2017 NTT Data Business Briefing (Technology and …...Application Cloud platform NW Device Key Technologies •Fast accumulation/access to large-scale sensor data •Functional collaboration

© 2017 NTT DATA Corporation

2017 NTT Data Business Briefing

(Technology and Innovation General Headquarters)

- Technological strategy for Global 3rd Stage -December 4, 2017

NTT DATA Corporation

Director and Executive Vice President

Head of Technology and Innovation General Headquarters

Tsuyoshi Kitani

2© 2017 NTT DATA Corporation 2

Global 3rd Stage

Overseas Sales Ratio

30%

Overseas Sales Ratio

50%Net Sales of over

¥2 trillion

Japan &

APACNorth

America

EMEA & LATAM

30%

30%

40%

Global

Business PortfolioGlobal 3rd StageTrusted Global InnovatorAspire to Global Top 5 Status

3

Global 2nd StageRecognized Global Brand 2

Global 1st StageIncreased Global Coverage1

NTT DATA: ASCENDRise and grow our global brand

FY2016 FY2018


Drive global collaboration

Achieve top 10 ranking in priority markets

Exceed 100 clients with IT

spend > US$50M/¥5B*

Optimize Portfolio

NorthAmerica

30%

EMEA&LATAM

30%

Japan&APAC

40%

* Clients with annual sales of ¥5.0 billion or

more (Japan) or US$50 million or more

(outside Japan)

Global Top 5

Status

Trusted Global Innovator

NTT Group R&D assets &

foresight

Leverage innovative

technologies

R&D Excellence

Apply innovation to

transform business

Applied Innovation

Build trust over time

Long-Term Relationships

Apply technologies to help clients achieve

their business outcomes as their partner

TRUSTEDGLOBALINNOVATOR

© 2017 NTT DATA Corporation 4

Initiatives for Digital

Transformation


DX: Digital Transformation

90％

10％

Further improvement

of efficiency in

traditional areas

Digitalization

in traditional areas

60％

40％

Creation of new

business in digital areas

65％

35％

Accelerated

digitalization

2014

Traditional

2025E

Digital

2020E

［Predicted Transition

of IT Market Size］

Stream Ⅰ

StreamⅡ

StreamⅢ

SI trend has changed, and DX is advancing

As an SIer, there are three streams we must follow

Main battlefield

of users' self-

manufacture


Perpetuation, reutilization, and value

addition of existing assets through

modernization

Value addition by utilizing existing data and

external collaboration through API

Legacy Digital

Integration

Complete streamlining of traditional system

development, operation and maintenance

Breakaway from a labor intensive business by

automating an entire system lifecycle

System Lifecycle

Automation

Creation of new innovative services

utilizing digital technologies such as

AI/IoTDigital Capability

Characteristics of the Streams

Stream Ⅰ

Particularly in StreamⅡ, collaboration with various partners is

essential

Stream Ⅱ

Stream Ⅲ


NTT DATA Core Methodology

Global integration of next-generation development standards. In addition, consolidation

of tools to prepare for production technologies which help to provide high-quality

services worldwide

Include such development methodologies as

SAP, Oracle, Salesforce, etc., and expand

sequentially

Integrate next-generation development

standards globally, and put them together in a

knowledge database

Promote and deploy globally

Launch in EMEA and APAC regions

Development

Methodology & Tool

Stream

ⅠStream

ⅡStream

Ⅲ


Development Automation

<Actual application (FY2016)>

Number of applications:

1000 or more

Automation application rate: 97%

Shortened period

Stream

ⅠStream

ⅡStream

Ⅲ

Promote development automation initiatives throughout processes

Shorten development periods and improve productivity

Co

nc

ep

t o

f

De

ve

lop

me

nt

Au

tom

ati

on

Requirements

definitionManufacturingDesign Testing

Requirements

definitionDesign Testing

Manufactur-

ing

Improved productivity


Main

Fra

me

Infrastructure

Traditional Digital

Global next-generation development standards

Optimized Utilization of

New/Old IT Resources

DX-supported Integrated Development Cloud

Innovative

production

technologies

Utilization

of

cutting-edge

technologies

Three actions to support our client business innovation

Legacy

Digital

Integration

Digital

adaptation

Stream

ⅠStream

ⅡStream

Ⅲ


Promote Introduction of the Integrated Development Cloud

Continue efforts to improve business agility and reduce costs by

deploying the Integrated Development Cloud inside/outside Japan

aggressively

Expand application to the global

development environment

Application status

of the integrated

development Cloud

JapanEurope China/APAC North America

Deploy to clients’ commercial

environment

Approx.

100 cases

Start of utilization

Stream

ⅠStream

ⅡStream

Ⅲ

OpenCanvas,

etc.


Legacy Digital Integration

Step-by-step digitalization support using existing

systems

Stream

ⅠStream

ⅡStream

Ⅲ

Legacy is

minimized

naturally

Don’t let

legacy

bloat

API

API Digital

Legacy is

gradually

eliminated

Digitally armed Digital erosion Digital shift

Effective utilization of assets Legacy to Open Cloud operation

Digital assessment

with APM*

Extract API from Legacy

Micro services or

containerization to separate functions

Seek for diversified data utilization with

transparent data integration

AP packaged with container

Faster release cycle

Improved portability (AnyCloud)

System analysis AP utilization AP utilizationPlatform

optimization

Development

operation method

Data

democratization

*Application Portfolio Management


Provide APIs Linking Fintech with Financial Institutions

NTTDATA Fintech

Financial

institution

Enterprise

API

Our case

Stream

ⅠStream

ⅡStream

Ⅲ

Disclose enterprise systems for use

in a range of new services


Data Democratization

Data source Data lake

Businessusers

Users

Collect, combine, convert, form, and supplement

Analysts

Scientists

Utilized platformData itself

Effective utilization

of unstructureddata

Informati-zation

Data hub supporting

bucket brigade

Scalable and integrateddata store

Processing platform tolerating

diversified data utilization

Sensitive information

secured

Respond to the ever-changing demands of diversified

business users

Maintain freshness and purity of diversified data

throughout data lifecycle

Stream

ⅠStream

ⅡStream

Ⅲ

Make data always available from both "data itself" and “utilized

platform“ aiming towards data democratization


Design

Creation of InnovationStream

ⅠStream

ⅡStream

Ⅲ

Strategy

Technology

Business

strategy

planning

Client

experience

value creation

Implementation of

new services

Professional Professional area

Agile

developer

Agile(DevOps)

DX engineer

(SMACS +

new

technology)

UX Frontend Technology

Big Data Analytics

AI/IoT

Blockchain

Cloud based SI

Automation(RPA)

Build a DX delivery framework with Agile + Digital capabilities for

"business strategy x UX design"

Process Task

Ideation Design thinking

Concept design Storyboard

UX design Client journey

IT design Wire frame


Build up a structure for creating global innovation through PoC (*) with clients,

horizontal deployment of solutions, and collaboration with research institutions

Innovation Platform(knowledge sharing, development of innovation creation culture,

delivery of cutting edge technologies)

Collaboration with world's most

advanced research institutions

Innovation Hub Functions

Global horizontal

deployment of

powerful solutions

North America Innovation Hub

EMEA Innovation Hub

Japan Innovation Hub

APAC Innovation Hub

China Innovation Hub

Promotion of

client PoC

(*) PoC : Proof of Concept

NTT DATA Global Innovation HubStream

ⅠStream

ⅡStream

Ⅲ


NTT DATA Exponential

The Open

Innovation Business

Contest

Boston Exponential Hub Global Hackathon

Participants

UK, Germany, Italy, Romania,

everis, NDBS/intelligence,

Services(NA&India), Japan

A proposal for social problem resolutions

by analyzing citizens' opinions with AI or

using a payment system with Blockchain

(Spain)

Contests held at 15 cities

Previous highest award winner

Final

(Tokyo)

Mar. 22, 2018MIT media lab

Planned a collaboration

project with prospective

startups

Final

(Barcelona)

Nov. 20, 2017

264 teams applied from all over

the world

14 teams competed in the final

Autonomous Coaching Robot

Stream

ⅠStream

ⅡStream

Ⅲ

Collaboration with universities and venture businesses helps to

promote creation and development of innovation

https://www.jibo.com/

https://www.jibo.com/

© 2017 NTT DATA Corporation 17

Utilization of cutting-edge

technologies

- AI/IoT/Blockchain/Security -


Economical Impact of Main Technologies

IoT

3 to 6 trilliondollars

Automated

intellectual labor (AI)

5to 7trilliondollars

Japan's

national budget

1 trillion

dollars

Advanced

robot

technologies

2 to 4 trilliondollars

Self-driving

technologies

0.2 to 2trilliondollars

*“Disruptive technologies: advances that will transform life, business, and the global economy”

http://www.mckinsey.com/business-functions/business-technology/our-insights/disruptive-technologies

In 2025, economical impact of AI and IoT technologies will

exceed the national budget of Japan


Service area Social infrastructure

area

Middle/back-office

services

including investigation

Business

sophistication

area

Front office services

including

client support

Touch point

area

Prediction and sign

detection with a

large-scale

data analysis

Complex and

sophisticated

analysis area

AI Focus Areas


Sophisticated Point of Contact

FAQ contents

ID Q A

1

I got a flat tire

An emergency kit is stored in the trunk

2 … …

It looks like I got a

nail in a tire

My tire burst

while driving

I got a flat tire

Judgment of sameness

Context vector-

based

judgment model

Machine learning

Japanese analysis

Text corpus (also including technical terms)

CGM document/contact center reception log, etc.

Capture diverse expressions

Understanding the intent of a user's question and assisting in providing a

correct answer help implement a flexible touch point support (using NTT

Group's AI technology " ")

Large-scale semantic

system

Understand the

same context

2: Concrete

3: Subject

4: People362: Organization

389: Location

1000: Abstract

372: Group/party

1: Noun

Client

support

Back

office

Sign

detection


Deployment of Operation Automation Solution

ジョブA 承認ジョブジョブC

承認画面

メール

承認依頼

承認画面を表示

承認 / 否認を選択

承認者

人の作業を含めた作業フローを記述して自動実行

オペレータ

Follows a scenario to operate Windows

automatically

RBA tool

A tool used to define, execute, and

manage a regular operation process for

an operator or a system using a

workflow

RPA tool

A tool used to streamline/automate

mainly operator services by utilizing a

rule engine, machine learning, and AI

Reduce operational tasks using RBA and RPA tools

Client

support

Back

office

Sign

detection

Operator

Job AApproved

job Job C

Approval

request

Select Approve or

Refuse

Email

Approval

screen

Approver

Describe work

flow including

human work

and run

automatically

Display Approval

screen

Windows operation robot


Smart Alert Solution

Ave

rag

e b

loo

d p

res

su

re

Currently,

alert takes place

here for the first time

Acute hypotension

Septic shock

Hypoxemia

Monitors vital sensor

data full-time

Predicts a symptom and alerts if

medication or medical treatment

is required.

Develop a predictive model indicating whether the patient might

enter a critical condition after two hours or not.

Predicts status after

two hours

Detects a sign of a patient's deterioration in real time

Client

support

Back

office

Sign

detection


Air Traffic Flow Management

Multi-agent

Simulation

Performs what-if analysis

If the control area is changed・・・ If a method of runway operation is

changed・・・ If a runway is added・・・ If additional air lane is laid out・・・

etc.

Circling when traffic is

busy at the airport

Interval adjustment

with vectoring

Provides a field for sensitivity analysis and

bottleneck verification

Visualizes

Calculation

results

Reproduces a behavior of an aircraft in diversified scenarios and performs

operation verification

Client

support

Back

office

Sign

detection


IoT Focus Area

Se

cu

rity

ma

na

ge

me

nt

Application

Cloud

platform

NW

Device

Key Technologies

• Fast accumulation/access to large-

scale sensor data

• Functional collaboration between API

and device

Edge side

platformPla

tfo

rmComponents of

IoT Service

• Detection of unauthorized use of IoT

devices

• Blocking unauthorized IoT devices

• Edge computing

Support for large-scale data processing, edge computing,

and IoT security


Cloud

Edge

Vehicle's life log

Edge ComputingChanges processing dynamically

Edge Server

Connected Car

Edge computing to realize large-scale data processing


Our operations have been reinforced to leverage blockchain technology,

accelerating initiatives to co-innovate with clients and help transform

business in arenas such as trade finance

Co-Innovation

Promote PoCs (*) to which

Blockchain technology is applied.

15 cases including overseas have

been completed, and 20 cases are

ongoing

Consortium established with 13

companies representing each

industryContribute to more efficient business/shortened lead time

(*) Proof of Concept: Examination of a prototype system

Exporter Importer

Purchasing (notifying) bank Issuing bank

Blockchain

Network

Transportation and

customs-related companyInsurance company Import and export

authority

Blockchain utilization promotion team (consisting of 150

members)

Blockchain


Trend in Security Threats

Security threats are increasing and getting more sophisticated.

It is important to have countermeasures in place before incidents occur.

[Source] Status of reports and consultations regarding computer virus / unauthorized access [2nd Quarter (April – June) of FY2017]

（IPA）https://www.ipa.go.jp/security/txt/2017/q2outline.html

Ransomware-related attacks are on

rising

Attack by WannaCry

Recent trend

• From crime for pleasure

attack to

fraud and exploitation of

money, which is

utilitarian crime

• Attacks are

more sophisticated

than ever

• Increased attacks

targeting specific

companies or

organizations

Attack to

IoT devices

Invisible threat

Ransomware

Targeted attack

Unauthorized

remittance

SQL injection

Phishing scam

Exposure virus

Falsified Web pages

P2P epidemic

Spread of Web service

Spread of

InternetSpread of PCs

Jan.-Mar.

2017Apr.-Jun.

2017


Unauthorized Device Detection / Isolation Technologies

不正IoTデバイス

APサーバ

IoTデバイス

学習・検出サーバ

判定

機械学習検出ルール

判定結果によってアラート

通信ログ

正常通信ログ

Can easily support growing

number of IoT devices

Up-to-dateCan detect unknown attacks with machine

learning

Easy IntegrationBy simply adding a learning/detection server to a

system

Easy ConfigurationNo need to define detection rules because

communication is automatically learned

Detect and block threats by unauthorized access or malware infection

including unknown attacks to an IoT system

AP server

No

rma

l co

mm

unic

atio

n lo

g

Learning/detection

server

IoT device

Machine

learning

Co

mm

un

ication

lo

g

Detection rule

Judge

Unauthorized IoT device

Alert and block

by judgment

results

© 2017 NTT DATA Corporation

Documents

2017 NTT Data Business Briefing (Technology and …...Application Cloud platform NW Device Key Technologies •Fast accumulation/access to large-scale sensor data •Functional collaboration