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Cisco Customer Education Cisco is Delivering Real-World Results with IOE and IOT

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Cisco Customer Education Cisco is Delivering Real-World Results with IOE and IOT

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Presentation Agenda

► Who is Cisco?

► Digital Disruption

► Conclusion

► What is IOE/IOT?

► Cisco’s IOT Strategy and Solutions

Priors: Cisco Sales and Channels (10.5 yrs) President and CEO (6 yrs) - Cisco Premier Partner Director of Sales (2 yrs) - Cisco Silver Partner Financial Analyst (7 yrs) - Sprint Corporation

About Your Host Brian Avery Territory Business Manager Cisco Systems, Inc.

[email protected]

Cisco Confidential 4 © 2014 C isco a nd/or its a ffilia tes. All rights reserved.

Who Is Cisco?


C omputer s cientis ts, Len B os ack and S andy Lerner found C is co S ys tems

B osack and Lerner run network cables between two different buildings on the S tanford Univers ity campus

A technology has to be invented to deal with disparate local area protocols ; the multi-protocol router is born

1984

Cisco Confidential 6 © 2013-2014 C isco a nd/or its a ffilia tes. All rights reserved.

WellF leet

S ynOptics

3C om

AC C

DE C

P roteon

IB M

B ay Networks

Newbridge

C abletron

As cend

F ore

Xylan

3C om Nortel

Erics s on

A lcatel

J uniper Lucent

S iemens

NE C

F oundry

R edback

R ivers tone

E xtreme Aris ta

HP

Avaya

J uniper

Huawei

Aruba

B rocade

C heckpoint

F ortinet

S horeTel

P olycom

Microsoft

F 5

R iverbed

Dell

Internet of E verything

1990 – 1995 1996 – 2000 2001 – 2007 2008 – Today

T he Landscape is C onstantly

C hanging

Leading for Nearly 30 Years

2016

Cisco Confidential 7

Who Is Cisco?

Chuck Robbins, CEO, Cisco

• Dow Jones Industrial Average Fortune 100 Company (AAPL, CSCO, INTC, MSFT)

• $117B Market Capitalization

• $49.6B in Revenue

• $10B in Annual Net Profits

• $34B More Cash than Debt

• $6.3B in Research and Development

http://finance.yahoo.com/q/ks?s=CSCO+Key+Statistics

http://finance.yahoo.com/q/ks?s=CSCO+Key+Statistics

Cisco Confidential 8 © 2013-2014 C isco a nd/or its a ffilia tes. All rights reserved.

No. 1

Voice

41%

No. 1

TelePresence

50%

No. 1

Web Conferencing

43%

No. 1

Wireless LAN

50%

No. 2

x86 Blade Servers

29%

No. 1

Routing Edge/Core/

Access 47%

No. 1

Security

31%

No. 1

Switching Modular/Fixed

65%

No. 1

Storage Area Networks

47%

Market Leadership Matters


§ C C E is an educational sess ion for current and prospective C isco customers

§ Designed to help you understand the capabilities and bus iness benefits of C isco technologies

§ Allow you to interact directly with C isco subject matter experts and ask questions

§ Offer ass is tance if you need/want more information, demonstrations , etc.

What Is the Cisco Customer Education Series?

Digital Disruption

Cisco Confidential 11 C97-731719-02 © 2014 Cisco and/or its affi l iates. All rights reserved.

The world’s largest taxi company owns

no vehicles.

Cisco Confidential

The world’s most popular media

company creates no content.

The world’s most valuable retailer has

no inventory.

The world’s largest accommodation

provider owns no real estate.

Explosion of Digital Businesses

78% Workloads processed

in Cloud DCs by 2018

5TB+ of data per person

by 2020

180B Mobile apps downloaded

in 2015

30M New devices connected every week

277X Data created by IoE devices

v. end-user

Data Center and Cloud Power Digital Disruption

4.2B Web filtering blocks per

day

The Mighty Will Fall Disruption to Shake Up all Industries, and Shake Out 4 of 10 Market Leaders

Source: Global Center for Digital Business Transformation, 2015

4 out of 10 Displaced Existential Threat

*Disruption = Substantial change in market share among incumbents

The Internet of Things

Cisco Confidential 15 © 2013-2014 Cisco and/or its affiliates. All rights reserved.

“The Internet of Things is the intelligent connectivity of physical devices driving massive gains in efficiency, business growth, and quality of life.”

What Is the Internet of Things?

Cisco Confidential 16 © 2013-2014 Cisco and/or its affiliates. All rights reserved.

7.2 6.8 7.6

IoT Is Here Now – and Growing!

Rapid Adoption Rate of Digital Infrastructure: 5X Faster Than Electricity and Telephony

50 Billion “Smart Objects”

50

2010 2015 2020

0

40

30

20

10

BIL

LIO

NS

OF

DEV

ICES

25

12.5

Inflection Point

TIMELINE

Source: Cisco IBSG, 2011

World Population

The New Essential Infrastructure

Cisco Confidential 17 © 2013-2014 Cisco and/or its affiliates. All rights reserved. The World Generates More Than 2 Exabytes of Data Every Day

Connected Objects Generate Big Data

46 million smart meters in the U.S alone 1.1 billion data points (.5TB) per day

10TB of data for every 30 minutes of flight With >25,000 flights per day, petabytes daily

A large offshore field produces 0.75TB of data weekly A large refinery generates 1TB of raw data per day

A single consumer packaged good manufacturing machine generates 13B data samples per day

Cisco Confidential 18 © 2013-2014 Cisco and/or its affiliates. All rights reserved. Big Data becomes Open Data for Customers, Consumers to Use

More Important

Less Important

010101001010101010101010101010101010101000101010010101010101110101010101010101

IoT Transforms Data into Wisdom

Wisdom (Scenario Planning)

Data

Information

Knowledge

Cisco Confidential

#CiscoIoT

Digital Transformation with IoT Mike Kopczynski, IoT Solution Specialist [email protected]

20 © 2015 Cisco and/or its affi l iates. All rights reserved. Cisco Confidential

/ In·no·va·tion /

Breakthrough

The action or process of introducing new methods, ideas, or products.

Change

Revolution

Upheaval

Transformation


The New Digital Business

Transform Processes & Business Operations

Leads To: Innovation

Faster Time to Market

Empower Workforce Efficiency and Innovation

Leads To: Increased Productivity

Better Retention

Personalize Customer/ Citizen Experience

Leads To: Increased Loyalty

Greater Insight

Digital business is the creation of new business designs that connect people, business and things to drive revenue and efficiency.


Our Hyper-Connected World…

Be Connected

Generate Data

“Talk” P2P, P2M, M2P, M2M


Market Disruptors

Speed of Innovation

0 60

Lowered Cost of Innovation Hyper-Connectivity

$50B venture funding; Easy access to infrastructure $5M in 2000 à

$5K in 2015 iPhone 1 in 2007; Mobile app economy

$100B in 2015; 10M developers

15B à 50B (1M/hr) à 500B connected; 40% traffic M2M

Increased Volume of Innovation


Business Value of Digitization with IoT

*2013–2022

Digitization is expected to grow global corporate profits by 21% in 2022

Asset Utilization Innovation

Customer/Workforce

Experience

Employee Productivity

Supply Chain/Logistics


Digital Businesses Are Tapping into Today’s Distributed World

45,000+ PARTNERS

~100 FACTORIES

4,000+ DEALERS

100M+ VEHICLES AND

DRIVERS ON THE ROAD

500+ APPLICATIONS

450,000+ USERS

VP Sales

VP Service

Customer Service

CIO

Planners

VP BU

VP Supply Chain

Headquarters

Partners

Vehicles

Drivers

Factories

Field Sales

Dealers


VP Sales

VP Service

Customer Service

CIO

Planners

VP BU

VP Supply Chain

Headquarters

Partners

Vehicles

Drivers

Factories

Field Sales

Dealers

Driven by Responsiveness, Resilience, Economics

Small ‘Centers of Data’ Are Emerging Across the Business Environment

Enterprise Applications

Dealer Access

On-board Computer

Machine Apps

Supplier Exchanges

Customer Mobile Apps

Mobile Workforce Applications


VP Sales

VP Service

Customer Service

CIO

Planners

VP BU

VP Supply Chain

Headquarters

Partners

Vehicles

Drivers

Factories

Field Sales

Dealers

Enterprise Applications

Dealer Access

On-board Computer

Machine Apps

Supplier Exchanges

Customer Mobile Apps

Mobile Workforce Applications

Evolving How Systems and Processes Are Integrated

Fat Client (Centralized)

Monolithic (Data Driven)

Client – Server (Distributed)

Service Oriented (Request Driven)

Cloud – Edge – Mobile (Hyper Distributed)

Enterprise Class & Web Scale (Event Driven)


Unstructured Data

Big Data Store

Structured Data

Traditional Data Warehouse

A New Approach is Needed to Reach and Analyze That Data

REAL-TIME LONG-TERM SHORT-TERM

Make a Decision NOW Make a Decision Today Plan for a Business Decision

Data Streaming at the Edge

1.0 2.0 3.0


Requires a New Approach

Streaming Analytics &

Data Aggregation

Programmability of Everything

Computing at the Edge

Integration of Everything

Process Orchestration


Digital Transformation with IoT Is Driving New Business Outcomes

Manufacturing

Improved agility from connecting complex

supply chains

Retail

New levels of customer

engagement and service delivery

Healthcare

Engaging patient experience and

improved outcomes

Energy

Visibility and analysis of usage across

disparate systems

Cities

New process efficiencies and citizen services

Stages of Digitization


Enables Differentiates

New User Experiences, Products, Services

Accelerated Product, Services, and Business Process Innovation

Distributed Connectivity and Intelligence

2.0

Defines

Business Model Innovation / Industry Transformation

Machine 2 Machine / Augmented Decisions / Self Learning Analytics

New Growth and Constant Innovation

Agility and Increased Productivity enabled by IoT

Reduced Tech Costs (Opex and Capex)

Faster Response Times to Customer Needs


• Inventory waste….raw material losses due to expiration

• Production inefficiencies

• Factory Wireless with Active RFID (Real Time Location Services) for improved inventory visibility and management

• Results? 21% increase in production, 20% reduction of breaker component losses, <6 month payback






2.0

Defines




IT Agility and Increased Productivity




• Robot downtime costs over $20K a minute

• A single downtime occurrence à $2M

• With predictive analytics FANUC now has a proactive Zero Down Time(ZDT) customer offering.

• Results? Increased ROI and new service dollars; and improved efficiencies for FANUC






2.0

Defines




IT Agility and Increased Productivity



Cisco IoT System Partner Ecosystem

Manufacturing Utility Oil and Gas Transportation City Workspace

Industry Cooperation

Questions?

http://www.cisco.com/go/customer-success

It’s a New Way of Thinking about Manufacturing

IDC FutureScape: Worldwide Manufacturing 2015 Predictions: “Our next phase of investment in the factory of the future includes a more transparent manufacturing model. … not only to advance our cost competitiveness, but to drive a different conversation with our customers and suppliers.” - Rob Goldiez, Scott Fetzer, a Berkshire Hathaway company

"If you went to bed last night as an industrial company, you're going to wake up today as a software and analytics company.” - Jeff Immelt, CEO, GE

“…the lines between hardware, software, and services are blurred or are disappearing” - Tim Cook, CEO, Apple

Immense Business Benefits Expected

What business benefits do you expect to derive from Digital Manufacturing?

Reduced Downtime

48%

Unplanned downtime down from

11% to 5.8%

Reduction in Defects

49%

Defect rate down from

4.9% to 2.5%

New Product Introduction

23%

New product introduction cycle time reduced from 15 to 11 months

OEE Improvement

16%

Average OEE improved

from 74% to 86%

Improved Inventory

35%

Inventory turns increased from 14 to 19

Reduction in Energy Use

18%

Annual energy cost down from $8.4M to $6.9M

Source: SCM World/Cisco “Smart Manufacturing and the Internet of Things 2015” survey of 418 Manufacturing Business Line Executives and Plant Managers across 17 vertical industries.

Unleashing Digital Manufacturing Outcomes

Lower Downtime

Reduce Defects

Reduce Energy

Faster NPI

Maximize OEE

Lower Inventory

Reduce Risk

• Factory Network

• Analytics and Big Data

• Factory Wireless with LBS

• Factory Wireless

• Connected Machine

• Factory Network

• Energywise

• Factory Network

• Plant Floor Virtualization

• Factory Wireless

• Factory Collaboration

• Factory Security

“Reduced labeling

error rate by 16%”

“Achieving 20% energy reduction

with real time visibility.”

“Shaved 10-20% off NPI cycle

time”

“Increased OEE mid 70s to high 80s”

“Reduced breaker

component tire loss by 20%.”

Multi-National Brewery

“$40 million downtime

reduction for customer”

Make Money Save Money Stay out of Trouble

“Significantly reduced factory vulnerabilities.”

Global Trends Driving Changes in Transportation

Increasing Connectivity

Network Convergence

IT in the Operational Domain

Increasing Total Cost of Ownership (TCO)

Growing pressure to provide safer roads and mass transit

New revenue opportunities for roadside and transit station services

Increased urbanization and growing congestion

Aging population

Global supply chains

Safety & security regulations and mandates

Disparity between regions and countries

Sustainability

Cisco Confidential

Business Challenges for Industrial Vehicle Fleets

Requirements for Best-in-Class Network & Application Enablement

Budgetary CAPEX and OPEX Pressure

• Secure connectivity to OCC • IP voice and video • Mobile office

• Location tracking • Route Optimization • Route replay • Geo-fencing • Asset management

• Telematics

• Analytics

Market and Regulatory Demands

Mass Transit Needs Field Service Needs

Customer Service • Passenger Wi-Fi • Passenger info and ticketing • Arrival time estimation

• Service response time

Optimized Dispatch • Computer aided dispatch /

Automatic vehicle location for mass transit systems

• Proprietary and 3rd-party routing optimization

• Navigation

Mobile Workforce • Two-way IP-based comms • Fare collection

• Remote expert • Mobile hot spot • Work time and cash tracking

Safety and Security • Video surveillance • Panic button • Driver fatigue monitoring

• Driver behavior monitoring • Cyber security

Asset Management • System software updates • Predictive maintenance • Environmental compliance

• Predictive maintenance

Conclusion


Energy-Utility Oil and Gas Manufacturing Mining

SP/M2M City Transportation Defense

VERTICALS

Building an IoT Ecosystem

RUGGEDIZED PRODUCTS Ruggedized

Wireless AP Industrial Routers

and Switches Industrial Security

Hardened Mobile M2M Gateway

IP Cameras

Video Surveillance

INDUSTRY PARTNERS

M2M Mobile

SPs Advanced Services

CISCO’S APPROACH TO IoT

“Customer-In” Approach § Understanding of key business

care abouts and pain points § Relevance to LOB leaders / CXOs

Products/Technologies § Best-in-class ruggedized products § Smart solutions for verticals § IoT architectures

Strategic Partnerships § Industry partners § Vertical software / service partners § Service providers

IoT ENABLERS

Time Sync

Pervasive Cyber

Security Scalable Routing

Deterministic Ethernet

Guaranteed Delivery

Big Data Management

SP Services

http://www.google.com/url?sa=i&rct=j&q=&esrc=s&frm=1&source=images&cd=&cad=rja&docid=KZhKot74JiSa5M&tbnid=uwp_oG0Jx8VvZM:&ved=0CAUQjRw&url=http://www.goldminingequipmentforsale.com/chile-mining-industry-services-and-barriers/&ei=XrUTUtSuIoWFyQGX8YCIBA&bvm=bv.50952593,d.b2I&psig=AFQjCNGmKiDDQwZMwvGUdM3Gv2avE4GgMA&ust=1377109637358000


30 Years as a Trusted Technology Partner

Cisco and the Internet of Things

End-to-end IoT Solutions

World-class Professional Services

Maximizes Flexibility, Scalability, Security


5

Questions?


Thank You and Next Steps

Brian Avery [email protected]

Contact Your Cisco Partner https://tools.cisco.com/WWChannels/LOCATR/performBasicSearch.do

www.

Learn more: www.cisco.com/go/IOT

mailto:[email protected]

https://tools.cisco.com/WWChannels/LOCATR/performBasicSearch.do

https://tools.cisco.com/WWChannels/LOCATR/performBasicSearch.do


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