Cisco SMART Services Strategy And Business Value Realization

1. Cisco SMART Services StrategyAnd Business Value Realization Pete Davis June 18, 2013

2. Transforming Business… Starts with Smart • What’s happening in the marketplace • Services in changing the way IT is consumed Smart Services Why you should care? Portfolio review The shift is happening Customer Success Stories Confidential and proprietary information of Ingram Micro Inc. — Do not distribute or duplicate without Ingram Micro's express written permission.

3. Market Trends, Customer Expectations OutcomeBased Consumption Models Customers insisting on business outcome assurance and risk sharing Declining value on systems and services on their own Rapid uptake of flexible consumption models and cloud based delivery Buyers Shifting buying power from IT to business Business outcomes are the priority Systems Leverage Solutions Confidential and proprietary information of Ingram Micro Inc. — Do not distribute or duplicate without Ingram Micro's express written permission. Customers focused on software and services to maximize value of systems Customer preference for integrated solutions driven by need for simplicity

4. Consumption Economics If you’re a tech company, the most dramatic effect of megatrends like cloud computing, managed services, and the rise of consumer technology won’t be felt in your company’s product line. The true disruption will be to your business model. “ ”

5. The Market Is Transitioning With Smart Opportunities Proactive Support Services Reactive Incident-Based Services Proactive Model Relies on awareness capabilities to detect potential problems and analytical capabilities to predict damage before it occurs Reactive Model Responding to problems as they arise, resulting in costly redundancies and overinvestment in constant monitoring  Intellectual Capital  InstrumentationAutomation Analytics Self Support Field Support Remote Support Community “…automated and technology-enabled connectivity and intelligence, to more effectively deliver value…” Harvard Business Review, 2005 “Smart services will become increasingly important to enterprises as more and more business and IT activities move into the cloud and onto the network.” Forrester, 2012

6. Cisco Is On a Journey …and we want Partners to join us Customer & Market Trends Future Vision 3 to 5 years: “The Internet of Everything” Cisco Journey Industry Trends 1 to 3 years SDN/Open Networking Customer Experience Partner Journey Internet of Things (Verticals) Security: Evolving Landscape Data in Motion Now Cisco Campaigns Mobility Cloud

7. Cisco + Partners – Better Together Reduce Cost Increased Services Sales Profits Partner Strategy Leading Practices (Process, Methodology, Tools)  Reduce Risk • Cisco-Branded Resale Services + = Partner Resources Standardized Architectures (Smart Business Architecture) Enabled Partner Services Offers Speed to Market Cisco Services (Cisco Branded Resale, Collaborative Services, Data Collection) Partner Investment  Improved Differentiation Customer Satisfaction

8. What Is a Cisco “Smart” Service? …which is analyzed and compared to …to provide …which collect Services that have + +  Cisco’s Intellectual Capital Automated Software-Enabled Capabilities Network DiagnosticData Actionable Insight CISCO INTELLECTUAL CAPITAL networking innovation leadership 25 50M 90K+ installed devices technical documents 6M annual customer interactions years

9. Cisco Is Strategically Positioned Unique Differentiation Smart Services Support Leadership Analytics + +  80% Automation World’s largest installed base Unparalleled intellectual capital

10. Cisco Services Strategy Evolution Toward a Full Solutions Portfolio Business Outcomes Industry Solutions ASICS  HARDWARE SOFTWARE SERVICES CEO Collaboration Consulting Services VXI VXI TS Smart Services Advanced Services CIO Network Attributes  SecurityQoS PolicyIdentityPresenceDataIntelligenceAnalytics Datacenter IP NGN Borderless Networks IOS ASICs IOS Custom Silicon Technology

11. Smart Services by Market Segments Transformational Customers Service Provider Enterprise, Public Sector Commercial and Small Business Confidential and proprietary information of Ingram Micro Inc. — Do not distribute or duplicate without Ingram Micro's express written permission.

12. Bringing the Best Together Analytics Install Base Smart Services + + Business Relevance Confidential and proprietary information of Ingram Micro Inc. — Do not distribute or duplicate without Ingram Micro's express written permission.

13. Simplifying IT Operations Situation Need to track dynamic network of 2,400 devices (switches, routers, wireless access points) over 3 campuses and numerous labs • Solution • Smart Net Total Care • Simplify contract renewal process • Increase inventory tracking and coverage • Increase awareness of network risks • Result • Significant time and cost savings. SNTC seen as essential to inventory management “We have one place to go to see all of our equipment. We can simplify upgrades, monitor only the alerts that matter to us, and do it in just minutes. What a difference.” David Robertson Network Service Delivery Manager Confidential and proprietary information of Ingram Micro Inc. — Do not distribute or duplicate without Ingram Micro's express written permission.

14. Questions? Confidential and proprietary information of Ingram Micro Inc. — Do not distribute or duplicate without Ingram Micro's express written permission.