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Maximize Your UC Investments: From Cost Savings Through to Supporting Business Innovation
Steve Blood
There's No One Route to Building the Business Case for Unified Communications
Quantifiable BenefitsHistorical Data
Measurements (strong direct)
Measurements (weak indirect)
Measurements (with assumptions)
Pilots, TestingUser Trials
Software license bundling
Anecdotal arguments
Specific examples
Case studies
Business Unit Sponsorship
Key Issues
1. What is Gartner's cost optimization framework, and how does it apply to unified communications?
2. Where should IT leaders focus their investments for cost optimization and business innovation?
3. What are the early examples of success, and how should these be communicated?
Joint Business and IT SavingsCost saving technologies in the business
Enable Innovation and Business RestructuringProcess improvement, restructuring, innovation
Build a Cost Optimization Framework for UC
IT ProcurementBest pricing and terms for your IT purchases
Align Technology With Business Need
Select Anchor Vendors Assess Vendor Influence
Cost Savings With ITOpportunities to reduce IT costs
Vendor Influence Curve for Best Pricing and Terms for Your IT Purchases
"The Leader:"I understand my business and technical requirements in major areas of IT, and choose a key/strategic vendor for major initiatives that best meet those requirements.
"The Miser:"
The market area is a commodity. I just buy on price.
"The Optimist:"I have a primary vendor partner and consider my partner as the primary influencer.
"The Follower:"My vendor is my only trusted advisor. I never look at other alternatives.
Advantage to Vendor
Ad
van
tag
e to
En
terp
rise
1
24
5
3
"The Tactician:"I consider a number of tactical vendors when defining a solution.
Tangible Cost Saving Opportunities in UC
Voice
Confer-encing
IM/Presence
Messaging
Clients
Applications
Mobile
Fixed
Softphone
Web
Audio
Video
Rich Presence
IM
Persistent Chat
Unified Msg.
E-Mail
Voice Mail
Thin-Web
Thick
Mobile
Contact Center
Collaboration
Platform consolidation with IP telephony, replace desk phone with mobile, cellular bypass with soft-phone
In-house conferencing over hosting, Internet bypass of ISDN, desktop video, travel reduction
Corporate IM replaces consumer, IM reduces phone calls, voice mail tag
E-mail server consolidation, v-mail server consolidation, displacement of v-mail with Exchange 2007 UM
Desk phone replacement by soft-phone, consolidation of soft-phone clients
Displacement of IP-PBX with collaboration desktop, consolidation of contact center platforms
Core Area Technology Cost-Savings Opportunities
Joint Business and IT Savings — Target the Obvious, but Make it Stick
VS Don't try to eliminate travel
Target recurring meetings with video
Infrequent Flyer
2220 2342 4534 342
S J Blood
Create a "frequent non-flyer" reward program
Emphasize efficiency as well as cost savings
Set a new baseline for frequency of meetings
Link Cost Savings to Carbon Reduction
Vary the times of meetings for international groups to share the inconvenience
Enabling Innovation — People, Process and Technology
Process Exceptions Notifications Support
UrgentRequests
Process automation demands a reduction in human latency
Notifications: SMS, Voice, E-mail
Two or more people are required to make a decision in different locations
Conferencing: Audio, Video, Web
Real-time information is required to reach a collective resolution
Collaboration: Work Spaces, Wikis
Stakeholders have different communication devices and needs
Rich Presence: Netbook, Smartphone
Key Issues
1. What is Gartner's cost optimization framework, and how does it apply to unified communications?
2. Where should IT leaders focus their investments for cost optimization and business innovation?
3. What are the early examples of success, and how should these be communicated?
Creating new products or services (innovation)
Increasing the use of information/analyticsImproving enterprise workforce effectiveness
Reducing enterprise costs
Improving business processes
Attracting and retaining new customers
Listen to the Boss … Listen to the Business
Network Imperatives:
Top Priorities for CIOs:
*Projected by GartnerSource: Gartner 2010 CIO Survey
Short Term:Get Efficient
Long Term:Innovate
• Mobilizing the Workforce• Adapting to Changing User
Expectations• Providing Services "in the Cloud"
• Cost Optimization• Integrating Communications
Into Business
6
4
5
2
1
2013*20102009
3
3
5
8
1
2
43
6
5
1
2
7
UC Road Map Starts With ConsolidationA B C D E
Mobile
Fixed
Softphone
Web
Audio
Video
Rich Presence
IM
Prstnt. Chat
Unified Msg.
E-Mail
Voice Mail
Thin-Web
Thick
Mobile
Contact Ctr.
Collaboration
CEBP
Evaluate current products and plans: Current inventory: Products, partners, business
owners, stakeholders, plans. Develop a communication "vision" to drive the
business case. Evaluate your network and application infrastructure.
Identify strategic partners and road map: Evaluate your partner's product directions,
integration options and plans. Fit your plan to vendor's plans and vendors'
plans for interoperating with each other. Select partners; define road maps, migrations
and contracts; and start evaluations and trials.
Continuously: Re-evaluate partner performance. Incrementally expand function and rollout. Use roles to define requirements. Organizational issues will be challenging. Evaluate how UC can produce
transformational change.
Voice
Confer-encing
IM/Presence
Messaging
Clients
Infra-structure
UC Project View
Voice
Confer-encing
IM/Presence
Messaging
Clients
Infra-structure
Common UC Projects- IP-PBX migration- Fixed-Mobile
integration- OCS/VoIP evaluation
- Audio & Web integration- Video migration
- e-mail migration- Voicemail/UM migration
- Voice client evaluation- Smartphone integration
- VoIP Readiness Tests- Video Readiness Tests- LAN & WAN upgrades
- IM/presence deployment- Shared work space
Risk HighMedMed
- Large investments to migrate * - Multiple options & approaches- Organizational & migration issues *
Healthcare: doctors/research; staff/nurse/lab; coordinators; housekeeping; clerical; maintenance; volunteers, special (security, contact center).Financial: Executive; mobile professional; home telecommuter; collaborative worker; back-office worker; shop-floor/warehouse; specialized (security, contact center).Government Social Agency: Executive; supervisors; fieldworker; clerical; specialized (call center, crisis center)
Define roles & Sub-roles; then match vision/function to each.
Presence & IM• IM with partners• Expert locator
Fixed Voice• Single-number• Boss-secretary
UCC: Junction of Two Markets
"UC"• UCC is evolving toward a composite market in which UC joins the collaboration market.
• Some technologies remain distinctly in the realm of communications (for example, voice infrastructure, call centers and so on), while others remain distinctly in collaboration (for instance, team work spaces and social software).
• By 2013, the UCC market will be well-established, removing these distinctions.
• Mobile is everywhere.
Communications
E-mail
Unified messaging
Web conferencing
Instant messaging
Presence
Directory
Telephony
Voice mail
Audioconferencing
Wireless e-mail
Videoconferencing
Call Center
Collaboration
Team workspaces
Wikis
Blogs
Social software
Other collaboration tools
"UCC"
Key Issues
1. What is Gartner's cost optimization framework, and how does it apply to unified communications?
2. Where should IT leaders focus their investments for cost optimization and business innovation?
3. What are the early examples of success, and how should these be communicated?
Early Adopters of UCC Recognize Benefits in Productivity and Collaboration
"What were the 3 biggest improvements your organization experienced after deploying UCC?"
Survey of organizations larger than 100 users in Education, Financial Services, Retail and Healthcare, Fall 2009 (Multiple responses allowed; n=64)
Improved employee productivity
Improved employee collaboration
Improved employee access to information regardless of device/location
Improved communications for distributed sites
Improved customer service
Improved communications for mobile / remote workforce
Easier systems management and administration
Lower total cost of ownership (TCO)
Improved applications available
0% 10% 20% 30% 40% 50% 60%
Three Key Influencers in Business Process
Function (Process, BI, Application)
OrganizationSales, Manufacturing, Development
TechnologySAP, Microsoft, Oracle
Business Analysts
Business ArchitectsProcess
People
Org. Structure
Business Unit ManagersSales, Marketing, Manufacturing, Operations, Product Development Sponsorship
Communications-Enabling Medical Imaging
Collaboration
Context-Specific Presence List
Auto Logon
IM, Voice or Video Interaction
Expected Benefits
• ~ 5%-10% radiologist and
patient throughput• Improved patient
care and shorter wait times
• Regulatory compliance
improvements*
*Available in next release
Process 1. Unexpected results found by radiologist
2. Use presence to contact doctor immediately
Process 1. Unexpected results found by radiologist
2. Use presence to contact doctor immediately
3. Radiologist and doctor conference/collaborate
4. Results communicated/acknowledged and, in the next release, can be recorded*
3. Radiologist and doctor conference/collaborate
4. Results communicated/acknowledged and, in the next release, can be recorded*
Technosite Improves Employee Productivity and Reduces Enterprise Costs
The Challenge
• Attract the Best Staff
• Reduce Employee Turnover
• Increase Productivity
• Control Real Estate Costs
Tangible Benefits• Ongoing Cost Savings
- 40% saving in staff indirect costs- Office space reduced by 20%
• Improved Staff Morale- Staff save 30hrs travel per month- Turnover only 2% (40% in industry)
McDonald's HR Department Addresses "Healthier Work-Life Balance" for Employees
Project Objectives• Reduce day trips for meetings• Create spirit of cross-functional
collaboration• Track travel and communications costs• Migrate from hosted to enterprise Live
Meeting for lower costs
Results• Reduced travel costs by 12%• Lowered telephone costs by 3%• 64% of employees responded positively
to Microsoft OCS deployment• 52% displace travel with on-line
meetings using Microsoft OCS• Management report improved employee
satisfaction and team productivity
McDonald's European supply chain group is widely distributed across Europe
Imperative Action Plan
• Next Week- Create a Center of Excellence for communications- Use cost optimization as an organizing structure to
track current and future UC projects
• Next 6 Months-Make new friends in the business to identify UC
opportunities- Align UC with Collaboration initiatives for productivity
benefits
• Next 12 to 18 Months- Track cost-optimization programs in UC and
communicate the impacts to the business
Notes accompany this presentation. Please select Notes Page view. These materials can be reproduced only with written approval from Gartner. Such approvals must be requested via e-mail: [email protected]. Gartner is a registered trademark of Gartner, Inc. or its affiliates.
Maximize Your UC Investments: From Cost Savings Through to Supporting Business Innovation