Bob Calderoni and Tim Minahan, Ariba’s CEO and CMO respectively, explained their vision for the future of supplier networks at the company’s Ariba Live customer event this week. The basic concepts, of a B2B community with value-adding services for sellers, such as prospect discovery and multi-customer e-invoicing, is one I’ve advocated to network providers for a long time, including in my report of internetwork interoperability (Enterprises Should Push Supplier Networks To Deliver Interoperability). The community concept is certainly fashionable at the moment, with lots of business-to-business (B2B) technology vendors trying to match the success of Facebook, LinkedIn, Twitter, and the like. The big question is whether Ariba can achieve the universal reach that the commerce cloud will need if it is to deliver value to its members.
Social media consumers don’t seem to be worried by monopolies. As my daughters tell me, people of their age have to be on Facebook to know what’s going on. There’s no point using other services like MySpace or Bebo (or, for older readers, Yahoo Groups, Geocities, Friends Reunited, and their equally overhyped predecessors), because everyone uses Facebook, and the community only works if everyone’s in it. It’s the same with B2B eCommerce — supplier-side members want to know about all the relevant parties (i.e., RFX’s), and party organizers (i.e., buyers) want to publish the invitation in one place yet still reach all their potential friends. In practice, this means the community must either be:
a) a broad stratus formation covering everything,
The rise and rise of cloud has been dominating the headlines for the past few years, and for CIOs, it has become a more serious priority only recently. People like cloud computing. Well - at least they like the concept of cloud computing. It is fast to implement, affordable, and scales to business requirements easily. On closer inspection, cloud poses many challenges for organizations. For CIOs there are the considerable challenges around how you restructure your IT department and IT services to cope with the new demands that cloud computing will place on your business - and often these demands come from the business, as they start to get the idea that they can get so many more business cases over the line for new capabilities, products and/or services, as they realize that cloud computing lowers the costs and hastens the time to value.
As someone who has been covering cloud computing since the dawn of Amazon’s Elastic Compute Cloud (EC2) I’m constantly in education mode about what is and isn’t cloud computing. To borrow an analogy from my Forrester colleague Ted Schadler’s keynote at last year’s IT Forum, the challenge is a lot like helping blind men discern an elephant through just the parts of the animal they can reach. One feels the trunk and declares it a cylindrical, yet hairy and warm snake. The other calls it a strong, tough and deeply rooted tree upon feeling its hind leg. Each examiner brings their own experience and context to the challenge as well as their own judgments, then leaps to the conclusion that best fits their desires.
There’s an old adage that the worst running car in the neighborhood belongs to the auto mechanic. Why? Because they like to tinker with it. We as IT pros love building and tinkering with things, too, and at one point we all built our own PC and it probably ran about as well as the mechanic's car down the street.
While the mechanic’s car never ran that well, it wasn’t a reflection on the quality of his work on your car because he drew the line between what he can tinker with and what can sink him as a professional (well, most of the time). IT pros do the same thing. We try not to tinker with computers that will affect our clients or risk the service level agreement we have with them. Yet there is a tinkerer’s mentality in all of us. This mentality is evidenced in our data centers, where the desire to configure our own infrastructure and build out our own best-of-breed solutions has resulted in an overly complex mish-mash of technologies, products and management tools. There’s lots of history behind this mess and lots of good intentions, but nearly everyone wants a cleaner way forward.
In the vendors’ minds, this way forward is clearly one that has more of their stuff inside and the latest thinking here is the new converged infrastructure solutions they are marketing, such as HP’s BladeSystem Matrix and IBM’s CloudBurst. Each of these products is the vendor’s vision of a cleaner, more integrated and more efficient data center. And there’s a lot of truth to this in what they have engineered. The big question is whether you should buy into this vision.
5:30am, the family sleeps and it’s time to prepare – today is Analyst Day in Frankfurt. I’m on the road 2h45min before the event starts (1h20min should be sufficient) but sometimes the traffic is terrible. Last week I missed a flight because the highway was completely closed after an accident and I had to give up after 3h driving for nothing. When the concern of missing an appointment slowly turns into certainty, these are the moments that cost me some of my (remaining) hair.
(Of course) I arrive much too early, but other analysts are already there (probably they don’t sleep at all). Plenty of time to look through my presentation again for some final adjustments and for some small talk with customers that arrived early.
1min before the kick-off, I make the last slide changes and load it to the presentation laptop. Another analyst colleague goes first. I have seen some of the slides a hundred times and look around at the faces of the attendees. For most, it’s the first time they see e.g. our market sizing and forecasting data, and they make hectic notes into their notebooks. They don’t know yet that we will distribute all slides after the event. I’m getting a bit nervous, but I’m used to it. When I'm not nervous any more before a presentation, it’ll get boring for me and the audience, and I should probably do something else.
VMware And salesforce.com Join Forces To Push PaaS To Mainstream Adoption With vmforce
salesforce.com and VMware announced today the development of a joint product and service offering named vmforce. Forrester had a chance to talk to executives at both companies prior to the announcement, and I am quite impressed by the bold move of the two players. Most developers in corporate environments and ISVs perceive the two stacks as two totally different alternatives when selecting a software platform. While the VMware stack, with its Tomcat-based Spring framework, reached mainstream popularity among Java developers with its more lightweight standard Java approach, salesforce.com’s Force.com stack was mostly attractive to developers who liked to extend CRM packaged apps with individual business logic or to ISVs that created new applications from scratch. In some cases, the Java standard and the more proprietary APEX language at Force.com even appeared as competitive options.
Federal CIO Vivek Kundra’s recent presentation to the Brookings Institution outlined how the US administration is moving to a “Cloud-first” approach to consolidating the US government technology infrastructure. Since the US government is the largest buyer of information technology in the world, spending over $76 billion supporting over 10,000 systems, we can be sure that a Cloud-first policy will have a major impact on technology vendors and the services they offer - not only to the US government but to all IT buyers.
On March 30, 2010, Yale University placed a migration to Google Apps for its email services on hold over privacy and security concerns, especially regarding a lack of transparency about in what country its data would be stored in.
Michael Fisher, a computer science professor involved in the decision, said that “People were mainly interested in technical questions like the mechanics of moving, wondering ‘Could we do it?’ ,but nobody asked the question of ‘Should we do it?’” and went on to say that the migration would “also makes the data subject to the vagaries of foreign laws and governments, and “that Google was not willing to provide ITS with a list of countries to which the University’s data could be sent, but only a list of about 15 countries to which the data would not be sent.”
This closely aligns with our January report, “As IaaS Cloud Adoption Goes Global, Tech Vendors Must Address Local Concerns” which examined security and privacy issues involved in moving data to the cloud, especially when it’s no longer clear what country your data will reside in. In this report, we offered that IaaS providers should give “guidance on where data is located and location guarantees if necessary. Rather than merely claiming that data is in the cloud, tech vendors must be prepared to identify the location of data and provide location guarantees (at a premium) if required.”
Hello from Dubai! I arrived a few days ago for customer visits across the region including UAE, Qatar and Bahrain. Although I’ve traveled extensively, this is my first trip to the Middle East.
As a frequent flyer (both in terms of travel and airline loyalty), I looked first to my preferred airlines when I booked my flights to the region. Neither of them (yes, I fly two airlines regularly which suggests that I’m not all that loyal) provided service to my destinations. So, I looked for a partner airline – one that is part of my preferred airlines’ networks. I went with Emirates which not only serves the Gulf States I was planning to visit, but enabled me to stay within network and collect my frequent flier miles. Why do I mention this? Well, I have been thinking about that model of a “Star Alliance” or a “Skyteam,” and how it could apply to service providers of other kinds.
For those of you unable to attend, I will summarize some of the content that I presented on SAP’s overall growth and innovation strategy. SAP has a double-barreled product strategy focused on Growth and Innovation.
The Growth strategy rests heavily on the current Business Suite, which includes the core ERP product that is used by approximately 30,000 companies worldwide. SAP claims that it touches 60 percent of the world’s business transactions, which is hard to validate but not all that hard to believe. The main revenue source today is Support, which comprises 50% of the total revenues of the company at more than 5 billion Euros annually, and it grew by 15% in 2009. Other growth engines include: