Enabling Digital Business in an Age of Disruption

Short Presentation Title

Enabling Digital Business in an Age of DisruptionInternal

@timoelliott Timo ElliottInnovation EvangelistMarch 2016

Use this title slide only with an image

2016 SAP SE or an SAP affiliate company. All rights reserved.#Internal112:4545 minutes or so

Digital Technologies are Changing The World

2014 SAP AG. All rights reserved.#

2016 SAP SE or an SAP affiliate company. All rights reserved.#Internal

Human Loses, Algorithms Win!Pre-Match: I dont think it will be a very close match. I believe I will win 50, or maybe 41Game 1: I am very surprised because I have never thought I would loseGame 2: From the very beginning of the game I did not feel like there was a point that I was leading.Game 3: Ive never played a game where I felt this amount of pressureLee Se-dol vs AlphaGo


Commercial Quantum Computing! 100 million times faster than that of average computer chips.

D-Wave 2X can process in a span of a second is something that a single-core classical computer can solve in a span of 10,000 years.


For perhaps the first time in human history, Futurists have underestimated the speed of progress



New Technology = Business Opportunity@timoelliott

2016 SAP SE or an SAP affiliate company. All rights reserved.#InternalWhy talk about technology? Its because thats what changes. 6


Digital BusinessBut only 25% have a plan in place, and less than 15% are funding and executing a digital transformation plan.

Digitalist Magazine, 2015 90% of CEOs believe the digital economy will have a major impact on their industry.

2016 SAP SE or an SAP affiliate company. All rights reserved.#InternalOr start with this slide?

Or once upon a time

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What does digital business mean for your company and industry?

CEO responses:

What IS Digital Business?


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Digital Business

Digital business is the creation of new business designs by blurring the digital and physical worlds


IT CraftsmanshipIT IndustrializationDigitalization

IT provides innovations and new capabilitiesIT supports efficiency, effectiveness, and integrityEngageOfferMonetizeAdaptCreateIdeateDigital provides continual opportunities for growth, innovation, and differentiation

The Third Era of Information Technology

@timoelliott

#

2016 SAP SE or an SAP affiliate company. All rights reserved.#InternalInformation and technology make a fundamentally different contribution to the business, less tied to the efciency and effectiveness of internal processes than to enabling disruptive new products, services and business models. That era has now arrived.

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By 2020, information will be used toreinvent, digitalize, or eliminate80%of business processes and products from a decade earlier.From The Back Office To The Business Models of Future

@timoelliott


Technology Priorities for 2016 and beyondRankTechnologyTrend1BI/Analytics2Cloud3Mobile4Digitalization / Digital Marketing5Infrastructure & Data Center6ERP7Security8Industry-Specific Applications9Customer Relationships10Networking, Voice, and Data Comms

Nine out ofeleven years2006-2016ANALYTICS#1

2016 SAP SE or an SAP affiliate company. All rights reserved.#InternalFive years running 13

Analytics Takes Over The World

@timoelliott


Making a World of Difference in Health Care

2016 SAP SE or an SAP affiliate company. All rights reserved.#InternalASCO Story: Key Points14 million people are diagnosed with cancer every year. To give each one the best options and outcome doctors need to know what worked before, and the latest results from clinical trials. But there are thousands of trials in progress, and millions of previous patients. ASCO is using the SAP HANA platform for their CancerLinQ system. It analyzes 500,000 electronic patient records to show which treatments are likely to work best. ASCO is using big data and innovating on the SAP HANA platform to transform cancer treatment planning, and to transform peoples lives. ASCO Story: Short versionHave you ever shared an idea and been amazed by what someone did with it? Thats what happened with SAP HANA at ASCO the American Society of Clinical Oncology. About 14 million people are diagnosed with cancer every year. Most ask their doctor the same question How can you help me fight it? Its a difficult question to answer. To give a patient the best options and the best possible outcome a doctor needs to know what worked for the patients who were treated before, and the latest results from clinical trials. But there are thousands of clinical trials in progress. And reading 14 million patient files would take about 160 years. This is the world of big data. Thanks to SAP HANA, Big Data is not a problem, its an opportunity. For ASCO, the digitization of patient files created an opportunity to transform health care. ASCO is using the SAP HANA platform as the foundation for their CancerLinQ system. It analyzes half a million electronic health records to find similar patients. It creates a timeline showing the windows of opportunity to use different treatments. It shows side effects, and outcomes. It tracks performance and can compare results across practices. Its analysis shows whats possible, what is likely to work, and helps every doctor give every patient the highest quality care. ASCO is using big data and SAP HANA to transform cancer treatment planning, and transform peoples lives. We expected HANA to do amazing things as a platform for SAP solutions. But as a platform for innovation it has helped ASCO do much more.

ASCO Story: Long versionHave you ever shared an idea and been amazed by what someone did with it? Thats what happened with SAP HANA at ASCO the American Society of Clinical Oncology. Their innovation on the SAP HANA platform is going to save lives. When talking to your doctor one of the scariest things you can hear is you have cancer. Unfortunately, about 14 million people hear that every year. After the initial shock, most of them ask the same question How can you help me fight it?Its a difficult question to answer, because there are so many possible answers. There are many different types of cancer. Many different types of treatment. And new research is always underway. According to one estimate there are more than 5,000 clinical trials in progress right now, for new cancer treatments. To give a patient the best options and the best possible outcome a doctor needs to know what worked for all of the patients who have been treated before, and the results or status of every trial. Reading 20 patient files per hour, twelve hours per day, it would take 160 years to learn about those 14 million people. And if we havent cured this disease at least two billion new patients will have been identified in that time. Possibly a lot more, because the incidence of this disease is growing. This is the world of big data. But I dont want to call this a big data problem, because thanks to technologies like SAP HANA, Big Data is not a problem, its an opportunity. More specifically, for ASCO, the digitization of patient files has created an opportunity to transform health care.SAP HANA was developed as a platform for applications and analytics, but also as a platform for innovation. And thats what ASCO has done. ASCO is using HANA for their CancerLinQ system. It analyzes half a million electronic health records to help doctors decide on the best course of treatment with each one of their patients.CancerLinQ finds groups of similar patients. It creates a timeline showing the windows of opportunity to use different treatments. It shows their side effects, and outcomes. It can even track performance against clinical quality measures and compare results across practices.In other words, its analysis shows whats possible, what is likely to work best, and makes sure every doctor can give every patient the highest quality care. ASCO is using big data to transform cancer treatment planning. What they are doing is amazing not just because it transforms the services they provide, but also because it can transform peoples lives.Solutions like CancerLinQ are possible not just because of the technology behind SAP HANA, but also because it was engineered as a platform for innovation. We expected HANA to do amazing things for our customers as a platform for SAP solutions. But we are proud of, and inspired by, what ASCO has done with HANA as a platform for innovation.

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Genomic Analysis

1 sample = 2534 genomes = 20bn records = 1.2TB 600x Faster = previously impossible tests and researchA win-win-win for IT, researchers, and humanity


2016 SAP SE or an SAP affiliate company. All rights reserved.#Internalhttp://greenmonk.net/2014/07/25/big-data-analysis-tools-facilitating-huge-advances-healthcare/

As we noted recently here on GreenMonk, technology is revolutionising the healthcare industry, and the pace of change is astounding with new products and services being announced daily.

We were recently given a demonstration of two products currently being developed by SAP (Genomic Analyzer, and Medical Insights), and they are very impressive products.

The Genomic Analyzer (pictured above) can take large numbers of genomes and interrogate them for various traits. This may sound trivial, but this is a serious Big Data problem. In a talk at SAPs Sapphirenow conference in June, Stanfords Carlos Bustamante outlined the scale of the issue when he noted that in sample size of 2534 genomes takes up 1.2tb of RAM and consists of over 20bn records.

The industry standard for storing genomic data is in a variant call format (VCF) text file. This is then interrogated using either open source or some specialised commercial software analyse the genomic data. Researchers frequently have to write their own scripts to parse the data, and the parsing takes a considerable amount of time.

SAP's Genomic Analyzer results

On the other hand, SAPs Genomic Analyzer, because it is based on SAPs in-memory database technology, can take record sets of 2,500 genomes in its stride returning multi-variant results in seconds. This will allow previously impossible tests to be run on genomic datasets, which opens up the potential for disease biomarker identification, population genetics studies, and personalised medicine.

SAP are actively looking for research partners to work with them on the development of the Genomic Analyzer. Partners would typically be research institutions, and they would receive login access to the analyzer (it is cloud delivered), and the ability to create and run as many query sets as they wish.

SAPs Medical Insights application again takes advantage of SAPs Hana in-memory database to take in the vast swathes of medical data which would typically be housed in siloed data warehouses (EMRs, scans, pathology reports, chemo info, radio info, biobank system, and so on). It can be used to quickly identify patients suitable for drug trials, for example or to surface new research when relevant to patients.

The medical Insights solution is currently being developed as part of a co-innovation project with a large cancer institute in Germany, but will ultimately be applicable to any hospital or medical institution with large disparate data banks it needs to consolidate and query.

SAP are far from alone in this field. As well as developing innovative medical applications themselves, many in their Startup Focus program are also furiously innovating in this field, as previously noted.

Outside of the SAP ecosystem, IBMs Watson cognitive computing engine is also tackling important healthcare issues. And like SAP, IBM have turned Watson onto a platform, opening it up to external developers, crowdsourcing the innovation, to see what they will develop.

The main difference between IBMs cognitive computing approach, and SAPs Hana in-memory database is that Watson analyses and interprets the results on behalf of the researchers, whereas Hana delivers just the data, leaving the evaluation in the hands of the doctors.

And news out today shows that Google is launching its Google X project, Baseline Study so as not to be left out of the running in this space.

Theres still a lot of work to be done, but the advances these technologies are starting to unlock with change the healthcare industry irreversibly for the good.

http://marketplace.saphana.com/Industries/Life-Sciences/SAP-Genomic-Analyzer/p/3324#description-sectionhttp://marketplace.saphana.com/medias/SAP-Genomic-Analyzer-Solution-Brief?context=bWFzdGVyfHJvb3R8MjMyNTA0fGFwcGxpY2F0aW9uL3BkZnxoY2UvaDYyLzg3OTg2MjA2MTQ2ODYucGRmfGZkOWZiNDZlMzIwMjhkYTZlZDY0ZmM3MjdjOGUzMDA3YTVlMjg0NDg3NzZhZjZhZjgxYTJhMTE3MTRiNDQzMzg

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SAP Foundation for HealthDiagnosisTumor stagePathol. ReportGenomic markersRadiotherapyTissue sample

PatientTimelinePubMed biomedical article database25+ Mil. articlesClinical trialsCurrently more than 30,000 recruiting on ClinicalTrials.govCancer patient records160,000 at NCT HeidelbergClinical information management systemsOften more than 50 GBHuman proteome160 Mil. data points (2.4 GB) per sample7.6 TB raw proteome data on ProteomicsDB.orgPrescription data1.5 Bil. records from 10,000 doctors and 10 Mil. Patients (100 GB)Human genome/biological data800 MB per full genome15 PB+ in databases of leading institutesMedical imaging dataScan of a single organ in 1s creates 10GB of raw data

2016 SAP SE or an SAP affiliate company. All rights reserved.#Internalhttps://www.mskcc.org/blog/new-tumor-sequencing-test-will-bring-personalized-treatment-options-more-patients

http://genomemag.com/how-personalized-medicine-is-changing-breast-cancer/ herceptin

There are so many new and big data sources that the next challenge is: how can we make smart data out of big data. All these data are in different data formats, reside in disparate sources, hidden in systems and protected by organizational and legislative boundaries. And dont get me wrong.. .Data security is a very important topic but we need to find ways and measures to make data with the informed consent of the patient accessible. And its absolutely key that the patient or consumer gets all of his data and can decide who can access to which data.

Lets have a look at the data that we are actually dealing with: The Human genome data but this is not all. The human genome itself is 3 billion basepairs (800Mb) but associated with each basepair (and especially to the mutation of such a basepair) is a huge amount of information: genomics-related (=omics) data. This can run into Terrabytes as s we see in the case of Michael Snyder, head of genetics at Stanford University (Topol, page 88). Then we have presciption data, imaging data, clinical trial data and so on. And this should all be attached to the patient.The patient has a timeline or history. If admitted to a hospital, the patient must check in, all the relevant data must be captured, then there is a diagnosis, in the case of cancer there is a tumor stage, several reports from the pathology, and so on. During the stay in the hospital and the engagement with the doctor the data accumulates and changes and is stored in different systems. All the data is stored in different systems that are mostly not talking to each other and that contain structured and unstructured data like doctor letters or notes which so far simply cant be analyzed. You would have to go to the archive and work yourself through heaps of paper to get all the required data. Or you would need to go to your IT department to get the data compiled. This can take weeks which costs you valuable time for research as about 80% of the data in hospitals are in unstructured format. A lot of researchs stucks or never gets done (as in the case of extensive hypothesis testing) since the data are simply not available. If a researcher needs to wait for weeks until he gets the data he might not test so many hypothesis as he would have liked. At least this is the experience from some of research hospitals that SAP is working with.

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$4.48 billion revenue40K employees> 8M patients/year


Mercy Health

Mercy one of US Most Wired for 12th Year in a row!

2016 SAP SE or an SAP affiliate company. All rights reserved.#InternalNo SAP! Weve cutYouTube: Faith-based organization any margin go straight back into the business helping those who cant afford it. Big enough to make a difference, small enough to get things done. 40,000 co-workers. When find something, offer it to others

$2 million out of our annual budget, just on redundant supplies or using perhaps more supplies than they needed or putting the same sort of hip that you would put into anNFL linebacker into an 85 year old. Right? They just dont need the same sort of stress.

The example I can think of is an auto transfusion device. We looked at physicians who are using it in the operating room and those who werent and we found that their outcomes were the same and so weve cut that cost out for the patients that its appropriate for. Thats less complications, less costs, all sorts of good things by doing that.

By the Numbers(Fiscal Year 2013):

Acute Care Hospitals: 35Specialty Hospitals: 11 (includes heart, children's, rehab and orthopedic facilities)Clinic and Outpatient Facilities: 700Service Area: Arkansas, Kansas, Missouri, OklahomaOutreach Ministries: Louisiana, Mississippi, TexasFifth largest Catholic health care system in the U.S.Twentieth largest non-profit health care system in the U.S. Co-workers: 40,000Acute Licensed Beds: 4,231Mercy Clinic Physicians: over 2,100Acute Inpatient Discharges: 158,768Surgeries (Inpatient and Outpatient): 150,595Emergency Visits: 650,702Births: 22,486Outpatient Visits: 8,361,683Operating Revenue: $4.48 billionAssets: $5.8 billionTraditional Charity Care: $116.6 millionUnreimbursed Medicaid: $62.3 millionOther Community Benefits: $40.6 million

https://ideas.sap.com/D26088

Company/Objectives

Since its creation in 1986, Mercy has grown into the fifth largest Catholic health care system in the U.S., serving millions annually. Mercy includes 35 acute care hospitals, four heart hospitals, two childrens hospitals, three rehab hospitals and two orthopedic hospitals, nearly 700 clinic and outpatient facilities, It has 40,000 employees and more than 2,000 physicians in Arkansas, Kansas, Missouri and Oklahoma. Mercy also has outreach ministries in Louisiana, Mississippi and Texas. Few industries are undergoing more change than healthcarefrom innovative new treatments and advanced medical equipment to baby boomers hitting their 60s and a new health insurance landscape. Technology is also beginning to transform healthcare with the near universal adoption of Electronic Health Records (EHR) and Health Information Exchanges. The explosion of medical and health-related data provides the opportunity to create new models of care on many levels. However, turning much of this data into actionable information has been more dream than reality due to legacy infrastructure constraints. Mercy Health and SAP both saw the possibilities in overcoming these barriers and decided to work together to determine if the SAP HANA platform could enable a data-driven approach to innovation in healthcare. Objective/Problem

Mercy believed that delivering evidence-based and personalized medicine was crucial to improving care. To do this, they would have to fully leverage not only their data, but external data as well. They identified two priority test cases. First, they wanted to become a leader in oncology and, especially, breast cancer treatment in the markets they serve. They believed that by benchmarking their offering, they could both establish where they were strong and where they could improve. One of the goals was to become an acknowledged leader and thereby become a destination that large payers in their markets recommend to their employees for treating certain diseases. Mercy also wanted to benchmark their diabetes practice since so many Americans suffer from this disease. Unlike cancer, diabetes is most often treated by the primary care physician and usually involves lifestyle, diet and other recommendations. These recommendations are captured in the doctors notes (unstructured data) and so were difficult to measure with their existing systems. Mercy ran their full EHR program on the EPIC platform. While their data warehouse included 9 years of data and they were using Business Objects for analytics, it was challenging to get full value from the data. It was a fairly static system with pre-built reports that were not flexible and didnt allow for easy access. In fact, special reports could take months to deliver. And unstructured data could not be easily analyzed.

Solution

The first step for SAP and Mercy was to convene a design thinking session with key stakeholders to explore how a modern, high performance data platform could transform the way healthcare is delivered and measured at Mercy. The focus was on both the short-term opportunities, such as cancer and diabetes treatment, and on longer terms initiatives. While it took several months to get the paperwork completed for this joint project, building the POC took only six weeks. All 9 years of EPIC data (9 billion records), along with external data from sources such as the Cancer Registry, IPD (claims data), and Census were included in the SAP HANA build.Robust statistical and modeling capabilities were part of the POC, with SAP HANA Predictive Analytics Library, KXEN, and R Server deployed. This allowed data scientists to start building the models that would provide some of the insight the company was looking for. Mercy also added SAP Lumira to its analytics platform, which provides beautiful dashboards and allows for iterative and granular queries of all data. Transformation

The POC established that the SAP HANA platform could provide access to all of Mercys datastructured, unstructured, publicso that the organization had a single, comprehensive view of its operational and patient data. And the information and insight is available in real-time. They can query all 9 years (1.5 TB compressed in HANA) of EPIC data and get a response in less than a second. And with the ability to easily review data at a granular level, Mercy 7,000 Business Objects users can get to the answers they need. Or as a project team member said It is mind-blowing how versatile and nimble our data warehouse is on SAP HANA. With these new capabilities, Mercy is in a position look at their operations in an entirely new way. From benchmarking current practices in Cancer and Diabetes to identifying issues that negatively or positively affect care for specific groups. For example, with breast cancer an important factor in care is minimizing the time between biopsy and surgery. Mercy has built a model to identify the causes for delays in this area. And with the ability to analyze physicians notes as part of the care regimen for diabetes patients, will allow Mercy to benchmark their performance against best practices. Maybe the biggest long-term benefit will be the ability to establish care paths using evidence-based medicine. With real-time access to all the data, Mercy can create and monitor cohorts of similar patients and establish the best treatment protocol for that group. The can also review how personalized cohorts are faring in different Mercy locations. Mercy is also building models to identify patients with a higher likelihood of being diagnosed with certain diseases, to enable preventative medicine for diabetes or earlier diagnosis of cancer. Human impact of SAP HANA

As a healthcare company, Mercys primary focus is on patient outcomes. Nearly all the improvements and insights that accompany the use of the SAP HANA platform will contribute to better patient care. The ability to use evidence-based medicine to create personalized care paths and predictive models to strengthen preventative medicine will be particularly important.

Mercy doctors will also benefit from greater knowledge about their patients and having treatment more personalized care paths for them.

Business or social value solution delivered

The ability to benchmark specific practices (e.g. breast cancer) against other health systems.Development of care paths will provide personalized medicine and better outcomes.Identifies gaps in care and improves patient population health management.

Technical Impact

Sub-second response times to queries on 9 years of data. Text analysis capabilities for reading doctor notes.Rapid turnaround (brought in new technology and built out system in ~ 6 weeks (including Thanksgiving).

Link to blog

http://scn.sap.com/community/hana-in-memory/use-cases/blog/2015/04/05/mercy-uses-hana-for-disease-state-management

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It is mind-blowing how versatile and nimble our data warehouse is on SAP HANA.Agile self-service with SAP HANA and SAP Lumira. 9 years of data, structured & unstructured



2016 SAP SE or an SAP affiliate company. All rights reserved.#InternalMercy Hospital diabetes predictions22

Connected Care Systems For Diabetes

Roche Diagnostics

Roche Diagnostics uses the SAP HANA Cloud Platform and an app designed by SAP for its personalized, preventative medicine solution for diabetes sufferers

2016 SAP SE or an SAP affiliate company. All rights reserved.#InternalThere are 52 million Europeans living with diabetes, and its estimate to cause one death every seven seconds worldwide.

In 2014, diabetes took 4.9 million lives worldwide. Thats one death every seven seconds.

Type 2 diabetes can be managed and even reversed with increased exercise and a conscience diet. Weve partnered with Roche to create a new preventative care package.

The bundle, calledAccu-ChekView, includes a blood glucose monitor, a wearable fitness tracker, and an app developed by SAP that are all integrated together.

With the new app, the patient can monitor glucose levels at home and transmit the information to the doctors office via the app.

All data transferred is securely stored and processed via the SAP HANA Cloud Platform.

Doctors can monitor the patients vital signs and blood sugar levels in real-time, and they can communicate without having to go to the doctors office. Any slips in lifestyle can be caught quickly, and the doctor and patient can work on solutions together

Photo: still from SAP Video https://www.youtube.com/watch?t=73&v=5uBopSYtfIc

http://scn.sap.com/community/business-trends/blog/2015/04/27/roche-diagnostics-prevents-diabetes-with-connected-care

Roche Diagnostics Prevents Diabetes with Connected Care

In 2014, diabetes took 4.9 million lives worldwide. Thats one death every seven seconds. November 14 is World Diabetes Day, a 24 hour block dedicated to raising awareness for this disease, however, fundraising lasts yearlong. Soon the Tour De Cure, a series of fundraising cycling events, will take place in the United States. SAP has two teams participatingone on each coast. If you want to support this great cause and have some fun, check out the Tour De Cure website and look for a team in your area. A Worldwide Concern

Infographic diabetes.PNGThis infographic by idf.org outlines the impact of diabetes by continent. The complete chart shows that 52 million Europeans are living with diabetes. In Germany alone, there are 6 to 8 million documented cases and the number is projected to grow.

Type 1 and Type 2

Diabetes occurs in two different types: 1 and 2, and they are both equally as deadly. In type 1 diabetes, the bodys immune system attacks the insulin-producing cells in the pancreas. Without insulin to normalize blood sugars, the body can suffer in many ways including damaged eyes, kidneys, nerves, and heart disease (diabetesresearch.org). Type 2 occurs when a body fails to use insulin properly, usually triggered by an unhealthy lifestyle. At first, the pancreas over produces insulin to regulate blood glucose levels, but over time, the pancreas exhausts, and without lifestyle changes, oral medications, and insulin, type 2 diabetes can grow more severe. Type 2 diabetes is a major cause of heart attack and stroke.

New Preventative Connected Care Offering

With increased exercise and a conscience diet, Type 2 diabetes can be managed and even reversed. German-based Roche Diagnostics is dedicated to driving personalized and preventative medicine, and with the severity of diabetes on the forefront of focus, Roche, in partnership with SAP, created new preventative care package. The bundle, called Accu-Chek View, includes a blood glucose monitor, a wearable fitness tracker, and an app developed by SAP that are all integrated together.

With Accu-CheckView, the patient can monitor glucose levels at home and transmit the information to the doctors office via the app. All data transferred is securely stored and processed via the SAP HANA Cloud Platform.

Crafted to Satisfy Doctor and Patient

This app is targeted to meet the individual needs of both patients and doctors. Because the patients vital signs and blood sugar level can be watched in relation to their physical activity level, in real-time, the doctor can monitor the patient remotely, and the patient can communicate with the doctors office. This eliminates unnecessary trips to the physician, saving time and money. In 2014, the global diabetes expenditure reached US $612 billion. In the future, with connected care offerings like Accu-ChekView, this number will hopefully decrease.

In addition, the strengthened patient-doctor relationship created by the app facilitates a supportive and empowering psychological effect on patients. For instance, slip-ups in lifestyle can be caught quickly because the app will red-flag the issue, the doctor can intervene, and the doctor and patient can work on solutions together.

Importance of Healthy Living

Even pre-diabetics can benefit from this preventative care app. By using the app to detect the early signs of diabetes, individuals can make the changes necessary to live a normal life.

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Running Gone Digital

The fitness brands of the future will not just make physical products, but will be embedded in the consumer journey in ways that will help keep people motivated and maximize their enjoyment of sport.

By putting together a digital fitness platform and world class physical products, we can build a new kind of fitness brand


https://medium.com/runkeeper-everyone-every-run/runkeeper-and-asics-are-joining-forces-eae4d7a510c5#.qebpbd7qp

When we look ahead, it seems clear that the fitness brands of the future will not just make physical products, but will be embedded in the consumer journey in ways that will help keep people motivated and maximize their enjoyment of sport. By putting these two pieces together (digital fitness platform and world class physical products), you can build a new kind of fitness brand that has a deeper, more trusted relationship with consumers and can engage with them in a more personalized way.

Runkeeper and ASICS are Joining ForcesI have some big news today! I am proud and excited to announce that Runkeeper has entered into a definitive agreement to be acquired by ASICS Corporation.When we started the company in 2008, it was with a simple mission: to get the whole world running. We saw how the rise of mobile, social networks, and personalization were starting to impact other categories, and we thought these ingredients had huge possibilities when applied towards fitness and health.Fast forward almost 8 years, and weve come a long way. Millions of people use our product as a core component of their fitness journey. And our unique blend of collaborative, supportive, quirky motivation has created a brand that really stands for something beyond just tracking your runs. An amazing community (thats you!) has formed around Runkeeper all over the globe (both the user community and the core RK team). Watching Runkeeper evolve from a mobile app to a fitness movement has been one of my proudest accomplishments.When we look ahead, it seems clear that the fitness brands of the future will not just make physical products, but will be embedded in the consumer journey in ways that will help keep people motivated and maximize their enjoyment of sport. By putting these two pieces together (digital fitness platform and world class physical products), you can build a new kind of fitness brand that has a deeper, more trusted relationship with consumers and can engage with them in a more personalized way.Partnering with ASICS to fulfill this vision together makes a ton of sense. We both have deep roots in and focus on running as a core component of the fitness experience. There is strong alignment between our brands and core values. And from people using our Shoe Tracker feature in the app, we know that ASICS shoes are by far the ones that Runkeeper users run in the most!From the end-user standpoint, not much will change. Not only will the Runkeeper product carry on, but we will be able to move even faster. We will be able to pursue the vision weve set out to pursue all along, with a partner that can bring many resources to bear that we couldnt fathom having access to on our own.I want to thank each member of the Runkeeper team, past and present, who has helped us get to this major milestone. I also want to thank our investors, advisors, and the countless people who have helped us as a company and me personally along the way to navigate the twists and turns of the entrepreneurial journey.And from all of us at Team Runkeeper, we especially want to thank the incredible Runkeeper user community! We are so grateful to be on this journey with you, and so excited to continue on it for many years to come.Happy running!

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Better personalization across different channelsBetter targeting and marketing executionReal-time recommendations

2016 SAP SE or an SAP affiliate company. All rights reserved.#Internal27% uplift in site conversion, 11% uplift in revenue, 10% uplift in transactions

https://www.amaze.com/work/asics-ecommerce/

Breeze app for people who dont run!

Asics runs customer base expansion with Hybris

Apparel company Asics needed to expand its customer base beyond its native Japan, where consumers were aging out of its running, lifestyle and outdoor brands. In 2000, Asics pulled in only 33% of its revenue from outside Japan, according to James Stone, general manager, global enterprise solutions at Kobe, Japan-based Asics, speaking at SAP's 2015 Sapphire conference in Orlando. Stone said Asics' challenge was to create an online and offline strategy for all four brands (the Asics running brand, lifestyle brands Asics Tiger and Onitsuka Tiger and the Haglofs outdoor lifestyle brand), incorporating straight commercial transactions, retail transactions and social transactions.

"Organizationally, we had to learn to do this and build it from scratch, catching up with what our competitors had been doing for 10 years," Stone said. Before 2013, when the sites were launched, consumers could not purchase Asics products from Asics websites. The company needed a stable IT platform that could run its four brands across multiple regions as well as better engage with consumers.

Ultimately, Asics chose SAP's Hybris Commerce Suite (before Hybris was acquired by SAP) and launched its first asics.com website in the U.S. in 2013. That year, 70% of Asics' revenue came from outside Japan, and today Asics runs more than 30 consumer sites on the Hybris platform while keeping its fulfilment and payment processing at the local level, according to Stone. The company met its goals: finding a single marketing execution platform that was reusable and extensible, and that could standardize the way business is conducted across brands while offering the ability to add more regions and brands, he said.

Now, the sports apparel company is integrating data from not only the Hybris Commerce Suite but non-transactional sites like myasics.com, a running community where users post training goals and plans. "By combining multiple data sources, we can have more meaningful transactions with [our customers]. The data from Hybris is allowing us to do that," Stone said, noting that in April, the company had completed its first pilot using Hybris to segment customers based on that aggregated data.

http://searchsap.techtarget.com/news/4500246931/Companies-say-Hybris-is-helping-to-enhance-customer-experience

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2016 SAP SE or an SAP affiliate company. All rights reserved.#InternalAlliander is the largest electricity and gas distributor in the Netherlands with over three million customers.

They are using the latest connected technologies to prepare for what they call the third industrial revolution

Renewable energy is becoming incredibly important. It has the cheapest marginal cost, but its also hard to store and manage. And it's turning electric grids upside-down, because customers can now turn into suppliers, feeding electricity back into the grid.

This makes it extremely hard to optimize grid use.The only viable option is to be smarter, using big data analytics to make sense of all the data available from the grid and smart meters.

And to do that, Alliander turned to an application based on SAP HANA. It takes the billions of rows of sensor grid data, combines it with customer and demographic data, and puts it through a sophisticated predictive model.

Alliander spends half a billion Euros every year in maintenance. Now they can do that more effectively and even a tiny improvement leads to millions of dollars in savings.

They also use things like spacial analysis to ensure that gas pipes close to vulnerable locations houses, schools, and hospitals, are maintained first.

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What Pipes?Type 1Type 2?



2016 SAP SE or an SAP affiliate company. All rights reserved.#InternalThis is the city of Buenos Aires, the capital of Argentina, in 2013. The relentless rain that year flooded thousands of homes, resulting in almost 100 deaths and millions of dollars of damage.

Sadly, this used to be a regular, seasonal occurrence for this city of 3 million people that has an aging infrastructure and nine underground rivers running under it.

The City Government decided to take a more proactive approach.

They have gotten rid of the old paper-based systems and turned to digital, connected technology that allows them to track conditions on the ground.

They installed sensors throughout the water grid, gathering real-time information. And they provided maintenance crews with devices running SAP mobile applications to collect extra data.

All of that information, along with weather info and demographics, is collected to the SAP HANA platform. It lets the city effectively prioritize the use of scarce maintenance resources, highlighting the areas the crews have to clear drains to head off floods.

It also helps the city prioritize the modernization of their underlying infrastructure to avoid flooding in the future.

Since they implemented the project, there have been record rainfalls but no flooding, thanks to the latest digital technologies.

Its a great example of using digital technology not to fix problems, but to ensure they dont happen in the first place.

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Pret A Manger





Live Oak Bank Live Oak has a different business model than any bank Ive ever looked at in my years as an analyst

2015 SAP SE or an SAP affiliate company. All rights reserved.#

2016 SAP SE or an SAP affiliate company. All rights reserved.#InternalLive Oak is modern and growing bank using technology to differentiate itself. Learn how SAP Cloud for Analytics is helping them to improve internal collaboration, find real-time answers and achieve faster decision-making.

Customer story:http://go.sap.com/assetdetail/2015/11/c2be788e-4b7c-0010-82c7-eda71af511fa.html

MODERN BANKING FOR A MODERN ERAAt Live Oak, we consider the revenues minus expenses of the business the cash flow, instead of fixed assets like real estate, to base credit decisions. Our loans are designed to enable you to cover your business expenses, pay yourself, and have more than enough to satisfy the repayment.

Since 2008, Live Oak Bank has been achieving its primary goal: financing small business growth nationwide. Today, Live Oak Bank is one of the top originators of small business loans, with one of the strongest loan portfolios in the country. Since we lend exclusively to small businesses, our focused lending experience is second to none.

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Lufthansa Systems LIDOLufthansa integrateddispatch operations


2016 SAP SE or an SAP affiliate company. All rights reserved.#InternalEveryday Trenitalia manages more than 9,000 trains and each year transports more than half a billion travellers.

Trenitalia is primary train operator in Italy, part of the Ferrovie dello Stato Group, which is owned by the State5,5B Revenue, 400M Operating IncomeAround 30.000 employees60M passenger / year, 40B passenger / km per year, 270M train / km per year

Trenitailia is Italians main train operator, carrying around 2M passengers a day, and covering around 250 million kilometers a year but lots of smaller local competitors. pressure on prices (see slides!)

Train delay, compensations of up to to 50% of the ticket price.

Goal is predictive maintenance, rather than fixed schedule, on time or number of kilometers

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TrenItalia


Luca Cordero di Montezemolo

While Italy has had high-speed trains since the late 1970s, NTV is the country's first rail operator not run by the state. Montezemolo and his consortium of partners, including French state rail company SNCF, have invested 1 billion ($1.2 billion) in NTV, breaking Trenitalia's monopoly.

Aim to take 25% of the market

Ryanair meets Ferrari

Full of innovations e.g. Tunnel-proof wifi... Different levels -- No frills/wide seats/executives....club cab with only 19 seats including two sitting rooms for 4 people, you can book for meetings.cinema cars, etc.

Wasnt used to this, had to change very fast!

have to compete with 15 year old trains and best trains, best marketing, everything new! new train 1000. They bought 25 very new trains from Alstom. now we have the best train in the world

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2016 SAP SE or an SAP affiliate company. All rights reserved.#InternalDynamic Maintenance Management,two drivers: the health indicators and indicators life of all components

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2016 SAP SE or an SAP affiliate company. All rights reserved.#InternalDont lose time for trouble shooting Perform maintenance only if necessary, Perform maintenance only when necessary, Avoid actions that do not add value, Increase safety, Improve logistics, Support the operation control centre

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2016 SAP SE or an SAP affiliate company. All rights reserved.#InternalFrecciarossa 1000

in 2016 we will begin the roll out of several trains, to arrive at the end of 2017-early 2018 to complete the project on 80% of the fleet.

already today all the drivers and the crew, are equipped with mobility tools, approximately 17,000 devices with which he handles the relationship between employees and employer\

heavily used trains, short maintenance windowshe final accounting in real time, or near real time has become especially important on trains that have strong attendance and little time to go to stay in the plant or in the night station.

use of Big Data to support predictive maintenance have 6/7 months ahead

We are already thinking in the three years to reach break even.

As for ROI, one percentage point of improvement in maintenance costs pays widely investments in ICT reduction of maintenance costs of 8 to 10%, out of 1.3bn euros!

Also improve reliability of trains fewer failures, better availability, so more trains for more services, better service to customers

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2016 SAP SE or an SAP affiliate company. All rights reserved.#Internallarge amounts of data more than 700 TB/Year!

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2016 SAP SE or an SAP affiliate company. All rights reserved.#InternalExample diagnostic events analysis Lumira!44

Health indicators across fleet


2016 SAP SE or an SAP affiliate company. All rights reserved.#InternalRevenues and invoicing from rail traffic and additional services, have been managed till now by a custom system (SiReV) that can no longer meet the customer needs in terms of performance, flexibility and maintenance costs.

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New Business Models@timoelliott

2016 SAP SE or an SAP affiliate company. All rights reserved.#InternalSTILL fork lift trucks

STILLs new innovation is transforming businesses in many ways: Predictive Maintenance: The SAP HANA Cloud Platform for the Internet of Things behind CubeXX provide insight into when a machine will need maintenance, helping employees service and fix machines before they break. The entire vehicle fleet can be mapped, including the current real-time status of each vehicle, operating hours, availability, and fleet capacity utilization.

Adaptive logistics: In addition to changing form depending on inventory, CubeXX determines the appropriate vehicle level and fleet number necessary for each inventory project, proving more nimble and agile than the age old forklift. When a transport order is sent to the fleet, the vehicles communicate with each other and reassign the transport order amongst themselves in order to increase efficiency in the active fleet. In the future, when this scenario is implemented, the transport of inventory in warehouses will be seamlessly executed with little to no manual human labor.

Business model Optimization: STILL now has the option to not only sell forklifts as a product, but instead as a service offering, allowing the customer to pay per move and optimize the way warehouses are managed. CubeXX can execute larger orders with a smaller fleet saving time and money.47

2016 SAP SE or an SAP affiliate company. All rights reserved.#InternalCirque du Soleil brings joy to over 12 million people every a year they sell more tickets than all the Broadway shows combined.They have nine shows touring the world and nine resident shows in Las Vegas.

Cirque is powered by SAP the 4,000 staff with 50 different nationalities get all the information they need to do their jobs using SuccessFactors. When an athlete loses his passport in Kiev, and needs to be in Paris for the next day's show. Or the artist in Japan who has ripped her costume and urgently needs a replacement that has to be a perfect fit to avoid injuries, and so must to be designed by specialists in Montreal and made in a workshop in Quebec. And the costume has to have all the right Chinese paperwork to speed it through customs in time for the Shanghai show next week.

many of them in the air or performing in a show right now.

They have to make 18,000 costumes and items produced every year in a dozen different manufacturing plants across Canada, sourced from over 16,000suppliers across the globe. And the variety! They buy Yak hair, feathers, rubber ducks and enough buttons that if they were stacked on top of each other they would be higher than the Empire State Building in New York.

This is footage from the latest Cirque du Soleil48

Digital TransformationBalance the needs of today with a vision of the future

NewCustomer Experiences

New Value Creation Models

New Business Models

2016 SAP SE or an SAP affiliate company. All rights reserved.#InternalDigital Transformation: Separating Reality from the HypeSep 14, 20156,268 views497 Likes35 CommentsShare on LinkedInShare on FacebookShare on TwitterDigital transformation is a term that has clearly taken its place in the current business lexicon. But what does it really mean? Does it represent the latest zeitgeist or a true opportunity? Is it nothing more than a way for consultants and vendors to sell more of their wares?

Like many catchphrases, digital transformation can mean many things to many people. So what makes for a true digital transformation? I believe every successful digital transformation has the following three elements:

A new customer experienceMost companies want to deliver an incredible customer experience and Ive previously described five steps to turn customer experience aspirations into reality. While these steps will improve an existing customer experience, a digital transformation involves an extreme makeover of the experience or, more likely, a new experience entirely. For example, the ability to download an album instead of buying it in a store was certainly a new experience for music consumers. Music became more portable and more shareable. Over time, the experience changed even more as it became possible to purchase individual songs, instead of entire albums. Songs quickly replaced albums as the backbone of the music industry.A new business modelOver the last two decades, companies have invested heavily in optimizing their existing business processes, resulting in substantial productivity improvements. In the digital economy, existing business models are subject to rapid displacement, disruption, and, in extreme cases, outright destruction. To continue with the music example, recently there has been a successful business model shift from owning music to renting it with the accompanying change in pricing from per transaction to a monthly fee. This change is so significant that it encouraged Apple the previous winner of experience in the music industry to follow suit.A new value creation modelThe traditional R&D process attempts to develop and launch products with minimal cost and time to market while meeting perceived customer requirements. In a very real sense, it ignores the interests of all stakeholders except the organization and its customers. Co-creation, on the other hand, focuses on the interests of all stakeholders (suppliers, distributors, employees, the general public) and how they interact with one another. In doing so, the emphasis is to maximize the size of the overall market for the ecosystem at large, not just the share of value captured by the organization. In the music industry, co-creation is rare; people are creating their own playlist and radio stations but they are not capturing economic value.Many organizations have made progress on one or two of these elements but few have embraced all three. To give a sense of what a true digital transformation looks like, consider Airbnb:

New customer experience? People are staying at a persons home, not a hotel. Guests often develop a personal relationship with their hosts, gain insight into things to do and see from a locals perspective, and enjoy amenities completely different from those in traditional commercial lodging.New business model? This is a peer-to-peer model in which consumers are using the Airbnb Web site to rent accommodations from local hosts. The service is free to consumers and Airbnb realizes revenue through a commission from the hosts. The company itself is lean, as most of the tasks required by a traditional hospitality company are covered by the hosts, and it achieves scale by matching more guests with hosts, not just by adding more inventory.New value creation model? Business travelers have traditionally chosen hotels based on brand affinity; vacation travelers based on price and location. In the Airbnb model, the hosts must create their own unique value proposition which may include the in-room experience, nearby merchants, and even the personalities of the other occupants. With the addition of the Wish List functionality, guests help create these value propositions by curating their favorite or aspirational destinations and sharing them with others.Airbnb follows all the elements and, in my opinion, is a good example of true digital transformation in the hospitality industry.

In subsequent articles, Ill look at other industries for successful digital transformations and challenge widely-held examples of digital transformation. Stay tuned.

Follow me on Twitter and subscribe to my personal blog, Manage by Walking Around.

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Thank [email protected]

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2015 SAP SE or an SAP affiliate company. All rights reserved.

2016 SAP SE or an SAP affiliate company. All rights reserved.#Internal50

Enabling Digital Business in an Age of Disruption

Technology

Transcript of Enabling Digital Business in an Age of Disruption