ShoreTel Partner Event, Memphis, TN Steve Leaden, President - Leaden Associates, Inc. sleaden@leaden.com October 16,
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1 UC and Why Now ShoreTel Partner Event, Memphis, TN Steve Leaden, President - Leaden Associates, Inc. sleaden@leaden.com October 16, 2014
2 Leaden Associates Inc. An independent, objective Communications and IT consulting firm Facilitating enterprise projects Needs Assessments System and network procurements, RFPs Systems implementation Specializing in VoIP and UC design and deployment Contact Center design and deployment, operational best practices Optimizing converged data/voice/video networks Data Center design, review, migration Videoconferencing strategy, deployment Staff extension, sourcing, ongoing support Telecom expense management (TEM) Clients include recognized enterprises Health care, education, manufacturing, financial services, publishing and government market segments Drive ROI for clients consistently in projects Copyright Leaden Associates, Inc. - Confidential 2
3 Leaden Associates Inc. Firm established in 1990, now in 24 th year Steve Leaden, President, in IT/Communications for 30+ years Past President and member of the Society of Technology and Communications Consultants An ethics-based association of independent Communications and IT consultants Faculty of Telecom+UC Training (was BCR Training) Optimizing enterprise networks, cost control of wired and wireless networks Speaker for Enterprise Connect, Interop NY, UC Strategies Summit, Voice Report, AT&T User Forum, User Conferences, Partner Conferences, CCMI Total Telecom Keynote, NoJitter, BrightTalk and CCMI Webinars Writer, quoted in No Jitter.com, UCStrategies.com, Washington Post, Information Week, Telecom Reseller, Network World among others Contact info , Copyright Leaden Associates, Inc. - Confidential 3
4 Technology Has Created A more connected culture A very smart consumer More competition A more immediate world (and speed to market) VoIP/UC apps for mobile, tablet, laptops experience Copyright Leaden Associates, Inc. - Confidential 4 4
5 Technology Changes Unprecedented - Examples Videoconferencing SIP trunking UC integration and acceptance New collaborative desktops Social media integration are being offered at a staggering rate Speech Analytics Remote worker, follow-me capabilities Keyboard or desktop-sensing presence and mobility integration are making anytime/anywhere a reality Copyright Leaden Associates, Inc. - Confidential 5
6 Unified Communications Model (latest) How UC is redefining everything Presence Integrated Apps UC Collaboration IP Audio Video Conferencing File Sharing, Whiteboard I/M, Chat Copyright Leaden Associates, Inc. - Confidential 6
7 Unified Communications Model (latest) How UC is redefining everything Presence Integrated Apps I/M, Chat Telephony Hard, soft Contact Center UC Voice Mail U/M File Sharing, Whiteboard Collaboration IP Audio Video Conferencing Copyright Leaden Associates, Inc. - Confidential 7
8 VoIP/UC 2014 Drivers, Factors TDM is Dead Really Dead In 2013, many of our clients experiences indicate that manufacturer end-ofsupport from the most TDM PBX products is occurring anywhere from the year 2011 through 2014 at the very latest Consumerization for UC is already here Facebook presence, IM/chat texting on smartphones, Facetime videoconferencing Telephony is No Longer Relevant Telephony for new telephony offers NO value NextGen UC has been is about to go GA Mobility is Now a Way of Life 257M smartphones and 126M tablets in U.S. consumers by 2016 With UC tools now available in smartphones and tablets, expect to see rapid growth in the commercial side of the mobility/uc space beginning in 2014 Components of UC Used in the Contact Center UC Price Point is Nearly Zero Why 2014 Is the Perfect Storm For UC Adoption - Steve Leaden, UCStrategies.com Copyright Leaden Associates, Inc. - Confidential 8
9 Voice Communications Quote Replacing Telephony for Telephony only has no perceived value to an organization and executive management. Voice-only communications is no longer relevant. - Steve Leaden Copyright Leaden Associates, Inc. - Confidential 9
10 Risk Issues - Summary System EoL (huge for CXOs) Capacity issues TDM MD System age Fewer trained resources Risk of a multi-day outage increases Newer systems added onto older system to solve capacity issues Copyright Leaden Associates, Inc. - Confidential 10
11 VoIP/UC Touches Everything Telephones Routers Data networks Network management tools Voice servers Data servers Data Closets UPSs Data Switches HVAC, electrical, space requirements Copyright Leaden Associates, Inc. - Confidential 11
12 Other Factors Beyond The Hype Stage We are beyond the hype cycle stage of UC Now in use for close to 10 years, history says that adoption will begin to move quickly in 2014 The UC Cloud Is here and offerings of UC are included as part of the providers package UC for the cloud, also presented as UCaaS, and outsourcing this function to an outsider takes at least some of the perceived sting of the technical aspects of a UC deployment Copyright Leaden Associates, Inc. - Confidential 12
13 VoIP/UC Benefits NO YES Quality of life for employees (travel) Speed of decision-making Unifying the organization - a "one virtual building" approach Facilitating training throughout the organization Accessing experts quickly in remote facilities for face-toface meetings Attending live or replay the stored video later Copyright Leaden Associates, Inc. - Confidential 13
14 UC A Differentiator UC now creates a differentiator for your organization In the next months Differentiator aspect of UC will lessen Your competitors have adopted UC as well Clients embracing UC today are Helping better streamline their organizations and their functionality significantly Providing them a true competitive edge in the market Copyright Leaden Associates, Inc. - Confidential 14
15 Q How Would You Rate UC Success To Date? Copyright Leaden Associates, Inc. - Confidential 15
16 What Is The Level of Interest In UC From Your Internal Customer Community? Copyright Leaden Associates, Inc. - Confidential 16
17 VoIP/UC Price Point Compelling UC now bundled with standard desktop phone end-point licensing Software subscription pricing bundles UC 400 Software models have matured and costs down Maintenance pricing has dropped dramatically Virtualization has effectively reduced the number servers required VoIP Only VoIP+UCC Cost per end point now less than 2011 VoIP Telephony ONLY Copyright Leaden Associates, Inc. - Confidential 17
18 All Forms of Communication Voice hardphone, softphone Audio conferencing Faxing Video conferencing Collaboration/ document sharing IM/chat Presence Social Media Mobility Corporate Directory Takes 8-10 years before acceptance of a technology in the market Copyright Leaden Associates, Inc. - Confidential 18
19 Last 2 Decades Voice only 100+ years Then added Fax - 30 years 15+ years Paging 15+ years Video conf 12+ years Mobility Last 12+ years Smartphones 10+ years UC Last 8+ years IM chat, presence, audio conf, video conf, collab, UM, corp directory UC Today - all forms of voice (Telephony), Contact Center, and the UC Suite Copyright Leaden Associates, Inc. - Confidential 19
20 Culture Has a Play Today s culture dictates the direction UC is going Social, mobility, chat, video or vice versa Examples Millennials, X and Y Gen Instant expectation Different Contact Center forms have different expectations up to 72 hours Voice up to 2-3 minutes (80/20) IM/chat and video sec Length of call different Voice 3 min Video 4-11 min Amazon Mayday 15, 9 sec SLA for video Copyright Leaden Associates, Inc. - Confidential 20
21 The Amazon Factor Cool Elements. 15 sec SLA. Incorporates - Web query - Video/voice - Real time help - In context - Collaboration - Tracking success/metrics Setting the bar for the video banking Copyright Leaden Associates, Inc. - Confidential 21
22 UC Integration Current UC IM/chat Presence friends list Adhoc audio conferencing Adhoc videoconferencing, document sharing (Web) collaboration Softphone Corporate directory Unified Messaging Telephony Voice Mail Contact Center components. Next-Gen UC All current UC tools Easy to use Device awareness Identical user experience across multiple devices Powerful search Geo-location presence Rich content (integrated to Salesforce, Google, other apps Copyright Leaden Associates, Inc. - Confidential 22
23 Inhibitors to UC Adoption Product maturity 7% Interop 11% Hard to estimate ROI 21% Requires rip & replace 9% Cost/Lack of budget 40% Source: UCStrategies UC Channel Study: Copyright Leaden Associates, Inc. - Confidential 23
24 Mobility Mobile devices smartphones, tablets Anytime anywhere expectation Twinning one number reach Desktop mobility Softphones Full UC integration suite in mobile client 4G download speeds average 12Mb - 60Mb Copyright Leaden Associates, Inc. - Confidential 24
25 ShoreTel Communicator and ShoreTel Dock. Voice. IM/chat. Presence. Video. Softphone. Personalized Call Routing Copyright Leaden Associates, Inc. - Confidential 25
26 Mobile Device Growth Mobile device adoption explodes Source: Forrester Research, Inc. Copyright Leaden Associates, Inc. - Confidential 26
27 How Is This Practical for My Organization??
28 Key Questions -Does this fit my business model? -Can I improve Cust Svc? -Can I Increase revenues? -Can I connect my staff across large geographies? Business Leader -Can I manage it? -How complex is it? -How interoperable? -How flexible is the vendor? - What risk do I have? CIO -Capital investment? TCO? -ROI for the product? -Does and OPEX model make sense? -Can I optimize personnel? --Operationally can staff take advantage of it? CFO Copyright Leaden Associates, Inc. - Confidential 28
29 Be Anywhere and Reachable Anytime One Number Follow Me Anytime anywhere expectation Twinning one number reach Copyright Leaden Associates, Inc. - Confidential 29
30 Wow Apps - UC Create a Virtual Building Organization Work from anywhere worldwide Central DIDs or localized Make/received calls from any device Reduce real estate costs Leverage VoIP and UC as a centralized technology Work from any end point as though it s yours Including your DID, voice mail, speed dial lists Ghost your mobile number Transfer calls to mobile device during the conversation (Desktop Mobility) Copyright Leaden Associates, Inc. - Confidential 30
31 Create a Compelling DR Strategy Five 9s model everywhere Hurricane, pandemic, snowstorm, outages Work remotely, from home 4-5 digital dialing Contact Center SLAs adhered to Supervisor sees real-time activity IM/chat functions from anywhere for approvals Hurricane Sandy 1 million businesses and nearly 10 million workers Copyright Leaden Associates, Inc. - Confidential 31
32 VoIP/UC DR Design Copyright Leaden Associates, Inc. - Confidential 32
33 Wow Apps - UC Communicate And Get a Hold of Key Colleagues in Strategic, Timely Conversations Instantly (Presence) Contain Calls To Only 30 Seconds or Less Real-Time (IM/chat) Look up anyone in your organization by name (Corporate Directory) Communicate with strategic partners instantly (UC Federation) Copyright Leaden Associates, Inc. - Confidential 33
34 Wow Apps - UC See What Your Colleague is Seeing On Their Desktop Anytime (Collaboration) Expand Training Programs By Recording Video Conferencing Sessions (Video Conferencing and recording) Instantly Bring Colleagues Together by Connecting Them Via a Meet-Me or Ad- Hoc Conference (Audio and Video Conferencing) Copyright Leaden Associates, Inc. - Confidential 34
35 Wow Apps - UC Create a Multi-User, Fully Immersive Experience with Your Colleagues (Video Conferencing) Differentiate Listen To All Voice Mails and faxes from Your E- mail Inbox (Unified Messaging) Bring All This Cool UC Functionality To Your Smart Device (Smartphone, Tablet) Copyright Leaden Associates, Inc. - Confidential 35
36 Police Department Leverage UC Clients for Physicians Town Board Members Other Compelling Apps - UC UC Clients For Students Copyright Leaden Associates, Inc. - Confidential 36
37 On The Horizon On The Horizon Anything consumer (Video, IM chat, presence examples) drives the technology Video Premise (desktop, room), cloud, contact center Multi-channel voice, chat, , video coming Optimized Communications (vs. UC) CX will be very big UC Federation SIP Trunking for voice (start), chat, video, Federation Virtualization Improve uptime, less servers, greener Copyright Leaden Associates, Inc. - Confidential 37
38 Financial Example
39 Cloud vs. Managed vs. Capital Model Leverage Annual Costs # Type of Service Monthly Annual Costs (for 5 Years) Total Annual 1 Hosted Lease Phones/Install $41,000 $492,000 Service $160,000 $1,920,000 Maint $3,000 $36,000 2 Managed Lease Phones/Install $12,000 $144,000 Service $180,000 $2,160,000 Maint $0 $0 3 Purchase Lease Phones/Install $90,000 $1,080,000 Service $0 $0 Maint $50,000 $600,000 $2,448,000 $2,304,000 $1,680,000 Copyright Leaden Associates, Inc. - Confidential 39
40 Cloud vs. Managed vs. Capital Model Leverage Annual Savings Annual Annual # Category Savings Totals 1 Annual Maintenance Hosted $600,000 Managed $700,000 Purchased $100,000 2 Long Distance $500,000 3 Local/POTS $400,000 4 MPLS/SIP $350,000 5 Audioconferencing $50,000 7 Legacy tie lines $200,000 Subtotal $1,500,000 Annual Savings Hosted $2,100,000 Managed $2,200,000 Purchased $1,600,000 Copyright Leaden Associates, Inc. - Confidential 40
41 Cloud vs. Managed vs. Capital Model Net Annual Project Cost # Type of Service Annual Cost * Annual Savings Cost Avoidance (Avg. Annual) ** Net Annual Project Cost 1 Hosted $2,448,000 $2,100,000 $800,000 ($452,000) 2 Managed $2,304,000 $2,200,000 $800,000 ($696,000) 3 Purchase $1,680,000 $1,600,000 $800,000 ($720,000) * Includes capital Costs as part of 5 year FMV lease ** $2M est. Upgrade Costs over next 5 years Note: Project Savings and cost avoidance will reduce net annual costs Copyright Leaden Associates, Inc. - Confidential 41
42 Next Steps 1 Needs Assessment.Confirm / evaluate the incumbent data and voice networks and design and optimize for a VOIP/UC-centric model.proof of concept 2 VOIP/UC Systems Procurement.Procure the systems/network that will best serve the client via the Request For Proposal process 3 Project Implementation.Coordinate and project manage the network for changes, replacements Create a compelling ROI case for project approval Copyright Leaden Associates, Inc. - Confidential 42
43 Questions? Copyright Leaden Associates, Inc. - Confidential 43
44 Thank you! Stephen M. Leaden President, Leaden Associates, Inc. (845) Copyright Leaden Associates, Inc. - Confidential 44
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