Charlie Bess, P.E.

2015: A Year of Service Innovation

Augmented-realityand interface advances

MegaTrendsShift in service value

Contextual megatrends Choice

Urbanization

Aging Population

Resourcescarcity

Greater access to education

Individual empowerment

Global

Mass customization

Securityscarcity

SciTech megatrends

Disruptive technologies AI

ITabundance

BioTech

Internet of Things (IoT)

Gamification

NanoTech

Automation

Analyticsand

big data

Flexible,open, modeled business

Value

Open data

• Open data• Sensors (audio, video, GPS, mobile)• Derived data

• Analytics• Time• Security & Privacy

• 4G, 5G• Multi-Gigabit networks• Social networks

• Open Source• SaaS• Licensed SW

• Cloud• Mobile• Distributed

Technical Enablers

New Value

A conflict between abundance and scarcity

Unlimited Data

Unlimited Computing

Limited Attention

Unlimited Connection

Unlimited Applications

Communication

InfrastructureAnalytics

Platforms

Devices

(Data Sources)

ServiceSystems

IoT consists of two very different ecosystems…

The “Consumer” IoT The “Industrial” IoT

… but, with common building blocks across each.

Smart Thermostats

Wearable Fitness Bands

IP-enabled Cameras

ISP / Ethernet

Smartphone Gateways

Wi-fi (via ISP)

Sensor Data Platform

Cloud Data Platform

Video Data Platform

Automated HVAC

Personalized Portals &

Games

Smart Meters

Meter Data Management

Systems

Mobile Networks

Time-of-Use Billing

Remote Security Services

Building Systems

Building Automation

Platforms

Serial + Ethernet

Fault Detection

Equipment Sensors

Active Monitoring

Systems

Ethernet

“Phone Home” services

Smart Grid

Smart Buildings

Home Security

WellnessSmart Home

Support Automation

EX

AM

PLES

Customization for the Corporation and the IndividualProducts become platforms

HP D300 Digital Dispenser

http://www.nytimes.com/2013/08/20/science/next-out-of-the-printer-living-tissue.html

The concept of mass customization has reachednew levels. Example: medicine

For businesses, the concept of bring your own device isshifting to bring your own service.• HR and Financial policy• Focus on the experience not the device

Better,Right time decisions

Right information. Right person. Right time.

Analytics moves from reactive to predictive

Foresight:What will happen?

Hindsight:What happened?

Insight:What is happening

now?

In-flightInformation

ActiveInformation

InactiveInformation

Right-time decisions

Call to action

Systems of action?

Sensors and

Controllers

Data Transport

Data Integratio

nAnalytics

AlertsDisplaysReports

Action

Enterprise 3.0

• Deeper Understanding of the Power of connections and customization

Why is this happening?Why is this happening?

NegativeResponse

Time

Who will get the most bang out of big data?2020 beneficiaries of big data management and high-speed analytics

Quote to collect5%

Supply chain14%

Customeracquisition19%

Finance andadministration5%

Productdevelopment25%

Other8%

Today’s cloud techniques will be applied to the rest of the business

Autonomous Agents that Manage by Exception

Today, IT Ops staff can receive dozens of alerts –

ranging from critical to system spam

Alerts are collected & analyzedreal-time changes are made optimizing reliability and the

use of resources like energy and bandwidth

The environment isolates critical alerts it can’t handle

and sends them to individualswho can act on them

Less critical anomalies are batched up and sent to only

those who can affect changes

Attention Engineering

If the service is not deployed, it is not successful

Change management

Innovation implementation is “the critical gateway between the decision to adopt the innovation and the routine use of the innovation” Klein and Sora 1995, p.1057

It is estimated that 50% or more of attempts to implement major technological innovations end in falure (Aiman-Smith and Green 2004, Baer and Frese 2003; Repenning and Sterman 2002)

Of the $2.7 trillion that companies invest in technology each year, more than $500 billion is wasted due in large part to implementation failure (Klein and Knight 2005)

Key to success

1) Have a vision

2) Focus on the value –> measure results

3) Don’t be afraid to change

4) It is about the people –> support them

The World of Tomorrow will be characterized by:

Final Thoughts

Predictable changes: Many factors that enable change are foreseeable, so plan to take advantage of them.

Scarcity and abundance: Determine how what is abundant can maximize the value of what is scarce for you or your environment

Increasing rate of change: We need to prepare organizations to assimilate and take advantage of change – at a personal as well as corporate level.

The increasing digitization of society, commerce, personal and professional lives is not a replacement for today’s processes and systems, but adds capabilities

Experimentation: unintended consequences happen. Don’t assume you know how things will turn out.

Questions?

Charlie BessPhone: +1 469 767-2311Email: chas.bess@gmail.com