Market Landscape: How Pervasive Technology Has Changed the Game

Ian Waters App Cloud Marketing Director, EMEA

Apps are Critical for Customer Success  CEOs see mobile tech as the most strategically important investment for their business

PwC's 18th Annual Global CEO Survey of 1322 CEOs across 77 countries in 2015

81%

19%

81% of CEOs rank investment in Mobile Apps as critical to the business and customer engagement

IntroductionToday’s IT: The Business of Innovation

The way people interact with the companies around them has dramatically changed. Customers and employees alike have grown to expect companies to deliver easy, personalized, and on-demand experiences that evolve along with their needs.

As businesses rush to keep up with the changing market, IT’s scope of responsibility is rapidly expanding. Beyond managing technical operations, IT teams are becoming increasingly central to every facet of the business.

of IT teams are currently developing apps for customers, partners, and employees.

App Development Scope Expands for IT TeamsApp development is central to IT strategy. Here is the breakdown of apps currently being

developed, by type.

25%

42%

34%

Customer/commercial apps Partner-productivity apps

Employee-productivity apps

79%

Strategy Under Siege:Digital Shakes Up Traditional IT01

Moderate performers

Underperformers

High performersHigh performers

Underperformers

Moderate performers

10%

40%6

0%

70%

30%

20%

50

%

10%

40%6

0%

70%

30%

20%

50

%

Top Teams Double Down on Customer and Mobile App SpendCustomer needs and mobile access are becoming central to IT apps. Seventy-six percent of high-performing IT teams report increasing spend in customer-facing and mobile apps.

The movement toward a more

customer-centric mindset in IT is

reflected in spending, particularly among high performers. Top companies

are accelerating their plans to meet the demands of mobile and connected customers.

Nearly 90% of new apps launching in the next 12–18 months will be created with a mobile-first mindset.

Customer-Facing Applications Mobile Applications

High Performers vs. Underperformers High Performers vs. Underperformers

42%

76%

66%

54%

76%

71%

1.8xmore likely to be increasing spend in customer-facing apps 1.4x

more likely to be increasing spend in mobile apps

Percentage of IT Leaders Planning to Increase Spend over the Next 2 Years

Apps are Critical for Customer Success

1) Connectivity Growth Slowing – Internet Users rose to 3B from 35MM (1995)

2) Emerging Country Growth Slowing – Underdeveloped regions developed – including China / Emerging Asia / Middle East which rose to 69% of global GDP growth from 43%...

3) Government Debt Rising (& High) – Spending rose to help support growth...Government debt-to-GDP rose to 66% from 51% (2000) for 50 major economies

4) Interest Rates Have Declined – Helped fuel borrowing – USA 10-Year Nominal Treasury Yield fell to 1.9% (2016) from 6.6% (1995)

5) Population Growth Rate Slowing & Population Aging – Higher birth rates helped drive labor force growth – population growth rate continued to fall – to 1.2% from 1.6% (1995)

 Macro Economic Context  5 Epic Growth Drivers Over Past 2 Decades = Losing Mojo

Connect with Your Customers in a Whole New Way  Put the customer at the center of your business

Connected Employees

Connected Communities

Connected Apps & Products

Connected Partners

Connected Customers

Connected companies are digital

Connected Companies are Digital Transformation Leaders  They succeed by turning connections into a source of innovation and opportunity

Manufacturing-Centric Vs. Customer-Centric

CIOs are looking to “build the digital enterprise”

vs Infrastructure-centric Customer-centric

-2% +200% Growth Decline

Changing Shape of the Global Economy  Who is a Technology Company These Days?

Resi Becker - Vice President - Sorting and

Portal and Mobile App used by 23.000 mailmen

“We are the fusion of a retail business and a technology business, thanks to Salesforce.”

Ocado Delivers a Plan for Faster App Development

Paul Clarke, Director of Technology, Ocado

Largest online only grocery globally, based in the United Kingdom, reaching 70% of UK households

Growing backlog of employee apps that were never given priority due to numerous customer app requests

Deployed Salesforce to enable analysts to build apps for employees for onboarding and internal processes

Built out a proof of concept for 3 mobile apps in 6 weeks including: Expense Timesheet, Project Lifecycle Management, and Facilities Maintenance

PLUG 0.2 - Digitizing KLM

Nightview

Dayview

  Salesforce SDK

  Flight Detail & Status

  Notification

  Crew Check in with iBeacon

  Data analytics

  Users(TLO,GA,Purser & Pilot)

World’s leading business news organization standardized on contracts, directories, order management, IT help desk driving a single view of the customer and new levels of employee productivity

Delivered customer facing FT.com with Heroku to deliver personalized content anytime, anywhere and across any device to global audience of over 2 million daily

Created new micro-sites like “How to Spend It” website on the Salesforce App Cloud

Financial Times Standardizes on the Salesforce App Cloud

“Managing our customers on a single platform is critical to survival.” Christina Scott, CIO

Engaging User Experience

Massive Amounts of Data

Companies Need to Deliver a Connected Experience

 Single View of Customer

But There Are Unprecedented Pressures on IT

Take advantage of new

technologies

Run a rock-solid IT shop

Manage BYOD

Manage shadow IT

Drive innovation

Update legacy architectures Renovate

digital core

Adapt to rapid changes in the

business

IT Struggles to Build Enterprise Apps Fast Enough  Gartner says demand for enterprise mobile apps will outstrip available development capacity five to one

App Demand Apps IT Can Support

5:1 App Gap

Graphic created by Salesforce based on Gartner Research: Gartner Press Release, “Gartner Says Demand for Enterprise Mobile Apps Will Outstrip Available Development Capacity Five to One”, June 16, 2015

IT Drives Digital Transformation  IT delivers the apps that the business needs to connect to customers

Digital Enterprise Creates competitive advantage with apps

New customers, products, pricing models, contracts, partners, regulators

Legacy Enterprise Overwhelmed by disruptive threats

Customer demands, operating costs, regulatory changes, competitive threats

IT as a Catalyst for Business within Van Gansewinkel Group (VGG)

Van Gansewinkel is a waste service provider, a recycler and a supplier of high-quality secondary raw materials. We give waste a second life.

CLOSE TO 2 MILLION HOUSEHOLDS

MORE THAN 120,000 B2B CUSTOMERS

1,491 VEHICLES

MARKET LEADER IN THE BENELUX

€1,0 BILLION REVENUE

4,350 EMPLOYEES

(EXCL. TEMPS)

1.17 MILLION TONS OF CO2

PREVENTED IN THE CHAIN

8.4 CUSTOMER

SATISFACTION RATING 2015

Key facts & figures

ICT organization at VGG

System

Process Organisation

Main goal of the “Change” department

Living in two worlds

Classic software Salesforce

External development Hybrid development

Dependent on supplier Free to go

Old technology New technology

Integration via ESB Easy integration new/other applications

Slow development Rapid development

High costs Low costs

…… ……

Living in two worlds

thank y u