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Innovating on a strong enterprise IT foundation

Provoking new business value with Postdigital™ forces October 2012

Mark White @MarkAtDeloitte

Principal, CTO, Global Technology Eminence and Innovation leadDeloitte Consulting LLP

The Postdigital Enterprise™ is a business that organizes and operates in a (future) “new normal”

That is, a time in which the 5 forces of Analytics, Mobile, Social, Cloud and Cyber are all mature, implemented and integrated – baked-in vs. bolted-on

Through these forces, IT can deliver engagement and empowerment to business customers – innovating up the IT layers, and industrializing down

Postdigital™ - What does it mean?

The convergence – even the collision – of these 5 forces offers a new set of tools for business, opening the door to a new set of rules for operations, performance, and competition. 

The Postdigital Era is like the post-industrial era.  In the post-industrial era, we didn’t forego industrialization.  It just became the new normal for business.  PdE is the same, but for digitalization.

Postdigital - Why should you care?

It’s an uncommon time – to have 5 forces, all relatively newly emerged, all evolving, all technology-centric, and each already impacting business – an opportunity for IT to deliver significant value via modest investments on the top of a strong ERP foundation.

Building on the ERP foundation

E R P

Business Process AutomationAutomating what we need to do ERP – automating what we

need to do

Scale, efficiency, uniformity, and integration of core business processes and functions

Addressing key disciplines during implementation – MDM, DQM, etc.

Central to systems of record and common opportunities in systems of differentiation

Analytics is a force for innovation value

ANALYTICSInformation automation

E R P

Analytics – automating

what we need to know

Building on the ERP data disciplines for data-driven decision and action

Structured and unstructured data from internal – and potentially external - sources

Particular opportunities for systems of innovation

Mobile and Social add powerful new forces in the mix

ANALYTICS

E R P

Hyper-available, hyper-

productive employees,

customers, suppliers

Mobile apps integrated into the enterprise core, guided by mobile strategy, and managed at enterprise scale

Social software, networks and media put to work to create net-new connections for business decision and action – with customers, employees and supplier partners

MOBILE SOCIAL

Analytics, Mobile, Social – start with any, leverage all

A nexus for Innovation

BI and analytics delivered to the mobile device for review – and action

Mobile integration of social

business delivers right time, right

place, right people

Social Analytics creating new

business insights from weak

signals and big data

ANALYTICS

E R P

MOBILE SOCIAL

Cloud offers both “capacity” and “capability” value propositions

ANALYTICS

E R P

Cloud makes research-

based innovation practical

Capacity efficiencies and effectiveness in the traditional “horizontal” IT layers

LOB leaders get “vertical” slices of finished business capabilities

Subscription and elasticity allow risk-intelligent R&D.

“Experimental IT” - work Analytics, Mobile and/or Social in the Cloud. If it works, scale it for the enterprise. If not, kill it and try another alternative.

MOBILE SOCIAL

CLOUDcatalog of services On-demand elasticity

Cloud helps deliver on Postdigital potential – agility, scale, and cost

New IT Concerns and Considerations

Employees,Vendors,

Governments

Pundits,Bloggers,

Opposition

Customers,Ambassadors,

Fans

Potential Customers/

Constituents

Postdigital Strategy

Cloud

AnalyticsMobile

Social Business

Cyber Intelligence

Postdigital Operating Ecosystem

The Postdigital border extends beyond traditional suppliers, customers and employees.

Customer Experience is no longer executed strictly on the

agency’s turf

Operational Excellence requires increased agility and

new competencies

Differentiated (IT) Products must now include solutions

and services

The Postdigital ecosystem is borderless and limitless, extending far beyond the traditional four walls of

your business

Cloud is a strategic enabler, delivering capabilities (vs. capacity and resources) to enhance the flow of information in an essentially hybrid ecosystem

Security

Logistics

Forensics Analytics

Cyber Intelligence – the important fifth force

ANALYTICS

E R P

Cyber – Important for risk

intelligent innovation

Cyber security – detect, prevent, repair. “What happened, did we stop it, and how do I fix it?”

Cyber forensics – investigate, analyze, profile. “Who did it, when, and why?”

Cyber analytics - model, predict, prepare. “Where and how is the next attack likely to occur?”

Cyber logistics – people, property, process. “What are the risk vectors in supply and operations?”

MOBILE SOCIAL

CLOUDcatalog of services On-demand elasticity

CYBER

• These forces impact IT and business innovation, competitive advantage, customer bonding, agility of function, responsiveness to scale, talent constraints, etc.

• The convergence of the five Postdigital forces changes the way IT – and the business – must respond to stakeholders’ needs and expectations

Five technology forces shaping the “new normal”

Mobile

• Location-independent

• Consistently connected

• Wide variety of devices

• Hyper-available, hyper-productive

Cloud

• Predictable pricing• On-demand

elasticity of scale and cost

• Large and growing catalog of services

• Resources for business agility

• IT “capacity” and LOB “capabilities”

Analytics

• Big data put to work

• Flows vs. Stocks• Pattern

recognition• Data visualization• Hidden insights

revealed

Cyber

• Role and usage driven access

• Greater operational access by role

• Larger “perimeter” exposure

• Digital Identity / Persona

Social

• Connected consumers, employees, and suppliers

• Engagement before, during & after

• Timely response & interactivity

• From “Communication” to “Community”

1. The influence shifts from organization to customers, employees, and partners

2. Deconstruct organizational silos; empower social networks for mission performance

3. Un-tether your enterprise; mobile business is not bound by physical space

4. Who you know and who they know form both strong and weak connections

5. Simple processes are data poor; 5-force Postdigital processes are information rich

6. Achieve Cloud agility and elasticity with predictable initial investment

7. Move past the static ecosystem; empower the hybrid value chain

8. Substitute traditional approaches for research-based innovation and access direct insight

9. Leverage data to move from hindsight to insight and foresight

10. Think big; start small; fail fast; scale soon

Postdigital Enterprise rules of innovation

Ten Postdigital Rules of innovation for IT to survive and thrive in a changing landscape.

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Copyright © 2012 Deloitte Development LLC. All rights reserved.Member of Deloitte Touche Tohmatsu Limited

Mark E. WhitePrincipal, CTO, Global Technology Eminence and Innovation lead

Deloitte Consulting LLP@MarkAtDeloitte