A Planet of Smarter Cities: Driving prosperity through instant insight and integration Tom Inman, VP Industry Strategy and Integration
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1 A Planet of Smarter Cities: Driving prosperity through instant insight and integration Tom Inman, VP Industry Strategy and Integration
2 Software Solutions Group Executive Summary Our Mission To define and develop a new category of solutions software, leveraging IBM s overall capabilities, to deliver an industry-oriented value proposition to line-of-business users...to make new markets. Create and lead new markets: Smarter Analytics, Smarter Commerce, Social Business, Smarter Cities, Watson Solutions Drive an aggressive clusterbased acquisition strategy in targeted areas that also adds the required industry and go-to-market skills needed to grow Delivering our capabilities in an industry context allows our clients to achieve quantifiable business outcomes % GR A C
3 Making New Markets and Reaching New Buyers We are applying information technology to new high-value segments Business Analytics & Optimization Smarter Commerce $76B (5.2% CAGR) SW $31B (14.7%) SW $235B (7.2%) Total $135B (13.2%)Total Social Business Smarter Cities Watson Solutions $47B (10.3%) SW $99B (10.1%) Total $16B (12.5%) SW $55B (12.6%) Total Multi-billion opportunity in Healthcare and Financial Services The opportunity is growing: Line of Business buyers want integrated solutions for their industry-specific challenges... via traditional, cloud, appliance and managed services options. Note: All opportunity figures represent 2015 opportunity based on GMV 1H12 and include served and non-served markets 3
4 Reaching New Buyers: Line of Business Clients Represent New Opportunity Reach LOB leaders with relevant messages and solutions Help IT leadership align capabilities to address business pain points more effectively LOB-IT Execution Model 65% of business leaders have plans to buy technology for their group without involving IT at all -Forrester 2011
5 Citizens are placing increasing demands on leaders Evolution of Value Citizens Demand Security Convenience Opportunity Prosperity Jobs, Education Lifestyle, Health Time Leaders Deliver Buildings, Roads Water, Energy For the first time in human history the majority of the world s population lives in urban areas. WorldBank.org 3 billion people half the world s population live in cities Almost 180,000 people move into cities each day Two-thirds of all people will live in cities by 2050
6 Aging infrastructures require city leaders actions Water Transport Energy Municipalities lose as much as 35% of their water through leaks. In France, traffic jams cost 1.5% PIB per year and 27% of CO2 emissions. A blackout in the Northeast of the US affected over 55 million people.
7 How IBM can help cities to become Smarter? Our world is more and more INSTRUMENTED Our world is more and more INTERCONNECTED Virtually, all systems can become more and more INTELLIGENT 7 IBM Intelligent Operations Center for Smarter Cities
8 Smarter Cities: Rethinking cities from the citizen s experience Government From the citizen s point of view, all city domains interact Security & Safety Transport & Mobility Energy Education Buildings Health Data analytics, prediction to improve real time decisions and collaboration cross city domains to the citizen s benefit 9
9 Smarter Energy & Utilities 75% of distributed electricity is spent in cities. 20% of the water distributed in cities is lost due to leakages or undetected failures. Enough electricity is lost annually around the world to power India, Germany and Canada for an entire year. Smart grids can save electricity and water and protect the planet, linking smart meters with instrumented power lines and plants. How our industry expertise can help? Smart multi-grid in Malta EcoGrid in Bornholm (Denmark) 9
10 Smarter Transportation Cities are stuck with traffic congestion. 59 metropolitan areas have populations above 5 millions. Every year, traffic congestion costs 100B. In France this cost is 6B and time lost is one million hours each year. Smart transportation systems can reduce congestion, shrink fuel use, cut CO2 and raise citizen s quality of life. How our industry expertise can help? Urban tolling: Stockholm, Sweden Free flow toll: Brisbane, Australia Traffic Prediction: Singapore, Dublin, Lyon 10
11 Smarter Security & Safety Citizen s ask for better security. City assets need better protection. We have a huge number of independent video surveillance systems : how do we manage the images volume, do we get the valuable information from them, and on time? Smart Video analysis technology can detect and alert the appropriate city organizations when something wrong is happening. IT can manage and consolidate the information collected and have systems interconnected to bring public better security. How our industry expertise can help? Videosurveillance NYPD, New York High resolution flood prediction: Rio de Janeiro.
12 Working harder is not sustainable Cities require innovative approaches
13 Rio de Janeiro: 6 Millions+ inhabitants, 1260 km² deaths by flash floods in homeless people 2014 : World soccer Cup 2016 : Summer Olympic Games
14 Innovative leadership in Rio de Janeiro transformed city operations Initial focus - prevent deaths from annual flooding Expanded to manage all emergency response situations Analyzes weather, energy, building, transportation, & water data in real-time Nationwide adoption in advance of Olympics and World Cup Increasing efficiency in resource deployment, expanding early warnings to 48 hours, and coordinating all agencies in response
15 In summary: Leaders must innovate across services to meet and exceed citizen expectations Government and Agency Administration Urban Planning Planning and Management Public Safety Planning and Management Environmental Infrastructure Human Social and Health Design and implement a city plan to realize full potential for citizens and businesses; while efficiently running daily operations Infrastructure Energy and Water Deliver efficient fundamental city services that make a city desirable for citizens Human Education Transportation Provide effective services that support the economic, social and health needs of citizens
16 Reaching beyond city hall to collaborate and integrate Other levels of Government Security Agencie s Businesses Planning and Management Developers Hospitals Human Infrastructure Citizen Groups Universities Not for Profits engaging citizens and businesses
17 IBM Intelligent Operations Center for Smarter Cities provides integrated insight Smarter Operations across departments and agencies Leverage information with real-time visibility of key data to drive better decisions Anticipate performance to identify, manage and mitigate incidents that impact operations Coordinate resources and processes to respond to situations rapidly and effectively within a particular service area area or or start within a particular service managing across many services manage across services
18 Intelligent Operations Center Collecting & analyzing data, while automating a collaborative response Events Incidents Incidents Events Events Events Incidents Data Leverage Information Insight Anticipate problems through analytics Events / Incidents Coordinate resources and response using actionable intelligence
19 Smarter Cities and Beyond One platform, many use cases Stadiums Fan Experience POS Optimization Physical Security Command Center Emergency Mgmt Non-Emergency Mgmt Traffic and Crowd Flow Revenue Management Organization-Wide Dashboards Geo spatial mapping Data modeling & integration Simulation & Visualization Cross-Department Collaboration Situational Awareness Domain Analytics Event & KPI Management Incident Management Consequence Management Alerts and Directives Events Incidents Incidents Events Events Incidents Events Public Safety Intelligence Analysis Video Surveillance Crime Information Predictive Policing Cyber Security Fusion Centers Border Security Communications Emergency Response Intelligence Analysis Terrorism Buildings/Energy Energy Use Optimization Carbon Management Greenhouse Gas Emissions Asset & Work Mgt. Portfolio Management Facility Maintenance Condition Monitoring Occupancy Management Utilization Planning Space Optimization Move Management Social Programs Water Work order optimization Usage Analytics Predictive Maintenance Leak Detection Flood Management Smart Metering Contamination Mgmt Water Security Storm water Mgmt Wastewater Mgmt Asset Management Transportation Data Integration Traffic Prediction Route optimization Bus Arrival Prediction Planning and Simulation Road User Charging Asset Management Integrated Fare Mgmt Multi-modal Mgmt Revenue Management Fleet Optimization Social Assistance Family Services Disability & Workers Comp Medical Assistance Self Service Health Care Reform Outcome Management Common Intake Child Care Child Welfare Employment Management
20 Leaders can get started in any aspect of the city they choose Deep Expertise Dynamic Systems Identify your priorities and maximize value Apply global best practices in your city Deploy technology regardless of your size Realize sustainable economic growth Powerful Solutions Advanced Research
21 We provide deployment choices that offer flexibility and agility On Premise: Shared Services: Cloud Delivery: Build on workload optimized platforms Work together across multiple cities Log on to your smarter city environment Leverage infrastructure readiness services Share services using preconfigured systems Customize interfaces, reports and data inputs It s about transforming the way we do business, so we can invest that money in front-line service delivery Inspired By Chief Superintendent Avon & Somerset Police
22 Real results are being achieved City of Dubuque real-time monitoring pilot achieves decrease in water consumption over 9-week period 6.6% Metropolitan Police (UK) utilized social network analysis to dismantle an organized crime group, making over 140 arrests with 70% conviction rate Singapore Land Transport Authority can forecast traffic conditions up to 60 minutes into the future to help prevent traffic congestion Rio de Janeiro, automated alerts of changes in flood and landslide forecast to reduce reaction times in emergencies Utah Department of Workforce services accommodates a 50% increase in caseload Analyzing data to perform proactive maintenance, DC Water & Sewer Authority achieves ROI of in 2 months 629% Las Vegas Metro Police turned to IBM for help in improving public safety through analyzing data to recognize patterns Patterns for Leveraging Information, Anticipating Problems, Coordinating Resources
23 Together we can build Smarter Cities Leaders want: Data turned into actionable information IBM delivers: Better insight and decision-making Leaders want: Solution roadmap that aligns to my needs IBM delivers: A comprehensive and proven portfolio Leaders want: Real world examples to leverage & extend IBM delivers: Global experience with city engagements Empowered leaders. Proven solutions. Real outcomes.
24 To provide sustainable economic growth and enhanced quality of life Leveraging information to make better decisions Anticipating problems to resolve them proactively Planning and Management Human Infrastructure Coordinating resources and processes to operate effectively Enables leaders to better serve citizens and businesses in a rapidly changing world
25 Working harder is not sustainable Cities require innovative approaches
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