Make the move to Office 365 a win-win by training your users!
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1 White Paper Make the move to Office 365 a win-win by training your users! Why CIOs and HR managers have no choice but to get along to achieve long-term goals? A Skillsoft Company
2 FOREWORD Ever since its arrival, the move toward the cloud has been advancing at a breakneck pace. The virtualization of software in the cloud represents a bona fide revolution that not only reexamines how users work, but also how businesses operate. At the center of all these strategic decisions are CIOs, who play a crucial role in helping their companies transform and fully leverage the potential of the digital world. But the challenges CIOs face in realizing this transition go far beyond mere technological matters. They extend to the project's overall success, which inevitably encompasses a human element: employees' digital skills. That's why CIOs and HR managers whose worlds usually never cross must work together in order to achieve long-term goals. This white paper is written for the head officers of both the IT and HR departments within their respective companies or organizations. It aims to raise awareness of the importance of employees' digital skills in planning for the move to Office 365. CONTENTS THE CLOUD IS RADICALLY CHANGING THE WAY COMPANIES MIGRATE 3 WHAT KIND OF CHANGES HAS OFFICE 365 MADE? 5 HOW CAN YOU SOLVE THE NEW CHALLENGE OF EMPLOYEES RECURRING DIGITAL SKILLS GAP? 7 2 / Make the move to Office 365 a win-win by training your users! / Vodeclic, A Skillsoft Company
3 THE CLOUD IS RADICALLY CHANGING THE WAY COMPANIES MIGRATE A snapshot of a typical company not long ago was pretty straightforward: 1,000 employees, 1,000 workstations, 1,000 Windows licenses, 1,000 Office licenses. A fairly easy technology landscape to maintain. Until only recently, employees used just 20 basic functions in the most representative software programs on the market, which was enough to demonstrate the ability to perform only a hundred or so different tasks. Cloud computing ranks third among the list of CIO technology priorities. (1) Migration practices change every 5 years Those were the days! Companies were the ones to decide when it was time to upgrade their application portfolio. Every five or six years, they would update their operating system or switch to a new version. This meant they could even decide when to conduct desktop training and for whom. The "all at once" migration scheme was a strategy they could repeat every 3 or 5 years. The CIO's job often only involved making sure the technical migration was smooth, and the project was considered complete once all of the company's computers had been upgraded. Change management was also conducted on a one-off basis, usually after the technical migration had already been completed. Users took training as-needed to improve their desktop skills considered just one part of the overall initiative. HR staff would put together courses using traditional methods, such as instructor-led training, video conferences, and handouts, that took place whenever these changes occurred. Through the 1980s and 2000s, the role of IT departments drastically changed. To put it simply, they went from merely making hardware and software decisions to implementing projects that evaluated and supported the company's strategic opportunities. Cloud computing enables companies to become more agile... but also expands the role of CIOs The cloud has changed the game. Companies are at the mercy of its continued spread, racing through organizations everywhere. CIOs are now responsible for IT governance and for creating business value requiring them to work closely with the concerned business units in order to achieve that goal. The global cloud computing market is expected to grow from $37.8 billion in 2010 to $121.1 billion in 2015 at a CAGR of 26.2% from 2010 to (2) "Digital business has become the lingua franca of modern business, a common and unifying language around the globe," (3) said Partha Iyengar, Vice President and distinguished analyst at Gartner. "As enterprises prepare for an increasingly digital world, CIOs must learn to tap into technology expertise across organizations and business domains." (3) Vodeclic, A Skillsoft Company / Make the move to Office 365 a win-win by training your users! / 3
4 According to a Harvard Business Review Analytic Services report, business agility is the main driver for adopting cloud computing. (4) It also means bringing in experts with the right skills and talent, says the research firm Gartner, who know how to deliver and use the digital experience as leverage for the business. Amidst this strong trend are the growing number of applications, Internet services, and mobile devices coming onto market, as well as the BYOD (Bring Your Own Device) craze. These are just some of the many drivers that make companies' efforts to move to the cloud more complex, putting an even heavier strain on workers. 40% of enterprise employees use personal devices for work. (5) The digital skills gap must now be managed regularly, not just occasionally The frequency of software updates is not only a concern for companies, but also makes it extremely difficult to maintain their employees' computer skills at the same pace. Corporate practices are thrown into disarray, since software publishers are deciding when to come out with new releases. The digital skills gap must now be managed regularly, not just occasionally. An accelerated update schedule, coupled with numerous software features, requires new models and practices to be adopted that go beyond mere technology. Only 53% of the labor force said they are confident that their level of computer and/or internet skills are sufficient. (6) On top of this, the consumerization of IT trend is gaining momentum, making the end user the prime focus of devices and even enterprise software. Because the employee is now the one who buys or determines which solution their company chooses, it's no longer enough for CIOs to complete the migration from a purely technical standpoint. They must also ensure every employee is proficient in using the technology. As for HR managers, they must deliver more user-specific training models. And they must reach these goals together! We get it. Cloud computing has become a mainstay. And with it comes escalating waves of large-scale migrations that now encompass the human element. 4 / Make the move to Office 365 a win-win by training your users! / Vodeclic, A Skillsoft Company
5 WHAT KIND OF CHANGES HAS OFFICE 365 MADE? Office 365 is the fastest-growing business in Microsoft's history: 25% of their enterprise accounts are now running it, and the number of SMBs using it increased by 150% in 2012 eight times faster than the previous version. (7) According to Kurt DelBene, President of Microsoft's Office Division, "We have already gotten Office 365 to the point where we're at a quarterly release cadence... and we'll have the ability to do that with client business as well, the desktop version of Office." (8) Office 365 is the fastest growing business in Microsoft s history, one out of four enterprise clients owns Office 365. (7) Not to mention globalization, which forces companies to become increasingly more global and encourage teams speaking several languages across several continents to work together. CIOs are on the digitalization center stage According to Gartner, 41% of CIOs now report directly to Executive Management, one of the highest levels observed. (9) The research firm believes that this reflects executive leadership's desire to involve IT in digitalization. Yet by having the faith they can do so without increasing the budget! As we've already discussed, migration of IT systems to the cloud are happening practically non-stop. Since this implies that applications are being constantly updated, CIOs have to rethink how they deliver services to workers in order to improve company performance. Companies are shifting towards a much more complex workplace: a multi-faceted IT environment, desktops and laptops, tablets and mobile phones, the move to cloud-based software. More than 40 percent of the global Interbrand list of the 100 top brands use Office 365 or related cloud productivity services from Microsoft. (7) Organizations expect CIOs to fulfill a role that goes beyond "technical expert". They need them to provide ongoing, long-term support to turn digitalization into a competitive advantage for the company. Gartner stresses that companies must not only broaden their digital business strategy, but do so in a way that truly enables change. CIOs must therefore be in the best position to ensure these large-scale migrations meet business needs and provide tangible and measurable value to the various entities across the enterprise. Vodeclic, A Skillsoft Company / Make the move to Office 365 a win-win by training your users! / 5
6 Why must CIOs and HR managers get along in order to succeed? The role of CIOs has expanded, considering they must lead the digital charge and live up to not only the expectations of Executive Management, the different business units, and Human Resources, but to every single employee! Market responsiveness brings us to another dimension, an organizational one: change management. And in a sense it goes together with yet another dimension: digital psychology. Change is hard, change scares. And even with big data and all the other ways we have to respond fast, change is and remains a human element that needs to be managed from different angles, not in the least on the level of making de facto change and collaboration happen in an increasingly digital culture where connected business on all levels is a key challenge." (10) The migration to cloud computing reaches every corner of the enterprise, and CIOs are leading the helm of these initiatives. To provide real added value, they must be committed to a long-term process that calls for new behaviors and improves performance in every aspect of the company... especially with its most important productivity driver: people. By working together with a shared, long-term goal, CIOs and HR managers can put measures into action aimed at training employees on an ongoing basis. The resulting synergistic effect is sure to pay quick dividends and make the move to Office 365 a smooth one. So just how are CIOs and HR managers able to act as the leaders of productivity for the entire organization? 6 / Make the move to Office 365 a win-win by training your users! / Vodeclic, A Skillsoft Company
7 HOW CAN YOU SOLVE THE NEW CHALLENGE OF EMPLOYEES RECURRING DIGITAL SKILLS GAP? Design the training model around the technologies used As the BYOD trend is becoming more widespread, CIOs are forced to allow company employees to use their own personal devices. How can traditional training methods adapt to this new cloud computing reality? Whatever training solution is adopted, it must be one-size-fits-all, in that it works on any device and enables viewing on any screen size or resolution. And to tackle the human side of things, HR managers need to support and promote the solution to ensure widespread adoption. Give everyone access to training The training solution must provide employees the ability to improve their digital skills when and where they need it, via an intranet or dedicated portal, on their ipad, mobile phone, or personal PC, in the office or at home. To ensure their skills are kept up-to-date, companies must seize the opportunities promised by cloudbased software. Provide the quickest route to training by embedding the solution within business tools Single Sign On (SSO) technology addresses one of the challenges of effective training by guaranteeing users quick access. With it, employees can access training on their work interface and enjoy a seamless and consistent learning experience across their everyday business tools.. Keep up with software updates By implementing a future-proof training solution that is flexible, agile, mobile, and forwardlooking to keep pace with software updates, and by offering the most comprehensive course catalog possible, not only are the technical challenges being met, but also the human ones. Making training available to users as soon as a new version is released is also key to the solution's success. Rally CIOs and HR managers to join forces in selecting and implementing the solution What is needed is a bottom-up approach: as new technologies develop, new needs emerge from users. CIOs and HR managers play a crucial part in how those affected by these fundamental changes perform. To successfully carry out their migration plans, CIOs must include user support throughout the entire process...and well after. By doing so, the shock that usually comes with such a change will be softened, and company productivity will increase. To ensure workers proactively and regularly acquire the skills they need, HR managers must invest in these new training tools and make them part of the company's way of life. CIOs and HR managers must join forces in selecting the solution that will help them meet their long-term goals. "Change is happening all around us, in every industry, and at lightning speed. A company's ability to respond to that change is the most important factor as to whether or not it will sink or swim. 70% of the companies that were on the Fortune 1000 list a mere 10 years ago have now vanished unable to adapt to change." (10) Vodeclic, A Skillsoft Company / Make the move to Office 365 a win-win by training your users! / 7
8 APPENDIX: REFERENCES 1. Gartner - Top 10 CIO Business and Technology Priorities (2013) 2. MarketsandMarkets - Cloud computing market: global forecast (October 2010) 3. Gartner Press Release - Gartner Says Access to Digital Talent is Crucial for Digital Strategies to Succeed (May 2014) 4. Harvard Business Review - Business Agility in the Cloud (2014) 5. Gartner - User Survey Analysis: Gartner Consumer Insights People at Work and Play in 2014 (June 2014) 6. European Commission - Digital Agenda for Europe Scoreboard page Microsoft - Cloud growth brings new opportunities for profitability in 2014 (January 2014) 8. Microsoft and Morgan Stanley Technology - Media & Telecom Conference (February 2013) 9. Gartner - Flipping to Digital Leadership: The 2015 CIO Agenda (2014) 10. Forrester - 10 Dimensions of Business Agility (September 2013) Vodeclic is a registered trademark of Vodeclic SAS. Copyright Vodeclic, A Skillsoft Company- White Paper: Wake up to the digital skills gap! Photo Credit: Fotolia All rights reserved. For more information or to learn more, visit or call US and Canada: France: Vodeclic, a Skillsoft company, is an enterprise learning solution provider for desktop and collaborative skills. With over 25,000 how-to videos in six languages (English, German, French, Spanish, Portuguese and Mandarin Chinese), we are proud to provide an online training solution designed to help users enhance their digital, internet and collaborative skills. The solution features exclusive courses and learning tools for all users, as well as business analytics and APIs for enterprise customers, from SMB to Fortune 500. With a 1,568% growth in 5 years, Vodeclic was named one of the most successful new technology companies in 2014, ranked 22 nd in France in the Deloitte Technology Fast 50 and 105 th in the Technology Fast 500 EMEA. 36 rue Jules Verne, Levallois-Perret, France Phone: FR: US: Website :
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