it governance / office of the cio - short version - galit stki summit 2009
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Office of the CIO 2009
Office of theCIO 2009
Galit FeinVP & Senior Analyst
Office of the CIO Strategies
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IT Trends 2009
Agenda
IT Budget Mngt
Office of the CIO/ ITAM
Sourcing/ Cloud Computing
Conclusion
11
Enterprise Risk Mngt
22
33
44
Mobile/ Social Networks
55
66
IT trends 2009
IT Budget Mngt
Office of the CIO
Sourcing
ERM
Mobile
IT Trends2009
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IT in Aggressive Cost-Cutting Times
IT Market decreasing -12.53%
IT Budget cutsCapex Crisis IT budget mngt
IT Trends2009
Need for better IT investments optimization
Increased focus on ITG Office of the CIO
Technology budget is mostly non- discretionary
Shift to discretionary cost basis when
possible
IT Asset MngtSourcing ModelsCloud Computing
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IT in Aggressive Cost-Cutting Times
Financial crisis forced better regulations & risk mngt
Increased spend on IT risk mngt Enterprise Risk Mngt
IT Trends2009
Innovation New business models Mobile; Social Networking
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Actions taken to cut IT costs
Reduce IT headcount
Reduce spending on IT staff training
Freeze or cancel IT capital spending
Renegotiate IT vendor contracts
Postpone discretionary IT projects
Freeze IT hiring
Restrict IT travel expenses
34%
46%
49%
52%
58%
59%
61%
Jan-09
Source: CIO IT Budget & Staffing Survey
IT Trends2009
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Top IT’s Priorities for 2009in Israel
Automation and outsourcing testing
Improvement of IT security and compliance
Requirement and Portfolio management
Business Intelligence
Selection of IT investments based on ROI
Renegotiation of contract
Consolidation of IT infrastructure
21%
30%
31%
42%
53%
57%
62%
Source: STKI
IT Trends2009
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IT in Aggressive Cost-Cutting Times
IT Budget Cuts Capex crisis
IT budget mngt
IT Budget mngt
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IT Budget Reduction
• Capex Crisis - cash flow is the KING
• Move from Capex/Opex to
Zero-based budgeting
• Trade non-discretionary costs for
discretionary costs
IT Budget mngt
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Non-Discretionary Costs
IT budget with previous commitment & no
flexibility
Hidden IT costs
IT Budget mngt
60%
36%
4%
Non-Discretionary spends
Discretionary spends
Unsure
Source: CIO magazine "the State of the CIO" online survey 2008
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“Hidden” IT costs
Expenses assigned before the budget year:
People cost (internal staff)
Professional services based on annually contracts
HW & SW maintenance (annual app maintenance
fees)
Mandatory & “must” projects: Data Storage,
Networks
IT Budget mngt
Current high non-discretionary costs prevent business agility
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Discretionary Non-discretionary
Too often, cuts made only in
discretionary IT spending
Trade non-discretionary costs for discretionary costs
IT Budget mngt
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IT in Aggressive Cost-Cutting Times
IT investments optimization
Increased focus on ITG
Office of the CIO
Office of the CIO
Upcoming STKI Round Table on Office of the CIO: 10/06/2009
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Taking Advantage of a Downturn
Financial crisis has increased the
attention to IT costs mngt
IT can’t afford bad decisions
Reduced IT spending:
Office of the CIO
Increased focus on Office of the CIONeed for better PPM
2010 2009 2008
35.0 16.67% 30.0 20.00% 25.0Office of the CIO
Project Management Office
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Top IT’s Priorities for 2009in Israel
Automating and outsourcing testing
Improving IT security and compliance
Requirement and Portfolio management
Business Intelligence
Improving the ROI of IT investments
Contract renegotiations
Consolidation of IT infrastructure
21%
30%
31%
42%
53%
57%
62%
Source: STKI
Office of the CIO
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IT Organization Today :
• ITO directly affects on every business aspect
• Highly embedded for the organization success:
Increasing complexity of org. products/
services
Multi-channel customer interaction
Office of the CIO
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Internal focused IT Internal Service Provider
External Service Provider
IT Transformation
Available & accurate info
•IT maintenance
•IT staff mngt
•HW availability &uptime
•Technical support
•Align IT to business
•Best solution for
business needs
•IT portfolio mngt of
LOBs demands
•Align IT to customers
•Business partner
•Business innovator
engine
•Transformation initiator
Office of the CIO
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IT Transformation through ITG
From Data Center room
To Strategic conference table
OTC
Office of the CIO
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Business Partnership Office
What is it?ITG - IT GOVERNANCE
OTC - Office of the CIO BRM - Business Relationship Mngt
What is it not?
PMO
Office of the CIO
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Location of Business Referents
LOB LOBBRM
IT
LOB
ITOffice of the CIO
PMO, QA, KPIs, CSO
Infra Develop. Operation
International Trends:• BRM is not part of the IT• BR manager – business skills with understanding of IT
Israeli Trends:• BRM is part of the IT - OTC:
Political issue• OTC manager – IT manager with understanding of business
Office of the CIO
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Partnership between business & IT –2way communication
OTC becoming the IT most important office,
but
Only with CEOs recognition of
IT contribution to business
innovation & competitive
advantage
Office of the CIO
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Office of the CIO Israeli Trends
Innovation Strategic alignmentBusiness value / IT cost optimizationDemand / prioritization & mngtResource allocation & mngtIncreasing PMO efficiency
We all do it to certain extent, but “What got you here, won’t get you there”.
Marshall Goldsmith
Advanced - ITG
Basic - EPM
P B B B B B
Office of the CIO
You’re Here
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Office of the CIO under New Constraints
• Increase IT business value through IT cost
optimization
• Rebalance the IT portfolio to Increase Revenue,
Reduce Costs, Manage Risk, with minor
investments for Growing Revenue & Avoiding
Future Costs
• Target discretionary funds for maximum ROI
Office of the CIO
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Not ROI but Payback Period
Payback period - how quickly investments are
repaid?
• Shorter payback period :
Quick free cash for other investments
Lower risk - new future regulations, new
software, new business requirements
Office of the CIO
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OTC/ PMO Staffing Ratio
• Average size of Israeli OTC/ PMO department: 3-5
~2% of IT department (between 0.5% - 4%*)
Compared to ~5-8% in global orgs
* in large enterprises, varies according to the maturity of IT Governance in the organization
Office of the CIO
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Demand Management
LOBBusiness Referent
Initialization process
• Alignment to business strategic goal • Pre-agreed categories set• Business Priority• Risk (new tech, # of LOBs involvement )• ROI/ NPV• IT Evaluation• Approval
OTCPMO
Office of the CIO
Source: CA PPM
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Automized PPM ProcessesOffice of the CIO
IT
Open the BOX• One DB for Demand
mngt, IT Plan,
Resource Allocation &
mngt
• Transparency
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Office of the CIO
Strategic, tactical, regulatory
Small requests
Large Projects
Prioritization Process
IT PlanSmall requests Large Projects
Prioritization done
By OTC/ BRM, because they
know the strategy
of the business
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Project Evaluation Israeli Trends
• Projects evaluation is based on previous experience
only:
No methodology or pricing model!
• Top Down budgeting allocation:
Price tag remains the same during the projects’
lifecycle
• PMOs don’t use Service Catalog:
Requirements variety
Office of the CIO
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Holistic View - Portfolio Evaluation Matrix
Business prioritization/ Strategic alignment
ROI /Payback
1 2 3 4 5
1
2
3
4
5
The size of each bubble is proportional to risk/ IT complexity
The preferred project
Projects’ Size, Risk & Value
Office of the CIO
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General Welfare
• Org. holistic view vs. LOB• Each requirement is examined by its contribution
to the org.• Contribution is not necessarily financial:
InnovationBranding
• Total cost of ownership (TCO) – training, infrastructure
• Requirements integration
Project X Project YIntegrated
Project/New infra product
Office of the CIO
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Real Time Projects’ Dashboard
RiskOn
Budget On Time On ScopeQuality Gates Total
ClientSatisfactionProject #
25
140
32
2
89
Office of the CIO
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ITG/ PPM Tools
Demand mngt
Portfolio mngt
Project mngt
Financial mngtResource mngt
IT process mngt
Reporting
Office of the CIO
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ITG/ PPM Tools Israeli Trends
• Most ITOs don’t implement the complete ITG/ PPM solution
• Prefer to acquire only the missing PPM modules:Demand mngtPortfolio mngt
• Manage the other modules by existing solutions, as:Project mngt – MS Project, PS Next, etcFinancial mngt – ERP, etcResource mngt – SP, MS Project, In-house tools, etc IT process mngt - SP, In-house tools, etcReporting - SP, In-house tools, etc
Office of the CIO
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ITG/ PPM Tools Israeli Trends
• PPM tools are not up-to-date, because of limited
budget ITOs choose in-house developments
• PPM tools are second preference – the real change to
the org. will bring governance procedures &
right methodology
Office of the CIO
20102009200815.087.50%8.0-20.00%10.020.053.85%13.0-13.33%15.015.050.00%10.00.00%10.0
PPMOffice of the CIO
Asset ManagementProject management
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Lo
cal S
up
po
rt
Market Presence
• Not a technological positioning, refers only to Israeli market• Focused on enterprise market (not SMB)• Not an STKI recommendation
t Market Presence (X)Market share - existing and new sales (more emphasis)Mind share (how user organizations rate vendors)
t Local Support (Y) – is influenced by (X)Experience & technical knowledge, localization,
support, number and kind of integratorst Worldwide leaders marked, based on global positioningt Vendors to watch: Are only just entering Israeli Market
so can’t be positioned but should be watched
STKI Israeli Positioning
Vendor A
Vendor B
WorldwideLeader
Vendors to Watch:
Vendor C
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ITG/ PPM- Positioning of the Israeli MarketLo
cal S
uppo
rt
Market Presence
This analysis should be used with its supporting documents
Vendors to Watch:
CA
HP
Compuware IBM
MSPPS Next
Enterprise
WorldwideLeader
Local Solution
MicrosoftMid-Tier
Office of the CIO
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Project Mngt - Positioning of the Israeli Market
Loca
l Sup
port
Market Presence
Enterprise
Existing Israeliexperience in project mng
This analysis should be used with its supporting documents
Vendors to Watch:Compuware IBM
WorldwideLeader
Microsoft
CA
PS Next
HPPrimavera
Office of the CIO
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Another opinion – not all is Bleak!
• ITG is mostly suitable for large enterprises
• There is great sense of control in SMBs
• Expensive technology & methodology that require
additional resources would bring the desired
transparency which will also lead to interventions &
high evolvement in IT budgets
Office of the CIO
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IT in Aggressive Cost-Cutting Times
Technology budget is
mostly non- discretionary
Shift to discretio
nary cost basis when
possible
IT Asset Mngt
ITAM
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IT Asset Management
Some IT assets are still being managed like this
ITAM
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Software Licenses Mngt - Cost savings
• Multiple purchasing options review –
NOT automatic SW renewals!
• Monitor the actual demand for SW licenses: Inventory of all desktops & what is installed on each
Apps have been abandoned, but the vendor is still receiving
licensing revenue
Overpayment for licenses that aren't being used
(result of volume discount) “Shelf
applications”
ITAM
Good contract is not about getting a good price– it’s about assuring value!
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IT Application Portfolio Mngt Israeli Trends
• High variety between the ITOs from having no idea where IT assets are – to ITAM with full SW
usage metering with integration to ERP & HD
• Major challenges: SW Usage metering
Type of usage (change performance/ read only)
• The tougher the formal procedures are - the
easier ITAM
• Lack of ITAM tools maturity
• ITAM tools often viewed as an extension of ERP &
PPM tools
ITAM
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Service Desk
HD is amongst the primary targets for cost cutting
Service Desk
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Israeli Trends of Service Desk
• Although a lot have been done to improve HD staff
productivity:
Best practices (ITIL) widespread acceptance
among large & more complex ITOs
Desktop configurations standardization
Sophisticated HD tools - web-based user self-
service, automated email response SW, incident
tracking systems
Remote access
Outsourcing
Service Desk
Upcoming STKI RTon SD: 31/05/2009
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Vendors Trends of Service Desk Tools
• Vendors have followed with tools that assist
in the implementation of ITIL processes
• Major vendors have expanded their offerings:
Asset mngt portfolio
SaaS model
CMDB
• Service desk mngt tool is a mature market
Service Desk
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IT Service Desk – Positioning of the Israeli Market
Lo
cal S
up
po
rt
Market Presence
Enterprise
MID-Tier
This analysis should be used with its supporting documents
IBMVendors to Watch:
CA
HP
SysAid
Microsoft
BMC
Pivotal
SAP
PeopleSoft
Siebel
IT HD
Modules
Service Desk
WorldwideLeader
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IT in Aggressive Cost-Cutting Times
Technology is not a
discretionary asset
Shift to discretio
nary cost basis when
possible
Sourcing
Models
SourcingModels
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Cost Cutting OutsourcingSourcingModels
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Global Trends of Outsourcing
• Outsourcing landscape changing due to:
Globalization
Cloud Computing
Providers will turn to SaaS during
the financial crisis
SourcingModels
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Global Trends of Outsourcing
• ITOs will turn to outsourcing for cost cutting
Non-discretionary expenditure reduction
Avoidance of capital investment
• Growing outsourcing segments:
QA
BPO - greater variety of offerings
• Crowdsourcing – e.g: Amazon.com's Mechanical Turk
(http://www.mturk.com/mturk/welcome)
SourcingModels
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Israeli Trends of Outsourcing
• Steady & mature market growth of 3% (from 405 to
$417 M)
• Outsourcing market grew this year due to increasing
scope of existing client & a few new deals
• Both largest deals of this year were comprehensive
IT outsourcing in Public sector
• Rest of deals – small selective outsourcing
• Decline in number of deals
• NO backsourcing deals
SourcingModels
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Current Provider Landscape Israeli Trends
HP-EDS, Ness, Malam-Team, IBM
New global player: TCS (TATA)
• Number of vendors went up in 2008 due to
entrance of many specialized players:
Bynet, Taldor, Yael, El-AD, etc
SourcingModels
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Israeli Nearshore
• Acknowledging the advantage & cost saving (up
to 50%) by outsourcing: the transition
from PS to outsourcing
• Existing clients have
broaden their scope
SourcingModels
Matrix Global
Malam (Ma’alot); Ness (EDC); Aman (Tehila)
Offshore: NTS
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Israeli Trends of Professional Services
• Professional services market has dropped
• Mostly due to price & PS working hours
reduction
PS provided, as promised, flexibility to org,
which had to decrease their activity
SourcingModels
20102009200875.050.00%50.0-30.56%72.0temps
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Cheapest “Cost Plus” model
buying PS instead of the capacity
Failure of the business model
NO premium for flexibility & providers’
financing:
(overtime hours, sick pay, miluim, training, support, interest,
etc)
Israeli Trends of Professional Services
SourcingModels
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IT in Aggressive Cost-Cutting Times
Technology is not a
discretionary asset
Shift to discretio
nary cost basis
where possible
Cloud Computi
ng
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Cloud Computing Definition
• Cloud computing refers to highly scalable IT resources—SW, CPUs, storage capacity—that are housed outside of company data centers, available on demand over the Internet, & whose usage is measured & billed incrementally.
• In-house clouds mimic those characteristics inside the company firewall but lack the economies of scale of public clouds.
Source: Informationweek
CloudComputing
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Cloud Computing Benefits
• No Capital Expenditure but pay-per-use
• Device & location independence
• Performance is monitored 24x7
• Scalability
• Innovation
CloudComputing
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• Mngt & monitoring ability of cloud companies
• Credit dilemma
• Reliability of cloud service providers (ISO, SAS70 -?)
• Quality of informational security - Regulations
issues
• Job Security
• TCO – Total Cost of Ownership – Will it become
lower?
Cloud Computing Challenges CloudComputing
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Types of Cloud Services
IAASInfrastructure as a Service
PAASPlatform as a Service
Servers / Storage / Networks
Desktop apps via the Internet
Multi tenancy/Platform-Centric/User controls the data/ERP-CRM-HR
Write your own application/
Development tools
Desktop as a Service
Cloud SW
CloudComputing
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Cloud Computing Examples
IAASInfrastructure as a Service
PAASPlatform as a Service
Docs & spreadsheets
Desktop as a Service
SAASSoftware as a Service
CloudComputing
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• Cloud computing not widely accepted yet
Reluctance to lose control
• Main areas of increase:
Especially in IaaS area
In some markets SaaS is highly
popular
Cloud Computing Trends CloudComputing
Source : Insight Research Corporation
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The necessity to evaluate the new model
• Hot new area with great potential
• ITOs are already starting to evaluate:
During companies acquisition
Shortage of cash, servers - while testing
Amazon EC2 platform
• During today’s economic crisis even the most
conservative of people will have to evaluate
the new model
CloudComputing
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STKI Recommendation
For Users: to experience in the establishment of Amazon EC2
servers
to use SaaS apps for marginal org. needs (pilot)
For Vendors: to evaluate which service/ product is appropriate for
cloud work environment - to proceed the new players
CloudComputing
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Pricing
• Use- based charge:• S3 –$0.15c/month per a gig• EC2–pay per use via on demand VMs-
$0.10 VM instance/hour. (Amazon)
Infrastructure Cloud
• Free to $10 per user per monthDesktop Cloud
• Pay per use:• $15 per light license per monthPlatform Cloud
• Pay per seat:• CRM: $40-$140 per user per month
Application Cloud
CloudComputing
High costs due to being a monopoly. Cost may go down when new
comers arrive
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IT in Aggressive Cost-Cutting Times
Financial global crisis forced
better regulations &
risk mng
Increase spend on
IT risk mngt
Enterprise Risk Mngt
ERM
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Enterprise Risk Mngt
DID YOU CONSIDER HIM A RISK IN 2007?
ERM
Bernard Madoff
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IT Enterprise Risk Mngt Global Trends 2009
• Global financial crises & increasing number of recent
frauds exposed the need for new
regulations & better enforcement
• General dissatisfaction with poor
corporate governance, regulatory oversight & risk mngt
• Increased org. budget for regulation & risk mngt
ERM
201020092008
75.050.00%50.042.86%35.0Governance & Risk
Management (also BCP)
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IT Enterprise Risk Mngt Global Trends 2009
• Risk mngt based on set of approved standards
raises the
level of customers confidence
• Increased standards of regulation & risks mngt
requires more automation
• ITOs seek for solutions that meet regulations at
reasonable cost & with minimal
disruption
In-house methodology ITIL, CobiT, ISO
ERM
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Enterprise Risk Management
• CEO must know what are the risks associated with
IT investments just as he aware of risks associated
with finance - Doubtful Debt / or other important
risk
• IT investment / project: ROI Budget Schedule
? Risk factors
ERM
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Prepare to the Unpredictable
Wall Street crisis
Satyam, Wipro,
Comverse, IBM, Oracle,
Amdocs, Infosys,
Cognizant,
HP firing
Madoff Admits 50 Billion $ Fraud
Banking crisis: Lehman Brothers bankruptcy
Who Can?
9/11
ERM
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Improve operational efficiencies
Protect the organization
Better risk mngt
New/ changing regulations
24%
31%
38%
46%
Top Pressers Driving ERM
Source: Aberdeen Group 2008
Top Pressures Driving Enterprise Risk Mngt
ERM
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GRC – Governance, Risk & Compliance unify compliance with risk mngt
Balanced risk portfolio, examination of real,
quantifiable costs associated with different
types of IT risks
SOX / Sector regulations compliance
Process development &
procedures establishment based
on set of measurements
Gover
nanc
e
Risk
Compliance
ERM
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Current Situation in Israel
• Quick fix one-time, often outsourced, regulation projects
• “SOX is the must have - it will not have strategic impact on
the organization”
• Fragmented approach to GRC is inefficient & becoming a
huge cost driver
• “Existing tools handle only documentation of SOX compliance
procedures -they don’t check the level of
enforcement!”
ERM
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Governance, Risk & Compliance!
• Need for ongoing effort to comply with regulation
• Firms can no longer afford to approach compliance
as tactical project like meeting the SOX deadline
• GRC technologies move from niche specialist vendors
towards the large systems
ERM
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The Growing Interest of SW vendors
• GRC acquisitions 2006: SAP acquired Virsa, ERM SW provider, to bolster SAP’s
SW compliance skills 2007: Sun reached for startup Vaau 2008: Oracle picked up longtime partner LogicalApps
• Israeli new enforcement Start-ups: Xpandion – Risk mngt & behavioral analyzing SW solution SPATIQ – provides an automatic tool for Entitlement mngt
• GRC often viewed as an extension of ERP & BPM tools
• Tools cannot provide a complete solution without actual
process change
ERM
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IT in Aggressive Cost-Cutting Times
Innovation
New busines
s models
Mobile; Social
Networking
Mobile
Upcoming STKI Round Table on Mobile: 06/05/2009
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Mobile Phones 2009 Mobile
Mobile EVERYWHERE
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The Mobile Revolution is just Begun
• Mobile phones• Smart phones• Pocket PCs• PDAs
Mobile
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Mobile Phone - MEGA Trends 2009Private Sector
• Primary interface for Internet & Social Networks
• Personalization
• Consumers will watch more TV on mobiles
• Dominant platform for listening to music
• Mobile Wallet
M
O
B
I
L
E
TRENDS
Mobile
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SMS Messag-ing
39%
Multimedia17%
PIM15%
Voice13%
Browsing8%
Games4%
Productivity1%
Utility4%
Time Allocation per Smartphone Application
Source: Smartphone 360 study Nokia
Voice only 13%!
Mobile
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• Increasing complexity & capacity of platforms &
apps
• Multi channel customer interaction
• Employees use their private mobile devices for work
so
expect org. technical support
Therefore , outsourcing for
technical support
M
O
B
I
L
E
TRENDS
MobileMobile Phone - MEGA Trends 2009Business Use
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• Constant internet connection
• Digitalized ID
• Video conference through online accounts
• ‘Real’ smart phone – blurring lines between
business & personal use
M
O
B
I
L
E
TRENDS
You won’t need your laptop anymore?!
MobileMobile Phone - MEGA Trends 2009Business & Private Use
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When you’re NOT in front of the Computer
Now you can:• purchase a product or service• conduct financial transactions• mobile ticketing• send/ receive digital pictures• download entertainment content
Many org. haven't yet fully understood the opportunities offered by mobility
Mobile
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New–generation Mobile Apps:
Mobile Enterprise Mobile Commerce Remote monitoring & control
Location-based, context-aware services (GPS)
Multiplayer, mobile gaming services Mobile ID/key
Voice over Wireless IP
Mobile
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Mobile Enterprise – Field Force
• Mobile workers –additional products/services offering
to field customers
• Access to/ update of enterprise info - guidance for
fixing malfunctions, dynamic scheduling
• Remote monitoring & control - Real-time field data
analyzing (what, when, how much?)
Selective Examples: Matrix (CallDinator)– Bezeq, HOT, Ort
One (ONE1Mobile) – Bank Hapoalim, Hospitals
Taldor – IDF, USPostal
Mobile
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Mobile Banking
The use of a mobile phone for financial transactions
Mobile
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Mobile Banking
• Bank transactions from any location in real-time: Account activity, deposits/withdrawals, money transfer
• Stock trading: Real-time data, news & updates alerts, virtual stock portfolio, buying & selling of stocks
• Credit cards: Credit card charges Real-time data of checking account balance, rapid loans Location-based, context-aware services – relevant real-
time discounts (mall parking, in-shop sale, etc)
Selective Examples: Matrix (Bank2go) – Bank Leumi; Netwise – Mizrahi Live
Mobile
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Mobile Commerce
• Online shopping
Purchasing retail items through scanning - mobile wallet
• Advertising :
Mobile ROI measurement & analytics use to better
deliver
mobile campaigns & understanding consumer needs
• Appointments reminders & scheduling,
medical results receiving:
• Travel reservations & ticketing
• Shorten business process - e.g. car acquisition – real time
check on mobile - who is the owner, legal owner/stolen,
does it have a test?
Mobile
Martix
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Mobile Players in Israel Partial List (alphabetical)
• Bynet (Paybox)• IBM (Lotus mobile)• Matrix (MMIS)• Ness (Sybase)• Netwise (Mintbox) – browsing solution
(Cellerium) – client solution
• One (One1Mobile)• Taldor
Mobile
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Social Networking Social Networking
WHAT’S IN IT
FOR MY BUSINESS
?
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Why is Social Networking Important?
• ~500 million social network members
• Be where consumers are & where future consumers
will be
• The largest & fastest growing application in the
history of the web
• Social networking extends the marketing reach of
traditional methods :
Communication, Hiring, KM, Public relations, R & D
Social Networking
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STKI Group in LinkedIn
InDuring a 2 month period: 483 members from all of the world, tens of online discussions, summit participation approvals
Social Networking
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My Blog
Galit Fein’s World
Current Country TotalsFrom 15 Oct 2008 to 16 Feb 2009
Israel (IL) 2,203
Social Networking
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Summary
• Increased focus on Office of the CIO Advanced IT
Gov.:Business value / IT cost optimization Innovation Strategic alignment
• Alternative Sourcing Models – Cloud Computing
• GRC-Need for ongoing effort backed by mngt
frameworks
• New business models – Mobile, Social Networks
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THANK YOU!
Galit FeinVP & Senior Analystgalit@stki.info
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Capex - Capital Expenditure
Allowed company to
increase their profit
in the yearly report by
to depreciating
the investment
over several years
IT Budget mngt
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What is Capex ?
Company‘s physical assets:BUILDINGS Equipment TECHNOLOGY
Capex can include everything from repairing a roof to building a brand new factory
IT Budget mngt
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Zero-Based Budgeting
• Bottom Up Budgeting - justification of all expenses must be done every year
• Zero-Based Budgeting is built based on what is needed for the upcoming period
Definition: Investopedia
Instead of History Based Budgeting
IT Budget mngt
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