By Rich Ptak
IBM’s string of billion dollar spends resulting in
acquisitions, investments and disinvestments in software companies, platforms
and technologies have raised speculation for some time. Yet, others, both
vendors and
consumers of IT, apparently shared similar, albeit more limited visions,
following less ambitious paths. IBM Pulse 2014 recently held in Las Vegas was filled with
announcements that shed light on the impetus behind these activities. A lot of
information was shared, much of which we will comment upon this year. Here, we
focus on three issues that struck us of special interest.
It is clear that IBM is playing a longer game with a
strategy that will fundamentally change them. It affects what product they
develop, how they deliver, as well as how they are presented to and consumed by
users at all levels. If things play out as imagined, the world of IT and
consumers changes radically. This is an undertaking with significant risks. Too
big for one sitting, we deal with it in pieces. See other blogs on our site at: http://ptakassociates.blogspot.com/.
Lets look at three significant changes:
1. IBM
is reconfiguring itself to IBM-as-a-Service. No, they will not abandon their
hardware and software products (though they are trimming some away). They are
altering how they think, what they do, and the way they deliver value to
customers. From now on, they will offer integrated services that help customers
use technology to achieve enterprise goals. Doesn’t sound all that different
from past statements or even from what is said by competitors. But it is very
different. The difference is in the breadth of vision of the task being
addressed. The difference is in the way services are built, paid for and
offered. The difference is in how IBM, its business and technology partners
view the changes to the way business functions.
2. The
second item for discussion is the emerging model of composable businesses. Old
business models are too slow, too rigid to remain in place. While IT has been
solving business problems for a long time, the last decade has seen the breadth
of IT involvement in business processes explode. On-line shopping is one highly visible
aspect. Perceptive enterprises are
learning that they can, indeed, must make effective and faster use of
technology to respond to consumers’ rapidly changing behavior. As an example,
US retail sales data collected on Black Friday (the day after Thanksgiving),
2013 was analyzed and reported that same day. An analysis examined sales
executed using iPads versus ‘traditional’ on-line connections. Data included not
just sales volume, but user experience, time to complete, comparison of
performance by platform, etc. IT staff
were able to adjust apps and infrastructure to boost sales. Fundamental to the ability of IT and business
staff to respond were Cloud, Big Data/Analytics, open standards and
well-executed planned integration. Research indicates that that only about 25%
of some 20 Million developers worldwide have even touched the Cloud. This must
change and leads to the third point.
3. A
major gap that must be bridged exists between ‘Systems of Record’ which
dominates in traditional IT and that which is needed to support a composable
business model. It is a gap in experience and function. The answer cannot be
one of wholesale replacement to leap into the new environment. It requires
plans and services to help at every stage of what will no doubt be a long,
challenging journey. To survive, businesses must become composable, i.e. able
to adapt, innovate and deliver new services at the speed of the internet.
Traditional IT operations and architectures have no chance. The existing
(Cloud, Big Data/Analytics, Mobile) and emerging technologies of IT drive this
new business model.
One critical need for
the transition is being addressed by standards organizations and groups, such
as TOSCA, OpenStack, Cloud Foundry, OASIS, Cloud Standards Customer Council
setting the standards, providing implementation plans and creating patterns for
design, configuration, etc. These tasks are well underway and supported by a
large number of companies including IBM.
A second need is to help developers become familiar with the
technologies which enable the composable business. This is now available with
the IBM BlueMix Platform-as-a-Service. BlueMix is a PaaS specifically designed
to allow developers experience at creating cloud apps and services. It allows
programming in many languages, allows access to multiple services including Big
Data/Analytics, Mobile and Integration (e.g.
with Systems of Record solutions), as well as DevOps services. It has been
specifically designed for Mobile environment.
There is much more included and you can find more details in our blogs and from
IBM.
No one has the breadth of offerings or the depth of
experience or the hubris to fully define the radical change taking place in the
consumption of technology by enterprises and business. However, IBM has taken a
major step forward by articulating the vision as they redefine themselves to
live it. By committing themselves to becoming IBM-as-a-Service, and sharing
their experiences through products, services and cooperative effort, they
demonstrate their commitment to helping IT, consumers and business on that
journey. The future is impossible to fully predict. IBM admits there are many
unknowns. Waiting for full clarity is not an option, those that move to where
the market is moving will be best positioned to benefit when it arrives. It is
going to be quite a journey.
Nice Job...
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