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SaaS – Kokemuksiamuutoksesta softan tekijästä

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Service Break Thru

Laurie Young in book “ From Products to Services” :

“Although many consumer businesses, like McDonald’s and Wal-Mart are, for example, highly complex, they keep that complexity inside their business and make it simple for their customer to use them. By complete contrast, many IT companies have let their complexity fall straight through to their customers who have had to pay extra to manage their ‘platforms’ or ‘infrastructures’. The integrators and outsourcers have, as a result built up multimillion dollar business by managing this complexity. … With the

© 2009 i2 Technologies, Inc. CONFIDENTIAL 22

up multimillion dollar business by managing this complexity. … With the personal PC, the Ipod and the Blackberry, the technology industries have shown that they can, at last, marshal design, investment and marketing to create real value propositions. If the same can be done in some business infrastructure markets, service businesses and revenues will wither .”

i2: Oracle 11G, Java 1.5, Windows 64bit server OS, Weblogic 10, Python, Web Server, Load Balancer, FTP/AS2 service, Email Service, Firewalls, Server Hardware (recommended CPUs, mem), Page caching, 24*7 Administration tools: Site Scope, TeaLeaf, Omniture, Performance Monitor, Data and availability testing: LISA (LoadRunner), ISS XML data load interfaces, ISS XML real time integration interfaces, Job Scheduler, ISS Data model for reporting, File structure for content integration and customization, ISS resource utilization pattern – scalability plan, nightly recycling, …

About i2Business Profile (NASDAQ: ITWO)

FINANCIALLY STRONGFINANCIALLY STRONG

■■ $256 $256 M M in Revenue (2008)in Revenue (2008)

■■ $27 $27 M M Profit (2008)Profit (2008)

■■ $244 $244 M M in Cash (2008)in Cash (2008)

SOLUTIONSSOLUTIONS

■■ Supply ChainSupply Chain

■■ RetailRetail

■■ TransportationTransportation

■■ ProcurementProcurement

ee--CommerceCommerce


■■ 1,200 1,200 employeesemployees

■■ MultiMulti--shore delivery capabilityshore delivery capability

■■ 800 employees with advanced degrees800 employees with advanced degrees

■■ 162 patents, 141 pending162 patents, 141 pending

STRONG CAPABILITIESSTRONG CAPABILITIES GLOBAL PRESENCEGLOBAL PRESENCE

AmericasAmericas

60%60%EMEAEMEA

20%20%APACAPAC

20%20%

■■ ee--CommerceCommerce

i2 Intelligent Selling Solution Made in Ulvila, Finland

MANAGEMENTMANAGEMENT

Internal and Internal and external external

administration.administration.

SALES TOOLSSALES TOOLS

Internal and Internal and external sales external sales

forces.forces.


i2ECOMMERCEECOMMERCE

Public and Public and Private Sites.Private Sites.

DATADATA

Global product Global product and transaction and transaction data repository.data repository.

i2 Intelligent Selling SolutionComponents

CommerceCommerceUI FrameworkUI Framework

CatalogCatalogManagementManagement

PricePriceManagementManagement

ConfigurationConfigurationManagementManagement

MerchandisingMerchandising ProfileProfile SiteSite

Web IntegrationWeb Integrationand B2B Punchand B2B Punch--outsouts

• Trending, ratings and reviews, chats, forums• Ariba, SAP, Oracle, etc.

• Layout, containers, mashups, • i18n, localization, workflow rule engine, …

• Products• Facets• Categories

• Attributes• Bundles• Solutions

• List prices • Promotions• eCoupons

• Closing tools• Change approvals• Analytics

• Rules• Models• Versions

• Classes• Attributes• UI rules

© 2009 i2 Technologies, Inc. CONFIDENTIAL 55i2 Platformi2 Platform

MerchandisingMerchandisingManagementManagement

ProfileProfileManagementManagement

SiteSiteManagementManagement

Master and LegacyMaster and LegacyData IntegrationData Integration

Cart and OrderCart and OrderManagementManagement

WorkflowWorkflowManagementManagement

CheckCheck--out and Order out and Order History ManagementHistory Management

CampaignCampaignManagementManagement

ContractContractManagementManagement

SalesSalesManagementManagement

• Promotions • Personalization• Solution sales

• Landing pages • Personas• Highlighting

• My account• Addresses• Password mgmt

• Registrations• Approvals• Communication pref.

• Site setup• Home page• Gatekeepers

• Product rules• Content• Access rules

• Shopping cart• Order• Quote

• Wish list• Shared carts• Order approval

• Static content• Dynamic content• Page Caching

• Rules• Data mapping• Breadcrumb

• Payment • Taxes• Invoicing

• Shipping• Order Status• Order History

• Knowledge base• Query builder• eMail lists

• Emailing• Personal eCoupon

creation

• Contract prices• Contract validity• Product validity

• Contract priorities• One item, multiple prices

• Quotes• Telesales• Internal sales

• Special bid• Spot pricing• Special products

• i2 Master Data Management solution• Data aggregation, cleansing, merging

• Application Framework and Platform• Web Service Framework, Data Access Layers

Key Customers

� Lenovo: www.lenovo.com

� Caterpillar: www.cat.com build and quote

� Toshiba, Payless Shoe Source, …

� Finland:

� Nokia


� Nokia

� Nokia-Siemens

� Metso

� Norpe

� Moventas

Case LenovoLargest ISS Customer Implementation Ever

� Lenovo

� $10+ B global PC manufacturer, 4th largest

� Lenovo China, bought IBM’s PC business (ThinkPad) to form a global PC company with roughly 27,000 employees across 60 countries

� Lenovo is particularly strong in the China market with rough market share of 40% in the PC business and a portfolio of products that includes popular CE products

� Lenovo is a true example of a new economy global company.

� Major strategic project to develop new global comme rce platform, to turn Lenovo


� Major strategic project to develop new global comme rce platform, to turn Lenovo more consumer oriented and provide CTO (Configure t o Order) for all channels (web direct, indirect, B2B).

� Business Transformation

� From traditional business model to CTO (on-line Configure to Order)

� New direct countries world wide

Project Challenge Presented to us on 2006

� Can you do this:

� First country live in 4.5 months (US direct)

� Including some private sites for large Universities

� Help Lenovo to adopt CTO business model

� Based on Lenovo UI & Workflow design

� Without help from Lenovo IT department


� Low cost system

� Analyze of earlier projects:

� Not possible! In 12 months yes maybe, but not in 4.5

� What are the rules we need to break?

� Knowledge Transfer takes lot of time (all the 3rd parties, technologies, etc…)

� Requirements specification and testing together in traditional projects has taken 3+3 months, how to do both without extending project at all?

� We can run but can the customer follow?

� We know what to do but can we scale the team?

New Rules

� Hosted system form i2 network, not implemented to c ustomer.

� i2 will administer the system, developers will be g ranted direct access to the hosting environment.

� Work in Progress visible for customer from day one, from hosting environment.

Direct communication between developer and customer business


� Direct communication between developer and customer business users (by passing customer IT folks).

� Testing outsourced to test software vendor (iTKO).

� No specs, discussions, white boarding, short feed b ack loops.

� Reserve capacity to improve low cost runnability of the system.

Single InstanceManagement of Complexity

Multiple Channels

LanguagesLanguagesCurrenciesCurrencies

VAT VAT PoliciesPolicies

Address policiesAddress policies

Time ZonesTime Zones

All ContinentsAll Continents

24x7x365 24x7x365 operationsoperationsThousands of Thousands of Unique SitesUnique Sites


Multiple Channels

Multiple different workflows, Portals and mode of operations.

Multiple different integration points to data loads, orders and payment services.

Site ExampleCustomized Experience

�� Name: ACME Ltd.Name: ACME Ltd.

�� Unique URLUnique URL : : www.ccc.com/ACMEwww.ccc.com/ACMEMultiple Channels

SITESITE


ACME ACME jpjp SiteSite

LE B2B

�� Unique URLUnique URL : : www.ccc.com/ACMEwww.ccc.com/ACME

�� Region: JapanRegion: Japan, , countrycountry-- specific rulesspecific rules

�� Channel: “LE Channel: “LE B2B”, Large Enterprise B2B”, Large Enterprise

supporting B2B punch out to supporting B2B punch out to ARIBA/SAPARIBA/SAP

�� Integration: AP BackIntegration: AP Back--end for end for both data (batch) both data (batch)

and order and order ((realreal--timetime))

�� Other 250+ Other 250+ attributes defining attributes defining site functionality, site functionality,

such as: such as: address layout, contracts used, address layout, contracts used,

currencies used, site specific overrides for currencies used, site specific overrides for

resource bundle entries or properties, content resource bundle entries or properties, content

on home page, products and prices, filtering on home page, products and prices, filtering

rules for productsrules for products, …, …

Multiple Channels

Integration to Leading Third-PartyWeb Services

Online Web Trending and business optimization

Microsoft’s FAST Enterprise Search

Online service to incorporate community content

Transaction tax management

Search Search FASTFAST

Trending Trending OmnitureOmniture

www.omniture.com

Review & Ratings Review & Ratings BazaarvoiceBazaarvoice

TaxesTaxesSabrixSabrix

http://www.sabrix.com/


Optimizing the layout of the page based on user activity

Credit Card Payments

Web payment system

http://www.microsoft

.com/enterprisesear

ch/en/us/Fast.aspx

www.bazaarvoice.com

Page Optimization Page Optimization OptimostOptimost

www.optimost.com

Payments Payments PaymetricsPaymetrics

www.paymetric.com

Payments Payments PaypalPaypal

https://www.paypal.com

Content MgmtContent MgmtInterwovenInterwoven

http://www.interwoven.comhttp://www.interwoven.com

Process with Content Management system

Case LenovoMarket Acceptance

� Results:

� Before: Consumer Reports ranked Lenovo web site 10th out of 10 PC manufacturer web sites in 2005

� After: Consumer Reports ranked Lenovo web site 2nd out of 10 PC manufacturer web sites in 2007; just Apple was ahead, Dell was third.

� US-direct sales revenue multiple by factor n


by factor n

� CA revenue pumped up2x when CTO was introduced

� Configuration change introduction took 6 weeks on the old model, 2 days with the new.

� First time Lenovo was capable of offering CTO upgrades for B2B customers

� New site creation in hours, not days.

Average order value increased noticeably

AOV increased by anywhere from 10-15%

Conversion increased dramatically

Conversion and before and after improved by >30%. With highs improving to record highs

Overall sales run-rate improved tremendously

Corrected for seasonality, revenue run rates were higher between 30 -

Case Lenovo Results After the First Month Live

Stickiness

Average time per page per

visit

Revenue

Average daily sales

Conversion

% people buying

Average Order Value

Pre Post

10-15%

~ 30%

30-50%

~ 25%


run rates were higher between 30 -50%

Stickiness improved significantly

Average time per page per customer went up by >25%.

Higher stickiness over time contributes to better conversion

CTO Order Serviceability(3,546 orders from 11/18 go-live to 12/10)

0%10%20%30%40%50%60%70%80%90%

100%

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15

Order-to-ship (days)

Cum

ulat

ive

% o

f Ord

ers

Why Were We Successful?

� Hosting:

� No time for knowledge transfer, quick start, no negotiation of hardware or 3rd party components needed, no need to wait customer resources to be available, direct internal information flow from developers to administrators.

� Managed service:

� People who already knew the product did train end-users, no time wasted on knowledge transfer. Shorter process.


knowledge transfer. Shorter process.

� Agile Development:

� Fast feedback for features.

� Test automation:

� Enables fast bug fixing and fix delivery without time consuming manual regression testing.

� Distance between problem and solvers:

� Developers could see the production problems from their own computers.

� Low cost Runnability:

� Developers see it better how to make it easier to run the system.

Future

� (Enterprise) software will be 80% service based in 10 years.

� Maintenance revenue -> service revenue


Documents

i2 Saas kokemuksia - Prizztech Oy Prizztech...SaaS – Kokemuksia ... Oracle 11G, Java 1.5, Windows 64bit server OS, Weblogic 10, Python, Web Server, ... Sabrix