Posts Tagged ‘sustainable’

Research Report: How The Five Pillars Of Consumer Tech Influence Enterprise Innovation

Most Enterprise Software Vendors Fail To Deliver Innovation

Despite hundreds of billions wasted on failed research and development projects, most market influencers would agree that enterprise software vendors have produced a dearth of innovation over the past decade.  Vendors often cite UI re-skins, major functionality additions, integration of acquisitions, technology re-platforms, and weak attempts at faking cloud computing as innovations.  In fact, let’s call it what it is.  Only a handful of enterprise software vendors have truly innovated.   Many enterprise software vendors are fast followers.  Most are innovation laggards living off fat maintenance revenue streams.  Ask any product strategist where they gain their inspiration and they will all cite advancements in consumer technology; and not peer enterprise competitors.

Innovative Enterprises Push Forward Mostly On Their Own

During this year’s Information Week 500 event, conversations with over 50 leading business technology leaders highlighted the growing gap in innovation.  These next gen leaders demonstrated how they were turning to consumer tech advancements to influence their custom development efforts; and/or seeking emerging vendors with innovative offerings.

For example, Bill Martin, the CIO of Royal Caribbean showed how design thinking coupled with real-time analytics and on-board mobility could improve the cruise experience on the largest ship ever built.  Shawn Kleim, Director of Development at WetSeal, provided proof points on mobility and social convergence in driving retail sales and eCommerce in the highly competitive teen apparel market.  Dave Bent, Senior VP of eBusiness services and CIO of United Stationers, proved how a company could deliver cloud services to partners and create competitive advantage across a value chain.

A number of CIO’s showcased how they were taking advantage of the cloud with SaaS apps and private clouds. Others discussed their efforts to optimize costs using third party maintenance to pay for innovation.  The common lessons learned – most did not expect to gain market advantage from their existing and legacy vendors.  Innovations came from the consumer tech side and next generation solution providers.  Consumer tech advancements influenced business driven technology advancements.

Software And Tech Vendors Rush To Incorporate The Five Pillars Of Consumer Tech

Ten elements drive key design points for next generation apps.  These design points showcase how advancements in consumer tech now permeate the enterprise.  Design thinking concepts drive dynamic user experiences, business process focus, and community connectedness.  Based on existing research, deep dives into major vendor road maps, and validation with clients, five pillars of consumer tech have emerged as the foundation for future inspiration in the enterprise (see Figure 1):

Figure 1.  Five Pillars Of Consumer Tech Will Influence Enterprise Software Throughout The Next Decade

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Event Report: Sapphire 2010 Brings Customers Back To A Sense Of Normalcy

(Credit: R “Ray” Wang, Insider Associates, LLC)

Co CEO’s Stabilize The Company

Both SAP Co-CEO’s Bill McDermott (Orlando) and Jim Hagemann Snabe (Frankfurt) took stage on May 18, 2010, in a simulcasted keynote.  While Bill highlighted SAP’s future vision and commitment to customers, Jim focused on communicating the SAP product strategy to match the corporate vision.  Customers, partners, and influencers sought an understanding of their road map 100 days into their jobs.  The two leaders demonstrated good synergy and gained confidence among the attendees.  In addition, CTO, Vishal Sikka took stage throughout many sessions and asserted his role as the key technologist.  Some of the main messages from the keynote include:

  • Articulating acquisition strategy in key themes.  Bill McDermott discussed three key themes for SAP: real time, unwired, and sustainable.  Each of the themes tied back to a changing shift in industry trends on business requirements and shifts in customer adoption.  Each of the themes reflected a revenue stream for SAP.  A global energy concern CIO expressed, “We’ve been waiting for SAP to get mobility to work.  We can’t wait to see mobile field service become a reality in our sustainability initiatives”

    Point of View (POV):
    While the themes accurately describe SAP’s direction, the crafting of this strategy seems reactive.  In fact, it appears that this strategy builds on past acquisition decisions not concerted proactive strategy.  The good news – each of these trends represents the hot issues of the day and have finally been articulated together.   For example, real time addresses Business Objects, unwired ties back to Sybase, and sustainable supports Clear Standards.  Despite whether the strategy makes sense reactively or proactively, it does set the future direction for SAP.
  • Providing choice in deployment options.  SAP plans to offer customers choice in on-premise, on-demand, and on-device.  On-premise remains the same with new enhancement packs (EhP) adding additional capabilities.  On-demand offers both a suite offering in Business By Design (ByD) and point solutions in the On-demand offerings.  On-device will include the Sybase capabilities such as mobile CRM.  The ERP director of a large high tech manufacturer noted, “We’ll be deploying a two-tier ERP strategy for subsidiaries and SAP now makes the short-list with ByD”
    POV:
    Jim Hagemann Snabe’s demonstration of Sales On Demand through the iPad highlights the convergence customers face going forward.  Choices in deployment options and platforms will guide customers on what to buy from SAP.   Users may face SAP to SAP scenarios, SAP to heterogeneous SaaS environments and complex hybrid deployments. For SAP on-premise to SAP on-demand scenarios, users will find a dependency requiring an upgrade to EhP 5 for more seamless integrations.  Others will turn to SaaS integration players such as Boomi, Informatica, SnapLogic, and Pervasive. More…