Tieto Enterprise Architecture Consulting
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1 Tieto Enterprise Architecture Consulting
2 Consulting assignments: Examples Business strategy IT strategy IT strategy process Technology strategy ebusiness strategy Product management strategy and process development Pre-study for customer strategy Sales and logistics system strategic architecture plan Business plan Operational model IT transformation Business process automatization Business process management and modeling Business process rationalization Innovation process Product innovation process Service development Business opportunity analyses Market studies General Enterprise architecture MAM process and architecture IT processes and software development model IS management processes Mentoring of program & project management methods & tools Lead architect Technology advisor Technology roadmaps Technology pre-studies and piloting Feasibility studies Common Application Architecture IT architecture & infrastructure specifications IT architecture & infrastructure specification and selection Support for architecture specifications Software platform evaluations Technology expert Technology audits Tieto EA Consulting: One of the biggest and the most experienced EA team in Nordics
3 Transformation means innovation and internal efficiency Forces driving transformation Transformation context Growth New innovative services Business Vision Business transformation Efficiency Industrial production of services Source: The Future of Business Transformation (Tieto/Kairos Future, 2014)
4 A major telecommunication cable operator was guided when going from copper to fibre The Customer are building new FTTH infrastructure and the old system for handling physical network inventory does not handle this. The Customer wants to replace old system with a new one doing the same, but for fibre instead of copper. This means changing all aspects of the business. Customer business opportunity: Copper based services are in decline Needs to rapidly build fibre based network to meet customer demand Existing IT-system does not support fibre business Came to Tieto with a system change proposal Tieto proposed a holistic view on the problem by focusing on business benefits and processes instead of replacing technology. Pre-study on Benefits, Target architecture and Step-wise approach Business driven harvesting of benefits showing huge monetary benefits by implementing new tools and new way of working Roadmap for change Cable operator business change program 25 M You are really using your unique knowledge about our business to come with new ideas and new ways of thinking in order to help us develop our business - IT Manager Savings in operations when introducing new processes Source: Customer prestudy lead by Tieto About customer: Major Cable operator in copper based networks, close to 100% market share Serving all Service providers in the market Changing core business to fibre cables Efficiency&Growth
5 How to generate capital for new business initiatives Customer was challenged with a large number of support systems evolved over many years making the development of new services far too slow. Significant fixed IT budget is being spent on keeping the lights on with these systems that have developed huge dependencies among them. Customer assigned Tieto to assist in the work to develop a long-term Roadmap for the development of their IT landscape. Customer business opportunity: Transform itself from a network operator to a global telecom Service Provider (both technical and organizational) Create innovative IT capabilities for new business initiatives Tieto consultants conducted an analysis of customer s IT landscape and assisted creation of long term development roadmap It included application consolidation actions clustered in time-scale Roadmap for going from 200+ systems to 52, reducing OPEX with 55% within 5 years Benefit visualization for enhancing Time-to- Market and customer satisfaction Customer is now working in line with this Roadmap, and has begun transformation Application Consolidation -55% Upto 55% cut on IT operational expenses within 5 years About customer: Telecom Operator Major telecom operator in the Nordics region Very complex application portfolio including major legacy and deep integrations Efficiency
6 How smart IT transformations impact the bottom-line With it s current network analysis system approaching end of life was our telecom customer looking for a replacement system. The current system was based on manual issue handling without automation. Tieto provided our customer with a complete transformation (analysis, blue-print and project execution) of the Network Analysis IT system into an efficient fault detection and analysis system, where faults often are detected automatically before the customer is affected, by using pro-active measuring. Transformation -90% 90 % savings on CAPEX Source: Customer CIO -30% 30 % savings on OPEX Source: Customer CIO Customer business opportunity/threat: Network problems affecting customers SLA s End of life for current network analysis system Current network analysis system based on manually initiated process -> big potential for automation. Transformation of the Network analysis system core, keeping the original probe infrastructure (6000 probes) Introduction of full process automation tool based on BPMN Pro-active network measuring and Big Data analysis showed potential issues before detected by customers Higher customer satisfaction CAPEX savings compared with buying new system 90% OPEX savings (yearly): 30% (Significantly fewer Truck-rolls, SLA Improvement, Process Automation) About customer: Telecom Operator Major Telecom Operator Project size > hrs., Major technologies used J2EE, BPMN Efficiency&Growth
7 Online Fast Track concept for quick wins Agility and cooperation across business units were the key success factors in 2009 when Tieto and Nordea started a project to streamline Nordea s online channels for growth. The overall approach was to identify relevant products or product groups and to produce a straightforward, customerfriendly digital concept for each identified area. Online Fast Track 4 M 4 M additional yearly profit Source: Customer Customer business opportunity: Nordea s business can grow in Finland by utilizing the group s online channels more efficiently. New customer acquisition and additional yearly earnings of 4-5 M are expected from the growth in online sales. Tieto deployed a unique combination of know-how from the finance industry and digital service design. Eexperience with technology in the bank environment after having delivered their existing net banking solution. The12-month period resulted in additional earnings of 4 M, reaching the set target. Nordea increased their revenue with what they already had in terms of processes, businesses, platforms, systems. About customer: The largest financial services group in Northern Europe with a market capitalization of approximately EUR 28bn. With 1000 branches Nordea has the largest distribution network in the Nordic and Baltic Sea region. Largest customer base of any financial services group in the Nordic region Growth
8 Rapid leap in transformation capability development With Tieto AMO (Architecture Management Office) service the customer created their enterprise architecture development and governance model. The AMO was resourced with Tieto architects. Architecture Management Office 2 AMO ramped up in 2 months and EA capability raised from minimum to very good level in a very short time Customer business opportunity: Cost and rationalization pressures forced the customer to start their EA governance The city started to deploy EA (Enterprise Architecture) approach to whole large organization The customer s own EA capability was low and resources were limited Tieto created customer s EA governance model and development method based on the best practices and lessons learned Tieto resourced AMO with needed architects for three years period The customer ramped-up their AMO in a very short period The customer got best practices and lessons learned as starting point The planning services provided to branches was team effort, not just single consultants, the team integrated to customer business like own personnel About customer: City in Finland Efficiency&Growth
9 Changing perspectives Ari Hirvonen Head of Enterprise Architecture Consulting & Transformation Services Tieto Corporation
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