We built a house!

Ok, so it’s not a physical house but we have built a new business in Indonesia. I can tell you, having previously seen my first home being built, it feels very much the same.  In any construction there are a number of key factors to consider; managing the timelines for the project, ensuring contractors don’t blow out the budget (this is a biggie), adapting to the required changes as we learn what works best and above all ensuring the customer is happy with the outcome. In the case of my first home, my customer was my wife, and in the case of building this business, our customer was the Indonesian market.

When building this business or “digital house” as I call it, we learned there are a lot of great technologies in existence that can be leveraged to build a business’ operations and business systems. And for anyone that knows me, exploring these new technologies was like placing a kid in a candy store and giving them some money to fill a basket – don’t worry I was well behaved, for the most part.

Ironically though, I don’t believe it is the strength of our technology that will drive the right outcome for our digital house, but more so the less predictable elements that will define the successful build of our house - quirky people! Whilst quirky people are not necessarily sought to build a physical house  –in the event the bathroom may end up in the kitchen and a shower in the study – we were fortunate to have some amazing people on this project. It wasn’t just their knowledge that assisted us, but their ability to think outside of the box, and consider the unusual and unconventional ways to approach the deliverables for this unique program. Simply put, they needed to be quirky!

There were a lot of unknowns in the building of this house –  from how we could integrate into the local operator’s business and operating systems and avoiding significant upfront investment to ensuring we were compliant to local market regulatory policies. Importantly we also needed to ensure that whatever we built would support the business’ key goal in serving our customers in a new and differentiated way.

I can appreciate anyone who has worked in a start-up before will be thinking, ”well Nathan, as a start-up that’s pretty straight forward and common”. However, I would ask you to consider that this is a joint venture between two incumbents that were running successful businesses in a prescribed way for a long period of time with clear views on how they felt the business should be established. This isn’t in line with a common start-up model.

The approach we took therefore may have appeared normal for a tech start-up, but for two incumbents it was a leap of faith to change the approach in addressing these challenges, whist driving the outcome that would enable a new business to grow. It wasn’t possible to simply run through a check list – what we needed was people who would adapt to the changing landscape as we learned more about the market and business environment we were operating in, and challenge what was possible (or equally not viable) and what was needed to adapt to the needs of the local operator.

What was imperative in building this digital house was the need to change our way of thinking, focusing on quick outcomes in small steps, empowering our teams and accepting that failure could and would happen.  It is very easy to slip into an approach of “that’s what we have always done” as a reason as to why we shouldn’t try something different, I can’t count the number of people who were happy to tell us “that won’t work”, or “you can’t do it that way”.

This is where we get to the next critical factor - you need people that are committed, and almost stubborn, to ensure that they stay true to the journey that is being defined. You also need an understanding boss who will give you the flexibility to pull this together without losing faith in what we are able to achieve (thanks Boss!). There were times when we would question ourselves – “are we doing the right thing?”, and “should we back off and simply accept that near enough is good enough”. I am glad we didn’t as the outcomes we have started to realise are down to that commitment to the goal.

Equally, the team knew we would not make all the right bets to address both our current and future requirements. As such, we needed to make sure that we had some flexibility moving forward. By taking a cloud platform approach to all the technologies that we introduced offered us the flexibility to evaluate functionality, without feeling we were committed to the tools that we were using in the long term. Yes, there would be a revised integration effort if we changed out an element of our architecture. However, that was better than being stuck with a physical platform for five to seven years that we would have to keep customising to the point that it could no longer be changed out without a complete new build.

 The cloud approach has also meant that our costs for the platforms are directly correlated with the growth of the business. Yes, there is a case of initial capacity, however this is minor compared with the scale we can grow these platforms to as demand increases. Lastly, the hybrid nature of our cloud environment, which extends from Indonesia across international markets, ensures that we can be compliant to evolving regulatory requirements in Indonesia whilst leveraging the benefits of different cloud platforms.

Another key aspect has been the way that we have engaged our suppliers. Every conversation has started with, “how do you interface into other systems?”, “what use cases can you share about that integration”, and “what best practices have driven the development of your systems?” The reasons for these questions were because we knew that to maximise the value of the technology we were using, it was more important to have systems that would naturally talk to each other and had done so before, versus our own team having to build a system to translate between two systems – as if we were trying to help translate between two completely different languages.

To this end, it became clear to us we were building a “digital ecosystem” or a collection of technology partners that would need to interoperate to ensure we could serve our customers in a valued and differentiated way. This ecosystem may evolve over time as we find different technologies that will help us serve more effectively in the future. Fortunately, by remaining true to the approach the team has taken, will help to ensure all new members of the ecosystem understand the requirement for interoperability.

We have now established a Service Provider in Indonesia with no network assets, nor any voice infrastructure. Admittedly, we have had to build a private cloud to meet local market criteria, however the majority of our technology is cloud based. We are developing a culture where the teams succeed or fail together, and where we do fail, we fail fast, dust ourselves off, understand why we fail and then move forward again – but always as one team.

We are also now serving customers and gearing up to expand our portfolio, but the house is clearly built. To that end, in building our digital house; the operating license is our foundation, our walls are the tools, platforms and processes we have created, the roof is the governance we use to always make sure there are no leaks in what we have built, the windows our experience centre to show customers a view of what we can provide, and the interfaces connecting our systems together is the cabling. We can now see where we need to improve the house - where the walls need finishing and where the roof needs to be maintained, but none the less we now have a house!

However, our digital house is still just a shell. It’s the people who work in it that are making the digital house our digital home, and ultimately will be the ones who welcome our customers and partners in as we seek to change the customer experience and serve the Indonesian market with our version of kopi and thee.

This article is dedicated to the Implementation team from the past year that had the patience to work with us, the passion to drive us to complete our goals and never accept near enough as good enough. We recognized that this success will always be bigger than any one person and that we all should reflect on the role we played in realising the building of this house. I would especially like to thank the team for putting up with my crazy ideas, passionate discussions and occasional singing in the corridor!

Lost in Translation

I love technology, but if there is one thing I have learned over the years, it is that it is really irrelevant how much you know about the functionality of a particular widget.   The decision to buy a service is no longer about how “shiny” or “rich” a service is, but how it can be relevant. We have reached a tipping point where the traditional buyers of procurement and IT are no longer front and centre in the buying decisions.  These individuals are being replaced by the Business Unit owners and customer facing functions, a shift which requires a fundamentally different type of conversation and one which is causing many challenges for numerous ICT related industries.

“Big bets”, or big changes, are increasingly a thing of the past, especially as ICT services become more on-demand. This change gives customers the ability to transform much easier than in years past. Therefore, businesses need to evolve their thinking toward a new approach of differentiation…one towards relevance as it pertains to the business and the new decision makers.  We need to shift our language from the bits and bytes to understanding the challenges and opportunities that exist and what it can mean for the business. As businesses start to become more granular and focused, on tracking outcomes from individual initiatives, their expectations from suppliers equally change.

One of the things I love about my job is the opportunity to listen to business owners regarding their ambitions for their business, their key challenges and where they would like help.  In speaking with them, I begin thinking about the role I can play for that person in translation and/or understanding of what he/she is trying to achieve and the solutions out there that could help to solve their business challenges. If you are going to be meeting new business people there are three key tips I would suggest you do ahead of time. First, learn about who you are meeting with, what are their priorities and key goals? Secondly, how do they actually measure success for their business and industry? Finally, how can you help them to bridge from your understanding of feature and functionality with the insights of the above?

Let me be more specific, I am not talking about simply writing a script to accomplish what I’ve suggested above. You need to truly embrace and understand these questions and make them part of your approach to doing business. If you are able to do this and can then change the way you have a conversation, this will leave you feeling like you have had a positive impact on someone’s life and or business. Now this is not to say I will stop talking about technology. I simply love technology, but I love it for the same reason I write these blogs. I want to know the impact technology can have on people and to understand how we as individuals can influence and shape the evolution of technology. Technology plays a growing integral part of our daily lives, from the watch on your wrist to the self driving car; our lives will continue to be impacted hence the need to understand how we want technology to add value versus trying to make the functionality of a new widget work for us.

 I am reminded by a great Simpsons episode (stay with me now) where a techie is attracted by Homer Simpsons offer of fast internet but when the techie asks: “I'm interested in upgrading my twenty eight point eight kilobit internet connection to a one point five megabit fibre-optic T-1 line. Will you be able to provide an IP router that's compatible with my token ring ethernet LAN configuration?” – Now you could be forgiven for thinking and those things are what? - but in basic terms he is looking for an internet upgrade and one that will not require him to change any hardware at his home thus keeping his costs low so as he can visit the comic book store and buy more magazines (seriously!). Now of course the obvious question is, “well then why not say that?” I often find myself having to remind people that functionality is great but unless it has relevance to the person you are trying to sell to (or in the case of this Simpson episode – buy from) then there is not much point in starting a conversation.

In the case of Homer Simpson and similar for many businesses, there is a need for a new type of translator – one which can help people and businesses translate features and functionality to demonstrable business benefits, in the language of the customer or partner. This is something that I love to do and moreover enjoy seeing that “light go on” when the translation has been successful and everyone around the room gets excited about the outcome they are then working towards. Without these translators of the future, it is going to be akin to a meeting of two foreign countries, where gestures and pictures is all that is able to be used to explain anything which will ultimately result in a loss of translation moment and leave many people with that Homer Simpson expression as their only answer … “Can I have some money now?” 

Leopards need to change their spots too

We associate Leopards with being fast, agile, and adaptive – something many businesses would love to aspire to or believe they have already achieved. However, think about that Leopard for a moment lacking the ability to maintain a sustainable pace, using up all of its energy in a very short period of time and spending a lot of its time resting to conserve energy.  Now doesn’t that sound more like many organisations you know of, expending large amounts of energy but finding that sustainable pace in a market of change?

In our work environment we increasingly find organisations that need to adapt to the changing market around them. But, I would propose that it is the constant adaption, customisation and “tinkering” of applications and systems that really restrict a business’s ability to do just that.

Consider for a moment how many changes you requested from your supplier to ensure your application or system would operate effectively based on your current ways of working. And now consider how frustrated you were at the supplier’s lack of understanding of your business needs. 

Next, consider what your company did when looking to adapt to market changes or a shift in strategy.  I am guessing – as tends to be the case – you invited in your suppliers and told them there would be a number of change requests required as updates to your applications and systems were needed to ensure they evolved with the needs of your business. What happens next is the response you receive from your suppliers is an extensive program of system changes, which are significantly more expensive than what you had expected. At this point the inevitable happens and we introduce that word that every strategy leader hates … compromise. You are then entering a phase of your business change where you need to balance the necessity of change with the market need to change against the cost. The end result is that the costs continue to increase, you don’t receive the changes you were hoping for and you ultimately end up setting up the business to fail, not fast mind you, just a slow and painful death.

I share this with you because, given the world we live and work in, there is a need for a fresh approach to business.  An approach which actually requires an organisation to change, a change in the way it works and not necessarily by overhauling existing systems and tools. As strange as it may sound it is increasingly crucial for businesses to avoid customisation as much as possible so they can adapt to the market quickly and avoid expensive system overhauls. Of course people will say “well hang on Nathan we need to customise those systems if the market is changing.” Well, I would challenge that there are two approaches businesses need to be taking to ensure sustainable growth in today’s market.

The first is by moving to standard components and interfaces.  With this, you are then able to consider vendor replacements. By forcing the use of API’s, or application interfaces, you can replace components much more easily without the need of a potential full rip and replace of all systems supporting a process.  This equally ensures your business can regularly validate the latest capability from CRM systems to Billing systems and even, dare I say, communication systems. How often have you found yourself frustrated just after launching a new platform, application or system that a capability had just been added that would have benefited your organisation?  Need I say more?

The second key approach is to look in the mirror more often.  Instead of the levers you seek to adjust being limited to third party components, look into your business at the people, processes and ultimately ways of working that you have established and ask yourself, how often have these actually changed over the years?  I am not talking about rearranging the deck chairs, I am referring to real changes in ways of working to ensure 1. that a business can maximise the opportunities that change can bring; 2. to ensure that sustainable growth is understood as the journey.

The first approach is strengthened by the introduction of cloud based architectures, which means you can consume what you need, and equally adjust to new market developments quickly. I appreciate some elements are more difficult to change than others but, by starting with a view that everything can be changed, this will ultimately create the right environment for success. Cloud capabilities have created new avenues for businesses to feel more in control of the risks their business chooses to take and equally the opportunity to leverage the latest technology at each step of the way.

The second approach is a lot more difficult because no one likes change.  Change can cause a stall in business performance and ultimately comes with its own risks. However, people will accept and equally embrace change, as long as you can articulate the benefit to the business. Whatever those change may be, understanding the business need first is the most important element.

Speed and agility are crucial business elements, but without simplifying the tools and ensuring the business adapts to the market change, all that an organisation will achieve is declining profitability and increasingly demoralised employee engagement. I am always intrigued by business leaders who share how confident they are about their business, but it is those businesses who recognise that being as agile as a leopard is not enough. Sometimes you need to change yourself in order to succeed and the tools round you may enable part of that change, but unless you are willing to change your own spots you may find that the speed you have is only enough to spin your wheels  and not to deliver the continued momentum.

Time to get out of the box!

Mobile Operators are at the crossroads of an exciting Journey. They need to choose to become the best of breed connectivity player delivering Internet access, Talk and text services, OR become a next generation services provider delivering multi-media and end user applications. Now I am not here to pass judgement or to say which is better (ok I do have a view), however they must choose a path as trying to dance between the two will only cause increasing prioritization challenges and conflicts of investment strategies. My intent with this article is to open the eyes of operators so that they may see an opportunity before them.

In order to move forward Mobile Operators need to get back to what they were known for, when Mobile Networks were the next best thing driving innovation and service creation.  Remember when we couldn't send more than 30 characters in a message, or the first time you viewed the Internet through your mobile? I mean, come on, how cool was that! The status of Mobile Networks going “All IP” has finally arrived and hence a new horizon has been reached!  So, what are we going to do differently?

Despite a growing view that Over the Top (OTT) players “own the customer relationship”, I suggest you ask yourself this simple question:  “Who do you call when you can’t access certain content or make a Skype call or even view your Google maps?”…. The majority of us first call our mobile operator, with a common statement of “Hey, I can’t access my Apps, Content, or speak to my family whilst trying to avoid your expensive long distance charges!” In my view, if the operator is being asked to be accountable, then shouldn’t they leverage the role as a differentiator as well? Operators have a great chance to remove demarcations and show their customers a true value service, where predictability in end user costs are provided – therefore reducing bill shock when accessing high bandwidth services; and where customers can choose what type of content they want.

I believe, there are some very exciting services that Mobile Operators should consider, if they haven’t already, offering to their customers:

·         Media:  This is the most obvious avenue, given Mobile networks are moving to an all IP network, they can now prioritize and effectively optimize traffic to balance quality of experience whilst minimizing loads on the network to minimize impact on other customers. There are equally exciting opportunities to work with local content providers and/or broadcasters. Operators provide significant value in that they can provide very detailed information on the profile of the individual watching the content (no this is not about selling information, but about profiling a customer base to drive demand and more importantly relevance of advertisements and content to the end user. This is something broadcasters fail to do today when we are watching on our TV’s at home, Yes Broadcaster and Content providers can predict, based on time of day but that is really it, to have the opportunity to know , who is watching what type of content and when would increase the granularity and market insights. This means broadcaster could tell their advertisers that they could increase the profiling of viewers for specific shows and ultimately realize a better ROI for their programming.

·         Applications: Yes we all know the demand and “stores” of applications are expanding rapidly, however, they remain tied to specific Operating System stores and as such, remain difficult to share amongst friends with different operating systems. Mobile Operators are quite unique in that they don’t care if a customer prefers an Iphone over an Android, or Nokia above Blackberry (hey it could happen). Therefore, consider an application store, which is run by the Operator, where customers are able to recommend applications to friends, create apps and share them across a broader market without worrying what Operating System their application is based on or what type of device their friends choose to use.  And because of this, they then see the relevance and value of a Operator enabled store that much faster! Equally, local hosting of the applications improves customer experience for the application owner – especially for the growing number of high bandwidth demanding services, as well as localization of Internet traffic. For Application developers, in local markets, it is always a choice of what app store do you start hosting your application on. Yet, mobile operators have an opportunity to help the application developer access multiple Operating Systems and, at the same time, promote their particular application to a broader audience. The value for the operator, as mentioned earlier, comes in optimization of those access applications across their “all IP” mobile network and I would suggest sharing the advertising monetization with the app developer.

·         Service Bundling: Historically we have looked at bundles based on a mobile device, phone line and access to the Internet. But, these days, all of these elements are a given. Why not change this to become: access your top three social media pages, favourite content sources and/or applications? By collecting all of this data, Mobile Operators can then share with the customer what other content or apps may be of interest based on similar profiles without divulging personal data! Equally in understanding these preferences for customers operators can start to prioritize or optimize traffic to ensure customers receive an exciting experience whilst also working with the content or service owner to consider hosting high demand services with the operator to reduce overseas Internet expense and improve performance.

·         Advertising: This has become a fact of life, whether you like it or not, it is here to stay. We see ads everywhere on line and where the Mobile Operator can add value, is to use this to help the customer gain access to content and services at a lower cost. Before you skip past this idea, consider for a moment an option to buy into Ad categories which are of relevance to you and use these as credits to offset your new profile based service bundles or expand your bundle to other services at little or no extra cost. We have tended to forget that the Advertisers will consider all avenues to reach their potential customers as long as they are more likely to view the advertising. Let’s face it, if you know the ads being shown are of relevance and then you are more likely to click on the ad. Combine this with basic profile data of Day, Time, location and personal preferences to create the greatest likelihood of interest for both the end customer and the advertiser. in the end it is the operator who is actually facilitating the relationship and making it beneficial to both!

Mobile Operators are at a cross roads, they have the capability to redefine the customer experience through optimization, prioritization and packaging. The “all IP” network means it is much easier to introduce over the top services which could be viewed on laptops, mobiles or tablets (and increasingly TV’s!) The traditional Over the top providers (OTT’s) may become agitated with this approach, however, in my opinion; it is ultimately what we have been missing for some time.  A healthy competition and a realization that mobile operators have more than one choice, when it comes to delivering a content and service rich diversity and high quality customer experience. It is up to the OTT players to excite the operators in how they are going to partner in service creation, customer growth and end to end service assurance. OTT’s have a choice to make as Operators are now in a position to shop around.

Mobile Operators therefore need to identify the role they want to play, build the above capability or identify the partners (not suppliers) who they can work with to achieve the same. However, whatever the decision, the end result MUST be that they take responsibility for the end to end customer experience and that is only possible if they embrace the Over the Top model, recognize that the era of talk and text is moving to all IP and OTT players are increasingly challenging mobile operators for this space. Going all IP means Operators can now leverage the growing standardization that Operating systems for mobile devices have brought us and ultimately it is the OTT’s who have provided the opportunity to Operators to create their own services, or as I like to say perhaps now is the time for Mobile Operators to go “OTT to the OTT!”

Driving Change in 2014

The internet as we once knew it is no more

The worldwide web used to be a “go to” location for all our information needs, where we would consume online content and play games has now become a recognised utility no different to electricity, transport infrastructure or water. Over time however, the internet has also evolved to become a critical delivery platform enabling a raft of new services. Where we once read news or simply sent emails, we now use this “utility” to bank, shop, access business applications hosted in the cloud, watch the latest TV shows and listen to music, as well as interact with our friends, family and peers (ok and for me play the occasional online game!)

APAC is experiencing rapid growth of connected devices. This proliferation of devices – such as smartphones, tablets and laptops – allows us to connect to our networks remotely, highlighting the fundamental alterations in how we use and interact with technology. So much so, many of us haven’t even noticed it has taken place. For instance, consider the younger generation (yes it seems I am no longer part of that group!) who no longer refer to “going online”, they are simply accessing applications and services with little or no regard to how they get there or where they exist.

Given our changing relationship with the online world and its growing importance to our general day-to-day lives, businesses are increasingly looking at how they can maximise its value and the consumer insight it delivers. This is driving significant technological change within IT platforms.

As organisations across APAC embrace the IT transformations that are underway – particularly in cloud, big data and mobile – and embark further along their journeys, there is a significant opportunity for businesses to better serve their customers through technological change while growing the bottom line.

A New Era of Cloud in 2014

We’re entering a really exciting era for cloud technology. Over the past year alone, cloud providers have increasingly discovered their individual and unique cloud plays – whether it’s supplying to specific industries or public, private or hybrid platforms – and have expanded their services accordingly.

One-size no longer fits all, and in 2014 businesses can expect to realise the benefits tailored cloud platforms deliver as providers begin to offer solutions designed to individual customer needs. As providers recognise their strengths, they will also identify partnership opportunities with vendors offering complimentary technology to their existing portfolios.

The progress we’re seeing in the cloud will also filter into the business network itself in 2014, where we’ll increasingly see networks being defined by dynamic needs of business functions and the introduction of business process service level agreements (SLAs). For instance, cloud platforms will be linked with traditional on premise applications, such as a CRM or SCM environment. This will enable the network to reshape itself and categorise its applications based on current activity levels so that network traffic and the needs of remote workers can be easily managed and prioritised.

Innovate in the Cloud

This year we’re also going to see a growing number of applications developed by businesses, a trend enabled by the fail-fast culture of cloud. Today, businesses are more willing to develop their own business applications as they are educated on the flexibility offered by the cloud.  They simply need to buy the relevant computing space to test an idea, and then shut if off again when the idea has run its course. This means less risk and the cost of exposure for the business is greatly reduced when compared to the previous options and methods available.

With the cycle of applications being delivered and created gathering momentum in 2014, the Enterprise App store will arrive on the scene as CIOs provide employees with a selection of applications endorsed and supported by the organisation. Until now this has had limited success, but with widespread adoption of Bring Your Own Device (BYOD) and publicly hosted secure applications it will be an increasing focus for businesses seeking to enhance productivity.

Collaborate and Share

Businesses that deploy application programming interfaces (APIs), allowing developers to design products based on an organisation’s services, will also achieve success this year. For instance, businesses can build their web conferencing capabilities into another web-based application, such as instant messaging, enabling seamless collaboration and communication between individuals.  

The reality is that organisations rarely use applications in siloes, meaning those vendors offering API solutions this year that increase collaboration with complementary products and markets stand to benefit from increased sales with their customers.

Intelligent Insights Deliver Results

In recent times, big data has been more akin to trying to drink from a fire hydrant - we can access a lot of it but have little time to digest it. In 2014 however, businesses will start applying different lenses to data sets so that they can identify what is relevant to them or impacting upon their business. By focusing on the data that is relevant to them, businesses will be well placed to optimise their services and customer experience, similar to that same fire hydrant being attached to a water dispenser allowing us to choose what type of water, colour, and temperature we are interested in extracting at any point in time.

Looking further ahead into 2015, businesses will start to use the data they are collecting to predict future activity or the impact of unforeseen circumstances.  This will be driven by the ability of Smart Data platforms assessing patterns and delivering forecast and trending data enabling improved business planning. For example, if a customer pays for their movie tickets via near field communication (NFC), the mobile operator could identify the most frequent days the user visits the cinema, and send them discount codes for these dates. Over the coming years, this approach to data analytics will become an extension of who businesses are and their operations.

Drive Change

Today, businesses across APAC have access to an unprecedented amount of tools and services from a variety of IT vendors, which is driving greater confidence in identifying innovative ways to address business challenges. Additionally, businesses are being forced to understand and adapt to the way consumers use and interact with technology from the devices we use to the ways in which we choose to engage with vendors and service providers.

Encouragingly, businesses are being very proactive and the next 12 months will be telling as more and more companies come to grips with the technologies making a real difference to their operations. Ultimately, the approaches being adopted will introduce increased business elasticity which will aid in addressing the two biggest ongoing challenges of business today: risk mitigation and bottom line profitability.

Well that's my view on the world, what's your's? Feel free to share by commenting on this blog!

Importance of Cloud to Asia

Asia is still recognized as the growth region of the world. Look at any research firm and they will be talking about Asia and if not they will have read someone else’s report and realize that this is where the growth engine of the global economy now resides. But like any new engine Asia is not yet purring smoothly - especially for new businesses looking to expand rapidly into the region. The challenge for these businesses is how to grow faster than the competition but at the same time reduce the risk of burning out the engine before they have had a real chance to maximize its potential.


Asia is an incredibly dynamic region and unlike Europe or the US, it is complex. It is a dynamic patchwork of markets, each with their own challenges, opportunities and relationships. To be successful businesses need to be able to rapidly test new products, new services and new approaches – but with minimal risk and maximum flexibility. This is where Cloud technology comes into play.

In a market like Asia, Cloud provides an avenue to address the challenges of low risk, scalability and rapid response that business leaders have been trying to articulate to their CFOs and Management teams for years. Yes Asia is a growth engine, yes it comes with risks that mean we have to be able to change direction or approach quickly BUT now for the first time we have a Cloud technology toolkit which supports, not prevents, this agility.

Contact centres in Asia are a classic example of the need for increased flexibility, sounds like a leap right, but stay with me and I will explain. Customer engagement has become a critical differentiator in Asia. Why? Simply because it is increasingly difficult to gain any sustainable advantage through price or functionality alone. Therefore businesses need to differentiate through the manner in which they engage with their customers – which for most businesses means the contact centre.

With a population of over 2 billion, Asia has a large number of customers looking for personal attention! To retain those customers and to differentiate through service businesses need to be able adapt to their changing needs, views and preferences of engagement. That’s right, we are truly a complex people and technology hasn’t helped matters. Mobile phones, social media and applications have empowered the end user to define their individual anywhere, anytime and anyhow needs. In addition consider the diverse segments a regional business in Asia must engage with – language, culture, age, religion, nationality and above all personal preference – a significant opportunity but to adapt to all of this successfully in a static technology environment is near impossible. Hence flexible, scalable, low cost cloud services simply MUST be an integral part of any future customer experience provided by businesses in Asia.

Cloud-based contact centres provide us with the confidence that we can scale with the ever changing demand ensuring that our costs are always in line with business needs. More importantly, a cloud-based contact centre means businesses can take back control and respond to market changes in real time.

Imagine for a moment a certain country in Asia is announced as being the no. 1 tourist destination - and, as a tourist airline, that could mean big business for you. But how do you inform your regular customers and the tourist agencies that your airline is a key provider of flights to that country and that now you are going to increase flights to that country as well? Traditionally getting these new campaigns live might take weeks or even months, but with a public cloud-based contact centre you can make these changes in minutes and across all media channels. As a result you have been able to rapidly take advantage of a market shift faster than your competitors and secure new business ahead of the rest of the market. Equally as important is the confidence that your cloud technology platform will be there to support rapid business growth as and when you need it.

Cloud services in the Asia market represent a key opportunity for businesses to minimize the key risk factors often associated with high growth markets. Use these services to embrace Asia for what it is – the growth engine of our global economy. If you don’t have public cloud in the contact centre you’re not agile. And in Asia if you’re not agile you’re not competitive.

Business Augmentation – Back to Basic

I was asked a couple of weeks ago what is this augmentation I keep talking about, and why does it apply to businesses? Augmentation is not new, if you think about augmented reality, augment glasses, augmented amusement park rides – yes they exist!

The reason I apply it to businesses today is simply that like the other examples above they are seeking to maximize existing components and add additional capability and or scale to it that can adapt to their current market environment. Anyone familiar with augmented reality knows this is a powerful tool which can understand the current context of what you see and add additional information to it such as where a bus is headed to, availability of properties and reviews of your favourite restaurants. Now in the context of these examples you would say well of course it has to use the current capability we would be blind otherwise (literally!), fair enough, but why not use the same concepts for business? The current platforms work, it is not a case of them being no longer fit for purpose, more likely they are functionally or scale limited by the platforms they were built on and if a business knew that by adding to their existing capability they could actually extend the life of their assets and as such turn a depreciating item into a value creation item they might change their views on them.

Woah … what? Ok let’s go through an example. A business has an existing telephony system they would look to replace it or upgrade to a new platform when it is either end of life (financially), has reached maximum capacity or last but not least is no longer able to meet the functionality needs of the business. In any of these circumstances you might think a business needs to request quotations for new platforms, and previously this is most likely what a business would do. Consider equally businesses looking to grow through acquisition in a market where just about everyone has some form of video conferencing, yet there is always that concern on integration cost of communication platforms. In both of these examples any vendor would love you to rip and replace the old assets and convert to a new platform, but this only adds cost to your business which would be better spent on systems and tools upgrades/integration which tend to be more customized. Hence having access to a virtual “bridge” that allows you to leverage the assets of the existing business that can be integrated whilst using cloud based IP Telephony or video for new or temporary users/sites provides an alternative avenue and drives a philosophy of business led outcomes. i.e. decide what your business needs to do first and assume the technology is there to make it viable second.

Equally the current economic environment with its rapid changes of growth and decline across multiple markets at different times has resulted in concerns on making the right decision and timing of business decisions. Particularly when it relates to ICT investments where businesses are struggling to understand how they can find a balance between driving business improvement or growth goals against managing cost and mitigating risk. The Business Augmentation approach here creates a fundamental shift in defining the business outcome first, knowing that technology will adapt to your requirements rather than being limited by your current ICT capabilities both in terms of functionality and cost.  Think about it for a moment – how often have you considered that accelerating the growth of your business through expanded ICT and other resources could derive your next wave of growth, yet at the same time being concerns on managing risk. What if the market changes? What if competitors flood the market? What if my supply chain can’t keep up? Business Augmentation is about removing this risk, leveraging existing assets, adding new functionality – preferably through the cloud – with the confidence to unwind that functionality at a moment’s notice should market dynamics require it.

I am a big advocate of Business Augmentation mainly because it directs the discussion between people and technology where it belongs – Technology as an enabler to business and consumers and that through reducing (or even better, removing!) the risk businesses can create, innovate and drive growth with greater confidence. Technology change is increasingly regarded as a disabler as “rip and replace” or full transformation of platforms offers little or highly complex roll back to legacy platform options. Imagine for moment that your ICT architecture was linked to cloud based platforms which were used to facilitate your growth, and as you continued to grow you realized your business had established a new baseline, this could then justify longer term investment and encourage the business to stretch further with the confidence that it was suddenly in a stronger position to adapt to change.

Now this is all great in principle but we need to be able to realize these ideas, the great news is these platforms are out there today, whether it be around Collaboration, Cloud Computing, Networking and Security, we simply need to drive Service Providers, vendors and SI’s to be more disruptive and challenge the norms of upfront payments linked to capex towards a more sustainable and elastic business model which will deliver self fulfilling growth as risks become more manageable and businesses in turn take increasingly creative steps forward.

Challenge yourself, your business and your ICT relationships to change the way we work by leveraging Augment capabilities and you will quickly find there are a growing number of opportunities to create, innovate and grow your business! Hence get back to basics define your need and challenge your ecosystem to deliver!

Transform, Transition and Augmentation – Bingo

The other day I was cleaning out some of my old presentations which I have delivered through the years and something occurred to me, our business models have truly evolved! Yes I know, that is such a surprise and like welcome back to reality Nathan! However stay with me for a little longer, historically people would talk about transformation in order to achieve the results the business was looking for so as to adapt to long term business or market changes. Then we saw a growing trend to look at transition as businesses realized that transformation could lead to either greater costs or significant business disruption especially during increasing periods of change. Now we have entered into a new era as businesses seek to maximize their existing assets and avoid expensive rip and replace strategies in the current market environment where the only constant seems to be change, an era which I have defined as “Augmentation”.

When we talked about Transformation we would traditionally jump to outsourcing as a means of execution, I mean transforming your business on your own seemed near impossible, but by outsourcing key functions that were not core to your business allowed you to focus on managing the change with the outsourcing partner providing the people and systems support. outsourcing is still an option that people consider but increasingly less as they look to alternative options providing greater controls on costs.

Over time though we realized that transformation became more complicated and less likely to succeed due to rapid globalization, market changes and increasingly complex supply chain and customer engagements. As such it seemed a “partner” providing managed services was best suited, providing a degree of flexibility to increase predictability in your operational cost and target certain synergies in IT and communications platforms. Managed services saw a rapid growth in demand and similar to outsourcing, managed services continue to be in demand albeit reduced as businesses again look to new options for supporting fluctuating business change.

The current era of augmentation has been driven by the advent of cloud computing an opportunity for businesses to find services which are more flexible with their business needs but equally helps to maximize their existing investments.  cloud computing has not realized its full potential as yet, but new providers are helping business to realize the benefits of cloud computing through services which augment with existing platforms providing greater flexibility and scalability than previously seen.

What makes this whole evolution exciting is the waves of change are shortening, to clarify the window of opportunity for outsourcing companies has clearly passed, as has the peak of opportunity for managed service providers and now the question is how long will cloud based service providers last for. I am not saying that outsourcing and managed services will cease to exist, however they are no longer the only solution(s), but merely a part of, or provide a supporting role to the challenge businesses are looking for a solution to.

So we are no longer looking to transform, nor transition, but today it is about augmentation to maximize existing assets - which in the current environment no major surprises there. However before you nod your head feeling comfortable you are on the right track, we are awaiting the next wave which will be focused on Business Process Evolution or BPE. This will be achieved through the traditional two pillars of IT and communications finally merging through the common element of virtualization. Hence the title ... Bingo! Although this sounds like a technology puzzle game there is so much change that the key is to be able to adapt to change, anticipate it and recognize that traditional ways of working will no longer suffice. The resulting change however, will provide businesses an opportunity to redefine their business objectives first and foremost with a choice of partners to deliver on the ICT execution of those objectives.

I know many managers will read this and consider this a visionary story … however consider for a moment the diversity of software and next gen providers leveraging standard interfaces to bridge these two pillars of IT and Comm’s together. Their lack of legacy is allowing the acceleration of these types of solutions which will result in businesses focusing on business outcomes with an integrated IT and Comm’s platform that will scale with their changing business needs, no outsourcing or long term managed service required.

So what should you take away from this article? This is a message to all those feeling comfortable bobbing on those legacy waves, now is the time to start thinking about what is required to adapt to the next set of waves, because these waves of change are coming faster and if you don’t anticipate the coming changes someone else may end up deciding the future of your business for you. With that get your bingo cards ready because the next 12 months you are going to hear a lot about these accelerating waves of change and you will need to have the right attitude to survive and hopefully even succeed.

Are We Ready for Cloud?

I can appreciate that anyone reading this title will ask – what do you mean are we ready for Cloud, it’s in the market already, the market has been speaking about it for years, even in your own blog Nathan you have been talking about this? No I haven’t had memory loss – yet -  but this blog will look at a broader context of Cloud Computing.

Many businesses are already experimenting with Cloud solutions either for testing, extending data storage or generally preparing for cloud migration. However are we really ready for this change and what are the impacts it will have on our way of working? I hear many businesses talking about preparing to move their ICT into the cloud, but what does this truly mean? That their IT department has validated the systems they are choosing to use in a virtual environment or does it mean that an organization has understood that moving ICT into the cloud is as serious and potentially disruptive as any business transformation?

There seems to be a growing view that Cloud Computing will deliver cost savings to a business’s ICT spend and based on many industry reviews this seems to be accurate, at least at first. From a starting position when migrating to cloud computing businesses will most likely see an improvement in their IT and Communications spend through increased scalability; however the challenges occur when businesses are seeking to leverage the benefits of virtualization across their supply chain and their internal processes which tend to take longer to materialize in any type of transformation project.

Anyone who has undergone an internal transformation will know there are three key aspects to any business change, these are – People, Process and Systems. It is interesting to note that when considering a shift to cloud computing, businesses seem increasingly comfortable and aware of the “Systems” implications. However during a cloud migration businesses are not paying the same level of attention to People and Process, these two areas are of particular importance in an era of globalization and connected business environments. Through globalization many businesses today have staff/resources distributed around the world, either through driving efficiencies, optimizing costs or to ensure close engagement with the end customer. The People aspect of change brought about by Cloud computing needs to capture not only the impact of latency tolerance for people to access systems, but also ease of use, language, local vs. central support and managing legal and regulatory changes where people are located. Equally, a business’s processes increasingly tend to include other organizations as they no longer tend to manage from design to implementation to in life support without input from other partner’s, suppliers or even customers. These developments require greater governance and adaptability to change, something which businesses may not have had to consider in a static ICT environment where changing a vendor or system had a more limited impact to the business.

This is not meant to be a warning against the benefits of virtualisation - aka Cloud Computing, but to make sure that as a business community we look at the transition to Cloud Computing as being as broad and potentially impactful as any business transformation we have undergone or are considering. Whilst many are looking at the short term gains that cloud computing can offer, it is actually the longer term benefits of cloud computing which are more exciting as these can lead to greater business agility, a shift in aligning business performance with supplier cost and creating a working environment for business led innovation.

I am sure many out there who will read this and think I am over complicating something which is simply a managed service, yet the goal for any business must be how to drive sustainable growth, in a market where the only constant is change. It is therefore important to ensure any project is providing a path to sustainable growth, there must be a longer term set of measures for success, such as identifying efficiency benefits through unit utilization (staff or resources), or being able to demonstrate increased alignment between the pull of business requirement and the push of ICT costs, resulting in reduced bench cost and greater business agility.

Are we ready for Cloud Computing, the answer remains yes - surprised right? -, although it might sound odd with what I have just outlined, but as businesses we do have the means with which to ensure a successful migration to cloud based working environments, we need only make sure we treat this as a business change not only a technology shift. All businesses have been through some form of transformation in their business, whether that is to adapt to the market, seek out new opportunities or drive business optimization we need to refresh our learning’s from these projects to ensure a path to the outcome we are looking for in the longer term with Cloud Computing. As with any Transformation we must keep in mind the three factors of people, process and system whilst maintaining a forward looking view on the benefits to a sustainable growth outlook all the while keeping in mind the age old saying – Preparation Prevents Poor Performance!

No Big Bang, Just a Passing in the Night

In this ever changing world of technology we are seeing a very interesting trend. Previously I wrote about the Next Big bang which I thought would involve the merging of IT and Communication Providers; it would seem however that it was more a passing in the night of two large forces than an actual collision to create a new wave of services.

In today’s market we have Hardware vendors now being driven to sell software in order to sell more hardware and software providers now selling more hardware in order to sell more software – still with me? I had expected or rather hoped that the Big Bang theory would create new partnerships between Hardware and Software vendors to leverage the shared strengths of both as opposed to vendors trying to over extend. We talk about the need for Businesses to adapt to the market around them to survive this could not be more relevant to technology companies but that shouldn’t mean these technology companies try to manage beyond their core strengths.

Okay that might sound vague but we only have to look at the wonderful new world of cloud computing to see how Hardware Vendors and Software Providers are trying to gain new market share or for many of those providers already in the hosting space trying to protect their existing business. It is this attempt to try and conquer all which is creating a new market dynamic. Cloud Computing is on the verge of significant divergence with so many different models offered by a vast array of providers both hardware and software alike.

The implications of these differing Cloud Computing models are that technologies moving into the cloud are increasingly becoming tied into specific cloud platforms. That is to say instead of being able to choose your own combination of a cloud computing platform and then your choice of Communications and IT services, business will now need to identify which services work with which platforms without the need for customization.  I am worried that although cloud computing was supposed to mean less customization and greater ease of use we are going end up with the exact opposite. The result being extensive ongoing customization and complex systems requiring intensive resource support diverting crucial resources away from businesses focus because of the increased hands on requirement.

This is because Hardware Vendors and Software providers alike feel the need to fulfil each other’s role rather than look at partnerships. This to me is a missed opportunity and one which businesses will end up having to managing. There is hope however I have seen a new wave of communications and IT service technology businesses that are working to remove the complexity of customization by taking on the integration requirements themselves embedded within their service offerings. This is intriguing to me as I had predicted these new providers/innovators to come about through the seamless integration of Hardware and Software, but it has been the gap which has developed between Software and Hardware vendors instead which has created an opportunity.

I am excited to see these new providers offering hope to businesses to leverage the benefits of new technologies whilst avoiding the worry of managing change. Augmentation helps businesses avoid rip and replace, and let’s face it in the current market environment no one wants to replace their existing systems. At the same time though businesses realise it is important to continue to drive towards sustainable growth leveraging the ongoing evolution of technology albeit based on the outcomes of their business goals rather than technology limiting those goals. Did you get all of that?

Best of Breed should always be about the choice of the customer, I am hopeful that these new technology companies will keep alive that opportunity for businesses to look at the blending of cloud computing with Communication and IT services as an opportunity to reduce customization and improve ease of use. So I would ask Hardware and Software providers to take a look in the mirror, stay true to their business focus and leverage these new providers in maximizing their own strengths and ultimately retaining their focus in meeting the needs of their customers.