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	Comments on: Modernisation and digital transformation behind enterprise application software growth	</title>
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	<description>iStart technology in business leading the way to smarter technology investment - A/NZ ERP, CRM, BI, HR, eCommerce software research, trends and buyer&#039;s guides.</description>
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				<title>
				By: John Blackham				</title>
				<link>https://istart.co.nz/nz-news-items/modernisation-and-digital-transformation-behind-enterprise-application-software-growth/#comment-12791</link>
		<dc:creator><![CDATA[John Blackham]]></dc:creator>
		<pubDate>Thu, 03 Sep 2015 22:59:15 +0000</pubDate>
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					<description><![CDATA[One thing I&#039;m surprised Gartner is not covering -  the Uber/Airbnb business model.  It&#039;s applicable in most industries and its customer sat / cost saving numbers make it obligatory  ...but current Enterprise Software cannot handle it for 2 reasons:

1.  The Uber/Airbnb business model is Activity centric - that is, IT provides automated connectivity of tasks between participants - rather than  what all ES are today - data-centric.  U/A systems are based on Activity (process) models rather than data models since data utilization is dictated by system-governed activity not users entering data as in current ES.

2 . The change cycle for current ES systems is too long. The disintermediation of U/A systems eliminates the layers of staff that are required to supervise and support an &#039;unconnected&#039; business.  The U/A model not only decimates operating costs but drops the cost of new entrants to the market. U/A company success is based on their ability to innovate - to offer better features to their demand &#038; supply customers - this means being able to introduce new system versions within days not months (What is the upgrade cycle time for SAP customers?).]]></description>
		<content:encoded><![CDATA[<p>One thing I&#8217;m surprised Gartner is not covering &#8211;  the Uber/Airbnb business model.  It&#8217;s applicable in most industries and its customer sat / cost saving numbers make it obligatory  &#8230;but current Enterprise Software cannot handle it for 2 reasons:</p>
<p>1.  The Uber/Airbnb business model is Activity centric &#8211; that is, IT provides automated connectivity of tasks between participants &#8211; rather than  what all ES are today &#8211; data-centric.  U/A systems are based on Activity (process) models rather than data models since data utilization is dictated by system-governed activity not users entering data as in current ES.</p>
<p>2 . The change cycle for current ES systems is too long. The disintermediation of U/A systems eliminates the layers of staff that are required to supervise and support an &#8216;unconnected&#8217; business.  The U/A model not only decimates operating costs but drops the cost of new entrants to the market. U/A company success is based on their ability to innovate &#8211; to offer better features to their demand &amp; supply customers &#8211; this means being able to introduce new system versions within days not months (What is the upgrade cycle time for SAP customers?).</p>
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