Managing Unprecedented

Change with Business

Transformation

Sandy Hogan Vice President

Americas Business Transformation

May 16, 2012

Agenda

• Shifting Landscape

• Business Imperatives & Technology Transformations

• IT Implications

Shifting Landscape

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• By 2015, the amount of Internet content will be 540K

times the amount in 2003

• By 2015, 90% of content on Internet will be

video

• By 2020, 50B devices will be connected

to the Internet

• By 2015, 1M video minutes will traverse

Internet every second

• By 2020, 30% of all data will live in or pass

through the cloud

From Connectivity to Hyper Connectivity

Top Four CIO Technology Priorities

Technology

Priorities

Mobility

Big Data Cloud

Video

An IT Renaissance From the Server Room to the Boardroom

Systems Management

Cost Center

2000+ Architecting for Growth

Strategic Enabler

2013+

Technology Implementation

Building Systems

1990+

Top 10 Business Priorities for 2012 Reported by CIOs

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Business Priority

1. Increasing enterprise growth

2. Attracting and retaining new customers

3. Reducing enterprise costs

4. Creating new products and services

5. Delivering operational results

6. Improving efficiency

7. Improving profitability

8. Attracting and retaining workforce

9. Improving marketing and sales effectiveness

10. Expanding into new markets and geographies

Business Imperatives

and Technology

Transformations

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Business Imperatives Leveraging Cloud

Cloud • Accelerates data center

consolidation

• Reduce space allocations

and energy costs

• Interagency sharing, co-

location and virtualization

• Provides care-at-a distance

• Safety & security of patients

& staff

• Administrative & operational

efficiency

• Faster responsiveness to

market trends – pricing,

customer needs etc.

• Greater agility – “pop-up”

stores with cloud infrastructure

• Dynamic, real-time supply

chain and inventorying

• Reduce branch technology

complexity, cost & management

• Simplify IT & provide agility to

meet new business demands

• Reduce complexity across

mfg. operations

• Respond quickly to supply

chain disruptions

• Enable “valued” two-way

communication between

customer and manufacturer

Business Imperatives Leveraging Mobility

Mobility • Drive operational efficiencies

• Compliance with govt.

mandates

• Distance learning/elimination

of PCs

• Securing patient data

• Seamless patient/clinician

experience

• Faster clinical diagnosis

• Integrating mobile shopping

experience with online and

in-store

-- Omni-channel retailing

• “Advantaged” sales associates

• Drive customer loyalty via

digital rebates, coupons,

discounts

• On/off-line integration , multichannel

• Improve business processes

• Mobile trading

• Recruit and retain tech savvy

workforce

• Less expensive infrastructure

• Provide differentiated

products and service that

respond quickly to ever

changing

Business Imperatives Leveraging Big Data

Big Data • Reduce costs and improve

services

• Transform government and

deliver innovative services

for citizens

• Data center consolidation

• EMR and transition from

paper-based systems

• Improve outcomes with

better data

• Evidence –based medicine

• Web-site interactions, loyalty

card, POS data

• Real-time pricing

• Customer data security (PCI,

SOX, HIPAA)

• Model customer behaviors and credit worthiness

• Improve insurer risk management efforts

• Automated trading and market volatility

• Reduce costs and streamline

oil and gas exploration

• Track and manage utilities

consumption

• Adapting the supply chain to

events

Business Imperatives Leveraging Video

Video

• Enhance security while

protecting privacy

• Ensure collaboration and

performance between

multiple agencies

• Reduce travel costs –

interagency sharing

• Provide care-at-a-

distance/tele-health services

• Safety and security of

patients and staff

• Administrative

and operational efficiency

• Enhance customer experience

through digital signage, experts

on demand, etc.

• Improve training while reducing

costs

• Speed product development

cycle and supply chain

• Scale expertise to reduce costs and improve wallet share

• Deliver personalized customer service across multiple

channels

• Assimilate M&As and different cultures

• Real-time collaboration to

speed time to market

• Monitor production line to

improve uptime

• Improved safety and security

Business Driving Technology Budgets

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IT Budgets are Flat

Corporate Tech Budgets are

Up by 17-20% Source: July 13, 2011 Harvard Business Review – Ray Wang, Principal Analyst and CEO at Constellation Research Group.

Changing Dynamic

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“Business managers and employees see the increased value in IT (versus IT

departments) …the resulting dynamic will play out for the funding processes.”

Sources: Constellation Research Group ,Forrester, Gartner

“

.”

“There is no such thing as a pure IT project anymore. Whether

investments are more IT-intensive or less so, they are all business projects.”

Business and industry imperatives

driving IT budgets and projects

• Lack of business alignment make it

difficult to cost justify projects

• Allocation of budget and new

consumption models

IT transformation with focus on Mobility,

Cloud, Big Data and Video/Collaboration

• Business process implications

• Change management

• Analytics

Companies seeking growth opportunities

and sustained competitive advantage

• Technology alignment to the business

• Architectural planning

Implications for IT

Adjusting to Change

Business

Goals

Growth

Process

Risk

Market Trends

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Demand your vendors provide an

architectural strategy that makes your

IT investments smarter and tied to

business imperatives.

Q&A

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