Your Role in the Ecosystem

1. YOUR ROLE ECOSYSTEM IN THE

2. Companies across all industries want a piece of the platform revolution. Some 300 platforms already exist and the development of others is rapidly accelerating. Yet only 10% of platforms are likely to succeed. How do you become one of them? PLATFORMS ARE DRIVING THE DIGITAL ECONOMY AND ACCELERATING TRANSFORMATION Copyright © 2017 Accenture. All rights reserved. 2

3. Companies that invest solely in building platforms may be competing in a race to the bottom. The greatest value lies in how organizations leverage ecosystems to deliver outcomes and solutions in the platform economy. PLATFORM OWNERSHIP IS NOT THE ONLY PATH TO GROWTH AND PROFITABILITY Copyright © 2017 Accenture. All rights reserved. 3

4. THE KEY LIES IN UNDERSTANDING EVOLVING BUSINESS MODELS A shift is taking place to ecosystem business models, which enable the creation of scalable digital platforms that underpin end-to-end solutions and services, and drive collaboration and value across a network of ecosystem partners. Copyright © 2017 Accenture. All rights reserved. 4

5. KEY ELEMENTS OF ECOSYSTEM BUSINESS MODELS PLATFORM ECOSYSTEMS form around functional, technical or vertical capabilities and provide the supply side of the business model. OFFERING ECOSYSTEMS form around a robust digital platform to create innovative solutions and services for end consumers. These generate the demand within the business model. ECOSYSTEM SERVICES align multiple players to common objectives and enhance capabilities to deliver extended value propositions and superior customer experiences. Copyright © 2017 Accenture. All rights reserved. 5

6. ROLE PLAY: PARTICIPANTS PARTICIPATE Copyright © 2017 Accenture. All rights reserved. 6 Companies can reap the benefits of existing platforms and offer their services and solutions as part of larger ecosystems. They deliver value by making platforms more resilient and robust. EXAMPLE Level 3 and Cogent provide “middleman networks” known as “transits” to help Netflix extend its ecosystem by enabling the media giant to pipe video from its platform into new markets.

7. Companies that want to implement and manage an ecosystem of their own must decide where to place their competitive bets and determine what type of leader they want to be. ROLE PLAY: LEADERS LEAD THE AGGREGATOR THE INNOVATOR THE ORCHESTRATOR Copyright © 2017 Accenture. All rights reserved. 7

8. Creates transactional marketplaces that connect supply and demand. Their platforms offer frictionless exchange of value between customers and suppliers. EXAMPLE eBay THE AGGREGATOR Copyright © 2017 Accenture. All rights reserved. 8

9. Creates platform environments that enable the development of new solutions. Innovators enable and encourage third-party developers to create the services and solutions customers want or need. EXAMPLE Apple THE INNOVATOR Copyright © 2017 Accenture. All rights reserved. 9

10. Creates platforms that drive exceptional customer experiences. Collaborates with partners to co-create and integrate a set of services that address business issues and deliver valuable outcomes. EXAMPLE Philips Healthcare THE ORCHESTRATOR Copyright © 2017 Accenture. All rights reserved. 10

12. Copyright © 2017 Accenture. All rights reserved. 12 KEEP YOUR EYES ON THE PRIZE OPPORTUNITIES FOR ECOSYSTEM LEADERS AND PARTICIPANTS DIFFER. MOVE UP THE CONTINUUM AS FAR AND AS QUICKLY AS POSSIBLE.

13. GO VERTICAL OR GO HOME Copyright © 2017 Accenture. All rights reserved. 13 TO CAPTURE THE NEXT WAVE OF VALUE CREATION, IDENTIFY INDUSTRY- SPECIFIC OPPORTUNITIES. TEAM WITH THE RIGHT PARTNERS TO DELIVER TARGETED SOLUTONS.

14. BE UNBEAT ABLE Copyright © 2017 Accenture. All rights reserved. 14 Communications, media and technology companies that have pivoted their focus from platforms to ecosystems— and defined the ecosystem role they will play— are standing apart. Those who fail to recognize the power of ecosystem business models are setting themselves up for marginalization. There’s not a moment to waste.