IBM's Intelligent Operations Center for Smart Cities: Think Cities not just Departments.

Jennifer Belissent, Ph.D.

Government investment in ICT is growing. At Forrester we expect the overall government ICT budget to reach $346 billion in 2011, growing to $382 billion in 2012 or by about 10%.  That makes government one of the largest vertical industries – almost double the size of the retail industry, well above the telecom industry and actually behind only professional services and financial services.  As government soul searching intensifies in the wake of the financial crisis, and in light of global competition and economic recovery, we expect the dawn of a new government – not “big government” but a government that operates more effectively and certainly more efficiently.  What does that look like, and what does that entail?  We see three primary trends:

  • A move to greater performance management processes with an emphasis on KPIs for specific programs rather than just budget targets.
  • An increased dependence on technology but with an eye to rationalization and consolidation, and an increased role of a centralized CIO to coordinate technology adoption;
  • And, a growing adoption of enterprise management tools with visibility not only into department level programs but including executive dashboards to enable a holistic view of the government. 
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European ICT Market Will Grow More Slowly Than US Market, But With Wide Geographic Variances

Andrew Bartels

I am in Barcelona, Spain, at our IT Forum EMEA event, where my colleague Peter O'Neill and I presented our latest forecasts for the tech market in Western and Central Europe.  In parallel, Forrester has just published our report with this and much more information (see June 8, 2011, “European Information And Communications Technology Market 2011 To 2012 -- The North-South Divide Persists, With Wide Variations In Country Information And Communications Technology Growth”).  Here are the key conclusions that I would highlight from the report:

  • As a geographic unit, the market for business and government purchases of information and communications technologies (ICT) in Western and Central Europe will grow by 3.8% in 2011 (measured in euros), compared with 6.4% growth in the US (measured in US dollars).  Excluding slow-growing telecommunications services, the information technology (IT) market in Western and Central Europe will grow by 4.5% in euros vs. the 7.4% growth in US dollars in the US (see June 7, “European Information And Communications Technology Market 2011 To 2012 -- The North-South Divide Persists, With Wide Variations In Country Information And Communications Technology Growth”).
     
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"Anywhere, Anytime" Work Means IT Must Provide The Right Technology, To The Right Person, At The Right Time

TJ Keitt

Giving workers flexibility in when, where, and how they work is a hot topic right now. The US federal government has passed legislation to make telecommuting easier and multinational firms, like State Street, are instituting programs to let employees choose when and where they work. Why are organizations emphasizing this so much? Mobile and remote employees have more control over their work/life balance and won't have to stop working if circumstance prevents them from coming to the office. Furthermore, they can easily be collocated with clients and allow the company to reduce its real estate and carbon footprint. However, as this chart from my new report, Demystifying The Mobile Workforce, shows, information workers may be moving more quickly to this flexible way of working than their companies currently acknowledge: 66% of the North American and European workforce work outside the office at some point during a month.

If business leaders and their counterparts in IT are to get in front of this trend, they have to understand their mobile and remote workforce. For example, who is shifting work between the office and home? What technology are they using to do so? Do they believe that the company is doing a good job of providing them the policies and technology to work in this way? If business and IT leaders can't answer these questions, they will be hard pressed to accurately:

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Apple’s iCloud Takes The Lead In Pursuit Of The $12 Billion Personal Cloud Opportunity

Frank Gillett

Apple’s announcement of iCloud today coincides with the publishing of a major Forrester report for vendor strategists, “The Personal Cloud: Transforming Personal Computing, Mobile, And Web Markets” that describes the technology, markets, US market sizing, and the key players for this new form of personal computing that spans the job and personal lives. For a take on what Apple’s WWDC announcements mean for Consumer Product Strategists, please see the blog post, Apple’s iCloud Further Cements Platform Loyalty With Superior Total Product Experience, from my colleague Charlie Golvin.

The personal computing experience has become a major pain in the neck, as people add smartphones and tablets to the growing number of PCs they use at work and at home – more than half the US online population, about 135 million people, have the challenge of managing their content across multiple PCs and smartphones.

Forrester believes that a new computing experience is emerging, based on the personal cloud concept, that will redefine the computing experience around a user’s personal and work information, so that it’s seamlessly accessible across all of an individual’s devices. The growing personal cloud ecosystem is characterized by:

  • A $12 billion market value by 2016, with $6 billion of it from direct subscription revenue.
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Crowdsourcing In Vermont Engages - And Empowers - Citizens

Jennifer Belissent, Ph.D.

[Co-authored with Charles Green]

In my last blog I asked the question, “What’s it take to be a smart city?” One of the critical elements lies in smart governance. Smart governance takes leadership, coordination, and collaboration. (Take a look at my recent report, "Smart City Leaders Need Better Governance Tools.") Part of this leadership is finding innovative and cost-effective solutions to intractable problems – and that often lies in engaging constituents for input on the problems and feedback on the solutions.  As Charles and I were working on another project, we came across a great example of a US state looking outside the box to solve a real and frustrating problem faced by its citizens.

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Follow The Conversation From Forrester's IT Forum 2011

Sharyn Leaver

Today we’re kicking off Forrester's IT Forum 2011 at The Palazzo in Las Vegas. Prepare for three exciting days of keynote presentations and track sessions focused on business and technology alignment. Use the Twitter widget below to follow the Forum conversation by tracking our event hashtag #ITF11 on Twitter. Attendees are encouraged to tweet throughout the Forum and to tweet any questions for our keynote presenters to #ITF11.

Q&A With Michael Ali, VP & CIO, Harman

Sharyn Leaver

Michael Ali, VP & CIO, Harman InternationalI am so looking forward to hearing from our keynoters next week at the Forrester's IT Forum 2011. Poised to be one of the most informative – and entertaining – will be Michael Ali, VP & CIO, Harman International. Michael will discuss how integration, not alignment, is the ultimate goal for CIOs who are determined to get the most out of IT investments for the benefit of their businesses. Rumor has it that he’ll also toss out some zinger lessons learned that will help us all avoid common pitfalls as we move beyond alignment. I asked Michael a few questions to get some insight on his IT organization and his experience with IT transformation. His answers point to both the fundamental shifts that will characterize the empowered BT era and some perennial truths of IT. We hope you can make it to Las Vegas to hear more . . .

 

Sharyn: To move beyond business-IT alignment, Forrester believes organizations must drive innovation. How is the IT organization at Harman doing that?

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Difference Between Dell And HP Q1 2011 Performances Much Less Than The Investment Community Thinks

Andrew Bartels

Hewlett-Packard reported its financial results for the quarter ending on April 30, 2011, early in the day on May 17, a day sooner than expected. Dell reported its financial results the same day, at its normal time at the end of the day. In many ways, as we will see in a minute, the results were similar. Yet the financial market reaction was dramatically different. HP's stock price dropped by 7% during the day, while Dell's stock price rose by almost 7% in after-hours trading. Bloomberg News, in its article on the two companies' results, headlined what it saw as the reason for the different performance: "Dell Shares Rise After Corporate Spending Gives Company Edge Over Rival HP."

I am not a stock analyst, nor is Forrester in the business of analyzing or forecasting stock performance. But the divergent responses of the stock market to the financial results of HP versus Dell do have implications for vendor strategy, while the underlying results show where the tech market is headed.

First, let's compare the actual numbers. HP's revenues in the quarter were up by 3%, and right in line with expectations, while Dell's revenues were just 1% higher, and lower than expectations. Dell's sales to business rose by 3%, while HP's sales increased by 8%. Dell's sales to consumers fell by 7%, slightly better than the 8% drop in HP's sales to consumers. So far, very similar numbers between the two vendors, with HP actually doing better than Dell in the quarter. So, why the market perception that Dell outperformed HP?

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Announcing The Annual Forrester Groundswell Awards For Employee Collaboration, Innovation, And Mobile

Ted Schadler

This post is to announce and describe the 2011 Groundswell Awards, specifically the internal "management" category: innovation, collaboration (including social), and mobile. As my Empowered coauthor, Josh Bernoff, writes:

"We had this idea in 2007 that we could surface the best, most interesting, most effective social applications with an awards program. At the time, I never realized just what a fascinating variety of programs we'd encounter. So we kept doing it."

"The purpose of this post is two-fold -- to officially announce and open up the site for entries to the 2011 awards, and to celebrate some of the most amazing entries of the last five years."

Read Josh's recap of the award's five-year history here.

Starting last year, we expanded the field to include three internal “management” scenarios in line with our book Empowered. The awards this year are for:

  • Employee Mobile Application:Help employees solve customer and business problems using smartphones and tablets.
  • Employee Collaboration/Social Application:Help employees connect and work together.
  • Innovation System:Surface and develop new ideas.

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Isn't It Time CEOs Were Held Accountable For Technology?

Nigel Fenwick

I realize I'm posting two rants in a row here (my last one was on marketing being a dirty word), but this is important! I just read in the WSJ that it's time more CIOs report to the top... my initial reaction was "oh come on, really, are we still on with this old chestnut?" -- the thing is, I couldn't agree more. But here's what gets me -- we were saying this in the '80s. The hope back then was that, as more CEOs stepped up who had grown up with technology, things would change and more CIOs would report into the CEO. Clearly this was pie-in-the-sky optimism ... so what went wrong?

Traditional wisdom (aka analysts) suggests that it's up to the CIO to "earn" a seat at the table by demonstrating leadership, delivering business value from IT, and lots of other hoops to jump through. While my colleagues and I work diligently on research to help CIOs achieve this, I can't help feeling there is an alternative perspective we are missing, and that's what drove me to write this blog post.

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