balancing value and vision

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© 2011 SAP AG. All rights reserved

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All other product and service names mentioned are the trademarks of their respective companies. Data contained in this document serves informational purposes only. National product specifications may vary.

The information in this document is proprietary to SAP. No part of this document may be reproduced, copied, or transmitted in any form or for any purpose without the express prior written permission of SAP AG.

This document is a preliminary version and not subject to your license agreement or any other agreement with SAP. This document contains only intended strategies, developments, and functionalities of the SAP® product and is not intended to be binding upon SAP to any particular course of business, product strategy, and/or development. Please note that this document is subject to change and may be changed by SAP at any time without notice.

SAP assumes no responsibility for errors or omissions in this document. SAP does not warrant the accuracy or completeness of the information, text, graphics, links, or other items contained within this material. This document is provided without a warranty of any kind, either express or implied, including but not limited to the implied warranties of merchantability, fitness for a particular purpose, or non-infringement.

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Balancing Value & Vision; Organisation

Wide Information Insight

Richard Neale, Head of Business Development

April 05, 2011


Agenda

Closing the Gap Between Strategy and Execution

What is ’Pervasive BI’?

The benefits of pervasive BI

Common barriers to pervasive BI

Technology

Culture and governance

Achieving a pervasive BI strategy


Barrier to Increased Performance:the gap between strategy and execution

Execution

Strategy Strategic Alignment


Connecting Strategy to Execution – The Reality

95% of a typical workforce does

not understand its

organization’s strategy

90% of organizations fail to

execute their strategies

successfully

77% of people say they have

made bad decisions due to

lack of information

Sources: Balanced Scorecard Collaborative / BusinessWeek surveys

90% of employees think they are in the top 10% of performers!


Barrier to Increased Performance

Lack of balance between risk and opportunity

Execution

Strategy

Risks Opportunities

Predictable Performance

Strategic Alignment


Share best practices among

farmers

Trace precisely where the milk

comes from: provides

competitive advantage

Perform trending and peer

comparisons

Proactively Manage Risk

“Challenged to keep up with rapid

growth while competing with billion-

dollar companies, Organic Valley

needed to provide insight to end

users via easy access to

information across a variety of data

sources.”


Barrier to Increased Performance

Lack of visibility through entire cycle

Execution

Risks Opportunities

Strategy

Confident Decisions


Strategic Alignment


Ensure Trusted

Information

Actively

Manage Risk

Create

Enterprise

Visibility

3 Key Actions to Close the gap

Confident Decisions


Strategic Alignment


Forbes Report 2010

The Data Quality Problem

Data-related problems cost the majority of organisations more than $5 million

annually. One-fifth estimate losses in excess of $20 million per year.

95% of organisations agree that strong information management is critical for

business success.

Line-of-business executives and IT frequently disagree about the source of data-

related problems and the potential solutions.

Fragmented data ownership is

the single biggest roadblock to

an enterprise information

management program.


Treating Data Strategically

Companies say that data is strategic

BUT typically

Address it tactically

Address it when initiatives force them to

Traditionally no budget for governance

No Budget = No tools

Great Vision but low effectiveness


Deploy an EIM Strategy to Manage Fragmented

Information

Information Managed in Silos Enterprise Information Management

HR Education

Finance

HR Education

Finance

Enterprise-Wide

Reusable Information

Each department creates and owns

their own data

Data inconsistencies and errors impact

organisational results

Information management rework and

redundancies escalates IT costs

Formal enterprise-wide information

architecture, governance, and reuse

Information asset readily available,

understood, useful and trusted for

all users


Managing Information as an Asset

“One of the top priorities of

senior management during the

next five years is managing

information as a strategic asset.”

Survey from Gartner/Forbes

Pervasive BI


Accelerating Usage

―Of the total potential users that could use BI in your organization, approximately what percentage is currently using BI?


My Definition of Pervasive BI

BI deployed to all levels of the organisation

From Cabinet to front-line staff

BI deployed across the entire organisation

Not just finance but HR, procurement, social services etc.

BI deployed inside and outside the organisation

Huge value sharing information across agencies


Quicker Information, Quicker Decisions

With pervasive BI

More employees are involved in decision making

More departments have easy access to information

Improve time required to gather information and time required to make

decisions


Improve Performance and Drive BI Cost Reduction

Organisations with pervasive BI saw an

average 24% increase in [efficiency]


Business Intelligence Value

Transactional & Infrastructure

Informational

Strategic

Gain major innovation

Provide better information to the organisation

Reduce the cost of doing business and improve IT capabilityDrive

Efficiency

Drive

Effectiveness

BI Value:

High performing

organisations use Analytics

as a key strategy element

5 times more than low

performers*

Companies with the highest

use of BI achieve above-

average Operating Margin

in their industry

Business Intelligence tools

increase productivity by

an average of 25%

Over 80% of companies use

a formal BI organisation to

drive value

Source: Competing on Analytics, Thomas Davenport; ASUG / SAP Benchmarking and Best Practices Survey – Aggregated results are based on 83 total survey submissions


Ease of Use is The #1 Barrier to Deployment

Top Roadblocks to BI Success

Challenge Rank

Complexity of BI tools and interfaces 1

Cost of BI software and per-user licenses 2

Difficulty accessing relevant, timely, or reliable data 3

Insufficient IT staffing or excessive software requirements

for IT support4

Difficulty identifying applications or decisions that can be

supported by BI5

Lack of appropriate BI technical expertise within IT 6

Lack of support from executives or business management 7

Poor planning or management of BI programs 8

Lack of BI technology standards and best practices 9

Lack of training for end users 10

1. Doug Henschen, InformationWeek, ―BI Efforts Take Flight‖, Oct 13, 2008


Feedback from BI Users

“Are your BI applications easy to use?”

Source Forrester: August 2008 Global BI And Data Management Online Survey

Base: 82 IT decision-makers


Major Inhibitors

Skills

Silo Think

Spreadsheets

Sponsorship


Lightening the IT Load

Self-service delivery of BI is key to delivering more with less

BI tools for casual users need to be intuitive, easy to use and easy to manage


Technology Helps!


Key Mobility Trends: 2010 & beyond

Number and type of IP connected devices is dramatically changing

Mobility is driving the “consumerization” of IT

Increasing demand for Increasing demand for enterprise applications

1B smart phones and 1.2B

mobile workers by 20131

Large enterprises expect to

triple their smart phone user

base by 2015

46% of large enterprises

supporting personal owned

devices2

2 billion downloads of 140,000

apps from Apple App Store

20% of mobile workers are

getting business apps from

app stores today

50% of organizations

planning to deploy mobile

apps in 12 months3

1 – IDC Forecast

2 – Forrester Forecast, 2010

3 – Gartner and Forrester Analyst Calls


User Adoption

Segment users by business initiative, profile, and taskSee TDWI white paper: ―Pervasive Business Intelligence: Techniques and Technologies to Deploy BI on an Enterprise Scale‖


BI Strategy is Critical for Success

"The lack of a clear, well developed and articulated BI Strategy along with appropriate executive sponsorship are among the top reasons why BI initiatives do not achieve their potential or fail outright.―

Bill Hostmann, VP Distinguished Analyst, Gartner


IDC‟s Five Factors of Influence

on Pervasive BI


Find out more about pervasive BI in these white papers


Become an Analytics CompetitorEstablish BI strategy and governance

“ Make analytics part of your overreaching competitive strategy […]

You’ll arm your employees with the best evidence and quantitative

tools for making the best decisions—big and small, every day.

Source: Competing on Analytics by Thomas H. Davenport

Endorse the analytics

culture, process, and

skills at the company

leadership level

Prepare to lead and

utilize an analytics-

focused organization

for strategic and

competitive advantage

Establish centralized

leadership/ownership

for analytics across

the organization

Facilitate data sharing

and establish best

practices and

standards

Utilize common

technology and tools

to avoid

inconsistencies and

simplify management

Establish standards

across business

processes

Business Process

systems to generate

relevant business

data

Enterprise systems &

architecture to store

and present data to

support the org. over

3-5 year growth

Champion from the

Top

Establish Central

Ownership

Maintain BI

Standards

Use the Right

Technology


Summary

The benefits of pervasive BI are clear and well

documented

Technology is no longer the barrier it was

Mobile BI may well accelerate usage rapidly in the next 2-3 years

Cultural issues within organisations are preventing us

getting the full benefits of BI and will be holding back

performance

A BI strategy, an „information culture‟ and the right BI

platform are key

Thank You!

Contact information:

Richard Neale

Head of Business Development

[email protected]

+44 7787 154647

@richard_neale


No part of this publication may be reproduced or transmitted in any form or for any purpose without the express permission of SAP AG. The information contained herein may be changed without prior notice.

Some software products marketed by SAP AG and its distributors contain proprietary software components of other software vendors.

Microsoft, Windows, Excel, Outlook, and PowerPoint are registered trademarks of Microsoft Corporation.

IBM, DB2, DB2 Universal Database, System i, System i5, System p, System p5, System x, System z, System z10, System z9, z10, z9, iSeries, pSeries, xSeries, zSeries, eServer, z/VM, z/OS, i5/OS, S/390, OS/390, OS/400, AS/400, S/390 Parallel Enterprise Server, PowerVM, Power Architecture, POWER6+, POWER6, POWER5+, POWER5, POWER, OpenPower, PowerPC, BatchPipes, BladeCenter, System Storage, GPFS, HACMP, RETAIN, DB2 Connect, RACF, Redbooks, OS/2, Parallel Sysplex, MVS/ESA, AIX, Intelligent Miner, WebSphere, Netfinity, Tivoli and Informix are trademarks or registered trademarks of IBM Corporation.

Linux is the registered trademark of Linus Torvalds in the U.S. and other countries.

Adobe, the Adobe logo, Acrobat, PostScript, and Reader are either trademarks or registered trademarks of Adobe Systems Incorporated in the United States and/or other countries.

Oracle is a registered trademark of Oracle Corporation.

UNIX, X/Open, OSF/1, and Motif are registered trademarks of the Open Group.

Citrix, ICA, Program Neighborhood, MetaFrame, WinFrame, VideoFrame, and MultiWin are trademarks or registered trademarks of Citrix Systems, Inc.

HTML, XML, XHTML and W3C are trademarks or registered trademarks of W3C®, World Wide Web Consortium, Massachusetts Institute of Technology.

Java is a registered trademark of Sun Microsystems, Inc.

JavaScript is a registered trademark of Sun Microsystems, Inc., used under license for technology invented and implemented by Netscape.

SAP, R/3, SAP NetWeaver, Duet, PartnerEdge, ByDesign, SAP BusinessObjects Explorer, StreamWork, and other SAP products and services mentioned herein as well as their respective logos are trademarks or registered trademarks of SAP AG in Germany and other countries.

© 2011 SAP AG. All rights reserved

Business Objects and the Business Objects logo, BusinessObjects, Crystal Reports, Crystal Decisions, Web Intelligence, Xcelsius, and other Business Objects products and services mentioned herein as well as their respective logos are trademarks or registered trademarks of Business Objects Software Ltd. Business Objects is an SAP company.

Sybase and Adaptive Server, iAnywhere, Sybase 365, SQL Anywhere, and other Sybase products and services mentioned herein as well as their respective logos are trademarks or registered trademarks of Sybase, Inc. Sybase is an SAP company.

All other product and service names mentioned are the trademarks of their respective companies. Data contained in this document serves informational purposes only. National product specifications may vary.

The information in this document is proprietary to SAP. No part of this document may be reproduced, copied, or transmitted in any form or for any purpose without the express prior written permission of SAP AG.

This document is a preliminary version and not subject to your license agreement or any other agreement with SAP. This document contains only intended strategies, developments, and functionalities of the SAP® product and is not intended to be binding upon SAP to any particular course of business, product strategy, and/or development. Please note that this document is subject to change and may be changed by SAP at any time without notice.

SAP assumes no responsibility for errors or omissions in this document. SAP does not warrant the accuracy or completeness of the information, text, graphics, links, or other items contained within this material. This document is provided without a warranty of any kind, either express or implied, including but not limited to the implied warranties of merchantability, fitness for a particular purpose, or non-infringement.

SAP shall have no liability for damages of any kind including without limitation direct, special, indirect, or consequential damages that may result from the use of these materials. This limitation shall not apply in cases of intent or gross negligence.

The statutory liability for personal injury and defective products is not affected. SAP has no control over the information that you may access through the use of hot links contained in these materials and does not endorse your use of third-party Web pages nor provide any warranty whatsoever relating to third-party Web pages.

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