{"id":999,"date":"2020-02-13T11:43:34","date_gmt":"2020-02-13T10:43:34","guid":{"rendered":"http:\/\/www.klaushaller.net\/?page_id=999"},"modified":"2020-02-19T17:16:14","modified_gmt":"2020-02-19T16:16:14","slug":"oracle-openworld-learning-2-how-the-cloud-impacts-the-software-customization-business","status":"publish","type":"page","link":"https:\/\/www.klaushaller.net\/?page_id=999","title":{"rendered":"Oracle Openworld Learning 2: How the Cloud impacts the Software Customization Business"},"content":{"rendered":"\n<p>The nice thing when attending a conference is that you get insights you did not look for. After rushing from London City airport to the London ExCeL exhibition center yesterday morning &#8211; around 15 minutes walking time &#8211; I made it to the second half of Stefan Schmitz\u2019s presentation \u201cOracle\u2019s Next Generation of Analytics Applications\u201d.<\/p>\n\n\n\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"762\" src=\"http:\/\/www.klaushaller.net\/wp-content\/uploads\/2020\/02\/openworld2-1-1024x762.jpg\" alt=\"\" class=\"wp-image-1001\" srcset=\"https:\/\/www.klaushaller.net\/wp-content\/uploads\/2020\/02\/openworld2-1-1024x762.jpg 1024w, https:\/\/www.klaushaller.net\/wp-content\/uploads\/2020\/02\/openworld2-1-300x223.jpg 300w, https:\/\/www.klaushaller.net\/wp-content\/uploads\/2020\/02\/openworld2-1-768x571.jpg 768w, https:\/\/www.klaushaller.net\/wp-content\/uploads\/2020\/02\/openworld2-1-1536x1142.jpg 1536w, https:\/\/www.klaushaller.net\/wp-content\/uploads\/2020\/02\/openworld2-1-624x464.jpg 624w, https:\/\/www.klaushaller.net\/wp-content\/uploads\/2020\/02\/openworld2-1.jpg 1639w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><figcaption>Oralce Openworld Swing<\/figcaption><\/figure>\n\n\n\n<p>The presentation\nwas about Oracle Fusion Analytics applications. To my surprise, my learnings relate\nless to technology or application know-how but in the change of business model when\nmoving away from on-prem standard software to cloud software and software as a\nservices (SaaS)<\/p>\n\n\n\n<p>On-prem\nstandard software means:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>you\nbuy a software package<\/li><li>you\nand\/or an integration partner customize the software to your company\u2019s needs<\/li><li>if\nthere are upgrades, you and\/or the integration partner reconfigure the software<\/li><\/ul>\n\n\n\n<p>It is an ecosystem.\nThe software vendor generates revenues from license fees and the integration\npartner from customization, maintenance, and consulting services. The more\ncustomization options, the more customers see their needs reflected \u2013 and the\nhigher the revenues generated by customization projects. However, moving to the\ncloud and to Software as a Service has strong impact on this relationship.<\/p>\n\n\n\n<p>If you are a\nsoftware vendor selling standard software, upgrade project costs and problems are\nsomething to look at, but if the customer customized too much, it is the\ncustomer\u2019s job to get the funding for upgrade projects and to deal with\ntechnical issues. In contrast, if you offer software as a service, upgrades are\nnow a major task for the SaaS provider. They have an incentive to be more\nrestrictive and to reduce the customization option to ensure smooth upgrades. And\nI became aware of this when Oracle explained how they deal with customization\nnow:<\/p>\n\n\n\n<p>They have a predefined schema (factory schema) and predefined KPIs. You cannot change anything. Certainly, you can define (separately) your own customer schema and add more data and evaluations for your context, but the Oracle and customer \u201careas\u201d are clearly kept separately. By the way, this is perfect to ensure that controllers and managers can differentiate costs for the SaaS solution itself and for company-specific customization.<\/p>\n\n\n\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"834\" src=\"http:\/\/www.klaushaller.net\/wp-content\/uploads\/2020\/02\/openworld_Stefan_Schmitz_Oracle_s_Next_Generation_of_Analytics_Applications-1024x834.jpg\" alt=\"\" class=\"wp-image-1002\" srcset=\"https:\/\/www.klaushaller.net\/wp-content\/uploads\/2020\/02\/openworld_Stefan_Schmitz_Oracle_s_Next_Generation_of_Analytics_Applications-1024x834.jpg 1024w, https:\/\/www.klaushaller.net\/wp-content\/uploads\/2020\/02\/openworld_Stefan_Schmitz_Oracle_s_Next_Generation_of_Analytics_Applications-300x244.jpg 300w, https:\/\/www.klaushaller.net\/wp-content\/uploads\/2020\/02\/openworld_Stefan_Schmitz_Oracle_s_Next_Generation_of_Analytics_Applications-768x626.jpg 768w, https:\/\/www.klaushaller.net\/wp-content\/uploads\/2020\/02\/openworld_Stefan_Schmitz_Oracle_s_Next_Generation_of_Analytics_Applications-1536x1252.jpg 1536w, https:\/\/www.klaushaller.net\/wp-content\/uploads\/2020\/02\/openworld_Stefan_Schmitz_Oracle_s_Next_Generation_of_Analytics_Applications-624x508.jpg 624w, https:\/\/www.klaushaller.net\/wp-content\/uploads\/2020\/02\/openworld_Stefan_Schmitz_Oracle_s_Next_Generation_of_Analytics_Applications.jpg 1566w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><figcaption>Stefan Schmitz from Oracle presenting about the distinction between the factory schema\/package and the customer schema.<\/figcaption><\/figure>\n\n\n\n<p>And, as a\nsmall add on, they mentioned that with all the data being in the cloud, they\ncan provide benchmarking. If everything is standardized, you can compare e.g.\nfinancial KPIs of your customers. You do not need a benchmarking company collecting\nand cleaning and analyzing data from various companies. For Oracle, it is a\nnice side effect, for the benchmarking and consulting companies, this is a\nstorm to come.<\/p>\n\n\n\n<p>While the conference will end in a few hours, there are still some more topics to write about the next days. Tomorrow, you will read some insights about client experience, marketing, and technologies \u2026 <\/p>\n\n\n\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"393\" src=\"http:\/\/www.klaushaller.net\/wp-content\/uploads\/2020\/02\/kha_ExCeL_London-1024x393.jpg\" alt=\"\" class=\"wp-image-1003\" srcset=\"https:\/\/www.klaushaller.net\/wp-content\/uploads\/2020\/02\/kha_ExCeL_London-1024x393.jpg 1024w, https:\/\/www.klaushaller.net\/wp-content\/uploads\/2020\/02\/kha_ExCeL_London-300x115.jpg 300w, https:\/\/www.klaushaller.net\/wp-content\/uploads\/2020\/02\/kha_ExCeL_London-768x295.jpg 768w, https:\/\/www.klaushaller.net\/wp-content\/uploads\/2020\/02\/kha_ExCeL_London-1536x589.jpg 1536w, https:\/\/www.klaushaller.net\/wp-content\/uploads\/2020\/02\/kha_ExCeL_London-2048x786.jpg 2048w, https:\/\/www.klaushaller.net\/wp-content\/uploads\/2020\/02\/kha_ExCeL_London-624x239.jpg 624w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><figcaption>ExCeL building in London<\/figcaption><\/figure>\n\n\n\n<p class=\"has-text-align-right\"><em>Published 13.2.2020<\/em><\/p>\n\n\n\n<p>All my Oracle Openworld London 2020 articles:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li><a href=\"http:\/\/www.klaushaller.net\/?page_id=995\">Oracle Openworld Learning 1: Moving your applications to the cloud and moving to a cloud application is something completely different<\/a><\/li><li>Oracle Openworld Learning 2: How the Cloud impacts the Software Customization Business<\/li><li><a href=\"http:\/\/www.klaushaller.net\/?page_id=1005\">Oracle Openworld Learning 3: The True Value of Chatbots<\/a><\/li><li><a href=\"http:\/\/www.klaushaller.net\/?page_id=1013\">Oracle Openworld Learning 4: The Oracle Database, ML, and Bitcoin \u2013 plus how Computer and Emotions come together<\/a><\/li><\/ul>\n","protected":false},"excerpt":{"rendered":"<p>The nice thing when attending a conference is that you get insights you did not look for. After rushing from London City airport to the London ExCeL exhibition center yesterday morning &#8211; around 15 minutes walking time &#8211; I made it to the second half of Stefan Schmitz\u2019s presentation \u201cOracle\u2019s Next Generation of Analytics Applications\u201d. [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"parent":887,"menu_order":0,"comment_status":"closed","ping_status":"closed","template":"","meta":{"footnotes":""},"class_list":["post-999","page","type-page","status-publish","hentry"],"_links":{"self":[{"href":"https:\/\/www.klaushaller.net\/index.php?rest_route=\/wp\/v2\/pages\/999","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.klaushaller.net\/index.php?rest_route=\/wp\/v2\/pages"}],"about":[{"href":"https:\/\/www.klaushaller.net\/index.php?rest_route=\/wp\/v2\/types\/page"}],"author":[{"embeddable":true,"href":"https:\/\/www.klaushaller.net\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.klaushaller.net\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=999"}],"version-history":[{"count":2,"href":"https:\/\/www.klaushaller.net\/index.php?rest_route=\/wp\/v2\/pages\/999\/revisions"}],"predecessor-version":[{"id":1022,"href":"https:\/\/www.klaushaller.net\/index.php?rest_route=\/wp\/v2\/pages\/999\/revisions\/1022"}],"up":[{"embeddable":true,"href":"https:\/\/www.klaushaller.net\/index.php?rest_route=\/wp\/v2\/pages\/887"}],"wp:attachment":[{"href":"https:\/\/www.klaushaller.net\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=999"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}