presentations for the STKI Summit 2022 part a 30_5_22.pdf

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Copyright@STKI_2022 Do not remove source or attribution from any slide, graph or portion of graph
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Welcome to our (2022)
30th annual IT Market
Study
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STKI IT Knowledge Integrators
COMPANY CONFIDENTIAL

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Topic Presented by:
9:30-10:00 Opening: Presenting 2022 STKI’s IT Market Study Results
Economic Transformation in Israeli organization
Dr. Jimmy Schwarzkopf
10:00-10:45 Organizational Transformation and advanced technologies:
Automation, outsourcing, project and IT risk management
Galit Fein
10:45-11:30 Data, analytics and Customer Experience Einat Shimoni
11:30-12:15 Infrastructure, Operations, Cyber, Development & Integration Pini Cohen
12:15-13:00 Enterprise Applications:
Employee experience, HR & Talent management, ERP
Reut Shefer Bar
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PART 1 PART4
PART6
PART3
PART2 PART5
Agenda
What is the STKI
2022 IT Market
Study?
enterprises and
their budgets
The economy
and SIGNALS
for forecasting
Top vendors
and
integrators
What will be
presented
now
Post-covid
world
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do in 2021
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This positioning* is intendent to reflect THE DEGREE to which a product is
PRESENT AND SUPPORTED IN ISRAEL
Focused on the enterprise sector (not SMB)
 X axis (Market Presence):
Installed base; New sales; Mindshare
 Y axis (Local ISRAELI Support):
Number and quality of Sis; localization; local R&D
 Vendors to watch: New players that only recently entered the market and
therefore cannot be evaluated against longtime players
 Global leaders: marked according to international analyst firms
*is NOT a technological or functional positioning and SHOULD NOT be used as such.
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Israeli Product Positioning Slides
V3
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PART1 PART4
PART6
PART3
PART 2 PART5
Agenda
What is the STKI
2022 IT Market
Study?
enterprises and
their budgets
The economy
and SIGNALS
for forecasting
Top vendors
and
integrators
What will be
presented
now
Post-covid
world
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Dr. Pippa Malmgren argues that by being alert to the many signals
around us, we can be empowered to deal and forecast the varied
troubles the world economy inevitably brings.
Ray Dalio describes a “Big Cycle” that drives the successes and
failures of the world’s major countries . He reveals the timeless and
universal forces behind economic shifts and how to use them to look
into the future, giving practical principles for forecasting “Big Cycles”
in the future
How can we try to forecast economic shifts for the
world and especially how it affects IT in Israel ?
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WHEN IT RAINS IT POURS: global events raining on IT BUDGETS 16
Q4 2021 & Q1 2022 results forecasted a strong IT market in Israel.
IT budget increases and growth could be found across nearly all IT sectors.
But, since we started our survey in January 2022, global & local events have changed our optimistic outlook:
• War between Russia and Ukraine
• Price of oil and gas increases
• Inflation erupted pushing the world into a recession.
• Interest rates increasing after years of “free money”
• Massive layoffs will occur if the “startup & high-tech” bubble explodes
• Possibility that the health situation deteriorates again
• Possible new 2H 2022 elections in Israel
• Possibly the 2023 Israel State Budget will not pass (lowering government IT budgets)
• More…….
Despite the potentially “BAD” news limiting the economic expansion there is still plenty of reason to be optimistic,
we expect IT budgets in Israel to rise 12%-13% in 2022
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"The current crisis was predictable. This is not the big fall I
experienced in the past. I already went through the internet
bubble burst in 2000, the banking crisis in 2008, and the
market crash due to the pandemic in March 2020, it is not the
end of the world, it's an opportunity" ”
Safra Catz, CEO of Oracle
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Probability of Economic Slowdown
0.0%
10.0%
20.0%
30.0%
40.0%
50.0%
60.0%
70.0%
80.0%
90.0%
100.0%
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Israel Economic Activity Chart
Note: Month-on-month and
year-on-year variations in %.
Source: Bank of Israel (BoI)
and FocusEconomics
calculations
March’s reading was driven
by stronger imports of
manufacturing inputs in the
month, as well as healthier
services revenue, retail
trade revenue and
industrial production in
February, as the impact of
the pandemic subsided
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Why no 2023 & 2024 forecasts ?
Why no 2023 & 2024 forecasts ?
given “all” the
political and economic
signals
we couldn’t forecast
2023 or 2024
with an
acceptable margin of error
given “all” the
political and economic
signals
we couldn’t forecast
2023 or 2024
with an
acceptable margin of error
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How we check our results
IT
Market
IT Company
Budgets
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State of the Economy Index
Percentage Points Change
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Business Tendency Survey - April 2022
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PART1 PART4
PART6
PART3
PART2 PART5
Agenda
What is the STKI
2022 IT Market
Study?
enterprises and
their budgets
The economy
and SIGNALS
for forecasting
Top vendors
and
integrators
What will be
presented
now
Post-covid
world
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Copyright@STKI_2022 Do not remove source or attribution from any slide, graph or portion of graph Values in Million USD
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IT Budgets according to
OPPORTUNITIES
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cloud, cloud, cloud, cloud……………… opportunities
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PART1 PART4
PART6
PART3
PART2 PART5
Agenda
What is the STKI
2022 IT Market
Study?
enterprises and
their budgets
The economy
and SIGNALS
for forecasting
Top vendors
and
integrators
What will be
presented
now
Post-covid
world
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TOP VENDORS: Hardware-Infrastructure Markets
Infrastructure Suppliers Infrastructure VARS
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TOP VENDORS: Software Markets
VARs
Software Companies Software VARS
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TOP VENDORS: Value-Added Services Markets
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PART1 PART4
PART6
PART3
PART2 PART5
Agenda
What is the STKI
2022 IT Market
Study?
enterprises and
their budgets
The economy
and SIGNALS
for forecasting
Top vendors
and
integrators
What will be
presented
now
Post-covid
world
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During the covid-19 era
most projects were led by
junior managers, moved
fast, didn’t wait for
meetings (business-IT) and
so gave improved results
Projects used:
• Collective-wisdom of
the zoom crowd-cloud
• Knowledge of front-line
IT staff
• Comfortable offering
non-standard opinions
• Challenged
assumptions giving
honest feedback
Did COVID-19 kill the HiPPO*
effect forever or is it coming
back?
*HiPPO is the tendency of junior managers to attribute
greater accuracy to the opinion of authority figures, and to
be more influenced by that opinion
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PROCESSES PROCESSES
DATA GOVERNANCE
& LITERACY
ECOSYSTEMS & SUPER APPS
FROM CONSULTING
to TESTING (one stop?)
CORE APPLICATIONS
Smart business transformations
cannot start without
MODERNIZING COMPLETE
CAPABILIES OF “BUSINESS
VALUE” ECOSYSTEMS
(applications, components,
services, data and APIs) across a
wide range of platforms and
OFTEN LADEN WITH TECHNICAL
DEBT
Pre-covid19 we took a consulting firm
to learn our problems, then we took
another company to learn again and
implement and then we took another
company to manage change and
finally another to test
WE HAVE TO CHANGE
Customers expect experience-
driven, hyper-personalized, and
data-driven business models.
WITHOUT DATA GOVERNANCE
AND COMPANY WIDE LITERACY
PROGRAM
THE INITIATIVES WILL FAIL
Process automation cannot
happen without a
“good industrial engineering”
group that runs parallel with a
good data group. BOTH are a
requirement
THE FIRST-MOVER DIGITAL ADVANTAGE IS OVER.
Digital ecosystems focus on clients and data and
CONSOLIDATE INTERCONNECTED GOODS AND
SERVICES. This can only happen with SUPER APPS
(difference between being part of an ecosystem
and being the manager of it.)
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PART1 PART4
PART6
PART3
PART2 PART5
Agenda
What is the STKI
2022 IT Market
Study?
enterprises and
their budgets
The economy
and SIGNALS
for forecasting
Top vendors
and
integrators
What will be
presented
now
Post-covid
world
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1
Galit Fein
EVP @ STKI
STKI Israeli IT Market Study 2022
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COVID-19 changed
how we work FOREVER
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9-TO-5, 5-DAY WORKWEEK
seems irrelevant most of the times
FROM: TO:
HIPPO DECISIONS
control, micromanagement, lack of
transparency and complete picture
FASTER DEVELOPMENT
waterfall and agile
BETTER WORK-LIFE BALANCE
by working anywhere at your convenience
FLAT STRUCTURE
less middleman mngt, more co-creation
TRUST
FASTER VALUE DELIVERY
Companies that have been able to respond quickly to these changes and embrace them
have reported significant productivity increases ~ 20% and strong employee retention
WORKPLACE STRUCTURE
preserving the old, good bureaucracy and hierarchy
encouraging frontline employees to take
more responsibility for execution and action
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WHY
I RECOMMEND
1. Continuous effort in Organizational
Transformation, by an experienced
consulting company that specializes, in
addition to OT, in change mng and
implementation
2. Change the unwritten rule of separating a
consulting company from an implementation
company. Choose the best and most
experienced one, without any limits
1. Changes at that scale rarely come
as a change of one thing, and require a
profound and multidimensional OT:
New business models, org. structures, updated
methodologies, hybrid workplace, reengineered
processes, skill mng, etc.
2. Many times leading implementation
companies have the required consulting
knowledge, or leading consulting companies
have leading practices for implementation
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A word to Vendors that deliver on this:
Strengthen and build consulting capabilities
1. The Israeli consulting market is constantly growing and will continue to grow in the
coming years
2. Any type of consulting - strategic consulting, management consulting, data and
automation, industrial engineering , cyber, crisis mng, etc. - is a great front door into
organizations that are reinventing themselves and looking for a strategic partner to rely on
3. There should be multiple consulting models offered for various company needs (on site/
Zoom/ part of the team, etc.), but must be Israeli point person
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Israeli Market – IT Strategy
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Israeli Players
Organizational & Digital Transformation Consulting
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Outsourcing is an agreement in which one
company hires another company to be responsible
for a planned or existing activity that is or could be
done internally
Source: Wikipedia
expert
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Outsourcingcomes in many flavors
Companies will have to invest in their Sourcing Strategies
to understand what is the right combination for them
Complete Outsourcing Application Outsourcing People’s work sourcing
Infrastructure Outsourcing Cloud
Near Site
Nearshore
Offshore
Managed by client
Managed by vendor
SaaS
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Different
Types of
Sourcing
Infrastructure
Application Dev &
maintenance
People
People’s location
You own your HW
HW owned by
vendor
You own your SW
SW owned by vendor
Managed by client
Managed by Vendor
People work on client's site
People work in building nearby
Outsourcing to unique workforce
in Israeli locations
Outsourcing to other countries
Infrastructure outsourcing
Hosting
Application outsourcing
SaaS
Staff Augmentation (Gulgalot)
Managed Services
Staff Augmentation (Gulgalot)
Managed Services, Near Site
Nearshore
Offshore
On-premise
Vendor facility
Cloud is an outsourcing facelift
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Israeli Market
Outsourcing is here to stay
• The pandemic strengthened the trust between businesses and their service providers.
• Economic uncertainty, dramatic (unexpected) increase of need for new SW solutions pushed the organizations
towards outsourcing solutions for faster delivery, and access to experienced teams when they needed it the most
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Israeli Outsourcing Players
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Organizations are looking for experienced
testers with specific expertise (in insurance,
regulation, automation, etc.)
Need for qualified testers
EVERYONE IS LOOKING FOR
TESTING AUTOMATION
•For Better and faster coverage
•To fill in workforce gap
QA Market Explosion
Israeli QA market has been exploding in recent
years and it reached a peak this year
SW development increase
Dev/QA ratio is changing
Increasing number of new projects and new
technology are raising demand for QA
from 1:10, 1:5 to 1:3 and even 1:2
No cost reduction
At least not for the short term. On the contrary, heavy
upfront investment in testing automation infrastructure
and qualified testers
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WHY
I RECOMMEND
1. In parallel with a manual QA start building
Testing Automation CoE with developers and
automation people: automation infrastructure
establishment, standards and methodologies
2. Invest in Low Code tools
1. The profile of manual and automation
testers is different. Automation tester is a
developer. Most manual testers don’t have
a qualification to become developers
3. Testing Automation requires knowledge &
skills that organizations don’t have – leading
vendors offer a quick free assessment, personal
accompaniment, mentoring for QA mngr
2. LCDP don’t require a strong background
in development
3. Start your journey to Testing Automation
CoE establishment with expert consulting
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QA Israeli Players
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PSYCHOLOGICAL BARRIER
HAS BEEN BROKEN
NEW POSSIBILITIES
PANDEMIC GAVE A BOOST
TO NEAR/OFFSHORE
Organizations that have successfully
adapted WORK ANYWHERE with the
right infrastructure in place gained
huge advantage over those who
weren’t ready for it
Traditional sectors are completely
open to work with Offshore
Now, in addition to offshore develop,
we can work remotely with the best
experts in the world (no flights, hotels,
travels..)
Pandemic trends such as remote
work, and workforce instability
Nearshore, Offshore and in-between
WORK ANYWHERE
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NEWDESTINATIONS
Offshore
nearshore
Israeli Offshore journey began on the
right foot with East Europe, especially
in Ukraine due to IT talent pool, time
zone and similar work mentality, ability
to provide staff on short notice,
employee stability and cost-
competitive benefits
While enterprise customers empathize
with their employees in Ukraine, Russia-
Ukraine war has forced them to look for
alternate destinations, such as Poland,
Romania, Bulgaria and Portugal
The need for qualified workforce has pushed
organizations to expand their areas of search.
Remote work opens up opportunities for new
communities to be included in the labour market
The Rise of Near/Offshore Destinations
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A word to Vendors that deliver Offshore:
Psychological barrier has been broken and traditional sectors are
completely open to working with Near/Offshore
1. Israeli enterprises, especially traditional ones, like working “in Hebrew” thru local
point person
2. On a personal note, it was moving to see the mobilization of the vendors for the
benefit of their Ukrainian employees (by salaries, helping families, and trying to
continue to work in safe areas ~60% of initial projects continue)
3. Combine WW experts in remote mode as a part of your offshore solutions
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Near/Offshore Israeli Market and Players
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POST-COVIDWORLD
PRE-COVIDworld
FULLTIMEEMPLOYEEmng T2M,Agile&XP FASTERDELIVERY–
andEVERYMinuteCOUNTS
Projectcomplexity
Projectmngwaseasier
Mega projects, big work
packages written by
inhouse developers
Mostly waterfall development, FTE
management, lack of transparency
and BUFFERS BUFFERS BUFFERS
We finished all the easy
projects. Now
organizations are
running hundreds of
interdependent projects,
written with newest
technology
Teams mng, skills forecast , IT HR, value delivery,
better communication and transparency
WENEEDBETTERPROJECTMNGTOOLS!
Product/Project Management
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.
Every organization is looking today for a
new-age, easy to deploy SaaS PPM solution
They all feel burned out from the previous
implementations and very apprehensive
about new ones.
Tools: Jira, Monday.co, Trello, Clarity SaaS
and others
Demand and Portfolio mng
tools implementation,
With a lot of interfaces to ERP,
Project mng, etc.
Tools: MySP, Clarity, Schiforma
Disjointed, silo-based
project mng.
Lack of holistic view
Tools: SPS, Project Server,
Excel
PPM v1 – before 2000s
Project & Portfolio Mng Tools Evolution
PPM v2 –
pre-Covid
PPM v3 - NOW
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We don’t see a dominant PPM tool
There is NO “one perfect tool”, they all
have pros & cons
Successful PPM solution will depend on
the needs of the organization and on
its current systems
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I RECOMMEND
If your developers love JIRA –
keep working with it
You will find plenty of Jira add-
ons on its marketplace JIRA
AZURE
DEVOPS
MySP
Clarityv1
Schiforma
Pros: one well integrated platform
Cons: UX. Jira isn’t natural for business
people
If you work well with Azure DevOps - you
can check out the "new" tools, such as
Monday, Trello. LCDP that help teams
(sales, OCIO, procurement) to easily build
custom apps & WFs
Pros: Easy start, LoB specific need solution
Cons: Integration to ALM
If you have a big PPM implementation in
place, that works, but not to your full
satisfaction – keep using it
Start with the most painful workflow on
LCDP, if it works – you found yourself a
new PPM solution , if not – you can check
alternative PPM solutions such as:
Clarity SaaS
Pros: It’s a small experiment, NOT a BIG project
Cons: you are still stuck with your current PPM.
• LCDP, SaaS platforms
• Try to avoid vendor
dependency
start
small
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• Organizations are now concluding a long and arduous journey of implementing PPM
tools. They don’t want another big project. They know exactly what they need
• Stop selling the “ERP FOR IT” illusion - organizations understand that every solution
has its limits
• On the contrary – be clear in advance about the Pros & Cons
• PPM v3 can be much more successful if everyone's expectations are managed
correctly
• We believe that vendors should separate between PPM consulting and tool
implementation and become tool agnostic
A word to Vendors that deliver PPM:
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Israeli Players PPM SW
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STKI’s work Copyright@2022. Do not remove source or attribution from any slide, graph or portion of graph
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PPM Israeli Market Positioning– 2022
Market Presence
Local
Support
Atlassian
CA
Monday.com
MSP
Schiforma
Service
Now
BMC
Trello
SAP
Microsoft
Clarizen
Commugen
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Israeli PPM Market & Players
PPM Consulting and Implementation
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Ransomware Attacks and Crisis Mng
Cyber attacks and ransomware requests skyrocketed this year
Organizations have dealt with it in very different ways:
- We never heard of some of them
- Others, not only made headlines, but have also
become an example for what not to do in these situations
We believe that organizations must strengthen their crisis
management capabilities, and separate crisis management
from cyber management.
Crisis mng should not be CISO or
Cyber manager responsibility
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Israeli Players
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Israeli Players – GRC Tools and VARs
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Robotic Process Automation
Israeli automation market is growing steadily, It has received a
serious boost during Covid crisis. The vast majority of organizations
have implemented RPA
RPA suffers from the “Watermelon effect”:
• Green on the outside – GREAT ROI, promise of fast system
integration without costly development
• Red on the inside - AUTOMATION DEBT - automation of bad,
partial or misunderstood processes, process variants
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WHY
I RECOMMEND
1. Start by creating a complete picture of
your entire business process, then
optimize, automate, revaluate
2. Do it with Industrial Engineering
consulting
1. The remote and hybrid work environment exposed
how badly our processes were causing errors, delays.
Inefficient processes lead to poor CX/ EX and operational
efficiency
3. Do it with Process Discovery tools
2. In an age of ERP standardization processes
most enterprises have lost their Process Analyst
Skills
3. Process discovery and task mining takes the
blindfolds off IT and management to see how their
processes are truly working
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Israeli Market - RPA
RPA Tools Automation Tools Implementations
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Copyright@STKI_2022 Do not remove source or attribution from ant slide or graph 35
RPA- Israeli Market Positioning–2022
Market Presence
Local
Support
Vendors to Watch:
IBM RPA
Microsoft
Nintex Kryon
Automation
Anywhere
UiPath
IBM
Nice
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I recommend
Pini Cohen
CTO, EVP @ STKI
Page 80

Cloud
Projectdelays
Priceincrease
CHIP Shortage
Price increase for many
categories
The cloud providers get
the chips first
On premise projects
are delaying
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changinginfragroup06
Cloudonpremise05
Cloud04
HCIRISES03
SpecificServers02
Commoditization01
Commoditization atmosphere
continues – price-oriented
decision for mainstream servers
Specific Servers (Edge, ML
training. ARM based), Specific
chips emerge
HCI Continues to Rise.
Becoming mainstream
building block for small-
medium enterprises
Main momentum is into
cloud with local regions
opening
More options for cloud on
premise options. Helps with
staffing shortage (Cont.)
New roles and
responsibilities of
infrastructure group – now
called DevOps group (Cont.)
HW – Computer market
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5
Traditionally, infrastructure related services were divided
between "System”, “Storage”, “Networking”, “Cyber”
cyber
system storage networking
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6
In the cloud, all is done by the same person
(with code…)
Networking
Storage
Cyber
System
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7
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8
Actually I’m - "Infra as Code" (= new “System”)
I’m DevOps
What is “DevOps”?
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“Infra DevOps” system, storage,
network with Infra as Code.
Building the infrastructure
"Application DevOps"
for code pipelines
(using the infrastructure)
So, what is the truth?
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A Cloud Center of Excellence (CCoE) is
a service and practice center with deep
and width knowledge on cloud platforms,
design, delivery and run of cloud systems.
The breadth and combination of
development and operational knowledge
make a Cloud CoE an accelerator for
businesses innovation.
http://labs.sogeti.com/cloud-center-excellence/
cloud backup
FinOps
cyber security
operations
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CCoE role dilemma
CCoE: taking action instead of
technical operational teams
CCoE: advisor to the cloud user and
to the technical operational teams
Long term role:
advice and not act
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Because of many DC built in Israel (Local regions)
there will be huge shortage of:
Networking
Storage
Cyber
System
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Cloud on premise options
(also) as a cure for people shortage
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14
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On Prem vs. Cloud projects
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Hybrid is the winner
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“Consolidation” vs.
“DevOps” projects
2018 0.05% 2019 0.05% 2020 0.05% 2021 0.05% 2022
Consolidation/ Virtualization/
Containers /Monitoring/ BSM/
Storage/ Hardware/ Networking
Projects
$205.00 1.46% $208.00 -6.25% $195.00 4.62% $204.00 1.96% $208.00
DevOps andInfrastructure
automationprojects
$7.00 28.57% $9.00 33.33% $12.00 33.33% $16.00 31.25% $21.00
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But the new “System”
is “DevOps”
so, its harder to put
the line between
“DevOps” and “Infra-
consolidation” projects
Infrastructure
DevOps
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‫מפגש‬
‫פיזי‬

‫וירטואלי‬
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I Recommend
1. Cloud whenever possible, will
not save money but will enable
business adaptability and will put
new spirit to IT infra personal 2. Its time for new organization
structure, roles and responsibilities
Treat your internal DC as cloud
with infra as a code
3. To stay relevant vendors
should also change their
organization and hierarchy
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STORAGE MARKET 2018-2022
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ransome05
RANSOME04
ransomware03
Cloudstorage02
HWVSSW01
Storage HW vs. Storage
SW boundaries diffuse
Cloud storage & backup of
SaaS applications is growing
Lots of features-
capabilities (Cont.)
Malware written specifically
for backup (Cont.)
StorageBackup is the
ransomware last protection line
Storage
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Even backup vendors:
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The “anti Ransome”
functionality comes
from Storage:
•Anomaly detection
•Proprietary file system
•Read only file system
•Immutable commands
•Extra user protection
identification
•Air gap backups
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Open question: Storage deal for ransome protection is “Storage market” or “Cyber market”?
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1. Merge the storage tream
into the general “infa-DevOps”
team, the “cloud” way
2. Enable ransomware storage
and backup features The
picture is changing constantly
3. Remember that We are
dependent on the products
(companies we use) – the malware
might come from their products
I Recommend
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COLOCATION & DC EQUIPMENT
MARKET 2018-2022
Values in Million USD
2018 0.05% 2019 0.05% 2020 0.05% 2021 0.05% 2022
Data Center Physical
Equipment
$97.00 2.58% $99.50 -14.57% $85.00 20.00% $102.00 58.82% $162.00
Off-site Data Center:
Co-Location; Hosting (Client
owns the HW)
$88.00 6.82% $94.00 8.51% $102.00 22.55% $125.00 60.00% $200.00
POS +Self Service
(ATM/Kiosks/other)
$170.00 8.82% $185.00 2.70% $190.00 7.89% $205.00 7.32% $220.00
TOTALS $355.00 6.62% $378.50 -0.40% $377.00 14.59% $432.00 34.72% $582.00
2018 0.05% 2019 0.05% 2020 0.05% 2021 0.05% 2022
Data Center Physical
Equipment
$97.00 2.58% $99.50 -14.57% $85.00 20.00% $102.00 58.82% $162.00
Off-site Data Center:
Co-Location; Hosting (Client
owns the HW)
$88.00 6.82% $94.00 8.51% $102.00 22.55% $125.00 60.00% $200.00
POS +Self Service
(ATM/Kiosks/other)
$170.00 8.82% $185.00 2.70% $190.00 7.89% $205.00 7.32% $220.00
TOTALS $355.00 6.62% $378.50 -0.40% $377.00 14.59% $432.00 34.72% $582.00
Page 106

28
RackDensity
Clouds
The global cloud vendors
are snaping every
available areaelectricity
From Square Meter
to Megawatt (MW)
Electricity consumption
per rack jumped from 4KW
to 20KW and more. New
cooling alternatives merge
STKI is observing real
shortage of DC space
Data Center - Colocation
DCMETRIC
SHORTAGE
Page 107

29
Page 108

30
The PUE (Power Usage Effectiveness) wars:
Page 109

31
20 Immersion Cooled racks
Space < 30 sqm
200 regular air-cooled racks
Space > 1,000 sqm
Immersion Cooling
Page 110

32
• Environmental sustainability laws in the U.S. include the Clean Water
Act; Clean Air Act; Endangered Species Act; Insecticide, Fungicide, and
Rodenticide Act; and, Lacey Act.
• ….Therefore, negative impacts on poor performance ratings may
extend beyond the lost revenue from government contracting
opportunities…”
Source
:
https://scholarworks.waldenu.edu/cgi/viewcontent.cgi?article=1001&context=sm_pubs
Sustainability (‫)קיימות‬
Page 111

33
1. Building a DC is still a risky
business, might end up with (lots) of
spare space or lack of spaceelectricity
2. Lots of DC’s are built Will we
have empty DC’s in 10 years?
I Recommend
Page 112

34
SECURITY (CYBER) TOOLS
MARKET 2018-2022
Values in Million USD
2018 2019 2020 2021 2022
Endpoint related tools $43.50 5.75% $46.00 15.22% $53.00 3.77% $55.00 3.64% $57.00
NetworkWeb cloud services (FW,
WAF, ddos services , etc.)
$75.00 6.00% $79.50 10.69% $88.00 4.55% $92.00 7.61% $99.00
data content related tools (DLP,
DB FW, DLP Halbana, etc.)
$32.50 10.77% $36.00 2.78% $37.00 8.11% $40.00 5.00% $42.00
cyber management tools (SIEM
tool, Incident responds, automation)
$33.00 6.06% $35.00 2.86% $36.00 15.28% $41.50 3.61% $43.00
Zero Trust including identity,
access, SDP software defined
perimeter, SASE (secure access
$20.00 5.00% $21.00 4.76% $22.00 4.55% $23.00 17.39% $27.00
Other cyber tools (secure
development, awareness etc.)
$11.00 4.55% $11.50 4.35% $12.00 4.17% $12.50 4.00% $13.00
TOTALS $215.00 6.51% $229.00 8.30% $248.00 6.45% $264.00 6.44% $281.00
2018 2019 2020 2021 2022
Endpoint related tools $43.50 5.75% $46.00 15.22% $53.00 3.77% $55.00 3.64% $57.00
NetworkWeb cloud services (FW,
WAF, ddos services , etc.)
$75.00 6.00% $79.50 10.69% $88.00 4.55% $92.00 7.61% $99.00
data content related tools (DLP,
DB FW, DLP Halbana, etc.)
$32.50 10.77% $36.00 2.78% $37.00 8.11% $40.00 5.00% $42.00
cyber management tools (SIEM
tool, Incident responds, automation)
$33.00 6.06% $35.00 2.86% $36.00 15.28% $41.50 3.61% $43.00
Zero Trust including identity,
access, SDP software defined
perimeter, SASE (secure access
$20.00 5.00% $21.00 4.76% $22.00 4.55% $23.00 17.39% $27.00
Other cyber tools (secure
development, awareness etc.)
$11.00 4.55% $11.50 4.35% $12.00 4.17% $12.50 4.00% $13.00
TOTALS $215.00 6.51% $229.00 8.30% $248.00 6.45% $264.00 6.44% $281.00
Page 113

35
growth01 SIEM04
ZERO06
Melt03
HWvs.SW02 VRM05
Security
Cyber
Cyber security
market is “hot”
Cyber product
implementation vs.
Cyber consulting (Cont.)
The dichotomy
between Cyber
security HW, SW and
Services is vanishing
SIEM as a service is
growing even for bigger
organizations (Cont.)
Zero Trust is embraced
by all cyder vendors as
major theme (cont.)
Vendor Rism
Management has
become a main stream
practice
Cyber Security trends
Page 114

36
SIEMasaServicechallenge
For bigger organization -
how to share the continuous
changes in applications and
infrastructure with the SIEM
provider?
Page 115

37
The dichotomy of “cyber consulting” vs.
“Cyber product implementation” is dissolving
Cyber
Consulting
firms
SIEM SOC as a
Service &
IR (Incident Response
as a Service)
Implement and
operate cyber all (?)
products as a
Service
CISO As a
Service
VRM (Vendor Risk
Management)
managed service
SASE – Secure
Access Service
Edge
MDR – Managed
Detection &
Response
Cyber product
install &
implement
firms
Page 116

38
SASE capabilities
Zero Trust SASE – Secure Access
Service Edge
Page 117

39
Confidential Computing is an approach that uses
secure enclave technology to enable the creation of a
trusted execution environment (TEE) based on security
features provided by CPU vendors
Place it on your radar
Confidential computing
Page 118

40
1. Merge the cyber implementation
tream into the general “infa-DevOps”
team, the “cloud” way
2. Galit’s recommendation
about Ransomware handling
3. With the high promise to reduce
substantially the number of cyber
products – explore SASE products
I Recommend Cyber
Page 119

41
Page 120

42
D
C
B
A
CITIZEN
TERM
LANDING
MARKET
Tell me what is “Low Code” for
you and I will tell you who you
are (Cont)
What is the role of
citizen developers?
The Low Code Landing Zone
Physical Round Table (Cont)
Low Code is a growing market with
high promises to IT and LOB
LOW CODE
Page 121

43
Enables customization
including logicsbusiness
flowGUI Data model
within the tool without
coding
Capability of tool A tool
A tool for building
business application
without coding (for either
IT or citizen developers)
What is Low Code?
Page 122

44
ERP with Low Code capability
Page 123

45
SEPT 2022
SEPT 2022
Page 124

46
1. Low Code will be part of every
enterprise IT organization
2. The Low Code efforts are
part of the Automation C0E
3. ???
I Recommend Low Code
Page 125

47
We are open for Round Tables ideas*
*Physical or Virtual
Page 126

48
THANK YOU Pini Cohen
CTO, EVP @ STKI
PINI@STKI.INFO
054-7000023
Page 127

49
Topic Presented by:
Galit Fein
Reut Shefer Bar
Page 128

1
Galit Fein
EVP @ STKI
Page 129

2
Data Clouds
What is happening in D&A?
Data Fabric
Data Mesh
ML & AI
Lakehouse
Data
Catalog
Data
Literacy
Page 130

3
Page 131

4
State of Data in Israel
STKI 2022 Data Research
Page 132

5
Thank you for answering our survey
Survey
demographics
Page 133

6
51%
Of enterprises have a CDaO in place
• Compared to: 47% in 2021
30% in 2020
Do you have a CDaO?
CDaO: Chief Data & Analytics Officer
Page 134

7
Gartner: 33% reporting to CIO/CTO (and that’s OK!)
Source: Gartner CDO Survey 2022
Global
View
Page 135

8
“Who does the CDaO report to?”
27%
32%
14%
27%
Israel
View
Page 136

9
“Who does the CDaO report to?”
An after thought:
This was not the right question to ask
Page 137

10
How are you creating value?
The right question I should have asked:
Page 138

11
“Successful CDaOs Engage at Executive Level”
High-performing CDaOs are significantly more likely to
have projects with the CEO that focus on value outcomes.
The top three objectives of the highest performing
CDaOs, were improving decision-making capability (63%),
meeting revenue generation (49%) and improving
customer experience (49%).
Low performers have more projects with the CFO who is
looking at costs and operational efficiency.
Page 139

12
Which business areas are your ML models
focusing on?
0%
5%
10%
15%
20%
25%
30%
35%
40%
45%
Operatinal
Efficiency
CX and
Personalization
Marketing and
leads
Risk and Cyber Research
Operational
Efficiency
CX and
Personalization
Marketing and
Leads
Risk and Cyber Research
- Cost cutting
- Optimization of operations
- Automation & bots
42%
17%
22%
15%
4%
Page 140

13
WHY
I RECOMMEND
1. Measure value and correlate it
to business KPIs. Use Design
thinking to find the right problems
that data can help solve.
2. The CEO is key to success and change
management. Engage with top management
and get the CEO’s ongoing involvement.
1. Once substantial value is
derived, the potential is endless.
2. Analytics are disruptive. CEOs
endorsement and ongoing involvement
helps make the change happen,
Page 141

14
This is very relevant for the data world.
Every D&A player should “talk data strategy”.
Galit’s recommendation to vendors:
Page 142

15
Data Strategy Consulting
Page 143

16
Which methodologies are you using for D&A?
60%
19%
40%
30%
35%
Page 144

17
High Performers
• Developed >10 ML models
• >7 models in production
• Using 4-5 methodologies
• Reduced TTV significantly
• Started early
17
Page 145

18
How many ML models have you developed?
High
Performers
1-3
46%
10%
4-10
>10
13%
None
31%
31%
13%
10%
46%
Page 146

19
How many ML models are in production?
High
Performers
10%
4-6
1-3
33%
>7
13%
44%
None
Page 147

20
WHY
I RECOMMEND
1. Focus on shortening
time to value (average is 15
months!).
2. Just start somewhere! and
work your way up. It’s a learning
process.
1. High performers weren’t born
that way. Everyone went through
the same learning curve.
2. An ML “POC” takes 3
months.
3. Set top executives’
expectations. Success takes time,
usually around the 3-4 time.
Page 148

21
Advanced Analytics, Data Science and ML projects
Page 149

22
Page 150

23
What are CDaOs main obstacles?
Page 151

24
Talent shortages (45%)
Culture
Resistance for change (40%)
Lack of training, resources and
funding (32%)
Global
View
Page 152

25
What’s the main obstacle to becoming data driven?
People
Process
Technology
Culture
Literacy
Talent Shortage
Resistance to change
80%
8%
12%
Israel
View
Page 153

26
The Data Skills Gap
26
Page 154

27
Which data talent is most challenging to recruit?
“Anyone with a pulse.”
Page 155

28
BI and Analytics Implementation / Development
Page 156

29
29
Page 157

30
Do you have inhouse data scientists?
Page 158

31
Vendors’ solutions for talent shortage:
- ‘Always interesting’ projects
- Fast-track junior training (~3 months)
- Managed services (can’t afford to outsource
good people)
- Offshore
Page 159

32
The year of data clouds
Page 160

33
Are you on the cloud for D&A?
For which use case?
Data Lake
Data
Warehouse
Lakehouse
85% of Israeli organizations
will use D&A clouds soon!
Page 161

34
Data & Analytics in the Cloud:
Platforms and Integrators
P
Page 162

35
Cloud for data analytics & IOT is
the most important data platform
trend
NoSQL, Open-source technologies are
mainstream. Real time n general is growing
especially with Streaming (Kafka, etc)
ODS then DIH should be a
mainstream architecture pattern
Operational data (OLTP with API’s) is
still not merging with Analytical data
(ETL, DWDL) (cont)
Data Fabric & Data Mesh are
controversial concepts entering
the market (cont)
Data platform -What we have learned
Page 163

36
What tools are used for data movement?
82.90%
31.70%
29.30%
48.80%
73.20%
0.00% 10.00% 20.00% 30.00% 40.00% 50.00% 60.00% 70.00% 80.00% 90.00%
ETL
CDC
Streaming
FTP
API
Are we using the
same tools for API
and ETL?
Not for the
moment
Page 164

37
I recommend - ODS (Operational Data Store) &
DIH (Data Integration Hub)
ODS
• Copy of online
transactional data
• Ready to use by the
consumer
DIH
• Data is stored in Data Grid
HPDS – High Performance
Data Store and not DBMS
• Data is stored in the original
format
• Schema on read
• Data is consumed via API
request and not via
DBMSODBC link
• Enables writes!!
I Recommend
Page 165

38
Data fabric is an
architecture that
facilitates the end-to-end
integration of various
data pipelines and cloud
environments through
the use of intelligent and
automated systems.
Data Fabric Data Mesh
Data mesh is
decentralized strategy
of analytical data
enables end users to
easily access and
query data where it
lives
Page 166

39
‫ה‬ ‫מגמת‬ ‫על‬ ‫דעתך‬ ‫מה‬
?Data Fabric/ Data Mesh
N
Page 167

40
What have we learned about Data Governance?
2012: Our Data Governance workshop
2022: What happened since?
Page 168

41
1. Only a handful of Data Governance managers
2. Almost no (working) data catalogs
3. No data owners
4. Most CDaOs don’t deal with it
What have we learned about Data Governance?
Page 169

42
Do you have a data catalog?
Page 170

43
Data Catalog, Governance and Preparation Tools
Page 171

44
Loyalty
What is happening in CX?
CDP
Customer
Analytics
Personal-
ization
Multi
Channel
Vertical
CRM
clouds
Supply chain disruption Skimpflation Workforce Shortage
Page 172

45
From CX to DCX:
Digital Customer Experience
45
Page 173

46
Our CX Consulting definition changed,
and it now includes Digital
Digital Customer eXperience
Page 174

47
Customer & Employee Experience Strategy Consulting
(customer journeys, service design)
Customer Experience & Digital Consulting
customer journeys, Customer Experience consulting, service design, Digital consulting
Doesn't include UX!
Page 175

48
WHY
I RECOMMEND
1. Use Design Thinking/
other Human centered design
methodologies as your
starting point.
2. Use VOC to understand customers
better and finetune journeys. Don’t do
“once in 6 months long surveys”. Use short
questions as “control points” along the
journey that call to action.
1. Customers have changed.
Everything is now digital. We can’t
keep relying on “legacy customer
journeys”.
2. Organizations don’t have a
good understanding of their
customers’ subjective experience.
Page 176

49
A word to Vendors that deliver on this:
Strengthen and build Design Thinking capabilities.
1. Organizations don’t have this “muscle” inhouse yet. Vendors should help them frame
the problem and define journeys. Not as “fun workshops” but as a capability to build.
2. Data & Analytics are powerful to get an understanding customers’ experience and
point to the challenges. Vendors should use them and offer a “CX analyst service”.
3. Look at Digital Intelligence tools for DCX.
Page 177

50
Page 178

51
CRM
V3
CRM
V2
CRM
V1
CRM V3:
Vertical CRM Clouds
CRM V1:
Interactions Master Data
• “General ledger” for all CC and face
to face interactions
• Workflow for service and sales
customer processes
CRM V2:
Engagement Platforms
• Marketing Automation
• Multi Channel
• CDPs
• Healthcare: APIs to EMRs, FHIR,
Telemedicine, Que mng., patient 360
• Financial Services: loans, NBO…
• Retail: Back and Front Office
integration, eCommerce and Digital,
Loyalty
Page 179

52
Page 180

53
CRM Implementations
Page 181

54
54
Page 182

55
Page 183

56
56
SKIMPFLATION is HERE
Page 184

57
57
Messaging Bots Frameworks and Tools:
Omni – Channel Platforms
Page 185

58
Page 186

59
Personalization is not happening yet
Page 187

60
Package Israeli Rep. Integrators
Oracle -
CrowdTwist
Oracle Israel Oracle
SAP Emarsys SAP Israel SAP
Salesforce Loyalty
Management
Salesforce Israel Salesforce
Loyalty Solutions
Page 188

61
WHY
I RECOMMEND
1. Digital CX is the new
normal. Leverage digital solutions
developed during pandemic era
and improve them.
2. Use bots and multi channel solutions
for short term.
3. Personalization should be the plan for
the long term. Invest in customer data now.
1. Customers like and adopt.
Pandemic-era solutions and they
will stay with us post-pandemic.
2. Skimpflation is still here. It
will get worse before it gets better.
Page 189

62
Topic Presented by:
Galit Fein
Reut Shefer Bar
Page 190

1
STKI Israeli IT Market Study 2022 Reut Shefer-Bar
VP& Senior Analyst
Page 191

2
PEOPLE
FIRST
Page 192

3
Today’s Playlist
Page 193

4
Copyright@STKI_2022 Do not remove source or attribution from any slide, graph or portion of graph Source:CofaceBDI
Key factors for employees 2018 - 2022
Page 194

5
47% - Hybrid
21% - Office
32% - Remote
Bloom (2021)
What work model employees want?
~80% not JUST office
Page 195

6
People
Analytics
Page 196

7
People Analytics
Important
Deloitte (2021)
Actually Use
Page 197

8
WHY?
• Reduce Bias
• Improve efficiency of candidate assessment
• Improve predictive data decision-making
What?
• Employee satisfaction and engagement
• Turnover and retention rate
• Absence and overtime hours
• Revenue per employee
Page 198

9
HiPPO Highest Paid Person's Opinions
Geek Use data for decision making!
<
Decision-making process
Page 199

10
HR
Analytics
People
Analytics
Workforce
Analytics
Solve BUSINESS problems
(and make decisions).
Analytic Categories
Page 200

11
Tools
Page 201

12
Page 202

13
Page 203

14
Page 204

15
Package Category Rep. in Israel Integration partners
Oracle, HCM Core HR, Payroll, Talent Mng. Oracle Israel Unitask, Oracle, Malam-Team
SAP HR, SAP Successfactors,
Nakissa, Workforce Analytics, WPB,
Litmos, SAP Experience Management
(XM)
Core HR, Payroll, Talent Mng, Org. Chart SAP Israel AKT, One1 (Xact), IBM, Synerion, Deloitte
Hilan Core HR, Payroll, Talent Mng. Hilan
Malam Payroll Core HR, Payroll, Talent Mng. Malam-Team
Cornerstone Talent Management Matrix Matrix
Synerion
Time and attendance, core HR,
Talent Mng.
Synerion Synerion
Workforce Software Time and Attendance, Workforce Mng. AKT AKT
Dynamics 365 Talent Suite Microsoft, Prodware Prodware
Israeli Players HR, Talent Mng. And Payroll 2022
Page 205

16
WHY
I RECOMMEND
1. Adopt PEOPLE
ANALYTICS Tools
2. The IT is the key
to changes
.Collaboration between
different units is mandatory
1. Gives high value
Relatively easy implementation,
Cloud based.
.
2. Can be used for:
Recruited, onboarding, payroll,
Training and development, engagement
And more…
Page 206

17
Consider joining this market (if you aren't there, yet)
Vendors
Source: Gartner 2022
Page 207

18
DEX
Digital
Employee
Experience
Page 208

19
Why Now?
Page 209

20
Copyright@STKI_2022 Do not remove source or attribution from any slide, graph or portion of graph Source: Josh Bersin
Why?
Page 210

21
Employee Experience
Page 211

22
Boomerang Effect
Pros
Understand company “vibe”
Easier onboarding
Better Performance
Cost – 30-65%
Cons (Trust?)
Will leave again?
Can bring “bad blood”
40% would consider boomeranging
15% have boomeranged back
Page 212

23
Employee Experience Position
586
CX
256
EX
Page 213

24
WHY
I RECOMMEND
1. Create Digital Employee
Experience Position
@IT
2. Could be part of HRIS
.
1. The experience is
~80% digital
.
2. Instead of delegate
someone every time,
Make it proficiency
Page 214

25
Vendors
8
30
Employee Col. And Engagement Tools
2018 2022
17
53
CX & EX Consulting
2018 2022
28
42
HR & Talent Mngt & Payroll
Implementations
2018 2022
Page 215

26
1. Rapidly grow
2. Openness to cloud
3. Will be an issue for a long time
+135%
2018 - 53 M
2022 - 125M
Page 216

27
‫בזום‬ ‫גם‬ ‫!ניתן‬
Page 217

28
Cloud ERP
Page 218

29
Cloud ERP – Why?
Cheaper?
Probably Not.
ROI?
If we will consider long run (technical debt)
Where the world is heading?
YES.
Page 219

30
Key Factors to consider
Not many options
It’s a NEW software
Staying with current ERP or get a new one?
Capex/Opex
Timely versions changes
Learn how to manage SaaS (FinOps)
Recruit+ Reskilling/Upskilling
Page 220

31
Page 221

32
WHY
I RECOMMEND
1. On-Going Updates
It would be very hard
to keep the pace
2. Regulation and
Cyber
3. Cloud First/ Cloud
Only
.
1. Consider Cloud
based ERP
2. Consider OTHER
ERP than the one you
have.
.
Page 222

33
Vendors
VAS ERP market is 162M $
Consulting is a HUGE part of the process.
Create a service or collaborate with others.
What type of cloud?
Lift and Shift or new one?
Page 223

34
Sir Richard Branson
Page 224

35
Page 225

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