Shifts Transforming the Office Document Technology Industry

1. Shifts Transforming the Office Document Technology Industry Randy Dazo, Senior Director Solutions & Services

2. Worldwide industry analyst firm focused on the consumer imaging, office document technology and production printing and publishing industries. UK Boston Tokyo Focused Credible Responsive Visionary

3. Transformation – (tran(t)s-fər-ˈmā-shən) the act of change of composition or structure

4. MEGA Disruptive Forces ECONOMY

5. North America Employment

6. Canada GDP

7. MEGA Disruptive Forces EVOLUTION OF TECHNOLOGY ECONOMY

8. Rapid Development/Usage/Evolution of Technology • Rapid development of technology vs. the rapid reduction of prices vs. the adoption rate • 3 Inhibitors/ Accelerators to Technology Growth & Adoption • Processing Power – Moore’s Law • Storage and Media • Bandwidth - Broad- band and Mobile Network expansion

9. Storage Prices http://mozy.com/blog/misc/how-much-is-a-petabyte/ March 2013 $0.05

10. Perspectives • 1 Megabyte: One small novel OR one 3.5 inch floppy disk • 5 Megabytes: The complete works of Shakespeare OR 30 seconds of TV-quality video • 1 Gigabyte: A pickup truck filled with paper OR A symphony in high-fidelity sound OR A movie at TV quality • 2 Gigabytes: 20 meters of shelved books OR A stack of 9-track tapes • 20 Gigabytes: A good collection of the works of Beethoven • 1 Terabyte: All the X-ray films in a large technological hospital OR 50,000 trees made into paper and printed

11. Perspectives • 2 Terabytes: An academic research library • 10 Terabytes: The printed collection of the US Library of Congress • 1 Petabyte: 3 years of Earth Observing System satellite data (2001) • 2 Petabytes: All US academic research libraries • 20 Petabytes: The amount of data processed by Google…per day • 200 Petabytes: All printed material!!!!! • 5 Exabytes: All words ever spoken by human beings • …and then there are the Zettabyte and the Yottabyte….???

12. Allowed for the Adoption of These….. DISRUPTION Processing Storage Bandwidth NEW MEDIA INTERNET CLOUD MOBILE

13. MEGA Disruptive Forces EVOLUTION OF TECHNOLOGY ECONOMY ME

14. Canada Population Trends as of 2010 Were born during the age of the internet Were born during the age of the SmartPhone Worked during the age of the Internet Source: US Bureau of Census

15. Moving At The Speed of ME - It is ALL about ME

16. Me Generation - Gap??? Jeff Weiner Linkedin Mark Zuckerberg Facebook Andrew Mason Groupon Aaron Levi box.net Steven Chen, Chad Harley and Jawed Karim YouTube Drew Houston Dropbox Jason Fried/Hanson Basecamp

17. MEGA Disruptive Forces EVOLUTION OF TECHNOLOGY ECONOMY NEW ERA OF COMMUNICATIONS AND COMPUTING ME

18. Transformation Affecting Our Industries External Security Threats PC/MFP On/Off Ramp Personal Computer Baby Boomer PC Software Server Based Solutions Transactional Document Management Outsourced/Managed Services Business Process Solutions Mobile On/Off Ramp Post PC Revolution Internal Threats to the Cloud Gen X, Y, Z Apps

19. Begin to Transform From this Old World To this New World

20. Bridging the Paper World to this New World MANAGED PRINT SERVICES BUSINESS PROCESS AUTO-MATION CLOUD MOBILE

21. MPS Segments Enhanced Engagements HW Print Management Engagements Supplies-Break Fix Engagements Supplies Break Fix Services – Managed Print Services that are mostly driven with a Supplies contract. These services may include break fix services as an option or include them as part of the contract. Concept - Move customers away from transactional purchase to a Managed Contract Purchase. Print Management Services – Managed Print Services that are driven with a total print management approach. This includes Supplies, Hardware, Break fix Services. These services include continuous optimization of the output environment. Concept – Manage and optimize the entire fleet of output devices under contract. Workflow/Managed Document/Security Services – Managed Print Services that are driven with a Managed Services approach and also includes advanced solutions such as workflow , document management or security services as part of the MPS engagement. This includes Supplies, Hardware, Break fix Services and Solutions. Concept – Manage and optimize the entire fleet of output devices and improve business processes under contract.

22. North America MPS Forecast 2010 – 2015 – Supplies Only 8% CAGR

23. North America MPS Forecast 2010 – 2015 – Hardware Print Management 10% CAGR

24. North America MPS Forecast 2010 – 2015 – Enhanced 16% CAGR

25. Bridging the Paper World to this New World MANAGED PRINT SERVICES BUSINESS PROCESS AUTO-MATION

26. IDENTIFY – And map key business processes in the paper intensive Legal, Financial Services, Healthcare and Education industries. UNDERSTAND – Adoption rates or barriers for specific automated business processes in these markets in order to capture opportunities or address obstacles PROMOTE – Time savings, monetary, compliance and or auditability benefits utilizing these solutions based on research results.

27. Identifying Business Process Automation Opportunities Business Process Automation Opportunities How often this process is done How much time this process takes How automated this process is High Decide(process) ProcessComplexity Capture(pull) Inform (push) Low Internal External Consumers Businesses Workgroup Departments High Process Control Low

28. Life/Medical Insurance Basic New Customer On Boarding Process 4 Information Collection and Review 1 Criteria/Product Selection Insurance Medical Professional Client captive Agent/ Broker Client captive Agent/ Broker Customer Onboarding 2 Underwriter Primary Care Phy. Processing Client captive Agent/ Broker 5 Acceptance Decline 3 Life/Med Application (Acceptance) Insurance HQ Insurance HQ Insurance HQ Client captive Agent/ Broker (Policy Sent) Processing Insurance HQ (Declined)

29. Q36: How would you rate the importance for each of the following goals and objectives? N = 53 Respondents that are insurance agents

30. Q13: For the most part, what is used for the following types of new policies? N = VariesBase: Respondents that are insurance agents

31. Q14: For those that use paper applications, what do you do to get them to the processing center? N = 46 Respondents that are insurance agents that use paper based applications

32. Business Process Automation Key Summaries Business Process Automation Opportunities • 4 out of the 5 verticals “Key Objectives” were overwhelmingly related to Compliance & Regulations and Privacy of Data • Companies that have adopted automation solutions saw improvements that revolved around improving compliance and the security of confidential information as well as improving and streamlining of processes or communication • Many of these companies improved their compliance initiatives by more than 50% • Tying together Automation Opportunities to Compliance/Privacy Objectives may be a key strategy to securing these solutions • In addition they DO improve workflow processes High Decide(process) ProcessComplexity Capture(pull) Inform (push) Low Internal External Consumers Businesses Workgroup Departments High Process Control Low

33. Business Process Automation Key Summaries Business Process Automation Opportunities • The existence of paper within a business process is typically a road block and slows the process down • The existence of paper within a business process can compromises privacy, compliance and security initiatives within organizations • Eliminate Paper OR Shorten the LifeCycle of Paper • Mobile initiatives are just starting in many of these industries and are potential for disruption - Mobile forms/capture and mobile eSignatures are large potential large growth areas for BPA that eliminate paper • Mobile BPA solutions that eliminate paper entirely from these business processes • Introducing Capture (distributed) early in the process, then destroying paper can shorten the paper LifeCycle High Decide(process) ProcessComplexity Capture(pull) Inform (push) Low Internal External Consumers Businesses Workgroup Departments High Process Control Low

34. Bridging the Paper World to this New World MANAGED PRINT SERVICES BUSINESS PROCESS AUTO-MATION CLOUD

35. IT Evolution source: smart-future.org

36. ….that print mimics… Mega Decentralized MFD Environment Decentralized Print – Distribute and Print Centralized Print source: smart-future.org

37. The Cloud Connects People with Processes IT Outsourcer Agency HRO

38. Bridging the Paper World to this New World MANAGED PRINT SERVICES BUSINESS PROCESS AUTO-MATION CLOUD MOBILE

39. Workgroup Mobile Solutions

40. Mobile Output Printing Categories Mobile Enterprise Printing - Closed Mobile Cloud - Open Mobile Pull Printing WiFi/IP Printing

41. Mobile Capture/Conversion Conversion Solutions/Services For Mobile Devices Mobile Image/ Data Capture/OCR Mobile eForms Capture ofDigital Signatures Scan to Mobile Device (Remote Control Scanning) Scan to Cloud Repositories

42. eForms

43. eSignatures

44. Mobile Cloud Document Management Solutions Cloud Repositories Mobile Cloud Creation Cloud Collaboration Social Document Management

45. Mobile Device Management Companies General MDM Solutions Mobile Security MDM Usage Tacking

46. The Solutions Framework Info/ Analytics Mobile/Social Analytics Content Data Analytics Printing Analytics Ent. Horizontal Enterprise Software Vertical Enterprise Software Cloud, ECM, EDM Software Workflow BPA IDR/Data Classification Multi- Channel Input Mobile Input/Capture Electronic Input Paper Input Capture IT DM Services MFP DM Services Mobile DM Services Device M. Multifunction Devices, Single Function Scanners, Mobile, IT

47. Summary Transformation in IT “IS” happing and we have to embrace the changes and start building bridges in order to remain relevant and survive Managed Print Services is a bridge and a pathway to Enhanced Services  Business Process Transformation Business Process Automation can help with compliance initiatives in addition to creating efficiencies for workflows and business processes Cloud and Mobility will play a critical role in the future, in addition to traditional solutions Business Process Transformation – Managed (Print, IT, Cloud, Mobile) Services

48. ? ? ? Any Questions?

49. randy_dazo@infotrends.com