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Week 1 Unit 1: Defining Digital

Transformation

Defining Digital Transformation


Unprecedented Pace of Change

5b

1b

growing middle
class will strain
resources

people in social networks


will rewire business
and personal
boundaries

Millennials
will transform
customer demands and
the workplace

New +
Disruptive
business models
will accelerate change
and innovation

20b
By 2020, 2 billion
people connected to
20b devices with a
trillions sensors

2014 SAP SE or an SAP affiliate company. All rights reserved.

Data
Doubling
every 18 months
creates opportunities
and risks for value
creation

75%
new enterprise IT spend
will be cloud-based or
hybrid by 2016

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Defining Digital Transformation


Rapid State of Change

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Defining Digital Transformation

Driven by the combination of ever-growing digitization and evolving consumer


demands, digital transformation is the use of new technologies to drive significant
business improvements.
2014 SAP SE or an SAP affiliate company. All rights reserved.

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Defining Digital Transformation


Mastering Digital Transformation with Technology

Cloud =
Flexibility and
Scale

Big Data and


Real Time

2014 SAP SE or an SAP affiliate company. All rights reserved.

Mobile

Networks

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Defining Digital Transformation


Digital Transformation?

or did we simply digitize?


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Public

Defining Digital Transformation

This... is neither
transformation
nor innovation
2014 SAP SE or an SAP affiliate company. All rights reserved.

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Public

Defining Digital Transformation


Companies need to achieve digital transformation
based on
disruptive
technology to gain
higher
competitiveness

Business Outcome and Competitiveness


2014 SAP SE or an SAP affiliate company. All rights reserved.

Cloud

Real Time

Networked
Economy

Mobile

Technology-Driven Disruption
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Thank you
Feel free to connect with me at:

openSAP Discussion Forum


@SDenecken
http://www.linkedin.com/in/sdenecken/en

2014 SAP SE or an SAP affiliate company. All rights reserved.

Public

2014 SAP SE or an SAP affiliate company. All rights reserved.


No part of this publication may be reproduced or transmitted in any form or for any purpose without the express permission of SAP SE or an
SAP affiliate company.
SAP and other SAP products and services mentioned herein as well as their respective logos are trademarks or registered trademarks of SAP SE
(or an SAP affiliate company) in Germany and other countries. Please see http://global12.sap.com/corporate-en/legal/copyright/index.epx for additional trademark
information and notices.
Some software products marketed by SAP SE and its distributors contain proprietary software components of other software vendors.
National product specifications may vary.
These materials are provided by SAP SE or an SAP affiliate company for informational purposes only, without representation or warranty of any kind, and SAP SE or its
affiliated companies shall not be liable for errors or omissions with respect to the materials. The only warranties for SAP SE or
SAP affiliate company products and services are those that are set forth in the express warranty statements accompanying such products and services, if any. Nothing
herein should be construed as constituting an additional warranty.
In particular, SAP SE or its affiliated companies have no obligation to pursue any course of business outlined in this document or any related presentation, or to develop or
release any functionality mentioned therein. This document, or any related presentation, and SAP SEs or its affiliated companies strategy and possible future
developments, products, and/or platform directions and functionality are all subject to change and may be changed by SAP SE or its affiliated companies at any time for
any reason without notice. The information in this document is not a commitment, promise, or legal obligation to deliver any material, code, or functionality. All forwardlooking statements are subject to various risks and uncertainties that could cause actual results to differ materially from expectations. Readers are cautioned not to place
undue reliance on these forward-looking statements, which speak only as of their dates, and they should not be relied upon in making purchasing decisions.

2014 SAP SE or an SAP affiliate company. All rights reserved.

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Week 1 Unit 2: Transformation or


Disruption: What Are the Challenges?

Transformation or Disruption: What Are the Challenges?


NEW WORLD
CREATES NEW
PRESSURES

FIGHT FOR SCARCE


RESOURCES CONTEND WITH
DISRUPTIVE BUSINESS
MODELS IN DIGITAL
TRANSFORMATION AGE

2014 SAP SE or an SAP affiliate company. All rights reserved.

OnDemand
Media

Online
Retailer

Social
Networks

Crowdfunding
Services

Web
Analytics

Public

Transformation or Disruption: What Are the Challenges?


Companies are struggling to find their patterns because

Processes are dynamic


Systems are fragmented
Data creates chaos
Expertise networks are disconnected

we simply copied the analog world


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Transformation or Disruption: What Are the Challenges?


To truly transform we need to look for repeatable patterns and fast innovation

Designed
for me

The critical questions we


must ask to leverage best
practices and accelerate
performance and
innovation.

Repeatable

Work
patterns.
Speed.

Networkaware

Flexible

2014 SAP SE or an SAP affiliate company. All rights reserved.

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Transformation or Disruption: What Are the Challenges?

Innovation is a
game changer

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Transformation or Disruption: What Are the Challenges?

Changing the
way businesses work

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Public

Transformation or Disruption: What Are the Challenges?

New technology means

new innovation possibilities


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Transformation or Disruption: What Are the Challenges?

Challenges
Digital proficiency

Legacy systems
Security
Jobs becoming obsolete
2014 SAP SE or an SAP affiliate company. All rights reserved.

Public

Thank you
Feel free to connect with me at:

openSAP Discussion Forum


@SDenecken
http://www.linkedin.com/in/sdenecken/en

2014 SAP SE or an SAP affiliate company. All rights reserved.

Public

2014 SAP SE or an SAP affiliate company. All rights reserved.


No part of this publication may be reproduced or transmitted in any form or for any purpose without the express permission of SAP SE or an
SAP affiliate company.
SAP and other SAP products and services mentioned herein as well as their respective logos are trademarks or registered trademarks of SAP SE
(or an SAP affiliate company) in Germany and other countries. Please see http://global12.sap.com/corporate-en/legal/copyright/index.epx for additional trademark
information and notices.
Some software products marketed by SAP SE and its distributors contain proprietary software components of other software vendors.
National product specifications may vary.
These materials are provided by SAP SE or an SAP affiliate company for informational purposes only, without representation or warranty of any kind, and SAP SE or its
affiliated companies shall not be liable for errors or omissions with respect to the materials. The only warranties for SAP SE or
SAP affiliate company products and services are those that are set forth in the express warranty statements accompanying such products and services, if any. Nothing
herein should be construed as constituting an additional warranty.
In particular, SAP SE or its affiliated companies have no obligation to pursue any course of business outlined in this document or any related presentation, or to develop or
release any functionality mentioned therein. This document, or any related presentation, and SAP SEs or its affiliated companies strategy and possible future
developments, products, and/or platform directions and functionality are all subject to change and may be changed by SAP SE or its affiliated companies at any time for
any reason without notice. The information in this document is not a commitment, promise, or legal obligation to deliver any material, code, or functionality. All forwardlooking statements are subject to various risks and uncertainties that could cause actual results to differ materially from expectations. Readers are cautioned not to place
undue reliance on these forward-looking statements, which speak only as of their dates, and they should not be relied upon in making purchasing decisions.

2014 SAP SE or an SAP affiliate company. All rights reserved.

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Week 1 Unit 3: The Elements of


Digital Transformation

The Elements of Digital Transformation


Recap Defining Digital Transformation

Driven by the
combination of evergrowing digitization
and evolving
consumer demands,
digital transformation
is the use of new
technologies to drive
significant business
improvements.

2014 SAP SE or an SAP affiliate company. All rights reserved.

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Public

The Elements of Digital Transformation


Transformational Technologies Have Converged

More than 60% of CEOs expect 15-50% of their


earnings growth in the next 5 years to come from
technology-enabled business innovations.
McKinsey study, 2013

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The Elements of Digital Transformation

The world interacts DIFFERENTLY

Mobility

Apps

Social and
Business
Networks

Big Data

all powered by the CLOUD


2014 SAP SE or an SAP affiliate company. All rights reserved.

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The Elements of Digital Transformation

Cloud =
Flexibility and
Scale

Big Data and


Real Time

2014
SESE
or an
SAP
affiliate
company.
All rights
reserved.
2014SAP
SAP
or an
SAP
affiliate
company.
All rights
reserved.

Mobile

Networks

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The Elements of Digital Transformation

Simplicity, time to value,


speed to innovation
Cloud =
Flexibility and
Scale

2014
SESE
or an
SAP
affiliate
company.
All rights
reserved.
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SAP
or an
SAP
affiliate
company.
All rights
reserved.

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The Elements of Digital Transformation

Predictive insight driven by business


strategy, new product strategies, new
customer relationships
Big Data and
Real Time

2014
SESE
or an
SAP
affiliate
company.
All rights
reserved.
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SAP
or an
SAP
affiliate
company.
All rights
reserved.

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The Elements of Digital Transformation

Adaptability for the 21st century


workforce, everything doable from
anywhere
Mobile

2014
SESE
or an
SAP
affiliate
company.
All rights
reserved.
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SAP
or an
SAP
affiliate
company.
All rights
reserved.

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The Elements of Digital Transformation

Hyperconnectivity fueled by digital


communities and social collaboration,
collaborating beyond the boundaries of
an enterprise
Networks

2014
SESE
or an
SAP
affiliate
company.
All rights
reserved.
2014SAP
SAP
or an
SAP
affiliate
company.
All rights
reserved.

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99

Thank you
Feel free to connect with me at:

openSAP Discussion Forum


@SDenecken
http://www.linkedin.com/in/sdenecken/en

2014 SAP SE or an SAP affiliate company. All rights reserved.

Public

10

2014 SAP SE or an SAP affiliate company. All rights reserved.


No part of this publication may be reproduced or transmitted in any form or for any purpose without the express permission of SAP SE or an
SAP affiliate company.
SAP and other SAP products and services mentioned herein as well as their respective logos are trademarks or registered trademarks of SAP SE
(or an SAP affiliate company) in Germany and other countries. Please see http://global12.sap.com/corporate-en/legal/copyright/index.epx for additional trademark
information and notices.
Some software products marketed by SAP SE and its distributors contain proprietary software components of other software vendors.
National product specifications may vary.
These materials are provided by SAP SE or an SAP affiliate company for informational purposes only, without representation or warranty of any kind, and SAP SE or its
affiliated companies shall not be liable for errors or omissions with respect to the materials. The only warranties for SAP SE or
SAP affiliate company products and services are those that are set forth in the express warranty statements accompanying such products and services, if any. Nothing
herein should be construed as constituting an additional warranty.
In particular, SAP SE or its affiliated companies have no obligation to pursue any course of business outlined in this document or any related presentation, or to develop or
release any functionality mentioned therein. This document, or any related presentation, and SAP SEs or its affiliated companies strategy and possible future
developments, products, and/or platform directions and functionality are all subject to change and may be changed by SAP SE or its affiliated companies at any time for
any reason without notice. The information in this document is not a commitment, promise, or legal obligation to deliver any material, code, or functionality. All forwardlooking statements are subject to various risks and uncertainties that could cause actual results to differ materially from expectations. Readers are cautioned not to place
undue reliance on these forward-looking statements, which speak only as of their dates, and they should not be relied upon in making purchasing decisions.

2014 SAP SE or an SAP affiliate company. All rights reserved.

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Week 1 Unit 4:
Digital Proficiency

Digital Proficiency

Empowerment of the

end user

Instant value
Mobile functionality
User-friendly
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SAP SE
SE or
company.
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reserved.
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or an
anSAP
SAPaffiliate
affiliate
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Digital Proficiency

MARKETS
LOOK
DIFFERENT
(WIRED) MIDDLE CLASS TO REACH 5 BILLION BY 2020

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SAP SE
SE or
company.
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reserved.
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or an
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SAPaffiliate
affiliate
company.
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Digital Proficiency

CUSTOMERS ACT DIFFERENTLY


More Informed

57%

of the buying process is completed before a


first interaction with sales

Socially Networked

53%

of customers abandoned an in-store


purchase due to negative online sentiment

Less Loyal

59%

of customers are willing to try a new brand to


get better customer service

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Digital Proficiency

EMPLOYEES ARE
DIFFERENT (TOTALLY)

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Digital Proficiency

Differentiation through the lever of human potential


Leverage collaborative, crowdsourced talent from anywhere
Invest in the new currency: knowledge

Disaggregate and democratize work


Upskill, cross-skill and connect
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Digital Proficiency

Digital proficiency

Natives
Immigrants
Voyeurs
Holdouts
Disengaged
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SAP SE
SE or
company.
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reserved.
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or an
anSAP
SAPaffiliate
affiliate
company.
All rights
reserved.

Digitally balanced

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Thank you
Feel free to connect with me at:

openSAP Discussion Forum


@SDenecken
http://www.linkedin.com/in/sdenecken/en

2014 SAP SE or an SAP affiliate company. All rights reserved.

Public

2014 SAP SE or an SAP affiliate company. All rights reserved.


No part of this publication may be reproduced or transmitted in any form or for any purpose without the express permission of SAP SE or an
SAP affiliate company.
SAP and other SAP products and services mentioned herein as well as their respective logos are trademarks or registered trademarks of SAP SE
(or an SAP affiliate company) in Germany and other countries. Please see http://global12.sap.com/corporate-en/legal/copyright/index.epx for additional trademark
information and notices.
Some software products marketed by SAP SE and its distributors contain proprietary software components of other software vendors.
National product specifications may vary.
These materials are provided by SAP SE or an SAP affiliate company for informational purposes only, without representation or warranty of any kind, and SAP SE or its
affiliated companies shall not be liable for errors or omissions with respect to the materials. The only warranties for SAP SE or
SAP affiliate company products and services are those that are set forth in the express warranty statements accompanying such products and services, if any. Nothing
herein should be construed as constituting an additional warranty.
In particular, SAP SE or its affiliated companies have no obligation to pursue any course of business outlined in this document or any related presentation, or to develop or
release any functionality mentioned therein. This document, or any related presentation, and SAP SEs or its affiliated companies strategy and possible future
developments, products, and/or platform directions and functionality are all subject to change and may be changed by SAP SE or its affiliated companies at any time for
any reason without notice. The information in this document is not a commitment, promise, or legal obligation to deliver any material, code, or functionality. All forwardlooking statements are subject to various risks and uncertainties that could cause actual results to differ materially from expectations. Readers are cautioned not to place
undue reliance on these forward-looking statements, which speak only as of their dates, and they should not be relied upon in making purchasing decisions.

2014 SAP SE or an SAP affiliate company. All rights reserved.

Public

Week 1 Unit 5: Digital


Transformation and the Cloud

Digital Transformation and the Cloud


Is It Repeatable? Is It Innovating? Is It Fast?

Expertise

Content

Data and
Apps
Best
Actions

Best
Practices

ProblemSolving

Templates

Connect the dots between people, processes,


data, and applications

Get the full picture

2014 SAP SE or an SAP affiliate company. All rights reserved.

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Digital Transformation and the Cloud


Is It Repeatable?

Expertise

Content

Data and
Apps
Best
Actions

Best
Practices

ProblemSolving

Templates

Connect the dots between people, processes,


data, and applications

Get the full picture

2014 SAP SE or an SAP affiliate company. All rights reserved.

Public

Digital Transformation and the Cloud


Is It Flexible?

Speed of the cloud but with the flexibility to differentiate and win

Real-time adaptable platform to conform to your needs


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Digital Transformation and the Cloud


Is It Designed for Me?

Move from the systems web to the me web

Is the experience simple?


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Digital Transformation and the Cloud


Is It Network-Aware?

Instantly wrap your network of employee, customer, and partner


experts around the problem or opportunity.

Extend your reach


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Digital Transformation and the Cloud

Thisis transformation
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Digital Transformation and the Cloud

Start with the cloud


to become a digital business

Fast innovation
Tailored to specific business outcomes
Ties mobile, data, and devices together

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Digital Transformation and the Cloud


Business Benefits of Cloud

Fast innovation
Instant value tailored to business outcomes
Ties mobile, data, and network together
User-friendly

Changing the way businesses work


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Digital Transformation and the Cloud


How Are Customers Transforming?

Leading with cloud

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Hybrid deployments

The right mix

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Digital Transformation and the Cloud

The right mix

managed

integrated
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Digital Transformation and the Cloud

Dynamic adoption your choice


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Digital Transformation and the Cloud


Recap

2014
or or
anan
SAP
affiliate
company.
All rights
reserved.
2013SAP
SAPSE
AG
SAP
affiliate
company.
All rights
reserved.

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Thank you
Feel free to connect with me at:

openSAP Discussion Forum


@SDenecken
http://www.linkedin.com/in/sdenecken/en

2014 SAP SE or an SAP affiliate company. All rights reserved.

Public

14

2014 SAP SE or an SAP affiliate company. All rights reserved.


No part of this publication may be reproduced or transmitted in any form or for any purpose without the express permission of SAP SE or an
SAP affiliate company.
SAP and other SAP products and services mentioned herein as well as their respective logos are trademarks or registered trademarks of SAP SE
(or an SAP affiliate company) in Germany and other countries. Please see http://global12.sap.com/corporate-en/legal/copyright/index.epx for additional trademark
information and notices.
Some software products marketed by SAP SE and its distributors contain proprietary software components of other software vendors.
National product specifications may vary.
These materials are provided by SAP SE or an SAP affiliate company for informational purposes only, without representation or warranty of any kind, and SAP SE or its
affiliated companies shall not be liable for errors or omissions with respect to the materials. The only warranties for SAP SE or
SAP affiliate company products and services are those that are set forth in the express warranty statements accompanying such products and services, if any. Nothing
herein should be construed as constituting an additional warranty.
In particular, SAP SE or its affiliated companies have no obligation to pursue any course of business outlined in this document or any related presentation, or to develop or
release any functionality mentioned therein. This document, or any related presentation, and SAP SEs or its affiliated companies strategy and possible future
developments, products, and/or platform directions and functionality are all subject to change and may be changed by SAP SE or its affiliated companies at any time for
any reason without notice. The information in this document is not a commitment, promise, or legal obligation to deliver any material, code, or functionality. All forwardlooking statements are subject to various risks and uncertainties that could cause actual results to differ materially from expectations. Readers are cautioned not to place
undue reliance on these forward-looking statements, which speak only as of their dates, and they should not be relied upon in making purchasing decisions.

2014 SAP SE or an SAP affiliate company. All rights reserved.

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