Computers, Privacy & Data Protection Conference 2014: Embracing User Privacy As A Competitive Advantage

Dan Bieler

By Enza Iannopollo and Dan Bieler

The recent Computers, Privacy & Data Protection Conference (CPDP) showcased a series of innovative projects that are based on big data. Big data is one of the four imperatives that shape the age of the customer — one of Forrester’s main focus areas — and the changing regulatory framework of data protection in Europe has big implications for big data initiatives.

Central to data protection is the existing EU Data Protection Directive, which legislators have been trying to update for years to reflect the changing online realities. The proposed Data Protection Regulation focuses on a redefinition of the concept of “consent.” User consent now has to be freely given, specific, informed, and explicit.

This new definition forces businesses to be more transparent about how they gather, use, disclose, and manage customer data in the form of the principles of privacy notice and purpose limitation. Complying with these new privacy principles is a challenge in the age of the customer, as privacy regulation affects:

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Sharing Is More Than Caring: Shared Services Enable Public Sector Tech Upgrades

Jennifer Belissent, Ph.D.

As we all learned as kids, it's nice to share.  That holds true for public sector organizations as well, particularly in tough times. Public sector organizations don't have the privilege of dialing back on scope in challenging economic times. In fact, when the going gets tough, government organizations often have to kick into high gear. And that was the case with state unemployment insurance (UI) programs in the US, which saw spikes in applications when the economy slumped.  But in most states the technology infrastructure wasn’t up to the task.  

  • Legacy systems were on life-support... Colorado’s 25-year-old COBOL-based mainframe systems continued to process unemployment insurance claims, but it was increasingly difficult and costly to find the "doctors" to keep it alive. They had to bring developers out of retirement to maintain it.  State officials knew it was only a matter of time before they had to pull the plug on their system.
  • …and just weren’t up to the task. Not only did the “look and feel” leave a lot to be desired, the legacy system failed to deliver. The system ran processes in batch mode, meaning that data was typically collected over a period of time (daily, weekly, or monthly) and processed into the system at the end of the period. Daily downtime for processing excluded the possibility of 24-hour availability or even extended hours. The delays and lack of availability frustrated end users who wanted or needed real-time or near-real-time information to make decisions.
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Level-Up Your Mobile Engagement With Proactive Experiences

Michael Yamnitsky

Last year, we saw mobile apps getting smarter, tapping a wider range of personal data to anticipate and deliver in-the-moment needs before a customer takes action. Google is in the lead with Google Now, but Apple and Microsoft also signal interest in this space. Much like the VIP concierge services of major credit cards and airlines, these apps have the potential to form intimate customer relationships and increase affinity for products and services. And they are resetting expectations in a new paradigm we call the mobile mind shift — the increasing expectation of individuals that they can access any service, in context, in their moments of need.

You have an opportunity to play in the game, but to a different tune, one that enriches your brand by enhancing existing scenarios, engagement points, and relationships. 

In 2014 and 2015, we anticipate that customer-obsessed companies in verticals such as retail, finance, and insurance will introduce and develop proactive features in their mobile loyalty apps. CIOs should expect an influx of requirements from marketing peers leading such efforts. With the opportunities will come challenges on three dimensions: 

1. Business strategy. Proactive experiences can reap extraodinary rewards but can also lead to devastating consequences. For example, achieving 85% accuracy with your recommendation engine appears to be a success — until you consider the diminishing returns of a 5x penalty on trust factor for that 15% you got wrong. 

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Bosch Connected World - Internet Of Things Made In Germany

Stefan Ried

Internet of Things is a hype - no question. But let's talk about the INTEGRATION Of Things. 

It’s been a while since Bosch completed the acquisition of the Germany BPM and Integration vendor Inubit AG in October 2011. Two years later Inubit has not only well arrived in the Bosch Group, it became even the nucleus of Bosch’s allover software business and helps the traditional manufacturer of automotive parts and consumer electronics to embrace an additional business model of a software vendor.

Nevertheless calling the conference ConnectedWorld articulates the repositioning of the former general purpose BPM and Integration software into the internet of things. This is where Bosch with its dominant automotive footprint and their good market share of home appliance in Europe is strong. It is a natural move to focus Bosch Software Innovation’s in the areas of Bosch core business. In this context, it is no surprise that every second visitor of the show is a Bosch employee who likes to understand if and how their Bosch units can use the new software assets. Ideally this results not only in internal use, but in joint external products. Today the clear majority of Bosch's software revenues are external and not yet related to other Bosch products.

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Bill Gates: Run Silent, Run Deep During Microsoft's CEO Transition

Ted Schadler

[Updated February 7, 2014]

Satya Nadella is Microsoft's new CEO. Check. He's the right person for the job, insider, change agent, provocateur. To see his 10-point todo list, see this Forrester report.

Bill Gates is leaving Microsoft's board to "substantially increase time" spent at Microsoft. Check. What, huh? How can both things be true? How can Bill Gates leave the board, but remain involved in the company?

Here's what I think will happen: Bill Gates will play a critical though invisible role in Microsoft's future. By leaving the board of directors, he won't be making strategic decisions as chairman. He won't be driving the strategic decisions as chairman of the board, but he will be a vital force behind the scenes. Here are three jobs that Mr. Gates must get right:

  1. Be silent on the strategy, transition, and plans. I believe that Mr. Gates new role is to advise and support Mr. Nadella as the new CEO pushes the company faster on a pivot to the cloud. The company has much to do. 1) Mash the products together into SaaS offerings. (Mr. Nadella has already done this with Azure, but now must do with Office 365, Skype, Dynamics, Bing, and much much more.) 2) Create a more comprehensive private cloud offering (beyond Office 365 Dedicated). 3) Break the lock between Windows and the rest of the business. (It's the only way subscription services are interesting to today's consumers and businesses. For example, Office must run everywhere.) Mr. Nadella will need help, not interference.
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CIOs Need To Prepare For Cultural And Organizational Transformation

Dan Bieler

Picture: Utua

Macro trends in technology and shifting customer behavior are giving rise to the connected business — which is not defined by technology but is rather a new style of doing business. The responsibility for transforming a company into a connected business ultimately rests with the CEO, but the CIO also plays a central role.  

CIOs will be responsible for introducing technology solutions that help break down silos, boost cross-team collaboration, drive the end-to-end customer experience, and engage more deeply with customers. In order to succeed, CIOs must go beyond technology enablement and support organizational and cultural transformation. It’s easier to implement technology innovations than to change habits and culture. Technology is only the catalyst for cultural and organizational transformation. As Jeroen Tas, CIO, Philips told me:

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Mobile World Congress 2014 Will Push The Mobile Mind Shift

Dan Bieler

Mobility is becoming pervasive in the enterprise. Smart devices, including wearables, are appearing in all sectors, both in developed and emerging markets. Businesses that fail to prepare for the mobile mind shift risk losing their competitive edge. I hope this year’s Mobile World Congress, which kicks off on February 24, will emphasize the interaction between business processes and mobility — in addition to the traditional gadgets.

I focus primarily on themes relating to the connected business and social collaboration, and I will travel to the world’s leading mobile event in Barcelona to gain new insights into several questions in these areas:

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Lenovo Bets On The Mobile Mind Shift And Aims To Be A Digital Platform

Frank Gillett

Lenovo’s made three strategic moves in just one month: 1) Buying IBM’s x86 server business, 2) Reorging into four business units – most importantly including one called “ecosystem and cloud group”, and 3) Buying Motorola Mobility. The later two are driven by the mobile mind shift – the increasing expectation of individuals that they can access information and service, in context, in their moment of need. Smartphones are central to that – as are the ecosystem and cloud services that deliver value through the smartphones.

Lenovo has stated intentions to become a leading smartphone maker globally, building on their leading position in the China market. Buying Motorola Mobility is a much quicker way for Lenovo to access the premium smartphone market with a leading Google Android (not forked Android) offering - than trying to do it with their existing design teams and brand reach. Using Motorola, just as Lenovo used the IBM ThinkPad brand, to gain quick credibility and access to desirable markets, and built critical mass makes a lot of sense. 

But Motorola has not been shooting the lights out with designs or sales volumes in smartphones. So the value is simply in brand recognition to achieve market recognition faster - and to dramatically expand the design and marketing team with talent experienced at US and Western markets. 

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2014: Digital Reality Sets In

Nigel Fenwick

2014In my post at this time last year I wrote of the changes we could expect in 2013 around the shift toward digital business. And indeed we did see a significant move toward digital business in 2013 - a transition that’s still very much just beginning.

But 2014 will be different. 2014 is when digital reality begins to sink in for CEOs around the world. And if your CEO doesn't figure out digital business this year, I predict 2015 will be a very challenging year for your organization, no matter what business you are in.

The Retail Conundrum

A recent Wall Street Journal article highlights the challenge of retailers very well. Store footfall is declining as consumers' lives become more digital. We are seeing a steady shift toward shopping online and shopping less often. So how can today’s retailers survive? The simple answer is that many will not. Retail will undergo a seismic shift in the next 10 years. And since retail is a major employer, it's a shift that will impact us all.

Time drives behavior. Digital tools extend the workplace into our private lives, allowing greater productivity while also creating fewer opportunities for large chunks of time to “go shopping.” We are increasingly using digital technologies to optimize how we fill our days for work and pleasure:

•  Digital scheduling tools like Google Calendar help us plan our work and play time.

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Google Bets On Internet Of Things And Connected Home, Not Just Data From Our Nest

Frank Gillett

Google’s acquisition of Nest has stirred a lot of interest and reaction, some of it misguided. After talking to lots of reporters, here are ten quick thoughts on why Google bought Nest and what it means:

1.    Google bought Nest for talent and strategic perspective, not products or data. Nest is too small and not scaling fast enough to justify the acquisition. This is about getting a great team that can teach Google about a new market realm, how the Internet of Things comes into the Connected Home.

2.    The price is ridiculously high – unless Google gets a huge head start on Connected Home. Google’s acquisition of Waze for $1 billion and Nest for $3.2 billion look pricey – but they are strategic bets for the long run, and can’t easily be compared.

3.    Building the next generation of Google Now is the goal, not snooping on our temps, room locations and smoke alarms. The Nest Labs team will help fuel development of the next generation of Google Now as it shifts more toward proactive assistance and advice.

4.    Google’s aim is to get an early start on identifying and adding software interfaces (APIs) to Gmail/Google Drive that connect it to smart products. This is not about Android in the home or about a battle for the device OS – it’s a battle for whose cloud service platform will coordinate an individual’s smart products – and their digital self.

5.    Identity, privacy, and security will also crucial in building out the Connected Home. Blanket privacy policies won’t be enough. Fatemeh Khatibloo’s research on contextual privacy shows the new way that privacy and identity will have to be managed.

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