 So, today, Lars is going to talk about illustrating, he's going to illustrate how the upcoming digital product focus and the associated new high-level abstraction with seven new agile value streams in IT for IT can help organizations to holistically manage digital end-to-end. And no better person to talk about that than Lars. Over to you, Lars. Welcome. Thank you, Steve. And also, it's a pleasure to be a speaker here at the first digital event. I think there is a lot of benefits in actually being digital as an organization that promotes digital. So we can reflect about a lot of negative things that are coming with the COVID-19 situation. I won't go down that part, but I would make the reflection that in difficult times is often an inflection point where new ideas really break through and digital is one of them, right? So, thinking about what would we have done if it was 20 years ago the COVID-19 had happened, that would have been even more problematic because it turns out that there is a lot of things we can do in our home offices with these kind of technologies that is available. I just came across an interesting event a few days ago that shows what it means to have embraced the digital transformation in these hard times. And that's the rap musician Travis Scott. I don't know if any of you know about him. He's typically not associated with people with grey hair like myself, but nevertheless. And obviously, as many other musicians, he's having this challenge that he cannot go out to all the classical concert shows that he would perform. That's pretty much shut down most places in the world. And so, I don't know if he himself or his team or who actually came up with the idea, but they decided to make an event, a concert within the fortnight game engine or within the fortnight game. They did that a few days ago and had 12 million people listening in to that event. It was an all time record for fortnight itself, which in and by itself is a record breaking modern game organization. They built Scott as a virtual avatar, scaled it out in many different ways and had a lot of events going on in there. So everybody's pretty amazed about what happened. And so that's actually interesting in the sense that he would never get 12 million listeners to a regular concert, right? Suddenly he went digital, probably because he was forced to do something like that. But it was a huge success. Now people will say, well, he didn't really sell any tickets. So he didn't get ticket revenue, but I'm pretty sure I'm actually already seen on the net that now the skins and the merchandise are becoming hot items that came from that. So the digital artifacts that is produced for this event is now something they can start sell, etc. So I'm pretty sure he's going to make a lot of money on that. And obviously people are now downloading his music as well and all listening and not downloading their streaming in from Spotify or whatever, right? So quite transformational. And so if we if we think about that and go to the thinking about what goes on behind the scenes. So Travis Scott, he's part of a record label. It's Grant Hostel Records traditional record label. They're in the rap music business and been there for 15 years or something like that. And I'm pretty sure they have lots of different kinds of IT solutions already in place. They might not have a mainframe as I've pitched here in this one, but but they for sure have accounting systems, they have digital production systems. They have a lot of different things, right? And now this came in. So how did they do that, right? So how did they manage that new situation? How did they perform something as fast as suddenly just creating a really successful event within a game like Fortnite? What kind of IT systems do they need to have in place? And that's a reflection on many companies is that digital transformation is not necessarily about let's clean it all up. Let's all be fast and it's all a great right. You have a lot of existing things you still need to run, but then you need to add to it. So actually what is going to end up is that the world is getting more complex. Don't believe that already. I'm not believing that there will be a big transformation going on and everything will be smart and regular. No, it's going to be more complex. IoT is adding complexity. SAS is adding complexity. And you're not necessarily turning off all the old stuff because you have a lot of value in the legacy that you have. And even the ones you turn on today, five years from now, they will be considered legacy, right? So the one thing that is sure is that complexity goes up and you still want to be digital. So then let's reflect on this from a different angle and saying, well, 15 years ago, 20 years ago, what was the role of the CIO? The role of the CIO was essentially to mess for less, right? Run the ERP system, run the mail system servers, do it as chiefly and efficient as possible, and just make sure that you support the business. CIO gives the CIO some money every year, maybe 4% of the revenue. That is completely transformed, right? To today where if you want to do transformation, the CIO is actually not necessarily in the driver seat any longer. These chief product officers or chief digital officers within the lines of business that comes up with ideas and they want speed. So this is an example here. So let's just imagine a day in the office of Travis Scott's record label, right? And then somebody says, well, we can't do concepts. Let's do it virtually, right? And they brainstorm quickly and they say, well, actually, what's the best audience? There's a good Venn diagram of Fortnite players and rap musicians and listeners, and that's the biggest game. So can we do something in the Fortnite environment? And so you go to the CIO, imagine they would go to the record label CIO and say, okay, we would like to do a virtual concert in a digital game. And then in the traditional way, the CIO would go, okay, I'll set down a group and they will write a requirement specification for sending out a tender to game engine companies that can help us implement a platform for doing in concert things. And we can't really see that the current games allow this. So we probably need some custom development from the game platforms to be able to allow that. Same place six months later hasn't happened yet, right? I'm pretty sure that what they did within the record label of Grand Hospital Records was something that was not taking half years, four years. It's something they've done extremely quick, right? So the CPOs, the chief product officers that really want something to be done, he needs speed, right? The CIO still at the record label eats agility, right? So saying, yeah, okay, that's fine. So we now did this event. We did it in Fortnight. It was run on top of the EPIC engine. I believe it's EPIC that is used by Fortnight. But we might actually want to repeat another event within another game environment and that might be based on the theme engine. So can we recreate that there, right? By the way, we cut some corners in producing all the artifacts at first time. So we want to move them over to another platform for storing all the digital content now that we need to merchandise it and sell it, right? So he needs agility to be able to move things around as they scale out the operation, with whatever is successful needs to scale out, whatever is not successful needs to be quickly turned off so that doesn't burn money and not being used. And while this was going on, imagine again, the CISO, he's increasingly getting into play. He wasn't as important 20 years ago. But today, if somebody had heard about that, that Travis wanted to do an even concert Friday in Fortnight, why don't we do a denial of service attack? Because, yeah, we don't want him to be successful or do some ransom or not doing the denial of service attack just while this is going on, right? So all of these things needs the CISO needs to react quickly and actually take security into account when you do this with speed. And then finally, you have the CEO of the record label. I see no longer just something that makes collecting money and sending out bills and etc. It's really, it's a real time business generator suddenly, right? So he wants to know exactly what is going on. How is the development plans for the fortnight going on? What are all the steps that we're doing? Are we in control? Are we not in control? So the CEO needs insight. So what does all of that really means? Well, it really means that essentially, IT is the business now, right? That's a digital transformation. That is that IT becomes the business of the business is IT technology, information technology. So if that's the case, how do we manage that? Well, the first thing is that many people are kind of trying to taste it was saying, digital business that implies that the product becomes digital. So really what you need to do is digital product management. What does digital mean? And what we've done in the IT for IT forum is to start defining that more coherently. And later in the day, Mark Bodman will talk a little bit about that as well. We'll publish a white paper soon on what is digital product management really all about. But it turns out that IT for IT is extremely well suited to manage digital product. And you need to really treat your information technology as a product management problem. So it's no longer just about making some apps and making sure they run. It really is the entire field of product management you need to bring to bear across the planning, the building, the delivery of the run of this. Okay. So there's also another question about, well, is the digital product the same as a regular product? And by the way, what about this concept of service management as opposed to product management? Well, this figure you see here is a figure that has been a slight adaptation of something that is already in the IT for IT 2.1 book. Excuse me, which is really around the concept of saying what matters to people consuming information technology is the outcome. That's the same as when you consume a product, it's the outcome of using the product that is important. And typically a digital product is really delivered as a service. It might be that the digital product is physically shipped as bits in some way and sold to other customer organizations. But at the end of the day, the delivery of the service is something that runs on a computer. So essentially what you say is that you have the concept of a service offer which describe what the consumer of that product can expect. And it also describe what kind of interaction should go on between the consumer and that system that is the running product as such. Right. The digital product is really based on you have a system with all the integrated resources, the code, the computer device technology and subscriptions to other subsystems that allows you to deliver a service that produce an outcome for some consumer of it. So that thinking has actually been part of it for it since 10 years, pretty much right. So we just need to tweak a few words to really get people to understand it's all about product management. Well, that's pretty great right. And then you could say well if you look at the the value streams in it for it that that is now have become pretty prevalent info for a lot of people to understand is that you have the concept of your study to portfolio requirements to deploy request for fitness detector correct right. If you look at that in the previous setting that slide before what you see there is that anything that system that delivers the digital product is something you need to do from a strategy to portfolio perspective the plan part you need to do it and in a in a development perspective with requirement to deploy. You also need at the end of the day to detect and correct anything that goes on when the system is running the request for Phil is the new kid on the block. Also discussed it a bit that that this 4% that has become 25% it's really important. It was something new that we really introduced with it for it. It was not planned build run it was planned bill deliver run right. And as we have evolved our understanding or it really goes on in organization when they deliver it, we figured out what request to fulfill is really not a single value stream. It's actually three value streams right. There is one value stream which is around from whatever is released to create an offer that can be consumed. And then there is a concept of requesting that offers and fulfill it that's really kind of the word request to fulfill. And also about whenever you create more features or correct box or patch or change the security of a system that is running supporting the digital products and the service being delivered, then you, you need to be able to quickly deploy so you also have a deployment to it. So we really need to open that up a little bit. But it also gives a line which is pretty easy to paint on the existing backdrop of it for it is that you essentially have this system lifecycle, which is controlled by the backbone described in it for it. So then the service offer life cycle is actually the concept of the of the offer the subscription the service level and the charge back or show back contract right those becomes the service offer life cycle that needs to be controlled as well. So, as we move towards the next release of it for it, we are starting to introduce these kind of concepts, because that's a natural evolution, not a revolution is an evolution of the it for it standards that allow you to serve digital more. We're actually taking another perspective on it and that goes back when when we talked about the. That was Mike and his team from that talked about the, the capabilities that they build out in order to to create their, their innovation within nationwide is that you're sort of flipping between a functional component and capability and then the value stream. And when we started out it for it, these concepts was not very prevalent in the industry was not super well understood, maybe a few enterprise architects here and they're really got it right. But be honest with yourself about what it all looked like five and 10 years ago. Today, the concept of industry mapping has become more and more mainstream, but also managing capabilities and data objects. And so we are really starting to look into saying what from a capability perspective. It's actually as a side note, interesting to note that the capabilities know the value streams that for value streams of it for it version. So one is actually modeled in our teammate as capabilities because our teammate did not have any streams when we created two got one. Today, our teammate has value streams so we can have a proper modeling of that. And then we can separate between capabilities and value streams becomes a bit theoretical, but it's important to say that well fundamentally needs to have the capability to plan to build to deliver and run and which you can stop divide into more finer grain capabilities and we've divided in this figure here into eight more fine grain capabilities and then you can overlay the the value streams on top of it. What I would like to break with though is the chain concept because when we present the the full value streams of it for it as a chain. Then people immediately think that's waterfall. The one things ends and then it hands it over to the next step and then it does something at hands at home so you have a plan you handle what's the development development handle will release to deliver right. Now that's actually not how it works. You need to have strategy to portfolio to explore what is possible. So that comes back to Travis Scott, the rapper, and what happens at his record label right. That's a completely new idea to go in and do a rap concert in a fortnight engine right. They have said, oh, that's a new plan right we need to put it into our strategic planning exercise which we run once a year, and then you can have it as a line item and we can discuss whether we would rebalance our budget to do this instead of the other right. If would never happen right. It's forget about it know what happened is that somebody said yeah that's an interesting idea we kick it up as something we explore is it possible not possible. You chalk up some of the ethics. Now we're back to say five language of things that needs to be done in order to deliver a minimal viable solution. It's something that is not done only by planning department they work active with a development department that is what do we need to do how could we possibly develop all of these artifacts that we need how could we possibly develop a package that can be injected into fortnight is it realistic right and at some point they say yeah that seems possibly possible let's allocate budget for the first iteration of doing it a proof of concept right and that kicks off a requirement to deploy. It continues integration loop that that loops around three times until it has something that seems to be working and then you go back and say let's get some more money let's really do the big plan and they're they're ready to go. And here, you could say the other thing we've done in this figure is to say, and the service backbone as it was defined in in version two that one we could actually just rename a couple of the objects to call them product instead of service. Because really that the struggle five 10 years ago was was service orientation or product orientation most important in the world was not clear cut at that time. Today, product has won basically it is product management so think about all of these key artifacts to really controls the products that you deliver using information technology. Now. So, that was quite a story. So let's go back to the CPO CIO CISO and CEO they want speed agility inside and security right. So that's another aspect of when we look at that landscape with all of the the value seems the capabilities is in the functional components and the data objects that it for it happened. Of course, I would need much, much more than 25 minutes to give full credit to to what is going on there, but can it actually deliver agility speed security and an insight and it turns out. Absolutely it can inside is really around collecting data from all of these connected record fabric that it right to define right so that you can actually relate your incident your performance your status of your development together with the requirements and the backlog from the customers into inside that allows you to optimize. What is your strategy. What is it that you want to have in your portfolio. And a lot of organizations cannot do that today because they don't have that connected tissue it right he finds how you can develop your platform for managing digital so that you can get the inside agility we talked about is that you can quickly try something new. And figuring out speed is around you can iterate through these kind of things and security is something you can overlay the testing aspect in in how you operate. You actually also operate from a security perspective in addition to traditional it perspective right so you can deliver all of these four key things. Speed agility security and inside on top of the it for it landscape or it for it reference architecture. So that really takes me to the end of the presentation here. To say, well, it is becoming the business in the digital world right it for it defines the architecture for managing digital. And it is well prepared to manage it as a business because it delivers the ability to do speed agility security and inside. So with that I would say thank you for listening to this. If you want to know more join the it for it forum. If you have that possibility else. Look forward to a release in a theater near you soon that will explain more of these kind of things digital white paper digital product white paper is the next delivery coming out and later in the afternoon. Mark Bodman will talk a bit more about what it means to be a digital product. Thank you. Last virtual round of applause and and thank you very much for your your insights there. We do have a few a few questions come in and you know, we hear a lot everywhere about this this kind of move to product from service and as you as you said, products one out now it's clear. That's the way it is. So the first question is around that if it for it is product centric. Can you explain how that's relevant to a customer as a consumer? Or is the definition of product expanded or a company builds a product like micro focus and a customer uses them to build products for its customers. Right. No, it's a it's a fair question. I want to use this slide as a backdrop for it. Because you could say, yeah, obviously micro focus we're delivering digital products with that's always been our business so so no big deal there we are increasingly starting or increasingly delivering it as a service so we run it as fast for our customers instead of just delivering a a back of bits that that the customer themselves can use. So that's the that's the only quote unquote transformation we're going to. But if if I'm if I'm an IT organization servicing the some lines of businesses. If you start thinking about the insurance policy application if it's an insurance company is actually a product that can be consumed by the end customers. You have to think about well what what do I need to do with this product to make it earn more money. Right. So suddenly the entire concept of what is the value of the product is completely rethought and all the disciplines that product management has has figured out and documented in their training courses and and curriculums in universities around you can take an MBA and learning how to do it. It's actually what I see needs to serve it's not just about yeah the the app is running the lights are green and according to the functional speak it delivers exactly what was in the functional aspect so we's not to like it you need to think about. Can can I get more business what do I need to do in order to make it better the safe movement and the agile DevOps movement to some degree are already there right because they they say well it really matters that feedback loop in constantly understanding is the real consumer. The service happy right now you might even start doing more money associations with it which is important. It does require a lot of IT organization to get new roles and profiles in order to be successful so that's a big transformation. All right thank you. Let's see is that if you could go you're on your slide 11 now if you could go back to if you're able to still drive those. The question about your slide nine is that we I know you'll be able to answer it without having the slide up but for everyone else's benefit. Is the backbone now illustrated as the as the green arrows in slide nine. Yeah I'm I'm I'm not sure about the number of the slides correspond to. That's the one yeah OK yeah it's funny enough say eight in the era but nine at the at the flight number yeah OK fine so the. So the question was is the green arrow is now the. Backbone. No that's the short answer. The green arrows are essentially the value streams so each green arrow controls one life cycle of the backbone so it could be at the conceptual level where it is. The what is the real digital product seen from a customer perspective it can be the requirement to deploy green arrow the integrate one that controls the release. It can be the deploy one that controls the desired service model into the actual service model and the operate which is the tech to correct which is around the actual service model. So number of arrows controls the various life cycles of the backbone. OK alright thank you. Let's see. Can you elaborate on the relations between I till for and it for it. Not in one minute. Well no I can I can I can say that. I till version four among other things start to introduce the concept of value stream thinking. Right and and so I wouldn't say they stole from us because we we innovated that. A long time ago in even I see for I see version one had that concept. Now the entire industry also safe is doing more on value stream mapping so we are also taking it to the next level. So we're kind of a generation ahead of the pack I would say but but there is an alignment there and absolutely you can you can implement a lot of the thinking in I till version four on top of the architecture because we are an architecture. They are framework right. They compliment each other they don't compete as such. Right OK great. Well last you've you've brought us in right on time. Great job and I'll leave the questions there there are some more I don't know if you'll get a chance to take a look in the in the Q&A link there there are a couple more questions that we didn't get to there but thank you for your time I do want to keep on time so that people can go to the break.