DIGITAL BUSINESS

STRATEGY TRENDS
Current role of TCS and future
roadmap

Shahbaz Khan
 WHY DIGITAL BUSINESS STRATEGY?

To create new business models and end user

experiences. Drivers of Digital Business Strategy

Physical and virtual worlds are blurring, so the

boundary between business and IT.
Digital technologies are reshaping traditional
business strategy as modular, distributed, cross
functional, and global business processes.
Transforming social relationships with consumer
and the enterprise space with social media and
social networking.
Price/ performance capability of computing,
storage, bandwidth, and software applications Courtesy: DIGITAL BUSINESS STRATEGY: TOWARD A NEXT
GENERATION OF INSIGHTS
Leveraging digital resources to create differential
value.
 DRIVERS OF TRANSFORMATION

Big Data- Twitter streams, social media data, and more

unstructured data can be more valuable than structured data.
The rapid expansion of big data means youve got more data
about customers in more places than ever before.

Social Media -Two-way communication between consumers

and businesses. Tremendous potential for both business-to-
business and business-to-consumer engagement.

Mobility. Enabled by mobile communications, the anywhere,

anytime. Productivity increases as workers access corporate
resources from mobile devices. Mobile apps will ultimately be
the face of customer engagement.

Cloud Computing - Offers new scalability and economy. Cloud

offerings moves capex to opex, but even this indicates that
digital strategy must be embraced holistically: Finance must
understand the implications of that shift.
 TECHNOLOGIES THAT WILL TREND : DIGITAL BUSINESS

Focus on ownership and access to data

Data and metadata are the gold dust that allow businesses to gain rich insights about
customer behaviour.

Behavioural patterns -- Metadata allows you to identify specific behavioural patterns.

Mastering the data ecosystem -- Develop a data model that ensures theres continuity
and governance w.r.t data and metadata and can extract business value from these
assets.

Automation and DevOps becomes a business concern

Digital as a business model built on IT means that automation and DevOps is relevant
at every level within the organisation.
In true digital business, your entire operation needs to function like a well-oiled DevOps
practice one that involves continuous delivery, automated testing, iterative updates
and improvements. You have to view infrastructure and systems as code that can be
programmable automated.
Automation across the entire IT landscape including development, provisioning, and
operations for both on-premise and cloud-based systems will provide the agility and
the cost benchmarks required to be competitive.
 TECHNOLOGIES THAT WILL TREND : DIGITAL BUSINESS

Centralised transactional models are coming under attack

Centralised transaction models are beginning to be disrupted by peer-to-peer platforms

like Blockchain, which support micro transactions that are virtually free of charge and
can be performed in real time and at scale.
Blockchain technology extending beyond the financial services community.
For e.g. Uber is challenged by Arcade City, ASX will launch Blockchain-based settlement
program.
Blockchain involve a distributed ledger and strong encryption theres no central data
environment to attack.

Hybrid IT has come of age

Manage a blend of on-premise and cloud-based assets (delivered by multiple

providers).
People need to work in multi-party, multi-vendor ecosystems. So it requires
collaborative mind-set.
Its no longer about integrating systems, its about integrating ecosystems.
Migrating to and managing a multi-party, multi-platform IT environment is complex. So
need of specialist hybrid IT managed services providers that can offer an end-to-end
service layer or a lifecycle of managed services that includes service design, transition,
and operational steady state services to eliminate this complexity.
 TECHNOLOGIES THAT WILL TREND : DIGITAL
INFRASTRUCTURE

Containers: the next big disruption in the data centre

Containers involve a micro-services architecture which can leap-frog virtualisation, and

eliminate hypervisors.
Containers are operating system-independent, so you can easily move them between
your on-premise environment and different cloud providers.
Hyper-scale providers such as Google are open-sourcing container technologies which is
spurning rapid ecosystems and further solutions to make this development robust.
Containers will most likely be a key enabler of hybrid IT, allowing workloads to be
moved between different compute environments with much greater ease than todays
virtualisation environments allow.

Data centres are moving closer to the cloud

Many businesses are even questioning whether they want their own data centre at all.

Applications are defining infrastructures

Infrastructure needs to be able to support the applications, with high levels of
automation and programmability to ensure an integrated outcome.
Every infrastructure plan needs to consider how to move quickly from DevOps into
production.
Most companies dont have processes, or the infrastructure software integration skills,
that support this new model, so they elect to engage a managed services provider to
assist.
 TECHNOLOGIES THAT WILL TREND

Security is accelerating digitalisation

Instead of waiting for security equipments Cloud-born organisations can simply turn
security on and start deploying across multiple cloud platforms.
A need for more decentralised computing and security architectures.

Technology coming into the mainstream

Rise of the intelligent personal assistant in the home -- Use of digital assistants such as Amazon Echo (and the Alexa voice system), Google Home and
Apples Siri which make our interaction with the digital world and online services easier is predicted to grow exponentially.

Chatbots - Chatbots gives customer service but one should not lose sight of the need for human interaction as well.

The Internet of Things and wearables -- Businesses to leverage the power of the billions of sensors and connected devices to new levels

VR/AR devices -- we can expect to see storytelling and experiences via VR/AR. Were already seeing motor manufacturers offering test drives and
hotels creating a 360-degree immersive experience, as two great examples.

Digital Twin Digital twins is a dynamic software model of a physical thing or system. Using physics data and sensors data a digital twin can be used
to analyze and simulate real world conditions, responds to changes, improve operations and add value.
Digital twins function as proxies for the combination of skilled individuals (e.g., technicians) and traditional monitoring devices and controls (e.g.,
pressure gauges).
Their proliferation will require those who understand the maintenance of real-world things , data scientists and IT professionals.
 DIGITAL IMPLEMENTATION IN
MANUFACTURING

Few predictions for Manufacturers by IDC

1. Update Their Operating Models with IoT and Analytics-Based

Situational Awareness to Mitigate Risk and Speed Time.
2. Will Bring in New Revenue from Information-Based Products and
Services
3. Will Capture 20% More Aftermarket Revenue by Using Product and
Service Quality Measures to Enhance Customer Experiences
4. Will Derive Business Value from the Integration of Supply Chain, Plant
Operations, and Product and Service Life-Cycle Management
5. Plant Floor Workers at Will Work Alongside Automated Assistance
Technologies Such as Robotics, 3D Printing, AI, and AR/VR
6. By 2018, a Proliferation of Connected Information, Instrumentation, and
Decision Cloud Ecosystem Networks Will Drive Manufacturers to
Redesign Their Security Architectures
7. With Smart Manufacturing Initiatives Will Integrate IT and OT Systems
to Achieve Advantages in Efficiency and Response Time
8. All Manufacturing Supply Chains Will Have the Capability, Either In-
House or Outsourced, to Enable Direct-to-Consumption Shipments and
Home Delivery
A-Framework-to-Speed-Manufacturings-Digital-Business-Transformation-codex1614.pdf
DIGITAL TRANSFORMATION ROADMAP

Envisioned by Cognizant
 COGNIZANT IN MANUFACTURING

In Automobiles

Connected Car Solutions for Automotive :Car 360 offers digital lifestyle applications for a personalized automotive brand experience. The
power of Car 360 lies in its ability to integrate the digital technologies such as vehicle telematics, sensors, mobility, social media, cloud
infrastructure and big data analytics.
VehicleDevice Integration: Allowing users to operate their vehicles using a mobile or a wearable device adds to a vehicles brand appeal; that
Connected Car Solutions for Automotive
is exactly what Cognizant solutions provide to the OEMs.
Vehicle Quality Management (VQMS): Our VQMS capabilities help clients capture, track and broadcast quality issues to suppliers and dealers,
so as to eliminate causes of recall and enhance end-user satisfaction.
Automotive Social Media Tracking and Reporting: An on-demand service for regular and event-based social watch covering competitor
intelligence, lead generation, supply chain disruptions, product design feedback and customer experience.

In Industrial Manufacturing

Field Services Management : Service delivery-based business model enabled by digital technologies. Also have a plug-and-play offering that
provides manufacturers with field service capability using Cognizant intellectual property.
Sales and operations planning (S&OP) on the cloud, leveraging our partner platforms.
Factory of the Future : Framework with fulfilment execution systems, shop floor incident reporting systems and shop floor analytics.

In Process Manufacturing
iBatch solution enables intelligent batch execution and proactive management of shop-floor events, together with support for data analytics.
 EFFORTS BY ACCENTURE & CAP GEMINI

TRANSFORMING MANUFACTURING WITH INDUSTRY X.0 BY ACCENTURE

Industry X.0 group brings innovation to the manufacturing lifecycle .

Prototypes focus on end-to-end PLM innovation leveraging virtual and mixed reality, AI, IoT, and digital technologies including analytics and
industry cloud platforms.
In The Living Connected
Laboratory for Car
Products, Industryfor
Solutions X.0Automotive
will apply research towards product ideation, prototyping, development, testing and support.

CAPGEMINI

3D Continuity: Both business and technology dimensions

Consulting services across 3D modelling and printing
3D model production services across both modelling and printing
Application services: 3D representation and configuration
management.

Digital industrial Asset Lifecycle Management

(DiALM) : A single digital platform to integrate all asset data and
orchestrate data processing. It offers an incremental approach to
managing assets from:
Critical to less critical, with increased data depth
Data acquisition to data production process control
Pilots to highly available integrated implementation
 BANKING AND FINANCIAL SECTORS

CAPGEMINI

Capgemini helps banks create digital spaces for their customers and workforce. Helps customers interact with right people in the bank or enjoy self
services through any device

Capgemini TRiveo Touch is multi-device web application enabling branch advisors to guide their customers to build their own portfolio.

Odigo is a pay-per-use, cloud-enabled solution that allows customer contact in any channel to be handled by the right person in the bank, It enables
banks to develop and implement a coherent, multi-channel strategy between voice and web and optimize self service channels .

Technovision Digital Transformation thought leadership has latest thinking and best practices

ORACLE
LIFETIME DASHBOARD : React in real-time to changing circumstances and new developments in customers' lives, empowering them with relevant
products, services and offers.

CLOSE TO HOME : Guide customers on the journey to homeownership with deep, data-driven insights that support simple, seamless engagement
across any channel.
 BANKING AND FINANCIAL SECTORS

SAP

Investment Analytics

Outperform the market with technical and

sentiment analysis
Help your investors meet their financial goals
with portfolios that outperform market indices
by using investment analytics solutions from
SAP

SAP S/4HANA Value Assurance

A suite of in-memory ERP solutions that acts as a

digital core for your entire business
 TCS : DIGITAL REIMAGINATION

TCS is positioning its digital capabilities under an umbrella of digital reimagination, focusing on enabling clients to evolve to take advantage of
digital capabilities across business models, products and services, customer segments, enterprise experience, channels, business processes and
workplaces.
TCS' digital transformation offerings include consulting and implementation services through the TCS Digital Reimagination Studio and digital
design pods; and digital products and platforms.

Connected Car Solutions for Automotive

 TCS : PRODUCTS & PLATFORMS

TCS' CHROMA is a cloud-based talent management platform for enterprises to drive next generation employee experiences across the requisition-
to-retire employee lifecycle.

Ignio : An enterprise cognitive automation leader for IT operations. By blending Artificial Intelligence (AI) with modern software engineering, ignio
converts IT operations services into intelligent software, and replaces point automation tools with a cognitive platform. This also changes the role of
Connected
people, from doers of work toCar Solutions
creators for Automotive
and curators of knowledge.

TAP, TCS proprietary cloud solution for procure to pay (P2P) functions, brings digital levers with embedded analytics, self-service, and cloud
mobility. It helps enterprises manage catalogs, requisitions, purchase orders, invoices, and payments.

Customer Intelligence & Insights (CI&I) is fully integrated, licensed customer and operational analytics software designed specifically for retail,
banking, and communications companies.
CII collects and analyses large volumes of data-both structured and unstructured-in real-time so you can deliver exceptional customer experiences
at every step of the customer journey, quickly and cost effectively.

Intelligent Urban Exchange (IUX) is an integrated, cloud-based software product that enables Big Data- and IoT-based applications for
transportation, water, energy, and other governmental functions.
IUX is built for cities and their partners to collect and analyse historical and real-time data from a wide array of sources-networks, sensors and
actuators, systems, social media, open city data, and others-to improve planning, operations, and service delivery.
 TCS : PRESENT & FUTURE

TCS is currently focusing on next gen technologies.

It is evident from
Connected Carthe fact of it s for
Solutions Centre of Excellence (CoE) for Next Gen Technology Solutions.
Automotive
The NextGen Technology CoE will focus on the research and development of futuristic technologies and creation of next-generation products and
solutions for its global customers in the Semiconductors, Devices and Networks space.
The primary focus of the NextGen Technology Solutions CoE is on emerging communication technologies such as Software Defined Networks
(SDN), Network Function Virtualization (NFV), 5G and Wireless LAN (WLAN). Another area of focus for this CoE is to create innovative
technology solutions for the connected world in areas such as Man-Machine interface, Context-aware systems and resource constrained devices.

Last year TCS and GE entered strategic alliance to develop digital solutions. It would develop digital solutions that would increase the productivity
of mobile workforces and assets in motion by leveraging Predix, GEs cloud platform for industrial internet.

Financial comparison with other global players

Company Revenue
TCS 16.54 billion USD
Accenture 34.79 billion USD
Cognizant 13.487 billion USD
Cap Gemini 13.27 billion USD
 TCS : PRESENT & FUTURE

It presently faces
Connected Carhigh attrition for
Solutions rate.Automotive
TCS should try to retain its talent as
retainship cost is less than hiring cost . It by taking number of initiative.
1.Training and engaging them to next gen technologies.
2. Focus on Capability building and creating an eco system where people
development is at the fore-front of leadership mind-set
3.Focus on two-way communication.
4.Try to build a flat organization.

Here we see, that BFSI sector overshadows other sectors in TCS.TCS can
leverage digital capabilities to grow its other sectors.
For eg, CSPs has to adapt with digital services to compete with OTTs.
They have to implement data driven business models. Mobile Money
Transactions is also coming in foray.
So CSPs has to look into a wide variety of service areas including
content/OTT, advertising/ analytics, payments/ecommerce and M2M.
Digital content services comprises:
Digital supply chain: manage media delivery using digital infrastructure
Intellectual property: control the IP lifecycle
Customer experience
Business intelligence: enhance analytics targeting and performance
Digital monetization: develop new revenue streams across integrated
channels, media and advertising
With advent of VR/AR Media would be disrupted.
 TCS : PRESENT & FUTURE

In Manufacturing
Connected ,TCS can try
Car Solutions fortoAutomotive
increase its
revenue by providing capabilities in 3D TCS is too dependent on North America
Modelling, Digital Twins, predictive analysis Market. The new government in US can
and connected cars. threaten outsourcing companies like
In Retail , Omni channel strategy will require TCS.TCS should take it as a opportunity
digital integration. TCS can leverage it. and target non US multinationals

General Recommendations:

TCS has a very large workforce with huge talent base. It has huge domain and process knowledge. But to
provide niche and expertise service in digital it has to act as a startup with high innovation and accelerated
response. It can be done by creating dedicated COEs with flat structure and freedom to innovate.
Find firms as partners with whom they can work and can do more co-discovery, co-sourcing and co-innovation
They can acquihire to get best talent ,knowledge and expertise.
Try finding the problem, and providing solutions by its products and services rather then waiting for
requirement.
TCS should try to find revenue models in upcoming technologies and try to form with strategic alliances with
companies like Facebook,Uber , Tesla .
 References

https://www.capgemini-consulting.com/are-manufacturing-companies-ready-to-go-digital
https://idc-community.com/manufacturing/manufacturing-value-
chain/10_predictions_for_the_manufacturing_industry__idc_futurescape?author=kknickle2
http://www.mckinsey.com/business-functions/operations/our-insights/digital-manufacturing-the-revolution-will-be-virtualized
https://www.automationworld.com/industrial-internet-things/digital-transformation-manufacturing
https://www.cognizant.com/whitepapers/A-Framework-to-Speed-Manufacturings-Digital-Business-Transformation-codex1614.pdf
https://www.cognizant.com/manufacturing
http://www.cio.com/article/3031278/leadership-management/5-ways-to-accelerate-your-digital-business-strategy.html
http://sites.tcs.com/insights/perspectives/digital-enterprise-framework-for-transformation
https://go.oracle.com/DigitalTransformation-financialservices#use-cases
https://www.slideshare.net/socialogilvy/key-digital-trends-for-2017
ogilvytrends2017final-161214094405.pdf
http://www.business-standard.com/article/companies/tcs-and-ge-enter-strategic-alliance-to-develop-digital-solutions-116030200621_1.html)
http://www.firstpost.com/biztech/five-focus-areas-for-tcs-in-digital-cyrus-mistry-reveals-companys-strategy-at-agm-1977005.html
http://www2.dimensiondata.com/en/IT-Trends/Digital-Business
https://www.i-scoop.eu/digital-transformation/digital-transformation-manufacturing/
https://www.capgemini-consulting.com/are-manufacturing-companies-ready-to-go-digital
https://www.accenture.com/in-en/service-labs-industry-x0
https://www.capgemini.com/resource-file-access/resource/pdf/digital_manufacturing_services.pdf
 References

https://www.capgemini.com/worker-digital-place-and-customer-digital-spaces
https://www.accenture.com/in-en/digital-strategy-index
http://a248.g.akamai.net/n/248/420835/d6c0181e33870cee177a7539025397970ccd70bacd5fd33a90f6adc231cb1b50/sapasset.download.akamai.com/
420835/sapcom/docs/2016/03/f8bd9216-657c-0010-82c7-eda71af511fa.pdf
https://www.oracle.com/marketingcloud/digital-services/index.html
http://www.forbesindia.com/blog/business-strategy/digital-trends-in-2017/
https://www.capgemini.com/worker-digital-place-and-customer-digital-spaces
https://pdfs.semanticscholar.org/f337/83bd695f099c58ebf1c9fc743756f4fd03c5.pdf
http://investors.tcs.com/investors/Documents/Annual%20Reports/TCS_Annual_Report_2015-2016.pdf
https://newsroom.accenture.com/fact-sheet/
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2016.pdf
https://www.capgemini.com/resource-file-access/resource/pdf/Digital_Transformation__A_Road-Map_for_Billion-Dollar_Organizations.pdf
https://www.pwc.com/gx/en/industries/industries-4.0/landing-page/industry-4.0-building-your-digital-enterprise-april-2016.pdf
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