Thought Leadership

Top 3 Areas of Focus for Clients Driving Digital Reinvention

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Digital reinvention is not the future, but the present! How long before another new technology turns an antiquated business model on its head? It’s happening across all industries and we’ve seen the results. AirBnB has put a huge dent in the hotel industry, Uber is now the go-to taxi service in major cities around the world and Tesla has people standing in line for hours just to pre-order a model that they haven’t even seen yet. These organizations were once the up-and-coming disruptors, but today they stand tall above the competition because they embraced a completely different business model powered by new technologies.

Organizations now know they can’t afford to be late to the party, but they struggle with evolving into a digital business.

Only 5% of companies believe they have employed digital reinvention practices to achieve competitive advantage – but isn’t that the name of the game in 2016?

To excel in this landscape, organizations must embrace and build upon digital. We call this Digital Reinvention, and IBM and SAP have partnered to bring innovative solutions to clients that will help them win in the digital economy. The digital reinvention path requires a new focus on changing business models and markets, new ways of working through greater insights and responsiveness, and new expertise driven by orchestrated ecosystems and restless, innovative talent.

 

digital transformation

Clients are looking for strategic alliance partners to lead this digital reinvention, and there are three major themes that are central what they are looking for:

  1. Expertise in the application of technology to drive competitive differentiation in their industry.
  2. Next generation systems built on modern IT platforms. Mobility, cloud and analytics are no longer optional.
  3. Cognitive computing, use cases and how it can work for their organization. Everyone has heard of cognitive, but they don’t quite understand the potential. Access to massive amounts of data can now be turned into actionable business insights through cognitive.

We’ve seen what reinvention can do for our clients. Technopolis needed a solution that connected in-store promotions with its online presence to end missing out on sales opportunities due to poor web performance. IBM seamlessly and successfully deployed SAP Hybris B2C Commerce, standardizing retailing on a single platform. With this new platform in place, Technopolis can now provide a reliable and integrated omni-channel shopping experience to its customers. Technopolis was able to double the number of its online orders, slashed web loading time by 70% and decrease calls to the service center by 50%.

Similar to IBM, Kennametal knows how important innovation is to its business. The U.S.-based company needed to continue driving improvements to product development and on-time delivery by accelerating business processes. Partnering with IBM, SAP ERP was migrated to SAP HANA running on IBM Power Systems – doing so on-time with no disruption to the business. An immediate boost in performance included 83% faster reporting of product delivery, 90% quicker open order checking and making it 25% faster for web users to search the online product catalog.

As the fifth-largest food and beverage company in the world, The Kraft Heinz Company found itself with expanding volumes of data that were challenging system performance. IBM used its deep SAP expertise to deliver a migration from SAP Business Warehouse to SAP HANA, which was necessary to support the exploding volumes of data with ease. Reports are now delivered in a timely fashion with ease, enabling decision-makers with the actionable insights needed to drive their initiatives.

We invite you to visit our Digital Reinvention page, to learn more about the 7 Drivers of Digital Reinvention and the outcome that businesses can achieve.

To learn more about innovative joint solutions, visit our IBM-SAP Alliance website.

General Manager, IBM Global Alliances

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