Trends Identified
Value-driven Application Management Services
Moving beyond labor arbitrage in Applications Management Services (AMS) With 65 percent of all IT service dollars spent on maintaining existing technology,1 companies everywhere have been hard pressed to invest more in technology improvements needed by the business. In an effort to trim maintenance costs, many organizations entered into AMS contracts.
2010
Depth perception A dozen technology trends shaping business and IT in 2010
Deloitte
User Engagement
Right information, right user, right time, right context, right outcomes For years, organizations grudgingly accepted the “limitations” of IT as immutable truths: Users spend far too much time logging in and out of well-intentioned applications designed around the constraints of information flows instead of real work flows. These individual applications didn’t talk to one another, requiring manual bridges between systems, content, and context – leaving users to their own devices for much of the insight needed to run the business. Dots remained unconnected, critical proprietary information went unmanaged and unshared, and decisions – from shop fl oor tasks to board-room endeavors – were poorly supported by the enabling IT.
2010
Depth perception A dozen technology trends shaping business and IT in 2010
Deloitte
Services Thinking
SOA what? Service orientation extends to the business Service Oriented Architecture (SOA) grew as a technical answer to an age-old question: How do companies gain agility and flexibility – especially in a world increasingly dependent on complex, interconnected IT systems? Unfortunately, the potential of SOA has been constrained by its very definition. By confining SOA to the realm of IT, opportunities have been largely limited to Service Oriented (Software) Architecture. In 2010, look for SOA to move powerfully outside of IT into business strategy, organization design, and governance models. It’s what some call Service Oriented (Business) Architecture – and it’s a new way to manage the relationship between business and IT. This holistic approach is the essence of Services Thinking.
2010
Depth perception A dozen technology trends shaping business and IT in 2010
Deloitte
Asset Intelligence
Bring your value chain to life using signals, not just sensors IT models of business operations have long relied on software abstractions and data approximations, with decisions derived from information systems running within corporate data centers. Other company assets, such as finished goods, equipment, materials, plants, and even many employees, were disconnected or passive participants. Until now.
2010
Depth perception A dozen technology trends shaping business and IT in 2010
Deloitte
Cloud Revolution
Cloud services – from technology evolution to business revolution By helping organizations radically lower their cost of entry, speed time-to-solution, and put into place new models for elastic scale and pricing, cloud represents a compelling new chapter for how enterprises can better use IT. Though the technology itself is evolutionary in nature, its business applications are nothing short of revolutionary.
2010
Depth perception A dozen technology trends shaping business and IT in 2010
Deloitte
Connectivity-driven business models
For years, companies shared business models and tried to outperform each other. Today, connectivity is enabling new business models. For example, more than half of the respondents expect to see pay-per-use models within their own industries, with data monetization by far the next most common business model. Software is becoming much more important than hardware, and customer interactions are increasingly digitized, in many cases managing without intermediaries. Consequently, connectivity-driven fields such as shared mobility are expected to grow significantly in the coming years.
2018
Disruptive forces in the industrial sectors - Global executive survey
McKinsey
AI and autonomous systems
Learning from data and developing smart algorithms has become a competitive advantage. Executives from all sectors believe that AI and autonomous systems will affect the entire industry. Investment in AI is at unprecedented levels from both tech firms and traditional manufacturers. Driverless vehicles are AI’s poster child, but industrial companies are also investing in machine learning and robotics to develop specific technologies related to their core businesses.
2018
Disruptive forces in the industrial sectors - Global executive survey
McKinsey
Internet of Things (IoT)
This much hyped term refers to the sensor-enabled devices that can communicate with one another via the Internet. The possible uses are still being unearthed, but the McKinsey Global Institute predicts that the annual economic impact of IoT applications could be as much as USD 11.1 trillion by 2025. MGI suggests that factories are likely to see the greatest potential impact from IoT use – as much as USD 3.7 trillion per year – with substantial productivity improvements, including 10 to 20 percent energy savings and a 10 to 25 percent improvement in labor efficiency.
2018
Disruptive forces in the industrial sectors - Global executive survey
McKinsey
Electrification
Replacing traditional energy sources with electric energy – most notably in vehicles – is being driven by regulatory and technological changes and by growing consumer demand. The growth in electric vehicles sales is expected to be 25 to 30 percent a year to 2025 (see Exhibit 4). A senior executive at a European OEM believes it will affect at least half of the sector’s revenues, both in vehicles and infrastructure. Stricter emission regulations and lower battery costs are all contributing to the flurry of activity in this area.
2018
Disruptive forces in the industrial sectors - Global executive survey
McKinsey
Cybersecurity
The increase in connectivity between companies and consumers as well as within organizations, production facilities, transportation systems, defense systems, etc. means that cybersecurity is critically important. Once closed systems are now open, increasing vulnerability and placing ever higher-value assets and processes at risk, leading to an annual growth in the market for cybersecurity of 5 to 10 percent until 2025 (see Exhibit 4). Our survey revealed widespread and growing concern on this topic, and many companies are starting to bring in the skills they need for tackling cybersecurity concerns. Some even see cybersecurity as a battleground for competitive advantage and differentiation.
2018
Disruptive forces in the industrial sectors - Global executive survey
McKinsey