Driving Business Growth in the Age of Innovation
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Driving Business Growth in the Age of Innovation by Nutapone Apiluktoyanunt
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Driving Business Growth in the Age of Innovation
- 1. Driving Business Growth in the Age of Innovation Nutapone Apiluktoyanunt Country Manager 7 September 2012
- 2. Thailand in the Age of Innovation Cloud Big Data SaaS, IaaS, Analytics PaaS AEC 2015 Mobile Device Security IDC, 2 “Top 10 Predictions, Worldwide CIO Agenda 2012 Top 10 Predictions,” David McNally, Meredith Whalen, January 2012. IDC #232816. Volume 1.
- 3. Future Role of CIOs: Digital Literacy Thailand Commissioned by CA Technologies, conducted globally by independent specialist technology market research company Vanson Bourne 685 telephone interviews CIOs in organisations of 500 or more employees in the telecommunications, retail, financial and manufacturing sectors In Asia Pacific, CIOs were interviewed in each of the following markets – Australia, China, Hong Kong, India, Malaysia, Singapore, Korea, Taiwan and Thailand 3 Copyright © 2012 CA. All rights reserved.
- 4. Future Role of CIOs: Digital Literacy Thailand - Key Findings 77% of management in Thailand see the strategic importance of IT Only 50% of CIOs in Thailand are always 23%: IT is not or Involved in defining slightly important business strategies 77%: IT is very strategic or fundamental to business success 4 Copyright © 2012 CA. All rights reserved.
- 5. Future Role of CIOs: Digital Literacy Thailand - Key Findings Lack of digital literacy amongst senior executives could be hampering business growth Fully understand new technologies 10% Do not really understand new technologies 90% 5 Copyright © 2012 CA. All rights reserved.
- 6. Future Role of CIOs: Digital Literacy Thailand - Key Findings Lack of digital literacy amongst senior executives leads to missed business opportunities and lack of responsiveness 27% of CIOs in Thailand believe the C-suite does not understand the impact of new and emerging technologies 57 % of CIOs feel that low digital literacy of business leaders leads to missed business opportunities, low responsiveness Only 3% of CIOs in Thailand feel that their definition of CIO role is the same with management members Copyright © 2012 CA. All rights reserved. 6 6
- 7. CA Technologies believes that… CIOs should… “No, IT Be more involved usage is not maximized” 40% Be more transformative “Yes, IT usage is Have the tools to maximized” 60% innovate 7 Copyright © 2012 CA. All rights reserved.
- 8. “New Normal” gap requires a new way of delivering business services that drive revenue BUSINESS DEMAND IT must deliver new services to support FOR INNOVATION initiatives that drive revenue Client Mobility Social Big Data SaaS Experience IT must fill this growing gap! While optimizing delivery of mainstream IT Agile Cloud Standardized Automation Bring Your Rationalization Delivery Infrastructure Reengineering Own Device IT CAPACITY FOR INNOVATION TRANSFORM FROM MAINTAINING TECHNOLOGY TO DELIVERING INNOVATION 8 Copyright © 2012 CA. All rights reserved.
- 9. Cross industry challenges making this transformation difficult Can’t bring new ideas to market quickly enough Current IT is expensive to sustain and maintain Security risks are increasing dramatically 9 Copyright © 2012 CA. All rights reserved.
- 10. What do you need to do to make this shift? • Deliver services faster with Drive Innovation better quality by leveraging new • Optimize portfolio for greatest technologies and the cloud ACCELERATE return to meet business needs • Respond quickly to new demands Free Up Resources • Transform from manual to automated by improving efficiency and managing TRANSFORM • Focus on service experience instead of infrastructure complexity • Reduce costs and cycle times • Secure online business to Reduce Risk increase revenue of data breach, improper SECURE • Decrease security risk access and fraud • Simplify compliance 10 Copyright © 2012 CA. All rights reserved.
- 11. CA Strategies for driving business innovation DRIVE INNOVATION FREE UP RESOURCES REDUCE RISK
- 12. CA Technologies Changing the way IT is managed RANKED #1 in Forrester’s list of IT Management Software Vendors by Revenue RANKED #2 Cloud Systems Management Software Vendor CA Technologies is a One of Fortune Magazine’s Most leading provider of IT Admired Companies (software management software and industry) solutions to global private and public enterprises. One of Newsweek’s Top 10 greenest companies 35 years managing complex IT environments $4.8 billion annual revenue & 12 Copyright © 2012 CA. All rights reserved. strong profit
- 13. Summary Our Technology Our Experience Our Our Commitment Investment in to this Innovation Market
- 14. Thank you 14 Copyright © 2012 CA. All rights reserved.
Notas del editor
- The Age of Innovation has arrivedEveryone in this room is going to participate in the Age of Innovation driven by technologyUnleashed at break-neck speedCloud computing can deliver amazing amounts of computing power at fractions of the cost The proliferation of mobile devices means you can interact with your customers in new ways and around the clock. In Thailand, we will see five major innovations:Cloud ComputingThe explosion of Software, Platform and Infrastructure as-a-serviceSecurityMobile DevicesBig data analyticsCloud Computing Developments in cloud technologies and its related services have been ongoing since the debut of the cloud in 2010. In 2011, there was a wide adoption of cloud layers such as infrastructure-as-a-service (IAAS) and application-as-a-service (AaaS) among IT Services Providers (ITSP), Internet Service Providers (ISP), and datacenter service providers. These developments have provided a strong foundation for cloud and its related technology and services in the country. According to IDC, in 2012 expects cloud computing to attract more attention from enterprises such as the financial services, telecommunication, manufacturing, and services sectors. IDC expects that Cloud at IaaS layer will be the champion service among the cloud services category (the others are AaaS and PaaS). This is because most ITSP and SPs in telecommunication have invested and improved their cloud system infrastructure to cope with upcoming demands from the market.SaaS, IaaS, PaaSInitial low cost of implementation and flexibility of usage ,coupled with a growing mindset among enterprises and business users to try web-based applications, are among the key factors that have contributed to a dynamic regional SaaS market. The APAC Software as a Service (SaaS) market is expected to grow from $390 million in 2008 to $4321 million in 2015, at an estimated CAGR of 41.0% from 2008 to 2015. The appeal and reach of software as a service (SaaS) continue to grow rapidly among enterprises in Asia PacificSecurityIn Thailand, small and medium enterprise companies today are facing threats from both sides of the law. On one side are the hackers, fraudsters, virus makers and disgruntled employees who will steal your data, sabotage your systems and potentially ruin your business. On the other side are government bodies imposing new rules and regulations, backed by significant legal penalties for those who don't comply.There are a unique blend of existing computer security systems, which were only available to big business, mixed together with internally developed applications to create a perfect combination targeting SMBs, all backed up by years of expertise in the field of Information Systems Security and delivered according to a model of reliability usually only available to large corporations. Mobile DeviceIDC expects mobile data to become the key growth factor for Thailand’s telecom services market in 2012, expanding by 15.5% YoY to reach USD$ 968 million in 2012. The growth will be mainly driven by multimedia services such as mobile web browsing, mobile internet, VDO streaming, and e-mail services.Thailand’s mobile market had reached 79 million subscribers coming into 2012, for an overall penetration of 113%.http://www.budde.com.au/Research/Thailand-Telecoms-Mobile-Broadband-and-Forecasts.htmlGrowing demand for big data analyticsBig data is the most discussed phrase in the IT business world today. In recent times, as a result of the rise and expansion of distinct sources (laptops, mobile devices, tablets social networks, real-time data stores, etc.) beyond just corporate transactions, there has been an explosive growth in data. Today, there are tools available that make it possible to generate insights from vast quantity of data.In Thailand, social media is getting widely adopted by enterprises and the public sector is encouraging investments in analytics to comprehend online community feedback and sentiments. (Source: IDC Tech Trends 2012
- But there are encouraging signs in Thailand…77 % of Thai CIOs in the study felt that their management team consider IT to be strategically important. However, only 50 percent of CIOs are involved in the strategic decision making process, impending the digital strategic thinking of the senior leadership team.
- 90percent of the Thai CIOs interviewed believe a lack of digital literacy amongst senior execs could be hampering business growth.Only 10 percent of Thai CIOs in the study felt that their management fully understand the capabilities and impact of new and emerging technologies. This is half as compared to the 20 percent in Asian markets who felt the same way.
- Only 60 % felt that their organization is maximizing IT. This is an area that can be improved. Based on the study, we can conclude that:CIOs need to be more involved as a member of the business leadership team and communicate the value of technology more effectivelyCIO’s role can be transformative when the management team fully embraces potential of technologyCA Technologies can help ensure that CIOs have the tools they need to communicate value effectively to the business
- Over the last few years, we have seen some big changes in the technology space. As most economies came slowly out of recession, pressure increased on organizations to deliver stronger business outcomes, to innovate and grow. Leading businesses began to leverage new technologies, and look for new business-centric innovations, demanding more from IT. For example, helping staff use mobile devices and applications to enable workforce mobility, or using new cloud services and social media like Facebook or Twitter to retain existing customers and attract new ones, and penetrate new markets. But IT is struggling to satisfy this demand for new technology initiatives with their existing investments, resources, and budgets. Many are spending most of their budget for ongoing operations and are not able to deliver new services fast enough and are challenged by security, privacy, and compliance concerns. Meanwhile business departments are acquiring new technology directly - buying their new own devices, using online and cloud services, working directly with service providers and outsourcers. Which means this gap is just getting bigger, and more unsustainable. For IT to remain relevant to the business, they must focus on supporting “above-the-line” initiatives that drive revenue and growth, while at the same time optimizing how they deliver the “below-the-line” IT initiatives that keep the business running and the lights on. The real opportunity is for IT is to transform from managing technology to delivering innovation. But actually realizing this transformation comes with a number of challenges.
- CHALLENGES MAKING THIS TRANSFORMATIONAnd yet…making this transformative leap, as we all know, is easier said than done. We all want to lead our markets; we all want to become more strategic, we all want to create that next great application, product or service – the next iPad, the next Angry Birds, the next Facebook. From my conversations with customers, I believe there are 3 fundamental challenges that are the primary obstacles getting in the way of IT’s ability to drive business innovation: - Innovation is being delivered to market too slowly Customers talk about how skills and resources are misaligned and siloed and this inhibits innovation. Traditional service delivery hampers the ability to improve time to value. The way that ideas work through the organization – how you choose what to develop – isn’t conducive to improving cycle time. - Our IT infrastructures are too expensive to sustain and maintain Most IT executives say that IT complexity continues to increase, and yet productivity is shrinking, systems are fragile and we are spending more and more time trying to maintain them. Somewhere between 70 and 80% of IT budgets are going towards ongoing maintenance rather than new project work and that makes it difficult to make this transformation.- Security risks are increasing exponentially IT is in a position where it feels it needs to lock down systems and maintain control and compliance. But business users are looking for openness and they want to bring new devices and use new online applications and more. These security risks are creating new challenges and inhibiting innovation.-Now, I am going to hand it over to KhunSuthep who will share with you findings from a new survey report that will shed light on what’s deterring innovation in Thailand.
- So, how do you make this transition? In our view it takes three major strategies. IT must accelerate the pace at which it delivers innovation, by capitalizing on new technologies such as mobile and the cloud. This will enable you to deliver new services faster and with better quality, optimize your portfolio for greatest return, and respond quickly to changing business demands. Most importantly it will ensure that your IT organization remains relevant to the business. At the same time, you need to transform IT to free up resources by improving efficiency, taking costs out of the system and managing growing complexity. This will enable investments to shift towards delivering new innovative services. It will also enable you to focus on the overall service experience rather than just on managing the infrastructure. Lastly, you must secure IT and reduce risk to ensure that critical data and identities are protected even in the face of an explosion in end-point devices and new ways of accessing information via public clouds. This will enable you to secure new online businesses that will drive revenue, decrease risk and ensure compliance. Now I would like to discuss CA Technologies and our approach to help you accelerate, transform and secure your environment.
- STRATEGIES FOR DRIVING BUSINESS INNOVATIONHow can we overcome these barriers? At CA Technologies, we believe there are 3 essential strategies that are necessary to drive business innovation. The first strategy is to accelerate your pace of innovation. You need to be able to leverage new technologies, such as mobile and cloud, so you can meet the demand for new services. You need to know that you’re making the right investment decisions and you need to be able to shrink your development cycle times so you can bring innovative services to market much more quickly. To create sustainable growth, competitive differentiation and market relevance, you have to transform your infrastructure to free up capacity for innovation…by improving efficiency, managing complexity, and reducing costs. We have to start thinking about moving from an infrastructure-component focused organization to one focused on end-to-end service management and user experience; from manual to automated, slow to fast, fragile to agile.Now... as we accelerate and transform our businesses services, the question of security . . . of managing identities and managing access . . . becomes more important than ever. This brings us to our third, and arguably the most critical strategy to secure your online business…Secure by reducing risk, protecting against improper access and fraud, and simplifying compliance. You must ensure that critical data and identities are protected in order to secure online business and extend customer reach—even in the face of an explosion in end-point devices and new ways of accessing information via public clouds. The combination of these three strategies is an approach we call Business Service Innovation. It’s how we are helping our customers transition from managing and maintaining IT systems to delivering new, innovative services. Each of these strategies has their own challenges. But you have a partner in us to take these challenges head on. We’re investing in these key areas and are committed to your success.So let me talk about those 3 areas in a bit more detail.
- Broad and deep portfolio of solutions that deliver business outcomes across the entire business services lifecycleInnovation through organic investments and acquisitionsCustomer choice: multi-platform and system agnostic, consume software the way you want – on-premise, on-demand, service providers