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BT150 Interview: Cherokee Nation CIO Paula Starr on CX, ITIL and community values

BT150 Interview: Cherokee Nation CIO Paula Starr on CX, ITIL and community values

Paula Starr is a Cherokee citizen leading technology delivery at the Cherokee Nation, the United States' largest federally recognized tribe. With a team that supports 4,000 employees across Cherokee reservation CIO Starr is in a unique position to deliver digital services while maintaining community values.

We caught up with Starr, a BT150 member, at Constellation Research's Connected Enterprise 2023 to talk shop. Here are the takeaways from our conversation.

Cherokee Nation's reach. Starr said the Cherokee Nation is the largest recognized tribe in the US with 460,000 people and a 7,000 square mile reservation. However, the Cherokee Nation's digital presence has to reach beyond the reservation and reach the population in 23 countries. Starr said:

"We have citizens who obviously live off of the reservation and all across the world. We are endeavoring to be able to reach every one of those citizens. If you wanted to interact with your government, it was a matter of coming into our headquarters in Tahlequah, Oklahoma, or making a phone call to us. There was no digital outreach. There were no digital applications or forms whatsoever."

"We had a whole group of citizens that we call our at large citizens who were going unserved and unconnected. We have really tried to increase our digital outreach."

Customer experience and service requires empathy. Starr, who is also Cherokee, said that 88% of her IT team is also Cherokee. That shared experience helps create better customer service. She said:

"So many of us have grown up needing services and we know what it's like to be vulnerable and to need help. We've gone to the health services and clinics. Many of us were born in Indian hospitals, including myself. So, it's very natural for us to have empathy and compassion for our citizens. But beyond that, we also tried to serve according to our Cherokee community values. There's a whole list of 21 values that are common to the Cherokee Nation and much of it overlaps with ITIL. We use a lot of ITIL best practices correlated together with community values."

ITIL and Cherokee values. Starr acknowledges that ITIL (Information Technology Infrastructure Library) best practices and Cherokee values may not seem like a fit at first, but they align in multiple areas. The correlation between Cherokee values and ITIL equates to almost built in design thinking. ITIL is a framework used to standardize the selection, planning, delivery, maintenance, and lifecycle of IT services. Starr explained:

"The first ITIL principle that you'll find is focus on value. The only way you can focus on value is if you understand who defines value. Customers, your stakeholders, or whoever is using the thing that you're producing defined that for you as the practitioner. You don't find that view in a lot of IT shops where practitioners think they absolutely define the value. To get to that understanding that we don't define value our customers do, we refer to one of the Cherokee community values which says hold one other sacred. It ties together because you are holding your customer sacred. And you understand that their missions are sacred. You're absolutely going to work with them to define value and ensure that you're serving what provides them value."

Priorities and projects. Starr said prioritizing projects is hard for the tribe due to its unique needs. Traditionally, the biggest battle was to maintain sovereignty with Oklahoma. That battle has never gone away, but a 2019 Supreme Court ruling meant that reservations were never dissolved and have jurisdiction of their lands. And that jurisdiction goes beyond public safety. Police, court and other departments all needed systems built quickly. "There's a whole lot of need there," said Starr.

There is also the IT behind keeping the Cherokee language alive as only 2,000 citizens out of nearly 500,000 speak it. Starr said:

"We are rapidly losing the Cherokee language. Of all of these things how do you prioritize one of those things over the other? One makes you inherently Cherokee and the other is public safety amidst all the other things to work on. We follow the lead of our departments and what they make a priority. We just work to digitize everything as fast as we can."

Cherokee Nation's digital borders. Starr said programs are grouped based on whether a citizen is on the reservation or outside of it. "There are programs to serve those in the reservation and others that open up. Having digital systems helps us out because when someone logs in, we know where they are coming from," said Starr. "We have contact information and know whether it is within our jurisdiction. We can also make a determination of what they qualify for."

Priorities for 2024. Starr said the biggest initiative for Cherokee Nation is wellness. The IT budget is funded by subsidiaries such as hospitality and federal contracting. She said:

"In the year ahead, we are really looking at Cherokee wellness. There's a big initiative across the entirety of Cherokee Nation government to look at wellness and say, We understand wellness is not just physical wellness, it is also mental. It is your connection to your culture. It is your connection to community. You know, there's a lot of talk here at this conference about loneliness, those kinds of things, how do we measure that across our citizenry and how do we help where help is needed? There’s going to be a big technological component to that."

There will also be plenty of system upgrades as well as generative AI. Starr said generative AI can help with services as well as security. A Cherokee Nation large language model could also be a possibility at some point.

Challenges and opportunities ahead. Starr said AI has the potential to upgrade the level of services provided. There's also an opportunity to education IT staff with AI. Those AI opportunities also present challenges. The key thing is keeping up with AI in the public sector and continually teaching the team. Starr concluded:

"I also feel like there's an advantage right now to those who can just learn the fastest. I think that we've got a staff that's highly engaged and has high levels of capability that can learn a lot very quickly. So, I'm really excited about what we're able to do.

"The challenges for us are that it's hard for public sector to keep up in the age of AI, There's so much opportunity but for public sector, it's very hard. I worry about keeping up across all Indian country, to be honest. How do we meet this age of technological advancement and how do we help our friends across the other tribes get there as well?"

Next-Generation Customer Experience B2C CX Chief Information Officer

CXOs placing bets on AI, analytics, automation going into 2024

CXOs placing bets on AI, analytics, automation going into 2024

Business technology decision makers are optimistic about 2024 and are plotting investments in generative AI, analytics and automation, according to Constellation Research's second half 2023 CxO Business Confidence Survey.

The report, based on 43 C-level executives, found that enterprise decision makers are banking on emerging technologies to bolster revenue, profit and employment. An excerpt from the report:

"Buy-side CxOs are balancing the pressure to invest in the AI space with the need for certainty about the reliability of these new tools. In turn, enterprise tech vendors recognize and predict strong revenue potential in the generative AI space but currently are in the waiting phase of tangible selling and the client's desire to see tangible return on investment (ROI)."

Also see: Enterprise technology customer stories 2023: Everything we learned from CXOs about AI, data, CX, transformation

How that waiting game between vendors and technology buyers remains to be seen, but there is CxO optimism headed into 2024. Fifty-one percent of respondents said they experienced a better business climate in 2023 relative to 2022. In the first half, only 33% of CxOs said the business climate was better.

Other key items to note:

  • 44% of respondents said innovation was their organization's most important business issue, followed by labor availability and quality at 42% and consumer demand at 28%.

  • 33% of technology budgets are going to revenue and growth investments with 26% going to efficiency efforts. Strategic differentiation received 20% of budgets.
  • 40% said IT budgets will be flat with 21% seeing increases of 0 to 5%.
  • AI, analytics, ChatGPT, Automation and cloud were cited as priorities among emerging technologies.
  • AWS and Microsoft were the two top of mind software vendors for CxOs followed by Salesforce and Workday.
Data to Decisions Innovation & Product-led Growth Future of Work Tech Optimization Next-Generation Customer Experience New C-Suite Digital Safety, Privacy & Cybersecurity AI GenerativeAI ML Machine Learning LLMs Agentic AI Analytics Automation Disruptive Technology Chief Information Officer Chief Executive Officer Chief Technology Officer Chief AI Officer Chief Data Officer Chief Analytics Officer Chief Information Security Officer Chief Product Officer

Low-Code and Portals Webinar with Neptune Software

Low-Code and Portals Webinar with Neptune Software

Watch a webinar between CR analyst Holger Mueller and Neptune Software CSO Mattias Steiner about the winning combination of digitalizing low-code and portals for quick ROI.

On <iframe src="https://player.vimeo.com/video/829910590?badge=0&amp;autopause=0&amp;player_id=0&amp;app_id=58479" width="1920" height="1080" frameborder="0" allow="autoplay; fullscreen; picture-in-picture" title="Low-Code and Portals Webinar"></iframe>

Constellation Cloud Convos: Episode 2

Constellation Cloud Convos: Episode 2

The following video is the second episode in a series of conversations about cloud technology between Holger Mueller, Constellation VP & Principal Analyst, and Thomas Saueressig, SAP Executive Board Member. In this segment, Thomas answers the question, "What matters in cloud architecture?"

On CR Conversations <iframe src="https://player.vimeo.com/video/685466281?badge=0&amp;autopause=0&amp;player_id=0&amp;app_id=58479" width="960" height="540" frameborder="0" allow="autoplay; fullscreen; picture-in-picture" title="CR Cloud Convos: Episode 2"></iframe>

Constellation Cloud Convos: Episode 1

Constellation Cloud Convos: Episode 1

The following video is the first episode in a series of conversations about cloud technology between Holger Mueller, Constellation VP & Principal Analyst, and Thomas Saueressig, SAP Executive Board Member. In this segment, Thomas answers the question, "What is the cloud all about?"

On CR Conversations <iframe src="https://player.vimeo.com/video/685448686?badge=0&amp;autopause=0&amp;player_id=0&amp;app_id=58479" width="960" height="540" frameborder="0" allow="autoplay; fullscreen; picture-in-picture" title="CR Cloud Convos: Episode 1"></iframe>

Enterprise technology customer success stories: Everything we learned from CXOs about AI, data, CX, transformation

Enterprise technology customer success stories: Everything we learned from CXOs about AI, data, CX, transformation

Enterprise technology customers in 2023 hit a few common themes that revolved around data strategy, setting their companies up for generative AI applications, transformation, sustainability, customer experience and continuous optimization to pay for new initiatives.

Here’s a look at the big lessons from 2023 (Constellation Insights PDF library).

Without data strategy you don’t have an artificial intelligence strategy. Those enterprises with a strong data game are poised to lead in AI and generative AI. "We declared five years ago that data and AI was going to be fundamental," said Intuit CEO Sasan Goodarzi, speaking at a recent investor conference. "And everything starts with data." See: Intuit’s bets on data, AI, AWS pay off ahead of generative AI transformation

"We believe that AI and generative AI will transform healthcare," said CVS Health CEO Karen Lynch. "We're applying technology, data and analytics to every single aspect of our business. The effects will be positive and profound." See: CVS Health’s transformation rides on data, AI and customer experiences

JPMorgan Chase CEO Jamie Dimon said: "The management team is getting better and better at using data to do a better job of reducing errors, to serve clients better and to have a salesperson with co-pilots. We simply have to do it."

More on how data drives transformation.

Management and business alignment matters. CXOs outlined their approaches to management, aligning to the business and managing through tech debt.

  • BT150 interview: Wayfair CTO Fiona Tan on transformation, business alignment and paying down tech debt"My leadership team is there to ensure we have the right platform and infrastructure from a technology perspective to enable us to grow in a flexible, scalable, lean way."
  • BT150 Interview: Equifax's Manish Limaye on data architecture, transformation: "The ability to bring multiple datasets together seamlessly is an essential element of the architecture. Our transformation not only focused on the run of the mill cloud work, but really reimagining how we will bring the data together in our own data fabric. Prior to the cloud, if we have 10 data sets, they are sitting independently, and we join them together. It's a painful exercise. Now with the data fabric we built, we can tap the data at any point in the journey per the legal, regulatory and contractual obligations and really give deep insight to the customer. These are the business drivers behind every technical decision we make."

More:

Transformation remains front and center (and is never complete). While the definition and focus of transformation evolves, the overall theme of future proofing remains.

  • Walmart, Target highlight intersection of supply chain, customer experience Target COO John Mulligan said: "While there are many different ways our team is working to gain efficiencies and deliver value to the business, all of our projects have some things in common. First and foremost, they're all designed and implemented with a focus on our guest and continuing to build their engagement with Target. In keeping with that guest focus, we design processes and deploy technology and automation as a way to highlight the human element in our business rather than minimizing it."

More:

Sustainability is good business. Nate Melby, CIO of Dairyland Power, said sustainability, efficiency and transformation overlap.

"Sustainability is one of our largest goals. It intersects with technology, efficiency, and the data that we need to effectively manage the grid. Sustainability for us is also about the sustainability of our utility for the people that need us. We provide power in rural areas. We were created to solve the quality-of-life issue where it couldn't be profitable to provide power to rural areas. Our whole mission is to provide power at the lowest cost possible as efficiently and into the future with diverse resources. It's evolving as our industry has been changing, and we're seeing this energy transition happen."

 

It’s always about optimization and costs (and that includes generative AI).

John Stankey, AT&T CEO, said generative AI is driving cost savings at the company. He said during the company's third quarter earnings call: "While we're still in the very early stages of Generative AI, we're already seeing tangible AI-driven improvements in productivity and cost savings. Measurable progress has been made with lowering customer support costs, unlocking software development efficiencies, and improving our network design effectiveness. We expect these capabilities to play a key role in our continued efforts to achieve our future cost savings objectives." See: Enterprises seeing savings, productivity gains from generative AI

But it’s also about innovation (and of course generative AI). Multiple companies are looking to large language models that can be customized with proprietary knowledge.

Domino's Pizza CEO Russell Weiner said: "As you look back in the history of Domino's, we certainly have built more things internally when it comes to competitive points of difference. I think we've always said, you can't outsource a competitive point of difference. There's going to be a competitive point of difference with generative AI solutions, and we think we've got the resources and the pizza expertise internally." See: Domino's Pizza eyes generative AI, Microsoft and Uber tech to drive growth

 

Cybersecurity is front and center courtesy of new disclosure rules. In 2023, enterprises started disclosing security incidents regularly, due to Securities and Exchange Commission requirements.

And customer experiences matter. Enterprise initiatives revolved around data, generative AI, optimization and other themes, but the common thread between all of those projects were digital and customer experiences. The takeaway: Every company needs to provide good experience. Research: Connecting Experiences From Employees to Customers

Cenlar's Chief Digital Officer Josh Reicher on automation, AI and staying ahead

Data to Decisions Digital Safety, Privacy & Cybersecurity New C-Suite Next-Generation Customer Experience Tech Optimization Innovation & Product-led Growth Future of Work sustainability B2C CX Security Zero Trust AI GenerativeAI ML Machine Learning LLMs Agentic AI Analytics Automation Disruptive Technology Chief Information Officer Chief Sustainability Officer Chief Information Security Officer Chief Privacy Officer Chief Executive Officer Chief Technology Officer Chief AI Officer Chief Data Officer Chief Analytics Officer Chief Product Officer

Adobe and Figma: The What Would Taylor Swift Say Edition

Adobe and Figma: The What Would Taylor Swift Say Edition

In this, the year of Taylor Swift, it feels oddly fitting that Adobe and Figma have just announced their breakup. Like all good angsty love stories immortalized in an Era’s Tour set, we had the Figma indie-cool-kid rebel agreeing to roll with the digital class President in the established and voted Most Likely to Succeed Adobe. Torn apart by well-intentioned but out-of-touch outsiders, the two have closed this chapter of their idyllic yet improbably love affair. And while nobody is shouting that they will never, ever, E-V-E-R—like seriously never ever—get back together, for the near future their paths will be distinctly separate.

When the acquisition was announced in September 2022, my thoughts immediately went to where and how this merged vision of creativity and collaboration would materialize. Yet almost as soon as the headline ink was dried, I started to realize not everyone understood what Figma or Adobe actually DID for a living. Design was a loosely defined word being reinterpreted with almost every audience. Adobe critics lambasted my enthusiasm for the deal by insisting that this was Adobe attempting to push out the competition, running scared of another design tool hitting the market. Figma devotees feared the worst and believed the rumor mill that Adobe was out to crush independence and would immediately assimilate all digital innovators into the collective. The memes were glorious to behold, albeit totally off base.

Adobe, Figma call off $20 billion merger

In the end, regulators in Europe, very specifically the UK Competition and Markets Authority (CMA), publicly stated they believed the merger would lessen competition to a degree that it would remove incentive for Adobe/Figma to develop and improve the quality of its products. The CMA believed that the merger “would eliminate an important dynamic competitive threat to Adobe’s Illustrator and Photoshop” in a market they believed Adobe had already become the entrenched leader. Honestly, I’ve struggled to make any sense of these arguments. From what I could tell, the regulatory focus was more about the misunderstanding of design, creation and digital product than about attempting to understand the needs and evolution of the market.

So much has happened since the announced intention to acquire that I can’t help but chuckle that the regulators may have done Adobe a solid by dragging their heels and bungling these inquiries. Let’s, for argument’s sake, imagine a world in which the deal swam forward smoothly and realized a close date of mid-2023. This would have been in the THICK of the earth-shaking shift to generativeAI. Would the world be a bit different if Adobe had been pushed into deciding between the investment into Figma and the investment into bringing the Firefly portfolio of AI models to market? Would the same decisions around talent, focus, investments and roadmaps be made had the Figma closing also demanded attention and consideration?

Instead, through the lens of future-forward AI development, the Figma acquisition became a smaller distraction at just the right time, allowing Adobe to focus on what this new era of generativeAI would mean for creators and creatives. While regulators were lamenting that Adobe would use their posture in the marketplace to miss out on improvements and innovations, tools like Generative Fill and Firefly Image models have radically changed the work of creation in ways we couldn’t have truly envisioned when the headlines first broke about Adobe and Figma. The time free from the chaos of acquisition allowed Adobe’s roadmap leading us deeper into an AI-enriched creative future to truly unfold.

Don’t cry for Figma either. In fact, Adobe may have just handed over a billion-dollar budget boost that Figma needs to further power innovations and bring on the next evolution of digital product design and digital collaboration. During this vetting period, Figma has continued to grow in all the right places. The honest truth is that while Figma has been a start-up darling and a personal favorite of mine, they were quickly racing towards that danger zone every fast growing start up reaches…that point when the next evolution must occur to continue that meteoric rise up market…or stagnation takes hold and the bloom starts to quickly fall from the rose. Figma had not reached that point…but arguably they could have been about 6-months from that decision point of choosing between disrupting or being disrupted. Now, there will be an infusion of $1 billion dollars to pour gasoline on that promise of innovation-driven disruption.

These ex’es haven’t seen the last of one another. The teams have gotten to know one another, leaders have come to trust and respect one another and even the most ardent Anti-Adobe Figma fanatic has likely downloaded the new Adobe Express toolset and started to realize that perhaps, Adobe isn’t the evil overlord controlling creativity after all.

Thus ends the September to December romance known as Adobe + Figma. The future is truly bright for both Adobe and Figma to embrace what this new age of AI will bring to creativity, digital, product and design. But who knows what the tomorrow holds. Afterall, isn’t it Taylor Swift that sang, “Turns out freedom ain’t nothing but missing you, wishing I’d realized what I had when you were mine…I go back to December, turn around and make it alright. I go back to December all the time.” Just sayin…stranger things have happened.

New C-Suite Marketing Transformation Chief Marketing Officer Chief Digital Officer

WalkMe in 2023: Adoption as Table Stakes in Digital Experience

WalkMe in 2023: Adoption as Table Stakes in Digital Experience

In London last week, WalkMe Analyst Day 2023 — an exploration of their progress so far with their digital adoption platform — began in the morning with a company overview by their CMO, Adriel Sanchez. Digital adoption is a vital new digital experience category that makes it significantly easier to increase impactful results for users with existing and new IT systems. WalkMe is arguably the leading player in the category and has long been an 'anchor tenant' on my digital adoption platform ShortList.

Adriel began the day by highlighting the paradox of digital transformation, noting that there will be $3.4 trillion in investment in this strategic activity by 2026, which WalkMe very much seeks to be a major part of. The paradox: Despite the abundance of technology, most projects fail and productivity often decreases. It's an unfortunate stat that hasn't changed much in 30 years, I'd note. This, he argues, is due to the ever-increasing complexity of workflows, tech overload, and the need for more effective change management. And really, he noted, there are three major obstacles:

  • Tech overload
  • Resistance to change
  • Risk and compliance regimes are growing

Adriel also explores generative AI, a powerful new technology that has the potential to revolutionize the way organizations work. However, he cautions that generative AI also requires careful change management to ensure its safe and responsible adoption.

WalkMe CMO Adriel Sanchez

WalkMe CMO, Adriel Sanchez, starts of WalkMe Analyst Day 2023 in London. Photo Credit: Dion Hinchcliffe

WalkMe's approach to digital adoption and change management is based on three key principles:

  • Data visibility: WalkMe provides organizations with insights into their friction points, allowing them to identify where and how to improve the user experience.
  • Personalized user experiences: WalkMe delivers personalized guidance to users in the context of their daily workflow, helping them to navigate new applications and processes more effectively.
  • AI-powered guidance: WalkMe leverages AI to understand user intent and provide contextually relevant assistance, reducing the need for manual support.

Adriel wrapped up by noting that WalkMe's actually has deep roots in AI and its ability to help organizations navigate the tsunami of change that is coming with the advent of generative AI.

WalkMe's approach to digital adoption and change management offers a powerful solution to the challenges faced by organizations in today's complex technology landscape. By providing organizations with visibility, personalization, and AI-powered guidance, WalkMe seeks to help them achieve the full potential of their digital transformation initiatives.

Then Leon Ashley provided a demo of the state of the art of WalkMe as a product. He also very cogenty summarizes the value proposition of digital adoption platforms like WalkMe, namely that they "allow you as an organization to take these massive platforms that have been built for global implementation and customize them not only to your organization's requirements, but your department requirements, your user requirements and really make it work for you."

Now digital adoption platforms typically provide real time guidance in-app, but it has traditionallly required that the user has launched the app. Leon notes that WalkMe Workstation can provide notifications on the desktop and even search the available guidance tree. Leon also provided a demo that shows how much WalkMe actually does for the user: "Let's remove the wasted clicks. Let's remove the waste of navigation. Let's remove training users how to use the application and just get the job done." He shows an expense request being almost completely filled out by WalkMe, with very little work done by the user, which merely directed it to happen. This is what digital adoption can do to systematically reduce friction, overcome usability hurdles, and eliminate training shortfalls. 

Leon then switched over to generative AI, talking about how WalkMe can form a powerful front end for AI marketing tools like Jasper or software development AI tools, GitHub Copilot. They actually rolled out WalkMe internally on their own engineering team which had low adoption of Copilot.

Adrien returned and talks about the WalkMe business, noting that the company is now profitable and has over 1,000 employees. They are also working on getting customers to more systematically adoption the product, a profile they call a "DAP customer." He says, "This is how we define a digital adoption or adapt customer, as someone who has deployed us on four or more applications. to us, that is the bar that we've set that shows that organization has a commitment to digital adoption as a methodology for implementing technology through managing the change that's required at these technologies. Walkme has over 180 of this more strategic DAP customers, with the majority being earlier in the adoption curve.

Profile of WalkMe DAP Customers by Type

So, where do digital adoption platforms get used the most?

“The two most popular departments that we're solving problems for HR and sales, by far, like there's no not even like a distant second distant third” said Adriel. He also noted that WalkMe is used both for legacy applications as well as new software deployment, as it can help just as much with both application profiles. Big system integrators also are large users of WalkMe in their own or customers projects, to speed deployment. "Deloitte deployed on hundreds of applications across over 100,000 employees."

Then Adriel talked about what it takes for AI transformation, which WalkMe is positioning its product as directly enabling:

  • Data: Train LLMs to work for your business
  • Training and education: Educate employees and drive adoption of AI in the flow of work
  • Guardrails: Mitigate risk by deflecting certain behaviors
  • Utilization: Monitor utilization of embedded and native AI tools

Next up comes Ofir Bloch, a long-time executive at WalkMe who has been there since early in the company's journey through digital adoption. He reviews the latest State of DIgital Adoption report, which will be out in a couple of weeks.

Ofir Bloch, long-time WalkMe exec

Ofir Bloch, VP of Corporate Marketing, WalkMe explores the State of Digital Adoption 2024. Image Credit: Dion Hinchcliffe

He noted that "digital adoption is becoming a KPI in its own right." Not just the DAP software category.

“It’s becoming a priority for companies as they understand that they can no longer go buy technology and just hope that it works.”

On the adoption of WalkMe itself, Ofir explored fascinating hard data on the growth of Centers of Excellence for digital adoption, presenting data, a 42% growth in the number of digital adoption CoEs in the last two years.

The growth of digital adoption CoEs.

He also explores what the data shows are the key pillars of digital ddoption maturity:

- Evaluating tech use
- Process automation
- Outcome alignment
- User engagement measurement
- Unified user experience
- Engagement-boosting content

The Key Pillars of Digital Adoption Maturity

This is one of the first detailed views of maturity of digital adoption in the industry and is worthy of study, as the productivity boosts and cost savings represented by focusing on these are very considerable for the average organization that seeks them.

Benchmarking the typical results of digital adoption using WalkMe

Then KJ Kusch came up to explore their updated strategy and and value framework. As part of this, she has some very insightful data on the benchmarks for digital adoption, specifically:

  • 41% fewer business errors
  • 30% faster change adoption
  • 20% faster time to market
  • 60% faster user adoption
  • 25% increased user satisfaction
  • 35% faster onboarding
  • 51% faster user adoption

WalkMe says this results in an average 494% 3 year ROI and 6  month payback in initial investment. These are remarkable numbers, and because WalkMe can actually measure all this in the platform based on how its customers actually behave, these numbers are relatively rigorous collective analytics.

DeepUI: Adapting to the Continuous Change of Apps

Liya Spiegel, Director of Product Experience, then took us through the DeepUI technology that they use to map content to the fields and control fo underlying applications. Acquired in 2018, DeepUI is instrumental in keep WalkMe content matched with the fields in the apps, including high Web responsive applications and even localized apps with fields in entirely different languages. Based an underlying AI technology, DeepUI ensures when applications like Salesforce or Workday change across releases, the WalkMe digital adoption content continues to function as expected. It has 8 granted patents and is a key competitive differentiator for their digital adoption platform.

DeepUI, the framework WalkMe uses to keep digital adoption working across underlying software releases

Customer Success at WalkMe

Next up was Sunil Nagdev, the new Chief Customer Officer of WalkMe, talked about improving customer success. "It's an important piece for me and when I came to WalkMe, it was really important for me was to understand how we do our land and expand because that's the most critical piece of our business itself" in terms of strong organic growth.

Sunil summarized the main areas of challenge in doing this:

  • Implementation cycles
  • Responsiveness
  • Scale and sustain
  • Underutilization

I also sat with Sunil at the dinner the night before analyst day and he came across to me as quite thoughtful and very much concerned about growing deeper customer intimacy while turning the relationship with them into one where WalkMe becomes a trusted advisor.

Time to value is also a area Sunil is focused on, getting WalkMe implementations down to 4-6 weeks, at least for initial deployment. My analysis is that Sunil is going to be instrumental growing customer lifetime value and increasing the average number of  apps per customer that are accelerated by the WalkMe platform.

He is also bringing the concept of what he calls "scaled adoption" to the table at WalkMe, so that just-in-time microlearning and a revamped certification program will ensure customers are able to "hold their weight" in helping deliver the success of the solution. He will round this out with a customer advocacy program as well.

Sunil Nagdev, Chief Customer Officer, WalkMe

WalkMe's Trajectory Heading into 2024

Here's my analysis of where the company sits today and where it's going next year:

  • The company's growth and financials are strong and the firm is healthy, with revenue up year-over-year, including net income up an impressive 62%.
  • WalkMe's technologies, such as Deep, UI and various digital adoption patents ensure it has very good competitive differentiation for the time being.
  • The company is poised to move much more from single-app, single use case deployments to multiple-app, multiple use case rollouts next year with their new customer success focus.
  • This is vital for WalkMe to grow as it gains size, given that most customer organizations are still leaving considerable productivity and value creation on the table due to limited digital adoption deployments, the data presented at analyst day clearly showed.
  • Where the company remains challenged is systematically moving beyond departments like sales and HR, and their new partner program, the Propel program may be instrumental in making that happen. I also think the company has to not just sell to the CIO, but also to executives in charge of employee experience overall, which have a vested interest in long-term post-rollout success.
  • The company has also assembled new frameworks, education, tools, and a more strategic advisory approach that should foster broader deployments across more apps and departments within customers in 2024 and beyond.
  • Digital adoption stubbornly remains a category with limited industry awareness, but this is changing, and the data showing the double digit rise of centers of excellence for digital adoption is a very good sign for the company.
  • Enabling AI transformation directly as a digital adoption strategy as generative AI rolls out across enterprises around the world should add to the growth story as WalkMe matures their offerings for this in 2024 and beyond.
  • Digital adoption as a category is getting closer to breaking out, and WalkMe still stands to be the company that leads this given their product and go-to-market maturity, but will like be 2-3 more year still before it becomes a "household name" in IT.

Additional Reading

How Leading Digital Workplace Vendors Are Enabling Hybrid Work

WalkMe in 2022: An Update on the Digital Adoption Journey

How Generative AI Has Supercharged the Future of Work

Future of Work Tech Optimization Chief Customer Officer Chief Information Officer Chief Digital Officer Chief Technology Officer

Alteryx goes private in $4.4 billion deal: What to watch next

Alteryx goes private in $4.4 billion deal: What to watch next

Alteryx is going private in a $4.4 billion deal including debt. Clearlake Capital and Insight Partners will pay $48.25 a share in cash for each Alteryx share.

The price is a 59% premium to Alteryx's closing price Sept. 5 when reports surfaced about the potential buyout.

Mark Anderson, CEO of Alteryx, said going private via the Clearlake and Insight transaction will give the company more flexibility to implement its long-term strategy. "Over the past several years, we've executed a comprehensive transformation strategy to enhance our go-to-market capabilities and establish a strong cloud and AI innovation roadmap," said Anderson.

Constellation ShortList™ Self-Service Data Science & Machine Learning

Alteryx has been trying to consolidate analytics customers on its self-service data science and machine learning platform. Alteryx is looking to be one platform for data discovery, preparation, diagnostic and predictive and prescriptive analytics and has oriented its go-to-market strategy around targeting personas.

Constellation Research analyst Doug Henschen said:

"Privatization and private equity backing will help to stabilize Alteryx. Alteryx provides a mix of data prep, analytics and AI/ML with a dose of data pipeline/analytic automation capabilities.

Competition has intensified from cloud vendors, like AWS with its SageMaker Suite and Google with Vertex AI, and from best-of-breed rivals like Dataiku and Data Robot. In addition, analytics and BI vendors, like Tableau and Microsoft with Power BI have also been pushing into data prep and advanced analytics. For its own part, Alteryx was late to the cloud, and it has also had a fair amount of executive turnover in recent years, all of which have intensified the headwinds of tougher economic conditions.

Nonetheless the company has a big installed base, and private-equity ownership should ease concerns about the company's future even if there may be short-term concerns about layoffs and continued investment in R&D. Customers should watch for signs of continued investment and commitment to product roadmaps."

As a private company, Alteryx is looking for air cover to accelerate its transformation currently underway. Here's the to-do list for Alteryx going into its buyout.

Expand the enterprise customer base. Alteryx has 49% of the global 2000 and big names including Chevron, Amazon, Procter & Gamble, DHL, Salesforce, IBM, Visa and others.

Uplevel its sales strategy to target personas including business customers, and analysts as well as chief data officers.

Optimize its enterprise license agreements and convince customers that it can be the analytics automation platform of choice. 

Scale its revenue base. Alteryx said it will have fiscal 2023 revenue between $942 million to $948 million. In 2022, Alteryx revenue was $855.35 million, up from $536.13 billion, largely due to its Trifacta acquisition and purchases of Hyper Anna and Lore IO. In 2022, Alteryx also launched its Analytics Cloud Platform.

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ServiceNow acquires UltimateSuite, adds task mining

ServiceNow acquires UltimateSuite, adds task mining

ServiceNow said it will acquire UltimateSuite, a task mining company, in a move that brings the company more in line with automating processes and tasks as well as workflows.

UltimateSuite's flagship product revolves around task mining, but it also offers robotics process automation (RPA). In recent years, ServiceNow has acquired parts that put it more in competition with Celonis and UiPath on multiple fronts.

ServiceNow said the purchase of UltimateSuite bolsters its ability to identify process bottlenecks as it uses AI to automate work. UltimateSuite will be integrated into ServiceNow's Now Platform.

ServiceNow CEO McDermott talks business transformation, generative AI, processes

According to Eric Schroeder, vice president of NowX product management at ServiceNow, task mining can reveal "a more accurate picture of how people work."

ServiceNow has acquired G2K and Element AI for AI automation tools, Intellibot for RPA, and has built process mining into its Now Platform. ServiceNow also announced a partnership with Celonis in 2021 and reportedly has tried to acquire the process mining company.

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