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30th September 2016

Platforms as a Business Asset

Welcome to our next edition of BTB. This month we probe the area of platforms and cloud technologies as cooperative business assets that have the potential to change the way companies can exploit these new trends.


Capgemini has a wealth of expertise and knowledge around cloud technologies and its implementation. Combined with a fresh look at platforms, we believe that a new genre of innovation is poised to make an impact.


Lanny Cohen, Chief Technology Officer, Capgemini


PLATFORMS AS A BUSINESS ASSET

Ron Tolido, Senior Vice President & CTO

Intersection of today’s supply and demand can lead to new and often unpredictable results, creating breakthroughs. Digital platforms need to be mirrored in the organization. IT needs to be completely fused with the business activity.

The intersection of today’s supply and demand can lead new and often unpredictable results, creating breakthroughs. The digital platform for the business needs to be mirrored in the organization itself. IT needs to be completely fused with the business activity.
 
 

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How to sell cloud to your CEO

Alexander Sciberras, Managing Consultant, UK

The CIO is having a very different conversation with the CEO than previously. Cloud solutions are a strategic initiative, and the discussion is driven by business value in a world where market disrupters are clawing into the business.

Ensuring the disruptive force of cloud brings tangible business value

There’s a change underway in the adoption of cloud for the enterprise. Until now, the primary driver for moving to the cloud has been cost reduction and efficiencies in IT. That’s all changing as cloud technologies evolve, disrupters come to the fore, and organizations are adversely affected by their lack of cloud maturity. Today, when embarking on a cloud-first strategy, the CIO argument to the board cannot be simply on the usually compelling IT cost reduction argument. Instead it increasingly needs to be built on cloud as a business enabler: a means to be more innovative, agile, to generate more revenue, create new revenue models, and introduce business advantage through insight.

Why the change? Cloud has always been IT driven, with the business case shaped by how it can improve efficiency across the IT estate and thus release spending capacity for other areas of IT. Now, however, as the march of digital truly gathers pace across the enterprise, there is far greater understanding of technology as a strategic business enabler, and the cloud’s core role within this.

Thus the CIO is having a very different conversation with the CEO and other members of the board. Spending on cloud solutions and services is being sanctioned as a strategic initiative, not purely as a technology play. So this conversation is driven by business value, and what’s needed to operate in a world where market disrupters are clawing into the business, to be responsive to the markets and competitors, and where talent retention is proving harder as the workforce becomes more demanding and selective of its employers.

The household-known innovators of this world, such as Netflix, Uber and Airbnb, have accepted the business case argument of the cloud, and just expect IT costs to be low. In essence, what they are really doing to drive value from the cloud is developing a new business model, a culture that is fast to innovate, and to respond to insight and change in the market. This needs cloud IT, but it also needs a host of other capabilities and values to drive benefit.

 

So why aren’t more companies making this transformation and seeing the business value of the cloud? Here are a few of the arguments we hear against it, along with our response:

1) We’re not looking for the business case beyond the IT benefits – a much stronger universal benefits case needs to be brought into the boardroom.

2) We fear the change – a structured transformation approach will drive that change across all aspects of the business.

3 We’re concerned it might break something or are unconvinced of the need – take a phased approach to change; use framing to drive a proposition and the multi speed IT model to make it stick, then spread it out to other areas.    

The key to successful cloud migration lies in a cultural change at the heart of the organization that has to be led from the very top. This is not just a case of switching infrastructure and application layer services; it’s a whole new mindset to the way of procuring and using technology. It’s about ensuring the business understands how the cloud can transform both the workplace and business outcomes. It’s an enterprise-wide realization that technology, and more specifically, the cloud is inextricably linked with business strategy enablement. If you focus solely on the IT business case, it’s an IT problem if the expected benefits fail to materialize, when in reality it’s everyone’s issue.

The CEO needs a reassuring measure, a methodology by which progress to the cloud can be driven. And that begins with a universal view of benefits from the intended outcomes. This must embrace each layer affected by the potential cloud solution: infrastructure, application service, project delivery, business unit benefits, and ultimately enterprise-level benefits.

At Capgemini we’ve built a business case framework for cloud-enabled transformation that starts with this universal benefits view. It’s a formalized methodology, the type of which is needed to base any cloud transformation business case conversation. While each CIO will have their own approach to put before the board, the steps will be similar. They include: identifying and recommending actions needed to realize the benefits; defining technology, skills, process and organizational changes; and establishing investment needs.

Beyond such a framework, everyone has to see cloud as a business enabler and understand the value it can bring in terms of speed-to-market, brand reputation, customer experience, innovation, and more. At the enterprise level, blanket adoption is unlikely to be there from day one. Instead, this cultural shift must come as a result of seeing successful tangible delivery using cloud technologies as a platform for innovation, and build out from there.

Whether your organization is a leader or a follower, the clear concern is that a competitor might come up with a market-beating offer and you won’t be positioned to move into that space without this kind of innovation and solution-building culture enabled by transformational use of the cloud.

You can read more about Capgemini’s Cloud Advise services on our Cloud Strategy page.

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Is your cloud strategy a true reflection of your business ambition?

Presented by Richard Bowler, Ana Nikolova, and Benjamin Alleau

The cloud is not simply a new technology; it is part of a profound transformation, and a cultural shift. It defines a company’s differentiation from the rest of the market.

Cloud Choice

In the age of digital transformation, a cloud-first approach brings the agility and flexibility you need to outperform competitors. Find New Ways to manage your journey to becoming a cloud-first enterprise.
 
Cloud is becoming a ubiquitous delivery option for all kinds of IT. But for most enterprises, “cloud first” is a future intent, not a reality. We overcome the constraints that limit cloud adoption, and enable a transformation from legacy technology to a cloud-first way of operating.
 

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Microservices in Cloud-Based Infrastructure

Gunar Menzel, VP Chief Architect, Infrastructure Services

Microservices, a loosely coupled marriage between component-oriented, and service-oriented architectures, benefits from an infrastructure platform that follows a Lego®-brick approach.

This white paper provides a detailed view of the impact microservices has on infrastructure; and examines how today’s infrastructure should be designed to support microservices.
 
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How can organizations monetize cloud-based solutions while dealing with data privacy

David Blackwood, Vice President & Chief Technology Officer, Cloud Infrastructure Services

Apps stores from Apple and Google have opened up a Pandora’s box for building and monetizing applications. Can the enterprise take advantage of this trend? What are the privacy considerations?

Client and consumer data is used throughout enterprise applications. Use of APIs, frameworks, gateways, and open standard technology can be used to protect sensitive data. A balance between privacy and monetization of applications, for example, through subscriptions, needs to be maintained. 
 

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