unlocking organizational value - ratkaisu-tapahtuma...unlocking organizational value through digital...
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© CGI Group Inc. CONFIDENTIAL
Unlocking organizational value through digital transformation
George Schindler President & CEO, CGI 25 January 2018
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The Fourth Industrial Revolution is spurring economic and industry transformation around the world
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1780s
1.0
Mechanization
1870s
2.0
Mass Production
1960s
3.0
Computing
PRODUCT CENTRIC SERVICES CENTRIC
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The Fourth Industrial Revolution is spurring economic and industry transformation around the world
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Now
4.0
1780s
1.0
Mechanization
1870s
2.0
Mass Production
1960s
3.0
Computing
DATA CENTRIC
Intelligent Computing
PRODUCT CENTRIC SERVICES CENTRIC
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> Robotic-first approach > Focus on automation > Machine learning, cognitive > Knowledge arbitrage > Cost per transaction, per robot, per machine > Preventive, self-heal, self-serve ►Algorithms and software as key drivers
> Human-first approach > Focus on recruitment & training > Offshoring, labor arbitrage > Cost per human hour > Standardization, repetitive processes, reporting > Break-fix ►Humans are the key asset
Traditional business operations Digital business operations
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Organizations are evolving from traditional to digital business operations
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> Robotic-first approach > Focus on automation > Machine learning, cognitive > Knowledge arbitrage > Cost per transaction, per robot, per machine > Preventive, self-heal, self-serve > Algorithms and software as key drivers ► Humans remain the key asset
> Human-first approach > Focus on recruitment & training > Offshoring, labor arbitrage > Cost per human hour > Standardization, repetitive processes, reporting > Break-fix > Humans are the key asset
Traditional business operations Digital business operations
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Organizations are evolving from traditional to digital business operations
Business value
Efficiency & Productivity
Security & Compliance
Customer Satisfaction &
Loyalty
Practical Innovation
Competitive Advantage
Growth Employee Retention & Engagement
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Decades of technology investment and innovation have given consumers unprecedented power in today’s marketplace
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Every consumer has a choice and voice – individually and collectively
Consumers’ digital behaviors and expectations carry into their lives as citizens
Technology is now an extension of organizations’ consumer relationships and brands
Consumers are using their power to redefine value propositions for both businesses and governments
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CGI leaders hold in-person interviews every year with business and technology executives to discuss the shifting market dynamics
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10 INDUSTRIES
GLOBAL NORTHERN EUROPE FINLAND
1,300 interviews
17 countries
200 interviews
5 countries 83 interviews
2017 Client Interviews
More than 60% of interviews are with C-level executives
Asset Intensive
• Utilities • Manufacturing • Transportation
Risk & Investment Intensive
• Government • Healthcare • Insurance • Oil & Gas
Consumer Intensive
• Banking • Communications • Retail & Consumer Services
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Executives are aligned on the view that technology is now driving, not just enabling new value propositions
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Becoming a digital organization to meet consumer / citizen expectations was the top trend, business and IT priority
Global ▲ 2016 Northern Europe ▲
2016 Finland ▲ 2016
Top Industry Trend 85% 87% 88%
Top Business Priority 76% 78% 80%
Top IT Priority 76% 82% 82%
K E Y I N S I G H T
Alignment on digital transformation as a top focus is up year-over-year across geographies
2017 CGI Clients Global Insights
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R E C O M M E N D A T I O N # 1
Unlock organizational value by aligning your team on what it takes to create tomorrow’s value
PRODUCT CENTRIC SERVICES CENTRIC DATA CENTRIC
Tomorrow’s IT Value Yesterday’s IT Value > Lower operating costs
> Ability to scale operations
> Access to technology skills
> Standard processes
> Meet compliance / regulatory requirements
> New business and operating models
> Monetization of data and security
> Contextual customer and employee experience
> Predictive analytics for decision making with intelligent enterprise processes
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Executives are starting to place more emphasis on enterprise-wide digital strategies
K E Y I N S I G H T 60% of organizations do not have an enterprise digital strategy
Percentage of organizations with a digital strategy across their enterprise
Global
40% Northern Europe
37% Finland
39%
2017 CGI Clients Global Insights
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Becoming a digital organization is highly complex for established organizations
To create sustainable value, digital transformation initiatives must:
> Span business & operating models
> Address existing systems complexity
> Evolve the roles and expectations of people, process & technology
K E Y I N S I G H T
Finnish organizations report more mature digital strategies compared to their global peers
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R E C O M M E N D A T I O N # 2
Unlock organizational value by adopting an agile, iterative approach to your enterprise digital strategy – and how you innovate and govern
Decisions made based on insights from customer and operational data
Employees equipped and freed up to work on value-add activities
Smaller, focused units that collaborate across the enterprise and make faster decisions
Culture and management system that encourages a curious mind-set, collaboration and innovation
Co-designed products & services informed by customer needs & behaviors
Integrated ecosystem of partners to collaborate, share, innovate and deliver
Iterative delivery through agile, simplified operational processes
Smart, fast, integrated and automated technology platforms and solutions
Source: CGI
Business Product, Service, Model
Technology
Organization Structure, Culture, People
Agile business
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R E C O M M E N D A T I O N # 2
Unlock organizational value by adopting an agile, iterative approach to your enterprise digital strategy – and how you innovate and govern
Decisions made based on insights from customer and operational data
Employees equipped and freed up to work on value-add activities
Smaller, focused units that collaborate across the enterprise and make faster decisions
Culture and management system that encourages a curious mind-set, collaboration and innovation
Co-designed products & services informed by customer needs & behaviors
Integrated ecosystem of partners to collaborate, share, innovate and deliver
Iterative delivery through agile, simplified operational processes
Smart, fast, integrated and automated technology platforms and solutions
Source: CGI
Business Product, Service, Model
Technology
Organization Structure, Culture, People
Agile business
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Executives cite cultural change and talent as the biggest barriers to implementing digital transformation
K E Y I N S I G H T
Compared to last year, Finnish executives say they have made progress on addressing culture and talent challenges
Northern Europe
79% Finland
75% Global
81%
In our client interviews, there is alignment on:
Culture and talent as the top barrier to achieving digital transformation
2017 CGI Clients Global Insights
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R E C O M M E N D A T I O N # 3
Unlock organizational value by using data to address your human capital strategy holistically – it requires more than a change management plan
Recruitment
Partnerships
Leadership
Management
Development
Retention
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More than two-thirds of organizations have analytics initiatives underway but they are not consistently part of an enterprise strategy
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Canada
USA
Australia
United Kingdom Northern Europe
Eastern, Central and Southern Europe
France
67%
65%
67% 68%
82%
70%
71%
70%
2017 CGI Clients Global Insights
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The three-year investment horizon favors analytics, and modernization and cyber remain priorities
Applying analytics to optimize the business
Becoming digital to meet customer needs
Need to modernize
Addressing cyber risk
Growing use of digital technologies
Global Northern Europe Finland
35%
51%
65%
69%
78%
35%
48%
60%
67%
76%
36%
44%
59%
66%
73%
K E Y I N S I G H T
Northern Europe and Finland were early analytics adopters and are planning to invest in emerging technologies to better use the data
17 2017 CGI Clients Global Insights
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Most organizations are in early stages of using emerging technologies, including robotics
Investigating Proof of Concept Transformation in Progress Transformation Largely Achieved Not For Us
Robotics
Global
Finland
Northern Europe
36%
40%
32%
23%
23%
20%
27%
22%
14%
10%
13%
32%
K E Y I N S I G H T
Finnish organizations are investigating and adopting emerging technologies faster than global peers
2017 CGI Clients Global Insights
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Unlock organizational value by accelerating analytics initiatives through an intelligent automation framework
R E C O M M E N D A T I O N # 4
User experience
Analytics
Data classes
Use case Interaction
Video, image, gesture, speech, social, IoT
Cognitive, emotion, reasoning, deep neural nets
Virtual agent, fully autonomous, sentiment / empathy, avatar
Artificial Intelligence
Operation
Predictive, machine learning, NLP, narrow AI
Unstructured + big data, IoT
Scripted chat bots, text & speech, hybrid human handoff
Algorithmic automation
Transaction
Decision support analytics
FAQ text chat bots, human back-up
Structured + unstructured
Enhanced process automation
Rules-driven
Structured
Process
Humans supervise
Robotic process automation
Basic automation
Source: CGI
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SUMMARY
Unlocking organizational value through digital transformation
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Align your team on what it takes to create tomorrow’s value
Adopt an agile, iterative approach to your enterprise digital strategy – and how you innovate and govern
Address your human capital strategy holistically and by using data – it requires more than a change management plan
Accelerate your analytics initiatives through an intelligent automation framework
NEW Select the right partner to meet you where you are and help design and execute your digital transformation journey
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Global consistency at scale • CGI Dream • Core Values • Vision & Mission • CGI Management Foundation
Applied innovation through our client proximity model • Metro Markets • Industries • Emerging Technology Practices
End-to-end services and solutions
• High-End IT and Business Consulting • Systems Integration • Outsourcing • Intellectual Property (IP)
Accelerated value creation • Intellectual Property (IP) • Global Delivery Centers of Excellence • Consulting and IT Delivery Methodologies • Strategic Partnerships
Select the right partner to meet you where you are and help design and execute your digital transformation journey
21
R E C O M M E N D A T I O N # 5
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Global consistency at scale • CGI Dream • Core Values • Vision & Mission • CGI Management Foundation
Applied innovation through our client proximity model • Metro Markets • Industries • Emerging Technology Practices
End-to-end services and solutions
• High-End IT and Business Consulting • Systems Integration • Outsourcing • Intellectual Property (IP)
Accelerated value creation • Intellectual Property (IP) • Global Delivery Centers of Excellence • Consulting and IT Delivery Methodologies • Strategic Partnerships
Right Talent • Consultative Skills • Industry Knowledge • Technical Expertise • Learning Agility
Select the right partner to meet you where you are and help design and execute your digital transformation journey
22
R E C O M M E N D A T I O N # 5
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THANK YOU Our commitment We approach every engagement with one objective in mind: to help clients succeed