Platform Product Management
Platform Product Management
The Platform
How • How to define and build the Platform
• Case studies – Examples of Platform
• Platform Product Management
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Evolution of the “As-a-Service” business model
As a service offering -
Relationship based, subscription
sales based on consumption leading
to recurring revenues
Rewarding loyalty
Transaction based one-off unit sales
Throwing in service as an add-on
to increase unit sales
Transaction based one-off sales
Pure Product
Transaction based one-off unit sales
As-a-Service business model allows the buyers and suppliers transact based on outcomes. In
other words, “outcome” is the product 3
Evolution of As-a-Service business models - Examples
Consumer Tech Industrial Tech Software products Agri-Equipment Manufacturer Automobile Manufacturer
Product (Drills): Industrial Product (Drills): Graphics Product (Drills): Product (Drills): Cars
Product (Drills): Phones
Equipment software Harvester Customer needs (Holes):
Customer needs (Holes):
Customer needs (Holes): Customer needs (Holes): Customer needs (Holes): Personal transportation
Holes: Entertainment
Maintenance free equipment Creating designs Harvesting fields
As a service revenue, The Predix platform Made the shift to subscription Launched a new business Launched a subscription
11.46bn USD, is about connects about $1 trillion model in 2013 and about $5bn division, “Escorts Crop model for select models
20% of overall revenues, worth of assets to gather (>60%) is from recurring Solutions”, which offers from 1 year up to 4 years
growing at 40% data for predictive revenues. Offers pre-packaged Farming as a Service
maintenance templates for different user
personas with cloud storage
The shift towards As-a-Service model with recurring revenue is applicable to all industries 4
What is driving the As-a-Service business model
Demand side drivers Supply side drivers
• Ownership v/s access/rent • Recurring revenues
• Scalability and flexibility in payments • Cross sell and upsell
• Personalization and co-creation • New customer acquisition through lower upfront cost
Legal framework
Data privacy and security, Technology adoption
Accounting standards Cloud, IoT, Mobility, IaaS
As-a-Service Business Model benefits both sides of the business – supplier and buyer 5
Various types of As-a-Service models – Introducing BPaaS
As-a- Outcome
Service
Platform Value of apps built
Your text comes here Business Business KPIs – Days Sales Outstanding,
Process Early Payment Discounts availed, etc.
BPaaS
BPaaS: Business objectives delivered
through automated business processes on a
SaaS
subscription basis, priced based on
consumption, leveraging SaaS, IaaS and
PaaS other XaaS platforms
IaaS
BPaaS is the As-a-Service Business Model where the outcome is the business KPIs of the enterprise 6
How is BPaaS different from other as a service models?
BPaaS is the As-a-Service Business Model where the payment is based on a business outcome – not
a perpetual license nor a subscription model 7
How to transition to new as a service business models? - Introducing the Platform
The Platform is the technology foundation that helps enterprises transform their
operating models to support business models to serve constantly evolving
customers’ needs
Platform keeps the operating model in synch with the business model and the customer needs
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Case studies – Wipro DeltaVerge
How Wipro BaseNXT platform helped an Indian Agriculture Manufacturer launch “Farming as a Service” and Wipro Consumer Care business
transform its order to Cash process
BaseNXT Platform
Helped the Indian Agri Equipment Manufacturer to launch Farming as a Service in 4 states
within 4 months and reduced the order cycle by 15 days for Wipro Consumer Care 9
Farming as a Service – Paddy Farming Process
Process Step: Services offered
Process Step: Planting+ Process Step: Process Step: Process by Escorts
Land Transplantation Weeding Harvesting Step:
Preparation Baling
Equipment: Process Step: Equipment: Equipment: Equipment:
Equipment: Process Step: Process Step: Process Step:
Rotovators Water Power Weeder Harvester Baler
Nursery Drying Storage Milling
Management
T0 T0 + 20 days T0 + 60 days T0 + 120 days T0 + 120 days T0 + 150 days T0 + 150 days T0 + 180 days T0+180 days T0 + 180 days
Crop calendar
Each region will have its own crop calendar based on the availability of water.
Farming as Service – Market Structure and Information Flow
Machine Owners
Level 1 Agents
Level 2 Agents
Multi-layered structure with services consumed by the farmers and commissions exchanged with intermediaries
Farming as a Service – Market Participants and Challenges
Machine owners
Difficult to reach and engage with farmers
Agents
Lack of visibility about the availability of equipment
Farmers
Low farm mechanization levels – no end to end solution for all farming activities
DEMAND (Market Places – Amazon, Big Basket, Nyka, etc., and Distributors) SUPPLY (Wipro Consumer Care)
Order DEMAND
T0
Integrated Demand & Supply Platform for Collaboration, Visibility backed by Analytics 13
Case study – Thomson Reuters
How Thomson Reuters transformed its content operations with a platform
Data suppliers Revenue Earning Products
Company data Thomson One for IB
Financials, Shareholding, Analytics, Workflow
Estimates, Research, etc. products for junior bankers
and relationship
management for senior
bankers
Fixed Income Data Datasteam
Treasury bonds, Municipal Analytics product for
bonds, Corporate bonds, economists and researchers
OTC bonds, etc.
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Platform product management – key tenets
Empower a variety Build the core and
of User personas partner for non-core
Unlike application product Build the service that define
managers, application the business and integrate
developers and partner APIs for the non-core
professional services teams services
Platform product manager needs to have special skills to maintain the equilibrium of the
platform in light of perennially conflicting and competing priorities 15
Riding the “As-a-Service” economy wave - Platform Product Management - Agenda
The Platform
How • How to define and build the Platform
• Case studies – Examples of Platform
• Platform Product Management
16
Building the platform – The Platform Definition Process
Review the current Rationalize the Identify and define the Define the infrastructure
processes in an processes, define the to- micro-services required requirements to support
enterprise be process to achieve the to support the domain the expected
business goals model performance levels
Identify all the user Abstract the interactions Identify core micro-
personas that participate and the data used in the services and non core
in the selected process, process to define the and partner with 3rd Extend/replicate the
identify the “jobs to be core domain model for party providers/apps for micro-services for
done” . the selected process. non-core services partners on the network
Creating the domain model, identification of micro services and planning for scale is the key 17
Building the platform – The Structure of the Platform
Building the platform Network Services
Solutions that connect the participants in
the network and orchestrate the processes
Industry Solutions
Solutions that solve a problem specific to a
domain
Core IT Services
Includes ERPs and other systems of
record, multi-tenancy, Infrastructure
services, etc.
Key to successful platform definition is to segregate core and application specific services and
pre-configured packages to shorten the sales and delivery cycles 18
Building the platform – The market place for all the services
Value delivery Network Management
Core/common services Industry agnostic solutions
Authentication Accounts Receivables Industry solutions
Input and output channel integration Collections and Aging
Process template library Dispute and deductions Telecom:
SLA Management Cash application Voucher management
Audit and compliance Accounts payables Partnership
Scheduling
Invoice processing
Contextual analytics
Vendor helpdesk Retail
Anomaly detection
Case management Master data management Beat management
Process definition Record to Report: Performance management
Process versioning Period end closing
Shared ledger Fixed asset accounting
Analytics and reporting Regulatory reporting and compliance Network solutions
Usage tracking Requisition-to-PO
Billing and payments Product catalogue Partner on-boarding
Search Budget control Portals
Order Management Invitation and authentication
Order validation KYC
Partner APIs Product information management Terms of trade
Territory management Trade and payment terms
Google Maps
Kubernetes
Terms of Trade Credit allocation
RPA Inventory management API/Integration
OCR Stock capture Push and pull transaction data
System integration Safety stock calculation, Auto-replenishment Master data updates
Common Platform Services |Industry Agnostic Solutions |Industry Solutions | Network Solutions 19
Wipro BaseNXT – The digital process transformation platform
Transform the operating model with a platform to support the business model
Define the Platform as a set of configurable services to enable launching of multiple business processes as
a service on the same platform
Define the monetization strategy for platform, aligned with the customer needs
Platform product Management is about aligning with and achieving customer goals and it is not about
managing a suite of technologies
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Appendix
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How is the business model going to change
Before After
In the short term, revenues will be hit in the short term and costs will be high due to investments in
technology and business processes
In the long term, revenues and benefits more than compensate for the short term dip in revenues
Network System of
Partner Partner Partner on- Contract
Services Discovery invitation
Partner KYC
boarding Management
record
integration
P1 : CDG Retail
P2 : Agricultural
services
…. Package N
Industry
Solutions
Product
Type(s) &
Product
Business
Document
Templates
Canned Roles
& Actions
Template
DV PLATFORM DV Business
Product Product Party Master DV Product Territory
Document Tax Types
Classification Master List List Template Hierarchy
MASTER DATA Template
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Platform Product Management – Defining the Platform stack
BPaaS Solutions
Common Build
and Delivery
Tooling
Multi-Tenant Common Common
Multi-Tenant Eventing & Command &
Insight & Analytics
Transaction Data Software Defined
Data Space PaaS Messaging Query
Space Management
Management Infrastructure Framework Framework