These are the slides from Avaya CEO Kevin Kennedy's keynote presentation at Avaya Evolutions Mexico City. June 12, 2012.

1. Innovation in Today’s Companies
President and CEO, Avaya Inc.
Kevin J. Kennedy

2. Context

3. Context
Context: Clarity of purpose matters

4. Not to Be Forgotten
Context: Our mission is unforgettable, serving enterprises
in the course of the essential and aspirational
NYC 311
► Response Agent: ~300
► Typical day: 55,000 calls/day
► During Hurricane Sandy: 250-300K calls/day
MTA
► 18 Radvision Scopia® virtual desktop war rooms
set up for executive staff at the MTA
► +1,000 hours of usage were logged in 3 days

5. From around the World
Top of Mind
Opportunity: Enable customers to
navigate important industry transitions
Industry Initiatives Consumer Momentum
Next Wave
Productivity
SIP, Video
Enterprise:
Purpose Driven
Software Delivered
Consumerization
of Enterprise
BYOD, Mobile
Consumer
On-Ramp/Off-Ramp
Scale, Channels, Analytics
Application
Driven Network
Security & Integration
Virtualization
Cloud

6. WebRTC
Emerging Forces in Communications
SIP
1. Four forces
2. Markets will grow and
overlap
3. Proprietary will yield to
open over time
4. Middleware will enable
coherence and support
5. WebRTC:
On-ramp / Off-ramp
Application
Expressed
Communication
(Publish / Subscribe,
FaceBook)
Communication
Infrastructure
(Real time, switches,
store / forward)
Communication
Application
(Twitter)
Communication-
Enabled Business
Process (CEBP)
(SFDC, Oracle, SAP
integration)
Unified multi-channel communications via middleware

7. Operational Challenges
Risk
Complexity & Productivity
Capability
Value
Extensibility and Speed
► Proprietary divides
► Choices & dilemmas
► Integrations (vendor & generational)
► Interoperability
► Administrative burden
► Confluence of dependency
► Duration
► Surprise of aging assets
Hierarchy of PursuitComplexity of Transition
Includes but not limited to . . .

8. Avaya’s Opportunity

9. Avaya’s Opportunity
A software company focused on
customer support and clear product stack differentiation

10. Avaya’s Focus
Maintenance
and Managed
Services
NetworkingInfrastructure
Contact
Center
Clients and
Devices

11. Avaya’s Focus
To be the preferred provider of
open mobile enterprise collaboration platforms

12. Enterprise Collaboration Platforms

13. ► Operations Services
► Advanced Diagnostics & Methods
► Tools and Probes
► Expertise and Published Solutions
► Software Support Services
► Professional Services
Enterprise Collaboration Platforms

14. InteropNet 2013: Unbreakable! Avaya Fabric Connect Delivers on All Fronts“ ”
Four system engineers completed the network installation in three days –
1/10 the resources of previous events . . .
“
”
► Access Control / BYOD
► End-to-End Multi-tenant Virtualization
► Resilient SPB
► Application Configured Networks
► Ethernet Switching & Routing
► Wireless Networks
Enterprise Collaboration Platforms

15. ► Low Bandwidth / High Definition Video Collaboration
► Unified Communications
► BYOD-enabled Collaboration and Mobility
► Session-enabled / Scaling
► Open stack
► Unified Integration / Collaboration Environment
Enterprise Collaboration Platforms

16. ► WAN Optimization
► Video / Multi-Channel
► Performance Management
► Experience Management (assist & automate)
► Contact Center Awareness
► Analytics
Enterprise Collaboration Platforms

17. Enterprise Collaboration Platforms
► Mobile clients, desktop devices
► Video and conferencing
► Communication and messaging

18. Helping Customers Meet the Challenges
Solutions
• Innovation momentum
• Roadmaps for both legacy and new
products
• Complexity reduction
‒ Pricing, license portability
Investment Flexibility
• CapEx to OpEx trend
• Virtualization
• Cloud models
Video
• Fully scalable, low bandwidth, HD
• Lower TCO
• Multi-channel collaboration experience
• Microsoft Lync® client
Leadership and Organization
• Single sales / go-to-market organization
• Video – integration & specialists
• New Collaboration organization
‒ Reflects technology evolution
• New CIO
Client Experience: Services
• Managed Services
• Support Services
• Web adoption
• Ease of doing business
Small and Medium Enterprise
• Significant TCO benefits on IP Office
• Affordable Radvision Scopia®---- solutions
• Legacy and new technology bridging

19. Business Drivers
Transformation of Customer Care
Why Is Customer Care Important for Business Performance?
Business Performance Satisfaction Metrics
Service Delivery Performance Productivity and Automation
Gross Margin Key Cost Drivers
Online chats
resolved in <1 hour
New knowledge
articles / month
Views of
instructional videos
4.3
points
Backlog
Time to Ticket
Resolution
56% 17%
Restored
in 2 Hours
(ER)
25%
CSAT 14%
NPS 38% Employee
Engagement
12%
Top
Performer
Retention
97.9%
Attrition
18%
<10%
Phone
volume
Electronic
Solutions
34%
28%
83%
1,600
179K
27%
1 Avaya Certified Specialist gross margin comparison – Q2 2012 vs. Q1 2013

20. New Tools for Customer Support
New Approach
to Support
► Vision: Agents work on
new problems only
► Single Web Portal
handles all customer
issues via chat
, avatar, voice, video – all
available through the
website
► Total service outages and
immediate escalation of
issues enabled through
web buttons for fast agent
access
Web talk & web video
Immediate publishing
of known solutions
Better, Faster and More Intuitive Support Options for Customers
Online multimedia
knowledge base
Ava, live chat with
live agents

21. • Standalone, aging (key system)
telephony infrastructure
• In-person “face to face” meetings
• Long decision-making time
• Costly travel, administrative and
phone expenses
• Decentralized contact center
operations
• Inconsistent customer service
• Business expansion
• New competitors
Before

22. After
Cost Savings
• 20% lower in travel cost
Productivity
• +10% in productivity
• Faster decision making time
• Enable mobile workers
• Video solutions
Simplification / Relevance
• New, centralized call center system
• Consistent customer experience
• Opportunity to up sell
• Personalized care staff attention
• Expansion in days, not months

23. • Existing strong partnership with
customer’s contact center team
• Enterprise division targets cost
reduction in operational and
support by 40%
• Maintain high level of customer
service and operational
efficiency
• Complex multi-vendor
environment
Before
Contact Center
52K
UC Ports
15K
CC Agents
16
Servers 33
Sites
Managed Services
Wireless Provider

24. After
Cost Savings
• No large upfront payment
• +15% immediate savings
• +18% overall 3-year TCO
improvement
Productivity
• Free up customer resources for
critical projects
Simplification / Relevance
• Same Avaya Management
Services team
• Multi-vendor support
• Additional value-added services
+ EnterpriseContact Center
160K
UC Ports
47K
CC Agents
82
Servers
4.5K
Conf. Bridge
Ports
145
Sites
Managed Services
Wireless Provider

25. • Long decision time
• Confined to room-based video
communication
• Struggle with vendor
equipment, support and the lack
of features
• Limited video collaboration
• Significant time and money
spent on travel-related meetings
Before
HD Video Conferencing
Large Retail Chain

26. After
Productivity
• Decision time cuts down to 5 min
• Ease of use – Video use from 3
per quarter to “through the roof”
• ROI on travel savings
Reach
• Internal – Interviews, company-
wide meetings, team collaborations
• External – Sales, marketing,
product development,
CEO mentorship program
Simplification / Relevance
• Better equipment and support
• Mobile / BYOD
• Personalized experience
HD Video Conferencing
Large Retail Chain

27. Avaya, a Trusted Network Partner to
Bring the World Together
Olympic Teams
80
Reporters and Media
3K
Volunteers
25K
TV Viewers
3 Billion
Live Spectators
Millions
Internet Customers
Billions
Olympic Athletes
5.5K
Officials and Scorekeepers
Thousands
MobileNetworking Video
The official converged network equipment supplier
for the Sochi 2014 Olympic Winter Games
2010
Games
Network
"Firsts"

28. In Closing . . .
“Clarity of purpose matters”
“The Avaya team you meet will evidence a strong sense of purpose”
“We serve enterprises in the course of the essential and aspirational”
“Avaya is harnessing innovation to reduce complexity and
increase the compelling value of collaboration for the mobile enterprise”
“Solutions available today can deliver exceptional value”
“The Avaya team wants to hear from you!”