Capability-As-A-Service And What It Means For Technology Vendor Strategy

In my last post, I wrote about the evolving need for big business to source generic capabilities from business partners/vendors. This shift provides an enormous opportunity as well as a threat for technology vendors and CIOs.

I’m not talking about the wholesale outsourcing of IT. Rather, the selective sourcing of business capabilities and business process through software-as-a-service (SaaS), most likely deployed through cloud-based platforms (capability-as-a-service, or CaaS). Software and hardware vendors need to rethink their business from the customer’s perspective. They must figure out how to transform their products into services that deliver business capabilities and business outcomes.

If you’re a tech vendor, this means that you need to analyze each target industry and determine which business capabilities are likely to be strategic, and which are most likely to be generic. In retailing, for example, strategic capabilities might center on mastering customer data to create unique and valuable customer experiences as well as price optimization. Whereas capabilities around merchandising and assortment planning may be generic across many retailers (even though most merchandisers I know would never admit to this), these generic capabilities are likely to be delivered as SaaS in the future.

If you have existing solutions that target an industry’s generic capabilities, they are prime candidates for delivering the capability to the market as a service. Where your solutions target strategic capabilities, you will need to provide highly customized services through strategic partnership arrangements.

Back of the Napkin: Why Microsoft Windows Intune Should Be On Your Radar

It's a little-known fact that both Southwest Airlines and the (soon-to-be) famous Yee-Haw Pickle Company began life on a cocktail napkin. What better medium to illustrate why Windows Intune should be on your radar as an I&O leader or professional?

In the late 1990s, no one could have imagined what PC management would eventually entail in an always-on, always-connected world. Those of you who know me, know that I've either managed or marketed 3 different client management product lines in my career. All of the vendors in the space, including Microsoft, have spent the last 15 years trying to make it easier to manage Windows PCs on an enterprise scale, for utility, security, business continuity and performance.
 
A mess? I'd say! I spoke with a mid-sized oil company a few weeks ago about their client management tools, processes and maturity. They use only a fraction of System Center Configuration Manager (SCCM) 2007's capabilities. The weekly patch cycle and packaging alone are a full time job for one person, and endpoint protection and remediation are still wishlist items. Half of their assets sit at the end of satellite links 50 miles from the nearest towns and they have a fleet of trucks manned by a small army of techs dedicated to just fixing PC problems over 5 big western US States. Expensive? You bet. Ineffective? Absolutely.
 
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