Operations - sapevent.ch

Operations in a Networked World
SAP / Basel, 20 April 2015
Ruediger Spies, VP Enterprise SW Markets
[email protected], +49-171-8218062
© CXP-PAC / RS 2015
Business Environment
•
Economy generally OK / political risks
•
Customer expectations growing
•
Digitization challenges existing
Dollar / €uro
business models (IoT, Big Data, …)
•
Talent Management requirements
growing (Mobile, Social, Cloud,
Analytics)
•
Security is a key concern
•
Operational Efficiency
Overall: Business as usual with „some new flavor“
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© CXP-PAC / RS 2015
Technical Environment
CIO Headaches
 Cloud changes everything: for
 users & providers & service companies
 … & Social & Mobile & Big Data …
 In-memory Computing challenges
existing architectures
 Security reaches highest priority
 Data volumes exploding
 Skill management
IT is facing (again) major changes.
3
© CXP-PAC / RS 2015
Hot Topics
• Drivers for Buz & IT
• Complexity & Types of Innovation
• What did SAP do?
• Skills
• What else is coming?
The only constant is called CHANGE!
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© CXP-PAC / RS 2015
Priorities 2015+
Economic challenges for company
costs reduction &
efficiency
55
control & process
transparency
40
reach customers &
revenue
73
25
0
20
50
worldwide
45
40
48
smooth & secure IT op's
43
changing customer needs
41
IT professional skill shortage
34
41
60
0
80 %
worldwide
64
55
49
36
37
impacts of digitization
Switzerland
Source: CXP/PAC,
66
63
47
49
economic situation
0
contribution of IT to buz proc
cost reduction & eff. in IT…
47
agility & innovation
IT challenges for company
50
%
100
Switzerland
CxO 1800 Investment Priorities, Dec. 2014 / Jan. 2015
Switzerland  cost reduction, innovation, security, contribution
5
© CXP-PAC / RS 2015
Complexity
Frontend Complexity
BPM
ERP
HR
SS
Shops
social,
mobile
Svc
Mark- mngt
eting
BI
BA
MDM
CRM
Backend Complexity
Multiple DBs
Multiple data formats
Multiple backups
Multiple release cycles
Multiple special skills
 Integration, ETL, DataMarts
…
•
•
•
•
•
•
SCM
Ease of Use has its price  … it is backend complexity
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© CXP-PAC / RS 2015
Types / Ways of Innovation
within own organization
competency enhancing
incremental
modular
product
architectual
effectiveness external
process
efficiency internal
radical
competency destroying
new skill base required go external
I
N
N
O
V
A
T
I
O
N
•
Collaboration
 user groups
•
Joint venture
 co-innovation
•
Licensing-in
 buying software, services
•
Outsourcing
 often done, seldom successful
•
Collective research orga
 e.g., „VCI“, but competition
•
Spin-off
 how to get it back?
Core question: How to keep the current operation running
while doing something different, experimenting, etc. at the same time?
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 Operation with different speeds: slow & stable // fast and innovative
© CXP-PAC / RS 2015
Applied to IT: Option 1
•
•
„speedboats“
• attractive for new talent
• fast „on/off“
• no enterprise process
• link to backend may be a problem
backend
• continue w/ experienced team
• as little changes as possible
• focus on efficiency at backend
• increases budget flexibility
„+“: easy to implement
8
in
house
codev.
in
Cloud
spinoff
speed-2 = higher
systems of engagement
core system / system of record
in house – speed-1
„-“: transition into production
© CXP-PAC / RS 2015
Applied to IT: Option 2
•
•
backend
• outsourced / in the Cloud
• easier w/ standard systems
• personnel transition?
• control of development?
„speedboats“
• attractive for new talent
• strong architects required
• learning / skills in-house
• may be slower under
enterprise rules
• better linked to own brand
„+“: all future skills in-house
9
core system / system of record
speed-1 – outsourcing / Cloud
inhouse
codev.
spinoff
in
Cloud
speed-2 = higher
systems of engagement
„-“: dramatical change, disruptive
© CXP-PAC / RS 2015
What did SAP do?
the game changer
•
Competitive view: „change the game“
•
Backend  radical innovation
•
•
•
Skills destroying
Architectural impact
Becomes the “new normal”
S/4
and enabling …
•
… new modular innovation
•
•
•
Skills preserving / enhancing
Mainly user interface
For new “light-weight” processes
Best of both worlds using all competencies of classical strategists.
10
© CXP-PAC / RS 2015
What 2do?
•
new normal
Make your homework – learn everything
about the new enterprise SW world
•
Re-think Cloud engagements
•
5 cloud questions to ask
•
What does hybrid mean for us?
•
What about data security?
•
Who owns the Cloud DC?
•
Where is the Cloud DC?
•
What about the end of the Cloud contract?
•
Re-assess your current IT architecture
•
Address fears
S4/Hana defines the new normal.
For most IT operations it is a
disruptive change
Work starts now – although SAP tries to conciliate ….
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© CXP-PAC / RS 2015
Main Challenge: Skills / Re-Skilling / Learning
enhance your skills
•
Remember BSC ….  „what are we learning“
•
De-emphasize classical data movement,
backup, ETL, DataMarts, classical operations
database management, …
•
Invest in architecture skills for hybrid
Cloud deployment
•
Security
•
Agile / Scrum / mobile Apps development
Never stop learning! Reinvent yourself!
Apply portfolio management to skills development - formally!
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© CXP-PAC / RS 2015
What‘s next?
SAP business network
•
In-memory is a done deal
•
Real Cloud business players …
… make money with transactions
•
Digitization drives “IEI”
(inter enterprise integration)
… on process and content level
•
SAP is well prepared
•
Ariba = Start as procurement network
•
Other options: automotive network, retail network,
medical network, oil&gas exchange, …
Think ahead and prepare your buz. colleagues for the next big thing
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© CXP-PAC / RS 2015
Operations in a Networked World
Bottom Line
• The drivers have only changed little – but at a core point  speed
• „Innovate or die“  apply innovation strategy of your enterprise to IT
• “2 speed IT”
• SAP’s genius trick: change the game
• Leader’s requirement: portfolio management for skills
• Be prepared for the next major push: Business Networks
Business Impact: SAP‘s new offerings are challenging current
operations. Those who take this as an opportunity will win.
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© CXP-PAC / RS 2015
Questions / Comments / Corrections?
Many thanks!
Ruediger Spies
Ind. VP Software Markets
 Email: [email protected]
 Phone: +49-171-821.80.62
© PAC 2015
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SAP Forum Basel 2015 - SAP Professionals Day
Stream Operations - On Premise – Cloud – Hybrid? Wohin geht die Reise?
Raum Singapore
11.00 – 11.45 Uhr
Operations in a Networked World –
Das SAP CC in einer vernetzten Welt
Rüdiger Spies,
Ind. VP Enterprise Software Markets,
Industry Analyst CXP Group / PAC
12.00 – 12.45 Uhr
SAP Betrieb im Spannungsfeld von hybriden
Cloud-Szenarien, TCO und Sicherheit
Dr. Arndt-Alexander Boehnert,
SAP Deutschland SE & Co.KG
15.00 – 15.45 Uhr
Geberit setzt weltweit auf SAP HANA: Einblick in
Einführung und Betrieb
Manfred Bantle
Head of SAP Service Center
Geberit
16.15 – 17.00 Uhr
Cisco – die richtige Architektur für Big Data und
Internet of Things
Josephine Bruggeman,
Cisco Systems, Inc.