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©2016 Avanade Inc. All Rights Reserved.
THE NEW ECONOMICS OF IT
Modernization
In the cloud-first digital world,
IT moderni...
©2016 Avanade Inc. All Rights Reserved.
Marketing
“We need to be able to understand
our customers better”
The increasing e...
©2016 Avanade Inc. All Rights Reserved.
Two distinct approaches are required for the digital world
1Gartner define this as...
©2016 Avanade Inc. All Rights Reserved.
Our Microsoft
ecosystem
expertise is
unsurpassed.
Avanade is a specialist in moder...
©2016 Avanade Inc. All Rights Reserved.
INFRASTRUCTURE Modernization
Build an application led flexible, hybrid, automated,...
©2016 Avanade Inc. All Rights Reserved.
BUSINESS VALUE
IT perceived as
an operational
cost center
Efficient IT
environment...
©2016 Avanade Inc. All Rights Reserved.
LEGACY CONVENTIONAL MODERNIZED
The Reality
We know it’s
not quite that
simple…
“Mi...
©2016 Avanade Inc. All Rights Reserved.
BUSINESS VALUE
LEGACY CONVENTIONAL MODERNIZED
Application Modernization Value Curv...
©2016 Avanade Inc. All Rights Reserved.
BUSINESS VALUE
LEGACY CONVENTIONAL MODERNIZED
A Client’s Application Modernization...
©2016 Avanade Inc. All Rights Reserved.
BUSINESS VALUE
LEGACY CONVENTIONAL MODERNIZED
Infrastructure Modernization Value C...
©2016 Avanade Inc. All Rights Reserved.
A Client’s Infrastructure Modernization Journey
BUSINESS VALUE
LEGACY CONVENTIONAL...
©2016 Avanade Inc. All Rights Reserved.
BUSINESS VALUE
LEGACY CONVENTIONAL MODERNIZED
By 2020, 60% of
business users will ...
©2016 Avanade Inc. All Rights Reserved.
BUSINESS VALUE
LEGACY CONVENTIONAL MODERNIZED
Updated to a modern
operating system...
©2016 Avanade Inc. All Rights Reserved.
LEGACY CONVENTIONAL MODERNIZED
The Multiplier Effect
Workplace platform
dated whic...
©2016 Avanade Inc. All Rights Reserved.
Click to add title
• An integrated global team with the
resources to deliver both ...
©2016 Avanade Inc. All Rights Reserved.
Avanade’s Offerings
AS A SERVICE
Application Managed Services
Cloud Transformation...
©2016 Avanade Inc. All Rights Reserved.©2016 Avanade Inc. All Rights Reserved.
Get on your journey and find out how we can...
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New Economics of IT: Modernization

The increasing expectations of digitally savvy stakeholders are leading to IT leaders facing pressures to deliver modern working, better cost predictions, better customer insight & faster responses to market movements. Avanade help our clients modernize their IT systems utilizing a holistic view of modernization, check out our deck on how we can help you to modernize your applications, infrastructure and workplace. For more info on Avanade's New Economics of IT approach, please visit: http://avana.de/24wrY6G

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New Economics of IT: Modernization

  1. 1. ©2016 Avanade Inc. All Rights Reserved. THE NEW ECONOMICS OF IT Modernization In the cloud-first digital world, IT modernization is critical to successfully achieving a New Economics of IT
  2. 2. ©2016 Avanade Inc. All Rights Reserved. Marketing “We need to be able to understand our customers better” The increasing expectations of digitally savvy stakeholders CEO “I expect 41% of revenue to be digital1 by 2020.” Sales “I want to be as productive on the road as I am at my desk” 51% of CIOs cannot respond in a timely manner to digital opportunities.1 Finance “I need to minimize the amount of risk the business is exposed to so I can predict costs” Project Manager “I want to be able to communicate with my client teams as easily as I can with my friends” 1 Source: Building the Digital Platform: Insights From the 2016 Gartner CIO Agenda Report Business unit leader “We need to be able to respond faster than our competition to digital business opportunity”
  3. 3. ©2016 Avanade Inc. All Rights Reserved. Two distinct approaches are required for the digital world 1Gartner define this as Bimodal IT 2 Source: “The Most Common Barriers to Adopting Bimodal and How to Overcome Them”, Gartner, 2016 PREDICTABLE “Optimize the core” by managing, maintaining and securing core IT systems with new approaches EXPLORATORY “Innovate the business” by experimenting with new technology to identify new opportunities In the cloud-first digital world, IT MODERNIZATION is critical to successfully achieving a New Economics of IT BUT “Legacy systems are the third biggest blocker behind culture & priority to adopting a bimodal IT model” Gartner2 “… and it’s renovation of the legacy environment that unleashes the full potential of bimodal”2
  4. 4. ©2016 Avanade Inc. All Rights Reserved. Our Microsoft ecosystem expertise is unsurpassed. Avanade is a specialist in modernizing the Microsoft technology ecosystem With a proven track-record in Managed Services. Recognized for our ability to transform businesses for the digital world.
  5. 5. ©2016 Avanade Inc. All Rights Reserved. INFRASTRUCTURE Modernization Build an application led flexible, hybrid, automated, infrastructure which scales to business demands APPLICATION Modernization Invest in modern engineering practises to create differentiated, liquid applications using a cloud first approach Avanade’s approach to modernization focuses on three major areas: The Journey to IT Modernization WORKPLACE Modernization Modernize your workplace platform, and build connected collaboration tools to lay the foundations for a digital workplace ©2016 Avanade Inc. All Rights Reserved.
  6. 6. ©2016 Avanade Inc. All Rights Reserved. BUSINESS VALUE IT perceived as an operational cost center Efficient IT environment to enable business agility IT empowering the business to innovate LEGACY CONVENTIONAL MODERNIZED Typical Stages of a Modernization Journey LEGACY IT refers to aging parts of the IT environment which add risk and cost to the business CONVENTIONAL IT refers to the typical types of systems businesses are running on today MODERNIZED IT refers to the next wave of business value-add IT to help address the digital age Typical Journey
  7. 7. ©2016 Avanade Inc. All Rights Reserved. LEGACY CONVENTIONAL MODERNIZED The Reality We know it’s not quite that simple… “Migrating from an unsupported server OS means I can’t just lift and shift everything. I need to consider different approaches for my infrastructure and each application” “This is our third merger in as many years. Integrating device, data and application security with identity management across different data centers and cloud providers is becoming a train wreck” “I know doing more with agile and DevOps will help connect the dots between business and IT faster, but I just don’t have the skill sets available across my teams to make it happen”
  8. 8. ©2016 Avanade Inc. All Rights Reserved. BUSINESS VALUE LEGACY CONVENTIONAL MODERNIZED Application Modernization Value Curve By 2018, the transition to agile, DevOps and Web-scale IT practices will become as disruptive to IT as the adoption of lean was to manufacturing during the 1980s. 2 466% five year ROI from moving from Azure IaaS to Azure PaaS 3 Typical Journey Industry Trends 1.The Total Economic Impact™ Of Microsoft Office 365 For Commercial Users, Forrester, 2016 2.Source: “Predicts 2015: Application Development ”, Gartner, November 2014 3.The Total Economic Impact™ of Microsoft Azure Platform-as-a-Service App business value reduces as business requirements evolve Application portfolios rationalized and modernized to deliver on dynamic business needs PaaS used to enable 50% faster app delivery time to market2 Modern engineering practices, agile approaches and realigned IT teams deliver differentiated applications IT perceived as an operational cost center Efficient IT environment to enable business agility IT empowering the business to innovate Applications migrated away from the legacy platform Legacy on-premise applications in use for key business- critical functions SaaS used to reduce IT support costs by 10%1 Modern engineering platforms deliver liquid applications which provide competitive advantage
  9. 9. ©2016 Avanade Inc. All Rights Reserved. BUSINESS VALUE LEGACY CONVENTIONAL MODERNIZED A Client’s Application Modernization Journey Centrica’s Journey App business value reduces as business requirements evolve Application portfolios rationalized and modernized to deliver on dynamic business needs Modern engineering practices, agile approaches and realigned IT teams deliver differentiated applications IT perceived as an operational cost center Efficient IT environment to enable business agility IT empowering the business to innovate Applications migrated away from the legacy platform Legacy on-premise applications in use for key business- critical functions Modern engineering platforms deliver liquid applications which provide competitive advantage Centrica RESULTS REALIZED Utilizing agile best practises via Avanade managed services modernizing Centrica’s trading platform led to: • Increased trading volume by 50%, • Reduced downtime by 50% • Reduced time to resolve incidents by 60%
  10. 10. ©2016 Avanade Inc. All Rights Reserved. BUSINESS VALUE LEGACY CONVENTIONAL MODERNIZED Infrastructure Modernization Value Curve 60% of organizations are either already using DevOps, or plan to implement it in the next 24 months3 80% of Enterprise IT organizations will commit to Hybrid Cloud architectures by 20172 Typical Journey Infrastructure ages, maintenance costs rise and risk to the business increases Business needs change, infrastructure becomes both inefficient and a significant risk to the business Infrastructure refreshed on- premises, with optimized hardware and virtualization IT begins to extend their environment into the cloud with an application led approach Cloud infrastructure used to reduce app deployment times from weeks to a couple of hours1 Unified identity allows connected ecosystems with business partners Infrastructure as code used along with automated provisioning, configuration, monitoring and self- healing Seamless integration between on- premises on cloud environments Processes and teams leverage DevOps practices as a single transparent unit Industry Trends 1.Avanade & AidMatrix public case study 2.IDC FutureScape: Worldwide Cloud 2016 Predictions — Mastering the Raw Material of Digital Transformation, IDC 2015 3.Survey Analysis: DevOps Adoption Survey Results, Gartner, 2015 IT perceived as an operational cost center Efficient IT environment to enable business agility IT empowering the business to innovate
  11. 11. ©2016 Avanade Inc. All Rights Reserved. A Client’s Infrastructure Modernization Journey BUSINESS VALUE LEGACY CONVENTIONAL MODERNIZED Global Publishing Group’s Journey Infrastructure ages, maintenance costs rise and risk to the business increases Business needs change, infrastructure becomes both inefficient and a significant risk to the business IT begins to extend their environment into the cloud with an application led approach Cloud infrastructure used to reduce app deployment times from weeks to a couple of hours1 Seamless integration between on- premises on cloud environments Global Publishing Group RESULTS REALIZED Now the client is utilizing seamless hybrid integration with regards to their disaster recovery, with primary workloads in the cloud failing over to on-premises in the event of any downtime. 1.Avanade & AidMatrix public case study IT perceived as an operational cost center Efficient IT environment to enable business agility IT empowering the business to innovate
  12. 12. ©2016 Avanade Inc. All Rights Reserved. BUSINESS VALUE LEGACY CONVENTIONAL MODERNIZED By 2020, 60% of business users will be provisioned, in whole or in part, with office system capabilities from the cloud1 187% three year ROI on moving to Office 365, with the largest benefits coming in employee mobility & productivity2 Typical Journey Industry Trends 1.The Gartner Scenario for Application Software Providers: Building Digital Transformation in a Bimodal World 2.The Total Economic Impact™ Of Microsoft Office 365 For Commercial Users, Forrester, 2016 Workplace Modernization Value Curve Updated to a modern operating system and introduced collaboration solution Foundations laid to take advantage of the Digital Workplace Devices aligned with mobile-first modern business applications and collaboration tools Seamless user experience across platforms, applications and collaboration in a self-service manner Begin to integrate key application suites together for real-time messaging, file share and collaboration IT perceived as an operational cost center Efficient IT environment to enable business agility IT empowering the business to innovate Dated platform limits use of modern applications which constrains modern work styles Productivity applications running in silos with very limited automation Integrate device and data security with identity management as well as enterprise voice
  13. 13. ©2016 Avanade Inc. All Rights Reserved. BUSINESS VALUE LEGACY CONVENTIONAL MODERNIZED Updated to a modern operating system and introduced collaboration solution Foundations laid to take advantage of the Digital Workplace Devices aligned with mobile-first modern business applications and collaboration tools Seamless user experience across platforms, applications and collaboration in a self-service manner IT perceived as an operational cost center Efficient IT environment to enable business agility IT empowering the business to innovate Dated platform limits use of modern applications which constrains modern work styles Productivity applications running in silos with very limited automation UK Insurance Firm RESULTS REALIZED Since adopting Windows 10, Office 365 & Skype for Business, the client now has a unified and efficient platform for growth and employees can benefit from a 21st century workplace. A Client’s Workplace Modernization Journey UK Insurance Firms Journey
  14. 14. ©2016 Avanade Inc. All Rights Reserved. LEGACY CONVENTIONAL MODERNIZED The Multiplier Effect Workplace platform dated which limits application & infrastructure choices resulting in stagnated business value New infrastructure options means an informed application migration strategy can be executed, supported by change enablement. Self healing, hybrid infrastructure enables automated configuration & monitoring of applications & collaboration tools. Change enablement drives successful user adoption. DevOps is the glue between development and operations. For the best benefits.. Modernization should be viewed holistically
  15. 15. ©2016 Avanade Inc. All Rights Reserved. Click to add title • An integrated global team with the resources to deliver both results and value – wherever and whenever. • 80 Near and Offshore delivery centers across 5 continents in 22 Centers • 6 specialized studios in digital, cloud, agile and XD • 15 Centers of Excellence concentrations of highly-trained offshore consultants with key specializations such as cloud computing, dynamics AX, CRM, data & analytics and message & content migration • Intelligent Tools using automation to accelerate time to value and reduce risk • Proven methodology supported by Avanade Connected Methods • Cost modeling assets to maximize value • Modern engineering platform that minimizes the investment needed to rapidly benefit from the Agile and DevOps promise • Managed Service that allow businesses to focus their differentiators • Cloud first mobile first strategy • Recognized by IDC as the leader in Microsoft Enterprise Application Implementation Services • Global Mobility Practice with in- house user experience design capabilities • Agile@Avanade • Avanade has 10% of all Professional Scrum Trainers (PST) worldwide. • Unmatched premium skills Cloud strategy, application development and unified communications and collaboration 15 Why Avanade? Our Expertise Our Assets, Tools & Methods Our Global Delivery Network
  16. 16. ©2016 Avanade Inc. All Rights Reserved. Avanade’s Offerings AS A SERVICE Application Managed Services Cloud Transformation INFRASTRUCTURE Modernization Cloud Transformation APPLICATION Modernization Application Development Application Modernization Cloud Transformation WORKPLACE Modernization Desktop Modernization UCC Transformation
  17. 17. ©2016 Avanade Inc. All Rights Reserved.©2016 Avanade Inc. All Rights Reserved. Get on your journey and find out how we can help you with your modernization journey Next Steps Assessment or Proof of Concept If you already know where you’d like to get started, we can conduct any of a variety of assessments or proof of concepts to get you started and moving on your journey. Deeper Dive Discussion Engage with one of our subject matter experts in a workshop to discuss in more detail your most relevant area of modernization, be it Applications, Infrastructure or Workplace. Contact us today at: www.avanade.com/contact

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