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2010 CIO Outlook


       Roo Reynolds
       (with thanks to Dave Newbold)




                                       © 2007 IBM Corporation
IBM CIO Technology and Innovation




2     2010 CIO Outlook                  © 2007 IBM Corporation
IBM CIO Technology and Innovation




    CIO Outlook
                                               “The 2010 CIO Outlook
             2010 trends and impact         is a point of view on future
                                              IBM business transformation
             Current opportunity gaps
                                                  and a roadmap for
             Enterprise 2.0                    IBM’s CIO organization”
             Employee scenario
             Inhibitors
             Indicators




3         2010 CIO Outlook                                     © 2007 IBM Corporation
IBM CIO Technology and Innovation



Trends with the most business impact in 2010
    •   Global integration
    •   Participatory internet
    •   Workforce demographics
    •   Software as a service
    •   Virtualized data and devices
    •   Simplicity from design




4         2010 CIO Outlook                     © 2007 IBM Corporation
IBM CIO Technology and Innovation



Opportunity gaps
    •   Plans are in place for
        data, productivity, business process
        and infrastructure optimization, and
        transition to services oriented
        architecture (SOA).


    •   Therefore, we focused the 2010 CIO
        Outlook on:

         1. Employee driven integration

         2. Global collaborative innovation
                                               “Its all about integration and innovation”
         3. Aggressive pursuit of simplicity
                                                               - Sam Palmisano, April 25, 2006
            and hosting

5            2010 CIO Outlook                                                  © 2007 IBM Corporation
IBM CIO Technology and Innovation




2010 CIO Outlook themes

    •   Open data to (re)use
    •   Capture participation
    •   Transition to simple and
        open hosted tools
    •   Encourage customization
    •   Reward sharing via reputation
    •   Integrate results with clients




6         2010 CIO Outlook                  © 2007 IBM Corporation
IBM CIO Technology and Innovation



Integration foundation: Services Oriented Architecture
    SOA builds a foundation of application and
    data services that permit business agility and
    encourage the reuse and ‘remixing’ of
    components
                             Manage                  Store/Channel Supply Chain & Finance        Business
                             Customers Merchandising Operations Distribution      Administration Administration
                                      Channels             Store/Channel                                   Planning




                                                                                                                         Strategy
                                                           Strategy                        Financial
                                CRM                                              SCM                    Alliances
                                            IPT                 Labor                      Planning
                                                                                                         LOB Planning
                               Insights       Vendors      Store Design
                                                                           Distribution                    Perf. Mgt.
                                                                                          Market Mgt.         MI
      Transformation View




                            Customer Sat.     Supply/        Inventory                                                   Tactics
                                              Demand                                                    Process Design
                                                                            Logistics
                             Promotions              Space Mgt.                                           Legal/Reg
                                                                                           Finance
                             Order Mgt.                                                                  Procurement
                                            Vendor Mgt.      Store Mgt.    Distribution
                                                                                                                         Execution




                                                                           Ops.           Treasury        Real Estate
                              Customer
                              Accts.          Item Mgt.    Store Services Transportation Back Office          HR
                              Customer         Product
                              Directory        Directory
                                                                     Inventory            Accounting          IT                               Portal
                                                                                                                                               Service   SOA/REST

     1.                                                                                                                                                   Service
                                                                                                                                                          Request
                                                                                                                                                                        B2B
                                                                                                                                                                    Interactions
                                                                                                                                                                                                             3.
                                                                            Service
                                                                              Flow

                                                                                                   Data                                                                   “You will waste your investment in SOA
                                                                                                          Existing                                                       unless you have enterprise information
                                                                                                       Applications
                                                                                                                                      New
                                                                                                                                                                                  that SOA can exploit.quot;
                                                                                                                                     Service
                                                                                                                                      Logic              2.                         Gartner Research, 2005



7                                            2010 CIO Outlook                                                                                                                                    © 2007 IBM Corporation
IBM CIO Technology and Innovation



 Innovation foundation: Web 2.0 patterns

 Service,
 not software                                   Users add value
• User-driven adoption                         • Recommendations
• Value on demand                              • Social networking
• Low cost of entry                              features
• Public infrastructure                        • Tagging
                                               • User comments
                                               • Community rights
                                                 management

     Easy to use and remix
     • Responsive UIs (AJAX)
     • Feeds (Atom, RSS)
     • Simple extensions
     • Mashups (REST APIs)




 8           2010 CIO Outlook                      © 2007 IBM Corporation
IBM CIO Technology and Innovation



    Community: how it works outside the firewall




9          2010 CIO Outlook                        © 2007 IBM Corporation
IBM CIO Technology and Innovation



Software as a Service (SaaS)

The new generation of
  hosted software is:


     •   Simpler to use
     •   Easy to deploy and manage
     •   Easy to customize
     •   As capable
     •   Often easier to integrate
     •   Lower cost




10             2010 CIO Outlook                  © 2007 IBM Corporation
IBM CIO Technology and Innovation



Enterprise 2.0                                                                         Social
                                                                                       Friending
                                                                                       Blogs
•    This combination of SOA, Web 2.0 patterns and                                     Blog comments
     SaaS is the core of the 2010 CIO Outlook strategy                                 Tagging colleagues

•    Some analysts call this Enterprise 2.0*                                           Reputation evaluations
                                                                                       Open wikis
•    What is the business value for IBM?                                               Tagging documents




                                                             Enterprise 2.0 Spectrum
     •   User driven innovation in search, data                                        Open 'Activities' (task scripts)

         quality, customer insight, process                                            Using browser scripts

         improvement, etc.                                                             Scripting formal processes
                                                                                       Desktop task mash-ups
     •   Simpler more productive solutions for                                         Extending internal apps. (via
         everyone, especially mobile employees                                         script)
                                                                                       Writing Situational Applications
     •   Integration of user tasks, business processes
                                                                                       Desktop widgets
         and social awareness to improve quality of
                                                                                       Data APIs
         results
                                                                                       REST Services APIs
     •   Reduced cost and higher employee satisfaction                                 Web Services
                                                                                       Technical
     •   Innovate Enterprise 2.0 solutions for our clients

* Andrew McAfee, Sloan Management Review, Spring 2006

11             2010 CIO Outlook                                                                        © 2007 IBM Corporation
IBM CIO Technology and Innovation



Example: Building employee profiles

 How can we do a better job finding the right people, building relationships
   and trust?
     •   Auto profiling?
     •   Better search?
     •   Include patents?
     •   Include blogs?


     Encourage tagging…
     and then exploit it!




12           2010 CIO Outlook                                             © 2007 IBM Corporation
IBM CIO Technology and Innovation




13     2010 CIO Outlook                  © 2007 IBM Corporation
IBM CIO Technology and Innovation




14     2010 CIO Outlook                  © 2007 IBM Corporation
IBM CIO Technology and Innovation



Example: Building employee profiles

     How can we do a better job finding the right people, building
       relationships and trust?
       •   Auto profiling?
       •   Better search?
       •   Include patents?
       •   Include blogs?
       •   Encourage tagging
           and then exploit it!
       •   Social network
           from tags




15             2010 CIO Outlook                                      © 2007 IBM Corporation
IBM CIO Technology and Innovation



Exploiting tagging




16     2010 CIO Outlook                  © 2007 IBM Corporation
IBM CIO Technology and Innovation



Exploiting tagging




17     2010 CIO Outlook                  © 2007 IBM Corporation
IBM CIO Technology and Innovation



Exploiting tagging




18     2010 CIO Outlook                  © 2007 IBM Corporation
IBM CIO Technology and Innovation


Example: Employee desktop now and then




 Current employee desktop:
 •   Many generalized tools                     Future employee desktop:
 •   Integration via cut & paste                •   Simple, hosted tools
 •   Business process are ad hoc                •   Integrated by Activities and feeds
 •   Success depends on personal                •   Business process visible and reused
      experience and network                    •   Success depends on community
 •   Limited mobility and client access         •   All components mobile and accessible

19            2010 CIO Outlook                                                © 2007 IBM Corporation
IBM CIO Technology and Innovation


Detail: Employee desktop elements
Client dashboard                                           Mobility
• Custom assembled                                         • All Workplace
  for client by the                                          components
  employee                                                   accessible at
• Allows extranet                                            any time
  access
• Is a Situational
 Application




                                              Activities
 Catalog                                      • Task oriented view
 • Desktop widget
                                              • Shared and refined
 • Task specific
                                                by everyone – all
   ‘mash-ups’                                   with tags, ratings,
   sharing                                      reputations and
                                                recognition



 20         2010 CIO Outlook                                                 © 2007 IBM Corporation
IBM CIO Technology and Innovation



Inhibitors


Critical issues are:                               “User acceptance is our
     •   Opening enterprise data for reuse          measure of success”
     •   Creating web 2.0 component examples
     •   Creating lightweight infrastructures:
         •    Catalogs
         •    Federated and more secure identity (Higgins)
         •    Enterprise TR3 (tagging, rating, reputation and
              recognition)
         •    Massive, reliable and inexpensive data stores
     •   Giving permission to employees




21             2010 CIO Outlook                                         © 2007 IBM Corporation
IBM CIO Technology and Innovation



                                         Leading indicators
                                                                                                      Enterprise tagging server




                                                                             Early adopter program
                                                                             and component catalogs                               Dynamic
                                                                                                                                  workplace
                                         200
                                                                  Collaborative innovation
                                         175                      environment                                                                                       Very low cost
                                                                                                                                                                    storage
                                         150
Unique tags created (cumulative 000’s)




                                                                                                                                                                                        70




                                                                                                                                                                                             TAP Early Adopter Membership (‘000s)
                                         125
                                                                                                                                                Open security                           60
                                               ValuesJam: employees
                                         100   co-create IBM                                                                                                                            50
                                               corporate values                                                             Business Process                    Web identity
                                          75                                                                                                                                            40
                                                                                                                            visualizations                      and reputation
                                                                                                                            on desktop                                                  30
                                          50
                                                                                                                                                                                        20
                                          25
                                                                                                                                                                                        10



                                                  2003                2004              2005          2006               2007            2008              2009                  2010

                                         22          2010 CIO Outlook                                                                                                 © 2007 IBM Corporation
IBM CIO Technology and Innovation




                                         …or with a billion-
                                         person workforce?




23     2010 CIO Outlook                           © 2007 IBM Corporation

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Ibm Cio 2010 Outlook

  • 1. 2010 CIO Outlook Roo Reynolds (with thanks to Dave Newbold) © 2007 IBM Corporation
  • 2. IBM CIO Technology and Innovation 2 2010 CIO Outlook © 2007 IBM Corporation
  • 3. IBM CIO Technology and Innovation CIO Outlook “The 2010 CIO Outlook 2010 trends and impact is a point of view on future IBM business transformation Current opportunity gaps and a roadmap for Enterprise 2.0 IBM’s CIO organization” Employee scenario Inhibitors Indicators 3 2010 CIO Outlook © 2007 IBM Corporation
  • 4. IBM CIO Technology and Innovation Trends with the most business impact in 2010 • Global integration • Participatory internet • Workforce demographics • Software as a service • Virtualized data and devices • Simplicity from design 4 2010 CIO Outlook © 2007 IBM Corporation
  • 5. IBM CIO Technology and Innovation Opportunity gaps • Plans are in place for data, productivity, business process and infrastructure optimization, and transition to services oriented architecture (SOA). • Therefore, we focused the 2010 CIO Outlook on: 1. Employee driven integration 2. Global collaborative innovation “Its all about integration and innovation” 3. Aggressive pursuit of simplicity - Sam Palmisano, April 25, 2006 and hosting 5 2010 CIO Outlook © 2007 IBM Corporation
  • 6. IBM CIO Technology and Innovation 2010 CIO Outlook themes • Open data to (re)use • Capture participation • Transition to simple and open hosted tools • Encourage customization • Reward sharing via reputation • Integrate results with clients 6 2010 CIO Outlook © 2007 IBM Corporation
  • 7. IBM CIO Technology and Innovation Integration foundation: Services Oriented Architecture SOA builds a foundation of application and data services that permit business agility and encourage the reuse and ‘remixing’ of components Manage Store/Channel Supply Chain & Finance Business Customers Merchandising Operations Distribution Administration Administration Channels Store/Channel Planning Strategy Strategy Financial CRM SCM Alliances IPT Labor Planning LOB Planning Insights Vendors Store Design Distribution Perf. Mgt. Market Mgt. MI Transformation View Customer Sat. Supply/ Inventory Tactics Demand Process Design Logistics Promotions Space Mgt. Legal/Reg Finance Order Mgt. Procurement Vendor Mgt. Store Mgt. Distribution Execution Ops. Treasury Real Estate Customer Accts. Item Mgt. Store Services Transportation Back Office HR Customer Product Directory Directory Inventory Accounting IT Portal Service SOA/REST 1. Service Request B2B Interactions 3. Service Flow Data “You will waste your investment in SOA Existing unless you have enterprise information Applications New that SOA can exploit.quot; Service Logic 2. Gartner Research, 2005 7 2010 CIO Outlook © 2007 IBM Corporation
  • 8. IBM CIO Technology and Innovation Innovation foundation: Web 2.0 patterns Service, not software Users add value • User-driven adoption • Recommendations • Value on demand • Social networking • Low cost of entry features • Public infrastructure • Tagging • User comments • Community rights management Easy to use and remix • Responsive UIs (AJAX) • Feeds (Atom, RSS) • Simple extensions • Mashups (REST APIs) 8 2010 CIO Outlook © 2007 IBM Corporation
  • 9. IBM CIO Technology and Innovation Community: how it works outside the firewall 9 2010 CIO Outlook © 2007 IBM Corporation
  • 10. IBM CIO Technology and Innovation Software as a Service (SaaS) The new generation of hosted software is: • Simpler to use • Easy to deploy and manage • Easy to customize • As capable • Often easier to integrate • Lower cost 10 2010 CIO Outlook © 2007 IBM Corporation
  • 11. IBM CIO Technology and Innovation Enterprise 2.0 Social Friending Blogs • This combination of SOA, Web 2.0 patterns and Blog comments SaaS is the core of the 2010 CIO Outlook strategy Tagging colleagues • Some analysts call this Enterprise 2.0* Reputation evaluations Open wikis • What is the business value for IBM? Tagging documents Enterprise 2.0 Spectrum • User driven innovation in search, data Open 'Activities' (task scripts) quality, customer insight, process Using browser scripts improvement, etc. Scripting formal processes Desktop task mash-ups • Simpler more productive solutions for Extending internal apps. (via everyone, especially mobile employees script) Writing Situational Applications • Integration of user tasks, business processes Desktop widgets and social awareness to improve quality of Data APIs results REST Services APIs • Reduced cost and higher employee satisfaction Web Services Technical • Innovate Enterprise 2.0 solutions for our clients * Andrew McAfee, Sloan Management Review, Spring 2006 11 2010 CIO Outlook © 2007 IBM Corporation
  • 12. IBM CIO Technology and Innovation Example: Building employee profiles How can we do a better job finding the right people, building relationships and trust? • Auto profiling? • Better search? • Include patents? • Include blogs? Encourage tagging… and then exploit it! 12 2010 CIO Outlook © 2007 IBM Corporation
  • 13. IBM CIO Technology and Innovation 13 2010 CIO Outlook © 2007 IBM Corporation
  • 14. IBM CIO Technology and Innovation 14 2010 CIO Outlook © 2007 IBM Corporation
  • 15. IBM CIO Technology and Innovation Example: Building employee profiles How can we do a better job finding the right people, building relationships and trust? • Auto profiling? • Better search? • Include patents? • Include blogs? • Encourage tagging and then exploit it! • Social network from tags 15 2010 CIO Outlook © 2007 IBM Corporation
  • 16. IBM CIO Technology and Innovation Exploiting tagging 16 2010 CIO Outlook © 2007 IBM Corporation
  • 17. IBM CIO Technology and Innovation Exploiting tagging 17 2010 CIO Outlook © 2007 IBM Corporation
  • 18. IBM CIO Technology and Innovation Exploiting tagging 18 2010 CIO Outlook © 2007 IBM Corporation
  • 19. IBM CIO Technology and Innovation Example: Employee desktop now and then Current employee desktop: • Many generalized tools Future employee desktop: • Integration via cut & paste • Simple, hosted tools • Business process are ad hoc • Integrated by Activities and feeds • Success depends on personal • Business process visible and reused experience and network • Success depends on community • Limited mobility and client access • All components mobile and accessible 19 2010 CIO Outlook © 2007 IBM Corporation
  • 20. IBM CIO Technology and Innovation Detail: Employee desktop elements Client dashboard Mobility • Custom assembled • All Workplace for client by the components employee accessible at • Allows extranet any time access • Is a Situational Application Activities Catalog • Task oriented view • Desktop widget • Shared and refined • Task specific by everyone – all ‘mash-ups’ with tags, ratings, sharing reputations and recognition 20 2010 CIO Outlook © 2007 IBM Corporation
  • 21. IBM CIO Technology and Innovation Inhibitors Critical issues are: “User acceptance is our • Opening enterprise data for reuse measure of success” • Creating web 2.0 component examples • Creating lightweight infrastructures: • Catalogs • Federated and more secure identity (Higgins) • Enterprise TR3 (tagging, rating, reputation and recognition) • Massive, reliable and inexpensive data stores • Giving permission to employees 21 2010 CIO Outlook © 2007 IBM Corporation
  • 22. IBM CIO Technology and Innovation Leading indicators Enterprise tagging server Early adopter program and component catalogs Dynamic workplace 200 Collaborative innovation 175 environment Very low cost storage 150 Unique tags created (cumulative 000’s) 70 TAP Early Adopter Membership (‘000s) 125 Open security 60 ValuesJam: employees 100 co-create IBM 50 corporate values Business Process Web identity 75 40 visualizations and reputation on desktop 30 50 20 25 10 2003 2004 2005 2006 2007 2008 2009 2010 22 2010 CIO Outlook © 2007 IBM Corporation
  • 23. IBM CIO Technology and Innovation …or with a billion- person workforce? 23 2010 CIO Outlook © 2007 IBM Corporation