The next edition of the BriefingsDirect Voice of Innovation podcast series explores a new model of nine steps that IT organizations can take amid the COVID-19 pandemic to attain a new business normal.
As enterprises develop an IT
response to the novel corona virus challenge, they face both immediate and longer-term
crisis management challenges. There are many benefits to simultaneously
steadying the business amid unprecedented disruption -- and readying the
company to succeed in a changed world.
Join us as we examine a Hewlett Packard Enterprise (HPE) Pointnext Services nine-step plan designed to navigate the immediate crisis and -- in parallel -- plan for your organization’s optimum future.
Listen
to the podcast. Find it on iTunes. Read a full transcript or download a copy.
Here to share the Pointnext model and its positive impact on your business’ ongoing health are Rohit
Dixit, Senior Vice President and General Manager, Worldwide Advisory and
Professional Services at HPE Pointnext Services, and Craig
Partridge, Senior Director, Worldwide Advisory and Transformation Practice,
HPE Pointnext Services. The timely discussion is moderated by Dana Gardner, Principal
Analyst at Interarbor Solutions.
Here are some excerpts:
Gardner: Rohit, as you were crafting
your nine-step model, what was the inspiration? How did this come about?
Dixit: We had
been working, obviously, on engaging with
our customers as the new situation was evolving, with conversations about
how they should react. We saw a lot of different customers and clients engaging
in very different ways. Some showed some best practices, but not others.
Dixit |
We heard these conversations
and observed how people were reacting. We compared that to our experiences managing large IT
organizations and with working with many customers in the past. We then put
all of those learnings together and collated them into this nine-step model.
It comes a bit out of our past
experience, but with a lot of input and conversations with customers now, and
then structuring all of that into a set of best practices.
Gardner: Of
course, at Pointnext Services you are used to managing risk, thinking a lot about
security
incident management, for example. How is reacting to the pandemic different?
Is this a different type of risk?
Dixit: Oh, it’s
a very different kind of risk, for sure, Dana. It’s hitting businesses from so
many different directions. Usually the risk is either a cyber threat, for
example, or a discontinuity, or some kind of disruption you are dealing with. This
one is coming at us from many, many different directions at the same time.
Then, on top of that, customers
are seeing cybersecurity issues pop up. Cyber-attacks have actually increased.
So yeah, it’s affecting everybody -- from end-users all the way to the core of
the business and to the supply chain. It’s definitely multi-dimensional.
Gardner: You
are in a unique position, working with so many different clients. You can
observe what’s working and what’s not working and then apply that back rather
quickly. How is that going? Are you able to turn around rapidly from what you are
learning in the field and apply that to these steps?
Dixit: Dana,
by using the
nine steps as a guide, we have focused immediately to what we call the triage
step. We can understand what is the most important thing that we should be
doing right now for the safety of employees, and how we can contribute that
back to the community and keep the most essential business operations running.
That’s been the primary area
of focus. But now as that triage step stabilizes a little bit, what we are
seeing is the customers trying to think, if not long-term, at least medium-term.
What does this lead to? What are the next steps? Those are the two conversations
we are having with our customers -- and within ourselves as well, because
obviously we are as impacted as everybody else is. Working through that in a
step-by-step manner is the basis of the nine steps for the new normal model.
Gardner:
Craig, I imagine that as these enterprises and IT departments are grappling
with the momentary crisis, they might tend to lose that long-term view. How do
you help them look at both the big picture in the long term as well as focus on
today’s issues?
Partridge: I
want to pick up on the something that Rohit alluded to. We have never seen this
kind of disruption before. And you asked why this is different. Although a
lot of the responses learned by HPE from helping customers manage things like
their security posture and cyber threats, you have to understand that for most
customers that’s an issue for their organization alone. It’s about their
ability to maintain a security posture, what’s vulnerable in that conversation,
and the risks they are mitigating for the impact that is directly associated
with their organization.
We
have never seen the global economy being put on pause. It's not just
the effect on being able to transact, protect revenue and core services,
and continue to be viable. It's all of their ecosystems and supply
chain being put on hold.
What we have never seen before
is the global economy being put on pause. So it’s not just the effect on how an
individual organization continues to be able to transact and protect revenue,
protect core services, and continue to be able to be viable. It’s all of their
ecosystem, it’s their entire supply chain, and it’s the global economy that’s being
put on hold here.
When Rohit talks to these
different dimensions, this is absolutely different. So we might have learned
methods, have pragmatic ways to get through the forest fire now, and have ways
to think about the future. But this is on a completely different scale. That’s the
challenge customers are having right now and that’s why we are trying to help
them out.
Gardner:
Rohit, you have taken your nine steps and you have put them into two buckets, a
two-mode approach. Why was that required and the right way to go?
One step at a time, now to the future
Dixit: The model
consists of the nine steps and it has two modes. The first one being immediate
crisis management and then the second one is bridging to the new normal.
In the first step, the immediate
crisis management, you do the triage that we were talking about. You adjust
your operations to the most critical, life-sustaining kinds of activities. When
you are in that mode, you stabilize and then finally you sustain on an ongoing basis.
And then the second mode is
the bridge to the new normal, and here we are adjusting in parallel to what you
are observing in the world around you. But you also start to align to a point
of view with the business. Within IT, it means using that observation and that
alignment to design a new point of view about the future, about the business, and
where it’s going. You ask, how should IT be supporting the production of the
new businesses?
Next comes a transformation to
that new end-state and then optimizing that end-state. Honestly, in many ways,
that means preparing for whatever the next shock is going to be because at some
point there will be another disruption on the horizon.
So that’s how we divided up the
model. The two modes are critical for a couple of reasons. First, you can’t take
a long-term approach while a crisis unfolds. You need to keep your employees
safe, keep the most critical functions going, and that’s priority number one.
The governance you put around
the crisis management processes, and the teams you put there, have to be very
different. They are focused on the here and the now.
In parallel, though, you can’t
live in crisis-mode forever. You have to start thinking about getting to the
new normal. If you wait for the crisis to completely pass before you do that,
you will miss the learnings that come out of all of this, and the speed and
expediency you need to get to the new normal -- and to adapt to a world that has
changed.
That’s why we talk about the two-mode
approach, which deals with the here and the now -- but at the same time prepares
you for the mid- to long term as well.
Gardner:
Craig, when you are in the heat of firefighting you can lose track of
governance, management, planning architecture, and the methodologies. How are
your clients dealing with keeping this managed even though you are in an
intense moment? How does that relate to what we refer to as minimum viable operations?
How do we keep at minimum-viable and govern at the same time?
Security and speed needed
Partridge: That’s
a really key point, isn’t it? We are trained for a technology-driven operating
model, to be very secure, safe, and predictable. And we manage change very
carefully -- even when we are doing things at an extreme pace, we are doing it
in a very predictable way.
Partridge |
What this nine steps model
introduces is that when you start running to the fire of immediate crisis management,
you want to go in and roll with the governance model because you need extreme
speed in your response. So you need small teams that can act autonomously –
with a light governance model -- to go to those particular fires and make very
quick decisions.
And so, you are going to make some
wrong decisions -- and that’s okay because speed trumps perfection in this
mode. But it doesn’t take away from that second team coming onstream and looking
at the longer term. That’s the more traditional cadence of what we do as
technologists and strategists. It’s just that now, looking forward, it’s a future
landscape that is a radically different one.
And so ideas that might have
been on hold or may not have been core to the value proposition before suddenly
spring up as ideas that you can start to imagine your future being based
around.
Those things are key in the
model, the idea of two modes and two speeds. Don’t think about getting it
right, it’s more about protecting critical systems and being able to continue
to transact. But in the future, start looking at the opportunities that may not
have been available to you in the past.
Gardner: How
about being able to maintain a culture of innovation and creativity? We have
seen in past crises some of the great inventions of technology and science. People
when placed in a moment of need actually dig down deep in their minds and come
up with some very creative and new thinking. How do we foster that level of
innovation while also maintaining governance and the capability to react
quickly?
Creativity on the rise
Partridge: I couldn’t
agree more. As an industry and as individuals, we are typically very creative.
Certainly technologists are very creative people in the application of technologies,
of different use cases, and business outcomes. That creativity doesn’t go away.
I love the phrase, “Necessity
is the mother of invention,” the idea that in a crisis those are the
moments when you are most innovative, you are most creative, and people are coming
to the fore.
For many of our customers, the
ideas on how to respond -- not just tactically, but strategically to these big
disruptive moments -- might already be on the table. People are already in the
organization with the notion of how to create value in the new normal.
These moments bring those
people to the surface, don’t they? They make champions out of innovators. Maybe
they didn’t have the right moment in time or the right space to be that
creative in the past.
Or maybe it’s a permission
thing for many customers. They just didn’t have the permission. What’s key to
these big, disruptive events is to create an environment where innovation is fostered,
where those people that may have had ideas in the past but said, “Well, that
will never work; it’s not core to the business model, it’s not core to driving
innovation and productivity,” to create the environment where there are no sacred cows. Give
them the space to come to the fore with those ideas. Create those kinds of new
governance models.
Dixit: I
would actually say that this is a great opportunity, right? Discontinuities in
how we work create great cracks through which big innovations can be driven.
The phrase that I like to use
is, “Never waste a crisis,” because a crisis creates discontinuities and
opportunities. It’s a mindset thing. If we go through this crisis playing defense
– and just trying to maintain what we already have, tweak it a little bit –
that will be very unfortunate.
This goes back to Craig’s point
about a sacred cow. We had a conversation with a customer who was talking about
their hybrid IT mix, what apps and what workloads should run where. They had
reached an uneasy alliance between risk and innovation. Their mix settled at a
certain point of public, private, on-premises, and consumption-based sources.
But now they are finding that,
because the environment has changed so much, they can revisit that mix from
scratch. They have learned new things, and they want to bring more things
on-premises. Or, they have learned something new and they decided to place some
data in the cloud or use new Internet of things (IoT) and new artificial
intelligence (AI) models.
The point is we shouldn’t
approach this in just a defensive mode. We should approach it in an innovative
mode, in a great-opportunity-being-presented-to-us-mode, because that’s exactly
what it is.
Nine steps, two modes, one plan
Gardner: And
getting back to how this came about, the nine steps plan, Rohit, were you thinking
of a specific industry or segment? Were you thinking public sector, private
sector? Do these nine steps apply equally to everyone?
Dixit: That’s
a good question, Dana. When we drew up the nine steps model, we drew from
multiple industries. I think the model is applicable across all industries and
across all segments -- large enterprise and small- to medium-sized businesses (SMBs)
as well.
The way it gets applied might
be slightly different because for an enterprise their focus is more on the
transaction, the monetary, and keeping revenue streams going in addition to, of
course, the safety of their employees and communities.
When
we drew up the nine steps model, we drew from multiple industries. The
model is applicable across all industries and segments -- large
enterprises and SMBs.
But the public sector, they approach
it very differently. They have national priorities, and citizen welfare is much
more important. By the way, availability of cash, for example, might be
different based on an SMB versus enterprise versus public sector.
But the applicability is
across all, it’s just the way you apply the steps and how you bridge to the new
normal. For example, what you would prioritize in the triage mode might be
different for an industry or segment, but the applicability is very broad.
Partridge: I
completely agree about the universal applicability of the nine steps model. For
many industries, cash is going to be a big constraint right now. Just surviving
through the next few months -- to continue to transact and exchange value -- is
going to be the hard yards.
There are some industries
where, at the moment, they are probably going to get some significant
investment. Think about areas like the public sector -- education, healthcare, and
areas where critical national infrastructure is being stressed, like the
telephones providing communication services because everybody is relying on
that much more.
There are some industries
where not just the nine steps model is universally applicable. Some industries
are absolutely going to have the capability to invest because suddenly what
they do is priority number one, not just the same citizen, welfare and health
services, but to allow us to communicate and collaborate across the great
distances we now work with.
So, I think it’s universally
applicable and I think there is a story in each of the sectors which is
probably a little bit different than others that we should consider.
Stay on track, prioritize safety
Gardner: Craig,
you mentioned earlier that mistakes will be made and that it’s okay. It’s part
of the process when you are dealing in a crisis management environment. But are
there key priorities that should influence and drive the decision-making --
what keeps people on track?
Partridge: That’s
a really good question, Dana. How do we prioritize some of the triage and
adjust steps during the early phases of that crisis management phase of the
model? A number of things have emerged that are universally applicable in those
moments. And it starts, of course, with the safety of your people. And by your
people, not just your employees and, of course, your customers, but also the
people you interact with. In the government sector, it’s the citizens that you
look after, and their welfare.
From inside of HPE, everything
has been geared around the safety and welfare of the people and how we must
protect that. That has to be number one in how you prioritize.
The second area you talked about before, the minimum viable operating model. So it’s about aligning the decisions you make in order to sustain the capability to continue to be productive in whichever way you can.
You’re focusing on things that
create immediate revenue or immediate revenue-generating operations, anything
that goes into continuing to get cash into the organization. Continuing to
drive revenue is going to be really key. Keep that high on the priority list.
A third area would be around
contractual commitments. Despite the global pandemic pausing movement in many
economies around the world, there are still contractual commitments in play. So
you want to make sure that your minimum viable operating model allows you to
make good on the commitments you have with your customers.
Also, in the triage stage, think
about your organization’s security posture. That’s clearly going to feature
heavily in how you make priority decisions a key. You have a distributed
workforce now. You have a completely different remote connectivity model and
that’s going to open you up to all sorts of vulnerabilities that you need to consider.
Anything around critical
customer support is key. So anything that enables you to continue to support
your customers in a way that you would like to be supported yourself. Reach out
to that customer, make sure they are well, safe, and are coping. What can you do
to step in to help them through that process? I think that’s the key.
I will just conclude on
prioritization with preserving the core transactional services that enable
organizations to breathe; what we might describe as the oxygen apps, such as the
enterprise resource planning (ERP) systems of the world, the finance systems, and
the things that allow cash to flow in and out of the transactions and orders that
need to be fulfilled. Those kinds of core systems need protection in these
moments. So that would be my list of priorities.
Gardner:
Rohit, critical customer support services is near the top of requirements for
many. I know from my personal experience that it’s frustrating when I go to a
supplier and find that they are no longer taking phone calls or that there is a
long waiting line. How are you helping your organizations factor in customer
support? And I imagine, you have to do it yourself, for your own organization,
at HPE Pointnext Services.
Communicate clearly, remotely
Dixit: Yes,
absolutely. The first one is the one that you alluded to, the communications
channels. How do we make sure that people can communicate and collaborate even
though they are remote? How can we help in those kinds of things? Remote
desktops. This has, for example, became extremely critical, as well as things
like shared secure storage, which is critical so that people can exchange
information and share data. And then wrapping around all of that for safe remote
connectivity, collaboration, and storage, is a security angle to make sure that
you do all of that in a protected, secure manner.
Those are the kinds of things
we are very much focused on -- not just for ourselves, but also for our customers.
We’re finding different levels of maturity in terms of their current adoption
of any of these services across different industries and segments. So we are
intersecting the customers at different points of their maturity and then
moving them up that maturity stack for fully remote communication,
collaboration, and then becoming much more secure in that.
Gardner:
Rohit, how should teams organize themselves around these nine steps? We’ve
talked about process and technology, but there is also the people side of the
equation. What are you advising around team organization in order to follow
these nine steps and preparing for the new normal?
Dixit: This
is for me one of the most fascinating aspects of the model. In our triage step we
borrowed a lot of our thinking from the way hospitals do triage. And we learned
in that triage model that quick, immediate reaction means you need small teams
that can work with autonomous decision-making. And you don’t want to overlay on
that initially a restrictive governance model. The quick reaction through the “fog of war,” or whatever
you want to call it, is extremely critical in that stage.
We
borrowed a lot of our thinking from the way hospitals do triage. We
learned that quick, immediate reaction means you need small teams that
can work with autonomous decision-making.
By setting up small,
autonomous teams that function independently, that make decisions
independently, and you keep a light-touch governance model, then that feeds in broader
directions, shares information, and captures learnings so that you remain very
flexible.
Now, the fascinating aspect of
this is that -- as you bridge to the
new normal, as you start to think about the mid- to the
long-term -- the mode of operation becomes very different. You need somebody to
collect all the information. You need somebody who is
able to coordinate across the business, across IT, and
the different functions, partners, and the customers.
Then you can create a point of view about what the future holds.
What do we think the future
mode of operations is going to look like from a business perspective? Translate
that into IT needs and create a transformation plan, start to execute on that
plan, which is not the skirmished approach that you’re taking in the immediate
crisis management. You’re taking a much more evolved transformation approach
that you’re going toward.
And what we find is, these
modes of operations are very different. In fact, we advocate that you put two
different teams on them. You can’t have the crisis management also involved in
long-term planning and vice versa. It’s too much to handle and it’s very
conflicting in the way it’s approached. So we suggest
that you have two different approaches, two different governance models, two different teams that at some
point in the future will come together.
Gardner:
Craig, while you’re putting these
small teams to work, are you able to see leadership qualities in people that
maybe you didn’t have an opportunity to see before? Is this
an opportunity for individuals to step up -- and for managers to start looking
for the type of leadership qualities -- in this cauldron of crisis that will be
of great value later?
Tech leaders emerge
Partridge: I
think that’s a fantastic observation because never more do
you see leadership qualities on display than when people are in such pressurized systems. These are the moments of
decision-making that need to be made rapidly, and where they
have to have the confidence to acknowledge that sometimes those decisions may be
wrong. The kind of leadership qualities that you’re going
to see exhibited through this nine-step model are
exactly the kind of leadership qualities that are going to
give you that short list to potentially stand out for the next leaders of the organization.
With any of these moments of
crisis management and long-term planning, those that
step forward and take on that burden and start to lead the organization through the thinking, process,
strategy, and the vision are going to be that pool of
the next talent. So nurture them through this process
because they could lead you well into the future.
Gardner: And I
suppose this is also a time when we can look for
technologies that are innovative and work in a pinch to be elevated in
priority. I think we’re accelerating adoption patterns in
this crisis mode.
So what about the information technology,
Craig? Are we starting to see more use of cloud-first,
software as a service (SaaS) models, multi-cloud, and hybrid
IT? How are the various models of IT now available manifesting
themselves in terms of being applicable now in the crisis?
Partridge: This
global pandemic is maybe the first one that’s going to showcase why technology
has become such an integral part of how customers
build, deliver, and create their value propositions. First, the most immediate
area where technology has come into play is that massively distributed workforce now working from
home. How was that possible even 10 years ago? How is
it possible for an organization of 50,000 employees
to suddenly have 70 percent to 80 percent of that workforce now communicating
and collaborating online using virtual sessions?
The technology that underpins
all of that remote experience has absolutely come to
the fore. Then there are some technologies, which you
may not see, but which are absolutely critical to how, as a society, we will
respond to this.
Think about all of the data modeling and the
number crunching that’s going on in these high-performance compute (HPC) platforms out there
actively searching for the cure and the remedy to the novel coronavirus crisis.
And the scientific field
and HPC have become absolutely key to that.
The
capability to instantly consume and to match that with what you pay has
two benefits. It keeps costs aligned and it eases economic pressure by
deferring capital spending over time.
You mentioned as-a-service
models, and absolutely the capability to instantly consume and to match that with what you pay has two
benefits. Not only does it keep the costs aligned, which is a threat that people are really going to focus on, but it might ease some of that economic
pressure, because, as we know in those kinds of models,
technology is consumed not as an upfront capital asset. It’s deferred over the use of its
life, easing the economic stresses that customers are
going to have.
If we hadn’t been through the
cloud era, through pivoting technology to it being
consumed as a service, then I don’t think we’d be in a position where we could
respond as well in this particular time.
Dixit: What’s
also very important is the mode of
consumption of the technology. More and more customers are going to look
for flexible models, especially in how they think about their hybrid IT model. What is the right mix
of that hybrid IT? I think in these
as-a-service models, or consumption-based
models -- where you pay for what you consume, no more, no less, and it allows you to flex up or down -- that flexibility
is going to drive a lot of the technology choices.
Gardner: As we transition
to the new normal and we recognize we have to be
thinking strategically as well as tactically at all times, do you have any
reassurance that you can provide, Rohit, to people as they endeavor
to get to that new normal?
Crisis management and
strategic planning going hand-in-hand sounds like a
great challenge. Are you seeing success? Are you seeing early signs that people
are getting this and that it will be something that will put them in a stronger
position having gone through this crisis?
In difficulty lies opportunity
Dixit: Dana,
for me, one of the best things I have seen in my interactions with customers,
even internally at HPE, is the level of care and support that the companies are
giving to their employees. I think it’s amazing. As a society and as a
community, I’m really heartened by how positive the reactions have been and how
well the companies are supporting them. That’s just one point, and I think technology does play a part in that, in enabling that.
The point I go back to is to never
waste a crisis. The discontinuities we talked
about, the great opportunities that this creates, if we approach this with the
right mindset -- and I see a lot of companies actually doing that, approaching this from an opportunity perspective instead of just
playing defense. I think that’s really good to see.
If somebody is looking to
design for the future, there is now more technology, consumption methods, and different
means of approaching a problem than ever existed
before. You have private cloud, public cloud, and you have consumption models on-premises, off-premises,
and via colocation options. You have IoT, AI, and containerization.
There is so much innovation out there and so many ways of doing things
differently. Take that opportunity-based approach, it is going to be very disruptive and could be the
making of a lot of great innovation.
Gardner: Craig,
what light at the end of the tunnel do you see based on the work you’re doing
with clients right now? What’s encouraging you that this is going to be a path to new levels of innovation and creativity?
Partridge: Over the last few years, I’ve been spending most of my time
working with customers through their digital transformation agendas. A big
focus has been the pivot toward better experiences: better customer engagement,
better citizen engagement. And a lot of that is enabled through digital engagement
models underpinned by technology and driven by software.
Pick
up the phone and speak to your HPE counterparts because they are there
to help you. Nothing is more important to HPE than being there for our
partners and customers.
What we are seeing now is the proof-positive that those investments made over the last few years were exactly the right investments to make. Those companies now have the capability to reach out very quickly, very rapidly. They can enable new features, new functions, new services, and new capabilities through those software-delivered experiences.
For me, what’s heartwarming is
to see how we have embraced technology in our daily lives. It’s those customers
who went in early with a customer experience-focused, technology-enabled, and edge-to-cloud
outcome. Those are the ones now able to dance very quickly around this axis
that we described in the HPE Pointnext Services nine-step model. So it’s a
great proof-point.
Gardner: A lot
of the detail to the nine-step program, and some great visual graphics, are
available at Enterprise.nxt.
An article
is there about the nine-step process and dealing with the current crisis as
well as setting yourself up for a new future.
Where else can people go to learn
more about how to approach this as a partnership? Where else can people learn
about how to deal with the current situation and try to come out in the best
shape they can?
Dixit: There
are a lot of great resources that customers and partners can reach out to with
HPE, specifically of course, hpe.com, and a specific
page around COVID-19 responses and great resources available to our
customers and partners.
A lot of the capabilities that
underpin some of the technology conversations we have been having are enabled
through our Pointnext Services organization. So again, visit hpe.com/services to be able to get
access to some of the resources.
And just pick up the phone and
speak to HPE counterparts because they are there to help you. Nothing is more
important to HPE at the moment than being there for our partners and customers.
Gardner: We are going to be doing more podcast discussions on dealing with the nine-step program as well as crisis management and long-term digital transformation here at BriefingsDirect, so look for more content there.
Listen
to the podcast. Find it on iTunes. Read a full transcript or download a copy. Sponsor: Hewlett Packard Enterprise.
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