ibm software day 2013. a mandate for leadership

A Mandate for Leadership

Bete DemekeGeneral Manager, SoftwareIBM Growth Markets

IBM Software Day 2013 #IBMSWDay2013

Within our transforming landscape, we see four major trends

Data explodes

Increased globalization Social impact

The shift from domesticto global is being propelled by economic Crisis, unlike anythingwe have seen before.

Big Data and analytics will be a key differentiator. Driven by increasing use the mobile internet and video.

Mobility and social networking are key drivers to innovate new business models.

Consumers are seizing control

People increasingly connect with each other to exchange information


CEOs view of external forces impacting the organization

Source: IBM Global CEO Study 2012

2004 2006 2008 2010 20122004 2006 2008 2010 2012

Socio-economic factors7 7

8 8

7

Environmental issues8 8

7 7

8

Geopolitical factors9 9 9 9 9

Globalization6

4

6

5

4

Regulatory concerns555

4

5

4 Macro-economic factors

3

66

3


8 8

7 Socio-economic factors7 7

8 8

7


7 7

8 Environmental issues8 8

7 7

8

Geopolitical factors9 9 9 9 9 Geopolitical factors9 9 9 9 9

Globalization6

4

6

5

4

Globalization6

4

6

5

4


4

5 Regulatory concerns555

4

5


3

66

3


3

66

3 Market factors3

1 11 1

Market factors3

1 11 1

2 People skills2 2

4

22 People skills2 2

4

2

Technology factors

6

3 3

1

2

Technology factors

6

3 3

1

2


Growth market perspective of external forces

Where CEOs in mature markets identify technology as the most important external force, in growth markets people skills are # 1

2012Mature Markets

Technology factors

People skills

Market factors

Regulatory concerns

Globalisation

Socio-economic factors

Geopolitical factors

Macro-economic factors

Environmental issues

Growth Markets

Technology factors

People skills

Market factors

Regulatory concerns

Globalisation

Socio-economic factors

Geopolitical factors

Macro-economic factors

Environmental issues

2004 2006 2008 2010 20122004 2006 2008 2010 2012


8 8

7


7 7

8

Geopolitical factors9 9 9 9 9

Globalization6

4

6

5

4


4

5


3

66

3


8 8

7 Socio-economic factors7 7

8 8

7


7 7

8 Environmental issues8 8

7 7

8

Geopolitical factors9 9 9 9 9 Geopolitical factors9 9 9 9 9

Globalization6

4

6

5

4

Globalization6

4

6

5

4


4

5 Regulatory concerns555

4

5


3

66

3


3

66

3 Market factors3

1 11 1

Market factors3

1 11 1

2 People skills2 2

4

22 People skills2 2

4

2

Technology factors

6

3 3

1

2

Technology factors

6

3 3

1

2


CEOs will create more economic value by cultivating new connections within and across three domains

Partner for innovation, disrupt, and derive revenue from new sources

Differentiate through better data access, insight and translation into actions

Organisational openness introduces new opportunities to create value through employee collaboration


76% of CIOs of MEA rate building “people skills” as top priority over

the next five years…which is ten points higher than the global

average.

68% of MEA CIOs say “internal communication and collaboration” is of great importance, five points more than the global average.

“We need to invest in our people to be prepared for the coming complexity; not only in skills but in attitude, communication and capabilities.” Chemicals & Petroleum CIO, UAE

CEOs will create more economic value by empowering employees through values


Engaging employees through values

Collaboration with one simple click and the ability to build social communities both inside and outside the organisation to increase customer loyalty and speed business results. IBM Connections is available both on premise and in the cloud.

67,000 communities have been developed, 475,000 files shared globally have generated more than 9 million downloads...

IBM4000 + IBM collaborate

Through IBM Connections, generating 35 million instant message chats.


62% of CIOs in MEA say improving customer intimacy is a key element of their business and IT strategy.

“We need to build BI to look at external and competitive data for

example, using interconnected data to formulate campaign strategy,

churn.” Telecom CIO, Africa

94% say business intelligence & analytics is a

top priority, more than ten points higher than the global

average.

“Following our latest innovations, our customers saw that something big & unexpected was happening at the bank. They became eager to see what we would do next.” CIO Nigerian Bank

CEOs will create more economic value by engaging customers as individuals


Engaging customers as individuals

A communications service provider in ME of mobile, Internet services, telephony and messaging, implemented a customer experience management solution based on IBM Netezza technology .

Results

Increased responsiveness to customer needs

Reduced customer Churn

Better decisions based on customer experience

Boost revenue

Increased Customer Satisfaction and Loyalty


81% of MEA CIOs rate mobility solutions as a top

priority, seven points higher than the global average.

56% of MEA CIOs rate business model changes as a critical element of their IT strategy, eight points higher than the global average.

“We have to provide information in new and innovative ways and help the business outperform the competition.” Telecom CIO, Pakistan

CEOs will create more economic value by innovating differently with partners


Amplifying Innovation with Partnerships

Safaricom is one of Kenya’s leading mobile network operators and has transformed the way money moves around Kenya.

Its mobile banking service, M-PESA helps Kenyans who don’t have bank accounts transfer funds quickly and easily via their mobile phones.

1 3 .5 m illio ncustomers and over 24,000 agent outlets since 2007


Business needs and expectations drive technology use

As the world becomes more instrumented, interconnected and intelligent, the CIO role holds even more importance

The role of CIO is now to extract value from technology and gain insight from complex systems.

58%CIOs report their organizations have largely integrated business and technology to innovate

CIOs have a seat at the executive table to help infuse technology into products, services and processes


Leading in the connected era

Fundamentally change how you partner

Break collaboration boundaries

Let “big data” reveal the customer you never knew

Provide the means to collaborate at scale


Thank you

ibm software day 2013. a mandate for leadership

Documents

economic factorsgeopolitical

ten points

points higher

telecom cio

global average

top priority

ibm connections

engaging customers