Business as a Service

Transcription

1 Business as a Service AN IT SERVICE FOR DIGITAL DISRUPTION Unlike traditional IT or business process outsourcing, emerging business-as-a-service (BaaS) offerings use an integrated cloud technology stack to support business development and operations at the core of the customer organization. In short, BaaS has the potential to radically change the outsourcing market. KEY FINDINGS The digital services market is built on the need for continuous service improvement, so it will be far more similar to out-tasking than outsourcing hence our use of the word cloud-tasking. This requires a different business model: an agile, incremental business relationship with the customer, often drawing on project services while continuing to deliver managed services. The mechanism for both buyers and providers moving to this cloud-tasking service acquisition and delivery model is the cloud management platform. The challenge with existing as-a-service capabilities such as IaaS, PaaS and SaaS is that they are technologies that need to be applied. This speaks to a service delivery gap in the cloud market a gap that is just beginning to be filled with business as a service, or BaaS. BaaS is a different proposition from ITO or business process outsourcing because rather than focusing on improving IT infrastructure provision, increasing process efficiency in central admin areas or automating volume, repetitive transactional tasks, BaaS uses an integrated cloud technology stack to support business development and operations at the core of the customer organization. JULY 2015

2 451 RESEARCH REPORT SNAPSHOT TITLE Business as a Service: An IT Service for Digital Disruption ANALYST Dr. Katy Ring, Research Director Global IT Services RELEASE DATE July 2015 LENGTH 31 pages ABOUT THIS REPORT Digital processes are changing the way we bank, use transportation, and monitor and manage our health, as well as how we access and use technology in the workplace. The requirements of the digital services economy are challenging the usefulness of outsourcing contracts built around traditional technology towers. A big part of the technology answer to supporting the kind of organizational agility we need in the digital era lies with the adoption of cloud technology. This report analyzes new types of business service offerings that are coming to market using cloud technology stacks to better support the digital service requirements of organizations.

3 Business as a Service: An IT Service for Digital Disruption TABLE OF CONTENTS SECTION 1: EXECUTIVE SUMMARY INTRODUCTION KEY FINDINGS METHODOLOGY SECTION 2: SERVICES FOR THE DIGITAL AGE CLOUD TECHNOLOGY AND ITO Figure 1: Who Should Provide Cloud Services? NEW CLOUD SERVICE OPPORTUNITIES SECTION 3: WHAT IS BAAS? 6 Figure 2: Main -aas Pillars of Cloud WHY IS SAAS NOT THE ANSWER? Figure 3: SaaS Is Not the Answer BAAS CHANGES THE OUTSOURCING OFFER Figure 4: Moving Up the Value Stack THE FUTURE DIRECTION OF ITO LIES WITH THE OUT-TASKING OF DIGITAL PROCESS SERVICES THE MAIN COMPONENTS OF THE BAAS MODEL Figure 5: The Key Components of a BaaS Offering SECTION 4: EMERGING OFFERINGS INSIGHT-DRIVEN PLATFORM SERVICES FAST-PROTOTYPE SERVICES SECTION 5: TECHNOLOGY TRANSPARENCY, CLOUD-TASKING AND THE CIO 15 Figure 6: The Continuous Service Delivery Wheel Figure 7: Who Is the Best Provider of Cloud Service Integration?

4 451 RESEARCH SECTION 6: COMPETITOR LANDSCAPE 17 Figure 8: Sample BaaS Offerings SECTION 7: VENDOR SNAPSHOTS BELL TECHLOGIX CAPGEMINI COGNIZANT CSC DELL HP IBM TECH MAHINDRA UNISYS SECTION 8: CONCLUSIONS AND RECOMMENDATIONS RECOMMENDATIONS FOR BPS PROVIDERS RECOMMENDATIONS FOR CONSULTANTS AND SIS RECOMMENDATIONS FOR MSPS RECOMMENDATIONS FOR ITO PROVIDERS RECOMMENDATIONS FOR INVESTORS RECOMMENDATIONS FOR ENTERPRISE IT INDEX OF COMPANIES 32

5 Business as a Service: An IT Service for Digital Disruption ABOUT 451 RESEARCH 451 Research is a preeminent information technology research and advisory company. With a core focus on technology innovation and market disruption, we provide essential insight for leaders of the digital economy. More than 100 analysts and consultants deliver that insight via syndicated research, advisory services and live events to over 1,000 client organizations in North America, Europe and around the world. Founded in 2000 and headquartered in New York, 451 Research is a division of The 451 Group Research, LLC and/or its Affiliates. All Rights Reserved. Reproduction and distribution of this publication, in whole or in part, in any form without prior written permission is forbidden. The terms of use regarding distribution, both internally and externally, shall be governed by the terms laid out in your Service Agreement with 451 Research and/or its Affiliates. The information contained herein has been obtained from sources believed to be reliable. 451 Research disclaims all warranties as to the accuracy, completeness or adequacy of such information. Although 451 Research may discuss legal issues related to the information technology business, 451 Research does not provide legal advice or services and their research should not be construed or used as such. 451 Research shall have no liability for errors, omissions or inadequacies in the information contained herein or for interpretations thereof. The reader assumes sole responsibility for the selection of these materials to achieve its intended results. The opinions expressed herein are subject to change without notice. New York 20 West 37th Street, 6th Floor New York, NY Phone: Fax: San Francisco 140 Geary Street, 9th Floor San Francisco, CA Phone: Fax: London Paxton House (5th floor), 30 Artillery Lane London, E1 7LS, UK Phone: +44 (0) Fax: +44 (0) Boston 1 Liberty Square, 5th Floor Boston, MA Phone: Fax: