Consumer Habits: Changing ICT Innovations    Consumerization and Transformation of ICT and organizations

1. Consumer Habits:Changing ICT Innovations  Consumerization and Transformation of ICT and organizations By Mark Mueller-Eberstein Mark Mueller-Eberstein CEO of Adgetec Corporation & Bestselling Author Twitter: @MarkMEberstein

2. Getting on the same page…. • Technology is fundamentally changing the games and worlds we know – and its getting simpler to use • Consumers are early and broad adopters • People want to be productive and make positive impact and will use the tools that help them • Knowledge and the power to create knowledge quickly is the power of the future • Some rules we believed as “true” will not be anymore • Size doesn’t matter (much) • Speed and agility are increasing and essential

3. What is “Consumerization”?

4. What is “Consumerization”? When the top executive buys an iPhone… and expects it to work at the office, home, away…

5. When employees use Skype to work mobile, collaborate and stay connected

6. When employees from many functions and levels engage in a dialog with customers And are essential components of the marketing strategies

7. When Presidents talk about IT’s impact on societies • When hundreds of organizations had a secure collaboration platform up and running within hours of the Haiti earthquake • How cellphones are… • …enabling the first banking in Haiti • … allowing people to detect counterfeit drugs in Africa • … connecting refugees throughout the globe • Wireless technology is also going to help in America to control healthcare costs (18 percent of U.S. spending) President Clinton at CITA 2012 Adgetec Confidential

8. When the CIO understand the security limitation of his iPad and still won’t give it up

9. What is “Consumerization”? When President Obama insisted on using his Blackberry

10. Building a consumer brand:The $10 Billion Lesson from “Angry Birds” • Experienced and motivated team (52nd game) • Simplicity in execution and communication • Opportunity Aware • “Good bye distribution channel”… • “Welcome global reach & social networking”

11. ROVIO’s Approach • Total Customer focus—Fans are everything • Beyond Apple • Chrome, Facebook, Windows Phone, Nokia • 100 Million as first target; past 140 Million in September 2011 • Achieved their next goal: 1 Billion Fans • Second brand in preparation • Your market is what you define it to be • Mobile Game developer or Global Entertainment company?

12. Lessons from “Angry Birds” 5. Don’t think big. Think HUGE! Company size doesn’t matter 4. Don’t let teams grow too big or bureaucratic 3. If you have a winning formula, don’t sell out early but build it HUGE 2. Be true to the brand; protect the brand at any cost 1. Work with your fans (customers). Daily. In all functions. On all levels.

13. Knowledge economy? More knowledge has been created in the last 5 years than in the 5,000 years of human history before. And its doubling every 5 years. The Reuters Guide to Good Information Strategy, 2000

14. What computing looked liked... Adgetec Confidential

15. And here the computing power surpassing 1980s mainframes…. Adgetec Confidential

16. Good ole Moore’s law Gordon E. Moore, Intel

17. looks like this today The power in your hand in 10 years… Adgetec Confidential

18. “Change is the law of life. And those who look only to the past or present are certain to miss the future.” John F. Kennedy (1917-63) 35th U.S. president

19. What happened to Mickey Mouse?

20. At least “the big” can control distribution… or not? • Napster and iTunes for music… • App Store (and Bit torrent) for applications… • Amazon for content • eBay, Taobao,etc. for “things”

21. 2012 statistics to keep in mind… • 7 Billion people • 1 Billion PCs • 1.4 Billion TVs • 5.3 Billion mobile phone devices for more than 3 Billion users • Fast adoption: • iPad sold 15 million units in first 7 months and 11 million in the last quarter alone • Android phones captured 40% of smartphone market in 12 months • iPad3 ”new”: 3 million in first days Apple and Samsung make 99% of all profits with Smartphone devices

22. Worldwide advertising in 2011: $588 B 2011: $70 Billion spent on online advertising 2015: Amount will grow to about $140 Billion All other Google $37B Facebook $3.7B

23. Business as usual?

24. Tomorrow will be very different… • The world has changed and will change even faster • Information, collaboration and knowledge sharing across organizational and generational boundaries are essential • ICCT is the enabler and the tool (“AGILITY”) • Success is determined by the people and their capabilities to leverage and adopt • Technical challenges are relatively small and options are plenty • IT capabilities can be procured relatively easily • Organizational and cultural challenges are key obstacles • Flexibility is success factor in the transforming world. • Organizations secure opportunities for their future • Different devices, places, times, people & business requirements Your competitors of tomorrow are racing ahead today.

25. Fundamental changes can happen in weeks, days or even hours • Situation that impacts many • People want information • Social Networks and friends are trusted more than government and traditional media • 30 million Thais on Facebook

26. What is “Consumerization of ICCT”? InformationCommunicationCollaboration Technologies Consumerization of ICCT is the growing tendency for new information technology to emerge first in the consumer market and then spread into business and government organizations.

27. B.Y.O.D. • 76% of large organization in the US • 59% of large organization in Germany • 35% of large organization in Japan

28. Top Concerns • Security • Data loss • Compliance • Personal data • Privacy • End-user support (by IT)

29. Embrace public social networks • Recruiting • Customer DIALOG • Market research • Knowledge sharing • Employee connections • Information sharing Remember: most interesting internal communication is public within minutes anyway

30. NO FEAR: The PlayStation Generation • They are the first to adopt new phenomena and inventions.   • They constantly generate new innovations. • They use their networks to solve problems efficiently and in an innovative manner, provided their interest is piqued. • They are more community-oriented and international than earlier generations. • Thee expect their leaders to be inspiring, responsible and open. • This generation is of vital importance to companies, organizations and leaders.

31. Digital Cowboys are the super stars of the PlayStation Generation • Born after 1985 (1990 in China) • Grew up with the Internet • Are globally connected and willing to move • Access “data” anywhere and anytime • Openly question and test their leaders And more and more older people are behaving like them…

32. Building IT the way Digital Cowboys expect it …. Makes perfect business sense!

33. Lower costs & higher productivity Attract /retain right people -5% -15% Office space Productivity -15% +10% +40% -50% Travel Sick Leave -2% -20% -5% -30% TCO workplace Cost of communication and collaboration +15% -25% +10% -30% *Rotterdam University & Microsoft

34. The impact of consumerization • Simplicity wins • We don’t want “technology” We want stuff to just work • The tools at work have to be as easy as the tools from home—iPads, smartphones, Facebook, Amazon • IT Infrastructure (of organizations and countries) has to support mobile devices, personal PCs and consumer “apps” & experiences …. At any place and any time

35. CIO – What’s do be done? Mobile: Ensure IT Infrastructure supports as secure as necessary the mobile experience (information access and knowledge creation) employees (and execs) demand today and tomorrow Transformation of IT budgets: • From investment into “control technology” to “enablement technologies” • From capital investments to building framework models to enable collaboration and communication Transformation of role to become educator of business function owners on: • Networking and communications • Knowledge creation • Productivity • Security Connectivity anywhere: Seamless and ubiquitous WiFi enablement with enormous bandwidth (Telco and WiFI use same chipsets) Adgetec Confidential

36. What’s next? (from consumer to business) • Capabilities “on Tap” (Cloud / Saas) Digital Cowboys, then Consumers will embrace first • Data “in the cloud” (private or public) Access and networking anywhere with many devices • Powerful devices that sync and “light up” through cloud • Social Media as “authentication” Security and trust through community control Hard to “fake” 500 friends & family And who wants to meet a person with only 10 contacts….? • Location based “experiences” (likely GPS based)Includes networking, data protection policies, advertisement, services,….. • Simplification for end-users and IT management

37. Learning from Consumerization: What should you do? • Simplify • Embrace the change users bring and demand • Optimize infrastructure for manageability and agility • Prioritize capabilities for business needs • Optimize speed over “completeness” • Customize vs. writing code • Data availability by business need and not through limited application use • Stay compliant (but define what it really means) • Assess and implement security for business impact

38. The “consumerized” organization • Takes advantage of innovation & technology • Continuously optimizes & re-invents • Is authentic & trustworthy • Has all levels & functions engaged with the frontline • Is “always on & responsive” • Leverages the best resources for a given task or project • Attracts the best people

39. THANK YOU! • Stay in touch • Contact • MarkME@adgetec.com • Twitter: MarkMEberstein • US +1 855.423.4383