HELLO Dr Jonathan Mitchell Non-Executive Chair, CIO Practice - PowerPoint PPT Presentation

HELLO Dr Jonathan Mitchell Non-Executive Chair, CIO Practice Harvey Nash plc

THE HARVEY NASH/KPMG CIO SURVEY IS THE LARGEST IT LEADERSHIP STUDY IN THE WORLD $1/4 Trillion 82 countries Almost 3,400 revenue 18 years of history respondents Additional insight

“For me…security is front of mind.” Katie Docherty, CIO, HSBC Bank Australia Limited, Sydney

“What’s changing most is my Craig Cuyar Global CIO, business colleagues.” Omnicom, New York City

KonstantinMakaussov “My main focus is to Head of IT, “Our single biggest priority is to genuinely implement the IT Jol Zhondeushі LLP, improve collaboration, efficiently and cost Astana, Kazakhstan service management effectively.” model .” Sean Dewhurst Change and IT Director Partner, SSH Kuwait

“My main focus is to Konstantin Makaussov Head of IT, implement the IT Zhol Zhondeushi Company LLP, Astana, Kazakhstan service management model.”

THE WORLD IS CHANGING Fourth industrial revolution & the rise of digital Economic uncertainty and change Global political and social instability

IT BUDGETS IT leaders reporting budget increases in last 12 months Source: Harvey Nash / KPMG CIO Survey 2016

IT BUDGETS Budget increases in UK Education 56% 54% 56% 55% 51% 46% 28% 29% 2009 2010 2011 2012 2013 2014 2015 2016 UK Education IT leaders reporting budget increases in last 12 months Source: Harvey Nash / KPMG CIO Survey 2016

CIO PRIORITIES ARE CHANGING Customer Engagement What are the main issues your board is looking for IT to address? Source: Harvey Nash / KPMG CIO Survey 2016

CIO PRIORITIES ARE CHANGING Change since 2013 2016 2015 2014 2013 Increasing operational efficiencies 73% 60% 62% 94% -22% Improving business processes 67% 70% 76% 72% -7% Better engagement with customers/prospects 60% 58% 55% 67% -10% Enabling business change 56% 65% 88% 67% -16% Saving costs 53% 65% 55% 72% -26% Delivering consistent and stable IT performance to the business 53% 56% 71% 78% -32% Delivering business intelligence / analytics 49% 60% 55% 47% 4% Cyber security 49% New in 2016 Developing innovative new products and services 40% 35% 36% 61% -34% Revenue Driving revenue growth 40% 26% 33% 28% 43% Growth Managing operational risk and compliance 38% 33% 52% 44% -14% Improving the success rate of projects 33% 28% 43% 58% -43% Outperforming competitors with new business models 22% 19% 33% 36% -39% Achieving sustainable / green IT 16% 23% 38% 31% -48% Reputation management via social media technology 13% 9% 17% 17% -24% Enabling mobile commerce 11% 9% 26% 31% -65% Improving time to market 11% 9% 14% 28% -61% Driving synergies from Mergers & Acquisitions 9% 16% 5% 8% 13% Investing in Social Media platforms 7% 9% 19% n/a -63% What are the main issues your board is looking for IT to address? UK Education Source: Harvey Nash / KPMG CIO Survey 2016

REACHING BEYOND TRADITIONAL IT ANALYTICS

REACHING BEYOND TRADITIONAL IT

HOW CIOS SPEND THEIR TIME Center for Information Systems Research

HOW UK EDUCATION CIOs SPEND THEIR TIME 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Managing the IT organisation and its people 0% 0% 17% 20% 7% 29% 20% 5% 2% 0% 0% Working with non IT colleagues to address business strategy 0% 12% 31% 33% 10% 12% 2% 0% 0% 0% 0% Meeting with company's external customers 5% 56% 29% 5% 0% 0% 9% 2% 0% 0% 2% Managing areas not traditionally in IT 12% 54% 24% 5% 2% 0% 0% 0% 0% 0% 2% Center for Information Systems Research

HOW CIOS SPEND THEIR TIME Monday Tuesday Wednesday Thursday Friday 08:00 Managing IT (45%) Non-IT Lunch Colleagues Nothing to External (25%) do with IT customers (15%) (15%) 18:00

CIO INFLUENCE REACHES NEW PEAK 67% 34% 57% Report to CEO Sit on Exec Board Expect influence to continue to grow (Jump of 10% from last year, (Highest in survey history) Highest in survey history)

CIO INFLUENCE IN UK EDUCATION 13% 33% 64% Report to CEO Sit on Exec Board Expect influence to (the same as last year) (lowest it’s been for 5 years) continue to grow

WHAT’S KEEPING CIOS AWAKE AT NIGHT? #1 CYBER SECURITY #2 SKILLS SHORTAGE #3 PROJECT SUCCESS #4 BEING AGILE, BEING DIGITAL

Cyber issues intensifying #1 CYBER ISSUES INTENSIFYING Greater threat Less prepared Major cyber attack in last 2 years CIOs feeling ‘very well prepared’ 2016 28% 2016 22% 2015 25% 2015 23% 2014 22% 2014 29%

#1 CYBER ISSUES INTENSIFYING UK Cyber issues intensifying Education CIOs Greater threat Less prepared Major cyber attack in last 2 years CIOs feeling ‘very well prepared’ 2016 57% 2016 12% 2015 29% 2015 18% 2014 31% 2014 17%

ORGANISED CRIME TOP CONCERN What types of cyber threats give you most cause for concern? Source: Harvey Nash / KPMG CIO Survey 2016

UK EDUCATION CYBER THREATS Amateur Cyber Criminals 73% Organised Cyber Crime 61% Insiders 56% Spammers 54% Foreign Powers 20% Competitors 5% 0% 10% 20% 30% 40% 50% 60% 70% 80% What types of cyber threats give you most cause for concern? Source: Harvey Nash / KPMG CIO Survey 2016

# 2 SKILLS SHORTAGE GROWING IT leaders reporting they are suffering from a skills shortage Source: Harvey Nash / KPMG CIO Survey 2016

#SKILLS SHORTAGE UK EDUCATION UK Education 80% 76% 70% 60% 58% 61% 61% 60% 50% 50% 40% 40% 36% 30% 20% 10% 0% 2009 2010 2011 2012 2013 2014 2015 2016 IT leaders reporting they are suffering from a skills shortage Source: Harvey Nash / KPMG CIO Survey 2016

GENDER DIVERSITY IMPROVING Female respondents / in senior roles in IT Source: Harvey Nash / KPMG CIO Survey 2016

GENDER DIVERSITY IN UK EDUCATION Female respondents Females in CIO, CTO and VP roles 16% 16% 14% 13% 10% 9% 5% 5% 4% 4% 2012 2013 2014 2015 2016 Female respondents / in senior roles in IT Source: Harvey Nash / KPMG CIO Survey 2016

# 3 PROJECT SUCCESS Success of projects implemented in last 2 years Source: Harvey Nash / KPMG CIO Survey 2016

# 3 PROJECT SUCCESS FOR UK EDUCATION Cloud Moving systems into the cloud Infrastructure roll out New digital marketing systems CRM roll out Unsuccessful New website / CMS Neither New internal collaboration systems Successful New mobile apps Big Data implementation Offshoring Offshoring existing IT functions abroad New finance systems ERP roll out 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Success of projects implemented in last 2 years Source: Harvey Nash / KPMG CIO Survey 2016

PROJECT SUCCESS DECREASING 2014 58% 2015 57% 2016 53% Overall proportion of projects consider ‘successful’ in last 2 years Source: Harvey Nash / KPMG CIO Survey 2016

UK EDUCATION VS INDUSTRY AVERAGES % IT LEADERS #1 RANKED IT FOCUS FOR % IT LEADERS OPERATING WITH IT BUDGET INCREASE 2016 Global average 45% Global average Operational efficiencies UK Education 46% UK Education Operational efficiencies % IT LEADERS FACED MAJOR SECURITY % IT LEADERS PLANNING TO INCREASE OUTSOURCING SPEND INCIDENT PAST TWO YEARS Global average 50% Global average 28% UK Education 55% UK Education 57% % ORGANISATIONS WITH CHIEF DIGITAL OFFICER % WOMEN IT LEADERSHIP ROLES Global average 19% Global average 11% UK Education 14% UK Education 14% % IT LEADERS REPORTING PAY INCREASE IN % IT LEADERS MOVED JOB IN PAST YEAR PAST YEAR Global average 15% Global average 34% UK Education 21% UK Education 30% Source: Harvey Nash / KPMG CIO Survey 2016

THE CREATIVE CIO New relationships New priorities New profile

#4 BEING AGILE, BEING DIGITAL

GETTING TO GRIPS WITH DIGITAL Ownership of digital Enterprise-wide digital Org’s with CDOs strategy strategies Other, 24% C Suite, 37% 35% 19% 27% 17% Marketing, 9% 7% IT/Marketing 14% IT, 16% 2015 2016 2014 2015 2016

GETTING TO GRIPS WITH DIGITAL Ownership of digital Enterprise-wide digital UK Education org’s with strategy strategies CDOs Marketing, 7% 21% IT/Marketing, 19% 14% No-one, 16% 26% 12% C-Suite, 19% IT/Marketing, 21% 2% 2014 2015 2016 2015 2016 2014 2015 2016 2015 2016

DISRUPTION & INNOVATION Appropriate resources to drive innovation? Primary sources of disruption Yes , 41% No, 59% Source: Harvey Nash / KPMG CIO Survey 2016

DISRUPTION & INNOVATION Appropriate resources to drive innovation? Primary sources of disruption New forms of customer engagement 38% Don't know, 2% New innovative products/services 24% Yes, 16% New business models 15% Don't know 12% New operating models 9% No, 82% Other 3% Source: Harvey Nash / KPMG CIO Survey 2016

FAST INNOVATOR FOLLOWER

JOURNEY TO THE CLOUD Org’s significantly investing in cloud Reasons to invest in cloud Now 1-3 yrs time Source: Harvey Nash / KPMG CIO Survey 2016