The IT Department of the Future Tejas R. Vashi Sr. Director, Cisco Services July 27, 2016 © 2014 Cisco and/or its affiliates. All rights reserved. Cisco Confidential 1 The world’s largest taxi company owns no vehicles The most valuable retailer has no inventory Uber Alibaba The world’s largest media company produces no content The world’s largest accommodation provider owns no real estate Facebook Airbnb Are you ready for the next The world has changed… digital © 2014 Cisco and/or its affiliates. All rights reserved. wave? Cisco Confidential 2 The new digital business / city / country Digital business is the creation of new business designs that connect people, business and things to drive revenue and efficiency. Transform Processes & Business Models Empower Workforce Efficiency and Innovation Personalize Customer/ Citizen Experience Leads To: Leads To: Leads To: Innovation Faster Time to Market Increased Productivity Better Retention Increased Loyalty Greater Insight ©2016 Cisco and/or its affiliates. All rights reserved. Digitization is transforming businesses UPS My Choice Workforce Efficiency Starbucks Apps Delivery Control Personalized Service WIP Inventory and Part Tracking Order Ahead Skip the Line Customer Experience Physical and Virtual RFID Content American Express Personalized Service Through Mobile ©2016 Cisco and/or its affiliates. All rights reserved. Digital business stakes are high 941 CIO respondents selecting the Top 3 Digital Impacts on business, in order In Top Three More Revenue from Better Operations 66% More Business Through Digital Channels 48% Creating New Markets 37% Tighter Partnerships Engaging and Empowering Employees 26% 7 % 40% Changing the Basis of Competition Cost Reduction Expanding to New Geographies Crossing Industry Boundaries Gartner, The 2016 CIO Agenda: Building the Digital Platform 20% 6 39% 11% 9% ©2016 Cisco and/or its affiliates. All rights reserved. “ By 2018, 90% of IT roles will be redefined. ” Frank Gens Chief Analyst, International Data Corporation 5 Tectonic Shifts Facing Today’s CIOs 1. The Digital Experience - Every Company is an IT Company 2. Consumers drive business behaviors 3. Real-time data & on-demand access to info & analytics 4. Transformation CIOs replace traditional CIOs 5. IT becomes a business-centric organization focused on business outcomes IT Leaders Face Business Challenges & Opportunities “By 2016, 80% of new IT investments will directly involve LOB executives…LOBs will be lead decision-makers in 50% or more...” “IDC Predictions : Competing on the 3rd Platform”, IDC “…opportunity for IT to lead business transformational efforts, creating new business …” “Change the Conversation, Change the Game”, report by Harvard Business Review Analytic Services; “CIOs see their organizations realizing an average of only 43% of technology‘s potential.” “New Priorities, Technologies and Leaders Shaping the Future of IT”, Gartner © 2014 Cisco and/or its affiliates. All rights reserved. © 2013 Cisco and/or its affiliates. All rights reserved. Cisco Confidential Cisco Confidential 8 “ We have entered a global economy where talent and skills shortages challenge world economic and business growth around the world. ” Klaus Schwab Chairman, World Economic Forum Growing IT Skills Gap Driven by Constant Job Role Evolution © 2014 Cisco and/or its affiliates. All rights reserved. Cisco Confidential 10 The workforce of the future… Will require continual learning and upskilling… Training and certifications Just-in-time Knowledge Org-wide digital mindset 11 What will IT jobs of the future look like? Retail Sales Executives Brokers Doctors & nurses 50% of all jobs will require technical acumen Farmers © 2014 Cisco and/or its affiliates. All rights reserved. Source: U.S. News/Raytheon STEM Index Construction Foreman Cisco Confidential 12 Robotics Specialist Professional Triber Platform Developer Remote Health Care Cyber Security Analyst Data Scientist Cloud Architect Business Transformation Practitioner Neuro Implant Technician Urban Innovation/Urban Mechanics Network Programmer (SDN) Industrial Network Engineer Virtual Reality Designer Machine Learning Scientist 3D Print Technician Customer Makers Digital Anthropologist Prepare jobs ofOutcomes the future Focusedfor onthe Business © 2014 Cisco and/or its affiliates. All rights reserved. Cisco Confidential 13 Critical skills in the knowledge economy 21st Century Skills Global Leadership Skills Entrepreneurial Skills Critical Thinking Global Mindset Collaboration Communication Languages Proficiency Opportunity Recognition Self-Direction Creativity Cultural Awareness Persuasion Problem-Solving Team Player Planning Skills ITC Proficiency Professionalism Risk-Taking Work Ethics Resourcefulness © 2014 Cisco and/or its affiliates. All rights reserved. Cisco Confidential 14 Trends in Learning Fueled by Student Expectations © 2014 Cisco and/or its affiliates. All rights reserved. Cisco Confidential 15 Workforce Trends A Learner’s World Has Changed ALearning generation ago… Today International library virtual collection Chemistry community Chemistry club Museum virtua TelePresence session l tour Video phone call Expert Website Museum click-to-talk iTunes U podcast RSS Class lecture VOD with TA National museum virtual collection Classroom lecture Expert blog GPS to meeting Virtual lab Open courseware Game Newsletter Government research organization Twitter © 2013 Cisco and/or its affiliates. All rights reserved. National newspaper feed IM scientist Chemist broadcast session International newspaper feed Second Life museum tour vBlog Botany community Fauna community Primate community Cisco Confidential 17 Reasons for Studying Without Formal Classes Regardless of certification, cost and time constraints are the primary reasons respondents turn to self-study materials. Q20a. Why did you choose to study for the exam on your own, without formal classes or training? © 2013 Cisco and/or its affiliates. All rights reserved. Cisco Confidential 18 “ We need to produce graduates who can learn, re- learn, and un-learn many times over. And provide the tools that enable them to do so throughout their careers. ” Peter Hirst Executive Director, MIT Sloan Executive Education The workplace is changing to meet the needs of the new digital economy Mobile, Self-study with Gamification, Assessments, Discoveries Access to Real-Time Knowledge, Learning, Experts, and Analytics Deliver Rapid Innovation Via Collaboration & Co-Creation Stay Agile, Engaged & Innovative In Closing ©2014 Cisco and/or its affiliates. All rights reserved. 21 ©2016 Cisco and/or its affiliates. All rights reserved. ©2016 Cisco and/or its affiliates. All rights reserved. It’s in your hands – how will you help CIOs build an IT Department prepared to to accelerate the digital future? © 2013-2014 Cisco and/or its affiliates. All rights reserved. 24 Thank you