Results

Remodeling your kitchen - rather than granite think smart counter tops

Remodeling your kitchen - rather than granite think smart counter tops

In a report we recently published we looked at how the Internet of Things (IoT) would impact the retail world. One area we focused on was the food and grocery portion of retail. An idea we explored was how IoT could allow grocers and other players within the food supply chain to extend their reach beyond the store shelf and into the shelves in our pantries and refrigerators. Eventually grocers and manufacturers could leverage this connectivity to better understand demand patterns, usage and even correlations between different items. This use case has taken another step closer to becoming a reality.

Companies like Orange Chef have started to market and sell “smart counters.” Granted the one offered by Orange Chef is more of a chopping block sized device for your kitchen, but let us project out into the future. These counter tops aren’t so much about whether or not you want black granite, Azul Macauba or a fine Italian marble, but how many sensors, beacons and connected nodes your new kitchen counter tops will contain. The smart counter top will be able to identify what you are placing on it. For example you may place on it a nice


About to get a whole lot smarter!

salmon steak or some lamb shanks. The smart counter will then be able to offer you ways to prepare the food offering you recipes and other items you may want to include. The counter will also be able to tie back into your wearables as well as other applications. Training to run a marathon and using your smart phone to keep track of your progress – maybe that bacon isn’t what you should be eating this close to race day – your counter top will tell your phone or wearable, which will tell you. Trying to cut back on red meat – the smart counter will keep tabs on what you are preparing for your dinner. This is a great example of the kitchen becoming smarter and more interactive.

It is not a big leap to go from the kitchen and your counter top being proactive in your meal preparation to being tied into a larger network – say in your neighborhood – that would communicate with local grocers and even distributors to better manage what they stock. Maybe the paleo diet is catching on your neighborhood, if the smart kitchens figure this out, the local stores might want to ramp down on some of their processed food orders.

Of course this will also come with the expected questions around privacy and information sharing. Will consumers trust the likes of Tyson Foods, Mondelez, Kraft, Dannon and other large food providers to have access to such data? If these companies or a third party (think Nest for your grocery bill) can demonstrate or help consumers with their spending then consumers will become more at ease with sharing their information. The fact that households in the United States spend on average $166 a month on energy – the target for Nest – yet they spend 30% more a month on their grocery bill (based on U.S. Department of Energy and the U.S. Bureau of Labor Statistics) would indicate that there is an opportunity for enhanced intelligence to be applied to this sector. IoT empowered devices could bridge that last consumer mile for grocers, CPG and food manufacturers.

We wouldn’t just have our mothers and significant others to remind us that late night ice cream isn’t good for us, our smart kitchen will do it as well.

Resources:

Retail: Prepare for the Internet of Things

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Five Ways Cloud Service Providers Are Making Manufacturers More Competitive

Five Ways Cloud Service Providers Are Making Manufacturers More Competitive

1
  • manufacturing-execution-systemsEnterprises are only realizing 35% of the total potential value of their cloud deployments according to a recent Bain & Company study.
  • Companies that moved development to IaaS and PaaS clouds from Amazon Web Services (AWS) reduced downtime by 72% and improved application availability by 3.9 hours per user per year.

These and other key take-aways are from the recent Bain & Company study, Tapping Cloud’s Full Potential. The full report PDF is available for download here (free, no opt-in). The following graphic from the report illustrates the currently realized value of cloud deployments in enterprises today according to Bain & Company.

Capturing only one-third of the value of their workloads

The researchers found several critical drivers of cloud value with one of the most important being the strengthening and clarifying of a product and service focus. The following graphic illustrates the critical drivers of cloud value.

getting the most value

Cloud Service Providers Give Manufacturers The Ability To Stay Competitive

Cloud-first strategies designed to accelerate and strengthen shifts in emerging business models is paying off according to Bain’s research results.

Manufacturers choosing to pursue a cloud-first strategy are focusing on evolving their business models, processes, systems and performance quickly to stay in step with customers’ needs. For many manufacturers, their customers’ pace is faster than internal IT organizations can anticipate and react to.  Cloud Service Providers are helping to close that gap.

Here are five ways CSPs are making manufacturers more competitive:

  • Bringing industry expertise to the shop floor level. The best CSPs serving manufacturers today have management teams that have decades of combined manufacturing experience in specific industries. The CEO of a specialty tools manufacturer remarked that his company’s cloud strategy was more focused on accelerating plant floor performance first.  Working with a CSP that had expertise in their industry, this manufacturer was able to gain greater supply chain visibility and improve forecast accuracy, all with cloud-based apps.
  • Solving legacy and 3rd party system integration problems so that cloud-based ERP, CRM, supply chain management (SCM) systems can scale quickly. When a rust-belt based manufacturer of heating, ventilation and air conditioning (HVAC) systems had the opportunity to grow their business by expanding into build-to-order customized products, their CSP partner made it possible to integrate an entirely new product configurator and cloud-based ERP system module to manage quote-to-cash. Today, 30% of corporate-wide profits are from build-to-order selling strategies.
  • Knowledge-sharing supplier networks are becoming more attainable for manufacturers thanks to cloud technologies and CSPs. All manufacturers have strategic plans that include greater integration of their supplier networks, with many seeking to create knowledge-sharing networks. One of the best studies of how to create a knowledge-sharing network is from Dr. Jeffrey Dyer and Dr. Kentaro Nobeoka based on their intensive work with Toyota. Their study, Creating And Managing A High Performance Knowledge-Sharing Network: The Toyota Case is a great read. The following graphic from the study illustrates the evolution of a knowledge-sharing network. Manufacturers are relying on cloud platforms and CSPs to enable shifts in network structures and nurture change management to create self-sustaining systems.

Evolution of network

  • Two-tier ERP adoption in manufacturing is growing as CSPs master cloud ERP systems. CSPs are moving beyond providing basic services, specializing in cloud ERP, CRM, SCM, pricing, services and legacy system integration to keep pace with manufacturers’ demands. In one high tech manufacturer, their CSP partner orchestrated the procuring and launch of their cloud-based two-tier ERP system integrated to an SAP instance in their headquarters. Today they operate production centers in Asia, North America and Australia, all coordinated through the main SAP instance in the U.S. headquarters.
  • Making Service Level Agreements (SLAs) more relevant to manufacturing business models. Instead of just getting SLAs for uptime, security and system stability, manufacturers are getting advanced manufacturing intelligence dashboards that provide visibility to the plant or production center level.

Bottom Line:  Manufacturers are increasingly relying on CSPs’ cloud, industry and integration expertise to support the transition many are making to new business models and get greater than 35% of the value from their cloud investments. .

Additional resources on Cloud ERP systems:


Filed under: Cloud Computing, Cloud Computing in Manufacturing, Cloud ERP, Cloud Security, Cloud technologies, Enterprise Resource Planning, Enterprise software, ERP, Louis Columbus' blog, SaaS Tagged: Bain & Company, Cloud Computing, Cloud computing forecasts, Cloud ERP, cloud service providers, CSPs, ERP, Louis Columbus' blog

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Citrix Podio Adds Filter Views For Application Lookups

Citrix Podio Adds Filter Views For Application Lookups

Citrix Podio is a platform for developing applications which can be used on the web or mobile devices. People can build business applications by simply drag and droping fields to create forms and views. It requires very little development knowledge and no actual programming language skills.

Then have recently added a feature I asked for, which allows you to limit the choices that are displayed in drop down lists.

While I like the addition, you still have to create a view for each filtered value that you want to use in lookups.  I'd prefer to see a formula like @ApplicationLookup("AppName","ViewName","FieldValue")

 

Future of Work

Capgemini is Named a 2015 SAP® Pinnacle Awardee for Services Transformation Partner

Capgemini is Named a 2015 SAP® Pinnacle Awardee for Services Transformation Partner

One of the most important things about technology is that it works and delivers on it’s promise. But it can’t do that without the ability to have it implemented well. And often it’s not a matter of just implementing it well. Today implementing technology means that you are looking at transforming the organization and how it does business. That must be done to use the new systems of engagement and systems for the future of how work gets done.

That’s why it’s notable that Capgemini received a 2015 SAP® Pinnacle Award as the Services Transformation Partner of the Year. This award recognizes Capgemini’s outstanding contributions as an SAP partner. SAP presents these awards annually to the top partners that have excelled in developing and growing their partnership with SAP and helping customers run better. Winners and finalists in 22 categories were chosen based on recommendations from the SAP field, customer feedback and performance indicators in the following umbrella categories: Exponential Growth, Cloud, Platform and Value Creation.

Capgemini has Delivery and Solution Design Centers devoted to work related to SAP software, which leverage its Intellectual Property solutions for the Cloud, Mobility, Analytics and the SAP HANA® platform, its OnePath pricing and licensing models and its preconfigured industry solutions. Capgemini’s solutions and implementation methodologies for SAP software can be tailored to companies of all sizes, and build on its deep industry experience, particularly in Consumer Goods and Retail, Energy and Utilities, Manufacturing, Public Sector and Financial Service.

Congrats to Capgemini!

@DrNatalie

VP and Principle Analyst, Constellation Research

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My Thoughts on the State of Collaboration via CMSwire's SocBizChat

My Thoughts on the State of Collaboration via CMSwire's SocBizChat

On April 23rd, 2015 I participated in CMSWire's SocBizChat on Twitter. Below is a summary of my responses to their questions.

 

What does the number of collaboration tools on the market say about the state of collaboration in organizations?

During the chat, I responded with: We don't need more tools, we need our tools to do more. We're already suffering from #InputOverload”. When asked what the “more” is, I responded "More connectivity. More integration. More intelligence. More workflow. More automation."

Still, this does not really answer the original question. The reason there are so many tools comes from a) organizations are not successfully collaborating with the tools they have today (i.e. there is a need) and b) no one (or small group of) vendors have yet to solve these needs. Compare that to the email, where just 3 vendors (Microsoft, Google and IBM) dominate the market.


The definition of the collaboration market is complex.  A few of the main categories are: 

  • Suites from the enterprise software vendors that bring together multiple tools such as email, calendar, profiles, blogs, wikis, communities, social networks, chat, etc. Ex: Microsoft Office365/SharePoint, IBM Connections, Google Apps.
  • Collaboration solutions built into business applications. ex: SAP Jam, Salesforce Chatter, Oracle Social Network, Infor Mingle
  • Community-centric software. Ex: Jive, Bloomfire, Igloo, Huddle, HighQ, Jostle, ThoughtFarmer, Traction
  • A growing popularity of persistent chat vendors such as: Atlasian HipChat, Cisco Spark, Convo, FlowDock, Glip, Hall, Intellinote, Slack, Unify Circuit 
  • Project management-centric solutions such as Asana, Clarizen, LiquidPlanner, Mavenlink, Redbooth, Smartsheet, Trello, Workfront, Wrike and Wunderlist
  • Mobile Messaging Apps like CoTap, Jive Chime, GroupMe, Talko, Mez, Lua
  • Niche solutions for things like File-Sharing, Ideation, web-conferencing each with a dozen vendors
  • A dozen others!

So to get back to the question, with no dominant vendors in this space, there is opportunity for many companies to go after customers. Heck, Facebook is even working on a business version of their platform, so clearly the opportunity still exists.

 

Too Many Tools

 

If collaboration occurs naturally, why do so many businesses have problems with it?

Collaboration fails when it is forced and does not fit into the way people work. If a tool meets a need, it will be used.
If a tool is implemented just because it's new and shinny, and not because it solves a need, then it will most likely fail.
Implementations struggle if you focus on the What? (tool), Who? (culture) but not the Why? (purpose)

For more on this topic, see my report on Purposeful Collaboration.

 

How can companies reach a balance between employee driven tool selection and enterprise security and governance concerns?

Security and governance need to be like special effects in movies... do their job so well you don't notice them.
What did I mean by this? Essentially, security should not be the responsibility of the end-user.  The platforms organizations use need to have built in features for identity, authentication, encryption, compliance, governance, etc.

 

Can companies succeed with small-scale collaboration efforts or is a larger social business strategy needed to scale

Small-scale and large scale collaboration do not compete, they serve different purposes.
Small scale collaboration could be entered around a specific department, project or geography. Not everyone needs to be involved in everything!
Look at the recent success of tools like Slack, which focus on small scale deployment, not company wide adoption.
Very few use-cases call for company-wide collaboration. Company-wide communication is great, but work gets done in teams.
Software vendors what to sell licenses company wide. Companies want to improve the way employees get their work done. ;-)
Silos are excellent for helping organize info, but they should not be barriers to access. "Open Silos = fences"

My main point here was, collaboration is great. I want to see people sharing information and expertise. But the “kumbaya” around sharing everything and working completely open and transparent is not realistic. Not everyone needs to have access to everything. That is not only insecure, but it also leads to information overload, which can more of a productivity burden than helper.  I’m not saying information should be locked away. There is a difference between enabling information to be discovered (searched for) vs. trying to push everything into the open all the time.

 

What will the collaboration tool landscape look like in five years?

The collaboration landscape will be just as cluttered in 5 years as it is today, it will just be a whole new set of tools.
The cycle has repeated for decades. Email wars. IM wars. Blog wars. Wiki wars. ESN wars. Chat room wars. The same will happen again in 5 years with a whole new set of tools.
Clearly there will be continued growth in mobile and wearables, but wearables will be very different. They won't be discrete new objects, they will be more embedded into existing items.
Most importantly, on the software side, products will have far more "intelligence" and help automate our decisions and our workflows.

Intelligent Collaboration
 

Future of Work Chief Digital Officer

How Do I Know You?

How Do I Know You?

Dunbar's number proposes that humans can only comfortably maintain 150 stable relationships. Well I don't know about stable... but I'd say I interact with far more than 150 people every day. With interactions via email, chat, social networks, blogs, web sites, discussion forums, customer communities and a dozen other sources, it's a real challenge for me to keep up with who all these people are.

That's the problem Nimble is trying to solve.  Here's a quick look at some of what Nimble can do.

While several products are claiming to help you know who people are, Nimble is the first I've seen that instantly pulls in data from multiple sources, giving you a very complete overview. My first reaction was a mixture of awe and fear. Of course Nimble is only aggregating data that is publically available, but by doing so it really reveals a lot about the digital footprints we're all leaving out there.

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Market Move - Salesforce (re)enters HCM - will it create a Rypple this time?

Market Move - Salesforce (re)enters HCM - will it create a Rypple this time?

Salesforce.com has stuck to CRM as core automation area for so long, that even analysts got nervous about how much runway the vendor can get from CRM (and yes platform and PaaS). Salesforce execs of course see no reason for concern when asked, but a few year back that seemed to have changed when Salesforce acquired rypple, put a very senior product leader with Tom Wookey in charge and seemed ready to go to re-invent Performance Management. As of last Dreamforce though, I was reassured the offering is now focused at improving existing users performance (in Marketing, Sales, Service) – which is a sensible positioning. And John Wookey had moved off to lead Salesforce.com’s Industry efforts. 

 
 
 
 
So with some surprise – Salesforce.com announced it is (re) entering the HCM market with ‘Salesforce for HR’. So let’s dissect the press release in our customary style:

SAN FRANCISCO—April 23, 2015—Salesforce [NYSE: CRM], the Customer Success Platform and world's #1 CRM company, today unveiled Salesforce for HR, the Employee Success Platform. Salesforce for HR transforms employee engagement by delivering personalized experiences to empower employees, and provides the data and insights organizations need to attract, manage and retain the best and brightest talent.

MyPOV – Obviously Salesforce is recycling a lot of CRM positioning – replace Customer in Customer Success Platform with Employee and here you have the Employee Success Platform. But are user experience and data / insights enough to manage people and their talent and retain them? Let’s keep reading:

Companies must recognize there has been a shift in employee expectations. Consumer technology has transformed the way employees connect to each other and consume information. Today, employees have come to expect that same level of engagement, service, convenience and instant access to the information and resources they need to be successful.

MyPOV – Good positioning by Salesforce, and yes – the Consumerization of IT has led to the point of employees enjoying better user experiences than ever before in the HCM space. User interfaces used to be ‘good’ to ‘good enough’ for 2-3 years, today the market leaders even admit that a 6 month old interface already shows its age. And the tag line to treat your employees like your customers would be great to live in practice – see more on that later.

“Companies are creating game-changing customer engagement by reimagining what's possible through the power of cloud, social, mobile and data science technologies,” said Alex Dayon, president of products, Salesforce. “With Salesforce, they can bring the same transformation to their own employees. Salesforce for HR will uniquely enable them to connect with their employees like never before.”

MyPOV – More on bringing what Salesforce has done with customers to what to do with employees.

Companies that provide employees with engaging tools like mobile apps not only reap positive employee outcomes, but also positive business and customer outcomes. According to a Forrester report[1], “The value of a great workforce experience is it leads to positive customer experiences. HR leaders have an opportunity to demonstrate this value by showing that positive workforce experiences create engaged and high performing employees that positively affect customer outcomes.”

MyPOV – True – happy employees perform better, which usually leads to better company results – including happier customers. So why do most companies not treat their employees as well as their customers? More below.


Introducing Salesforce for HR—the Employee Success Platform

Built on a foundation of cloud, social, mobile and data science technologies, Salesforce for HR harnesses the power of Salesforce’s Customer Success Platform for employee engagement. Salesforce for HR complements existing HCM and HRMS implementations by delivering a system of engagement that helps companies connect with their employees in a whole new way.


MyPOV – Salesforce is walking the fine line between saying a CRM platform is a good HCM platform, too. Bet some people at Salesforce wished the platform was not called the ‘Customer Success Platform’’ – but just the Salesforce platform. But product naming is flexible.

Now, employees are empowered to communicate, collaborate and connect with less friction in getting things done. Every HR leader now has the tools to transform the employee experience with 1:1 engagement, and every executive has the full power of analytics to drive more informed personnel decisions with:

MyPOV – Fair enough – but apart from Chatter capabilities it all depends on creating the interfaces that are needed to bring these functions alive. Traditionally CRM vendors need a lot of integration, too – so Salesforce has the tools and platform for tackling this, but will core HCM capabilities create enough value to justify the creation and maintenance of the integration?


· Employee Journeys: Guide employees on 1:1 journeys—from onboarding to ongoing development—deliver engaging experiences across channels and devices through every phase of the employee lifecycle.

MyPOV – It’s not clear if we talk platform or Salesforce capabilities. [Update by Salesforce: This is Marketing Cloud Journey Builder used to create employee journeys.] I suspect it is more platform than Salesforce having built an Onboarding product.

· Employee Communities: Create employee communities that connect colleagues and cultivate a culture of collaboration. Today’s employees expect greater collaboration with colleagues, subject matter experts and leadership across all facets of the company in order to accomplish their job.

MyPOV – This is basically Chatter – something Salesforce could have done and has done before for the HCM space. We know a few customers who have done the same. Moreover Chatter has been integrated with a number of HCM products, Infor and Workday being the most prominent one we can think of right now. [Update by Salesforce: Employee Communities also includes Community Page Builder for internal pages and Read-Only Knowledge for knowledge sharing.]

· HR Help Desk: Deliver personalized service experiences to employees and empower them to help themselves anytime, anywhere with an HR Help Desk powered by Service Cloud. Provide HR teams with a unified, 360-degree employee view and the intelligence they need to solve employee inquiries quickly and accurately.

MyPOV – Salesforce already has Helpdesk capabilities, so employee and HCM content are only additional areas to add. Salesforce will have to address confidentiality and PII questions here, that work differently than in the CRM space.

· Salesforce HR Analytics: Enable ?leaders to make smarter ?talent ?decisions with increased visibility to key performance and productivity metrics. With a unified view of any data source, leaders can uncover new employee insights and proactively engage their teams from any device.?

MyPOV – Salesforce is using its Wave platform for this, which is a solid dashboard and visualization tool. Salesforce throws more confusion in the already confused area of ‘analytics’, but that is no surprise (for ‘true’ analytics read here – they take actions or make recommendations, something Wave does not (yet)).

· Engagement Apps: Build and deploy the mobile apps employees need to be successful, tying into the company’s business processes. Now, employees can be more productive with activities such as recruiting, onboarding, interviewing, training and more, from wherever they are. In addition, the Salesforce for HR ecosystem, including Appirio, Deloitte, Jobscience, Lumesse, and others, can leverage the Salesforce1 Platform to accelerate how companies transform employee engagement.

MyPOV – This is probably the most important part of the announcement – Salesforce complementing HCM vendors that have already made the decision to build HCM assets on the Salesforce1 platform. Notably these are mostly in the Recruiting space – as many CRM best practices lend themselves to Recruiting, too. It will be key to see integration, endorsement by these vendors of Salesforce for HR. [Update from Salesforce - Salesforce for HR works with all HCM vendors, not just those built on the platform. We have pre-built apps on AppExchange and we integrate with all the other HCM vendors.]


Comments on the News

· “St. Joseph Health is using Salesforce to increase engagement and improve productivity for employees at 14 facilities across two states,” said David Baker, VP of IT, St. Joseph Health. “Employees want the conveniences of consumer-inspired mobile and social technologies available to help them do their jobs better. With Salesforce, we can give that to them. It is helping us revolutionize the way we interact and solve problems as a team.”

· “You can't provide a great customer experience without happy, engaged and informed employees, so it's no surprise that Salesforce's Customer Success Platform has expanded to better serve the workforce,” said Chris Heineken, SVP of Field Operations, Appirio. “As a Salesforce partner and a company that spends a great deal of time helping HR organizations optimize their systems of engagement, we couldn't be more excited about Salesforce for HR.”

· “Our clients are seeking technologies to help provide a better user experience associated with HR services delivery,” said Marc Solow, director, Deloitte Consulting LLP and leader of Deloitte's HR shared services consulting practice. “Deloitte’s Fullforce Solution c*Link offering, that is based on Salesforce, is transforming how our clients are addressing the future of cloud-based HR services delivery.”

· “We are excited to deliver TalentObjects on the Salesforce1 Platform because we believe it can be the most powerful platform for workforce engagement in the industry,” said Thomas Volk, CEO, Lumesse. “Our vision for people-centric workforce optimization solutions formed through the eyes of more than 2,400 customers over the past fifteen years is being realized with the help of the most innovative company in the world.”


MyPOV – And here we go with the endorsements. Good to lead with a customer, unfortunately an IT Leader, a HR Leader would have been stronger. Also note that Appirio and Deloitte are more service than product partners, pointing that there will be a lot of integration work and revenues to realize in order to get Salesforce for HR to work. Lumesse just finished bringing their new Recruiting product to the Salesforce1 platform – so here is a great supporting quote by Lumesse CEO Thomas Volk.


Pricing and Availability

· Salesforce for HR solutions are generally available today and are built with technologies included across Sales Cloud, Service Cloud, Marketing Cloud, Community Cloud, Analytics Cloud and the Salesforce1 Platform.


MyPOV – Pricing will be key. Employee seats are cheaper than CRM user seats but Salesforce has shown in the past that it understands to make licensing costs not a showstopper.

Implications, Implications

Implications for Salesforce Customers

For the existing Salesforce customers this announcement means that Salesforce as a vendor and as platform has the opportunity to become more strategic in their enterprise, beyond the CRM space. Salesforce will need the help of their existing users to make it over to their HCM colleagues. Timing could be right as there is a general unhappiness in HR about poor user experience. On the flipside integration work is dreaded on the HR side, as many enterprises find themselves operating a hodge-podge of different solutions. But not having a key ‘tectonic’ HCM automation piece (HR Core, Payroll, Talent Management, Workforce Management and Benefits) makes that conversation tougher for Salesforce. But Salesforce can roll in partners that have recently built new offerings on the Salesforce1 platform.

Implications for Salesforce Partners

Salesforce has attracted a number of HCM vendors to build products in the Salesforce1 platform. Many noted and quoted above. Salesforce was only able to attract these vendors with making the ‘we have no interest to move into HCM’ statement – that now could be challenged. But it looks like that Salesforce has done a good job keeping partners briefed, and for now it seems partners think that they get additional marketing firepower from Salesforce. But certainly they will be watching Salesforce’s HCM plans a little more carefully and likely more nervously.

On the architecture side though it will be interesting to see how well the Salesforce1 platform, built with CRM in mind, can deal with HCM requirements like effective dating, PII Data, data residency rules and more.

Implications for Salesforce

Salesforce is pivoting the 3rd time on HCM (In with rypple, out with a performance focus on CRM users only, back in now) which shows how key HCM is as a growth area. For now it looks like Salesforce is trying to get more users on its Salesforce1 platform and Chatter which is always a legitimate move for any platform vendor. But getting serious in a new enterprise automation space beyond CRM needs more than platform, collaboration and partners – an argument certainly Salesforce would do themselves if it came to CRM (not HCM). In some way Salesforce has now maneuvered itself in a tricky positioning – as it cannot announce major automation without conflicting with the partners it tried to attract as a platform vendor in the first place. One area that is carte blanche is the Employee Call Center space – so I would not be surprised if Salesforce will focus on this area first and foremost.

Implications for Competitors

For CRM competitors – We don’t’ see this announcement having any effect. Hoping for a Salesforce distraction with HCM will likely not materialize as Salesforce has deep enough pockets to run on full steam on both playing fields.

For HCM competitors – Salesforce is not competing with the traditional HCM vendors (yet?). As such the Salesforce for HR offering is only doing something existing HCM players know is important – user experience needs to improve, content management is important, collaboration is important – really nothing new. If Salesforce would start offering key ‘tectonic’ HCM automation pieces (as it could have started in Performance Management with rypple) again – then it would certainly be taken serious as a market player in HCM.

Overall MyPOV

A good move by Salesforce to bring more user to its content agnostic technology – Salesforce1, Chatter, Wave etc. It all looks to me like a deja-vu on what Siebel did 10+ or so years ago with Employee Relationship Management (ERM). Same tag line – treat employees like customers. And it worked well with Siebel, if memory does not fool me – Siebel ERM had well over 2000 customers on ERM. But it was not enough automation to make a dent into HCM markets and not enough overall to give Siebel new avenues of growth. It will be interesting to see if Salesforce is in a similar strategic situation as Siebel was back then. The notable difference is that Salesforce is much more of a platform offering, with 3rd party ISVs building on top of Salesforce1 – none of that happened with Siebel. On the flipside Siebel offered notable content partnerships, which Salesforce has not tapped into yet.

There is a lot of merit to treat employees as well (or even better) as customers, and a lot of room to apply best practices from CRM to people management. The Recruiting space with ‘CRM’ (C for Candidate, not Customer) is a prime example. But at the end the ‘Customer is King’ is valid for all enterprises. Employees are hired to create value for and serve customers, but ultimately are cost when it comes to the balance sheet. Customers are revenue that pays for employees. And with such seat prices for CRM professionals are higher than for HCM professionals and employees. Always good to follow the money.

And lastly, Salesforce could launch similar offerings in other key automation areas. Finance, Manufacturing, Purchasing employees need to collaborate, too, want better reporting and dashboard, get a better user experience, have support needs (that an HR call center will not cover) – but HCM is the most attractive of these markets.

But for now a good move by Salesforce and it looks (for now) that it has not rocked the relationships with existing HCM ISVs that are building on the Salesforce1 platform. We will be watching if it stays like this and how well ‘Salesforce for HR’ will see adoption.



More on Salesforce:
  • Event Report - Salesforce Dreamforce - A Customer Succes Platform, Analytics and Lightning - but really Salesforce is re-platforming - read here
  • Constellation Research Summary of Salesforce Dreamforce 2014 - read here
  • Research Summary - An in depth look at Salesforce1 - Better packaging or new offerng? Read here.
  • Dreamforce 2013 Platform Takeaways - All about the mobile platform - or more? Read here
  • Platform ecosystems are hard - Salesforce grows it - FinancialForce shrinks it - read here.
  • Our take on Salesforce.com Identity Connect - from three angles - Identity, CRM and PaaS - read here.
  • Takeaways from the Salesforce and Workday Strategic Partnership - read here.
  • Act II - The Cloud changes everything - Oracle and Salesforce.com - read here.
  • How many Pivots make a Pirouette? Salesforce's last Pivot - read here.
Find more coverage on the Constellation Research website here and checkout my magazine on Flipboard.
 
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Read Chapter One of Disrupting Digital Business

Read Chapter One of Disrupting Digital Business

Disrupting Digital Business

Create an authentic experience in the Peer-to-Peer Economy 

We’re standing at the dawn of a digital business revolution. In fact, we barely realize it. As with the beginning of every revolution, those in the midst of it can feel it, sense it, and realize that something big is happening. Yet it’s hard to quantify the shift. The data isn’t clear. It’s hard to measure. Pace of change is accelerating. Old rules seem not to apply. 

My new book, Disrupting Digital Business, reveals these revolutionary forces and prepares leaders to dominate digital business.

Disrupting Digital Business will be published May 5, 2015, but you can read chapter one below.  

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Reprinted by permission of Harvard Business Review Press. Excerpted from Disrupting Digital Business: Create an Authentic Experience in a Peer-to-Peer Economy. Copyright 2015. Harvard Business Publishing Corporation. All rights reserved.

Data to Decisions Digital Safety, Privacy & Cybersecurity Future of Work Marketing Transformation Matrix Commerce New C-Suite Next-Generation Customer Experience Tech Optimization Innovation & Product-led Growth Leadership Chief Customer Officer Chief Digital Officer Chief Executive Officer Chief Financial Officer Chief Information Officer Chief Marketing Officer Chief People Officer Chief Procurement Officer Chief Supply Chain Officer Chief Technology Officer Chief Data Officer Chief Analytics Officer Chief Information Security Officer Chief Operating Officer Chief Experience Officer

Workforce Software continues investment in Workforce Management but needs to watch the fundamentals

Workforce Software continues investment in Workforce Management but needs to watch the fundamentals

We were invited to the Workforce Software user conference Vision2015, happening in at a non Vegas like location at Lake Las Vegas. The conference was well attended with over 200 attendees and 20+ partners and exhibitors.

 

Here are my Top 3 takeaways from the analyst meeting / conference:

Workforce Management Pure Play – It was made more than clear that Workforce Software sees itself and will remain a Workforce Management pure play – and not venture into other areas of HCM automation. Instead better and deeper Workforce Management (WFM) automation and more global support are on the roadmap. Workforce Software changed its release numbering and jumped from 9 to 15 – to better reflect – you guessed it – the release year. The vendor roadmap plans for 3 releases per year – with 15.1 being available now, the highlights being new KPIs, improvements in usability, more powerful admin tools and more data capture options on external clocks (see the press release here). From the more detailed WFM capabilities shift swapping and group messaging stood out in my view. 


 
 
The Workforce Software compliance guarantee
(credit to +Mark Stelzner who sat much better to take pictures than me)

Compliance – with a Guarantee – Basically Workforce Software sees itself as the ‘compliance tool’ in the hand of the HR professional. Workforce Software monitors legislation and makes sure it supports all necessary workplace time and labor rules from currently 400 legislative bodies in North America. That the vendor does this with confidence became clear as Workforce Software used the conference to announce a compliance guarantee. So if a Workforce Software client “gets fined for an incorrect calculation or regulation that EmpCenter manages and Workforce Software certifies, Workforce Software will reimburse the client for fees and penalties”. Customers were understandably excited about this guarantee. And kudos to Workforce Software for extending its level of service beyond working software (all software vendors do this) to uptime (all SaaS vendors do this) and to legislative compliance of its software in form of a guarantee (no vendor in the HCM space is doing this to my knowledge). So we may see the dawn of CaaS – Compliance as a Service, well done by Workforce Software to be at the forefront of this potential trend.
 
Picture of the most prominent Workforce Software partners 

Partner Ecosystem – WFM usually cannot stand alone and lives with the integration with other key HR systems, most notably HR Core, Payroll and to a lesser extent Talent Management. As such Workforce Software needs to partner with these vendors and the vendor has done well in this space, having partnerships with SAP / SuccessFactors, Oracle and integration capabilities with ADP, Ceridian, CloudPay, Ultimate and Workday. Maintaining and operating these partnerships is always a tricky endeavor, especially when you are the ‘junior’ partner in the relationship that Workforce Software most of the time happens to be. But Workforce Software can play well on the partner field, e.g. the vendor competes with ADP in North America, but partners with ADP in Australia. Moreover it looks like Workforce Software is smart enough to stay out of the implementation business, partnering with e.g. NGA HR, Aon Hewitt, Aasoon and many more. Not getting involved too much into implementations has double benefits for software vendors – on the one side they can focus on product – on the other side they need to make product, documentation and training robust enough for the partners to succeed.
 
Workforce Software CEO Koksi closes VisionWFS
 

MyPOV

A very good event for clients and vendor and probably also the partners attending. Customers were excited about the new EmpCenter 15.1 and the roadmap of what is ahead. Partners see where they can help customers and create value, which is important to keep them happy and expand the ecosystem. 
 
And it’s good to see how loyal Workforce Software customers are – as once you have a WFM solution that works, they are not changing it quickly and easily. It is proof that Workforce Software over the years has been able to build continuous value for its user base, and this conference is another proof of this. But with the success and tenure comes also the challenge to address technical debt and while a quick deep dive in the architecture raises no immediate red flags, the user interface of Workforce Software needs some improvement or even better a complete re-thought from scratch to be up to speed with 2015. We blogged about it before how HCM users today have probably the best user experience ever in the history of HCM – WFM software with great functionality and high productivity to use – like Workforce Software’s should be no exception.

You can find more coverage on the Constellation Research website here.
Future of Work Distillation Aftershots Digital Safety, Privacy & Cybersecurity Next-Generation Customer Experience infor ADP Security AI Analytics Automation CX EX Employee Experience HCM Machine Learning ML SaaS PaaS Cloud Digital Transformation Enterprise Software Enterprise IT Leadership HR Chief People Officer Chief Information Officer Chief Information Security Officer Chief Privacy Officer Chief Procurement Officer Chief Customer Officer Chief Human Resources Officer

Microsoft Steps Up To Cloud, IoT Expectations

Microsoft Steps Up To Cloud, IoT Expectations

Microsoft followed through with the general release of an important cloud service last week, laying the groundwork for real-time insight with Azure Stream Analytics.

As the name suggests, Azure Stream Analytics (ASA) is about analyzing data in flight. Examples include data flowing from devices, sensors, web sites, apps, and infrastructure systems. Analysis is done with a SQL-like language that lets users visualize, alert, and act on events in real time.

Introduced as a technology preview last fall, ASA has been used by beta customers in use cases including smart-grid management, predictive maintenance, and remote device monitoring. Japanese technology manufacturer Fujitsu, for example, used Azure servcies including ASA to capture sensor and machine data within one of its factories so it cloud pioneer environmental monitoring capabilities. That ECO-Management Dashboard (shown below) is now part of a larger IoT/M2M platform that teams Fujitsu devices with Azure services to support industrial monitoring and analytics.

Microsoft says ASA offers faster development and simpler coding compared with Java-centric streaming options such as Apache Storm. You could also read that as a dig against Google, which last week announced that its beta Google Cloud Dataflow service is available as a preview. Announced about a year ago and designed to support both batch and stream processing, Dataflow is aimed at Java and Python developers. The service includes an open-source Java SDK and work is underway to support Apache Spark, another streaming-data-analysis option.

What Microsoft didn’t mention is the fact that it’s playing catch-up on the streaming front with Amazon Web Services, which made its Kinesis streaming data ingestion and processing service generally available more than a year ago. In a reversal of those roles, however, AWS was the follower two weeks ago when it introduced Amazon Machine Learning, lagging behind Microsoft’s July preview and February general release of the Azure Machine Learning service.

Forget the horse race. We’re at the very beginning of a mainstream push into real-time analytics. Complex event processing vendors that have long supported financial trading floor operations and intelligence agencies have been talking about the mainstreaming of real-time performance for years. It looks like the cloud is finally making streaming data analysis broadly accessible. Two years from now, nobody will remember which cloud provider was the first to deliver a stream processing service.

Stream processing and analysis is table stakes for building real-time, data-driven applications. Indeed, Azure Stream Analytics and Azure Machine Learning are two key components of a Microsoft  Azure IoT Suite announced last month and set for preview release in the second half of this year. Microsoft says the Azure IoT suite will offer three ready-to-customize applications: remote monitoring (think KPIs from remote devices), asset management (controlling remote devices in some way), and predictive maintenance (monitoring and analyzing performance over time so you can avoid unplanned downtime). 

Microsoft is far from alone in the IoT arena. In fact, the likes of General Electric, Cisco, Intel, and SAP already have elaborate IoT plans in place. Constellation Research IoT expert Andy Mulholland informs me that each has an important roles to play: GE on Industrial Internet apps (where it has been a pioneer), Intel on data security, Cisco on network and fog computing intelligence, SAP on industry business processes IoT apps. None of these companies can match Azure’s global cloud footprint, so that’s where Microsoft can shine with broad services capabilities that are designed to work with it popular software.

A closer competitor to Microsoft will be IBM, which late last month announced plans for a dedicated IoT business unit. IBM says the business will be staffed by more than 2,000 consultants, researchers, and developers, and it has pledged to invest $3 billion over the next four years.

IBM, too, offers broad cloud services, but it’s also taking an industry-focused approach, eyeing vertical apps, partner networks, and entire industries. One early offering is an insurance app framework designed to tap into connected vehicles so insurers can use real driving data to set rates with a better understanding of risk.

IBM is also building out a data and industry ecosystem for IoT. For instance, The Weather Company, parent of the Weather Channel, plans to run its business-to-business weather data platform on IBM Softlayer, and IBM IoT customers will be offered both streaming and historical weather data.

Imagine real-time weather data combined with sensor data to optimize supply chain delivery or stocking of products with historical knowledge of weather-related buying patterns. Weather is clearly an important real-time decision factor (read Guy Courtin on floods, blizzards, hirricanes, and other supply chain disruptions). No surprise that Microsoft is a partner with Weather Company rival AccuWeather, which is running part of its infrastructure on Azure.

All these investments should tell you that IoT and related services are not hyped up brochureware. It can start with simple internal applications. For example, I recently talked to JJ Food Service, a U.K.-based distributor that’s planning to use Azure services to monitor its more than 200 refrigerated delivery trucks via Bluetooth temperature sensors synced with driver smartphones. Drivers and dispatchers will be alerted when temperatures fall below levels where foods like ice cream and seafood would spoil.

This is really an “intranet of things” app, Andy Mulholland tells me. If you want a sense of how sophisticated IoT apps can get, read Andy’s blog about how Harley Davidson has cut the time required to create a custom motorcycle from 21 days down to six hours. 

Practical intranet of things apps like the one envisioned by JJ Food Service show that IoT initiatives can start small with non-mysterious, non-bleeding-edge endeavors where you know there’s a return on investment. Look for simple, obvious use cases in your day-to-day operations to get your feet wet. With services accessible via the cloud, IoT (or small “i”, small “t”) apps will be easy to pilot without a huge commitment to building out real-time infrastructure.

Media Name: Fujitsu Eco-Management Dashboard.jpg
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