Thriving in the As-a-Service Economy | Research Strategy Community
Phil FershtFounder and CEO, HfS Research #pfersht
NASSCOM BPM STRATEGY SUMMITSEPTEMBER 24TH 2015BENGALURU
The Emerging Digital BPM Economy: Strengthening the Foundations to Get
ahead of the Disruption Curve
Web www.hfsresearch.comBlog www.horsesforsources.com Email [email protected]
© 2015 HfS Research Ltd.
#NASSCOMBPM
Get Tweeting!
© 2015 HfS Research Ltd.
Overview Industry analyst, author, speaker, strategist and blogger 20 years’ business experience in the global IT and business process
outsourcing and shared services industry Advised on 100’s of global IT services, BPO and shared services
engagements Facilitates the largest global network of enterprise services ad
operations professionals
Career Experience Practice Lead, IT Services & BPO Research, Gartner, Inc Global BPO Marketplace Leader, Deloitte Consulting Consulting Practice Lead, IDC Asia/Pacific IT Markets Practice Lead, IDC Europe
Education BS with Honors in European Business & Technology, Coventry
University, United Kingdom Diplôme Universitaire de Technologie in Business & Technology from
the University of Grenoble, France
Phil Fersht, Founder and CEO, HfS Research
© 2015 HfS Research Ltd.
Unbridled Opinion… Simply Calling It How It Is
www.horsesforsources.com
© 2015 HfS Research Ltd. Proprietary │Page 5
…With a More Serious Side Too!www.hfsresearch.com
© 2015 HfS Research Ltd. Proprietary │Page 6
V
V
V
VV
© 2015 HfS Research Ltd. Proprietary │Page 7
Charles Sutherland,Chief Research OfficerTech-Enablement of Services, Procurement, Supply Chain, Automation, Cognitive Computing
Barbra McGann,EVP Business Operations Research Operations,Healthcare, Life Sciences andPublic Services
Jamie Snowdon, EVPMarket Analysis and Forecasting
Reetika JoshiResearch DirectorConsumer-Centric Operations Services and Analytics
Meet the HfS Research Practice Leaders
Thomas ReunerMD, ITOSaaS, Automation, Cognitive Computing, Cloud
Hema SantoshPrincipal AnalystFinance Strategies, BPO, IT Services
Khalda de SouzaPrincipal AnalystEuropean Services SaaS Services
Fred McClimansEVPDigital Trust & Security, The Digital Consulter
John HaworthChairman,HfS SourcingExecutive Council
Pareekh JainResearch DirectorEngineering Services, Telecom Operations, Pricing Strategies and Supply Chain
Phil Fersht,CEOThe As-a-Service Economy,Operations Strategies,Global Business Services
© 2015 HfS Research Ltd. Proprietary │Page 8
LEGACY “BPO” AS-A-SERVICE ECONOMY
Resolve problems by lookingfirst at the process 1. Design Thinking Generate creative solutions by
understanding the business context
Complex, often painful technology and process transitions to reach steady state 2. Business Cloud “Plug and Play” business services
Fragmented processes requiring manual interventions, multiple technologies 3. Intelligent Automation Blending of automation, analytics, and
talent
Operations staff doing mostlytransactional tasks 4. Proactive Intelligence Operations focused on interpreting data,
seeding new ideas
Ad-hoc analysis on unstructured data with little business context 5. Intelligent Data Real-time applied analytics models,
techniques, and insights from big data
Legacy technology investments drain budgets to remain functional 6. Write Off Legacy Use of platform-based services makes
many tech investments redundant
Governance staff manage contracts and service levels 7. Brokers of Capability Governance staff manage towards
business-driven outcomes
Pricing and relationships based on cost, effort, and labor 8. Intelligent Engagement Pricing and relationships based on
expertise, outcomes, and subscriptions
Successful BPM needs to achieve Eight Ideals
© 2015 HfS Research Ltd.
SVP & Up
VP & Below
16%
8%
37%
21%
47%
62% 10%
Absolutely critical Critical Significant Insignificant
How significant do you see the “As-a-Service Economy” for your organization?
Source: "Ideals of As-a-Services" Study, HfS Research 2015Sample: Enterprise Service Buyers = 178
Leadership has the desire to drive the change, not the operational layer
© 2015 HfS Research Ltd.
Business Cloud
Intelligent Data
Write Off Legacy
Design Thinking
Proactive Intelligence
Brokers of Capability
Intelligent Automation
Intelligent Engagement
53%
42%
42%
37%
32%
32%
26%
21%
21%
21%
12%
15%
14%
16%
19%
14%
% Significant Progress
VP & Below
SVP & Up
Source: "Ideals of As-a-Services" Study, HfS Research 2015Sample: Total = 716; Enterprise Buyers = 178; Advisors/Consultants = 176; Service Providers = 372
Something’s Gotta Give: Leadership expects to get to As-a-Service… their staff do not Based on your CURRENT investments and services relationships, how much progress do you expect to make achieving these “As-a-Service” ideals in the next 2 years?
© 2015 HfS Research Ltd.
Invest in effective analytics tools & skills
Replace your existing (legacy) service provider(s) with "As-a-Service" driven providers
Identify/hire a transformational leader/change agent
Accomplish creative problem solving/"Design Thinking"
Write-off legacy IT investments and move straight into cloud delivery of processes supported by As-a-Service
partner(s)
Retrain existing internal operations talent to redesign processes
Hire new operations talent to redesign processes
61%
61%
56%
44%
44%
41%
39%
44%
25%
36%
41%
36%
21%
28%
% Significant Impact
VP & Below
SVP & Up
Source: "Ideals of As-a-Services" Study, HfS Research 2015Sample: Enterprise Service Buyers = 178
Decision-makers willing to dump their legacy service provider relationshipsHow much impact would taking the following actions help you reach your desired “As-a-Service” end-state, if you were to make them today?
© 2015 HfS Research Ltd.
INN
OVA
TIO
N
EXECUTION
High Performers
HP
Hexaware Technologies
MercerAon Hewitt
NGA Human Resources
OneSource Virtual
MeteorixCollaborative Solutions
CPSG Partners
IBMSierra-Cedar
KPMG
Deloitte
Appirio
AccentureTowers Watson
AtaraxiseverBe
Winner’s Circle
The As-a-Service providers are emerging:HfS Blueprint 2015: Workday Services
© 2015 HfS Research Ltd.
The HfS Intelligent Automation Continuum
Fully
auto
mat
ed
Data CenterAutomation:
RunbookScriptingSchedulingJob controlWorkloadautomationProcessorchestration
SOAVirtualization
Cloud services
RPAAutonomicPlatforms
TrueArtificialIntelligence
BPMBusiness process automation
Workflow
trigger based
Characteristic of process
rules baseddynamic language
rules basedstandardized language
Structured
Characteristic of data/information
Unstructured without patternsUnstructured patterned
CognitiveComputing
© 2015 HfS Research
-20%-10%
0%10%20%30%40%
-13%-5% -5% -4% -3% -3% -5%
31% 29% 28% 26% 21% 18% 17%
-20%
-10%
0%
10%
20%
30%
-9% -7% -6%-2% -3% -3% -4%
18%26% 19% 17% 20% 20% 16%
Decrease Increase
Source: 2014 State of Industry Study, 2014. HfS Research in Conjunction with KPMG (Sample 312 Enterprises)
Man plus machine: Offshoring continues to accelerate across business functions in 2015How will your Offshore Investments Change in 2015? (Outsourcing)
How will your Offshore Investments Change in 2015? (Shared Services)
© 2015 HfS Research
Source: HfS Research in Conjunction with KPMGNote: n=343
Sales
Analytics
Marketing
Payroll
Legal
Procurement
Supply Chain and Logistics
Industry-specific Processes
Human Resources
Customer Service
Finance and Accounting
Facilities Management
Print & Mail Operations
IT application maintenance & development
IT and Network infrastructure support
38%
36%
35%
27%
40%
47%
42%
42%
48%
45%
52%
38%
37%
46%
46%
9%
12%
13%
33%
21%
14%
21%
23%
18%
22%
21%
35%
42%
37%
39%
53%
52%
51%
40%
39%
39%
37%
35%
34%
33%
27%
27%
21%
17%
15%
Shared Services Outsourced In-house (de centralized)
But outsourcing still augments in-house delivery, as opposed to replacing it…
© 2015 HfS Research Ltd.
Drive down operating costs
Cost effective, flexible services
Better address risk and regulation
Real-time data-driven insights
Improve the quality of operations talent
Restrict the recruitment of labor where possible
Invest in process automation and robotics to reduce reliance on labor
62%
49%
29%
24%
18%
13%
11%
33%
45%
40%
43%
30%
23%
25%
3%
4%
19%
24%
37%
29%
26%
2%
2%
12%
9%
16%
35%
38%
Mission Critical Increasingly Important Emerging Not a Directive
Source: HfS Research and KPMG LLP, 2015Sample: 168 Enterprise Buyer Executives from “Achieving Value Beyond Cost” Study
C-Suite Internal Priorities: Less Cost, Better Data, Less PeopleHow critical are the following C-Suite priorities/directives with your operating model?
© 2015 HfS Research Ltd.Source: HfS Research State of Industry Study 2014, conducted in conjunction with KPMG
(Sample 312 Enterprises)
Two-Thirds of Enterprises Lack “Digital” Skills…How satisfied are you with your internal talent’s ability to achieve the following business outcomes with your current outsourcing engagement(s)?
Accomplish new innovations/creative ideas with service delivery
Improved analytical capabilities
Better automated processes
Better transformed/reconfigured processes
Aligning stakeholders across the org. to achieve better results
Adding strategic value to the business beyond standard operations
Work collaboratively with the provider(s) to deliver higher value
Better standardized processes
Achieving significantly lower operating costs
Keeping the standard operations ticking over efficiently
Meet compliance/regulatory requirements
0% 25% 50% 75% 100%
4%
5%
8%
5%
6%
6%
11%
6%
12%
17%
20%
27%
28%
29%
38%
41%
40%
41%
47%
43%
51%
50%
40%
48%
36%
35%
30%
29%
27%
29%
22%
20%
22%
24%
17%
23%
18%
19%
20%
18%
16%
20%
11%
7%
5%
2%
4%
4%
5%
5%
3%
2%
3%
1%
1%
Very satisfied Satisfied Neither satisfied or unsatisfiedUnsatisfied Very unsatisfied
Value Beyond Cost
© 2015 HfS Research Ltd.
BPO is a force for innovationand_x000d_change within business
My BPO role is fundamental_x000d_to business performance
I am excited about the future_x000d_of BPO as an industry
BPO today is an exciting career choice
There has been a big recent shift in_x000d_the recognition of a career in BPO
BPO has a defined career_x000d_track and a certain future
86%
63%
50%
13%
13%
13%
88%
69%
88%
69%
50%
69%
84%
83%
74%
53%
47%
34%
88%
91%
86%
76%
67%
49%
< 2 Years 2 to 5 Years 5 to 10 Years > 10 Years
Excitement about BPO as a force for change
Not translating
into sustainability
as a career for those new to it
Source: ”Talent in BPO" Study, HfS Research 2015Sample: Enterprise Service Buyers = 192
Experience:
Only one-in-eight professionals new to BPM view it as a long-term careerTo what extent do you agree / disagree with the following? (By years’ experience)
© 2015 HfS Research Ltd.
Source: “The Growing importance of Social Skills in the Labor Market”David J. Deming, NBER Working Paper 21473, 2015
The Rise of Jobs requiring Social Skills in the US
Change in tasks performed by US workers, 1980 to present
© 2015 HfS Research Ltd.
Source: Based on Bureau of Labor Statistics, U.S. Census Bureau, Business Dynamics Statistics (BDS)
19771979
19811983
19851987
19891991
19931995
19971999
20012003
20052007
20092011
0
20
40
60
80
100
120
140
Net Job Creation by Company Size (US)
Small Medium Large
Empl
oym
ent M
illio
nSmall and medium firms drive job creation in the US
From mid-2009 to 2011, small firms (20-499 employees), accounted for 67 percent of the net new jobs. Based on Bureau of Labor Statistics.
© 2015 HfS Research Ltd.Source: Bureau of Labor Statistics, HfS Research Analysis (data to 2014)
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 20140
20
40
60
80
100
120
Motion Picture Projectionists
Executive Secretaries and Assistants
Desktop PublishersEmbalmersPhoto processorsCompensation & Benefit Managers
Telephone Operators
Law Clerks
Data Entry Clerks
The bad news. Some individual Occupation Areas are Declining – Replaced by Technology Decline in jobs from 2004 to 2014 (Index 100 = 2004)
© 2015 HfS Research Ltd.Source: Bureau of Labor Statistics, HfS Research Analysis (data to 2014)
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 20140
50
100
150
200
250
300
350
400
Models
Massage TherapistsMarket Researchers
Sales reps
Food scientistsSocial science teachersManicuristsOperations Research Analysts (analytics)Application Software DevelopersEconomists
The good news. Individual Occupation Areas That are Growing
Growing jobs from 2004 to 2014 (Index 100 = 2004)
© 2015 HfS Research Ltd.
So Here’s the Future!
© 2015 HfS Research Ltd.
Computers are still really bad at simulating social interaction
Your ability to interact with people, applying intelligence and creativity to your craft, is where you add value
Your reputation is everything
Repetitive jobs are fading, “Born in the Cloud” jobs are growing
It’s all about creating a collaborative, stimulating – and enjoyable work culture
Thriving in the era of Digital BPM: Being Social Intelligent
© 2015 HfS Research Ltd.
Positively – Technology has raised the value and of Outsourcing as long-term sustainable careerNeutral – It hasn't really changed my decision-makingNegatively – I am concerned that outsourcing jobs will be automated in the future and will go away
Buyers
Providers
41%
73%
55%
21%
3%
6%
Source: ”Talent in BPO" Study, HfS Research 2015Sample: Enterprise Service Buyers = 192; Service Providers = 252
Technology having a highly positive impact on outsourcing careers…How is technology impacting your decision to pursue a long-term career in outsourcing?
© 2015 HfS Research Ltd.
Invest in effective analytics tools & skills
Accomplish creative problem solving/"Design Think-ing"
Identify/hire a transformational leader/change agent
Replace your existing (legacy) service provider(s) with "As-a-Service" driven providers
Hire new operations talent to redesign processes
Invest in external IT services to help us migrate away from legacy systems
Invest in robotic process automation
47%
42%
38%
32%
30%
24%
21%
52%
50%
38%
58%
47%
56%
37%
1%
8%
23%
10%
24%
21%
41%
Significant Impact Some Impact Minimal/No Impact
Source: "Ideals of As-a-Services" Study, HfS Research 2015Sample: Enterprise Service Buyers = 178
Design Thinking will increase in significance, as the need for socially-intelligent workplace interaction takes hold How much impact would taking the following actions help you reach your desired “As-a-Service” end-state, if you were to make them today?
© 2015 HfS Research Ltd.
1ENVISIONING SUCCESS
Discovering our challenges to re-imagine new solution opportunities.
2DEFINING DESIREDOUTCOMES
Determining the right questions to ask of ourselves
3PRIORITIZINGOUTCOMES
Exploring meaningful ways to implement outcomes-based solutions
4IMPLEMENTING OUTCOMES
Piloting initial outcome-based initiatives
5REALIZING OUTCOMES
Analyze continuous feedback on the solutions provided to measure impact
The more robust our process standards, the more we can work smarter, not cheaper
Design Thinking… we must change our focus to finding business problems
© 2015 HfS Research Ltd.
Easy WorkComplainingPretendingBlamingTakingResenting
Hard WorkInspiringTeachingLearning
GivingEmpowering
Wrap: Successful socially-intelligent workers are those who can self-reflect and improve. Digital transformation is about human ability to enable digital technology
© 2015 HfS Research Ltd.
Fix the disconnect between leadership ambition and operation lethargy
Go for more “big bang change”. Incremental fixes clearly do not work – for all stakeholders
This is about humans creating more intelligent value, finding more problems through collaborating and using the tools available to them
It not about jobs going away, it’s about the nature of work changing. A third of today’s workforce is made up of Millenniums seeking different work experiences
So mentor the new services generation out of its career malaise
Embrace technology and put it to work…
Actions to drag ourselves into the Digital Economy
Thriving in the As-a-Service Economy | Research Strategy Community
PANEL DISCUSSION
NASSCOM BPM STRATEGY SUMMITSEPTEMBER 24TH 2015BENGALURU
The Emerging Digital BPM Economy: Strengthening the Foundations to Get
ahead of the Disruption Curve
Web www.hfsresearch.comBlog www.horsesforsources.com Email [email protected]
© 2015 HfS Research Ltd.
#NASSCOMBPM
Keep Tweeting!
© 2015 HfS Research Ltd.
Pavan Bagai, COO EXL
And today’s contestants are…
Chris Caldwell, President Concentrix Mohit Thukral, SVP, Genpact
© 2015 HfS Research Ltd.
1. Digital technologies are changing how enterprises run, with arguably greater and deeper impact than any of the previous IT waves. The surge of digital transformation will however also result in a lot of failed projects. And while some failure is appropriate in a deliberate controlled-experiment strategy, the amount of waste – estimated up to almost US$400 billion per year, globally - that enterprises witness is simply unacceptable to most CEOs.
2. Many established companies aren’t fully prepared to embrace digital technologies that deliver measurable impact, and address the value chain beyond the front-office “veneer”. In those firms, the complexity of legacy technology and processes (and sometime people) seems insurmountable. What do you do when you have a front office moving at warp speed without the aligned operational infrastructure to keep pace?
3. What are the practical solutions which exist to circumvent the above issues?
4. How do we develop the talent to make this all possible?
PANEL DISCUSSION PREMISE
© 2015 HfS Research Ltd.
The HfS Enterprise Digital Framework
© 2015 HfS Research Ltd.
I. The Optimum Operating Model
Outsourcing Shared Services GBS BPaaS/SaaS/IaaS
Crowdsourcing
II. Empowering Talent to Make it
PossibleCapabilities over Skills Defining
Outcomes Creativity Data Science
IV. Technology to Augment Knowledge Labor Digitization & Robotic Automation Analytics Mobility Social Media Cognitive Computing
III. A Burning Platform for ChangeGlobalization of Labor High-growth Emerging Markets Disruptive Business Models Consumerization
The Four Foundations of the Emerging Services Economy
Tools/Infrastructure GovernanceAgility Collaboration
One-to-Many Outcome Focus Plug-and-Play Services
© 2015 HfS Research Ltd.Source: HfS Research in Conjunction with KPMG, Value Beyond Cost Study, 2015
Sample: n=168 Enterprise Service Buyers
Service Providers must prove to decision-makers they can do more than the basics
So what do you really think of service providers today?
STRA
TEGI
C VA
LUE
A vital partner that plugs critical gaps in terms of skills, global scale, domain knowledge and technology
A lever to drive down costs and improve efficiencies
Provision of access to cheap labour, but little value beyond that
54%
34%
12%
34%
49%
17%
Buyers Advisors
© 2015 HfS Research Ltd.
Clients looking to move on from the FTE commercial model
Training existing account managers with the technology and business skills to support increasingly complex client needs
Hiring new account managers with the technology and business skills to support increasingly complex client needs
New services firms entering the services market with disruptive offerings
BPaaS / IaaS models driving down our profit margins
Clients investing in captives and doing more themselves
73%
67%
62%
53%
40%
38%
70%
89%
78%
44%
41%
56%
Indian-Heritage Providers Western-Heritage Providers
Service Providers can Win by Up-skilling their Staff
Source: HfS Research and KPMG LLP, 2015Sample: 112 Service Provider Executives from “Achieving Value Beyond Cost” Study, November-December 2014
How significantly are the following challenges impacting your business?(% Increasing Significantly / Somewhat)
© 2015 HfS Research Ltd.
Senior leaders have negative view of providers’ willingness to change the legacy model
Few available "plug and play" services
Lack of willingness from our service provider(s) to cannibalize their existing
revenue models
Lack of support from our service provider(s) to share risks/gains with us
General inertia in our organization to change from the status quo
Lack of trust in service providers
We don't have the talent inhouse to evolve the current model
56%
47%
44%
26%
22%
17%
28%
21%
19%
29%
22%
21%
% Highly Significant
VP & Below
SVP & Up
How significant are the following obstacles holding back your enterprise’s move to the “As-a-Service Economy”?
Source: "Ideals of As-a-Services" Study, HfS Research 2015Sample: Enterprise Service Buyers = 178
© 2015 HfS Research Ltd.
<$1B
$1B - $10B
>$10B
4%
3%
2%
36%
26%
27%
43%
32%
54%
11%
19%
15%
7%
19%
2%
We are already there Within 2 years Within 5 years Within 10 years Never
While 7 out of 10 major enterprises are kicking the can down the road…How quickly will your core enterprise processes be delivered “As-a-Service”?
Source: "Ideals of As-a-Services" Study, HfS Research 2015Sample: Enterprise Service Buyers = 178
© 2015 HfS Research Ltd.
BPO is a force for innovationand_x000d_change within business
My BPO role is fundamental_x000d_to business performance
I am excited about the future_x000d_of BPO as an industry
BPO today is an exciting career choice
There has been a big recent shift in_x000d_the recognition of a career in BPO
BPO has a defined career_x000d_track and a certain future
86%
63%
50%
13%
13%
13%
88%
69%
88%
69%
50%
69%
84%
83%
74%
53%
47%
34%
88%
91%
86%
76%
67%
49%
To what extent do you agree / disagree with the following? (By years’ experience)
However, only one-in-eight professionals new to BPM view it as a long-term career
< 2 Years 2 to 5 Years 5 to 10 Years > 10 Years
Excitement about BPO as a force for change
Not translating into
sustainability as a career for those new to it
Source: ”Talent in BPO" Study, HfS Research 2015Sample: Enterprise Service Buyers = 192
Experience:
© 2015 HfS Research Ltd.
How is technology impacting your decision to pursue a long-term career in outsourcing?
Technology having a highly positive impact on outsourcing careers…
Positively – Technology has raised the value and of Outsourcing as long-term sustainable careerNeutral – It hasn't really changed my decision-makingNegatively – I am concerned that outsourcing jobs will be automated in the future and will go away
Buyers
Providers
41%
73%
55%
21%
3%
6%
Source: ”Talent in BPO" Study, HfS Research 2015Sample: Enterprise Service Buyers = 192; Service Providers = 252
© 2015 HfS Research Ltd.
The HfS Intelligent Automation Continuum
Fully
auto
mat
ed
Data CenterAutomation:
RunbookScriptingSchedulingJob controlWorkloadautomationProcessorchestration
SOAVirtualization
Cloud services
RPAAutonomicPlatforms
TrueArtificialIntelligence
BPMBusiness process automation
Workflow
trigger based
Characteristic of process
rules baseddynamic language
rules basedstandardized language
Structured
Characteristic of data/information
Unstructured without patternsUnstructured patterned
CognitiveComputing
© 2015 HfS Research Ltd.
Major lack of understanding of RPA and Cognitive
Software-as-a-Service applications
Cloud infrastructure
Analytics engines
Mobile Apps
Social Media platforms
Robotic Process Automation tools
Cognitive Computing platforms
83%
82%
77%
76%
64%
50%
33%
17%
18%
23%
24%
36%
50%
67%
Yes No
Do you fully understand the value propositions for the following enabling technologies for your enterprise?
Source: "Ideals of As-a-Services" Study, HfS Research 2015Sample: Enterprise Service Buyers = 178
© 2015 HfS Research Ltd.
IT is leading candidate for RPA
IT including service desk
Procurement
Finance & Accounting
Master Data Management
HR
Supply Chain
Customer Service
Marketing
Claims Processing
82%
65%
62%
53%
53%
50%
44%
32%
32%
Where do you believe robotic process automation to be applicable? (Choose as many as applicable)Base=34 (those with some RPA experience who agreed to share their views)
Source: "Ideals of As-a-Services" Study, HfS Research 2015Sample: Total = 716; Enterprise Buyers = 178; Advisors/Consultants = 176; Service Providers = 372
© 2015 HfS Research Ltd.
RPA cost-saving expectations are not aggressiveWhat percent of your total process cost today do you expect to remove with RPA, all else holding constant?
Buyers Providers Advisors6% 1% 2%
34%
29%
43%
20% 36%21%
3%
14%6%
37%
19%28% Good question, don't
have an answer
40%+
20-40%
0-20%
None
Source: "Ideals of As-a-Services" Study, HfS Research 2015Sample: Total = 716; Enterprise Buyers = 178; Advisors/Consultants = 176; Service Providers = 372
© 2015 HfS Research Ltd.
Cognitive all about augmenting existing knowledge laborWhat do you believe to be the greatest potential benefit of Cognitive Computing?
Buyers Providers Advisors
21% 18% 23%
21%
10%10%
49%
50% 44%
9%21% 23%
Creating entirely new processes and services for new revenues
To augment the capabilities of knowledge labor and create new revenues
To replace knowledge labor and reduce overall costs
To replace transactional labor and reduce overall costs
Source: "Ideals of As-a-Services" Study, HfS Research 2015Sample: Total = 716; Enterprise Buyers = 178; Advisors/Consultants = 176; Service Providers = 372
© 2015 HfS Research Ltd.
The Capabilities to get us to the As-a-Service Economy will take time to develop…
As-a-Service Economy
< 3 yearsInfluencing senior executivesUse of automation as first building blocks to decouple labor from routine service delivery
3 – 6 yearsReal-time Analytics ModelingAutomationDefining & impacting value beyond costDesign Thinking
> 6 YearsAugmenting Labor with Artificial IntelligenceIdentifying new ways to drive cost reduction & value
Legacy Simplification
Top Related