Mobile Strategy

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Mobile Strategy

• May 18, 2001

David BakerDiamondCluster International,
Inc david.baker_at_diamondcluster.com
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Its more than mobility its ubiquity
More than movement Ubiquity is not just about
movement of people and goods, but about
technology everywhere
and more than just people Ubiquity is not just
about communication between people, but also
between machines and devices
Workplace
Shopping
Dining
Home
Leisure
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Market leading firms focus on how ubiquitous
connectivity impacts along three dimensions

• Conversation
• Increases meaningful and situational customer
  interactions that are in context
• Helps reduce churn and improve retention

• Control
• Enhances materials inventory product control
• Reduces uncertainty where information replaces
  physical assets through managed information flow

• Capabilities
• Creates new products services that take
  advantage of all available resources
• Allows for new expanded capabilities to reduce
  costs and increase revenues

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Mobile access improves your control, allowing
cost reductions

• Enhances materials, inventory product control
• Such as tracking products from cradle to grave
  using a combination of wireless technologies
• Reduces uncertainty where information replaces
  physical assets through managed information flow
• Know where your assets are at all times
• Machine to man and machine to machine messaging
• Reduces monitoring costs, especially in remote
  locations

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McKesson attacks inventory control with wearable
wireless

• Problem
• 28M per year lost to inaccurate shipping,
  billing and bad inventory
• 2.5B in inventory across 31 distribution centers

• Solution Wireless Warehouse
• Wrist-worn mini-computer, bar code scanner ring,
  belt-mounted RF transmitter
• 1300 stock pickers
• Cost 52M

Advancing the Health of the Healthcare System

• Result
• 50 reduction in product shortages
• 99.5 inventory accuracy
• Cost Savings
• 2000 Inventory Loss .002 of revenue
• 2 annual increase in gross profit
• Annual savings of 28M

Sources Smart Business, Business 2.0,
McKesson.com, Symbol Technology
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Mobility opens up a new world of capabilities,
creating new ways to differentiate your product
or service

• Users Stationary Mobile
• Devices PCs Appliances
• Connectivity Sporadic Pervasive
• Information Simple Rich

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Progressive leverages mobility in the development
of new service offerings

• Industry leader in technology innovation
• 4 auto insurer, up two spots since it launched
  its digital strategy four years ago
• Revenue has grown 22 annually since 1996 vs. an
  industry average of 3.3
• First to bind policies and offer comparative
  quotes online

• that wants to integrate mobility into existing
  service offerings
• Allows the consumer to manage accounts and
  interact with the company remotely
• Integrated accident response with emergency
  repair services
• Result resolves claims 21 faster than the
  industry average

• to create a platform for differentiated service
  offerings
• First to field test metered insurance for fleet
  applications
• 25 reduction in premium costs
• Awarded two patents for usage based insurance
  system

Sources NY Times, Progressive
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Mobility increases opportunities for
conversations, allowing you to extract more value
from your existing customers

• Ubiquity creates an empowered customer base that
  has the ability to TALK BACK
• Imagine receiving complaints in real-time!
• Increases meaningful and situational customer
  interactions that are in context
• Helps reduce churn and improve retention

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Wells Fargo broadens customer interaction through
new technology including mobility

• Wells Fargo keeps customers within arms reach
• Mobile access nationwide via phone, PDA, or PC,
  requiring different interface configurations
• 11,000,000 customers can utilize services such as
  alerts, transaction confirmations, and ATM/branch
  locations nationwide
• Initial pilot satisfaction was 93 and 82 said
  they would recommend the service
• Building on sophisticated customer base and a
  history of innovation

Heres a company smart enough to build in spite
of the Temptation to run away from the hype. -
Future Banker, April 2001
Sources American Banker, Wellsfargo.com,
Business Week