Is It Prime Time For Agents In Business? Navi Radjou Vice President Forrester Research

2 Yes! Is There A Business Need For Agents?

3 Trading networks risk collapsing under the disruptive influence of new business drivers  Accelerated global outsourcing  Ever-shrinking product lifecycles  Fickle demand MORE UNCERTAINTY, VOLATILITY

4 Go beyond efficiency to flexibility Competitive advantage

5 Today’s enterprise software makes us information-rich – but insight-poor!

6 Today’s enterprise software suffers from its centralized architecture Only fit “Command & Control” organizations “Smart” Hub -- “Dumb” Spokes OEM’s Planning Department Supplier Contractor 3PL Customer

7 Today’s enterprise software ignores the “physical world” Internet computers Internet users Millions 1 billion Shop-floor equipment Trucks and cargo ships Containers and Pallets 000,000s Millions Billions

8 To gain flexibility, firms need sense-and- respond software that facilitates continuous learning Use feedback loops to reiterate process transformation and reshuffle coping strategies portfolio Determine and implement appropriate steps to mitigate risk or seize opportunity Collect and analyze data on key leading indicators to assess emerging risks and opportunities Continuous Adaptation

9 One answer? Agent Software  To mine petabytes of data for insights  To assist with decision-making  To coordinate multi-firm processes  To improve learning

10 Agents Will Become Ubiquitous: But Who Cares?  Agent-based BPM tools  Predictive CRM software  Adaptive supply chain apps  Shop-floor automation tools

11 Businesses Will Embrace Agent Technology In Stages – To Tweak Their Processes Traditional business processes Agent- monitored Agent-managed Agent-optimized Use agents to sense and interpret environmental data Use agents to coordinate activities with trading partners Use agents to automate decisions and run mission- critical operations Decentralized decision-making Centralized decision-making Low-exposure To variability High-exposure To variability

12 Agent-Based Technology Evolution

13 Navi Radjou / Thank you