Welcome to the End of Business as Usual by pW9tEG9T

VIEWS: 0 PAGES: 34

									Welcome to the End of Business as Usual!
Changing the Game
Enterprise 2.0; A new generation of Business Solutions & MashUps
Andy Mulholland - Global Chief Technology Officer
- Capgemini
The uneasy feeling that its ‘not business as usual’…..

       Increasing business
                                                                 Generation Y
     competition, globalization,
                                                            for whom technology
 standardization, commoditization,
                                                             is a normal life skill
  amount of information & change




                                                   Convergence of communications,
                                                     content, media, games, and
                                                     devices at home and at work




        New competitors,                               Technology acceleration of
        new markets, and                                Internet, Web 2.0, SOA,
          new products                                  Semantics, Knowledge,
                                                      and many other technologies



                                         Welcome to the end of Business as usual      1
                                         Andy Mulholland 2006
An new type of technology has been added


The                             World
Consumer
Internet
               The Internet     Wide Web                     Web 2.0            ?

Enterprise                      nTier &                      Service
Systems
Architecture
               Client Server    Components                   Oriented           ?

Enterprise                      CIF & Data                   Metadata,
               RDBMS &
Data
Management     Data Modelling   W’housing & BI               BAM & CPM          ?

                                      Welcome to the end of Business as usual       2
                                      Andy Mulholland 2006
This presentation is about

        The question?
        What is linked and how to create Business value


        • People
        • Business Models
        • Web 2.0

        And the result
        • Enterprise 2.0



                                      Welcome to the end of Business as usual   3
                                      Andy Mulholland 2006
The role of People as a catalyst for change
Pronounced shifts in Expectations and capabilities
Users, and increasingly, consumers create (technology) markets

                                                                           Web 2.0 &
              I can work better!                                          Interactions
                                                         Web 1.0
              Therefore I choose                         & Content
              to adopt this
                                         Smart Phone
                                          & eMail etc
                           Cell Phone
                            & Texting
                PDA &
               Calendar                                            Decision Support
   PC &
Spreadsheet                                  Business Intelligence

                               Functional Apps
                                                              The Business
               Office Suites                                  can save money!



        Client-Server              ERP          Knowledge Mgt                  SOA

                                                   Welcome to the end of Business as usual   5
                                                   Andy Mulholland 2006
Welcome to the End of Business as Usual !



                                            Percentage of technology-literate
                                                  at work and as consumers



      Percentage of non-technology
      literate at work and as consumers

         Business                                                New business
          as usual                                                  models
                                 Inflection point
                           Depends on Market & Industry


          The demographics change in consumers and the workforce alone
                       mean businesses have to change



                                              Welcome to the end of Business as usual   6
                                              Andy Mulholland 2006
Some examples of markets where it’s no longer “Business as Usual”




Travel Agents   Books & Retail   Retail                Airlines              Music




           These markets are being affected by dominance
              of “Generation Y” consumers and workers


                                          Welcome to the end of Business as usual    7
                                          Andy Mulholland 2006
Analyzing the Game Changing Businesses
What common traits exist in their Business Models?
And use of Technology?
A Web 2.0 Business – www.threadless.com




                                    Welcome to the end of Business as usual   9
                                    Andy Mulholland 2006
The Web 2.0 Community in cars – www.scion.com




                                    Welcome to the end of Business as usual   10
                                    Andy Mulholland 2006
Tesco rethinks the issue of Physical vs Virtual location




                                  Vs




                                         Welcome to the end of Business as usual   11
                                         Andy Mulholland 2006
The unique environment of Secondlife.com




                                     Welcome to the end of Business as usual   12
                                     Andy Mulholland 2006
The common feature is the “Long Tail” of markets

                   “Pushing” defined products to
                       a well defined market

                                   “Self Service” product creation
                                        “pulled” by individuals




Traditional Airline           Low Cost Airline                       Enlarged Market!
• Destination Centric         • Passenger Centric                    • New categories
• Fixed “offers”              • Destination/Price/Time               • Time/price = ?




                                                   Welcome to the end of Business as usual   13
                                                   Andy Mulholland 2006
The common traits in Business Game Change examples

   New        Amazon leads with the most popular items responding to external demand
    Old       Barnes and Noble leads with its internally defined offers

   Right      eBay allows external demand to create new markets and indexes
  Wrong       CommerceOne failed as it defined the markets that it would make available

  Aware       Google business model continuously improves, people explore for the new

 Adaptive     Traditional Software business model depends on set upgrade offers periodically


              Second Life participants create over 7 m lines of code a week to improve
 Innovative   environment
  & Money     1st Dec; 456 people earn over $500; 29 over $5000; 2 over $25000. Every month!
   Making     About 500,000 Chinese work in “gold farms” creating superior players. And
              selling them.




                                                       Welcome to the end of Business as usual   14
                                                       Andy Mulholland 2006
Web 2.0 the new technology in the game
People driven and People centric technology
Redefining how we do things
What is Web 2.0?

 Mostly it is used as a concept defining a people-centric web-based world

          Web 1.0 = Content                        Web 2.0 = Contacts or Community



• Tim O’Reilly coined the term in 2004             • End of the Software release cycle
  and then provided the first definition               – Continuous editing, extending and
  in Sept 2005                                           experimenting
• The Web as a platform                            • Lightweight programming models
    – A technology platform to support new             – Every one can take part
      functionality
                                                   • Software above the level of a single device
• Harnessing collective intelligence                   – Community-centric
    – The concept of “contacts”                    • Rich user experiences
• Data as the next “Intel inside”                      – The way I want to see things
    – Data becomes the basis for standardization
      and not the processor design


                                                         Welcome to the end of Business as usual   16
                                                         Andy Mulholland 2006
What else makes up Web 2.0? The O’Reilly Meme Map
          Tagging not               Page Ranking                   Participation           Decentralization
           Taxonomy                  User reviews                 not publishing           & the Long Tail
          eg; del.icio.us        eg; Amazon Reviews               eg; BlogSphere            eg; BitTorrent

               Rich User                         User Self Service                       Trust and
              Experience                        eg; Google AdSense                       Reputation
            eg; GoogleMaps                                                              eg; WiKipedia


                                  Strategic Positioning         User Positioning
                                  The Web as                   You control your own
                                  a platform                           data/content
                                                  Competencies
                                           Services not packaged software
    An Attitude                              Architecture of participation                   Trust and empower
                                               Cost effective scalability
  not Technology                                                                                 Your Users
                                     Remixable data sources and transformations
                                      Software above the level of a single device
    Addresses the                                                                            Small Pieces
                                          Harnessing collective intelligence
     “Long Tail”                                                                            Loosely coupled

      Data as the new                                                                         Rich User
                             The perpetual     Encourage         Software improved
      “Intel inside” std                                                                     experience
                                 beta             Play               by use(rs)
       Open to permit              Remix at will                 User behaviour              Granular
        “hackability”           Some rights reserved            Not predetermined            Content


                                                                 Welcome to the end of Business as usual      17
                                                                 Andy Mulholland 2006
Web 1.0 to Web 2.0: Publishing or Participation?

              The new Middleman (as opposed to Middleware):

        Communication-
      oriented, providing a              Benefits from viral                     Hyperlinked by
    platform for exploitation           marketing completely                    users bound into
          as opposed to                replacing conventional                  the structure of the
                                             marketing                            existing Web
        Content-oriented,
         with protection                    Driven by users                    to continue to create
       against exploitation                recommendations                        organic growth



                                                          Valued in direct
                       Able to harness the
                                                          proportion to the
                     “long tail” through self-
                                                        scale and dynamism
                             service
                                                             of the data
                     the service gets better the
                        more people use it,           helps to assemble, create,
                           automatically                     manage, etc.




                                                        Welcome to the end of Business as usual        18
                                                        Andy Mulholland 2006
Tagging and Folksonomies

People-Oriented content management
A keyword associated with a piece of content such as an article, a picture or video clip that
is assigned by a user in a manner that makes it relevant to the use of the content.

Benefits
• Decentralized and user-driven versus conventional
  centralized taxonomies
• The same content can be multiple-tagged by different
  users according to their interest
• Example:

 Big Ben, London, River Thames, Sunset, ??

• A Blog may list keywords and this enables a reader to
  find all content indexed to that keyword
• Dynamic change is added to the list automatically and
  individual content may have further tags added



                                                       Welcome to the end of Business as usual   19
                                                       Andy Mulholland 2006
Two Game-Changing Technologies: AJAX & RSS

AJAX – an innovation in assembly                              RSS – innovating the dynamic Web
Asynchronous JavaScript And XML                               Rich Simple Syndication

•   Standards-based presentation - XHTML & CSS                •   Or Netscape Rich Site Summary of 1998
•   Dynamic display/interaction – Doc Object Mode             •   Devised as a simple extension to “linked” pages
•   Data interchange & manipulation XML & XSLT                •   Linked pages work for “static” content Web 1.0
•   Asynchronous data retrieval - XMLHttpReqest               •   Web 2.0 is based on “dynamic” changing interactions
•   Java Script as the binder for every thing                 •   Designed to automate advice of a page change

•   Formally proposed in Feb 2005 – Jesse James Garrett       •   Came into its own with the advent of Blogs
•   Based on standard elements in current browsers            •   Example personal web page        MySpace or Blog
•   Now possible to have a simple solution                    •   Wikipedia is collective Blogging and Wisedom
•   Old problem; 1996 – IFRAME, 1997 – Netscape 4 Layer…etc   •   Part of the new “reputation” = “trust” emerging model

• Being used for “user” MashUp toolkits; Google Earth, …      • Aids People and experience centric interaction




             MashUps                            Web 2.0                                      Blogging



                                                                    Welcome to the end of Business as usual        20
                                                                    Andy Mulholland 2006
And a “new” architectural style: REST

           REST – an architectural style for distributed hypermedia systems
                         Representational State Transfer
 Representational State Transfer is intended to evoke an image of how a well-designed
 Web application behaves: a network of web pages (a virtual state-machine), where the
 user progresses through an application by selecting links (state transitions), resulting in
 the next page (representing the next state of the application) being transferred to the
 user and rendered for their use.
                                                                            Quote; Dr. Roy Fielding,
             Architectural Styles and the Design of Network-based Software Architectures – 2000 paper


Principles                                                        Acceptability
• Application state and functionality divided into resources      • Enthusiasts claim REST to be eminently
• Every resource uniquely addressable by a universal syntax         suitable for the network-based, browser-
  for use in Hypermedia links                                       operated systems that are the basis of the
                                                                    new world
• All resources share a uniform interface for the transfer of
  state between client and resource consisting of;                • Detractors say there is a lack of proof in
                                                                    large scale deployment and the lack of
     – constrained set of well defined operations                   tools leads to inconsistencies in
     – constrained set of content types                             deployments that reduce the claimed
• A protocol that is;                                               benefit of standardization
     – Client/Server; Stateless; Cacheable; layered


                                                                Welcome to the end of Business as usual          21
                                                                Andy Mulholland 2006
MashUps – the Business Game-Changer

           Delivering Web 2.0 business possibilities with AJAX, RSS, etc

  A MashUp is:
  A website or web application that seamlessly combines content from more
  than one source into an integrated experience.
                                                                  From Wikipedia, the free encyclopedia



• Google is a key “pusher” and provider with its Google Maps and AJAX tools
• www.housingmaps.com is general referenced as the “model” that started MashUps
• User level “programming” is possible for “self-service” use of MashUps (compare with spreadsheets)
• Corporate level can be extremely complex and sophisticated use of wide ranging information
• Innovation in “assembly” is the real Intellectual Property and not the content
• Customers can be offered the use of your information through tools etc to make you a platform
• Think external “syndication” as opposed to internal “co-ordination” for organic growth
• eg; a Retail Bank can offer a platform MashUp for users to develop their financial self services


                                                              Welcome to the end of Business as usual     22
                                                              Andy Mulholland 2006
MashUp – www.housingmaps.com




                               Welcome to the end of Business as usual   23
                               Andy Mulholland 2006
Techno Business Models
Transformation of the Business and IT structures
to support a radically different Business
The intruders into our application ‘stack’


                              Users are drawn to
                               Communities for
                              Collaboration and                      Google
                               Communication



                                                                    Open Source
                                     Process

           Procedure          SOA based processes                      SAP
                             breaking up tight coupled
              Data                 architecture                       Oracle




                                             Welcome to the end of Business as usual   25
                                             Andy Mulholland 2006
A need to evolve the traditional model for IT in the Business


       New “Front Office”
      People, using content                                       •       Business Innovative
                                   Web 2.0 &                      •       Value Focused
   Communication & Collaboration
                                    SOA as a
                                   mechanism                      •       Interactive Technology enabled
                                   to interact                    •       Line of Business Manager driven

People and Services
Interactions
                             Open Standards connecting
                               organizations together
Book to Bill
Data Centric
Transactions
                                     SOA as a                         •    Compliance and Evolution
                                    mechanism                         •    Value Justified
    “Back Office” systems           to transact
                                                                      •    IT Delivered
                                                                      •    CFO and CIO driven




                                                     Welcome to the end of Business as usual           26
                                                     Andy Mulholland 2006
A need to evolve the traditional model for IT in the Business


       New “Front Office”
      People, using content                                       •    Business Innovative
                                   Web 2.0 &                      •    Value Focused
   Communication & Collaboration
                                    SOA as a
                                                                  •             Existing applications
                                                                       Interactive Technology enabled
                                   mechanism
                                   to interact                    •              as well as new driven
                                                                       Line of Business Manager style
                                                                                  Services are all
People and Services                                                              exposed through
Interactions
                                                                                 a common set of
                             Open Standards connecting                           standards that are
                               organizations together                                based on both
Book to Bill
                                                                                    industry/sector
Data Centric
                                                                                business standards
Transactions
                                                                               as well as actual or
                                     SOA as a                                   defacto Technology
                                                                      • Compliance and Evolution
                                    mechanism                         • Value JustifiedStandards
    “Back Office” systems           to transact
                                                                      • IT Delivered
                                                                      • CFO and CIO driven




                                                     Welcome to the end of Business as usual        27
                                                     Andy Mulholland 2006
 Governance and Management of the ‘Diamond’ by the ‘Crown’

  Pressure for
Business Change                  Personalize
                  An Individual’s use of the capabilities of Web 2.0


                                 Differentiate
                   A Business Manager’s Customizable Solution


                                   Organize
                  The use of SOA to achieve cohesive executions


                                    Comply
       The Enterprise Transactions and Data; ERP and Legacy Applications
                                                                                Pressure for
                     Who Needs What? And Why?                                    IT Stability

                                                Welcome to the end of Business as usual   28
                                                Andy Mulholland 2006
Business Process ‘down’ versus Technology Procedure ‘up’


                               Personalize
                An Individual’s use of the capabilities of Web 2.0
                                                                     Accelerated Solution
                                                                     Environment Around
                               Differentiate                          IT Considerations
                 A Business Manager’s Customizable Solution
    RAIN

                                 Organize                                       ASE
                 The use of SOA to achieve cohesive executions
Rapid Innovation
Around Business
Process Design                    Comply
       The Enterprise Transactions and Data; ERP and Legacy Applications


                      An importance difference!
                                              Welcome to the end of Business as usual   29
                                              Andy Mulholland 2006
‘Organise’ requires a new environment


                     Personalize
   An Individual’s use of the capabilities of Web 2.0


Business Process
                  
                 Differentiate
Defined and Driven
    A Business Manager’s Customizable Solution                  Service Oriented Business

                                                                Service Oriented Architecture
                      Organize
   The use of SOA to achieve cohesive executions
                                                               Service Oriented Infrastructure


                      Comply
        The Enterprise Transactional Procedure
                       Transactions and Data;
             ERP and Defined and Driven
                       Legacy Applications
                         Organise is the new IT role
                                                        Welcome to the end of Business as usual   30
                                                        Andy Mulholland 2006
 Provisioning Software: Aligning the five possibilities
                                           What is   Where                              Nature of                    Type of                  Expenditure
              Value Proposition                                                                                                                                            Agility
                                           provided? provided?                          relationship                 expenditure              elements
              Designed as a utility                                                     Client buys a service on a   Pay as you use”; no      Initial service deployment   Designed as a
                                                           Delivered on site via the
              service for web delivery     Hosted set of                                utility basis with no        long term commitment;    charge with on going user    highly
SaaS          with all elements provided   Services
                                                           Web using a standard
                                                                                        expectation of individual    often no minimum         based subscription           configurable
                                                           Browser as a client
              by the SaaS operator                                                      service elements             notice period            charge                       Application

                                                                                                                     “Pay as you use”                                      Customized
              Service Provider of 3rd                      Delivered to user via        Client rents or leases use                            Subscription for license
                                                                                                                     generally with no long                                deployment but
              party remote-access        A hosted          local client software from   of 3rd party software                                 use plus charging for
ASP           software generally via Web application       a remote hosted              running at the ASP’s
                                                                                                                     term commitment but
                                                                                                                                              number of users and
                                                                                                                                                                           limited
                                                                                                                     with a minimum notice                                 application
              from a hosted facility                       environment                  remote hosting site                                   amount of use
                                                                                                                     period                                                flexibility

                                                                                        Client generally buys in
              External Service Provider                                                                                                       Software License and
                                                           Delivered on site but        3rd party software (may be Periodic payments
Managed       that continuously manages Customized
                                                           could be provided by         internally developed) and against a multi-year
                                                                                                                                              upgrades; maintenance;       Customized
Service       & supports software for   Services                                                                                              hardware; managed            solution
                                                           on/off site resources        separately contract with an agreement
              which it is contracted                                                                                                          service fees
                                                                                        external service provider

                                                                                        Client contracts with
              External Provider                                                                                      Long term fixed          In addition to fixed cost
                                                           Internal/External            external service provider
              responsible for specific                                                                               contract with periodic   and payment, can be
                                         A Customized      Resources on/off site,       on basis of everything                                                             Generally fully
BPO           Business functions like HR
                                         Service           specific to supporting the   required to ensure
                                                                                                                     payments on a fixed      shared risk-reward to
                                                                                                                                                                           customizable
              or Financials & linked                                                                                 cost over 3 or more      Improve performance or
                                                           process                      business functionality is
              technical functions                                                                                    years                    reduce costs
                                                                                        maintained

                                                                                                                                            Software License;
                                                                                        Customer – Vendor with       Capital intensive
              Software vendor product                      On premise software;                                                             implementation;
                                                                                        high degree of “lock-in”     investment with annual                           Limited within the
Traditional   that bundles required        A Product       deployment as part of
                                                                                        and commitment from the      license cost and
                                                                                                                                            integration; maintenance;
                                                                                                                                                                      package
              functionality into a package                 client IT estate                                                                 hardware, training;
                                                                                        customer                     upgrade investments
                                                                                                                                            support.



                                                                                                       Welcome to the end of Business as usual                                      31
                                                                                                       Andy Mulholland 2006
The End of Business as usual?
Or the time to change your game to a better one?
Summary
Summary

People, Communities and Ecosystems
•   An entire generation now has a different set of capabilities and expectations
•   They represent a wholly different and growing market around “uniqueness” thru “self-service”
•   Successful new-wave businesses are “aware” through using technology to facilitate communities
•   They aim to allow communities to create their products for them and to “market” them
•   Success lies in the ability to “adapt” rapidly and deliver through their own ecosystem community

Products may be virtual and experiences as well or before being physical
• New “products” are created by consumers “mashing up” the elements to give them their “product”
• The “long tail” market is now accessible without the traditional cost penalty
• Smart behaviour is to offer the platform on which others will base their own offers

Technology is not just SOA, its Web 2.0 leading to Enterprise 2.0
•   Its difficult to separate the new wave business from technology – they are synonymous
•   Traditional “transactional” IT is still required as well as the new “services” technology
•   Open Standards and Open Source are the vital connecting points to everything
•   People create and solve “exceptions” as opportunities
•   SOA provides the Business with the process orchestration to handle this

     The Pace of change is accelerating and Competition is intensifying!
                                                                 Welcome to the end of Business as usual   33
                                                                 Andy Mulholland 2006

								
To top