#BVSummit

Why Business Value is So Important

1

Tom PiselloCEO / Founder

tom@alinean.com@tpisello@AlineanROIhttp://www.alinean.com

Copyright © 2001-2017 Alinean, Inc

Randy PerryVice President, Business Value Consulting

@IDChttp://www.idc.com

#BVSummit 2

Who Controls the Purchase Decision?

58%

Business

42%

IT

#BVSummit 3

Stakeholders Involved in Decision Making?

43%

over past two years

8 to10stakeholders involved in typical technology purchase decision

LOB Leaders

Security

Procurement

Finance

ExecutivesIT

Dev Ops

User Groups

#BVSummit 4

What Business Value Matters Most?

13% 24%

28% 35%Value Map™

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5

There is a new set of buying criteria

IT priorities Scalability Reliability Flexibility Performance Customer experience

Business priorities Revenue growth Customer experience Profitability Agility Innovation

IT Challenges Infrastructure

limitations IT skillset limitations Capacity Efficiency and Control

Buying Criteria Improve business

outcomes Improve business

performance Financial justification

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6

Companies digitally linking their distributed enterprises have increased their profit margins by 30-50%

Organizations with digital ready networks are seeing 2 to 3 times the revenue growth of organizations without.

Companies with the majority of their business applications running in public and private cloud have reduced their operating costs by 5 to15% compared to companies with most of their apps running on traditional infrastructure

Companies with 65%+ of their business applications available to all mobile users were able to reduce time to market for new products by 58%

Companies implementing data analytics solutions were able to predict events or outcomes with16% more accuracy

Transformative technologies lead to better business outcomes….

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7

Business Outcomes KPI Gains Annual Benefits per Cloud Application

Better business outcomes drive business performance

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8

Performance

Impo

rtan

ce

Revenue growth $3,354 Revenue from

new products $2,075

Employee productiv-ity $3,549

Customer Retention

$1,191

Reduced Op-erational

Costs $1,103

Quicken the adop-tion of new applica-tions $1,573

Time to market for new services/products

$2,270

New customer Acquisition

$569

Business Outcomes by Performance and Importance ($ per Employee)

Business buyers value linkages between your products/services & business outcomes

#BVSummit 9

CompanyProducts / ServicesFeatures

Price74%

Remain too focused on features & price vs. business value 55%

Don’t do a good job articulating unique business value of

proposed solutions65%

Are not investing enough in business value marketing / selling or are worse, cutting back on

their efforts & investments

How do Buyers Perceive your Marketing & Selling?

#BVSummit 10

Why you can’t leave Financial Justification to Chance?

95%

Require financial justification on significant technology

purchases

2/3rds

Don’t have the knowledge, research metrics or tools needed

to deliver requisite financial justification

81%

Expect vendors to quantify value / deliver financial justification for

proposed solutions

<15%

Trust the financial justification unless it includes 3rd party models, tools &

research

#BVSummit 11

BenefitsValue

The Difference Between Benefits & Business Value

Inside OutOutside In

#BVSummit 12

New Brain,Logic

Logos

Reptilian Brain,Emotions

Pathos

Middle Brain,Credibility

Ethos

Why Change?

Why Now? Why You?

Ideas Exploration Evaluation Selection

3rd Party Certification

The Buyer’s Journey & Business Value Articulation

#BVSummit

Why Change? Why Now? Why You?

Ideas Exploration Evaluation Selection RenewalWhy Renew?

Value Surveys & ResearchValue Messaging Workshops & Value Matrices

Value Training and Certification

Mar

ketin

gSa

les &

Co

nsul

ting

Foundational

Value Articulation Tools ROI / TCO Business Case ToolsDynamic White PapersAssessment & Financial /

Metric Benchmarking Tools

Business Value Sales & Marketing Tools

$8.10 for every $1 invested

#BVSummit

Why Business Value is So Important

14

Tom PiselloCEO / Founder

tom@alinean.com@tpisello@AlineanROIhttp://www.alinean.com

Copyright © 2001-2016 Alinean, Inc

Randy PerryVice President, Business Value Consulting

@IDChttp://www.idc.com