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STKI CIO EVENT 04-Jul-17 1 “NEW ORGANIZATION” WHY & HOW 1 2 Pini Cohen 08.05.17 Non-perpetual software licensing and tips for cloud deals for IT procurement 207 - מכללהEinat Shimoni & Galit Fein 11.05.17 Data Governance אודיטוריוםAll Analysts 18.05.17 Event for Vendor community אודיטוריוםPini Cohen 22.05.17 Converged, hyper-converged and new processes and organization for IT infrastructure managers and CTO’s 207 - מכללהGalit Fein & Einat Shimoni 25.05.17 Bots V0.2 אודיטוריוםEinat Shimoni & Liat Tsafir 05.06.17 HR & Talent Analytics 207 - מכללהPini Cohen 08.06.17 Data center technologies - DCIM, cooling, electricity, new hosting 207 - מכללהGalit Fein 19.06.17 Mega project mngt 207 - מכללהPini Cohen 22.06.17 SDP – software defined perimeter RT for networking, cyber and CTO 207 - מכללהEinat Shimoni & Galit Fein 26.06.17 Cognitive computing, AI & ML 207 - מכללהPini Cohen 29.06.17 Secured development – tools and processes for developers, CTO’s and CISO’s 207 - מכללהJimmy Schwarzkopf, Galit Fein & Einat Shimoni 03.07.17 CIO Event - New IT organizational structure and roles קריפטון הכפר הירוקLiat Tsafir 06.07.17 Knowledge Management in the Digital Age 207 - מכללהLiat Tsafir 10.07.17 Contact Center 307 - מכללהEinat Shimoni 13.07.17 CMO Event קריפטון הכפר הירוקGalit Fein 17.07.17 GRC – Governance Risk and compliance 207 - מכללהJimmy Schwarzkopf, Galit Fein & Pini Cohen 20.07.17 CTO and Architecture: Advanced development and deploy processes for modern IT קריפטון הכפר הירוקPini Cohen 24.07.17 HW based cyber security for CISO’s and infrastructure managers 207 - מכללהSTKI events 2Q2017

STKI events 2Q2017 - Amazon S3 · Galit Fein 19.06.17 Mega project mngt 207 ... Mini computers and PCs disrupted the mainframe industry ... (BRM) IT HR Skill Manager CTO

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STKI CIO EVENT 04-Jul-17

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“NEW ORGANIZATION”WHY & HOW

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2

Pini Cohen 08.05.17 Non-perpetual software licensing and tips for cloud deals for IT procurement מכללה - 207

Einat Shimoni & Galit Fein 11.05.17 Data Governance אודיטוריום All Analysts 18.05.17 Event for Vendor community אודיטוריום

Pini Cohen 22.05.17 Converged, hyper-converged and new processes and organization for ITinfrastructure managers and CTO’s מכללה - 207

Galit Fein & Einat Shimoni 25.05.17 Bots V0.2 אודיטוריום Einat Shimoni & Liat Tsafir 05.06.17 HR & Talent Analytics מכללה - 207Pini Cohen 08.06.17 Data center technologies -  DCIM, cooling, electricity, new hosting מכללה - 207Galit Fein 19.06.17 Mega project mngt מכללה - 207Pini Cohen 22.06.17 SDP – software defined perimeter RT for networking, cyber and CTO מכללה - 207Einat Shimoni & Galit Fein 26.06.17 Cognitive computing, AI & ML מכללה - 207Pini Cohen 29.06.17 Secured development – tools and processes for developers, CTO’s and CISO’s מכללה - 207Jimmy Schwarzkopf, Galit Fein &Einat Shimoni 03.07.17 CIO Event - New IT organizational structure and roles קריפטון הכפר הירוק

Liat Tsafir 06.07.17 Knowledge Management in the Digital Age מכללה - 207Liat Tsafir 10.07.17 Contact Center מכללה - 307Einat Shimoni 13.07.17 CMO Event קריפטון הכפר הירוקGalit Fein 17.07.17 GRC – Governance Risk and compliance מכללה - 207Jimmy Schwarzkopf, Galit Fein & PiniCohen 20.07.17 CTO and Architecture: Advanced development and deploy processes for

modern IT קריפטון הכפר הירוק

Pini Cohen 24.07.17 HW based cyber security for CISO’s and infrastructure managers מכללה - 207

STKI events 2Q2017

STKI CIO EVENT 04-Jul-17

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STKI’s work Copyright@2017. Do not remove source or attribution from any slide, graph or portion of graph

STKI’s

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STKI Research Results:1. IT Trends2. Surveys about organizational issues3. Round Table Summaries4. Industry IT Budgets5. IT Market Forecasts by category6. Vendor Tiers by category7. Product Positioning8. Staffing Ratios

http://index.stki.info/http://index.stki.info/http://index.stki.info/

Digital technologies (enablers) and ITUp to 2007 ComputingIntegrated circuits and eventually the computer on a chip (Moore’s law) at lowerand lower prices. More and more sophisticated software was written and thesoftware/VAS industries were bornMini computers and PCs disrupted the mainframe industry

2007-2017 CommunicationThe telecoms bust had unintended consequences: the “low price” of usage oflong distance cables, mobile tech, data usage and the internet.

The internet and mobile disrupted everything.

From 2017 Memory & storageWith cost per terabyte in free fall, the response is to accumulate moredata. Using also the internet and cheap power we have now:Big Data, cloud, Blockchain, AI, VR

STKI CIO EVENT 04-Jul-17

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Digital technologies (enablers) and ITUp to 2007 ComputingIntegrated circuits and eventually the computer on a chip (Moore’s law) at lowerand lower prices. More and more sophisticated software was written and thesoftware/VAS industries were bornMini computers and PCs disrupted the mainframe industry

2007-2017 CommunicationThe telecoms bust had unintended consequences: the “low price” of usage oflong distance cables, mobile tech, data usage and the internet.

The internet and mobile disrupted everything.

From 2017 Memory & storageWith cost per terabyte in free fall, the response is to accumulate moredata. Using also the internet and cheap power we have now:Big Data, cloud, Blockchain, AI, VR

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• Massive economies of scale, agile provisioning, volatility and growthCloud Computing

• Things connected and sending lots of dataIoT/Sensors

• Taking all of that DATA and improving processing and predictionMachine Learning

• People can interact with others in new waysAugmented/Mixed Reality

• Connections between people and things into real-time interactions anddecisions

Digital (Transformational) Business

• Enables peer-to-peer transfer of value eliminating the need forintermediaries.

Trust Engine & Smart Contracts

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• Massive economies of scale, agile provisioning, volatility and growthCloud Computing

• Things connected and sending lots of dataIoT/Sensors

• Taking all of that DATA and improving processing and predictionMachine Learning

• People can interact with others in new waysAugmented/Mixed Reality

• Connections between people and things into real-time interactions anddecisions

Digital (Transformational) Business

• Enables peer-to-peer transfer of value eliminating the need forintermediaries.

Trust Engine & Smart Contracts

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V1

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ADHOC SOLUTIONSTO LEGACY AND NEW TECH

V2

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Chief Digital Officer

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How do I know when it is“simply”

“sustaining innovation”or it is

“disruptive innovation”

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1. Disruption is a “process”2. Disruptors build different

business model than incumbents3. Disruption “products/services”

don’t catch up with mainstreamuntil quality is up to theirstandard

“DISRUPT OR BE DISRUPTED “

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COMPETITIVE ADVANTAGErequires

DISRUPTIVE INNOVATIONnot only on the

product but also in the way acompany servers its

customers and its employees

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parking spots include:private residential and office building parking spots.

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People who need a digital file cabinetare matched up with hosts with extra

storage capacity in an onlinemarketplace that runs on blockchain

To buy storage space or get paid for ityou need to use the system’s owndigital tokens, called Siacoin.

Cloud Storageis going through

“disruptive innovation”not only

“sustaining innovation”

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WHAT REALLY HAPPENED?

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“sustaining innovation”(strategic planning process)

“disruptive innovation”(design thinking process)

R&D

PlanStrategy

ExecuteEureka

Moment

Tryminimum viableproduct (MVP)

Learn

Modify

Execute

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“sustaining innovation” “disruptive innovation”

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WhatINNOVATIONORCHESTRATORS& GATEWAYOFFICERS do ???

can it be monetized?

prototype

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NEW PRODUCT DEVELOPMENT WITH LEAN STARTUP AND SCRUM

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sustaining or disruptiveinnovation ?

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sustaining or disruptiveinnovation ?

Ripple's plan to make moneymove as fast as information

60 banks are now in the process ofcommercially deploying Ripple's

enterprise software

International banking today, has"a speed problem, a cost

problem, plus an error rateproblem."

Payments ping-pong among banks (asmany as five for a single payment)eachone takes fees or currency-exchangecharges.

Where Swift provides a one-way messagingservice, Ripple provides a two-way protocol.

Banks can exchange information and find out ahead of time:• what the fees and foreign-exchange rates will be• expected date of delivery for the funds• If any of the information is wrong or missing, both banks will

find out before the payment is sent

|

Other Subscription “stores”

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Traditional Pipeline Business Model

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ecosystem of buyers and sellers

informationexchange

“high value”interaction

enabler

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platforms “enable” engagement

consumers don’t engage they just BUY

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Apple Platform (iTunes)Apple Platform (iTunes)

Apple iPod (product) transformed into iTunes (platform)

MusicProducer

MusicProducerListenerListener RetailerRetailer

$$ $

Apple iPodApple iPod

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Still aProduct

(Pipeline Business Model)

PlatformBusiness model

Product: one sided network

Platform: two (2) sided network

Bank as a platform.Transparency as an asset.

The Open Bank Project is an open source API and Appstore for banks that empowers financial institutions tosecurely and rapidly enhance their digital offeringsusing an ecosystem of 3rd party apps and services.

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“old economic theories”

“new economy theories”defined by the MIT team

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NEWCOMPANIES

ANDBEHAVIORS

INSIDEEXISTING

COMPANIES

THREATENEDOR

TRANSFORMED

JUSTTECHNOLOGY

How New Technology Permeates

CHANGE INBUSINESSMODEL

LESS

CHANGE INBUSINESSMODELMORE

CHANGE IN TECHNOLOGYMORE

CHANGE IN TECHNOLOGYLESS

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Welcome to the “great” disruptionthe “unbundling” of everything

Welcome to the “great” disruptionthe “mashup” of everything

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Era of Postmodern ERP (called the MASHUP)and what it means for your business ?

It's difficult to create an innovative workplace if acompany’s employees are using tools designed in the 1980s.

Composite (mashups) Applications include

• Using a cloud deployment of best-of-breed application instead of one ofthe existing applications

• Using multiple ERP suites fromdifferent vendors,.

• Foregoing an ERP suite altogether andusing only best-of-breedapplications.

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V3

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IT moving from “projects” to“products” and “pods”

products

product portfolio management

Product Xteam

PODA

PODB

PODB

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legacyservices

“new” ITproducts and

services

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"If there were a perfect structure, wewould all use the same one.

What you need to do isidentify the style and strategy of the

service you want to offer, andstructure your department to provide

that.“David Swayne,Director Information Systems,Nottingham Trent University

TACTICALIT ORGANIZATION

STRATEGIC

TACTICAL

STRATEGIC

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50

VP tech

IT as a ServiceITaaS

SLA & Cloud Brokeragemngr

Data Center Management

Technologies & ToolManagement

Help Desk

Delivery of “new” Products &Maintenance of LEGACY

Product Managers

Skill Procurement

Centers ofExcellence

LoB Expertise

Delivery ofData & Analytics

Data Platform Manager

Big Data(Data lab/"R&D") Manager

Data ArchitectCenter of Excellence

Data Scientists Manager

Analysts Manager

Business ServiceProvider (BRM)

IT HR Skill Manager

CTO

CYBER ArchitectProcurement

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Staff Managers

CTO

IT Architect

Tools &Methodologies

Manager

LAB Manager

Business (BRM)Service Provider

IT CustomerSuccess

Managers

Technicalsupport

OCIO

Budget &Resource Mng

PMO

IT RiskManager

Others

CyberArchitect

HR TalentSkill Manager

ITProcurement

InnovationCoordinator

NEW

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Unbundled mashups effect onIT structureThe world runs on SW andtechnology is inthe core business

T2M hasbecome crucial

Making a good SW depends onpeople rather than technology

“1-2 Pizza model” is moving fromstartups to enterprise as a strategyfor organizing teams

From SILO organization to MASH UP TEAMworking with the business

Interaction between business people with a deepunderstanding of the domain & technologistswho support them

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IT

Infra structure BI LoB1 LoB2 LoB3

OCIO

Break the functional silos

CEO

Innovation CDO IT LoB1 LoB2 LoB3

Silo1 Silo2 Silo3

Source: Deloitte

Sequential project phases withdifferent skill groups

Multi skilled,result oriented teams

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It’s all about resource mngt¾ FTE ⁄ FTE

½ FTE

½ FTE¾ FTE

QA

Project mngDeveloper

IT Architect

Businessowner

Businessanalyst

Startup/Boutique/New techrepresentative

Integrator

Crowdsourcing

⁄ FTE

Unbounded Enterprise

1 2 2 33/4

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IT HR(¾ FTE + ½ FTE)/2 - ½ FTE + ¾ FTE X 3 =???

• What skills do we have?• Talent mngt• Training• People compatibility• Sourcing

Add hoc team

New chief is in town:IT HR & skills manager

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Delivery of “new” Products &Maintenance of LEGACY

ProductManagers

Agile TeamProduct 1

Agile TeamProduct n

Agile TeamProduct n+1

SkillProcurement

In-House Staff

UX Team

Programmers

Q/A Team

Others

StaffAugmentationManagement

Procurement

Centers ofExcellence

LegacySoftware

Transactionalsystems

Maintenance

DigitalChannels

LoB Expertise

Non-coreBusinessFunctions

Marketing

Finance

others

CORE BusinessFunctions

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Agile Team Product n

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MVP - Minimum viable product

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Products over projects

planning execution delivery

Within defined time-slots and budgets

Most SW development usesthe project model

Start here the end

SW development as a project, doesn’t fitthe needs of the modern business and we

all feel it in our gut

On-going discovery process that runsconcurrently with development

We should build products that supportunderlying business processes, which continue

as long as the business is worthwhile

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Staff Managers

CTO

IT Architect

Tools &Methodologies

Manager

LAB Manager

Business (BRM)Service Provider

IT CustomerSuccess

Managers

Technicalsupport

OCIO

Budget &Resource Mng

PMO

IT RiskManager

Others

CyberArchitect

HR TalentSkill Manager

ITProcurement

InnovationCoordinator

NEW

Galit Fein’s work Copyright@2017. Do not remove source or attribution from any slide, graph or portion of graph62

Are you a customer centric company?Customer success manager is born

• External CX/ Customer journey• Customer products quality - 99.99%• App store / digital releases mng• Customer support – ITSM for customers

It’s all about making your customers assuccessful as possible in using your

technology product

“What is your favoritetechnology product?”

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Galit Fein’s work Copyright@2017. Do not remove source or attribution from any slide, graph or portion of graph63

Customer delightCustomer Success Team is dedicated to work closely with customers toensure they achieve their desired outcome

Product usageCSM brings key insights and strategies for product usage together withindustry best practices

Listen…CSM listens to what is said about the product online

CSM job description

Who does the technical support?

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Management & Delivery ofIaaS/PaaS hybrid cloud

Management & Delivery ofSaaS hybrid cloud

NOCs: Infrastructure,Cyber & Applications

Tool management: development,integration & testing

Support for all technologies(DC, personal, cyber)

Internal Help Desk

Cloud servicesprocurement

ITaaSITaaSManagedas an

“outside”vendor

Managedas an

“outside”vendor

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IT as a ServiceITaaS

SLA & CloudBrokerageManager

CloudProcurement

Manager

SLA Manager(on-prem+cloud)

Data CenterManagement

InfrastructureSupport

InfrastructureSpecialties (…)

CyberSupport/SOC Operations

ProductionManagement

NOCInfrastructure

ITSM

Support:2nd level

NOCApplications

Help DeskTechnologies &

ToolManagement

Integration & APITools Support and

Methodology

DevelopmentTools Support

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ITaaS strategies

Do It Yourself (DIY)vs. procurement of

OutsourcedServices

Diversity ofServices Provided

Reactive orProactiveCulture

Legacy Software(on prem vs. cloud)

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ITaaS efficiency and effectiveness principles *

SLA Devops On goingcharges

Measured at thebusiness

transaction levelwith “end user

experience”tools

Devops willimprove businessagility and hence

increaseeffectiveness

Open source

Has the potentialof cost reduction

while alsoproviding for

advancedfunctionality

Modern ITaaSorganization

Will increaseefficiency and

lower the barrierto business

agility

LOB should becharged for “all

products”(KILLING products

not used)

*STKI has variety of benchmarks for ITaaS efficiency estimation

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ITaaS chargeback – a must in digital !ITaaS “chargeback” similar to “public clouds”:

1. Affordable PRICES2. SERVICES offered DRIVEN by

customer (market) DEMAND3. Customers PAY ONLY for what they

CONSUME

ITaaS that “BUY” external services (publiccloud, outsourcing, BPO) should charge:

“service cost plus external costs reflectingITaaS added value”

ITaaS (LEGACIES) should charge :o Number of ACTIVE USERSo Relative revenue of LOB (ROI OF ITaaS

SERVICES)o NUMBER OF APPLICATIONS supported

for the LOBo Etc.

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Copyright © 2017 Deloitte Development LLC. All rights reserved.

COGNITIVE TOOLS IN THE INFORMATION ECONOMY

YESTERDAY TODAY TOMORROW

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Google open sourcesobject-recognition framework

TensorFlow Object Detection framework includespre-trained models for object recognition as well as

scripts so developers can train their own models.

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AI technology uses images ofdamaged vehicles to assess theclaim within seconds andspeed up the traditional claims

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Delivery of Data andAnalytics Manager

Data PlatformManager

DATAGOVERNANCE

PRIVACYMANAGEMENT

DATA LAB"R&D" Manager

BIG DATA

COGNITIVE

ARTIFICIALINTELLIGENCE

Data ArchitectCenter of

ExcellenceData Scientists

Manager

AnalystLOB 1

AnalystLOB n

AnalystLOB n+1

AnalystsManager

AnalystLOB 1

AnalystLOB n

AnalystLOB n+1

Pini Cohen 08.05.17 Non-perpetual software licensing and tips for cloud deals for IT procurement מכללה - 207

Einat Shimoni & Galit Fein 11.05.17 Data Governance אודיטוריום All Analysts 18.05.17 Event for Vendor community אודיטוריום

Pini Cohen 22.05.17 Converged, hyper-converged and new processes and organization for ITinfrastructure managers and CTO’s מכללה - 207

Galit Fein & Einat Shimoni 25.05.17 Bots V0.2 אודיטוריום Einat Shimoni & Liat Tsafir 05.06.17 HR & Talent Analytics מכללה - 207Pini Cohen 08.06.17 Data center technologies -  DCIM, cooling, electricity, new hosting מכללה - 207Galit Fein 19.06.17 Mega project mngt מכללה - 207Pini Cohen 22.06.17 SDP – software defined perimeter RT for networking, cyber and CTO מכללה - 207Einat Shimoni & Galit Fein 26.06.17 Cognitive computing, AI & ML מכללה - 207Pini Cohen 29.06.17 Secured development – tools and processes for developers, CTO’s and CISO’s מכללה - 207Jimmy Schwarzkopf, Galit Fein &Einat Shimoni 03.07.17 CIO Event - New IT organizational structure and roles קריפטון הכפר הירוק

Liat Tsafir 06.07.17 Knowledge Management in the Digital Age מכללה - 207Liat Tsafir 10.07.17 Contact Center מכללה - 307Einat Shimoni 13.07.17 CMO Event קריפטון הכפר הירוקGalit Fein 17.07.17 GRC – Governance Risk and compliance מכללה - 207Jimmy Schwarzkopf, Galit Fein & PiniCohen 20.07.17 CTO and Architecture: Advanced development and deploy processes for

modern IT קריפטון הכפר הירוק

Pini Cohen 24.07.17 HW based cyber security for CISO’s and infrastructure managers מכללה - 207

STKI events 2Q2017