Forrester continues to see ever-increasing levels of interest in and adoption of business intelligence (BI) platforms, applications, and processes. But while BI maturity in enterprises continues to grow, and BI tools have become more function-rich and robust, the promise of efficient and effective BI solutions remains challenging at best and elusive at worst. Why? Two main reasons: First, BI is all about best practices and lessons learned, which only come with years of experience; and second, earlier-generation BI approaches cannot easily keep up with ever-changing business and regulatory requirements. In the attached research document, Forrester reviews the top best practices for BI and predicts what the next-generation BI technologies will be. We summarize all of this in a single über-trend and best practice: agility. IT and business pros should adopt Agile BI processes, technologies, and architectures to improve their chances of delivering successful BI initiatives.
Business intelligence (BI) software has emerged as a hot topic in the past few years; in 2011, most companies will again focus their software investment plans on BI. More than 49% of the companies that responded to our most recent Forrsights Software Survey have concrete plans to implement or expand their use of BI software within the next 24 months. But being interested in BI software and spending money to adopt BI tools and processes do not necessarily translate into successful implementations: Forrester’s most recent BI maturity survey indicated that enterprise BI maturity levels are still below average (2.75 on a scale of 5, a modest 6% increase over 2009). Why are BI maturity levels so low, given the amount of money firms spend on it? Three factors contribute to this rift and can lead to less-than-successful BI initiatives:
Implementing BI requires using best practices and building upon lessons learned.
As a follow-up to my blog post yesterday, there’s another area that’s worth noting in the resurgence of interest in BC preparedness, and that’s standards. For a long time, we’ve had a multitude of both industry and government standards on BCM management including Australian Standards BCP Guidelines, Singapore Standard for Business Continuity / Disaster Recovery Service Providers (which became much of the foundation for ISO 24762 IT Disaster Recovery), FFIEC BCP Handbook, NIST Contingency Planning Guide, NFPA 1600, BS 25999 (which will become much of the foundation for the soon to be released ISO 22301), ISO 27031, etc. There are also standards in other domains that touch on BC, security standards like ISO 27001/27002.
And when you come down to it, several of the broad risk management standards like ISO 31000 are applicable. At the end of the day, the same risk management disciplines underpin BC, DR, security and enterprise risk management. You conduct a BIA, risk assessment, then either accept, transfer or mitigate the risk, develop contingency plans, and make sure to keep the plans up to date and tested.
In my most recent research into various BCM software vendors and BC consultancies, as well as input from Forrester clients, BS 25999 seems to be the standard with the most interest and adoption. In the US at least, part of this I attribute to the fact that BS 25999 is now one of the recognized standards for US Department of Homeland Security’s Voluntary Private Sector Preparedness Accreditation and Certification Program. The other standards are NFPA 1600 and ASIS SPC.1-2009. I’ve heard very few Forrester clients mention the latter as their standard.
During the last 12 to 18 months, there have been a number of notable natural catastrophes and weather related events. Devastating earthquakes hit Haiti, Chile, China, New Zealand, and Japan. Monsoon floods killed thousands in Pakistan, and a series of floods forced the evacuation of thousands from Queensland. And of course, there was the completely unusual, when for example, ash from the erupting Eyjafjallajökull volcano in Iceland forced the shutdown of much of Western Europe’s airspace. These high profile events, together with greater awareness and increased regulation, have renewed interest in improving business continuity and disaster recovery preparedness. Last quarter, I published a report on this trend: Business Continuity And Disaster Recovery Are Top IT Priorities For 2010 And 2011.
It’s not the most daring and cutting-edge prediction to say 2011 will be Wi-Fi’s second coming. However, you might be caught off guard when I tell you to not worry about a vendor’s WLAN architecture. Your business needs will flush out the right one. Despite the initial hype seven years ago that Wi-Fi was going to be the new edge, it’s been the second choice for most users to connect with at work — but that will change. A tidal wave of wireless devices will be crashing through the enterprise front door very soon. Just look at the carriers scrambling to build out their infrastructure — there’s no shortage of stories about AT&T and their build-out of Wi-Fi in metropolitan areas. And users have fused their work and personal phones and are looking to seek coverage from carrier data plans.
The time to start was yesterday, and you have a ton of work to do. Your edge will be servicing:
Employees with corporate netbooks and their own smartphones and/or tablets who watch training videos on YouTube from companies like VMware.
Devices like torque tools, temperature sensors in exothermic chambers, ambient light sensors, and a myriad other devices.
Contractors with their own laptops, netbooks, tablets, and/or smartphones who need access to specific company applications.
Guests like account executives entering customer information into their CRM programs.
All the things being developed at venture capital backed incubators.
Today, salesforce.com announced the intent to acquire Radian6, a leader in the social media monitoring space. You can find the details of the definitive agreement here. What I want to focus on is what this acquisition means to customer service.
First, the social listening vendor landscape is crowded and ripe for consolidation. Salesforce.com has just picked off the best vendor in this category of vendors, according to a recent Forrester Wave™ report. Radian6 helps salesforce.com extend its core customer service capabilities to the social channels like Facebook and Twitter, which are becoming increasingly important for companies looking to offer a differentiated customer service experience. This is not the first acquisition of this type; however, it is the most significant one, based on salesforce.com's market share and customer base. Expect to see similar acquisitions by CRM and customer service vendors in the future.
I recently received a client inquiry that I see flavors of a few times per quarter. The client said that they are trying to explore ways to establish information value within their enterprise. Because people often frame data and information as an asset, then shouldn’t we be able to establish its value?
What I share with my clients is that trying to place a monetary value on data and information itself is a red herring, an effort that I highly recommend all avoid – unless you enjoy philosophical exercises that don’t translate to actual business value. (Apologies to those that fit in this camp — have fun!)
The “data is an asset” rhetoric doesn’t translate to putting a monetary value on a customer record, as an example, because data in and of itself has no value! The only value data/information has to offer — and the reason I do still consider it an “asset” at all — is in the context of the business processes, decisions, customer experiences, and competitive differentiators it can enable.
For example, a customer record doesn’t have value unless you can sell, market, or service that customer. So for each customer record, many customer intelligence analysts calculate lifetime value scores, the potential share of wallet available, the customer’s propensity to buy certain products and services, and even the cost of servicing the customer. But that doesn’t put a value on the customer record itself: It places the value based on the sales, marketing, and service processes the data supports. And that’s where the data value should live: in the consuming processes.
GXS announced today that is has acquired RollStream, a SaaS vendor that offers solutions for supplier discovery/sourcing, master data management, compliance and risk management, and supplier performance. RollStream has a healthy customer base in healthcare distribution and grocery retail with marquee customers like TESCO, Sainsbury’s, and Owens and Minor.
The key functionality that RollStream offers that really stands out is its ability to track all supplier information, communications, and credentials in a single, shared repository. Reading the press release from GXS, this was in part why it made the acquisition — “The acquisition deepens GXS’s long-term commitment to the Social Supply Chain, a vision that brings together information flows and information workers to break down barriers hampering supply chain efficiency.”
We’ve been writing about this concept for some time and see tremendous potential in the concept of applying the social networking paradigm to supplier management. In my February, 2011 report, “Enterprise Social Networking Can Help Crack The Code On Supplier Risk Management,” I explore this very concept — that through virtual communities of stakeholders, both internal and external to a company, executives can share common supplier data and insights on risk-related events.
This report explores how enterprise social networking can help build communication across siloes, create smart feeds to help aggregate and refine the noise, and encourage adoption through more familiar UIs.
Ciscoannounced today its intent to acquire NewScale, a small, but well-respected automation software vendor. The financial terms were not disclosed, but it is a small deal in terms of money spent. It is big in the sense that Cisco needed the kind of capabilities offered by NewScale, and NewScale has proven to be one of the most innovative and visible players in that market segment.
The market segment in question is what has been described as “the tip of the iceberg” for the advanced automation suites needed to create and operate cloud computing services. The “tip” refers to the part of the overall suite that is exposed to customers, while the majority of the “magic” of cloud automation is hidden from view – as it should be. The main capabilities offered by NewScale deal with building and managing the service catalog and providing a self-service front end that allows cloud consumers to request their own services based on this catalog of available services. Forrester has been bullish on these capabilities because they are the customer-facing side of cloud – the most important aspect – whereas most of the cloud focus has been directed at the “back end” technologies such as virtual server deployment and workload migration. These are certainly important, but a cloud is not a cloud unless the consumers of those services can trigger their deployment on their own. This is the true power of NewScale, one of the best in this sub-segment.
A decade after launching the SAML standard and seeing its, shall we say, stately pace of adoption, it’s wild to see real single sign-on and federated attribute sharing starting to take off for social networking, retail sites, online gaming, and more — not to mention seeing the US government starting to consume private-sector identities on citizen-facing websites.
Last week, we published a report on Outsourcing Identity Assurance. In it, I examine this “Government 2.0” effort, including the National Strategy for Trusted Identities in Cyberspace (NSTIC), and its innovations around identity assurance, and the confidence you can have in the real-world verification of the identity you’ve been given by an identity provider. We’re predicting you’ll see new Web 2.0-ish ways to outsource identity verification in the coming three years, driven by use cases like e-prescribing, high-value eCommerce, and even online dating.
Today, Amazon announced the Amazon Cloud Drive. I think it is the first salvo in a series of steps that will lead Amazon to compete directly for the primary computing platform for individuals, as an online platform, as a device operating system, and as a maker of branded tablets.
Much of the attention is going to the Amazon Cloud Player, announced at the same time, which enables customers to stream music stored in Cloud Drive – Forrester’s Mark Mulligan blogged about that for Consumer Product Strategists (Amazon Beats Apple and Google to the Locker Room). But the general purpose design of Cloud Drive, combined with the long-term opportunities for personal cloud services, lead to a really interesting set of possibilities and insights into Amazon’s long-term strategy for Vendor Strategists trying to sort out the technologies and players of next-generation personal computing platforms.