short presentation title - afsug · · 2017-06-14every company can develop a digital strategy...

MARIAM ABDULLAHI SAP Africa Telecommunications Industry Lead

From Telcos to Digital Service ProvidersEnabling Digital Life

• Global Technology Trends

• Impact of Digital Disruption

• SAP Strategy for the Telecommunications Industry

Agenda

© 2016 SAP SE or an SAP affiliate company. All rights reserved. 5Public

Change is happening faster …

TIME TO REACH

50 MILLION

USERS

75 YEARS

38 YEARS

13 YEARS

4 YEARS

3.5 YEARS

3 YEARS

50 DAYS

35 DAYS

19 DAYS ON ANDROID ALONE


Disruption is Everywhere

Digital Disruption comes fast

and is happening everywhere

World’s largest taxi company

owns no taxi’s

Largest accommodation provider

owns no real estate

Largest phone company

owns no infrastructure

World’s most valuable retailer

owns no inventory

World’s largest movie house

owns no cinemas

Largest music company

owns no music

Worlds biggest book (& other) distributor

owns no books

World’s largest trading network

owns no inventory


Global Technology Trends


Digital Technologies are Here to Stay

Mobile

Social

Super

Computing /

In-Memory

Machine

LearningCloud

IoT

Big Data

Hyper

Connectivity

Leading Digital TrendsThe World is Changing Quickly Digital Technologies are Everywhere


Growth pressure

Maturity & competition

Technology

Changing ecosystem

Traffic growth

Regulatory pressure

Operational efficiencies

Customer behaviour

CAGR 2016-21:

• Global fixed voice revenues -5.4% / mobile voice revenues -

7.0%

• Global FBB revenues 3% while mobile data revenues 10.6%

• Apps & internet based

services remain most

disruptive forces

• IoT dominates devices

• Over $293.4bn lost to OTT

VoIP globally by 2018

• About 2.7bn OTT VoIP

users by 2020

• Global fixed & mobile data traffic to

treble by 2018

• Global capex to grow at 0.4%

CAGR 2016-21

• Running agile

processes &

operations

• Over 1.8 billion people

subscribe to OTT voice

services

• % of consumer watch 62

online videos

Ovum | TMT intelligence | informa Copyright © Informa PLC

The Impact of Digital Disruption


Mobile Subscription CAGR By region (1)

Global Telco Subscriptions vs Africa Subscriptions

20 Fastest Growing Markets by Subscription (1)

• African Telco Market leading the globe from a

mobile subscription perspective with an

expected growth rate of 7.4% from 2014-2019.

• 5 African Countries amongst the world’s 20

fastest growing markets subscription wise

(1) Ovum – Global Mobile Market Outlook: 2014 -2019


Revenue CAGR – Western Europe 2014-19 (1)

Global Telco Revenues vs Africa Revenues

Africa Revenues Forecast (2)

• Developed markets are facing high pressure on revenues.

Telco market is maturing & Telcos are struggling to

monitise 4G/LTE to face off OTTs

• Africa mobile market is still growing in total revenues

• Mobile Data Revenues continue to be a growth driver and

revenues forecasted to triple by 2021 due to:

• On-going rollout of broadband N/Ws (many now 4G as well as 3G);

Increasing smart devices affordability & changing user behaviour

(1) Ovum – Global Mobile Market Outlook: 2014 -2019 (2) Ovum – 2017 Trends to watch – MEA December 2017


Africa is a young continent…A Digital; Mobile Continent?


Digital Disruption Strategies


How do we harness the benefits of these tech trends and

digital explosion?

How do we intimately engage with my customers and

improve their experience?

How do we innovate and stay ahead of the

curve/competition?

How do we get greater awareness and reach to bring in

more customer and get larger share of wallet?

How do we build a trusted talent pool that is engaged,

empowered & enabled

Business Leader ChallengesLooking for ways to disrupt & innovate their business


Strategy to Combat Digital Disruption

automation

Data brokers

providers

IoT services

Mobile money

… and more

From Simple

Communications

Service Provider

To

Digital Service/Solution

Provider

PaaS/SaaS/IaaS


Most popular OTT services offered

via Telco-OTT Partnerships (1H16)

Telcos Must Respond by Offering Digital Services

These services require high degree of personalization and demand low latencies

and high bandwidths which must be delivered by CSPs networksOvum | TMT intelligence | informa Copyright © Informa PLC


Industries at SAP:


Telco as Strategic Digital Enabler


SAP Telco Strategy


Two core themes guide our strategy

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1. Digital transformation

is an imperative Telcos need to re-imagine their

business models, processes, and work

Digital Lifestyle Provider

Business Cloud Service

Provider

Digital Transformation

Catalyst

Data Broker

Network

Operations MgmtCustomer

Engagement

Retail

Excellence

Service

Monetization

Financials

Modernization

Connected

Supply Chain

Business models


Two core themes guide our strategy

1. Digital transformation

is an imperativeTelcos need to re-imagine their

business models, processes, and work

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ople&Work11110101010100101

2. Blurring Industry lines will create

new opportunities Best practices transfer, seizing

new opportunities

Telecommunications

High Tech

Retail

Healthcare

Media

Financial

Services

Sports &

Entertainment


Samples Digital Service Provider Disruptors

Reliance Jio Building the world’s

largest data network & crosses the

100M customer in 170 days

“Telefonica Spain

spins off network assets in

new company Telxius”

“Gearing up for the Cloud,

AT&T tells its workforce to

adapt with new training

programs”

“Orange to launch

Mobile-only bank

in 2017”

02/13/201601/05/2016

02/10/2016


Digital Transformation Priorities

Enable

Operational

Excellence

Drive new Revenue Streams

Co-innovate

Connected

Transportation

Safety

Margin

Assurance

SAP Cloud

Platform

Digital

Boardroom

Connected Car

Connected Stadium


SAP Digital Business Framework

Every company can develop

a digital strategy across

these 5 pillars:

1. Re-platform core

business processes and

bring together business

process and analytics in

real-time to be smarter,

faster and simpler

2. Outcome based

customer experience

3. Smarter and engaged

workforce across all

employees and

contractors

4. Supplier collaboration to

accelerate growth and

innovation

5. Harness internet of

things and big data to

drive real-time insights

and new business models


Reinvented processes for

higher performance

Integration internally and

externally

Mobile first approach

Instant, real-time insights

for better decision making

Empower business users

with insights to act

Leverage predictive

insights

Enable Operational ExcellenceA digital core on premise or in the cloud


Extend – Provide localized,

personalized services

Integrate – Deliver microservices,

API Business hub

Build & Innovate – New business

models, open standards

The Digital Platform

to Drive Innovation

• Real-time decision making

• Faster time to market

• Accelerated reporting time

The Real-Time

Data Platform

Real-time

operations

New

Business

Models

Faster

Insights

Enable Operational Excellence Building on a flexible, real-time platform

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http://en.wikipedia.org/wiki/File:Verizon_logo.svg

http://fr.wikipedia.org/wiki/Fichier:Vodafone_logo.png

http://fr.wikipedia.org/wiki/Fichier:Vodafone_logo.png

DELIVER CONSISTENT,

CONTEXTUAL…

…AND RELEVANT

EXPERIENCES

REGARDLESS OF

CHANNEL AND

DEVICE.

Vision for Customer Experience

SAP HYBRIS Simplifying & Unifying the Front Office

DIGITIZE END-TO-END CUSTOMER AND CONSUMER EXPERIENCE

digital

goodsemaildigital adsweb contact

center

printmobile socialmarketplace SearchIoT SMS/

notifications

@

In store/

branch

EXPERIENCE MANAGEMENT

MARKETING COMMERCE SALES SERVICE

DATA MANAGEMENT (CUSTOMER, PRODUCT)

PLATFORM, INFRASTRUCTURE, INTEGRATION

SEAMLESS

customer

journey across

all channels

• SINGLE VIEW

of the customer

• INTEGRATED

across sales,

service,

marketing

and commerce

• EASY-TO-USE

business tools to

empower

BILLING


SAP Big Data for Telecommunications

Turning Big Data into Big Business value

Digitization of

Customer Experience

New Digital Business

Connected Objects

Digitization of the Core

Virtualization

Customer

Segmentation &

Profiling Connected Car

Subscriber

Profitability

Purchase

PropensityScalable

Architecture

MarketingPredictive Analytics

for Telco

Margin

AssuranceHANA Vora Big Data

Integrator Vehicle Insight

Digital Farming

High Volume

Data Ingestion

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Co-InnovateSAP & Vodafone – Big Data Margin Assurance

1.5%Overall company average revenue loss

46%Average revenue

recovery rate with

current methods

100’s m €Untapped revenue

potential

Vodafone Red

Pensioner

Disabled

Student

Laptop

39,99

-10,00

-10,00

-10,00

-7,50

2,49

The Industry Problem… A Sample Challenge…

Hard to identify

unprofitable

subscribers

The Big Data Margin Assurance

Solution…

Identify more leakage faster

with granular visibility

Integrates with all Telco

processes to optimize AMPU

Real-time insights and

predictive capability to pre-

empt leakage

“The ability to understand

granular customer profitability specifically

which customers are profitable or

unprofitable and why, is a game-changer

for our industry”

Thomas Holtmanns, Vodafone Director Finance Operations Central

Europe and Global Process Owner Margin Assurance


3

Total Workforce Engagement

Learning

Recruiting

Performance

Social

Collaboration

HR

AnalyticsCore

HR

A Vendor Management Systems to

optimize contingent workforce management

A best-in-class

Human Resource Management Suite

Workforce EngagementA Talent Pool that is engaged, empowered & enabled


Contingent Labor &

Services

Indirect &

Direct & Supply ChainTravel & Expenses

SAP Business Networks Enable Telcos to Run Simple & Be AgileJoin A Network of 1.9 M Businesses Trading Eu 800 M in B2B Commerce Annually

Simplify

Multi-Enterprise

Integration

Gain

Commerce

Insights

Automate

Business

Collaboration

Innovate

Across

Value Chain

An SAP Company An SAP Company

__________ __________

CONNECT TO THE WORLD’S LARGEST B2B NETWORK TO REDUCE COST IN

ALL YOUR PURCHASING CATEGORIES


FinanceFinancial Planning and

Analysis

Accounting and

Financial Close Treasury Management Finance Operations

Governance, Risk, and

Compliance for

Finance

Core Human

Resources and Payroll Talent Management

Time and Attendance

Management

Human Capital

Analytics

Human

Resources

Platform and

TechnologyAnalytics

Application Platform

and Infrastructure Data Management IT Management

Procurement

Collaborative Sourcing

and Contract

Management

Operational

Purchasing

Guided End-User

BuyingSupplier Management

External Workforce

Management

Invoice and Payables

Management

Inventory and Basic

Warehouse

Management

Security Software

Procurement Analytics

Customer Engagement and

Commerce

Contextual Marketing

Smarter Selling

Omnichannel Commerce

and Agile Billing

Operational Excellence

Store Commerce

Digital Logistics

Asset Operations and Maintenance

Revenue and Margin Optimization

Revenue Management

Fraud Prevention

Customer Service Excellence

Margin Assurance

Internet of Things

IoT Foundation Services

IoT Edge

IoT Insights

IFRS Compliance

Value Map 2017 for Telecommunications(see all details on sap.com/Solution Explorer - Telecommunications)

Core industry priorities

Cross-enterprise supporting priorities

Technology platform priorities

https://solutionexplorer.sap.com/solexp/ui/vlm/i_telecom/vlm/i_telecom-ind-i_telecom


94% of the telecommunications companies in the Forbes Global

2000 are SAP customers.

SAP Powering the Telecommunications

Digital Transformation Journey

Thank youContact information:

Mariam Abdullahi

SAP Africa Telecommunication Lead

[email protected]

mailto:[email protected]

short presentation title - afsug · · 2017-06-14every company can develop a digital strategy...

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