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Accenture
Technology
Vision
2012
Contents
Foreword                            2
Introduction                        3
Technology Trends
 Context-based services             4
 Converging data architectures      10
 Industrialized data services       16
 Social-driven IT                   23
 PaaS-enabled agility               29
 Orchestrated analytical security   36
Implications
 The CEO’s agenda                   43
 IT’s agenda                        45
Research methodology                48
End notes                           49
Contacts                            50
Foreword                                                                                                                            Accenture Technology Vision 2012



We bring the Accenture Technology Vision 2012 to you at a
time of unprecedented change in the global economy and the
technology landscape. Our clients tell us that technology is
more important than ever to their business success. Some of
them sense that the world is on the verge of a new technology
revolution. We agree.
This next revolution will differ from previous        It is time to focus on technology as a driver for
disruptions. This time, technology is present         growth and take the bold decisions to move
in every aspect of our lives. The lines between       beyond IT’s legacy constraints—constraints
consumer and corporate technology continue to         that make it too difficult to change, too
blur. On-premise and off-premise technology are       costly to pursue new opportunities.
melding to drive much quicker processing—and
                                                      The coming transformation journey—changing          Pierre Nanterme              Kevin Campbell
faster and better business results. The flexibility
                                                      IT from roadblock to driver—won’t be easy. It       Chief Executive Officer      Group Chief Executive - Technology
of new technologies and architectures is forcing
                                                      will call for a comprehensive strategy that leads   Accenture                    Accenture
us all to rethink how we harness IT to make
it easier for our organizations to innovate.          to new architectures, new services, and new
                                                      platforms. And it will demand prompt, disciplined
The Accenture Technology Vision 2012 is               execution to bring those new approaches to life.
designed to help you identify these changes—to
make sense of the disruptions. But this year’s        The technology that you use will be radically
report challenges companies to go a step              different three years from now. Stand still and
beyond understanding—to start taking action.          you risk being left behind. Act now and you will
We urge you to plan thoughtful, appropriate           be poised for continued growth in the future.
responses and seize new opportunities.




2
Introduction                                                                                                                                          Accenture Technology Vision 2012




Responding to what’s ahead


Some drivers have an advantage over other        CIOs are feeling the pressure of a bevy             Increasingly, business leaders find that their   Doing so means starting this journey together
motorists: they can see around corners           of technology forces—forces like the                organizations’ success relies on keeping pace    with the business. It demands detailed
at night. With adaptive headlights in their      superabundance of computing power                   with rapidly shifting technology. Companies      discussions with the rest of the C-suite. It will
cars—lamps that swivel a few degrees when        and capacity and the soaring technology             must be prepared to recognize and take           call for CIOs to internalize these trends so
they detect that the car is turning—these        expectations of consumers, employees, and           advantage of new opportunities enabled by        they can start framing these discussions—not
drivers can spot the deer in the road a          even CEOs. Discussions on the impact of cloud       new trends, like context-based services or       talking about the technologies themselves
few milliseconds before the rest of us.          computing and mobility have become routine.         social technologies. But the new moves will      but about the impact they will have on the
                                                 IT organizations are just beginning to wrap their   come at a price. To change with the world        business, and the new initiatives they can drive.
To take prompt action, every CIO requires the    minds around Big Data. They’re pushing to weave     quickly and cost-effectively, there must be a
information equivalent of adaptive headlights—   analytics deeper into the organization. And         new IT base—new architectures, new services,     Some of you are already leading those
the ability to identify relevant trends before   some are asking themselves what to make of the      new platforms. And with a new IT base come       conversations with your business colleagues—
others do. Indeed, they and their business       perennial discussion of the Internet of Things.     new risks and new precautions, so information    and with your IT staff. For those who aren’t,
colleagues need the clearest possible guidance                                                       security has to become a top agenda item.        are you ready?
about changes in information technologies.       Yet even as CIOs begin to react, the list of
With the right guidance, they can effectively    change-making technologies continues to             IT leaders must take action now. They must be
lead their organizations as they adapt to        grow. Recognizing that forces such as the cloud     the ones who lead their enterprises through
the rapidly changing world we live in.           are just the starting point, Accenture’s annual     this turbulent new world. Inside 100 days
                                                 Technology Vision provides our perspective          of reading this report, they should have
                                                 on the future of technology beyond the              begun to map out their strategies to leverage
                                                 conversations already on the table. This year’s     these trends over the long haul. Within 12
                                                 report—Technology Vision 2012—outlines the          months, they should be starting to execute
                                                 new technology trends that forward-thinking         these plans to put their enterprises on the
                                                 CIOs will use to position their organizations       path to new organizations, new processes,
                                                 to drive growth, rather than focusing on            new systems—even a new frame of mind.
                                                 cost-cutting and efficiency improvements.



                                                                                                                                                                                                          3
Context-based services
Context—where you are and what you’re doing—
will drive the next wave of digital services




4
Trend 1 - Context-based services   Accenture Technology Vision 2012
Trend 1 - Context-based services                                                                                                                                     Accenture Technology Vision 2012



Forget about the much-discussed Internet of Things. The really
interesting news is that data from a host of new sources,
combined with technologies that rapidly aggregate and analyze
the data, will deliver fresh insights that can give users much more
immersive and valuable experiences online—and in the real world.
Services that alert you to the nearest Starbucks       mile radius or what route to walk from this          meet the renter at the scene, greatly improving
or gas station just aren’t enough for users these      subway stop to that unfamiliar office building.      the chances of creating a loyal customer for life).
days. Those services don’t “know” you; they
                                                       Today, we have ready access to enough historical     CIOs and other IT leaders who get it—who
don’t know what you’re trying to do right now.
                                                       and real-time data and we know enough about          grasp the importance of context-based
What can still attract users? Services that            what is happening in enough places to be able to     connections—will be able to establish
combine real-time signals from the physical            offer services that are enabling and entertaining.   themselves, and their organizations, as strategic
world with location data, online activities, social    More data, by itself, isn’t enough—technology        players. They will immediately be able to offer
media, and many other types of contextual              now enables rapid aggregation of data from           new levels of insight that will differentiate
inputs. It might be support for a pharmaceutical       multiple sources and delivers new insights           their organizations from competitors.
sales rep tailored to the context of the doctors       that can give users much more immersive and
she will be meeting and the drugs she’s selling. It    valuable experiences. The key—beyond the             What context-based services aren’t
could be data made available to a technician at        proliferation of data and the ability to analyze
                                                                                                            It’s important to deflect any misconceptions
an oil refinery, customized to the equipment he’s      it every which way—is to ensure that context
                                                                                                            about context-based data services. To begin
servicing and what its downtime history looks          enables the services that make sense right
                                                                                                            with, they are not about “really cool” mobile
like. Or it might be a shopping app that gives a       at the point where an action takes place. In
                                                                                                            phone handsets—regardless of how much their
customer fast access to more information about         effect, context allows organizations to shift
                                                                                                            new apps may impress. Although devices such as
a new jacket whose quick response (QR) code            their focus from insight (for example, business
                                                                                                            mobiles are indeed essential vehicles for some of
she’s scanned in the store; tells her how far she      travelers place a premium on the ease and
                                                                                                            those services, that is all they are. Mobility is just
is from stores that carry other sizes of the jacket;   speed of interaction when choosing rental car
                                                                                                            one of many factors that help to convey context.
alerts her to her available credit balance; and        companies) to actionable insight (streamlining
gets instant opinions, via Facebook, from her          the car rental process allows frequent renters       Nor are context-based services all about the
friends about whether they like the jacket or not.     to avoid lines, thus increasing customer loyalty)    cloud. It’s true that connected devices—mobile
                                                       to insight at the point of action (for instance,     and otherwise—will exchange data with cloud-
The new high ground for data services is not in
                                                       the rental company automatically detects when        based service providers, but the cloud is nothing
location-based apps. It is in a kaleidoscope of
                                                       an accident with one of its cars has happened,       more than a logical data-aggregation point.
context that adds up to rich user experiences—
                                                       proactively initiates emergency services if          Similarly, “context-based” is not synonymous
far more alluring than simple indications of
                                                       needed, and issues a replacement rental car to       with “location-based.” The importance of being
how many friends are inside the same one-

6
Trend 1 - Context-based services                                                                                                                            Accenture Technology Vision 2012


able to integrate data from the physical world
beyond location—inputs from QR codes are only
                                                  The next few years are likely to see an expansion
                                                  in the volumes and types of sensors available
                                                                                                      the retailer and the original producer but for
                                                                                                      others in the shopper’s social network as well.       What it means for
one example—must not be underestimated. And
context is not just another example of social
                                                  to add context. The industrial world already
                                                  benefits from radio frequency ID (RFID) systems     Given richer context—access to the shopper’s
                                                                                                      interests, shopping history, or age, perhaps—
                                                                                                                                                            the business
media, although social certainly adds context     in which RFID-tagged items supply contextual
such as shared interests or opinions. It’s in     data about their locations, time, temperature,      providers will offer services that better align       • New products and services based on
the aggregation of all of these things that we    and much more. Now we anticipate a rush             with his needs and wants. Indeed, we expect             context from inside and outside of the
truly see the power of context-based services.    of specialty devices that will excel in niche       that products, services, retailers, and enterprises     enterprise
They create an experience that adds levels of     areas—health monitors that test for blood           will be differentiated based on their ability
utility and richness—and yes, complexity—that     sugar levels, for instance, or wristbands that      to meet users’ requirements in this way.              • New contextual data services that
were not possible even just a few years ago.      transmit signals about a patient’s activity         The power of context will enrich not only online        enable companies to more easily add
                                                  levels to mobile-linked health care systems         interactions but real-world ones as well. Today,        capabilities to their existing products
Context-based services that                       that add context about family health history        online shopping experiences have surpassed
transcend mobile apps                             to enable patients to improve their own health      what is usually available in the physical world;      • New capabilities to experiment with
                                                  care. Apple’s latest iPhone, for instance,          it is possible to view different colors, styles,        new services and iterate quickly based
Context-based services have existed in            contains Bluetooth Smart technology—a                                                                       on pilots
                                                                                                      sizes, and availability of merchandise; to put
rudimentary forms for some time; to an extent,    new standard that supports connections to           shopping carts on hold; to pay in many different
they are evident in the Internet of Things—for    sensors that consume very little power.             ways; to redeem coupons easily; and more. The
instance, in the real-time readings on pace
                                                                                                      next few years will see a push toward merging
and time that marathon runners receive from       The power of context                                the physical and virtual shopping experiences.
a transmitter tag laced to a shoe. They are
                                                  One other source of context is in what is           Blippar, for example, offers augmented reality
also apparent in the recommendation engines
                                                  shared—which is where blogs, chat rooms,            capabilities that allow retailers to experiment
used by sites such as Amazon, Netflix, and
                                                  message boards, social media, product               with doing just that today. And Shopkick
LinkedIn. Recommendation software not
                                                  reviews, and the countless other wells of           enriches the in-store shopping experience with
only keeps track of your personalized history
                                                  online data come in. We can detect or infer         personalized offers, highlights products that
and uses it to infer interests; today, it can
                                                  certain information about others based on our       others have liked, and rewards customers for
produce suggestions based on what others
                                                  interactions with them or, even more simply,        walking into selected stores. The reward for
in your social circle or professional group
                                                  we can give them the opportunity to share           walking in is just the bait; the context piece
are doing. For instance, if other users in your
                                                  it themselves. It turns out that users readily      comes from location (knowing you’re in the
network are reading a popular business book,
                                                  share meaningful personal context; they just        store), understanding interests and intent
a site may propose that you purchase it,
                                                  need to have a compelling reason to do so.          (scanning an item you’re thinking about), and
too—and provide a one-click link to do so.
                                                                                                      social connections (knowing what others liked).
And of course many phones—they do not             So when a retailer provides QR codes in its
                                                  stores, it enables the shopper to access new        The emergence of more context-based services
even have to fit the definition of Web-
                                                  and valuable sources of information about a         will have a compounding effect— those
ready smartphones that access vast stores
                                                  product or service. Because this is something the   new services themselves provide additional
of apps—have location-sensing capabilities
                                                  consumer wasn’t able to do before—or wasn’t         sources of context. The expanding richness
that provide their users with useful
                                                  able to do with such ease and reliability—he is     of context will be a fast-moving capability
proximity data, route planning, and more.
                                                  willing to trade some personal data in exchange.    that enterprises will need to watch.
                                                  That data in turn becomes valuable not only for
                                                                                                                                                                                                        7
Trend 1 - Context-based services                                                              Accenture Technology Vision 2012



This time next year                        “CIOs and other IT leaders who get it—who
Over the next 12 months, the IT             grasp the importance of context-based
organization should:
                                            connections—will be able to establish
• Create strong links with business
  functions that directly influence the     themselves, and their organizations, as
  consumer experience.
                                            strategic players. They will immediately
• Compile a firm list of context-based
  services that is regularly updated        be able to offer new levels of insight that
  as circumstances change—and that
  forms the basis of discussion with        will differentiate their organizations from
  the business side in order to drive
  the platform for context across the       competitors.”
  enterprise.
                                           What’s possible                                    they use. The banks benefit because they can
• Form a pilot team that blends user                                                          reduce the considerable costs of confirming a
  experience specialists with data         Several interesting examples show how              customer’s location abroad and reimbursing for
  scientists to experiment with new        context-based services may unfold. The             any fraudulent withdrawals from an account.2
  contextual data services.                service from a company called Reach.ly scans
                                           Twitter accounts in search of mentions of          However, it is still early days for context-based
• Establish an environment that enables    planned trips; with the information it gleans,     services. Current services barely scratch the
  experimentation—rapid development,       it enables hotels to contact travelers who         surface of what’s truly possible. Although
  planning, and deployment.                have indicated that they are heading to their      many of the technology challenges are being
                                           vicinity. In another case, several mobile phone    overcome, and although contextual data and
• Begin developing a data platform to      services providers are experimenting with          the means to synthesize it have reached critical
  handle contextual data and analytics,    technology that automatically deactivates          mass, other hurdles remain. For instance, privacy
  including appropriate privacy controls   phones while their owners are driving.1            issues are likely to make headlines soon as
  on potentially sensitive personal                                                           privacy watchdogs jump in to defend against
  information.                             And Misys, a provider of IT solutions for the      unauthorized tracking of citizens or consumers.
                                           financial services sector, is working to combat    In the United States, consumer advocacy groups
• Develop a data roadmap to depict how     bank fraud with GeoGuard, its new consumer         are particularly vocal about such issues.
  to acquire the critical data necessary   location-based offering running on the Force.
  for the next generation of context-      com platform. GeoGuard collates geographic         The skills needed to deliver context
  based services.                          information and enables customers to allow
                                           their banks to request their most recent           So what will it take for IT departments to help
                                           location information, regardless of the services   their organizations deliver rich context-based


8
Trend 1 - Context-based services                                                                           Accenture Technology Vision 2012


experiences to their customers? Context-based
services should be limited only by the creativity
                                                        Context-based services require very different
                                                        thinking from IT leaders. They call for a          Your 100-day plan
of the business, not by IT’s ability to deliver.        much broader and more dynamic view of the
                                                        possibilities for adding value for the business,   Suggested actions to take during the next
It should go without saying that skills in user         and they demand different skills and stronger      three months:
interface design will be high on the list. At           links within the enterprise than has been
the same time, it will be beneficial to have            typical to date. But those who grasp the           • Identify ways to drive the discussion
expertise in the design of high-quality customer        importance of these connections will quickly         toward the value of context; launch
experiences, whether you’re a retailer, a utility, or   establish themselves as strategic players.           discussions of new context-driven
a product manufacturer. One individual should                                                                opportunities with the business side.
be charged with the responsibility of overseeing
customer interactions across all channels.                                                                 • Start thinking in terms of multiple
For example, the Washington Post publishing                                                                  channels and following the mix of
company recently appointed a chief experience                                                                interactions that they enable (Web
officer, as did Cleveland Clinic some years ago.                                                             page to Facebook to retail to mobile...).
Also needed: strong management discipline
                                                                                                           • Start cataloging the contextual data
to get the best results from a mix of IT
                                                                                                             on hand.
traditionalists and creative user-experience
types. Orchestration skills will be essential
                                                                                                           • Start identifying new sources of data
for helping to handle the complex array of
                                                                                                             and determining how to acquire it
internal systems, not to mention the vendors
                                                                                                             (sometimes it must be bought, and
now populating the data services market,
                                                                                                             sometimes new mechanisms will be
where some forms of context will originate.
                                                                                                             needed to collect it in current systems).
Because new sources of context are constantly
popping up—and because there are always new                                                                • Sketch out the user experience skills
use cases, new services, new players, and new                                                                needed to pilot context-based services.
customer needs—context-based services will also
call for skills that encourage experimentation.                                                            • Plan an environment for
And they’ll require real flexibility and fast-                                                               experimentation.
paced ways of working because context that is
constantly in flux will lead to a need for agile                                                           • Draft ideas for how to leverage the
services that change as quickly as users do. IT                                                              technology that customers bring with
practitioners who are geared to traditional IT                                                               them.
cycle times will not be prime candidates for
the new roles needed; they’re unlikely to have
what it takes to get the best from the new
world of context and from an ever-changing
mix of widely distributed contextual data.

                                                                                                                                                     9
Converging data architectures
It’s not about the “big” in Big Data—data
architectures must bridge the old and the new




10
Trend 2 - Converging data architectures   Accenture Technology Vision 2012
Trend 2 - Converging data architectures                                                                                                                     Accenture Technology Vision 2012



Old approaches to data survive because structured forms of
data make IT leaders feel they’re in control. But new approaches
to managing unstructured data provide a whole new notion
of control—the ability to turn data into new streams of value.
Successfully rebalancing the data architecture portfolio and
blending the structured with the unstructured are key to
unlocking that value.
In 2011, even a casual reading of the technology    the status quo facing off against a maverick         Three changes that matter
media indicated that big changes were starting      camp that is enthusiastically—perhaps over-
to sweep through the IT department—whether          enthusiastically—seeing unstructured approaches      There are three fundamental data architecture
IT leaders recognized it or not. Big Data—the       to data as a panacea for all that ails IT today.     technology changes that, individually and
catchall term for the explosion in volumes and                                                           collectively, have significant implications for
types of data and the technologies emerging to      Neither stance is appropriate. Yes, what’s           IT leaders. We foresee a rebalancing of the
support it—was already making big headlines.        emerging is a new world of horizontally scaling,     database landscape as data architects embrace
Conference speeches and trade press articles had    unstructured databases that are better at            the fact that relational databases are no longer
begun the conversation about the importance         solving some old problems. More importantly,         the only tool in the toolkit. We anticipate
of distributed data and the idea of data as a       they’re prompting us to think of new problems        “bridge technologies” that will mix old and new
service. New technologies such as Apache            to solve whose resolution was never attempted        database forms. And we fully expect advances
Hadoop—a software framework that supports           before, because it just couldn’t be done. (Don’t     from the new to re-invigorate the old. In short,
data-intensive distributed applications—            misunderstand the “big” in Big Data—for most         we expect tomorrow’s conversations about
were already gathering momentum. In our             enterprises it’s not about finding ways to handle    data architectures to center on rebalancing,
Technology Vision 2011 report, we pointed out       massive amounts of Facebook or e-mail data.)         coexistence, and cross-pollination.
that companies needed to start conceiving of        But that does not imply “rip and replace”; in no
                                                    way does it render traditional databases obsolete.   IT leaders should be evaluating their data
data platforms in ways that better encompass
                                                    The truth is that now that we have technologies      portfolios for opportunities to rebalance the
the idea of data as the strategic IT asset.
                                                    that can deal with different types of data, there    use of relational and nonrelational databases.
Some enterprises are experimenting with data        is enormous value in maximizing the value of         Today’s data architects now have more choices
platform approaches, but it hasn’t been easy. In    the data in existing systems—in hybridizing          for solving unstructured data problems than
fact, there has been something of a polarization,   it with many forms of unstructured data.             simply jury-rigging relational databases to
with many of those steeped in traditional                                                                do so. Where today the data landscape is
relational database approaches defending                                                                 almost entirely relational, we expect that


12
Trend 2 - Converging data architectures                                                                                                                        Accenture Technology Vision 2012


landscape to change significantly. Over the next
decade, the proportion that is nonrelational
                                                      pollination is already happening at the vendor
                                                      level. Nonrelational databases were the first to
                                                                                                          development for several decades. Approaches
                                                                                                          to structuring information, gathering data           What it means for
will rise. It has been estimated that between
15 percent and 40 percent of all relational
                                                      integrate horizontal scaling technologies into
                                                      the core; now relational databases are starting
                                                                                                          requirements, storing data, and even solving
                                                                                                          data problems are driven by a view of the            the business
database management systems (RDBMS)                   to do the same. There is no shortage of start-up    world adopted from structured design
implementations would be better suited to             activity in the arena, meaning that investment      approaches and the trusty relational database.       • Potential advantage for small and
nonrelational platforms.3 But that shift does         capital is betting on cross-pollination;                                                                   midsize competitors since they lack
not imply that relational is somehow inferior.        newcomers include Xeround, Scalr, Akiban, and       This structured view of the world is entrenched        the “anchor” of heavy investments in
IT leaders will need to make their choices            Schooner. As these technologies reach maturity,     in organizations. Many CIOs still think of             legacy systems
based not on ideology but on the forms of             enterprises should re-evaluate their readiness      themselves not as the stewards of data but as
data they are using and for what purposes.            to tackle more complex data problems.               the data “owners.” And to a worrying extent,         • More accurate and more usable
                                                                                                          many senior IT managers remain convinced               business projections through the
The worlds of structured and unstructured data        Established vendors don’t plan to be left out       that all forms of data can still be dealt with         expanded use of probabilistic data,
are rapidly converging. Leading IT practitioners      of the new world. Just a few glimpses: Oracle       using conventional relational databases, so            enabled by new data platforms
must find ways to constructively manage               has marched into the unstructured world by          they are unwilling to try other options. In
the convergence and enable all forms of data          announcing its Hadoop-framework-based Big           many cases, the resistance is passive: stay the      • IT moves from blocker to enabler,
management to coexist, sometimes using                Data Appliance. IBM has built a new version         present course, ignore Big Data, and it will           improving the leverage of all available
bridge technologies. That’s the case at one large     of InfoSphere BigInsights for its smart cloud       go away. In other cases, the pushback is that          data, both external and internal to the
high-tech company that is using Hadoop to             infrastructure that uses Hadoop to analyze          the new technologies are “toy technologies”—           organization
process and import data into traditional systems      structured and unstructured data. And               not considered “enterprise grade.” In effect,
in ways that wouldn’t be possible with just           Microsoft recently announced plans to deliver       the traditional relational database has been         • Faster responses to queries, and more
the RDBMS approach. In essence, the Hadoop            enterprise-class Hadoop-based distributions         misused for decades because it has been                frequent and increasingly customized
framework becomes a preprocessing engine              on both Windows Server and Windows Azure.           seen as the only tool in the toolbox—and               iterations on those queries
for analyzing raw data to extract important           The shifts in vendors’ thinking are also seen       because IT departments haven’t had the
events before feeding the other systems. It           in consolidation moves as established players       vision and skills to use it in any other way.        See also “What it means for the business” in
is abstracted and integrated with existing            acknowledge that they must move into these                                                               Industrialized data services.
reporting in such a way that it minimizes             new realms. For example, Teradata acquired Aster    Yet we’re seeing the rapid rise of another group—
the impact on the rest of the enterprise.             Data Systems, a leader in Big Data analytics. The   the iconoclasts who are scraping unstructured
                                                      acquisition was designed to expand Teradata’s       data off Web sites, wikis, and Twitter feeds in
Over the long term, the high-performing               portfolio and bring businesses greater depth        order to find insights that can help them discover
organizations will be those whose IT groups           of analytic insight and faster time to value as     new customer segments, identify new product
recognize the need for coexistence and                they unlock the full potential of their Big Data.   directions, and more. These individuals are very
effectively marry the two worlds to get the most                                                          much in touch with the Web-scale companies
from their data. IT leaders must still be realistic   What’s complicating change                          that are already big names in the consumer
about the limits of what can be achieved via                                                              realm—companies such as Google, Amazon,
bridge technologies, sometimes waiting instead        Unfortunately, old IT habits die hard.              Facebook, and Twitter. They are often plugged
for the next generation of data technologies          Legacy thinking prevails. Existing views            into the open-source movement and to the
where cross-pollination between the structured        of data architecture are a product of the           academic and other research communities that
and unstructured worlds will fill gaps. This cross-   application lens that’s been applied to system      surround these Web-scale companies. For them,


                                                                                                                                                                                                              13
Trend 2 - Converging data architectures                                                                  Accenture Technology Vision 2012



This time next year                                the unstructured data milieu is something rich
                                                   and new and fun and cool that they want to play
                                                                                                         certainly have to evaluate and implement
                                                                                                         bridge technologies. For instance, Aster
                                                   with—and that can deliver real business results.      Data’s SQL-MapReduce helps IT departments
Over the next 12 months, the IT                                                                          deal with their lack of skills in nontraditional
organization should:                               At JPMorgan Chase, for example, many lines            database management until they have built up
                                                   of business now use a Hadoop shared service           that capability. Bridge technologies leverage
• Run data platform trials that leverage           for jobs ranging from extract, transform, and         existing investments; they will not immediately
  structured and unstructured data—with            load (ETL) processing and fraud investigation to      disrupt existing IT operations and are unlikely
  data in the platform and in use by one or        social media sentiment analysis.4 The service also    to unsettle the relational database adherents.
  more business processes.                         provides low-cost storage for varied types of         Deeper conversations with the software
                                                   data; for instance, it stores traditional financial   vendor community can help to accelerate
                                                   records and semi-structured Web logs as well as
• Create a list of other business                                                                        the introduction of bridge technologies.
                                                   unstructured text and social comment feeds.
  processes that can begin to leverage
                                                                                                         We expect that the rebalancing will happen
  data in the platform.                            Oil and gas companies are using SAP’s HANA            as a slow evolution as IT departments
                                                   in-memory appliance to review massive amounts         retire applications and start to replatform
• Create a tangible, funded roadmap,               of their raw exploration data. Utilities are using    in the cloud, on mobile devices, and using
  subsequent to successful trials, to              it to analyze large volumes of data from smart        bridge approaches. Rebalancing is likely to
  expand replatforming to a growing                meters and to optimize energy generation              achieve strong momentum where there are
  amount of data and other business                based on predictive patterns of consumption.5         the most gains to be made—in customer-
  activities.
                                                   To a large extent, the maverick groups that are       facing business processes, for example.

• Appoint a top-level executive who is             quite comfortable with all things Web scale           Forward-thinking CIOs will make strong
  responsible for an overarching data-             are working in fields such as marketing, new          business cases for new investments in select
  centric perspective—perhaps even                 product development, and customer relations,          systems to accelerate the retirement of existing
  appoint a chief data officer.                    but as they derive new data and new scraps of         software. They will need to identify “burning
                                                   insight, they are increasingly recognizing the        platforms” that they can use as spurs for
• Create a recruiting pipeline for data            need to work with IT to get actionable outputs        their new initiatives; a prime example would
  specialists in areas such as alternative         from what they’re producing. Forward-looking          be a business process that can benefit from
  database technologies and analytics.             CIOs will want to hire those mavericks.               being able to concurrently and rapidly access
                                                                                                         multiple forms of data from a host of sources,
• Demonstrate a “data stewardship”
                                                   How to think about the                                both external and internal to the organization.
  mentality rather than one of                     three underlying changes                              Over time, of course, concern about the
  ownership.                                       We predict that, increasingly, the effectiveness
                                                                                                         balance between relational and nonrelational
                                                                                                         will eventually become a tactical detail.
                                                   of IT leaders will be gauged by their ability to
See also “This time next year” in Industrialized
data services.
                                                   bridge the gap between the structured and             Furthermore, as CIOs envision how they can
                                                   unstructured worlds. Again, the important thing       foster coexistence between structured and
                                                   is that this must not be an exercise in “rip and      unstructured forms of data, they will need
                                                   replace.” CIOs who are serious about enabling         to resist popular notions that the Big Data
                                                   the coexistence of all forms of data will almost
14
Trend 2 - Converging data architectures                                                                                                                          Accenture Technology Vision 2012



“The rebalancing of data architectures                                                                      Old approaches to data survive because
                                                                                                            structured forms of data make IT leaders feel        Your 100-day plan
 will happen as a slow evolution as IT                                                                      they are in control. But it’s time to reframe the
                                                                                                            whole notion of control. It’s time to stop viewing   Suggested actions to take during the next

 departments retire applications and start to                                                               data as a means to an end—a platform that is
                                                                                                            designed to support an application—and start
                                                                                                                                                                 three months:


 replatform in the cloud, on mobile devices,                                                                seeing it as an underutilized asset. CIOs cannot
                                                                                                            stop or slow change as the fundamental trends
                                                                                                                                                                 • Identify the “burning platforms” among
                                                                                                                                                                   the organization’s business processes that

 and using bridge approaches. It is likely to                                                               toward rebalancing, coexistence, and cross-
                                                                                                            pollination proceed. But there is so much that
                                                                                                                                                                   can become the vehicles for change.


 achieve strong momentum where there are                                                                    they can do to prepare for those changes.            • Map out individuals on the business
                                                                                                                                                                   side who are current “data owners.”

 the most gains to be made—in customer-                                                                                                                          • Map available IT skills in light of

 facing business processes, for example.”                                                                                                                          the need to rebalance database
                                                                                                                                                                   approaches.

“revolution” is all about victory over SQL. Many      to think in terms of reskilling. If IT groups                                                              • Draft new methodologies for data
voices push forward the idea that scale is the        have professionals who know only relational                                                                  design in new projects.
driving reason why relational databases won’t         databases, they will perpetuate the “everything
be used in the future. But that’s not universally     is a nail” problem. The IT leaders themselves                                                              • Assess where current approaches aren’t
true and not always applicable; the arguments         will need to play the roles of orchestrators—                                                                meeting enterprise needs (for example,
about scale serve as a distraction from the main      adept generalists who excel at managing                                                                      where data integration is fragile or
issue. In practice, a lot of the conversation about   disparate sources and forms of data to create                                                                where replication is unmanageable)
Big Data is not necessarily about its “bigness.”      a symphony of new business possibilities.                                                                    and sketch out early retirement of
Very few organizations are going to need the                                                                                                                       applications wherever needs are not
type of scale that often makes the Big Data           At the same time, there will need to be
                                                      individual experts with skills in areas that                                                                 being met.
headlines. So, far from rendering the relational
database obsolete, the new advances will be           realistically do not exist in the traditional IT
                                                      world—for instance, specialists in alternative                                                             • Begin listing opportunities to provide
incorporated over time into the traditional
                                                      database technologies who understand which                                                                   new value-added data services.
databases, extending their performance.
                                                      to use in which circumstances. IT departments
                                                                                                                                                                 See also “Your 100-day plan” in Industrialized
New skills, new structure                             will probably post vacancies for specialists
                                                                                                                                                                 data services.
                                                      with statistical and analytical skills; in general,
for IT departments                                    there will have to be a steady rise in the
With an eye on the long term, CIOs will               analytic literacy of the IT group. And as more
have to think in terms of restructuring their         of these kinds of specialty skills come on
organizations. As a starting point, most              board, and as they reshape the interactions
enterprises need to build better data architecture    with the business side, the orchestrators
skills across the board. They will also have          will become more and more influential.
                                                                                                                                                                                                                  15
Industrialized data services
Freedom to share data will make data more
valuable—but only if it’s managed differently




16
Trend 3 - Industrialized data services   Accenture Technology Vision 2012
Trend 3 - Industrialized data services                                                                                                                       Accenture Technology Vision 2012



Now that data is being decoupled, enterprises are using it in
many different ways to unlock far more of its potential value.
They’re actively hunting for other useful data—outside their
organizations as well as inside—while keeping their eyes open
for opportunities to share their data. But most early data-
sharing activities are ad hoc. Needed next: fresh approaches to
data management.
You’ve got a problem if, several years from now,    The outcome: companies are rapidly creating        As things stand, most companies have some way
your IT organization is still organized chiefly     patchwork quilts of data integration systems       to go before they fully grasp the implications
around applications.                                whose sheer randomness and variety is              of decoupling data and then sharing it across
                                                    leading to inefficiency and complexity             the enterprise. The tendency is still to treat the
These days, data should be free to roam, and
                                                    that is unsustainable. Put simply, increased       emerging opportunities as data integration
that is a very good thing. Once unshackled from
                                                    sharing of data through data services calls        projects—as point solutions, not as ongoing
this or that application, it can be moved, shared
                                                    for a radical rethinking of how IT should          data services. After working lifetimes spent in
with alliance partners or suppliers, divided up,
                                                    handle data management. Data management            complete control of how and when their data
analyzed every which way, blended with other
                                                    shifts from being an IT capability buried          is stored, accessed, archived, and destroyed, it’s
data—whatever it takes to unlock much more
                                                    within application support to a collaborative      not easy for many IT managers to accept that
of its potential value. And that’s exactly what
                                                    effort of IT and business leaders working          they must now collaborate with others with
some far-sighted organizations are doing now.
                                                    in tandem that enables data to be used far         whom they share “ownership” of their data.
But freedom isn’t free. There are hidden costs      beyond the applications that created it.
in properly valuing and managing data now                                                              Industrializing the approach
                                                    In the next few years, we believe, leading
that it can be decoupled. Most organizations’                                                          to sharing data
                                                    organizations will master the types of data
efforts to share data broadly are ad hoc. Let’s
                                                    management necessary to strike the right           Accenture’s Technology Vision 2011 report
say the marketing group is grabbing data from
                                                    balance between constraint and freedom for         identified decoupling as a wide-scale trend
the customer relationship management (CRM)
                                                    their data, based on a clear-eyed view of the      worth watching—and doing something about,
system so it can study recent loyalty trends.
                                                    real value of the data. They will start to think   especially as it relates to data. Many enterprises
The system it sets up to capture, stage, and
                                                    in terms of industrializing the sharing of data.   are starting to recognize that their data has value
store the data is probably entirely different
                                                                                                       beyond its original purpose. More companies
from the system that the finance department
                                                                                                       are beginning to engage in richer data sharing
creates when using the same data sets to
                                                                                                       as analytics increases their appetite for more
calculate, say, customer retention costs.
                                                                                                       data and drives them to better utilize existing
18
Trend 3 - Industrialized data services                                                                                                                            Accenture Technology Vision 2012


data. In the financial services sector, for instance,
enterprises are fusing customer data, finance
                                                        anchored by an agile data services architecture.
                                                        According to chief executive Jeff Bezos, the
                                                                                                            data management. By creating an abstraction
                                                                                                            layer between data and applications, IT has the       What it means for
data, and risk data to spur development of new
products. In the process, organizations like
                                                        advances in data management developed by his
                                                        company’s engineers were the starting point
                                                                                                            opportunity to standardize and industrialize
                                                                                                            data management. In this model, consumption           the business
these are creating, formally or informally, new         for the architectures that underlie the cloud       of the data is what matters, not management
data services to respond to the opportunities.          storage and data management services offered        of it. The path toward centralization                 • Broader opportunities to leverage
                                                        by Amazon Web Services.6 Amazon’s CTO,              becomes easier and more cost-effective.                 data—both internal and external to
A virtuous cycle comes into play. The emergence
                                                        Werner Vogels, has mentioned that Amazon’s                                                                  the organization—to gain insights that
of the data platform will enable organizations                                                              Interestingly, this new world of data sharing is an
                                                        loosely coupled services model enables the                                                                  can enrich new product development,
to expose more data as a service, accelerating                                                              about-face for systems administrators who have
                                                        company to respond very quickly to new ideas.7                                                              strengthen customer loyalty, and more
the trend. It is starting to break down data silos                                                          traditionally been charged with owning the data.
and hide the complexity of underlying storage           As the horizontal-scaling technologies of these     Under the data-sharing model, the concept of          • Increased agility to respond much
and access. As a result, sharing and integration        pioneers spread to mainstream business, they        data ownership is no longer valid. By its nature,       faster to data-driven opportunities
get easier as at least some barriers are removed.       have been open-sourced, improved, and made          the more data is shared, the more value the
Today, these data services are being built on an        ready for the enterprise. Previously, it has been   company sees. So, instead of ownership, CIOs          • More accurate and more usable
as-needed basis as new use cases are discovered.        necessary to “overprovision” a resource; now,       must begin to think about data responsibility           business projections through the
Decisions about sharing data—and the chances            data services enable users to provision for today   as well as data accountability. For the most            expanded use of probabilistic data,
of a business process owner knowing where               and expand when they need more. So, on day          part, data accountability is familiar ground:           enabled by new data platforms
to find useful data in the organization – are           one, the sales organization doesn’t need to         CIOs will still be squarely charged with laying
one-offs. How does the production manager               anticipate all possible data consumers for the      the groundwork for data design, governance,           • New discussions of data’s value and
who needs better forecasts find the sales               order tracking system and doesn’t have to invest    and implementation. IT will be accountable for          decisions about how to charge for its
analyst whose market research data fills in             in infrastructure for users that don’t yet exist.   creating a centralized mechanism for how data is        use
gaps in projections? But the continued push                                                                 managed throughout systems and IT processes.
toward data platforms will soon enable this             A new era of data management                                                                              See also “What it means for the business” in
                                                                                                            However, things shift from the traditional            Converging data architectures.
to happen at scale—“scale” not in terms of              It has always been difficult to provide business    when data starts flowing through the system,
accommodating colossal volumes of data but              users with the data they need to make effective     becoming more and more distributed throughout
in terms of industrialization, where a structured       decisions. At every stage, the siloed nature of     the company. Business units from all over
platform approach enables such decisions to             data tied directly to applications has thwarted     the enterprise will be creating, consuming,
be made over and over again consistently.               IT’s efforts to manage data consistently across     and sharing data with each other, making it
To a large extent, enterprises can do this              the organization. Data management efforts           important to focus on data responsibility. Who
because there have been dramatic advances               must be duplicated for each silo, driving the       is responsible for the data at each stage of its
in the technologies and capabilities used to            cost up and ROI down—think North American           life cycle? The shift has, essentially, resulted in
manage, process, and store data. Many of                versus Asia-Pacific sales, perhaps, or different    the creation of a data supply chain. It will be up
these have been incubated by Web pioneers               product groups for hair care and for skin care.     to the CIO to start working with business units
such as Amazon, Facebook, Yahoo, and Netflix,           Taking data management from good to great           to coordinate data responsibility from creation
rather than traditional technology vendors.             often becomes an unappealing exercise after         to distribution, more as if they were managing
Essentially, the pioneers developed solutions           the third or fourth implementation. A data-         the end-to-end manufacture of a bicycle than
for their own data-management challenges.               sharing model, by its nature, will accelerate       a workflow of electronic ones and zeros.
                                                        companies toward the notion of centralized
For instance, Amazon’s service-oriented model is
                                                                                                                                                                                                                 19
Trend 3 - Industrialized data services                                                              Accenture Technology Vision 2012



This time next year                            “Put simply, increased sharing of data
Over the next 12 months, the IT                 through data services calls for a radical
organization should:
• “Re-architect” the organizational
                                                rethinking of how IT should handle
  structure to gear it toward data
  services.
                                                data management. Essentially, data
• Create and fill new roles: Senior role
                                                management shifts from being an IT
  in charge of data management, along
  with data scientists, data curators, and
                                                capability buried within application
  others.
                                                support to a collaborative effort that
• Organize active, ongoing discussions
  with business functions about new data        enables data to be used far beyond
  services needed.
• Develop a basic internal data exchange.
                                                the applications that created it.”
• Run data platform trials that leverage        One data-management mechanism that                  Figuring out the value of data
  structured and unstructured data—with         will likely become more popular is the data
                                                exchange—a forum where data can be published        However, before data can be shared—even
  data in the platform and in use by one
                                                and accessed. Some organizations are already        informally—it has to be valued. Today, we
  or more business processes.
                                                trying out rudimentary data exchanges internally.   think about the value of data in terms of
• Develop a reusable framework for              We believe that these kinds of exchanges will       what is required to store it. In the future,
  data valuation that can guide data            grow organically within organizations, and          the value of data will be determined when
  management decisions.                         best practices will begin to materialize in the     it is used, in terms of its potential business
                                                next year or two. A next step would involve         impact. (See The dimensions of data
• Create a list of other business processes     “open” data exchanges—exposing data to and          value.) Organizations need to create a data
  that can begin to leverage data in the        seeking data from external partners such as         management strategy to support the data
  platform.                                     suppliers and customers. Of course, publishing      services that make sense for them, considering
                                                data to open data exchanges will not suit every     the dimensions of data value and tying them
• Create a tangible, funded roadmap,
                                                organization or every piece of data. And there      to a broader set of envisaged use cases.
  subsequent to successful trials, to
  expand replatforming to a growing             is nothing yet that is clearly destined to evolve
                                                                                                    Traditional approaches to data management
  amount of data and other business             into a kind of New York Stock Exchange for data.
                                                                                                    have viewed it as a cost center to be controlled;
  activities.                                                                                       today’s technology, tools, and practices reflect
See also “This time next year” in Converging                                                        that goal. A new approach will encourage
data architectures.                                                                                 organizations to think in terms of trying to
                                                                                                    squeeze every bit of value from the data.

20
Trend 3 - Industrialized data services                                                                                                                    Accenture Technology Vision 2012


As yet, there is little concrete guidance for how
to value data across the entire organization—
                                                    Rethinking the organization
                                                    structure and skills needed
                                                                                                       the business. Industrializing these data sharing
                                                                                                       and data management approaches will be key         Your 100-day plan
let alone across the ecosystem of suppliers,                                                           to enabling the business to unlock data value.
customers, and other stakeholders who may           One central challenge for IT leaders is how to                                                        Suggested actions to take during the next
need to use it, at least at some time or another.   support the shift to data sharing. Forward-                                                           three months:
The more widely a data set is used, the more        thinking IT leaders will move quickly to “re-
valuable it becomes. But how do you assign          architect” their organizations in support of                                                          • Identify the “burning platforms” among
worth to it when it is combined with other          data services. Should IT’s data specialists even                                                        the organization’s business processes
data? Or split up? Or used multiple times over      reside within IT, or should they be integrated                                                          that can become the vehicles for
many years? Or when it might be at risk of          with line-of-business functions? That’s the                                                             change.
being misappropriated? Not all data is valued       kind of question that CIOs, together with
positively; viewed in terms of security, some       the CEO’s office, must be able to answer.                                                             • Assess where current approaches aren’t
personally identifiable customer data, for                                                                                                                  meeting enterprise needs (for example,
instance, could conceivably have negative value.    Central to those moves will be a hard look                                                              where data integration is fragile or
                                                    at the skills required. The more that data is                                                           where replication is unmanageable)
As a rule, we expect data that concerns             shared, the more there is a case to be made                                                             and sketch out early retirement of
customers to be of high value. But even             for a chief data officer position. We’re already                                                        applications wherever needs are not
there, few, if any, active conversations are        seeing new job titles such as data curator,                                                             being met.
under way about how to assign value to,             data scientist, and data steward. The curator
for example, CRM data that could be used            will be the “product manager” for a set of                                                            • Map individuals on the business side
to improve market share, benefit customer           data, responsible for its proper valuation but                                                          who are current “data owners.”
loyalty ratings, and reduce customer retention      also managing the services that share it. The
costs. Or imagine an electrical utility that uses   scientist will be the next-generation analytics                                                       • Begin promoting the CIO as the
electrical consumption information from its         professional, responsible for turning the data                                                          facilitator of discussions about data
operations data to propose time-shifting deals      into insight. And data stewards will be latter-                                                         services.
for certain customers—incentivizing them            day database administrators (DBAs). In general,
to use power when the utility has a surplus         we expect an evolution and proliferation                                                              • Map available IT skills in light of
and conserve it when demand is high.                of data roles, with data management skills                                                              the need to rebalance database
                                                    becoming much more dispersed than they are                                                              approaches.
New data valuation approaches will also
                                                    today, as has happened with programming.
influence the ways that data is stored, shared,
published, secured, and destroyed. Do we save                                                                                                             • Sketch out a preliminary blueprint for a
                                                    Businesses are actively hunting for ways to
everything under the assumption that it will                                                                                                                data management organization.
                                                    extract value from their data. As this drives
soon be useful to somebody somewhere? Or just       an increase in data sharing, IT leaders will                                                          See also “Your 100-day plan” in Converging
the data that we guess will be most valuable?       find that a one-size-fits-all approach to data                                                        data architectures.
What rules govern the deletion of data? A plant     management will not work. They’ll need to look
supervisor can’t simply archive machine data        for ways to centralize the processes and tools
from a production line if it’s now critical for     for data management. At the same time, the
other business processes, such as new product       notion of data ownership must become more
engineering or analysis of product recalls.         distributed, involving data consumers across

                                                                                                                                                                                                       21
Trend 3 - Industrialized data services                                                                                                           Accenture Technology Vision 2012



The dimensions of data value
Data-savvy CIOs understand the impracticality   •  tility
                                                  U                                             • Usageandsharingrestrictions                 •  upport
                                                                                                                                                   S
of trying to build frameworks that enable         Our notion of data utility is a cornerstone     Are there any restrictions, such as              In situations where the data is
them to put actual dollar values on data.         of data value. The concepts of quality,         confidentiality or regulations, on how           acquired or purchased from a third
                                                  provenance, freshness, and so on all play       the data can be used, shared, stored,            party, will the data be “supported” by
With that in mind, Accenture has                  key roles in determining the value of data.     and so on? The more restrictions on the          that third party? If not, then the data
developed these qualitative guidelines:                                                           data, the less valuable it may become—it         will have limited long-term value.
                                                • Uniquenessorexclusivity                       becomes more of a liability than an asset.
                                                  Is the data unique or exclusive? Is access      For example, the many restrictions and         • Consumerdemand
                                                  to the data controlled and owned by a           regulations on personally identifiable           Ultimately, the value of data will be
                                                  few (meaning that it’s proprietary data)        information severely limit the value of this     influenced by consumer demand,
                                                  or is it available publicly? For example,       type of data for those that possess it.          and this demand will be driven by
                                                  call logs are exclusively owned by the                                                           whether the data impacts business
                                                  telcos, but government census data is         • Usabilityandintegration                        functions such as improving operational
                                                  available to anyone who wants it.               How easy is it to use and integrate              efficiency, enabling better forecasting,
                                                                                                  the data from a data consumer’s                  increasing market penetration or
                                                • Easeofproduction                              perspective? If the data (assuming               customer engagement, and so on.
                                                  How easy or difficult is it to “produce”        it’s external) can be easily used (and
                                                  (collect, assemble, etc.) the data? This        integrated) with internal data, then it is
                                                  dimension is orthogonal to the previous         more valuable than data that cannot.
                                                  one. For example, sentiment data on
                                                  a company’s products is all over the          •  rustworthiness
                                                                                                  T
                                                  Web, but producing this data is difficult,      Here, we define trustworthiness not in
                                                  because sentiment information is                terms of the data itself (that dimension
                                                  widely dispersed, locked in unstructured        is covered by “utility”) but in terms of
                                                  text, and hence difficult to extract.           the sources and processes used to create
                                                                                                  the data. If these sources and processes
                                                                                                  are questionable (or even illegal), then
                                                                                                  the resulting data becomes a pariah
                                                                                                  that very few will touch, even though
                                                                                                  the data itself is extremely accurate.




                                                                                                                                                                                              22
Social-driven IT
Social isn’t just a bolt-on marketing channel—it
will transform interactions in the business world




23
Trend 4 - Social-driven IT   Accenture Technology Vision 2012
Trend 4 - Social-driven IT                                                                                                                                      Accenture Technology Vision 2012



Facebook, LinkedIn, Twitter, and other forms of social media are
not just new communication channels to customers. They are
powerful catalysts that are changing the ways your customers,
employees, and partners use technology to interact with the
world around them. Most organizations have yet to catch up to
that reality, and almost none take full advantage of it. They must.
Who doesn’t have a Facebook page?                    more efficiently, and with better outcomes.           directly to him to address it before he calls to
                                                     They will also see value in using enterprise social   complain. At the same time, enterprises need
The social media trend has swept across the          platforms for connections with and among              to be on the lookout for opportunities to invent
world with breathtaking speed—and with               employees—and even among enterprises.                 new channels through social, such as social
astonishing impact. In the United States,                                                                  polling via WayIn or Yahoo’s IntoNow.
Facebook is largely supplanting e-mail and text      The opportunity is to capture, measure, analyze,
as the primary tool for communicating with           and exploit these social interactions in new ways.    The challenge for IT managers, then, will be
friends. Social media has become de rigueur          It means that social media must be seen as much       to revisit business processes and the systems
for businesses too—although mostly as an             more than a new “bolt on” channel; it has to be       that implement them. They will need to look
add-on marketing tool. And in more and more          viewed as a catalyst for revisiting everything        across channels to define interactions. They
instances, online forums and Twitter feeds are       that touches a company’s customers and,               must look at new forms of data generated by
becoming valued sources of insight for marketers     increasingly, other communities of stakeholders.      those interactions and evaluate the potential
and product developers eager to learn what           It provides pathways to convey to the rest of the     insights they can get from them. They will
consumers really think.                              organization what has been learned by listening       be obliged to revisit the organizational
                                                     to consumers. The most immediate implication is       structures that perpetuate the separation
But that’s not the only way that social platforms    that a company’s call center applications, its Web    of channels. They will have to think in terms
will be used by businesses in the future.            presence, its customer relationship management        of industrializing social platforms. And they
The social media phenomenon has not just             (CRM) applications, its mobile experience,            are likely to have to update the metrics that
created a new channel to communicate; it has         and other consumer channels all need to all           define success for customer interactions.
fundamentally changed the ways in which              be integrated with each other and be “social-
people communicate. Looking at the broader           enabled.” So, for example, when a customer            No business is going to be able to exclude
impact, we predict that leading organizations will   tweets about a bad experience with buying a           social. Those that dismiss its rising influence as
soon start applying social platforms and social      mattress, it can be linked to his purchase history    a fad—or worse, as a preoccupation only for the
design mechanics to manage interactions across       and to the reviews that he has posted on the          young—will be doing their organizations a gross
all communication channels to consumers,             retailer’s website to determine the problem           disservice. They will be effectively removing
fostering greater intimacy with their customers,     and—since he’s a repeat customer—to reach out         themselves from the conversations that their


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Visión de la Tecnología Por Accenture

  • 2. Contents Foreword 2 Introduction 3 Technology Trends Context-based services 4 Converging data architectures 10 Industrialized data services 16 Social-driven IT 23 PaaS-enabled agility 29 Orchestrated analytical security 36 Implications The CEO’s agenda 43 IT’s agenda 45 Research methodology 48 End notes 49 Contacts 50
  • 3. Foreword Accenture Technology Vision 2012 We bring the Accenture Technology Vision 2012 to you at a time of unprecedented change in the global economy and the technology landscape. Our clients tell us that technology is more important than ever to their business success. Some of them sense that the world is on the verge of a new technology revolution. We agree. This next revolution will differ from previous It is time to focus on technology as a driver for disruptions. This time, technology is present growth and take the bold decisions to move in every aspect of our lives. The lines between beyond IT’s legacy constraints—constraints consumer and corporate technology continue to that make it too difficult to change, too blur. On-premise and off-premise technology are costly to pursue new opportunities. melding to drive much quicker processing—and The coming transformation journey—changing Pierre Nanterme Kevin Campbell faster and better business results. The flexibility IT from roadblock to driver—won’t be easy. It Chief Executive Officer Group Chief Executive - Technology of new technologies and architectures is forcing will call for a comprehensive strategy that leads Accenture Accenture us all to rethink how we harness IT to make it easier for our organizations to innovate. to new architectures, new services, and new platforms. And it will demand prompt, disciplined The Accenture Technology Vision 2012 is execution to bring those new approaches to life. designed to help you identify these changes—to make sense of the disruptions. But this year’s The technology that you use will be radically report challenges companies to go a step different three years from now. Stand still and beyond understanding—to start taking action. you risk being left behind. Act now and you will We urge you to plan thoughtful, appropriate be poised for continued growth in the future. responses and seize new opportunities. 2
  • 4. Introduction Accenture Technology Vision 2012 Responding to what’s ahead Some drivers have an advantage over other CIOs are feeling the pressure of a bevy Increasingly, business leaders find that their Doing so means starting this journey together motorists: they can see around corners of technology forces—forces like the organizations’ success relies on keeping pace with the business. It demands detailed at night. With adaptive headlights in their superabundance of computing power with rapidly shifting technology. Companies discussions with the rest of the C-suite. It will cars—lamps that swivel a few degrees when and capacity and the soaring technology must be prepared to recognize and take call for CIOs to internalize these trends so they detect that the car is turning—these expectations of consumers, employees, and advantage of new opportunities enabled by they can start framing these discussions—not drivers can spot the deer in the road a even CEOs. Discussions on the impact of cloud new trends, like context-based services or talking about the technologies themselves few milliseconds before the rest of us. computing and mobility have become routine. social technologies. But the new moves will but about the impact they will have on the IT organizations are just beginning to wrap their come at a price. To change with the world business, and the new initiatives they can drive. To take prompt action, every CIO requires the minds around Big Data. They’re pushing to weave quickly and cost-effectively, there must be a information equivalent of adaptive headlights— analytics deeper into the organization. And new IT base—new architectures, new services, Some of you are already leading those the ability to identify relevant trends before some are asking themselves what to make of the new platforms. And with a new IT base come conversations with your business colleagues— others do. Indeed, they and their business perennial discussion of the Internet of Things. new risks and new precautions, so information and with your IT staff. For those who aren’t, colleagues need the clearest possible guidance security has to become a top agenda item. are you ready? about changes in information technologies. Yet even as CIOs begin to react, the list of With the right guidance, they can effectively change-making technologies continues to IT leaders must take action now. They must be lead their organizations as they adapt to grow. Recognizing that forces such as the cloud the ones who lead their enterprises through the rapidly changing world we live in. are just the starting point, Accenture’s annual this turbulent new world. Inside 100 days Technology Vision provides our perspective of reading this report, they should have on the future of technology beyond the begun to map out their strategies to leverage conversations already on the table. This year’s these trends over the long haul. Within 12 report—Technology Vision 2012—outlines the months, they should be starting to execute new technology trends that forward-thinking these plans to put their enterprises on the CIOs will use to position their organizations path to new organizations, new processes, to drive growth, rather than focusing on new systems—even a new frame of mind. cost-cutting and efficiency improvements. 3
  • 5. Context-based services Context—where you are and what you’re doing— will drive the next wave of digital services 4
  • 6. Trend 1 - Context-based services Accenture Technology Vision 2012
  • 7. Trend 1 - Context-based services Accenture Technology Vision 2012 Forget about the much-discussed Internet of Things. The really interesting news is that data from a host of new sources, combined with technologies that rapidly aggregate and analyze the data, will deliver fresh insights that can give users much more immersive and valuable experiences online—and in the real world. Services that alert you to the nearest Starbucks mile radius or what route to walk from this meet the renter at the scene, greatly improving or gas station just aren’t enough for users these subway stop to that unfamiliar office building. the chances of creating a loyal customer for life). days. Those services don’t “know” you; they Today, we have ready access to enough historical CIOs and other IT leaders who get it—who don’t know what you’re trying to do right now. and real-time data and we know enough about grasp the importance of context-based What can still attract users? Services that what is happening in enough places to be able to connections—will be able to establish combine real-time signals from the physical offer services that are enabling and entertaining. themselves, and their organizations, as strategic world with location data, online activities, social More data, by itself, isn’t enough—technology players. They will immediately be able to offer media, and many other types of contextual now enables rapid aggregation of data from new levels of insight that will differentiate inputs. It might be support for a pharmaceutical multiple sources and delivers new insights their organizations from competitors. sales rep tailored to the context of the doctors that can give users much more immersive and she will be meeting and the drugs she’s selling. It valuable experiences. The key—beyond the What context-based services aren’t could be data made available to a technician at proliferation of data and the ability to analyze It’s important to deflect any misconceptions an oil refinery, customized to the equipment he’s it every which way—is to ensure that context about context-based data services. To begin servicing and what its downtime history looks enables the services that make sense right with, they are not about “really cool” mobile like. Or it might be a shopping app that gives a at the point where an action takes place. In phone handsets—regardless of how much their customer fast access to more information about effect, context allows organizations to shift new apps may impress. Although devices such as a new jacket whose quick response (QR) code their focus from insight (for example, business mobiles are indeed essential vehicles for some of she’s scanned in the store; tells her how far she travelers place a premium on the ease and those services, that is all they are. Mobility is just is from stores that carry other sizes of the jacket; speed of interaction when choosing rental car one of many factors that help to convey context. alerts her to her available credit balance; and companies) to actionable insight (streamlining gets instant opinions, via Facebook, from her the car rental process allows frequent renters Nor are context-based services all about the friends about whether they like the jacket or not. to avoid lines, thus increasing customer loyalty) cloud. It’s true that connected devices—mobile to insight at the point of action (for instance, and otherwise—will exchange data with cloud- The new high ground for data services is not in the rental company automatically detects when based service providers, but the cloud is nothing location-based apps. It is in a kaleidoscope of an accident with one of its cars has happened, more than a logical data-aggregation point. context that adds up to rich user experiences— proactively initiates emergency services if Similarly, “context-based” is not synonymous far more alluring than simple indications of needed, and issues a replacement rental car to with “location-based.” The importance of being how many friends are inside the same one- 6
  • 8. Trend 1 - Context-based services Accenture Technology Vision 2012 able to integrate data from the physical world beyond location—inputs from QR codes are only The next few years are likely to see an expansion in the volumes and types of sensors available the retailer and the original producer but for others in the shopper’s social network as well. What it means for one example—must not be underestimated. And context is not just another example of social to add context. The industrial world already benefits from radio frequency ID (RFID) systems Given richer context—access to the shopper’s interests, shopping history, or age, perhaps— the business media, although social certainly adds context in which RFID-tagged items supply contextual such as shared interests or opinions. It’s in data about their locations, time, temperature, providers will offer services that better align • New products and services based on the aggregation of all of these things that we and much more. Now we anticipate a rush with his needs and wants. Indeed, we expect context from inside and outside of the truly see the power of context-based services. of specialty devices that will excel in niche that products, services, retailers, and enterprises enterprise They create an experience that adds levels of areas—health monitors that test for blood will be differentiated based on their ability utility and richness—and yes, complexity—that sugar levels, for instance, or wristbands that to meet users’ requirements in this way. • New contextual data services that were not possible even just a few years ago. transmit signals about a patient’s activity The power of context will enrich not only online enable companies to more easily add levels to mobile-linked health care systems interactions but real-world ones as well. Today, capabilities to their existing products Context-based services that that add context about family health history online shopping experiences have surpassed transcend mobile apps to enable patients to improve their own health what is usually available in the physical world; • New capabilities to experiment with care. Apple’s latest iPhone, for instance, it is possible to view different colors, styles, new services and iterate quickly based Context-based services have existed in contains Bluetooth Smart technology—a on pilots sizes, and availability of merchandise; to put rudimentary forms for some time; to an extent, new standard that supports connections to shopping carts on hold; to pay in many different they are evident in the Internet of Things—for sensors that consume very little power. ways; to redeem coupons easily; and more. The instance, in the real-time readings on pace next few years will see a push toward merging and time that marathon runners receive from The power of context the physical and virtual shopping experiences. a transmitter tag laced to a shoe. They are One other source of context is in what is Blippar, for example, offers augmented reality also apparent in the recommendation engines shared—which is where blogs, chat rooms, capabilities that allow retailers to experiment used by sites such as Amazon, Netflix, and message boards, social media, product with doing just that today. And Shopkick LinkedIn. Recommendation software not reviews, and the countless other wells of enriches the in-store shopping experience with only keeps track of your personalized history online data come in. We can detect or infer personalized offers, highlights products that and uses it to infer interests; today, it can certain information about others based on our others have liked, and rewards customers for produce suggestions based on what others interactions with them or, even more simply, walking into selected stores. The reward for in your social circle or professional group we can give them the opportunity to share walking in is just the bait; the context piece are doing. For instance, if other users in your it themselves. It turns out that users readily comes from location (knowing you’re in the network are reading a popular business book, share meaningful personal context; they just store), understanding interests and intent a site may propose that you purchase it, need to have a compelling reason to do so. (scanning an item you’re thinking about), and too—and provide a one-click link to do so. social connections (knowing what others liked). And of course many phones—they do not So when a retailer provides QR codes in its stores, it enables the shopper to access new The emergence of more context-based services even have to fit the definition of Web- and valuable sources of information about a will have a compounding effect— those ready smartphones that access vast stores product or service. Because this is something the new services themselves provide additional of apps—have location-sensing capabilities consumer wasn’t able to do before—or wasn’t sources of context. The expanding richness that provide their users with useful able to do with such ease and reliability—he is of context will be a fast-moving capability proximity data, route planning, and more. willing to trade some personal data in exchange. that enterprises will need to watch. That data in turn becomes valuable not only for 7
  • 9. Trend 1 - Context-based services Accenture Technology Vision 2012 This time next year “CIOs and other IT leaders who get it—who Over the next 12 months, the IT grasp the importance of context-based organization should: connections—will be able to establish • Create strong links with business functions that directly influence the themselves, and their organizations, as consumer experience. strategic players. They will immediately • Compile a firm list of context-based services that is regularly updated be able to offer new levels of insight that as circumstances change—and that forms the basis of discussion with will differentiate their organizations from the business side in order to drive the platform for context across the competitors.” enterprise. What’s possible they use. The banks benefit because they can • Form a pilot team that blends user reduce the considerable costs of confirming a experience specialists with data Several interesting examples show how customer’s location abroad and reimbursing for scientists to experiment with new context-based services may unfold. The any fraudulent withdrawals from an account.2 contextual data services. service from a company called Reach.ly scans Twitter accounts in search of mentions of However, it is still early days for context-based • Establish an environment that enables planned trips; with the information it gleans, services. Current services barely scratch the experimentation—rapid development, it enables hotels to contact travelers who surface of what’s truly possible. Although planning, and deployment. have indicated that they are heading to their many of the technology challenges are being vicinity. In another case, several mobile phone overcome, and although contextual data and • Begin developing a data platform to services providers are experimenting with the means to synthesize it have reached critical handle contextual data and analytics, technology that automatically deactivates mass, other hurdles remain. For instance, privacy including appropriate privacy controls phones while their owners are driving.1 issues are likely to make headlines soon as on potentially sensitive personal privacy watchdogs jump in to defend against information. And Misys, a provider of IT solutions for the unauthorized tracking of citizens or consumers. financial services sector, is working to combat In the United States, consumer advocacy groups • Develop a data roadmap to depict how bank fraud with GeoGuard, its new consumer are particularly vocal about such issues. to acquire the critical data necessary location-based offering running on the Force. for the next generation of context- com platform. GeoGuard collates geographic The skills needed to deliver context based services. information and enables customers to allow their banks to request their most recent So what will it take for IT departments to help location information, regardless of the services their organizations deliver rich context-based 8
  • 10. Trend 1 - Context-based services Accenture Technology Vision 2012 experiences to their customers? Context-based services should be limited only by the creativity Context-based services require very different thinking from IT leaders. They call for a Your 100-day plan of the business, not by IT’s ability to deliver. much broader and more dynamic view of the possibilities for adding value for the business, Suggested actions to take during the next It should go without saying that skills in user and they demand different skills and stronger three months: interface design will be high on the list. At links within the enterprise than has been the same time, it will be beneficial to have typical to date. But those who grasp the • Identify ways to drive the discussion expertise in the design of high-quality customer importance of these connections will quickly toward the value of context; launch experiences, whether you’re a retailer, a utility, or establish themselves as strategic players. discussions of new context-driven a product manufacturer. One individual should opportunities with the business side. be charged with the responsibility of overseeing customer interactions across all channels. • Start thinking in terms of multiple For example, the Washington Post publishing channels and following the mix of company recently appointed a chief experience interactions that they enable (Web officer, as did Cleveland Clinic some years ago. page to Facebook to retail to mobile...). Also needed: strong management discipline • Start cataloging the contextual data to get the best results from a mix of IT on hand. traditionalists and creative user-experience types. Orchestration skills will be essential • Start identifying new sources of data for helping to handle the complex array of and determining how to acquire it internal systems, not to mention the vendors (sometimes it must be bought, and now populating the data services market, sometimes new mechanisms will be where some forms of context will originate. needed to collect it in current systems). Because new sources of context are constantly popping up—and because there are always new • Sketch out the user experience skills use cases, new services, new players, and new needed to pilot context-based services. customer needs—context-based services will also call for skills that encourage experimentation. • Plan an environment for And they’ll require real flexibility and fast- experimentation. paced ways of working because context that is constantly in flux will lead to a need for agile • Draft ideas for how to leverage the services that change as quickly as users do. IT technology that customers bring with practitioners who are geared to traditional IT them. cycle times will not be prime candidates for the new roles needed; they’re unlikely to have what it takes to get the best from the new world of context and from an ever-changing mix of widely distributed contextual data. 9
  • 11. Converging data architectures It’s not about the “big” in Big Data—data architectures must bridge the old and the new 10
  • 12. Trend 2 - Converging data architectures Accenture Technology Vision 2012
  • 13. Trend 2 - Converging data architectures Accenture Technology Vision 2012 Old approaches to data survive because structured forms of data make IT leaders feel they’re in control. But new approaches to managing unstructured data provide a whole new notion of control—the ability to turn data into new streams of value. Successfully rebalancing the data architecture portfolio and blending the structured with the unstructured are key to unlocking that value. In 2011, even a casual reading of the technology the status quo facing off against a maverick Three changes that matter media indicated that big changes were starting camp that is enthusiastically—perhaps over- to sweep through the IT department—whether enthusiastically—seeing unstructured approaches There are three fundamental data architecture IT leaders recognized it or not. Big Data—the to data as a panacea for all that ails IT today. technology changes that, individually and catchall term for the explosion in volumes and collectively, have significant implications for types of data and the technologies emerging to Neither stance is appropriate. Yes, what’s IT leaders. We foresee a rebalancing of the support it—was already making big headlines. emerging is a new world of horizontally scaling, database landscape as data architects embrace Conference speeches and trade press articles had unstructured databases that are better at the fact that relational databases are no longer begun the conversation about the importance solving some old problems. More importantly, the only tool in the toolkit. We anticipate of distributed data and the idea of data as a they’re prompting us to think of new problems “bridge technologies” that will mix old and new service. New technologies such as Apache to solve whose resolution was never attempted database forms. And we fully expect advances Hadoop—a software framework that supports before, because it just couldn’t be done. (Don’t from the new to re-invigorate the old. In short, data-intensive distributed applications— misunderstand the “big” in Big Data—for most we expect tomorrow’s conversations about were already gathering momentum. In our enterprises it’s not about finding ways to handle data architectures to center on rebalancing, Technology Vision 2011 report, we pointed out massive amounts of Facebook or e-mail data.) coexistence, and cross-pollination. that companies needed to start conceiving of But that does not imply “rip and replace”; in no way does it render traditional databases obsolete. IT leaders should be evaluating their data data platforms in ways that better encompass The truth is that now that we have technologies portfolios for opportunities to rebalance the the idea of data as the strategic IT asset. that can deal with different types of data, there use of relational and nonrelational databases. Some enterprises are experimenting with data is enormous value in maximizing the value of Today’s data architects now have more choices platform approaches, but it hasn’t been easy. In the data in existing systems—in hybridizing for solving unstructured data problems than fact, there has been something of a polarization, it with many forms of unstructured data. simply jury-rigging relational databases to with many of those steeped in traditional do so. Where today the data landscape is relational database approaches defending almost entirely relational, we expect that 12
  • 14. Trend 2 - Converging data architectures Accenture Technology Vision 2012 landscape to change significantly. Over the next decade, the proportion that is nonrelational pollination is already happening at the vendor level. Nonrelational databases were the first to development for several decades. Approaches to structuring information, gathering data What it means for will rise. It has been estimated that between 15 percent and 40 percent of all relational integrate horizontal scaling technologies into the core; now relational databases are starting requirements, storing data, and even solving data problems are driven by a view of the the business database management systems (RDBMS) to do the same. There is no shortage of start-up world adopted from structured design implementations would be better suited to activity in the arena, meaning that investment approaches and the trusty relational database. • Potential advantage for small and nonrelational platforms.3 But that shift does capital is betting on cross-pollination; midsize competitors since they lack not imply that relational is somehow inferior. newcomers include Xeround, Scalr, Akiban, and This structured view of the world is entrenched the “anchor” of heavy investments in IT leaders will need to make their choices Schooner. As these technologies reach maturity, in organizations. Many CIOs still think of legacy systems based not on ideology but on the forms of enterprises should re-evaluate their readiness themselves not as the stewards of data but as data they are using and for what purposes. to tackle more complex data problems. the data “owners.” And to a worrying extent, • More accurate and more usable many senior IT managers remain convinced business projections through the The worlds of structured and unstructured data Established vendors don’t plan to be left out that all forms of data can still be dealt with expanded use of probabilistic data, are rapidly converging. Leading IT practitioners of the new world. Just a few glimpses: Oracle using conventional relational databases, so enabled by new data platforms must find ways to constructively manage has marched into the unstructured world by they are unwilling to try other options. In the convergence and enable all forms of data announcing its Hadoop-framework-based Big many cases, the resistance is passive: stay the • IT moves from blocker to enabler, management to coexist, sometimes using Data Appliance. IBM has built a new version present course, ignore Big Data, and it will improving the leverage of all available bridge technologies. That’s the case at one large of InfoSphere BigInsights for its smart cloud go away. In other cases, the pushback is that data, both external and internal to the high-tech company that is using Hadoop to infrastructure that uses Hadoop to analyze the new technologies are “toy technologies”— organization process and import data into traditional systems structured and unstructured data. And not considered “enterprise grade.” In effect, in ways that wouldn’t be possible with just Microsoft recently announced plans to deliver the traditional relational database has been • Faster responses to queries, and more the RDBMS approach. In essence, the Hadoop enterprise-class Hadoop-based distributions misused for decades because it has been frequent and increasingly customized framework becomes a preprocessing engine on both Windows Server and Windows Azure. seen as the only tool in the toolbox—and iterations on those queries for analyzing raw data to extract important The shifts in vendors’ thinking are also seen because IT departments haven’t had the events before feeding the other systems. It in consolidation moves as established players vision and skills to use it in any other way. See also “What it means for the business” in is abstracted and integrated with existing acknowledge that they must move into these Industrialized data services. reporting in such a way that it minimizes new realms. For example, Teradata acquired Aster Yet we’re seeing the rapid rise of another group— the impact on the rest of the enterprise. Data Systems, a leader in Big Data analytics. The the iconoclasts who are scraping unstructured acquisition was designed to expand Teradata’s data off Web sites, wikis, and Twitter feeds in Over the long term, the high-performing portfolio and bring businesses greater depth order to find insights that can help them discover organizations will be those whose IT groups of analytic insight and faster time to value as new customer segments, identify new product recognize the need for coexistence and they unlock the full potential of their Big Data. directions, and more. These individuals are very effectively marry the two worlds to get the most much in touch with the Web-scale companies from their data. IT leaders must still be realistic What’s complicating change that are already big names in the consumer about the limits of what can be achieved via realm—companies such as Google, Amazon, bridge technologies, sometimes waiting instead Unfortunately, old IT habits die hard. Facebook, and Twitter. They are often plugged for the next generation of data technologies Legacy thinking prevails. Existing views into the open-source movement and to the where cross-pollination between the structured of data architecture are a product of the academic and other research communities that and unstructured worlds will fill gaps. This cross- application lens that’s been applied to system surround these Web-scale companies. For them, 13
  • 15. Trend 2 - Converging data architectures Accenture Technology Vision 2012 This time next year the unstructured data milieu is something rich and new and fun and cool that they want to play certainly have to evaluate and implement bridge technologies. For instance, Aster with—and that can deliver real business results. Data’s SQL-MapReduce helps IT departments Over the next 12 months, the IT deal with their lack of skills in nontraditional organization should: At JPMorgan Chase, for example, many lines database management until they have built up of business now use a Hadoop shared service that capability. Bridge technologies leverage • Run data platform trials that leverage for jobs ranging from extract, transform, and existing investments; they will not immediately structured and unstructured data—with load (ETL) processing and fraud investigation to disrupt existing IT operations and are unlikely data in the platform and in use by one or social media sentiment analysis.4 The service also to unsettle the relational database adherents. more business processes. provides low-cost storage for varied types of Deeper conversations with the software data; for instance, it stores traditional financial vendor community can help to accelerate records and semi-structured Web logs as well as • Create a list of other business the introduction of bridge technologies. unstructured text and social comment feeds. processes that can begin to leverage We expect that the rebalancing will happen data in the platform. Oil and gas companies are using SAP’s HANA as a slow evolution as IT departments in-memory appliance to review massive amounts retire applications and start to replatform • Create a tangible, funded roadmap, of their raw exploration data. Utilities are using in the cloud, on mobile devices, and using subsequent to successful trials, to it to analyze large volumes of data from smart bridge approaches. Rebalancing is likely to expand replatforming to a growing meters and to optimize energy generation achieve strong momentum where there are amount of data and other business based on predictive patterns of consumption.5 the most gains to be made—in customer- activities. To a large extent, the maverick groups that are facing business processes, for example. • Appoint a top-level executive who is quite comfortable with all things Web scale Forward-thinking CIOs will make strong responsible for an overarching data- are working in fields such as marketing, new business cases for new investments in select centric perspective—perhaps even product development, and customer relations, systems to accelerate the retirement of existing appoint a chief data officer. but as they derive new data and new scraps of software. They will need to identify “burning insight, they are increasingly recognizing the platforms” that they can use as spurs for • Create a recruiting pipeline for data need to work with IT to get actionable outputs their new initiatives; a prime example would specialists in areas such as alternative from what they’re producing. Forward-looking be a business process that can benefit from database technologies and analytics. CIOs will want to hire those mavericks. being able to concurrently and rapidly access multiple forms of data from a host of sources, • Demonstrate a “data stewardship” How to think about the both external and internal to the organization. mentality rather than one of three underlying changes Over time, of course, concern about the ownership. We predict that, increasingly, the effectiveness balance between relational and nonrelational will eventually become a tactical detail. of IT leaders will be gauged by their ability to See also “This time next year” in Industrialized data services. bridge the gap between the structured and Furthermore, as CIOs envision how they can unstructured worlds. Again, the important thing foster coexistence between structured and is that this must not be an exercise in “rip and unstructured forms of data, they will need replace.” CIOs who are serious about enabling to resist popular notions that the Big Data the coexistence of all forms of data will almost 14
  • 16. Trend 2 - Converging data architectures Accenture Technology Vision 2012 “The rebalancing of data architectures Old approaches to data survive because structured forms of data make IT leaders feel Your 100-day plan will happen as a slow evolution as IT they are in control. But it’s time to reframe the whole notion of control. It’s time to stop viewing Suggested actions to take during the next departments retire applications and start to data as a means to an end—a platform that is designed to support an application—and start three months: replatform in the cloud, on mobile devices, seeing it as an underutilized asset. CIOs cannot stop or slow change as the fundamental trends • Identify the “burning platforms” among the organization’s business processes that and using bridge approaches. It is likely to toward rebalancing, coexistence, and cross- pollination proceed. But there is so much that can become the vehicles for change. achieve strong momentum where there are they can do to prepare for those changes. • Map out individuals on the business side who are current “data owners.” the most gains to be made—in customer- • Map available IT skills in light of facing business processes, for example.” the need to rebalance database approaches. “revolution” is all about victory over SQL. Many to think in terms of reskilling. If IT groups • Draft new methodologies for data voices push forward the idea that scale is the have professionals who know only relational design in new projects. driving reason why relational databases won’t databases, they will perpetuate the “everything be used in the future. But that’s not universally is a nail” problem. The IT leaders themselves • Assess where current approaches aren’t true and not always applicable; the arguments will need to play the roles of orchestrators— meeting enterprise needs (for example, about scale serve as a distraction from the main adept generalists who excel at managing where data integration is fragile or issue. In practice, a lot of the conversation about disparate sources and forms of data to create where replication is unmanageable) Big Data is not necessarily about its “bigness.” a symphony of new business possibilities. and sketch out early retirement of Very few organizations are going to need the applications wherever needs are not type of scale that often makes the Big Data At the same time, there will need to be individual experts with skills in areas that being met. headlines. So, far from rendering the relational database obsolete, the new advances will be realistically do not exist in the traditional IT world—for instance, specialists in alternative • Begin listing opportunities to provide incorporated over time into the traditional database technologies who understand which new value-added data services. databases, extending their performance. to use in which circumstances. IT departments See also “Your 100-day plan” in Industrialized New skills, new structure will probably post vacancies for specialists data services. with statistical and analytical skills; in general, for IT departments there will have to be a steady rise in the With an eye on the long term, CIOs will analytic literacy of the IT group. And as more have to think in terms of restructuring their of these kinds of specialty skills come on organizations. As a starting point, most board, and as they reshape the interactions enterprises need to build better data architecture with the business side, the orchestrators skills across the board. They will also have will become more and more influential. 15
  • 17. Industrialized data services Freedom to share data will make data more valuable—but only if it’s managed differently 16
  • 18. Trend 3 - Industrialized data services Accenture Technology Vision 2012
  • 19. Trend 3 - Industrialized data services Accenture Technology Vision 2012 Now that data is being decoupled, enterprises are using it in many different ways to unlock far more of its potential value. They’re actively hunting for other useful data—outside their organizations as well as inside—while keeping their eyes open for opportunities to share their data. But most early data- sharing activities are ad hoc. Needed next: fresh approaches to data management. You’ve got a problem if, several years from now, The outcome: companies are rapidly creating As things stand, most companies have some way your IT organization is still organized chiefly patchwork quilts of data integration systems to go before they fully grasp the implications around applications. whose sheer randomness and variety is of decoupling data and then sharing it across leading to inefficiency and complexity the enterprise. The tendency is still to treat the These days, data should be free to roam, and that is unsustainable. Put simply, increased emerging opportunities as data integration that is a very good thing. Once unshackled from sharing of data through data services calls projects—as point solutions, not as ongoing this or that application, it can be moved, shared for a radical rethinking of how IT should data services. After working lifetimes spent in with alliance partners or suppliers, divided up, handle data management. Data management complete control of how and when their data analyzed every which way, blended with other shifts from being an IT capability buried is stored, accessed, archived, and destroyed, it’s data—whatever it takes to unlock much more within application support to a collaborative not easy for many IT managers to accept that of its potential value. And that’s exactly what effort of IT and business leaders working they must now collaborate with others with some far-sighted organizations are doing now. in tandem that enables data to be used far whom they share “ownership” of their data. But freedom isn’t free. There are hidden costs beyond the applications that created it. in properly valuing and managing data now Industrializing the approach In the next few years, we believe, leading that it can be decoupled. Most organizations’ to sharing data organizations will master the types of data efforts to share data broadly are ad hoc. Let’s management necessary to strike the right Accenture’s Technology Vision 2011 report say the marketing group is grabbing data from balance between constraint and freedom for identified decoupling as a wide-scale trend the customer relationship management (CRM) their data, based on a clear-eyed view of the worth watching—and doing something about, system so it can study recent loyalty trends. real value of the data. They will start to think especially as it relates to data. Many enterprises The system it sets up to capture, stage, and in terms of industrializing the sharing of data. are starting to recognize that their data has value store the data is probably entirely different beyond its original purpose. More companies from the system that the finance department are beginning to engage in richer data sharing creates when using the same data sets to as analytics increases their appetite for more calculate, say, customer retention costs. data and drives them to better utilize existing 18
  • 20. Trend 3 - Industrialized data services Accenture Technology Vision 2012 data. In the financial services sector, for instance, enterprises are fusing customer data, finance anchored by an agile data services architecture. According to chief executive Jeff Bezos, the data management. By creating an abstraction layer between data and applications, IT has the What it means for data, and risk data to spur development of new products. In the process, organizations like advances in data management developed by his company’s engineers were the starting point opportunity to standardize and industrialize data management. In this model, consumption the business these are creating, formally or informally, new for the architectures that underlie the cloud of the data is what matters, not management data services to respond to the opportunities. storage and data management services offered of it. The path toward centralization • Broader opportunities to leverage by Amazon Web Services.6 Amazon’s CTO, becomes easier and more cost-effective. data—both internal and external to A virtuous cycle comes into play. The emergence Werner Vogels, has mentioned that Amazon’s the organization—to gain insights that of the data platform will enable organizations Interestingly, this new world of data sharing is an loosely coupled services model enables the can enrich new product development, to expose more data as a service, accelerating about-face for systems administrators who have company to respond very quickly to new ideas.7 strengthen customer loyalty, and more the trend. It is starting to break down data silos traditionally been charged with owning the data. and hide the complexity of underlying storage As the horizontal-scaling technologies of these Under the data-sharing model, the concept of • Increased agility to respond much and access. As a result, sharing and integration pioneers spread to mainstream business, they data ownership is no longer valid. By its nature, faster to data-driven opportunities get easier as at least some barriers are removed. have been open-sourced, improved, and made the more data is shared, the more value the Today, these data services are being built on an ready for the enterprise. Previously, it has been company sees. So, instead of ownership, CIOs • More accurate and more usable as-needed basis as new use cases are discovered. necessary to “overprovision” a resource; now, must begin to think about data responsibility business projections through the Decisions about sharing data—and the chances data services enable users to provision for today as well as data accountability. For the most expanded use of probabilistic data, of a business process owner knowing where and expand when they need more. So, on day part, data accountability is familiar ground: enabled by new data platforms to find useful data in the organization – are one, the sales organization doesn’t need to CIOs will still be squarely charged with laying one-offs. How does the production manager anticipate all possible data consumers for the the groundwork for data design, governance, • New discussions of data’s value and who needs better forecasts find the sales order tracking system and doesn’t have to invest and implementation. IT will be accountable for decisions about how to charge for its analyst whose market research data fills in in infrastructure for users that don’t yet exist. creating a centralized mechanism for how data is use gaps in projections? But the continued push managed throughout systems and IT processes. toward data platforms will soon enable this A new era of data management See also “What it means for the business” in However, things shift from the traditional Converging data architectures. to happen at scale—“scale” not in terms of It has always been difficult to provide business when data starts flowing through the system, accommodating colossal volumes of data but users with the data they need to make effective becoming more and more distributed throughout in terms of industrialization, where a structured decisions. At every stage, the siloed nature of the company. Business units from all over platform approach enables such decisions to data tied directly to applications has thwarted the enterprise will be creating, consuming, be made over and over again consistently. IT’s efforts to manage data consistently across and sharing data with each other, making it To a large extent, enterprises can do this the organization. Data management efforts important to focus on data responsibility. Who because there have been dramatic advances must be duplicated for each silo, driving the is responsible for the data at each stage of its in the technologies and capabilities used to cost up and ROI down—think North American life cycle? The shift has, essentially, resulted in manage, process, and store data. Many of versus Asia-Pacific sales, perhaps, or different the creation of a data supply chain. It will be up these have been incubated by Web pioneers product groups for hair care and for skin care. to the CIO to start working with business units such as Amazon, Facebook, Yahoo, and Netflix, Taking data management from good to great to coordinate data responsibility from creation rather than traditional technology vendors. often becomes an unappealing exercise after to distribution, more as if they were managing Essentially, the pioneers developed solutions the third or fourth implementation. A data- the end-to-end manufacture of a bicycle than for their own data-management challenges. sharing model, by its nature, will accelerate a workflow of electronic ones and zeros. companies toward the notion of centralized For instance, Amazon’s service-oriented model is 19
  • 21. Trend 3 - Industrialized data services Accenture Technology Vision 2012 This time next year “Put simply, increased sharing of data Over the next 12 months, the IT through data services calls for a radical organization should: • “Re-architect” the organizational rethinking of how IT should handle structure to gear it toward data services. data management. Essentially, data • Create and fill new roles: Senior role management shifts from being an IT in charge of data management, along with data scientists, data curators, and capability buried within application others. support to a collaborative effort that • Organize active, ongoing discussions with business functions about new data enables data to be used far beyond services needed. • Develop a basic internal data exchange. the applications that created it.” • Run data platform trials that leverage One data-management mechanism that Figuring out the value of data structured and unstructured data—with will likely become more popular is the data exchange—a forum where data can be published However, before data can be shared—even data in the platform and in use by one and accessed. Some organizations are already informally—it has to be valued. Today, we or more business processes. trying out rudimentary data exchanges internally. think about the value of data in terms of • Develop a reusable framework for We believe that these kinds of exchanges will what is required to store it. In the future, data valuation that can guide data grow organically within organizations, and the value of data will be determined when management decisions. best practices will begin to materialize in the it is used, in terms of its potential business next year or two. A next step would involve impact. (See The dimensions of data • Create a list of other business processes “open” data exchanges—exposing data to and value.) Organizations need to create a data that can begin to leverage data in the seeking data from external partners such as management strategy to support the data platform. suppliers and customers. Of course, publishing services that make sense for them, considering data to open data exchanges will not suit every the dimensions of data value and tying them • Create a tangible, funded roadmap, organization or every piece of data. And there to a broader set of envisaged use cases. subsequent to successful trials, to expand replatforming to a growing is nothing yet that is clearly destined to evolve Traditional approaches to data management amount of data and other business into a kind of New York Stock Exchange for data. have viewed it as a cost center to be controlled; activities. today’s technology, tools, and practices reflect See also “This time next year” in Converging that goal. A new approach will encourage data architectures. organizations to think in terms of trying to squeeze every bit of value from the data. 20
  • 22. Trend 3 - Industrialized data services Accenture Technology Vision 2012 As yet, there is little concrete guidance for how to value data across the entire organization— Rethinking the organization structure and skills needed the business. Industrializing these data sharing and data management approaches will be key Your 100-day plan let alone across the ecosystem of suppliers, to enabling the business to unlock data value. customers, and other stakeholders who may One central challenge for IT leaders is how to Suggested actions to take during the next need to use it, at least at some time or another. support the shift to data sharing. Forward- three months: The more widely a data set is used, the more thinking IT leaders will move quickly to “re- valuable it becomes. But how do you assign architect” their organizations in support of • Identify the “burning platforms” among worth to it when it is combined with other data services. Should IT’s data specialists even the organization’s business processes data? Or split up? Or used multiple times over reside within IT, or should they be integrated that can become the vehicles for many years? Or when it might be at risk of with line-of-business functions? That’s the change. being misappropriated? Not all data is valued kind of question that CIOs, together with positively; viewed in terms of security, some the CEO’s office, must be able to answer. • Assess where current approaches aren’t personally identifiable customer data, for meeting enterprise needs (for example, instance, could conceivably have negative value. Central to those moves will be a hard look where data integration is fragile or at the skills required. The more that data is where replication is unmanageable) As a rule, we expect data that concerns shared, the more there is a case to be made and sketch out early retirement of customers to be of high value. But even for a chief data officer position. We’re already applications wherever needs are not there, few, if any, active conversations are seeing new job titles such as data curator, being met. under way about how to assign value to, data scientist, and data steward. The curator for example, CRM data that could be used will be the “product manager” for a set of • Map individuals on the business side to improve market share, benefit customer data, responsible for its proper valuation but who are current “data owners.” loyalty ratings, and reduce customer retention also managing the services that share it. The costs. Or imagine an electrical utility that uses scientist will be the next-generation analytics • Begin promoting the CIO as the electrical consumption information from its professional, responsible for turning the data facilitator of discussions about data operations data to propose time-shifting deals into insight. And data stewards will be latter- services. for certain customers—incentivizing them day database administrators (DBAs). In general, to use power when the utility has a surplus we expect an evolution and proliferation • Map available IT skills in light of and conserve it when demand is high. of data roles, with data management skills the need to rebalance database becoming much more dispersed than they are approaches. New data valuation approaches will also today, as has happened with programming. influence the ways that data is stored, shared, published, secured, and destroyed. Do we save • Sketch out a preliminary blueprint for a Businesses are actively hunting for ways to everything under the assumption that it will data management organization. extract value from their data. As this drives soon be useful to somebody somewhere? Or just an increase in data sharing, IT leaders will See also “Your 100-day plan” in Converging the data that we guess will be most valuable? find that a one-size-fits-all approach to data data architectures. What rules govern the deletion of data? A plant management will not work. They’ll need to look supervisor can’t simply archive machine data for ways to centralize the processes and tools from a production line if it’s now critical for for data management. At the same time, the other business processes, such as new product notion of data ownership must become more engineering or analysis of product recalls. distributed, involving data consumers across 21
  • 23. Trend 3 - Industrialized data services Accenture Technology Vision 2012 The dimensions of data value Data-savvy CIOs understand the impracticality • tility U • Usageandsharingrestrictions • upport S of trying to build frameworks that enable Our notion of data utility is a cornerstone Are there any restrictions, such as In situations where the data is them to put actual dollar values on data. of data value. The concepts of quality, confidentiality or regulations, on how acquired or purchased from a third provenance, freshness, and so on all play the data can be used, shared, stored, party, will the data be “supported” by With that in mind, Accenture has key roles in determining the value of data. and so on? The more restrictions on the that third party? If not, then the data developed these qualitative guidelines: data, the less valuable it may become—it will have limited long-term value. • Uniquenessorexclusivity becomes more of a liability than an asset. Is the data unique or exclusive? Is access For example, the many restrictions and • Consumerdemand to the data controlled and owned by a regulations on personally identifiable Ultimately, the value of data will be few (meaning that it’s proprietary data) information severely limit the value of this influenced by consumer demand, or is it available publicly? For example, type of data for those that possess it. and this demand will be driven by call logs are exclusively owned by the whether the data impacts business telcos, but government census data is • Usabilityandintegration functions such as improving operational available to anyone who wants it. How easy is it to use and integrate efficiency, enabling better forecasting, the data from a data consumer’s increasing market penetration or • Easeofproduction perspective? If the data (assuming customer engagement, and so on. How easy or difficult is it to “produce” it’s external) can be easily used (and (collect, assemble, etc.) the data? This integrated) with internal data, then it is dimension is orthogonal to the previous more valuable than data that cannot. one. For example, sentiment data on a company’s products is all over the • rustworthiness T Web, but producing this data is difficult, Here, we define trustworthiness not in because sentiment information is terms of the data itself (that dimension widely dispersed, locked in unstructured is covered by “utility”) but in terms of text, and hence difficult to extract. the sources and processes used to create the data. If these sources and processes are questionable (or even illegal), then the resulting data becomes a pariah that very few will touch, even though the data itself is extremely accurate. 22
  • 24. Social-driven IT Social isn’t just a bolt-on marketing channel—it will transform interactions in the business world 23
  • 25. Trend 4 - Social-driven IT Accenture Technology Vision 2012
  • 26. Trend 4 - Social-driven IT Accenture Technology Vision 2012 Facebook, LinkedIn, Twitter, and other forms of social media are not just new communication channels to customers. They are powerful catalysts that are changing the ways your customers, employees, and partners use technology to interact with the world around them. Most organizations have yet to catch up to that reality, and almost none take full advantage of it. They must. Who doesn’t have a Facebook page? more efficiently, and with better outcomes. directly to him to address it before he calls to They will also see value in using enterprise social complain. At the same time, enterprises need The social media trend has swept across the platforms for connections with and among to be on the lookout for opportunities to invent world with breathtaking speed—and with employees—and even among enterprises. new channels through social, such as social astonishing impact. In the United States, polling via WayIn or Yahoo’s IntoNow. Facebook is largely supplanting e-mail and text The opportunity is to capture, measure, analyze, as the primary tool for communicating with and exploit these social interactions in new ways. The challenge for IT managers, then, will be friends. Social media has become de rigueur It means that social media must be seen as much to revisit business processes and the systems for businesses too—although mostly as an more than a new “bolt on” channel; it has to be that implement them. They will need to look add-on marketing tool. And in more and more viewed as a catalyst for revisiting everything across channels to define interactions. They instances, online forums and Twitter feeds are that touches a company’s customers and, must look at new forms of data generated by becoming valued sources of insight for marketers increasingly, other communities of stakeholders. those interactions and evaluate the potential and product developers eager to learn what It provides pathways to convey to the rest of the insights they can get from them. They will consumers really think. organization what has been learned by listening be obliged to revisit the organizational to consumers. The most immediate implication is structures that perpetuate the separation But that’s not the only way that social platforms that a company’s call center applications, its Web of channels. They will have to think in terms will be used by businesses in the future. presence, its customer relationship management of industrializing social platforms. And they The social media phenomenon has not just (CRM) applications, its mobile experience, are likely to have to update the metrics that created a new channel to communicate; it has and other consumer channels all need to all define success for customer interactions. fundamentally changed the ways in which be integrated with each other and be “social- people communicate. Looking at the broader enabled.” So, for example, when a customer No business is going to be able to exclude impact, we predict that leading organizations will tweets about a bad experience with buying a social. Those that dismiss its rising influence as soon start applying social platforms and social mattress, it can be linked to his purchase history a fad—or worse, as a preoccupation only for the design mechanics to manage interactions across and to the reviews that he has posted on the young—will be doing their organizations a gross all communication channels to consumers, retailer’s website to determine the problem disservice. They will be effectively removing fostering greater intimacy with their customers, and—since he’s a repeat customer—to reach out themselves from the conversations that their 25