15 minute NEA presentation around IOT & big data in retail

1. IOT in retail, driving an Enterprise
Architecture for listening differently?
NEA ”Övergripande Arkitektur och
Digital Transformation i Malmö”
ECSCIA, European Centre of Supply Chain
Information Architecture

2. People will listen and interact differently
Actual processes, systems , standards
and Information structures will be
different
ECSCIA, European Centre of Supply Chain
Information Architecture

3. Convergence
ECSCIA, European Centre of Supply Chain
Information Architecture

4. Technology
Behavior
Priorities
Big data
IOT
Connectivity
Automation
New digital consumer
Follow- Orchestrate-
Configure
One planet
Profit rather than
growth
Deal with more
Move faster
Waste less
EA IT
Business
Converged
practice
changes will force us to accelerate convergence
ECSCIA, European Centre of Supply Chain
Information Architecture

5. Define & navigate
ecosystems together
ECSCIA, European Centre of Supply Chain
Information Architecture

6. Bimodal IT
Stable <-> Agile
Foundational Enterprise
architects
Vanguard Enterprise
architects
“Business outcome driven approach”
Gartner stuff…
ECSCIA, European Centre of Supply Chain
Information Architecture

7. Changes…
(I did not come up with these ideas all by myself)
ECSCIA, European Centre of Supply Chain
Information Architecture

8. Social values are changing
(Been told so by smart people like Sir Stuart Rose)
People care and know. They search for meaning, and purpose.
Simply consuming stuff is no longer satisfying.
The ”new 4P”:
-People
-Planet
-Purpose
-Profit
Resources are scarce and divided over more. Current rate of consumption will
require 2 planets by 2050.
Some countries are consuming us at a 3-8 planet rate
ECSCIA, European Centre of Supply Chain
Information Architecture

9. People have told me that everything
will be connected
”There might be 50 billion connected devices by 2035....”
”50 billion deviced by 2020....”
”75 billion by 2020....”
”Every toaster will have an IP address”
ECSCIA, European Centre of Supply Chain
Information Architecture

10. I figure, the exact
number of connected devices
doesn´t matter.
What matter is that
they are many
and that
more can be added
easily at low cost
ECSCIA, European Centre of Supply Chain
Information Architecture

11. With all those connections, the whole
industry is racing too meet....
• Demand will be visible fast. ”Where”, ”what”, ”how much”
and ”who” is no longer guesswork. The challenge and
opportunity lies in what all that information tells about the
consumers next step (Predicive/prescriptive)?
• Analytics of that data will allow for additional / related sales
pushed to the consumer through multiple channels.
Obviously, the push needs to be confimed against supply
chain capabilities, making supply chain response (even
more...) vital
• Locked communities will be using the connections to fence
in the consumer
• Extremly open communities using the connections to enable
the consumer to reach all
+
ECSCIA, European Centre of Supply Chain
Information Architecture

12. We will be taking
a better holistic grip
by looking at detail
Things like…Predictive analytics for
Interstore balancing (or anywhere else
in the network…..)
ECSCIA, European Centre of Supply Chain
Information Architecture

13. So lets spend 300 000 milliseconds on
Retail
(the art of selling stuff)
and IOT
ECSCIA, European Centre of Supply Chain
Information Architecture

14. IOT.......
It is more than RFID
It is more than M2M
It is ”Network embedded devices”
It is smarter
It communicates more
It senses more
It connects more
ECSCIA, European Centre of Supply Chain
Information Architecture

15. So, where is the retail supply chain now?
The factory is connected (SCADA)
The big (central) warehouses are connected
(LGV, FLT, Conveyors , racks, they all talk)
The truck is connected and can talk but its
introvert
Most ”shelves” aren´t talking..... (Vending
machines are a special case)
The product is doing some rudimentary
talking but...
There is POS, Loyalty cards but....
Some nerds are building robots ...
ECSCIA, European Centre of Supply Chain
Information Architecture

16. Reference Models
would help
ECSCIA, European Centre of Supply Chain
Information Architecture

17. In retail, IOT can help go beyond POS.
It can obtain (and act) on information
with more detail than basic ”what has
passed the cash register ” (and who bought it)
To do that, it would help to have
a ”store” reference model defining the points
and activities IOT can observe/execute/report
Receive store Display
Check
out
Back front
Fill up
ECSCIA, European Centre of Supply Chain
Information Architecture

18. Standards would help
An IOT API for retail?
An IOT language?
“Rosettanet” for IOT?
ECSCIA, European Centre of Supply Chain
Information Architecture

19. IOT Choreography
IOT APIs
IOT Messages
I am
something
I can do
things
I have
states
I am
somewhere
I have a
layout
I share
I listen
I act
Automate
ECSCIA, European Centre of Supply Chain
Information Architecture

20. ECSCIA, European Centre of Supply Chain
Information Architecture
But that’s still taking the old
structured data transaction approach
How about EA to listen for the
unstructured stuff?
The cameras, the words…
Capturing, feelings, thoughts sentiment?
Will there be an evolutionary bypass in
method and technology?

21. ECSCIA, European Centre of Supply Chain
Information Architecture
The next generation will shop differently.
“Customers are always on and show no loyalty”

22. Recap
People & values are
changing
Technology lets us
capture much data
IOT is an emerging part of
that landscape
Reference models and standards
would help establish an EA for
listening differently.
(And, yes, there is money in it )
Practices will
converge
We only have one
planet
ECSCIA, European Centre of Supply Chain
Information Architecture
The
unstructured
stuff will drive
change