real-time demands of mobile users.

• Mobility is more than a list of projects. You need a strategy, plus new structures and skill sets in support of mobile engagement.



Become a digital disruptor

Our view: Digital has unleashed the next wave of innovation. To compete, you must disrupt your own business.

• Those outside of your firm have a better chance to exploit digital tools than you do.

• Digital disruption means a commitment to innovate in all areas.

• Emerging technologies and cloud services are critical sources of speed and agility, not just cost reduction.



Turn big data into business insights

Our view: Developing real customer and business insights requires an overhaul to data management.

• With digital channels, firms have more data than ever. But on average, they utilize less than 10% of it.

• You need more flexible options to capture and expose data. Gone are the days of putting everything in a data warehouse.

• Traditional “360 degree” views help track customer history, but deliver little insight into their attitudes and behaviors.



Agenda



Embracing disruptions

In 2014 users are increasingly mobile first and ‘always addressable’.

Systems of engagement empower people, enrich relationships & energize products

Systems of record host processes.

Systems of engagement touch people.

Systems of engagement empower customers, partners, and employees with context-rich apps and smart products to help them decide and act immediately in their moments of need.

But end user computing strategies are still confused

Source: “Forrsights Budgets And Priorities Tracker Survey, Q4 2013”

“In the next 12 months, what priority will you or your IT organization put on creating a comprehensive strategy and implementation plan for public cloud and other as-a-service

offerings?”

5%

8%

8%

9%

9%

15%

17%

18%

21%

31%

35%

32%

30%

32%

29%

31%

42%

48%

39%

40%

30%

33%

35%

29%

Philippines

Indonesia

Malaysia

China

India

Singapore

Japan

Australia/NZ

Critical priority High priority Moderate priority

Base: 1,299 IT decision-makers in Australia, China, India, Indonesia, Japan, Malaysia, New Zealand, and the Philippines Note: “Low priority”, “Not on our agenda”, and “Don’t know” responses have been excluded.

The perceived importance of cloud continues to vary among IT decision-makers

Private cloud

Virtual Private cloud

Public cloud External

Internal

Degree of Control • Location/data residency • Access/connectivity • Implementation/security

System Scope • Capabilities • Services • Products

Data center consolidation & transformation • Cost savings/improved IT

efficiency • Expanded virtualization • Automation & agility • Self-service access & pay-

as-you-go

Next-gen hosting • Community infrastructure

for economies of sale • Offloading workloads while

ensuring compliance • DR, storage & backup • Shift TM focus from IT to

BT

Customer engagement • Expanding services & digital

channels • Mobile service delivery • CRM/Social • Expanded BI/analytics • SaaS app adoption

More Control Less Control

Source: Forrester Research

Typical Cloud Workloads


Key Takeaways

Empowered customers and employees are driving fundamental changes in how IT operates, and how organizations view technology and applications.

Customer experience initiatives – often cloud-enabled – will drive an increasing share of IT spending.

The IT department’s hold on IT spending is weakening. More than ever, IT leaders must partner with the business to extend capabilities and deliver real value.

Michael Barnes +61 437 598 768 [email protected] @mb_analyst

Thank You

making leaders successful every day€¦ · embrace the mobile mind shift . our view: mobility has...

Documents