Your IT Organizational Model Is SO 2009!

Sharyn Leaver

Is it me or do you feel like everyone is restructuring their IT organization – or at least talking about it? Chatter among CIOs often turns into a debate over the merits of plan-build-run models versus demand/supply models – or any other IT model du jour. So, I was eager to get my hands on the first draft of Marc Cecere’s  presentation on “Future BT Organizational Models” that he’ll be delivering at Forrester’s IT Forum in Las Vegas (it’s next week, so I’m up to my elbows in draft presentations – reviewing our CIO analysts’ content, pushing their thinking further, and frankly reveling in all the new research). Here’s a sneak peek:

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Co-Authoring In Microsoft Office 2010: Solving For Version Control Issues

TJ Keitt

In the fanfare surrounding Microsoft’s unveiling of Office and SharePoint 2010, the co-authoring capability Microsoft is offering in OneNote, Word, PowerPoint, and Excel stood out. Put simply, co-authoring is the ability of multiple people to work synchronously on a document. Microsoft has built a number of features to make real-time editing work: notification of who is working on the document and integration with OCS to facilitate conversations; locking of sections to editing; and a “save to share” feature that reconciles changes between editors after they’ve finished, to name a few. However, lost in this talk of real-time document collaboration is a more basic need that I believe Microsoft is actually solving (hinted at in the title of this post).

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The Move To Platform BPO Continues

John McCarthy

Late last week, ExlServices acquired PDMA, Inc., maker of the LifePRO Insurance Policy Administration System. In his discussions with Forrester, Yogendra Goyal, VP & Global Head - Insurance Practice, was very clear on how the deal will help theBPO provider. He said the LifePRO platform will enable the company to move to a more sophisticated outcome pricing model as well as enable it to to cut costs and drive higher value and up the process stack. It's another clear example of how the BPO market is moving to have a standard software platform underpin its process work (see my report Platform BPO: Process Outsourcers Take A New Approach To Traditional BPO for more information).


Accenture Sets Up Software Division

John McCarthy

Yesterday at its annual analyst meeting, Accenture unveiled its new software group.  Yes, the company has formally set up a software organization to sell packages and SaaS offerings. The group was internally established back in September 2009, but publically launched this week.  The group has 48 products, 36 of which are vertical packages that Accenture has done on its own; the remainder are enhancements to existing packages from vendors like Oracle and SAP. The vertical packages include freight and logistics, hotel property management, and a claims components solution. Sample “enhancements” cover P&C billing with SAP, banking with both SAP and Oracle, and a human capital management offering with SAP. The numbers on the group: the offerings cover 8 industry segments and it has 2,000 people and claims that it has signed 600 deals where there is an explicit software license. There are 12-15 software factories in support of 48 products. This is an extreme example of the standardized offerings that services vendors will bring out as the market evolves.

What Survey Questions Should We Ask IT Infrastructure Buyers?

Frank Gillett

Every spring I’m faced with the wonderful opportunity – and challenge – of choosing the best questions for Forrester's annual 20 minute Web survey of commercial buyers of IT infrastructure and hardware across North America and Europe.

Clients can see the 2009 survey instrument here. In that survey, we learned that only 3% of firms were using cloud-hosted servers and that 79% of firms prioritized IT consolidation and virtualization but only 23% prioritized internal/private cloud efforts.

As technology industry strategists, what themes or hypotheses in IT infrastructure do you think we should focus on? What are the emerging topics with the potential for large, long term consequences, such as cloud computing, that you’d like to see survey data on? Please offer your suggestions in the comments below by May 21!

This year, I’m proposing the following focus areas for the survey:

  • New client system deployment strategies– virtual desktops, bring-your-own-PC, Win 7, smartphones, and tablets
    • Hypothesis:  Early adopters are embracing virtual desktops and bring-your-own-PC, but the mainstream will proceed with standard Win 7 deployments
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The Lion Roars. 2010 Ships. Productivity Cheers.

Ted Schadler

Okay, so I'm a sucker for nostalgia. But being on the same stage as Gilda Radner and John Belushi and John Candy and Tina Fey was a thrill. And being in the same studio where Elvis Costello and the Attractions stopped "Less Than Zero" after a few bars and jumped into "Radio Radio" in defiance of NBC's wishes brought a rebellious, empowered smile to my face.

NBC's Studio 8H, home of Saturday Night Live, is where Microsoft launched SharePoint 2010 and Office 2010 yesterday. It was a short, punchy, customer-filled event. These products are the latest in the "Wave 14" product set, a ginormous (as my 9-year old says) overhaul of the Office product line. And they're beauts. Here's my (admittedly enthusiastic) analysis of what Microsoft has accomplished with this product.

  • The lion awakens and roars.

    Microsoft's Office business has taken a battering in the press as journalists chase stories about the important innovations from nimble startup competitors, open source alternatives, and Web-based productivity tools. But let's face it. Microsoft doesn't have 500,000,000 people using its tools for no reason. And while three years is a long time to wait for a product release (especially in this era of instant innovation via the Internet), Microsoft has re-confirmed its position as the most important driver of business productivity on the planet. This launch will crush the dreams of a 100 entrepreneurs and force another 1,000 to rethink their companies. That's okay. It's what happens when Microsoft turns a niche product for a geeky few into a global feature that anybody can use. As an economy, we need it.

  • The empowerment is real.

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Riding The Coming Wave Of Tech Industry Growth

Chris Mines

The Palazzo Las Vegas - Resort Hotel Casino

Tech is back! Just as our in-house economist Andy Bartels predicted, the first quarter numbers from the big tech vendors confirm that IT investment is on a growth trajectory again. Check out the recent Q1 numbers from Intel and IBM, for example.

And these results represent more than just a rebound from the nasty 2008-09 recession. We forecast that the IT industry is entering a multi-year period of innovation and growth, when spending growth on technology goods and services will be a substantial multiple of overall GDP growth in the US and around the world. Check out Andy’s latest forecasts here.

For more on the opportunities and challenges that the next wave of tech industry growth will present to vendor strategists, join us in Las Vegas later this month at Forrester’s flagship event, the IT Forum. We will be presenting our latest research on Smart Computing, the Personal Cloud, and the approaches that vendor strategists must take to stay in front of “the next big thing.” Hope to see you there!

From The HP Archives: Lessons Learned On Market Entry

Jennifer Belissent, Ph.D.

International orders grew 34% for HP . . . not this year but actually back in 1964 when non-US orders accounted for 23 percent of HP’s revenues.  While the growth of non-US tech revenues is in the news today, HP’s international orders first exceeded domestic orders not recently but as far back as 1975.

In my research on market entry and market opportunity assessment (MOA), I recently spoke to strategists at HP about how they evaluate markets.  As I was leaving the building, I stopped in to the HP museum and spent some time with the HP archivist.   The highlights of the visit include seeing the first HP device built in the now famous Palo Alto garage and a calculator that brought back memories of my father in his overstuffed chair “figuring out how to pay for college.”  I was not only impressed by the history embodied in that room but also with the value that HP places on recording and memorializing its “life” as an organization.  Not to sound too sappy but it really brings the company and the industry to life.

I’ve spent the last few weeks reading through some documents on the history of HP’s entry into international markets.  There are valuable lessons to be gleaned from their experiences.   I’ve written about many of those lessons in reports and blog posts but thought I'd draw out a few of them here.

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Starbucks' Stephen Gillett Weighs In On The Changing Role Of The CIO

Sharyn Leaver

Forrester’s IT Forum 2010 is right around the corner, and much of Forrester’s research community is gearing up for a great event. Having spent a considerable amount of time working on the content, I’m really pleased with how the industry keynotes are taking shape. If the growing attendance figures are any indication, our theme of “making the business technology (BT) transformation a reality” seems to be resonating with CIOs.  I think Forum attendees are going to enjoy the real-world examples provided by keynoters such as Stephen Gillett, SVP, CIO, and GM of Digital Ventures at Starbucks.

Stephen is one of the rising young stars in the IT industry, helping transform Starbucks’ digital business. At IT Forum, he will be talking about how to elevate the role of the traditional CIO to that of a digital business leader. We thought we’d give you all a chance to pose a question of Stephen about the changing role of the CIO. Please leave your questions for Stephen in the comments section, email them to us, or tweet them to us @Forrester. We’ll choose the best of those questions, ask Stephen, and post his answers here during the week of May 17.

Einstein And Social Media

Nigel Fenwick

Albert EinsteinEven though there's plenty of evidence showing the positive impact many companies are getting from leveraging a social media strategy, there are still companies rigidly refusing to develop a social media strategy. This reminds me of the early days of the Internet: there were those companies looking to embrace the Internet and develop a new kind of "e-business," and the rest, steadfastly refusing to believe the Internet would transform their business. Even as Amazon defined a new online shopping channel in retail it was amazing to see how many large retailers were slow to establish an online presence.

Back in 2000 I wrote a report urging online retailers to embrace “community” as one of three core elements of their customer strategy. Companies such as REI, which already had an online community in 2000, have learned from their experience and are surging ahead into new social media.

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