Dominando o 'Dragão Digital' | Encontro de Cios DTI e Sucesu Minas 27/02/2014

1. Taming the Digital Dragon
The 2014 CIO Agenda
Dave Aron
Graham Waller
This presentation, including any supporting materials, is owned by Gartner, Inc. and/or its affiliates and is for the sole use of the intended Gartner audience or other
authorized recipients. This presentation may contain information that is confidential, proprietary or otherwise legally protected, and it may not be further copied,
distributed or publicly displayed without the express written permission of Gartner, Inc. or its affiliates.
© 2013 Gartner, Inc. and/or its affiliates. All rights reserved.

2. Informed by Gartner's Annual CIO Survey
2,339
From
Representing more than
chief information officers
77 countries
$300
billion of IT spending
150 Gartner analysts and executive partners helped shape
the report
2

3. Percentage of Respondents by Country
Survey Respondents by Geography
EMEA
39%
U.K.: 7%
NA
38%
Nordics: 6%
Benelux: 4%
Italy: 3%
France: 3%
World:
2,339 Respondents
77 Countries
Asia/Pac
17%
U.S.: 34%
Canada: 4%
Germany: 3%
Australia: 5%
Switz.: 2%
Japan: 4%
LA
6%
Africa: 2%
China: 3%
Brazil: 4%
Iberia: 1%
India: 2%
Mexico: 1%
39

4. The Digital Tsunami Is Upon Us
"My business and its IT organization are
being engulfed by a torrent of digital
opportunities. We cannot respond in a
timely fashion, and this threatens the
success of the business and the credibility
of the IT organization."
"The IT organization has the right skills and
capabilities in place to meet upcoming
challenges."
4

10. 3D Printing Defined
Stratasys/Solidscape Example
3D Systems Project Example
Cross-section of bioprinted human liver tissue, 2013 Cool
Vendor Organovo

11. Taming the Digital Dragon: The 2014 CIO
Agenda
1. Welcome to the Third Era of
Enterprise IT
2. Create Powerful Digital Leadership
3. Renovate the Core
4. Build Bimodal Capability
5. Craft Your Digital Legacy
3

12. We Are Entering a Third Era of Enterprise
IT
We are here
IT Craftsmanship
IT Industrialization
Technology
Processes
Business Models
Capabilities
Programming, system
management
IT management, service
management
Digital leadership
Engagement
Isolated, disengaged
internally and externally
Treat colleagues as
customers, unengaged with
external customers
Treat colleagues as partners,
engage external customers
Sporadic automation and
innovation, frequent issues
Services & solutions,
efficiency & effectiveness
Digital business innovation,
new types of value
Focus
Outputs &
Outcomes
Digitalization
6

13. We Need a Three-Part Response to Tame
the Digital Dragon
IT Industrialization
Digitalization
7

14. We Need a Three-Part Response to Tame
the Digital Dragon
Digitalization
IT Industrialization
• Clear digital roles
• Savvy digital executives
• Digital vision & digital legacy
Create
powerful
digital
leadership
7

15. We Need a Three-Part Response to Tame
the Digital Dragon
Digitalization
IT Industrialization
Create
powerful
digital
leadership
• Clear digital roles
• Savvy digital executives
• Digital vision & digital legacy
Renovate
the core of
IT
•
•
•
•
Information
Cloud/Web-scale infrastructure
Talent
Sourcing
7

16. We Need a Three-Part Response to Tame
the Digital Dragon
Digitalization
IT Industrialization
Create
powerful
digital
leadership
• Clear digital roles
• Savvy digital executives
• Digital vision & digital legacy
•
•
•
•
Renovate
the core of
IT
•
•
•
•
Agile development
Multidisciplinary teams
Innovative partnerships
New risk/speed trade-offs
Build bimodal
capability
Information
Cloud/Web-scale infrastructure
Talent
Sourcing
7

17. Taming the Digital Dragon: The 2014 CIO
Agenda
1. Welcome to the Third Era of
Enterprise IT
2. Create Powerful Digital Leadership
3. Renovate the Core
4. Build Bimodal Capability
5. Craft Your Digital Legacy
8

18. 18

19. The Chief Digital Officer Role Is on the
Rise
"If the CEO asks 'Who is in charge of digital?' and gets multiple responses, then there is no digital leadership."
Baron Concors, CIO of Yum Restaurants International, former CIO and CDO of Pizza Hut
Industry
%CDOs
21%
Media
13%
Communications
11%
Services
10%
Banking
9%
Insurance
9%
Retail
5%
Healthcare Providers
5%
Government
5%
Manufacturing & Natural Resources
3%
Wholesale Trade
3%
Education
4%
Transportation
1%
Utilities
No. Am.:
5%
EMEA: Lat. Am.: Asia/Pac:
6%
7%
11%
Gartner predicts a tripling of the CDO role by 2015.
Myth: The CDO role is not limited to media or information-intensive
industries.
9

20. The Scope of the CDO's Role Is
Broadening, Too
CDO's Team
CDO
9%
23%
15%
27%
26%
CDO is sole
advisor
Small team of
analysts
Resources to
pilot
Substantial
devt.
Develop and
run
CDO's Background
Bus. strategy
20%
Combination
36%
Other
16%
20%
CDO
CDO-CIO Integration
Neutral/
Unclear
7%
Don't know
22%
19%
Marketing
42%
15%
IT
CDO's Reporting Line
CEO CMO CIO Other
3%
CDO
Clear
65%
35%
Mythbuster: The CDO is not, in general, a lone advisor. Most CDOs have
a team.
10

21. A Digitally Savvy CEO Gives You Wings
Growth
Focus
IT
EFFECT.
CIO
POWER
Growth
Focus
USER
SAT.
IT
EFFECT.
BUS.
PERF.
8% of Enterprises Have CEOs Whose
Digital Savvy Is Very Weak
CIO
POWER
USER
SAT.
BUS.
PERF.
7% of Enterprises Have CEOs Whose
Digital Savvy Is Strong
"We believe it's important to embed digital in the role of every key executive."
Willem Eelman, global CIO, Unilever
12

22. Look to Close Digital Talent Gaps
Talent Area
Description
Digital Design
The ability to design compelling customer experiences in a digital
context, including consideration of the capabilities of mobile and
other devices, with a flavor of simplicity rather than complexity
Data Science
The ability to analyze large volumes of data; to mine social,
multimedia and unstructured data; and to conduct near-real-time
data analysis
Digital
Anthropology
The ability to understand how information and technology interact
with human behaviors
Startup/SMB
Management
The ability of larger and more mature organizations to work with
much smaller and less mature organizations for mutual benefit
Agile
Development
The ability to develop solutions in a much more iterative and
collaborative manner
"Digital is different, and I think that less than a quarter of my team is ready and able to make the transition."
Anonymous CIO
25

23. Build Enterprise Digital Savvy From
the C-Suite Down
"[Our leadership] have set it as a goal and objective for everyone in the company to become digitally enabled."
Bill Ruh, vice president of Global Software Center, GE
13

24. Taming the Digital Dragon: The 2014 CIO
Agenda
1. Welcome to the Third Era of
Enterprise IT
2. Create Powerful Digital Leadership
3. Renovate the Core
4. Build Bimodal Capability
5. Craft Your Digital Legacy
14

25. Technology Priorities Represent Two
Complementary Goals
Ranking Based on How Many CIOs Cited Each as
a Top-Three New Spending Priority for 2014
15

26. Renovate the Core
More federated
ERP, multienterprise, cloud
components,
mobile support,
embedded
analytics
Increased
adoption of
public and
private IaaS,
PaaS, SaaS,
BPaaS
Volume/velocity/
variety; inmemory;
advanced
analytics
Hybrid
Cloud
Use of
SMBs/
startups;
new
categories
of partners,
e.g.,
mobile,
design,
analytics
16

27. The Future Still Looks Increasingly
Cloudy
When will more
than half of
your business
run on public*
cloud
infrastructure +
SaaS?
2011: 1,993
respondents; 2014:
2,252 respondents
% of 2011
Survey
Respondents
In 2011 and
2014, 23% said
"Never"
% of 2014
Survey
Respondents
*2011 survey asked
about cloud; in 2014,
specified public cloud
19

28. The CIO Golden Rules for Approaching
Public Cloud
I.
Whatever your plans, test public cloud quickly and safely to dispel
myths; also, elevate executives' and the IT staff's understanding, as well
as the internal dialogue.
II.
Manage internal and external expectations and concerns: Focus on
issues and concerns around performance, control and innovation.
III.
Understand and communicate your primary goal: Is it innovation, agility,
cost or something else?
IV.
Consider public cloud for multiple uses: long-term cost-effective agile
capacity, interim capacity during periods of change, and as a tool to
test.
V.
Plan for a hybrid architecture based on economics, performance/agility
needs and regulatory/security/privacy considerations.
VI.
Don't get stuck with websites only; don't discount mission-critical
systems on the public cloud out of hand.
VII. Ensure that you have the right partner: Focus on reliability,
configurability, granularity of pricing and availability of tools.
VIII. Retain the ability to exit a cloud partnership — gracefully — with your
data intact.
20

29. Sourcing: Time for Change
70%
57%
55%
will change their technology and
sourcing relationships in the next 2 to
3 years for a variety of reasons:
52%
46%
45%
28%
Price/
Service
Price Structure Quality
Flexibility
46%
Ability to
Partner
Innovation
Scale
need to work with new
categories of partners, e.g.:
Cloud
Mobility
Digital Agency
Big Data
Analytics
Social
"IT sourcing
strategies must
be structured to
enhance IT
agility and
address the
needs of digital
businesses.
Organizations
that don't adapt
their strategies,
and the
competencies
required to
execute them
effectively, will
fail to achieve
the value
opportunities
presented by a
highly digitalized
future."
Ian Marriott,
Gartner
Research VP
21

30. CIOs Do Not Feel That the Innovation Will
Come From the Usual Suspects
Which technology company has been most
influential over the past 10 years?
Other
Which will be in the next 10 years?
Gartner annual CIO Survey, 2013; percent of respondents mentioning each brand;
1,305 respondents (last 10 years)/1,255 respondents (next 10 years)
22

31. The CIO Golden Rules for Working With
Smaller Partners
I.
Build a competency center around working with smaller companies;
recognize that it is much more than a procurement exercise.
II.
Consider a broad range of partners: startups, incubators, universities,
crowdsourcing, local SMBs, citizen development.
III.
Design the relationship for win-win: Don't try to push smaller companies
into accepting the minimum price/maximum delivery — they might say
yes because they want to work with you, but it might kill them.
IV.
Keep the legals light and focused on intellectual property. Don't focus
on the liabilities if they fail.
V.
Expect to put a project management/delivery wrapper around small
partners — let them focus on and bring what they are good at.
VI.
Think about the partner's cash flow as well as its profit; you may need
to adapt your payment processes (lower latency, higher frequency).
VII. Develop the ability to do quick, lightweight audits of potential small
partners. (Neither you nor they can afford to do slow, heavy ones.)
Focus on the people and their capabilities.
VIII. Make every effort not to constrain partners in terms of methodology,
tools or approach. Focus on the outputs.
IX.
Don't try to lock small partners into working only with you. Manage
intellectual property issues in conventional ways.
24

32. Taming the Digital Dragon: The 2014 CIO
Agenda
1. Welcome to the Third Era of
Enterprise IT
2. Create Powerful Digital Leadership
3. Renovate the Core
4. Build Bimodal Capability
5. Craft Your Digital Legacy
26

33. Bimodal IT Offers a Way to Get Unstuck
Agile dev.
Small/
Waterfall
innovative partners
development
Lightweight
Known vendors
Stuck in the middle
"Just good
Strong governance
"Fit for no one" enough" governance
Minimized risk
Managed risk
Technology teams
Multidisciplinary
teams
Traditional Mode
Nonlinear Mode
"The reality is that
you do have
NON LINEAR to
operate at two
needs:
speeds, and some
of that you do by
Absorb disruptive
newcreating dedicated
business
teams for each.
Models
Focusing on the
big Fast to
Reactsystems,
making them run
capture business
smooth,
moments while at
the same time
having disrupters
Flex painlessly to
to innovate,
support innovations
together with
marketing evolve
Explore andand the
customer,
solutions that are
exploiting digital."
surrounded by
Willem Eelman,
uncertainty
global CIO,
Unilever
Myth: The second mode of IT is not only applicable where speed is
needed, it is not only applicable for experiments, and it is not only
applicable for non-mission-critical initiatives.
27

34. Almost Half of CIOs Have Begun the
Bimodal Journey
45%
of CIOs currently have a second fast/
agile mode of operation.
47% operate separate teams.
But most have not
exploited all the
facets of bimodal:
43% partner with small businesses.
8% use crowdsourcing/innovation
marketplaces.
Myth: Nonlinear is not only about software development.
28

35. To Compete in a Digital World, We Need to
Complete Our Bimodal Capability
IT Craftsmanship
CIO
CIO
OOCIO
Functional/
Process Silos
Digitalization
IT Industrialization
CIO CDO
OOCIO CTO
CTO
Run D
Grow/
Change
CTO
Multidisciplinary
Product
Teams
Chief technology officer, acting as chief operating officer of IT
CDO
Run D
P&L
Owners
Chief digital officer, acting as digital change agent
OOCIO Office of the CIO, running IT as a business (strategy, governance, security and risk, etc.)
Run
Grow/
Change
D
Run = every aspect of IT needed to keep the business running
Grow/change = every aspect of IT needed to execute on growth and change
Demand management = internal demand/relationship/account managers
facing off to BUs
29

36. The CIO Golden Rules for Building a
Bimodal IT Organization
I.
Be clear and create principles of what goes into conventional IT, and
what goes into nonlinear. Default criteria: need for speed, need to
innovate, high levels of uncertainty.
II.
Design all components to form a consistent nonlinear environment:
structure, staffing, sourcing, governance, metrics, tools.
III.
Apply lightweight architectural governance to ensure that nonlinear
mode initiatives don't make a mess, but governance shouldn't be too
heavy/slow.
IV.
Provide sufficient focus on the ability to refactor/industrialize nonlinear
mode into conventional mode IT, and to unleash conventional systems
into the nonlinear world when the need arises.
V.
Consider skills and cultural aptitude (e.g., neophilia, tolerance for
risk/uncertainty) in staffing the nonlinear mode organization.
VI.
Be brave about the need for new people/skills/culture in nonlinear; don't
set yourself up for failure with the wrong people.
VII. Don't use placement in the nonlinear mode organization as a reward for
your best staff; they may not be a cultural fit.
VIII. Manage communications so that conventional and nonlinear mode IT
are seen as important and exciting places to work.
IX.
Manage the cultural distance of the nonlinear mode team from the core
of the company — not too near, not too far.
32

37. Taming the Digital Dragon: The 2014 CIO
Agenda
1. Welcome to the Third Era of
Enterprise IT
2. Create Powerful Digital Leadership
3. Renovate the Core
4. Build Bimodal Capability
5. Craft Your Digital Legacy
33

38. In This Time of Transition, CIOs Are
Reflecting on Their Lasting Impact
"I will transform education
from paper-based with
siloed data to digital
information provided in real
time that impacts students,
teachers, parents and
administrators."
"Increased patient
empowerment through
digital health solutions."
"Using digital technologies
to personalize content and
create better engagement
opportunities."
"Enabling a workforce for
the next generation that
sees business for the first
time via a digital lens, and
has the tools to operate
without borders."
"IT generates revenue."
"The people I have trained
and mentored wherever
they may apply
themselves."
"Solutions for our country:
payment system, digital
signature system and
economic solution systems
that our citizens need."
"Cloud infrastructure with
digital services."
"Collaborative digital
leadership."
"IT will be the experts, but
technology will be
everyone's job."
34

39. Craft Your Digital Legacy
35

40. Recommended Gartner Research
Overall/Digital:
 "Hunting and Harvesting in a Digital World: The 2013 CIO Agenda," Mark P. McDonald, Dave Aron (G00248536)
 "Let's Get Digital: A Template for Digital Business Strategy," Dave Aron, Lee Weldon (G00257724)
 "The Gartner Travel Guide to the First Digital Decade," Lee Weldon, Jeffrey R. Cole, Mark P. McDonald,
Stephanie Woerner (G00255443)
 "CEO and Senior Executive Survey 2013: As Uncertainty Recedes, the Digital Future Emerges," Mark Raskino,
Jorge Lopez (G00247308)
Digital Leadership:
 "CEOs and CIOs Must Co-Design the C-Suite for Digital Leadership," Mark Raskino, Dave Aron, Patrick Meehan,
Jennifer S. Beck (G00258536)
 "Does Your Business Need a Chief Digital Officer?" Dave Aron (G00238298)
 "Toolkit: Chief Digital Officer Job Description," Dave Aron, Diane Berry, Lily Mok (G00249735)
 "Early Trends in Recruiting Chief Digital Officers," Ken McGee (G00258352)
 "The Three Types of Digital Business Leader," Dave Aron, Laura McLellan, Yvonne Genovese (G00251979)
Renovate the Core:
 "Develop a Strategic Road Map for Postmodern ERP in 2013 and Beyond," Alexander Drobik, Nigel Rayner
(G00252735)
 "Hybrid Cloud Is Driving the Shift From Control to Coordination," Daryl C. Plummer, David Mitchell Smith
(G00252934)
 "Use Web-Scale IT to Make Enterprise IT Competitive With the Cloud," Cameron Haight, Daryl C. Plummer
(G00250754)
 "Approaching cloud services strategically helps Banco Bilbao Vizcaya Argentaria simplify platforms and processes
while enhancing productivity," Dave Aron, Mark P. McDonald (G00231037)
 "The Art of Innovating by Partnering With Small Companies," Dave Aron, Nick Jones (G00239799)
Bimodal Capability:
 "Innovate Like a Startup: The CIO's Front Office Toolkit," Leigh McMullen, Richard Hunter, Jeffrey R. Cole
(G00254272)
 "Toolkit: Pace-Layered Application Strategy Starter Presentation," Bill Swanton (G00249808)
36

41. Next…
35

42. Taming the Digital Dragon
The 2014 CIO Agenda
OBRIGADO
celso.chapinotte@gartner.com
This presentation, including any supporting materials, is owned by Gartner, Inc. and/or its affiliates and is for the sole use of the intended Gartner audience or other
authorized recipients. This presentation may contain information that is confidential, proprietary or otherwise legally protected, and it may not be further copied,
distributed or publicly displayed without the express written permission of Gartner, Inc. or its affiliates.
© 2013 Gartner, Inc. and/or its affiliates. All rights reserved.