Forrester Blogs For Business Technology Professionals
This is a roll-up of all Forrester blogs written for Business Technology Professionals. Role-specific blogs are listed below. Visit Forrester.com to learn how we make Business Technology Professionals successful every day.
A question I hear frequently from Forrester clients: “Which WCM is the best for our organization?” My nearly universal response: “Tell me your priorities.”
Rarely is there one “best WCM” that meets all of a firm’s objectives for web content management and digital experience, so let’s dispel that myth right now. Instead, it’s a trade-off where your specific requirements should influence your investigation, direct you to a shortlist, and help you make an informed choice.
The WCM Wave Report (and the accompanying Excel with detailed product capabilities) is a powerful tool to help enterprise buyers compare solutions. It’s helpful only if you have some idea of the problems you’re trying to solve and the strategic opportunities you need to focus on.
Priorities matter. Or, more accurately, your priorities matter. Your priorities are different than those of the company across the street. It’s a big and confusing market, too. Although we cover 10 WCM solutions in the Wave, there are many additional viable solutions.
Dane Anderson, Dan Bieler, Charlie Kun Dai, Chris Mines, Nupur Singh Andley, Tirthankar Sen, Christopher Voce, Bryan Wang
Huawei is one of the most intriguing companies in the ICT industry, but its overall strategy remains largely unchanged: imitating established products and services, then adjusting and enhancing them, and making them available at an attractive price point. But to be fair: Huawei is pushing more and more innovative products.
In 2012, Huawei’s annual revenue growth slowed down to 8% to CNY 220 billion (about US$ 35 billion). During the same period, its EBIT margin remained flat at 9%, despite the changing revenue composition due to the growth of its consumer and enterprise business. Unlike last year’s event which was dominated by the announcement to push into the enterprise space, this year’s Global Analyst Summit in Shenzhen saw little ground breaking news. It was more of a progress report:
Dell just picked up Enstratius for an undisclosed amount today, making the cloud management vendor the latest well-known cloud controller to get snapped up by a big infrastructure or OS vendor. Dell will add Enstratius cloud management capabilities to its existing management suite for converged and cloudy infrastructure, which includes element manager and configuration automator Active System Manager (ASM, the re-named assets acquired with Gale Technologies in November), Quest Foglight performance monitoring, and (maybe) what’s still around from Scalent and DynamicOps.
This is a good move for Dell, but it doesn’t exactly clarify where all these management capabilities will fall out. The current ASM product seems to be a combo of code from the original Scalent acquisition upgraded with the GaleForce product; regardless of what’s in it, though, what it does is discover, configure and deploy physical and virtual converged infrastructure components. A private cloud automation platform, basically. Like all private cloud management stacks, it does rapid template-based provisioning and workflow orchestration. But it doesn’t provision apps or provision to public or open-source cloud stacks. That’s where Enstratius comes in.
Agents turn over in contact centers, and managing your turnover rate is a fact of life. Low agent turnover rates are those that are below 20% a year, and some contact centers have turnover rates as low as 5%. Turnover rates higher than 50% are considered high, and some contact centers have attrition rates of more than 100% a year. Turnover impacts organizations because of recruiting and training costs, and ongoing agent morale issues which can impact customer satisfaction. As turnover costs must be built into overall contact center plans, its important to have an attrition benchmark and manage your operations to that number.
Not all turnover is the same. It is useful to quantify each turnover event as voluntary or involuntary, and understand the causes of turnover so that you can address them, especially if your metric far exceeds the benchmark that you have set for the organization. Common causes of turnover are:
Involuntary turnover: This is attributable to a mismatch between the contact center agent and the expectations of the position for which the agent is hired. Examples include poor hiring and training practices; poor job descriptions; effort required for the job that were miscommunicated during interviewing; poor toolset that causes overly-long training times.
Voluntary turnover: This is attributable to the contact center organization not meeting long term job expectations of the contact center agent. Examples include job monotony; better pay elsewhere; lack of career advancement; poor management; over- supervision; lack of empowerment to solve customer issues; lack of control of personal schedules; frustration with the toolset; stress of dealing with irate customers.
As a follow up to his presentation at the 2013 itSMF Norway conference, Stuart Rance of HP has kindly donated some practical advice for those struggling with availability.
Many IT organizations define availability for IT services using a percentage (e.g. 99.999% or “five 9s”) without any clear understanding of what the number means, or how it could be measured. This often leads to dissatisfaction, with IT reporting that they have met their goals even though the customer is not satisfied.
A simple calculation of availability is based on agreed service time (AST), and downtime (DT).
If AST is 100 hours and downtime is 2 hours then availability would be
Customers are interested in their ability to use IT Services to support business processes. Availability reports will only be meaningful if they describe things the customer cares about, for example the ability to send and receive emails, or to withdraw cash from ATMs.
Number and duration of outages
A service that should be available for 100 hours and has 98% availability has 2 hours downtime. This could be a single 2 hour incident, or many shorter incidents. The relative impact of a single long incident or many shorter incidents is different for different business processes. For example, a billing run that has to be restarted and takes 2 days to complete will be seriously impacted by each outage, but the outage duration may not be important. A web-based shopping site may not be impacted by a 2 minute outage, but after 2 hours the loss of customers could be significant. Table 1 shows some examples of how an SLA might be documented to show this varying impact.
In Forrester’s latest report, “Tracking The Renegade Technology Buyer,” we uncover the motivations and technology spending priorities of over 1,000 North American and European business executives. The data from the Forrsights Business Decision-Makers Survey was collected in Q4, 2012. Of the 891 respondents that had a budget over US$1 million, 824 spent their own money on hardware, software, telecom or services. Twenty-four percent of the 891 spent over 21% of their budget on technology, accounting for over $US 31 billion in expenditures. Senior management and sales and marketing were the top spending business functions and financial services/insurance and telecom/utilities lead the pack from a vertical perspective.
So why are business leaders carving out part of their own budgets for technology? It’s contrary to what you think. The high business spenders are not doing it because it is faster or cheaper than central IT – they are doing it because they see technology as too important to their success not to be involved. In parallel, senior management is more relaxed in dealing with the technology – 33% of the high spenders say there technology IQ has increased and they are more comfortable working with IT. Another 20% say that their use of consumer technology has changed their expectations of how technology should be used. The consumerization of IT is not just about younger Gen Y staff wanting to bring their own Macs and iPhones to the office; just as or more importantly, it’s also changing the way senior managers drive business and technology strategy.
There is a scene in the Broadway hit Spamalot in which a peasant jumps up from a cart of corpses and vigorously complains that he's "not dead yet". It's a humorous side-story to the main theme of the search for the Holy Grail. One might be accused of thinking of COBOL in the same way, as a side-story to the current major themes of mobile and web development, or perhaps as a historical footnote to the current narrative. IBM's recent announcement of major upgrades to its COBOL compiler technology provides a good reason to pause in our headlong pursuit of the latest technology to reflect on the value of COBOL applications in enterprise software portfolios.
While mobile and web technologies often garner everyone’s attention, the reality is that most organizations that have been around for more than 30 years still run their core business processes using systems that were written in COBOL. Anything that makes these apps easier to evolve and extend is a very good thing. The reality is that evolution and extension of these apps is critical to business success. In order for the flashy-new-social-networking-enabled mobile and web Systems of Engagement to succeed, the workhorse Systems of Record and Systems of Operation are going to have to evolve apace. This means that they must take advantage of the latest architectures as well as being refactored and modularized to align with a service delivery model.
I promised a second blog based on the English-language presentations at the itSMF Norway annual conference but then I had a better idea … rather than just giving you the something akin to Twitter highlights I decided to be cheeky and ask a couple of the presenters to write blogs based on their presentations. Smart or lazy, I think it is better for you the reader.
Here is the first from Paul Wilkinson of GamingWorks – no stranger to writing blogs for my Forrester blog roll. The second is by Stuart Rance of HP and this will appear soon. Paul’s topic?
“How to improve the Return On Value (ROV) of an IT service management training initiative”
To quote Paul: “Hardly an innovative, exciting, sexy subject when everybody wants to hear about cloud, BYOD, social media, and all that new stuff.” BUT Paul was asked to present the same session he delivered in 2012 given that it was one of the top 3 well-received the previous year. I personally thoroughly enjoyed it – Paul is good at making you believe that there is “a better way” when it comes to changing the way we think about IT service delivery.
What were Paul’s key messages?
What was so important? Why should you read on? What should YOU now do differently?
Paul set the scene nicely. In his words (with a little editing by yours truly):
BI professionals spend a significant portion of their time trying to instill the discipline of datadriven performance management into their business partners. However, isn’t there something wrong with teaching someone else to fly when you’re still learning to walk? Few BI pros have a way to measure their BI performance quantitatively (46% do not measure BI performance efficiencies and 55% do not measure effectiveness). Everyone collects statistics on the database and BI application server performance, and many conduct periodic surveys to gauge business users’ level of satisfaction. But how do you really know if you have a high-performing, widely used, popular BI environment? For example, you should know BI performance
Efficiency metrics such as number of times a report is used or a number of duplicate/similar reports, etc
Effectiveness metrics such as average number of clicks to find a report and clicks within a report to find an answer to a question and many others
Metric attributes/dimensions such as users, roles, departments, LOBs, regions and others
I’ve written a number of blogs about IT service management (ITSM) and IT service delivery many of which have expressed opinions based on observations and conversations rather than “facts.” A new Forrester report by my colleague Eveline Oehrlich has some facts to substantiate what we already knew even if we chose to ignore it.
This is one of those pictures that really is worth a thousand words. In fact all three of these figures make it easy for me to cut short the commentary.
It’s interesting to see the geographical differences but, despite these, we still see a consistent gap or gulf between “How IT thinks it is doing” and “How customers think IT is doing.” Funny how our metrics aren’t a sea of red – in fact our metrics dashboard is often a sea of green.
“But that’s just perceptions” I hear you cry, “We still do a fantastic job in enabling business activities with cutting-edge IT.” But could we do better? Please read on …