Exploring the Four Worlds of Enterprise Content Management mex38l_c7.pdf · Exploring the Four Worlds of Enterprise Content Management ... Content management as we know it is coming

Exploring the Four Worlds of Enterprise Content Management

Gartner The Future of IT Conference

October 4-6, 2011 Centro BanamexMexico City, Mexico

David Mario Smith

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Content management as we know it is coming to an end There has been a dramatic increase in businessContent management, as we know it, is coming to an end. There has been a dramatic increase in business buyer interest in retiring clunky old applications in favor of new platforms. But the paradigm is shifting away from centralized, monolithic solutions to federated repositories, distributed content creation and capture, content services, and cloud computing. Four worlds of ECM are emerging, and understanding the reasons for the transition is important. Content management is becoming a part of enterprise infrastructure, a birthright technology. Consumer and user-centered technologies are seeing grass-roots adoption in enterprises. Rich, Web 2.0 clients will become the user interface to content management solutions, fostering real-time content sharing and delivering content to users in the context of their role or business process. Wikis and blogs let anyone publish and share content, but are they content management? Hosted content management and open-source content management present enticing business models for reducing the upfront costs, complexity and resource requirements associated with traditional content management implementations. Mobile content and apps are exploding. ECM strategies can help protect against the disruptions ahead. Understand the promises and perils of evolving technologies and business models by exploring the four worlds of ECM.

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Key Issue: What are the Four Worlds of ECM?Tactical Guideline: Plan to handle a multitude of diverse content types in an interactive way in your content management application and delivery strategies.

Very few vendors have market leading emphasis and ability in all categories of ECM:Very few vendors have market-leading emphasis and ability in all categories of ECM:1. Transactional content management solutions focus on imaging, workflow/BPM, archive, records management and e-forms. Content contained within tends to be static. Processes tend to be long-running and have a high volume of forms or content that demand scalability, life cycle control and human approval, primarily for exceptions. An application interface is almost ensured.2. Social content management solutions focus on compound content object control and library services; document collaboration; workflow automation with alerts, calendaring and task tracking; browser or portal viewing; markup; annotation; and version control. The focus is on high-value people involved in the project-based or long-runningannotation; and version control. The focus is on high value people involved in the project based or long running development and delivery of high-value content, and on optimizing the processes, interfaces and objectives that relate them.3. Online channel optimization solutions focus on Web channel sets of technology: WCM, DAM, portals, e-forms, Web analytics, social software, XML authoring, rich media management, mobile device support and so on, and on idealizing them to serve as Web-delivered engagement platforms for a variety of industry-focused solutions.4. Content management as infrastructure: As SharePoint takes hold in an organization, users naturally begin exploring its suitability for a wider range of content management applications, and its potential as a replacement for existing

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y g g pp , p p gsolutions. However, organizations requiring advanced content management capabilities and process-centric applications will need to augment SharePoint capabilities with partner offerings, or deploy Microsoft Office SharePoint Server (MOSS) 2007 alongside an ECM system, rather than as a replacement for it.


Definition: "Composite content applications" is the term Gartner uses to define frameworks and templates that are built on ECM and/or BPM platforms. CCA describes the orchestration of people, process and content based on repeatable solutions delivered by vendors and their domain expert partners in vertical and horizontal application development.their domain expert partners in vertical and horizontal application development.

Key Issue: What are the Four Worlds of ECM?Key Issue: What are the Four Worlds of ECM?Vendors and their partners that sell point solutions typically center on specific buyers with specific messaging, and are more tactical about the specific value resulting from their expertise. But CCAs can provide much more than a near-term fix for broken business processes, despite the fact that market demand is growing fastest here. Much like any maturity model, the practical and tactical benefits of today's buying decisions should be factored against strategic implications (see"Gartner Maturity Model for Enterprise Content Management" [G00160782]). CCAs will make greater use of existing and emerging technologies, deliver greater benefits as an ROI multiplier, and achieve these things with a modernized and cohesive approach. Strategically, CCAs will enable companies to exploit emerging ecosystems and marketplaces withoutcohesive approach. Strategically, CCAs will enable companies to exploit emerging ecosystems and marketplaces without undermining their existing information infrastructure investment.Three vendor-driven outcomes of ECM and BPM market synergies are: 1. The development of more-comprehensive service-oriented architecture (SOA) and standards-based software suites

and platforms2. Broader relationships with ISV and SI partners established by suite vendors3 The generation of more vertical- and horizontal-market-focused offerings emerging from professional services

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3. The generation of more vertical and horizontal market focused offerings emerging from professional services experience coupled with customer-based domain expertise leveraged by the suite vendors or their partners


Key Issue: What are the Four Worlds of ECM?Key Issue: What are the Four Worlds of ECM?Each company should devise clear policies and guidelines for collaboration and content across all media types, applications and channels. Fortunately, the principles for record retention are the same, no matter what the medium. Companies should not think they have met their obligations if they establish policies — they have to also manage their environments. For example, many companies forbid the use of IM, but people find ways around such bans and use any tool that will help them get their jobs done. So, of course, workers use public IM services, shared work space team tools, and increasingly, blogs and wikis. Ignoring that behavior is not the right response. And completely banning it is not ith R t ti id li f ll b ti d bil t h l i h ld i l deither. Retention guidelines for collaborative and mobile technologies should include:• Which technologies can be used?• What is their appropriate use?• What kind of content can be shared?• How is it possible to share it and manage it?• What are the consequences for not complying?

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Action item: Move content from collaborative systems to systems of record via processes and policies.


Strategic Imperative: No longer view WCM as a stand-alone technology. Understand the new "collaborative" context of WCM as part of online channel optimization.

Key Issue: What are the Four Worlds of ECM?Key Issue: What are the Four Worlds of ECM?The shift to the perception of the necessity for business solutions with WCM at the core is creating a new context in which WCM is finding its value. It is therefore increasingly important that WCM offerings be "environmentally aware" and, therefore, be able to integrate with adjacent technologies, be they COTS or of a custom-made nature. Therefore, in determining the business value and optimal potential of WCM, it is critically important to view the respective offerings in regard to adjacent technologies which can be contributory, distributory or symbiotic in accordance with the following categorization. Contributory: This includes those technologies that contribute to the success and solution focus of WCM capabilities. This category includes SEO, information access, recommendation software and Web analytics. It is becoming difficult to imagine a WCM solution without an array of such supporting technologies. Successful vendors and users in the WCM market must therefore ensure that their software is open to integration with such components. Distributory: This category includes those technologies that are fed or serviced by WCM to enhance the achievement of their own value. E-commerce applications and marketing software are both good examples. The acquisition of Mediasurface by Alterian in July 2008can also be better understood in this context. Symbiotic: This final category is highly likely to increase in importance in the coming year or two. The technologies comprise those examples where the value of the WCM and the adjacent technology is increased by thetwo or more applications working in tandem. An interesting example is where the symbiotic technology is a CRM or a BI application. In both cases, decisions can be made asynchronously, or in real time, to enable a more-accurately contextualized set of

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deliverables. In turn, the Web presence permits the collection of behavioral information from the users' interaction with the carefully managed and delivered experience. Horizontal portals can also fall into this category.


Key Issue: What are the Four Worlds of ECM?Key Issue: What are the Four Worlds of ECM?Microsoft's SharePoint family of products and technologies is in its fourth major release, with WSS moving from v.3.0 to "Foundation" and the server product initially SharePoint Portal Server, 2003 then Microsoft Office SharePoint Server 2007 and now SharePoint Server 2010. The broader family of products also includes Search Server, SharePoint Server for Internet Sites and SharePoint Designer. Foundation is included with the Windows Server Operating System. It is widely distributed and is a no-cost download for holders of a Windows Server 2003 r 2 client access license (CAL) This is an important aspectdownload for holders of a Windows Server 2003 r.2 client access license (CAL). This is an important aspect driving grassroots adoption. In addition to basic document management, Foundation supports collaboration and thus is growing "virally." MSS builds on these features. MSS adds capabilities around areas such as portals, Web content management (WCM), cross-platform search, records management and retention policies, e-forms and workflow templates.

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Key Issue: How should enterprises focus investment in content management technology?Tactical Guideline: The ECM market is in the final phases of a major transformation. Evaluate the phases of transformation as you build your ECM plans and prepare for ongoing change.

The content management market has undergone a dramatic transformation since 2000 and it is entering theThe content management market has undergone a dramatic transformation since 2000, and it is entering the final phases of transformation. The major phases that the market went through before 2011 were:• Technology convergence — Vendors acquire or build necessary pieces of functionality to complete their

ECM offerings.• Market consolidation — Major ECM vendors go through acquisition binges, buying competitors to reduce

competition and increase their installed base.• Portfolio rationalization — Vendors clean up their portfolios of acquired technologies and deliver road

maps to show their clients a clear path.• Infrastructure integration — Increasingly, vendors integrate ECM with core infrastructure platforms.• Application verticalization — Although Microsoft and other vendors provide basic content services (BCS)

functionality, other vendors will have to focus on building composite content applications (CCAs) to grow by delivery domain expertise.

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Strategic Imperative: As long as current economic conditions prevail, more than half of Gartner's clients will seek to replace ECM software that is no longer considered strategic.

Key Issue: How should enterprises focus investment in content management technology?Key Issue: How should enterprises focus investment in content management technology?Enterprises may need to deploy ECM against many different use cases to achieve all of their business goals. For example, they typically need to support structured data as well as unstructured content, and leverage rich new forms of content, such as video and social network artifacts, as well as documents and presentations. Business users also demand access to content no matter where they are — thus, support for mobile devices will continue to grow. Since most enterprises already have made multiple investments in content management technologies, ECM leaders should explore best practices for optimizing the tools they already have. Manytechnologies, ECM leaders should explore best practices for optimizing the tools they already have. Many Gartner clients invest in hybrid architectures that use SharePoint alongside another ECM system or that use a cloud service to give basic functions to many users while reserving the on-premises ECM system for complex uses and high-value content. Clients tell us they want more flexibility in deploying content management technologies because of resource constraints or limited budgets. Therefore, application managers and enterprise architects have started to look at alternative delivery models, including cloud services, open-source software and shared services (in which the enterprise buys software licenses centrally for a standard ECM

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system and then doles them out as needed for individual projects).


Tactical Guideline: ECM maturity is about achieving the right level of ECM capabilities for the organization and optimizing the investment. The key is providing the ECM capabilities to manage the life cycle of the content while enabling the collaboration and sharing of the content across the enterprise.

Key Issue: How should enterprises focus investment in content management technology?Key Issue: How should enterprises focus investment in content management technology?The Gartner ECM maturity model defines five levels of increasing ECM maturity. For any organization, the stepwise improvement in ECM maturity will be a multiyear journey that needs to be prioritized and able to deliver business value every step of the way. The goal is to determine the business benefits of content management and effectively deploy and invest in the relevant technologies for the organization while continuing to learn and build out ECM capabilities. Content management is increasingly becoming a required IT infrastructure investment. Over the years, many organizations have implemented CM in a departmental or siloed approach. It needs more of an enterprisewide, business-driven approach that includes a strong focus on governance, organization, process and metrics, as well as technology.Action Item: Use this ECM maturity model when planning the deployment of content management applications and technologies.

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Key Issue: Which vendors are likely to survive and thrive?Market Planning: Gartner forecasts total software revenue in the ECM market will reacha compound annual growth rate of 11.4% through 2015.

The Magic Quadrant displays the relative position of major vendors in the ECM market and their overallThe Magic Quadrant displays the relative position of major vendors in the ECM market and their overall impact on the development of ECM suites in general. A vendor can fall into one of four sectors that defines its current capabilities against tomorrow's promises.To be included in 2010's Magic Quadrant for ECM, a vendor needed at least $10 million in revenue and a minimum of three of the six core ECM components. Some vendors came from an imaging and workflow background and added RM, library services, WCM and document collaboration. Others expanded from their roots in WCM and added library services, imaging and RM. Here are the general characteristics of theroots in WCM and added library services, imaging and RM. Here are the general characteristics of the companies in each quadrant: Leaders: Doing well today, with great prospects for tomorrow. Visionaries: Great ideas for tomorrow, but not executing consistently today. Challengers: Executing well today, but may not be successful in the future. Niche Players: Doing well in a small segment of the market, or they are unable to innovate or outperform other vendors in the market.Criteria are rated from two perspectives: Completeness (or strength) of vision: The products or services the vendor focuses on for the future and how well a company or product will do in the future based on our scenario

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for where a market is headed. Ability to execute: The vendor's focus on today and how well a company or product is doing today based on business and technology realities and what the vendor is delivering.


Key Issue: Which vendors are likely to survive and thrive?Key Issue: Which vendors are likely to survive and thrive?At present, most CCA frameworks and templates are associated with IBM/FileNet, EMC/Documentum, Oracle and Microsoft's SharePoint — the first three of which might assert that they are as much a BPM suite as an ECM one. The momentum in the CCA market is toward granularity: of content and metadata, business rules and end-user roles and context. The more fine-grained and services-oriented the basic suite capability, the better able partners are to use the new levels of detail to both define the basic template and modify it for a specific buyer on implementation. Since their domain expertise is expressed by essentially marrying people, process and content more effectively to achieve a business outcome such as "increased ROI from online banking operations," the underlying aspects of composite application assembly, metadata, rules and user engagement through portals or rich Internet applications will become key qualifying differentiators among vendors Since ECM suites have added more process functionality asapplications will become key qualifying differentiators among vendors. Since ECM suites have added more process functionality, as well as better XML handling, the content has become more agile. In cases where people and their relationship to content are the most essential elements — such as with contracts, compliance and cases — the value is in ECM suites and their partners over those of BPM suites. Case management — the basis for many vertical CCAs — departs from the traditional view of structured and sequential predefined processes. Instead, workflows are nondeterministic, meaning that they have one or more points where different continuations are possible. They are driven more by human decision making and content status than by other factors. Because the progression of work cannot be completely anticipated at design time, any solution needs to be able to accommodate more dynamic execution, in which decision and content state changes are used to trigger the workflow. Many BPM suite tools only provide basic

biliti t t t t ti

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capabilities to support case management representations.


Market Share: Open-source and SaaS-based CM remain emerging delivery models for ECM, accounting for approximately 6% of the total ECM software market today.

Key Issue: Which vendors are likely to survive and thrive?Key Issue: Which vendors are likely to survive and thrive?Many ECM suite vendors (for example, Hyland Software, Perceptive Software, Microsoft and IBM) will deliver SaaS and cloud-based services as supplemental offerings to their core product lines. Cloud-based CM vendors will go through a typical market evolution and shakeout phase. Distinctions between OSS offerings and their proprietary commercial off-the-shelf counterparts have become blurred in the market. Most open-source content management offerings to date (such as Typo3, Drupal and Magnolia) have focused on Web content management (WCM), rather than on managing business documents and content that is typically tied to specific business processes. Alfresco and Nuxeo are among only a few OSS providers that address a broader spectrum of document and content management capabilities.Consider the viability of all vendors carefully and have contractual contingency clauses including the return of all companyConsider the viability of all vendors carefully and have contractual contingency clauses, including the return of all companyinformation on demand, should the vendor's future become questionable. Understand the risks when you evaluate content servicevendors. Many new vendors will enter the market. Use established vendors to support mission-critical processes. New and small vendors should have a solid business plan and a sustainable financial plan. Your contracts with all vendors should include security, legal and content retrieval provisions. Review the regulatory requirements and risk associated with your applications and content. Hosted providers cannot ensure absolute security, so enterprises should consider carefully before using them for information that must remain confidential, such as intellectual property or data that is material to the enterprise's financial health. Likewise, content needed for compliance may be difficult to find if content in the cloud deployment proliferates. With OSS, enterprises must take into

t th i i d l f t ti l l ti d h Th t i ll ith it b d it

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account the pricing models of any potential solutions and approaches. These are typically either community-based or community-based plus implementation support. In the strictly community-based model, you simply download the relevant software from the respective community and proceed with your CM initiative. You do not pay any company for maintenance or support. With the latteroption, the local partner provides you with the personnel necessary to help you deploy the software.


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Key Issue: What strategies will deliver the best long-term payoff?Tactical Guideline: Having too many content management platforms can hurt the business and increase the IT organization's management burden. Hybrid content architecture options can mitigate these problems by helping drive a strategy.g p y p g gy

Many of the challenges facing information management leaders arise because forces outside their control warp theMany of the challenges facing information management leaders arise because forces outside their control warp the content environment. Ever-changing business needs lead enterprises to implement new content technologies quickly, without thinking through the long-term consequences. Thus, Gartner surveys have found that 75% of enterprises have six or more content repositories, and 34% have three or more search engines. These complex environments cost a lot to run, keep users from finding information that could help them and increase the IT organization's management burden. Initiatives to consolidate around a single content management system seldom work, because the initiative is expensive, objections are likely from some stakeholders and pressure to implement new competing technologies is almost immediate — especially considering that a typical enterprise deployment can take years. The content management environment willespecially considering that a typical enterprise deployment can take years. The content management environment will almost always consist of multiple systems. Nevertheless, information management leaders can mitigate these problems if they design a hybrid architecture into which they can fit existing and new systems. A hybrid architecture will make content integration and information sharing easier. Information management leaders should learn about the three options of hybrid content architecture and choose the one that best suits their needs. The three options are:1. A central ECM system managing other applications and repositories linked to it2. A combination of two ECM suites

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3. A combination of on-premises and cloud computing ECM deployments


Tactical Guideline: Target the content repositories that are strategic and begin developing exit strategies for the others.

Key Issue: What strategies will deliver the best long-term payoff?Key Issue: What strategies will deliver the best long-term payoff?Enterprises cannot expect to monolithically manage their content. They have two interrelated issues that they must address: user-driven growth of digital content and the new tools they use (for example, wikis, blogs), plus the proliferation of content management repositories that grew out of isolated projects, organizational divisions and acquisitions.There are different approaches to managing content and the repositories that house the content. Many enterprises have realized that in the short term it may not be realistic to rip out and replace multiple repositories or to consolidate all content into a single solution. So linking them together via federation is an approach that is becoming popular. Used in conjunction, content integration, enterprise information access (for example, search), and even portal technologies can enable a virtual repository. Although technically feasible in today's market, creating virtual repositories is still not an easytask. Three possible "personalities" we have identified are: a single vendor architecture and deployment, a "Wild West" approach (for example, departments can do what they choose), or a status quo approach that increasingly leads to user demands to link the disparate content repositories. Regardless of culture, enterprises must recognize the need to integrate

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at least some content (and its repositories) to support user and application needs. Ideally, companies from all three profiles should consider establishing a governance model for content and its repositories. Action item: Federate your repositories, and then consolidate to maximize the value and minimize cost.


Market: The drivers from content in the cloud vary by vertical industry sector (and even government sector). All strike a balance between increased revenue, effectiveness, reduced costs and improved efficiency.

Key Issue: What strategies will deliver the best long-term payoff?Key Issue: What strategies will deliver the best long term payoff?The drivers from content in the cloud vary by vertical industry sector (and government sector). All strike a balance between increased revenue (except in government) and effectiveness (that is, creating the upside) and reduced costs and improved efficiency (that is, avoiding the downside). Examples from different industries include:• Financial Services: This includes banking and insurance. Here the main focus of a content in the cloud

program is on making a transition toward customer centricity, not product centricity, providing a better customer experience, improving cross-selling and upselling, and improving account management with business customers. Other drivers include risk management and reduced costs resulting from data reconciliation and marketing waste.

• Other Industries: Drivers differ depending on what part of pharmaceutical or consumer goods product manufacturing is involved, but example drivers in discrete manufacturing are faster product introduction, more efficient supply chains, faster and less costly mergers and acquisitions, reduced financial reconciliation iss es and impro ed proc rement

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reconciliation issues and improved procurement.• Media: On the "making improvements" side, they include providing an improved customer experience, as

well as better cross-selling and upselling.


Tactical Guideline: Building a solid business case is the most important first step to successful ECM.

Key Issue: What strategies will deliver the best long-term payoff?Key Issue: What strategies will deliver the best long-term payoff?Many ECM projects fail before they get off the ground. When projects are IT- or even management-driven, the No. 1 mistake that clients make is to fail to take into account just how profound a change in users work practices the content management system will make. They take shortcuts and jump right to the vendor selection process. The feature and function overload that many of the ECM vendors suffer from further confuses the issue and the selection team gets bogged down in a game of trivial pursuit, where "must-have" features cloud the larger issues of document and process discipline.

As everyone works with documents, there can be many stakeholders, all of whom want to weigh in with their requirements, but none of whom have either the authority or the budget to drive the decision forward. Many of the benefits from ECM take a while to accrue because system adoption can be slow. After 12 to 18 months, when only one-third of the users are only putting one-third of their documents into the system and everyone is complaining, the project team does a post mortem to find out what went wrong. (See Enterprise Content Management Cost Optimization Through a Selective Deployment Approach — G00166439)

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Action Item: Document inventories, and finish process definition and retention policies before any technology vendors walk in the door.


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Documents

Exploring the Four Worlds of Enterprise Content Management mex38l_c7.pdf · Exploring the Four Worlds of Enterprise Content Management ... Content management as we know it is coming