In my February 2014 report: Left–Shift Technology Monitoring For Success In The Age Of The Customer I explore what the near future will bring for technology monitoring approaches and solutions. Today, for the typical I&O organization, successful technology or service delivery monitoring focuses on two main areas. Firstly, availability, so ensuring the technology underpinning business services is up and available when needed and secondly, performance, so making sure that technology utilized (applications and associated workloads) is fast enough for the business service it supports.
There is a major problem with this approach though. As the famous author Harper Lee stated “We know all men are not created equal” and the same can be said about your customers and employees – they are not all equal and the rapid pace of consumer technology innovation in areas such as mobile means that they will utilize technology in different ways to support productivity or to engage with your enterprise as a customer. Our relationship with technology is changing rapidly. It is becoming more intimate and personal, meaning that datacenter centric monitoring approaches that focus on availability and performance alone, while still essential, are only the beginning of what is required for a holistic technology monitoring strategy.
So you need some work done that you’ve never had done before or you need to buy something you’ve never bought before. What should you pay? That can be a tough question. What seems reasonable? Sometimes we set arbitrary rules. It’s OK if it’s under $50 or under $100. But that’s just a reassurance that you’re not getting ripped off too badly. Certainly the best way to avoid that outcome is to know how much that service or thing is worth, or at least know what others have paid for the same thing.
Fortunately now, in the age of the customer, that’s easier to find out. Price information for most consumer goods is easier to come by, making the buying process more efficient. But what about governments? We’ve all heard about the $600 toilet seat or the $400 hammer. Stories of government spending excess and mismanagement abound. Some are urban legends or misrepresentations. Others have legs — such as the recent reports of Boeing overcharging the US Army. While these incidents are likely not things of the past, open data initiatives have made significant progress in exposing spending data and improving transparency. Citizens can visit sites such as USAspending.gov for US federal government spending or "Where Does My Money Go?" for details on UK national government spending, and most large cities publish spending as well.
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. 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.
With Jeroen Tas, one of the most renowned technology visionaries in Europe, as its CIO, Philips made a number of strategic decisions to transform itself into a connected business. Forrester believes that CIOs should familiarize themselves with Philips’ strategic, operational, and cultural transformation and learn from it, as Philips offers CIOs valuable lessons in planning the transition to a connected business:
Philips embraces digital propositions at the expense of standalone products. Philips maps out customer journeys and ensures that its products turn into plug-ins for broader digital propositions. The firm connects all of its propositions through data, communities, and collaboration, allowing it to understand who the customers are and how they use products. Philips decides how it needs to develop its portfolio based on these customer journey maps, opening up new business models.
Interdisciplinary teams help open up new revenue streams. The old model — all marketing people sitting together, all IT people sitting together, all supply-chain people sitting together — is outdated. Interdisciplinary teams force people to speak each other’s language. At Philips, interdisciplinary teams have also resulted in much higher job satisfaction.
Asia Pacific firms are gradually beginning to understand how important big data is for responding to rising customer expectations and becoming customer-obsessed to gain a competitive edge in the age of the customer. Data from our Forrsights Budgets And Priorities Survey, Q4 2013 shows that 40% of organizations across Asia Pacific expect to increase their spending on big data solutions in 2014.
In addition to traditional structured data (from ERP and other core transactional systems), organizations are increasing seeking insight from unstructured data originating in both internal (IM, email) and external (social networks, sensors) sources to enhance the business value of data. But these initiatives pose a significant challenge to security and risk professionals:
Protecting sensitive data from fraudsters. Today’s fraudsters are active both inside and outside of firms, working to steal business-critical data. Inadequately secured and poorly controlled big data environments can potentially make the job of these malicious actors easier by reducing the number of systems or entry points that they must compromise in order to steal the data they need.For example, the personal data of 20 million South Koreans (40% of the country’s population) was stolen by a contract worker at the Korea Credit Bureau.
Ahead of the publication of my full report in mid-April, I wanted to follow on from my recent blog post and expand on the topic of cloud adoption in the Asia Pacific (AP) banking sector. Despite some views to the contrary, all AP banks will ultimately leverage cloud-based services and capabilities; most already do. The real challenge is mapping workloads, processes, and data to the various flavors of cloud approaches — in other words, it’s still a portfolio management exercise.
Legacy application architectures and inflexible software licensing practices will certainly influence, and potentially hinder, cloud adoption. But while banking regulations will continue to heavily influence cloud strategies, they don’t forbid them. Senior technology and business decision-makers in the AP banking sector should therefore consider the following:
- Office should be on any device or web site that customers are using to get work done. See my colleague Phillip Karcher's take on Office for iPad.
- the cloud service platform (OneDrive, Office 365, and Azure), not the operating system (Windows), is now the focus of the platforms wars.
I'd like to elaborate on the second point. The measure of a person's commitment to a particular platform or ecosystems should be the user accounts that they have, the content they store in those cloud service, and whom they trust with stored credit cards. So you can't tell if someone is an Apple customer just because they use an iPhone - you have to look inside the device to see who's apps they use most, and what cloud services they use. Many iOS customers are in fact more involved with the Google digital platform than they are with Apple's and many Android customers have little to no engagement with Google because they use the apps and services that the device maker or service provider put on their home screen. Microsoft's challenge is to get more customers engaged on their digital platform - using Outlook.com email, OneDrive for file storage, and Office 365 for productivity. So Microsoft can win in the digital platform, regardless of who's operating system is on the device.
Today Microsoft starts shipping Office for iPad, finally plugging the gap in its portfolio that’s been filled by popular document viewers and editors like QuickOffice and SlideShark.
Does this come too late for Microsoft?
As much as naysayers like to proclaim Office is dying, people still overwhelmingly use it at home and at work. Office is supported at virtually every organization. Our survey of Forrester clients at the end of last year showed strong strides by Google Docs with 13% of firms using it.* However, the caveat is companies that have gone Google are using Docs to complement Office with collaboration features and mobile support, not to replace it.
You could argue how much incremental revenue Microsoft lost out on, but I don’t think the lack of native Office apps has caused Microsoft to cede ground to other office productivity suites on the PC, where the vast majority of content is still created. Keep in mind that out of the 20% of information workers in North America and Europe that use a tablet for work, 60% of them use some office productivity software on it.** Half of tablets used for work are iPads. So immediately just 6% of information workers will be considering the Office apps as an alternative to what they are using on their tablets today.
Microsoft is officially launching the commercial operations of its cloud offerings in China today. It’s been only nine months since Steve Ballmer, the former CEO of Microsoft, made the announcement in Shanghai that Windows Azure — now renamed Microsoft Azure — would be available for preview in the Chinese market.
I call that Episode I of the China Cloud War. In the report that I published at the time, “PaaS Market Dynamics in China, 2012 To 2017”, I made three predictions — predictions that are now being fulfilled. More global players are joining the war; customers have gotten familiar with cloud concepts and are planning hybrid cloud implementations for their businesses; and traditional IT service providers have started to transform themselves into cloud service providers.
I talked with Microsoft and Citrix last week, and I strongly believe that Episode I has ended and Episode II has just begun. In the battle for partner ecosystems and real customer business, here are the three major plots that enterprise architects and CIOs in China should watch unfold:
The thrree kingdoms will fight with the gloves off. In my blog post last year, I described three kingdoms of global vendors in Chinese cloud market: Microsoft, Amazon, and vendors behind open source technology like OpenStack and CloudStack.
Microsoft is leading the market as the first company in China to provide unified solutions for public cloud, private cloud, and hybrid cloud across infrastructure (IaaS) and middleware (PaaS). This builds on its deep understanding of enterprise requirements, its massive developer base, and the ease of use on the Windows platform.
To jump on this R feeding frenzy most leading BI vendors claim that they “integrate with R”, but what does that claim really mean? Our take on this – not all BI/R integration is created equal. When evaluating BI platforms for R integration, Forrester recommends considering the following integration capabilities: