A New Blueprint for the High Performance Digital Company And the end of the back-office as we know it… Digital change is coming fast. 62% 52% 63% believe digital will drive major industry change expect digital to cause significant or complete transformation change fear losing customers if they don’t embrace digital Copyright © 2015 Accenture. All rights reserved. Accenture Confidential Information. Only 30% of major business processes currently rely upon digital technologies (for 4 out of 5 respondents) Over 30% say digital transformation of their business is driving need for crossfunctional cooperation Only 1/3 have technology in place that underpins and shapes the entire customer experience 2 Recurring services revenue is the future. IoT Supplier Revenue Opportunity by Offering Type USD Billions; 2020 Computing & Storage Comms & Networking Analytics, Apps, & Services $262 $18 $17 $31 $328 80% of IoT Supplier Revenue will come from services “Things” Copyright © 2015 Accenture. All rights reserved. Accenture Confidential Information. 3 Customers are in the driving seat. 72% 72% 70% 67% 67% expect more consumer-like interaction and convenience require more agility, flexibility, and response speed always monitor and evaluate suppliers, and require ongoing engagement now have more decision stakeholders with distinct needs and goals have advanced sourcing and procurement with more decision influence Copyright © 2015 Accenture. All rights reserved. Accenture Confidential Information. 4 Traditional operating models are at a breaking point. Historical Operating Model Characteristics 3-5 Year Cycle Times Product Development Fire & Forget Product Development IP as Primary Value Driver Platforms Lifecycle Management Periodic Sales Process Licenses & True-ups Patch and Upgrade Provision & Deploy Copyright © 2015 Accenture. All rights reserved. Accenture Confidential Information. Enterprise Deployment Programs Ship It 5 Traditional organizational models are broken. Back Office Systems Front Office Teams IT CRM Sales & Marketing IT Billing Finance & Marketing IT Configuration Product / R&D IT Support Service IT ERP Finance Copyright © 2015 Accenture. All rights reserved. Accenture Confidential Information. “Technology is siloed and too difficult to use to craft cross-channel experiences.” Accenture - Cutting Across the CMO – CIO Divide 6 The new operating playbook for Digital business. Digital Operating Model Characteristics Rapid, Continuous & Instrumented Delivery Product Development Ecosystems vs. End-to-End Stacks Insights & Outcomes as New Drivers Perpetual Customer Engagement Lifecycle Management Evergreen Sales Processes Provision & Deploy Land & Expand Copyright © 2015 Accenture. All rights reserved. Accenture Confidential Information. Path-Finding Operate It 7 Functional integration is key to success. Customer & Partner Experience Portfolio Integration Product Development Ecosystem Innovation Operations Integration Selling & Channel Management Pricing, Contracting & Billing Financial Management Service & Support Applied Analytics and Customer Insight Copyright © 2015 Accenture. All rights reserved. Accenture Confidential Information. 8 The blueprint for a high performance Digital company. New Service-Driven Business & Operating Models In-built Security Customer Engagement with Meaningful and Unique Experiences Connected Devices Digital Manufacturing & Digital Supply Chain Digital Sales Cloud & Infrastructure Driven Digital Products in Extended, Composite Enterprises Analytics-Led Operations & Decision-Making Optimize Enterprise Operations Copyright © 2015 Accenture. All rights reserved. Accenture Confidential Information. 9
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