Benchmarking Digital Readiness: Moving at the Speed of the Market
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This document discusses how companies can benchmark their digital readiness and move faster in the digital market. It finds that digital leaders who adopt apps, APIs, and data analytics outperform digital laggards. To move up, companies need business and technology leadership. They should think strategically about customer experience, operations, data, and innovation to access new revenue channels beyond direct monetization. Technologically, companies should take a "cloud first" and "outside in" approach to deliver fast, differentiated customer experiences through systems of engagement built on APIs and backends.
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Benchmarking Digital Readiness: Moving at the Speed of the Market
- 1. Moving at the new speed of the market: Benchmarking your digital readiness with real-world data
- 2. Bryan Kirschner Apigee Brian Pagano Apigee Max Furmanov Accenture
- 3. Bryan Kirschner Apigee Brian Pagano Apigee Max Furmanov Accenture dozens hundreds thousands
- 4. Benchmarking the new world competitive environment…
- 5. Fast-growing “digital shadow” of devices & data Ratio of 1 device + 1 GB of data per human worldwide 2010 2011 2012 2013E 2014E 2015E 2016E 2017E 2018E PC Phone/Tablet IOT/Wearables Data (GB) Index Figure scaled to 1:1 Source: Apigee Institute analysis of multiple data sources including IDC, World Bank, United Nations, BI Intelligence, Kleiner-Perkins
- 6. Fast-growing “digital shadow” of devices & data Ratio of 1 device + 1 GB of data per human worldwide Estimated change in 1K Mbps bandwidth / $1 USD 2010 2011 2012 2013E 2014E 2015E 2016E 2017E 2018E PC Phone/Tablet IOT/Wearables Data (GB) Index Figure scaled to 1:1 Source: Apigee Institute analysis of multiple data sources including IDC, World Bank, United Nations, BI Intelligence, Kleiner-Perkins
- 7. Digital leaders beating digital laggards Comparison of company's performance to others in the sector over last 12 months New Products & Services Market Share Gross Revenue Customer Satisfaction Leaders: top 2 quartiles on Apps, APIs & Data Analytics Outperformed a lot Outperformed a little Laggards: bottom 2 quartiles on Apps, APIs & OutperformDeda taa l oAtnalyOticustperformed a little Margin 31 10 24 13 37 15 28 12 23 100 75 50 25 11 0 Percentage Source: Three Apigee Institute Surveys of business and IT decision makers at companies with over $500M in annual revenue; total n = 1,321
- 8. Battle to turn digital capabilities into competitive advantage Distribution of 1,000+ large companies 2013-2014 Digital Leaders 15% Digital Laggards Market Leaders Market Laggards 31% 34% 19% 11% Source: Three Apigee Institute Surveys of business and IT decision makers at companies with over $500M in annual revenue; total n = 1,321
- 9. How do you move up & right?
- 10. Business leadership • C-Suite declaration of digital transformation & accountable C-level leader • Enterprise-level KPIs established for digital impact • Create ways to monetize data and services
- 11. Think Bigger: 4 Strategic Objectives to identify Opportunities Beyond Direct Monetization Copyright © 2014 Accenture All rights reserved. Enablement of broader digital strategy will bring better and new experiences to customers Direct monetization is transactional and confining to existing business models
- 12. 1. Ubiquitous Customer Experience • Anytime & anywhere • Consistent while channel-appropriate experience • Abstraction from irrelevant internal decisions Copyright © 2014 Accenture All rights reserved. Broaden customer base Reduce customer attrition Lower cost to serve through better self service
- 13. 2. Industrialized Operations • Next generation controls • Real-time optimization • Automation & Dynamic adjustment • “Free developers” Copyright © 2014 Accenture All rights reserved. Reduce operating costs Accelerated time to market
- 14. 3. Big[ger] Data • Big Data = correlating information within your enterprise • Bigger Data = correlating information across enterprises • Better customer insight & tailored services Copyright © 2014 Accenture All rights reserved. Targeted marketing Data monetization
- 15. 4. Innovation • Become part of others’ value chain • Grow business at the edge, around traditional core • Spur innovation from outside, access new resources Copyright © 2014 Accenture All rights reserved. New revenue channels through service monetization
- 16. Moving Up Value Chain Offering Products & Services Copyright © 2014 Accenture All rights reserved. Enable Larger Value Chain Become A Platform Digital Capability Revenue Channels
- 17. Technology leadership • “Cloud first” approach • “Outside in” mind shift • Master two-speed IT: “first gear” for maintaining systems of record & “top gear” for delivering systems of engagement at the pace of the market
- 18. Systems of engagement • Experimentation • Differentiation • Speed, Agility • Well-defined • Commoditized • Stability, Efficiency Systems of record
- 19. APIs Backends
- 20. Aim big and (re)architect to move fast
- 21. What stands in the way?
- 22. What stands in the^ way?
- 23. Love APIs? Help Write the Book • Request invitation to Getting Digital Insiders: email to institute@apigee.com • @sramji @bryan_kirschner A project of the Apigee Institute Coming September 2015 #gettingdigitalbook
- 24. Thank you
Notes de l'éditeur
- Between us we bring perspective from dozens of in-depth digital transformations in large organizations, hundreds of conversations with executives and technologists and more surveys data into the thousands of datapoints – this is what we want to bring to bear today to help you achieve speed & success in the new world… [which is true]
- Between us we bring perspective from dozens of in-depth digital transformations in large organizations, hundreds of conversations with executives and technologists and more surveys data into the thousands of datapoints – this is what we want to bring to bear today to help you achieve speed & success in the new world… [which is true]
- Discussion – case studies, anecdotes, insights, data (all) First 2 based on Apigee data/examples – added focus area for 3rd based on Max’s paper Then Max does a double click to lead the monetization discussion - Max leads, others support
- Based on Apigee exmaples & data – I think we’re pretty well aligned with Accenture Brian I was thinking you double clock on 2 speed IT and lead deeper discussion…
- Summary – and transition…
- …too what have we seen are the anti-patterns and barriers (brief before we transition to…)
- …Let’s ask you, the audience, pick our brains – what stands in your way that we havent mentioned, that we have but havent solved etc… (this should be the fun part)…
- Across Apigee we constantly ask ourselves what we can do to help our customers accelerate their progress and power up the ecosystem. In the past year we’ve seen digital go mainstream. But we have not yet seen a comprehensive guide built specificallty to equip current and aspiring executives to lead their organizations to outrageous success in the digital world. Over the next 12 months, Apigee’s Chief Strategy Officer, Sam Ramji and Director of the Apigee Institute, Bryan Kirschner have committed to creating this book. But we can’t do it without you. It’s the collective experience and perspective from the community of people represented here that will make it great. We want to invite you to join us as a “Getting Digital Insider” to help co-create this book by sharing your insight, steering our efforts, while, of course, getting an early look at its contents along the way. Please request an invitation at the Apigee Institute station at the IoT exhibit or directly from institute@apigee.com And use our hashtag #fortmeetup to say hello to @bryan_kirschner or @sramji while you’re here.