Showing posts with label real-time. Show all posts
Showing posts with label real-time. Show all posts

Preparing for the Future: Operating in Three Time Dimensions

The better we are at understanding the future, the more value can be harvested from it today. ~Kevin Benedict
It's important to recognize that not every part of an organization can or should operate in the same time dimension. Humans are slower at many things than computers. Humans might take 5 days to process a business loan, while a computer only seconds.  With the addition of AI, automation, and predictive analytics a digital solution can even leap forward into the future to create value, and this is our topic for today.

Let’s consider the concept of having three time-dimensions inside an organization.

1. Human-time – time governed by our physical, biological, and mental limitations constrained within a 24-hour cycle.
2. Digital-time – time governed by the speed of computer processors, cybersecurity systems and network speeds operating 24x7x365 days a year.
3. Future-time – the ability to reach deep into the future for value.  It is achieved by using predictive analytics, planning solutions, algorithms, and artificial intelligence.

Human-time is often the slowest time dimension among the three when it comes to completing a business process.  Humans are biological entities that operate at a pace governed by our biology, the sun, moon, and the physical requirements that keep our carbon-based bodies alive and functioning.  These requirements and our mental and emotional limitations make scaling human productivity beyond the limits of the 24-hour Circadian Rhythm nearly impossible without assistance.
 
Digital-time refers to the speeds at which digital systems operate.  This includes computer systems, software, sensors, data storage, cybersecurity, and networks, etc.  The goal of most business processes operating in digital-time is to reach speeds as close to real-time as possible.  This is accomplished by optimizing each connected system, component and process that touches data.  A good example is online commerce.

The Future-time concept enables processes to fly right past the real-time benchmark, and into the future. It’s the ability to travel forward in time, set up an outpost, and find insight that should inform behaviors and decisions today. Based on an outpost's findings, actions that need to be done in a particular sequence between now and then can be recommended.  Future-time outposts can inform simulations, and possible scenarios that might be useful in the future.

Future-time systems are proactive, rather than reactive.  It’s a website providing a personalized recommendation for equipment you will need next month.  It’s recommending the purchase of materials at a discount today that you will need next quarter. 

A solution running in future-time, utilizes predictive analytics and planning solutions, algorithms, simulation, and AI to anticipate future scenarios and the needs of an organization.  Real-time data captured and processed in "digital-time" is used to select and activate scenarios that have prepared in "future-time" and reviewed by humans operating in "human-time." Three different time dimensions all working together to optimize an organization's processes.

The challenge, of course with this multiple time dimension concept, is to use the right time-dimension in the right processes. Problems arise when time-dimensions are misunderstood, and/or mismanaged.  You can’t include human-time dependencies in high-volume online commerce transactions.  It would fail.

On the other hand, leaders wouldn’t want a computer system automatically changing their company’s strategic partnerships, relationships and brand strategy  – this is a process best reserved for thoughtful leaders operating in a human-time dimension.

Military leaders historically had weeks or months to watch their enemy, anticipate their intent, and prepare a response or countermeasure.  Today, however, hypersonic weapons exist that can travel at 20,000 MPH.  This means that an attack by hypersonic weapons would permit only seconds to analyze the threat and to design and execute a response.  This is an impossible environment for human-time operations.  It is also not a good fit for digital-time operations.  Complex and instantaneous responses require the benefit of pre-made scenarios created in future-time.  A time dimension where predictions and practiced response scenarios have been rehearsed and are waiting.  These scenarios that were rehearsed in advance of need, are now the blueprints for instantaneous and automatic actions that will intercept the future.  

The hypersonic weapons example demonstrates the need for anticipation, simulation, automation, rehearsal and speed.  Adding human decision-making friction inside a process that demands instantaneous responses would not work.  Increasingly leaders will have to recognize each of these time dimensions and design systems and scenarios to optimize them.

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Kevin Benedict
Partner | Futurist at TCS
View my profile on LinkedIn
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***Full Disclosure: These are my personal opinions. No company is silly enough to claim them. I work with and have worked with many of the companies mentioned in my articles.

Real-Time Mobile Infrastructure Report - Introduction

Real-Time Mobile Infrastructure
Fortune 500 firms recognize the ubiquitous use of mobile devices, integrated sensors and broadband access to the Internet are profoundly impacting user expectations and the demand for real-time wireless information exchanges.  This can be witnessed in the fast changing expectations and shopping behaviors of mobile device empowered consumers all around us today.

Demands for real-time wireless information exchanges, business analytics, media and transactional data are challenging traditional IT infrastructures, business processes and business strategies that were never designed to support a mobile and real-time world.  It is our belief that these demands and the challenges with supporting them will change the competitive landscape in most industries.

Data has a shelf life.  It has a greater economic and competitive value the quicker it can be consumed and utilized. If mobile shoppers can open a mobile app and instantly be presented with a hyper-personalized shopping experience that considers their real-time location, buying history, preferences and other relevant physical and “Code Halos” data (all data available for analysis about a person, object or organization), then there is a greater competitive value represented by increased mobile app use, loyalty, positive brand experience, customer service and sales (see Starbuck's Code Halos and Mobile App Strategies).  If on the other hand, companies have IT architectures, systems and infrastructures unable to support the speed requirements of real-time mobile interactions, then they will find themselves to be at a significant competitive disadvantage.

I surveyed 80 high tech industry and IT professionals involved in enterprise mobility, analyzed numerous industry reports, interviewed many mobile experts and reviewed current and forecasted technology trends to identify challenges and opportunities related to supporting real-time mobile infrastructure.  The following article series titled Real-Time Mobile Infrastructure will detail the survey results and my analysis of the findings.

Business and IT decision makers will be interested in this article series due to the increasingly strategic impact mobile applications are having on businesses.  Customers, prospects, partners and employees’ all are using mobile applications to interact, collaborate, research, shop, transact and engage in innovative new ways with companies, their products and services.  It is our analysis this trend will continue to accelerate and be the key driver for on-going digital transformation in many industries and markets.

As a result of our analysis we believe the quality and performance of mobile applications and the associated user experiences directly impact and influence brand perception, social sentiment, loyalty and sales volumes.

In the new book titled Code Halos the authors, Malcolm Frank, Paul Roehrig and Benjamin Pring, propose that data is the new competitive arena for businesses.  Winners in this competition are those that can collect, analyze and react in real-time to data in a manner that drives improved customer interactions and engagements.  Today these engagements are often via mobile applications.

In another recent book titled, Digital Disruption: Unleashing the Next Wave of Innovation, author James McQuivey's writes that competition in business is rapidly moving to a “focus on knowledge of and engagement with customers.” Data is being used to shape and personalize real-time interactions and engagements on mobile devices.  Companies are beginning to understand this.  They understand that "Code Halos" (people’s digital footprint, the online data about preferences, history, activities, etc.) has great value.  This data is the key to personalizing user experiences across all formats.

Businesses are interacting with and engaging their markets in a wide range of different formats today including traditional media, websites, mobile apps, call centers and in brick and mortar establishments.  The concept of omni-channel is widely used to mean the ability to interact and engage in real-time with customers and prospects across all of these formats.  The ability to effectively support omni-channel requires a lot of thinking, planning and purposeful design.  An effective design is not always present in today’s enterprise IT environments.  How much of a problem this is will be revealed in the following report.

Businesses today are responding by developing comprehensive data-driven strategies connected to e-commerce portals and mobile applications.  These strategies acknowledge the requirement to better understand the needs, preferences and histories of their prospects and customers, so they can provide personalized and optimized user experiences that lead to more sales and happier and more loyal customers.

In a recent report by CIO Strategic Marketing Services (a survey of 414 executives at midsize and large enterprise organizations from around the world) they reveal enterprise IT and back-office systems typically have on average between 3.6 and 4.8 mobile applications integrated with each of them.  The systems surveyed were: CRM, E-Commerce, ERP, SMS, DMS, Financial and HR.

These findings highlight how critically important back-end business and IT systems are to mobile applications.  Mobile applications, in most cases, are required to query and interact with back-end systems as a core component of their functionality.  The speed at which back-end systems can respond to queries and interact with mobile applications is a critical component in determining how successful the user experience will be.

If further evidence to the importance of real-time mobile infrastructure is required, let’s consider that Forrester Research predicts that US online sales will top $400 billion by 2018, and nearly $1 trillion worldwide.  No company wants to miss out on this size of market (Mulpuru, Sucharita “The New Paradigm of Retail? Forrester – July 24, 2014).

Today the trend is quickly moving beyond traditional online e-commerce to mobile commerce.  That makes mobile application performance even more important.  In a recent study of 1,000 mobile shoppers (Contact Solutions, - Mobile Shopping Cliffhanger), 1 of 6 consumers report they struggle with mobile shopping apps more than half of the time.   More than half (55%) of shoppers struggle with mobile shopping apps at least 20% of the time.  When consumers struggle, 71% will abandon their cart or leave the app entirely.  These numbers clearly demonstrate the necessity for an optimized mobile application and user experience.

Our analysis has determined that IT infrastructures for supporting real-time mobile applications are lacking in many companies, and correcting this must be a priority.  Without mobile optimized back-end system, designs, processes and IT infrastructures in place that can support a "real-time" environment, an enterprise’s ability to remain competitive is in jeopardy.

Read Real-Time Mobile Infrastructure Report, Part 1
Read Real-Time Mobile Infrastructure Report, Part 2
Read Real-Time Mobile Infrastructure Report, Part 3




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Kevin Benedict
Writer, Speaker, Senior Analyst
Digital Transformation, EBA, Center for the Future of Work Cognizant
View my profile on LinkedIn
Learn about mobile strategies at MobileEnterpriseStrategies.com
Follow me on Twitter @krbenedict
Subscribe to Kevin'sYouTube Channel
Join the Linkedin Group Strategic Enterprise Mobility
Join the Google+ Community Mobile Enterprise Strategies

***Full Disclosure: These are my personal opinions. No company is silly enough to claim them. I am a mobility and digital transformation analyst, consultant and writer. I work with and have worked with many of the companies mentioned in my articles.

Operational Tempo, Faster than Real-Time, Enterprise Mobility and the Next Y2K Event

I often discuss the concept of operational tempo in my digital transformation and mobile strategies sessions.  I define operational tempo as the speed or pace of operations.  The advent of broadband Internet, mobile devices and mobile applications have dramatically changed our expectations for the operational tempo of businesses.  None of us are willing to wait 8 minutes for a response on a product availability query from our smartphone.  None of us want our turn-by-turn navigation app on our iPhones to update only once every three minutes.  We seek real-time operational tempos, or perhaps even faster than real-time.

How can a mobile application be even faster than real-time?  It can know what you need before you even ask!  Mobile apps that are context aware can predict what you will need without you even asking for it. Let's imagine a service technician driving to his/her next job site.  The apps (and connected back-office systems) review traffic flows, guides the service technician to the optimal route, checks the client records for all relevant SLAs, warranties, financial issues, equipment location and past maintenance and repair records and service notes and provides them without being asked.  As the service technician nears the customer site, a text is automatically sent to the customer announcing his/her's imminent arrival.  In addition, the mobile application has checked the service vehicle's inventory of parts and creates a list of available on-board parts that are likely needed for the job.

The scenario we have just considered is real and can be done today with software from companies like SAP (SAP Workforce Scheduling and Optimization by ClickSoftware solution).  This system includes an artificial intelligence agent known as ClickButler that is tuned into the needs of mobile workers.

In order for artificial and context aware systems to provide their promised value, they must be connected to real-time data.  In addition, this data must be analyzed by a system fast-enough to support the operation tempo required by the users.  It is this challenge that Forrester's John McCarthy states will cause another Y2K event in many enterprises.  In other words, it will force companies to replace systems that are incapable of supporting real-time processes that are required to support mobile users.

In 2014, all companies should be reviewing their back-office systems to identify and replace the systems that simply cannot function in a "real-time" environment where the operational tempo requires instant everything.

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Kevin Benedict
Senior Analyst, Digital Transformation Cognizant
View my profile on LinkedIn
Learn about mobile strategies at MobileEnterpriseStrategies.com
Follow me on Twitter @krbenedict
Join the Linkedin Group Strategic Enterprise Mobility

***Full Disclosure: These are my personal opinions. No company is silly enough to claim them. I am a mobility and digital transformation analyst, consultant and writer. I work with and have worked with many of the companies mentioned in my articles.

Interviews with Kevin Benedict