Turn Supply chain analytics to your Moneyball

Phoenix Zhang

I watched Moneyball over the weekend for the first time, and I really enjoyed it. As a nerd, I love all movies that demonstrate the power of mathematics and analytics (On top of that, Brad Pitt did a fine job).

But while everyone loves the of using statistical insight to overturn old ideas and revolutionize baseball, but why are supply chain managers reluctant to apply similar winning concepts? According to a Forrester Business Technographics Survey, only 27% of supply chain management professionals and 22% of logistics and distribution professionals are using or plan to use big data analytics or plan to. At Forrester, I frequently discuss supply chain analytics with clients and how to leverage supply chain insights to drive business growth or improve operation efficiency. Everyone knows analytics is important, but there are still plenty of myths related to what to measure, what tools to use, and what types of analytics to apply. I’d like to briefly summarize my thoughts on these three topics:

  • Focus on a few key measurements that matters the most. Don’t go down the rabbit hole of measuring everything in multiple ways. It wastes time and effort — and most importantly, it causes confusion. Define a few key performance indicators (KPIs) that accurately measure your top business priorities and stick to them. Your KPI could be perfect order percentage, on-time delivery, or perhaps percentage on base. Data will never be perfectly clean, but you need meaningful analytics, so clean it up as much as you can and establish an ongoing master program for data maintenance.
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The Business Case For Digital Transformation

Dan Bieler

Photo: Rebecca Minkoff

Digital transformation investments are ultimately about business survival through disruption. Such investments have a direct impact on customer expectations and go beyond the traditional ROI. The business case for such disruptive investments is the focus of the report, Build Your Digital Transformation Business Case Around The Customer And Revenue Growth. The scope for disruption spans the entire customer life cycle, affecting everything from the supply chain to after-sales support. The key takeaways from this report:

  • Disruptive transformation must be viewed as a strategic investment. The real value of digital transformation investments relates to long-term revenue growth, not short-term technology ROI. Bolt-on digital projects do not change the fundamental value relationship that you have with your customer. To maximize the impact of digital investments, business and technology leaders must learn to value such investments through the eyes of the company’s customers.
  • A classic ROI calculation is neither always feasible nor desirable for digital investments. Digital transformation changes business processes and models. ROI works for single digital initiatives, but not for shifts in business models. Digital investments aimed at disruptive change across the enterprise challenge traditional ROI calculations. Attributing benefits like customer satisfaction, group productivity, and group revenues — let alone business survival — to a single digital investment is impossible because so much of the impact of digital transformation is cumulative.
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Tough Decisions Made By Uber, Starbucks, Microsoft, Etc. Foretell Of Future Risk And Compliance Challenges

Chris McClean

In the past two weeks, we’ve seen Uber’s CEO respond to public criticism by stepping down from President Trump’s advisory council; Starbucks garner public support and condemnation after promising to hire 10,000 refugees; and tech giants including Google, Apple, Facebook, and Microsoft rally together to oppose the President’s recent immigration ban. In the past month, we also saw SeaWorld finally curtail its killer whale shows in California after prolonged public pressure, and artificial intelligence experts continue the contentious debate on driverless car morality.  

Executives are making very complicated moral decisions in the face of increasingly difficult situations in order to protect themselves, their stakeholders, and their brands. For anyone involved in business ethics, corporate behavior, risk management, and compliance, the world is getting more challenging and more fascinating all the time.

In our latest governance, risk, and compliance report, GRC Vision 2017-2022: Customer Demands Escalate As Regulators Falter, we examine the most critical trends that will transform risk and compliance roles over the next five years, many of which are playing out in the public eye every day:

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Check out our Infrastructure & Operations research plan for 2017...exciting stuff!

Eveline Oehrlich

Hello I&O community (or others):

We have been busy in November and December finishing some great research for the year but we ALSO planned some awesome research for you and your team coming in the near future.  Are you needing to step up to the DevOps plate?  Are you questioning what decisions to make on your cloud journey? Do you struggle to determine your multi-sourcing strategy?  Are you questioning your operational excellence around application performance monitoring?  oh and did I mention IoT and its related challenges?

Our analysts are able to help you with great research around these (and many more) topics.

But don't wait until the reports are published.  Call us, talk to us via inquiry so we can help you today and if you like we insert your success into one of our reports to encourage others.

We are very excited about 2017 as we think this is the year for I&O teams to show that improvements around customer experience depend on excellent quality and speed across infrastructure and service design and delivery.  Lets win together and shift into a high performing I&O team.  See here how: https://www.forrester.com/webinar/Forrester+Researchs+Plan+For+The+HighP...

P.S. If you don't have access to this - contact me via email (eoehrlich@forrester.com) and I can send you the deck.

Regards from all of us to all of you.

Eveline Oehrlich 

   

Categories:

AI Makers Will Squelch Free Speech

Mike Gualtieri

Artificial intelligence (AI) is real, albiet maturing slowly. You experience it when you talk to Alexa, when you see a creepily-targeted online ad, and when Netxflix turns you on toArtificial Intelligence Stranger Things. Oh yea, and that self-driving car over there is AI super-powered! AI is indeed cool, but many are scared about how it ultimatley may impact society. Stephen Hawking, Elon Musk, and even the Woz warned that "...artificial intelligence can potentially be more dangerous than nuclear war." In a nutshell, they are concerned about AI that may evolve to outsmart humans and kill people - a valid concern. But, I have another more terrifying concern that would likely be an insidious precursor to runaway, killer AI.

Billionaires And Tech Giants Will Censor AI

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Master The Cloud-Native Solution Ecosystem Of Container Software

Charlie Dai

Container technologies allow enterprises to create highly differentiated apps and services faster, with better quality and geographic reach, to create compelling customer experiences. They have quickly become an important element of digital business transformation for EA pros because they promise faster software delivery, tremendous scale, higher resiliency, greater flexibility, and broader implementation options. Everything about enterprise app infrastructures, development styles, and architectures is changing, and containers play a key role in each area.

However, Forrester’s TechRadar™ for business technology infrastructure found that containers and container management technologies are still in the Creation stage, meaning that some container components and management tools are immature and changing quickly. Companies must navigate a complex landscape of technology components to build, package, and deploy containers. To help tech management pros accelerate cloud evolution, I’ve recently published a report with Dave Bartoletti focusing on the software landscape for each layer in a typical container management software architecture. Some of the key takeaways:

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Effective Metrics Are Critical For DevOps and Agile Success

Robert Stroud

In the days of old, not very long ago, release cycles were measured in years —organizations were using “on-time” and “on-budget" as the mantra for project efficacy. Business today is compelled to deliver business technology in cycles of hours, or days. Faster cycles render not only tradition “waterfall” processes and silo based IT obsolete, it also renders traditional metrics ineffective! These arcane metrics no longer deliver the visibility and granularity tech pros need to fine-tune their delivery capability. The mission has transitioned to rapidly deliver high quality, high value solutions. For all, this is a significant shift from the past, when the main points of focus were schedule, cost, and efficiency. Modern software metrics — speed, quality, and value — are based on continuous feedback from business partners and customers.

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The Unicorn Explosion Continues

Ted Schadler

Last Spring, we predicted that we'd see carnage among tech unicorns, particularly in consumer markets. (How many food service companies and "Uber for X" companies do we really need?) We didn't (nor would we), however, predict when the carnage would come.

(Timing markets has never been in my golden gut; anticipating technology relevance is. Watches and body cameras, for example, will never be mainstream, nor will drones or curved TVs. Ping me and I'll explain why. Or do this cosmo quiz to make your own prediction for consumer technology.)

As reported (and powerfully visualized by CB Insights), Unicorns are crowding the market. Look at the density of Unicorn logos starting in February 2014, three short years ago. It's astounding. Why this proliferation? Why now? Why so dramatic?

 

I believe three things have created and propped up the Unicorn valuations of tech startups:

  1. If you're an investor, there's no place better to put your cash. The returns on real assets are small. The returns on exuberance (like big fancy new houses) can be large. So investors have lots of cash to place bets on startups that might just pop.)
  2. The recent election, with a hoped-for impact of deregulation and infrastructure spending, left the market energized about the potential for growth. The market's up. So the potential for healthy exits and IPOs (even ones without a clear revenue growth model such as Snap's) is up.
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Top Trends For Customer Service In 2017: Operations Become Smarter And More Strategic

Kate Leggett

In today's world, customers decide how customer-centric a company is. Good customer service should capture the fundamentals of a great experience: ease, effectiveness, and emotion

Looking ahead, Forrester sees 10 trends for 2017 that customer service professionals should take into account as they move the needle on the quality of service that they deliver: Here are six of them:

Customer service organizations address a smaller volume of simple voice-based customer contacts as they mature their self-service, automated engagement, and digital operations.

  • Trend No. 1: Companies extend and enhance self-service. Customers of all ages are moving away from using the phone to using self-service — web and mobile self-service, communities, virtual agents, automated chat dialogs, or chatbots — as a first point of contact with a company Dimension Data reports growth in every digital channel and a 12% decrease in phone volume. In 2017: Customer service will continue to invest in structured knowledge management and leverage communities to extend the reach of curated content. Service will become more ubiquitous, via speech interfaces, devices with embedded knowledge, and wearables for service technicians.
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Around the world, strong public cloud platform Leaders mask local complexity and difference

Paul Miller


(Public Domain image taken taken by US Astronaut Terry Virts, Jan. 30, 2015)

Towards the end of last year, Forrester published four tightly connected Wave evaluations. These assessed the 18 most significant providers of public cloud platforms, looking globally, in Australia and New Zealand, in Europe, and in China. Now we’ve published a fifth document, which digs into the trends we observe across all four regions. More on that in a moment.

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