What’s next for Industry - YouTube

(upbeat music)

Welcome and thank you for joining us today.

Over the past year,

we have witnessed a second wave of digital transformation

sweeping every company and every industry.

This is driving real structural change,

change that will outlast the pandemic.

These shifts are affecting different companies

and industries in different ways,

but digital technology has universally become key

to business resilience and transformation.

Today, we are going to share

what's next for our approach to industry

and the four principles that underlie it.

But first, let's talk about these changes

that are transforming every industry today.

In retail, offline merchants

are embracing new business models

like contactless shopping and curbside pickup,

while e-commerce has accelerated multiple years.

In healthcare,

telehealth is now the expectation for outpatient visits

and providers are turning to new capabilities

like AI-assisted bots

to ensure patients get trusted and accurate information

whenever and wherever they need it.

In manufacturing, companies in every category,

from discreet in automotive to agrochemicals and energy

are moving to automate anywhere

and simulate anything with digital twins

as they work towards a future of lights out manufacturing.

In financial services,

people are putting aside their physical wallets

in favor of digital ones,

and banks are harnessing the power of data and AI

to manage risk.

And non-profits are aggregating internal and external data

to better understand and respond to

and anticipate community needs.

Across all these sectors, it's no longer sufficient

for organizations to just adopt technology.

They need to build their own technology to compete and grow.

This means investing in people

and their capacity to create new solutions

to meet the challenges of a rapidly changing economy.

And it requires both trust in the technology they use,

and trust in the business model alignment.

We call this dynamic tech intensity.

It's never been more important to get it right.

The digital investments companies make today

will define the growth and performance over the next decade.

Over the past year,

we've worked closely with leaders in every industry

to help them navigate the crisis,

equipping them with technology and tools

to accelerate that transformation.

Our deep commitment to industry is not new,

but it's taken on a new urgency,

and we are committed to helping every organization

use technology to improve time to value,

increase agility, and reduce costs.

Let me share three quick examples.

Novartis is using AI to make it easier and cheaper

to discover, develop, and deliver new medicines.

It typically takes 10 years and more than $2 billion

to develop and bring to market a new prescription drug.

Now, Novartis is empowering its associates with AI tools

at each step of the drug development process

so that they can identify the insights

hidden in the vast amounts of data

in a quest to improve their time to value.

In financial services,

BlackRock is migrating Aladdin,

their portfolio management platform, to the cloud,

to accelerate innovation and enhance the experience

for its broad and diverse client base.

During the early days of the pandemic,

the number of transactions on Aladdin

increased by an order of magnitude

as customers rebalanced and derisked their portfolios.

And using the cloud,

BlackRock was able to quickly scale

in a highly controlled and transparent way

increasing its agility.

And in manufacturing,

Johnson Controls is using digital twins

to transform how buildings and spaces

are designed, built, and managed.

For example, digital twins enable building managers

to support COVID-19 safety protocols,

including maximum occupancy guidelines.

And they're able to better monitor and optimize systems

and ultimately reduce costs.

All three of these businesses

have used our platforms and tools

to build tech intensity and overcome big challenges.

Today, we wanna share what's next

and how we are working to ensure

every organization in every industry

has the tech intensity required to succeed going forward.

There are four key principles that guide our approach.

First, trust in business model alignment.

No customer wants to be dependent on a provider

that sells them technology on one end

and competes with them on the other.

Microsoft will always be a trusted advisor,

a co-innovator, and a partner.

Second, customer data belongs to our customers, not to us.

We work with organizations to help them harness the data

to build the predictive and analytical power required

for their own competitive advantage.

Third, we recognize every industry is unique.

Our aim is to deliver solutions

tailored to their specific needs.

We listen deeply to our customers

and employ experts who bring industry perspective

to all stages of our product development

as well as our customer engagement.

We have former infantry platoon leaders

and former national security council staffers

working on our government and defense business.

We have mechanical engineers

helping us understand what is needed

to optimize machines and streamlined supply chains.

We have doctors and nurses

sharing clinical requirements with us,

bankers shaping our financial services solutions,

and former retail and media leaders

informing our approaches to those industries.

Finally, our offerings can be customized

by an unmatched global ecosystem

of hundreds of thousands of trusted partners.

We work with leading ISVs and system integrators

so our customers have complete solutions

they need to address their unique business challenges.

Today we are sharing how

we are expanding our industry investments

now and into the future.

We've been delivering a cloud design

specifically for the US government since 2014,

and in the past year, we introduced new cloud offerings

purpose-built for retail and healthcare.

Today we are building on this industry-first focus

announcing new clouds for manufacturing,

financial services, and non-profits.

Each offering is designed to work as one seamless solution

and to enable cross-industry workflows.

For example, retailers and manufacturers

can work across clouds

to manage inventory and production in real time

from shelf to warehouse to factory.

Our comprehensive modern tech stack

along with our partner ecosystem

allows us to deliver

this breakthrough value to organizations.

These new industry clouds bring together

the breadth of our offerings

across Azure, Power Platform, Microsoft 365 and Teams,

Dynamics 365 and Microsoft Security

and are underpinned by a common data model.

We've also added new capabilities,

customizations and standards unique to each industry.

For example, in retail,

our cloud connects physical and digital experiences

to better serve customers

in new and more personalized ways,

getting them to the goods they want

where, when, and how they want them.

In manufacturing,

our cloud ensures the safety of frontline workers

and creates more resilient

and agile factories and supply chains

so companies can rapidly respond to changes in demand.

In financial services,

institutions can modernize core banking services

like payments, manage risk throughout the organization,

and create new innovative financial service models.

And non-profits, too often underserved,

will be able to optimize common workflows

so that they can focus on the work that matters the most,

achieving their mission.

Our industry clouds

are designed to be modular and extensible

so organizations can start with what they need today

and adapt as they grow.

They also create opportunities for our partners

to build new revenue stream across the value chain.

Our industry clouds will enable businesses

to make faster and more intelligent decisions,

ultimately providing better experiences

for their customers and employees.

And they will help organizations improve time to value,

lower costs, and increase agility.

I look forward to seeing how customers in every industry

use these capabilities

to transform their organization and expand their impact.

With that, let me hand it over to Alysa Taylor

who leads our industry business to share more.

Thank you all very much.

- Thank you, Satya.

As we've all seen over the past year,

organizations in every industry

are grappling with one simple fact,

they must adapt quickly to a completely new reality

and that new reality for every industry is different.

Therefore, customers have told us

that the cloud services we offer

must be tailored to the needs and challenges

of their specific industry.

And that's why we're here today

to talk about the vertical offerings we've invested in

to accelerate our customer's time to value.

We are so proud to announce

three new industry specific offerings:

the Microsoft Cloud for Financial Services,

the Microsoft Cloud for Manufacturing,

and the Microsoft Cloud for Nonprofit.

These cloud offerings

join the Microsoft Cloud for Healthcare

released to general availability in October of 2020

and the Microsoft Cloud for Retail

that was announced in January

and is currently in private preview.

Each of these offerings are designed to work as one,

bringing together the breadth of our solutions

along with new capabilities, customizations,

and standards tailored specifically for each industry.

So building off all of this,

let's go a bit deeper on each one of these industry clouds

and what today's announcements mean for our customers

and our partners broadly.

We're here in Microsoft's Industry Experience Center

to show you how we can bring industry solutions to life.

And while the facility is currently closed

to in-person visitors,

you can connect with us virtually

to see these demos and more in action.

We can't wait until we can see you here in person.

Let's start with financial services.

We are incredibly excited to announce the Microsoft Cloud

for Financial Services,

which empowers financial institutions

to accelerate innovation for sustainable growth

while meeting the strict compliance requirements

of this highly regulated industry.

Before 2020, one of the biggest challenges

financial institutions faced was meeting customers'

always open expectations.

The global lockdown turned that desire

into a requirement almost overnight.

In a post-pandemic world,

customers will still expect financial services

at their fingertips 24 hours a day

with the same level of security as a physical vault.

The Microsoft Cloud for Financial Services

enables financial services institutions

to modernize core banking services

like payments, manage risks across the organization,

enable new and differentiated services,

and create a greener financial services model overall.

An example of this is how lenders

will be able to use the loan manager capability

to speed the time to close loans

by removing blockers and streamlining workflows

through automation and collaboration.

The public preview of the Microsoft Cloud

for Financial Services will be available in March

and already customers like ABN AMRO are leveraging services

that comprise the cloud

to adapt to the ever-changing world of financial services.

Let's move to manufacturing.

For years, manufacturers have been moving

into an era of data-driven automation, IOT,

machine learning and artificial intelligence.

In 2020, we learned just how critical those capabilities are

for manufacturers and suppliers alike.

Even the most sophisticated just-in-time supply chains

weren't ready for the sudden increase in global demand.

With the Microsoft Cloud for Manufacturing

launching and public preview in June,

we will enable manufacturers to re-imagine their operations

to build more agile factories

and more resilient supply chains.

While some manufacturers may be adopting cloud technology

by necessity,

they're quickly gaining confidence in its benefits.

Let me give you an example.

The UK ventilator challenge.

This project brought together

more than 30 of the United Kingdom's largest companies

with cutting-edge technology to increase peak output

from 50 ventilators per week to 1,500 per week.

That's 20 years of normal production in just 12 weeks.

Nonprofit organizations have been critical

in the global response to COVID-19

but many are facing a patchwork

of disparate systems and pockets of data

from across their organization that hamper their ability

to serve their communities and their donors.

The Microsoft Cloud for Nonprofit

launching in public preview in June

creates a connected, intelligent platform

so staff and volunteers

can focus on the work that matters most, their mission.

Take a scenario like fundraising,

which is critical to every nonprofit on the planet,

with a Microsoft Cloud for Nonprofit,

these organizations can create a comprehensive view

of constituents and automate manual tasks

for more efficient and effective fundraising.

This allows donors to know exactly how their donations

are making an impact.

Right to Play is a global NGO dedicated to protecting,

educating and empowering children,

to rise above adversity using the power of play.

With the capabilities of the Microsoft Cloud for Nonprofit,

the organization has scaled from 100

to more than 3,000 new monthly donors,

deepening engagements and building better programs

to serve more than two million children around the world

every week.

In May, 2020,

we announced the Microsoft Cloud for Healthcare,

even as the pandemic continued to test the capabilities

of healthcare organizations around the world.

With the explosion of virtual care appointments

and the cloud adoption required to support them,

data generation will continue to skyrocket

in the healthcare industry.

Healthcare organizations need a way to manage, secure,

and responsibly use that data to help patients, providers

and payers, and to make the system more resilient

against any challenges ahead.

The Microsoft Cloud for Healthcare

was made generally available in October, 2020

and customers like Providence

and Mary Washington Health System

are already seeing the impact it can have

on the healthcare system.

Mary Washington is deploying a solution

that connects providers with patients who have canceled

or deferred elective procedures,

reaching those patients digitally

and helping them take control of their care.

Today, we're excited to announce the first set of updates

to this cloud offering available in April.

This will include seven new features

as well as support for eight new languages

in addition to English.

Let's close with the Microsoft Cloud for Retail,

which we announced at the National Retail Federation

earlier this year.

This cloud offering is so important

because retail has fundamentally changed forever.

The shift to e-commerce happened almost overnight

with retailers seeing years of e-commerce growth

in just a few months.

That results in an explosion

of customer data and more money than ever

being spent online.

Customers are increasingly choosing

contactless payment options or curbside pickup,

and retailers must meet those demands.

The Microsoft Cloud for Retail is uniquely designed

to connect physical and digital experiences

to serve customers in new ways

and help retailers more deeply understand their business.

With capabilities like multi-channel fulfillment,

retailers can streamline shipping options,

deliver efficient curbside pickup,

manage time slots and orders,

and simplify payment processing.

We are already seeing interest

from retail organizations, large and small.

And in March,

we will launch the public preview of this cloud offering.

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The innovation I've highlighted

is just the beginning of our journey

to build industry-specific digital capabilities

that are mission critical for every organization

to adapt to a constantly changing new reality.

And this is core to our mission

to empower people to achieve more.

Every organization in every industry

relies on the hard work and ingenuity of individuals

to achieve its goals.

With our industry-first approach,

we are putting specific solutions

in the hands of people closest to the problem.

This helps the organizations we partner with to act faster

and make more intelligent decisions

and ultimately provide better experiences.

Secondly, our industry approach

proves the power of partnership.

Our partner ecosystem is unmatched

in its ability to add value for our customers.

Microsoft partners extend the capabilities

of these industry clouds with their unique expertise

and offer tailored high value solutions.

Lastly, I want to highlight our deep commitment

to security and compliance.

Our industry clouds have security compliance

and identity built in,

incorporating industry-recognized standards

from Edge to cloud.

Organizations are counting on us at Microsoft

to help them adapt to this constantly changing world,

and that is our commitment.

We are dedicated to helping our customers

across every industry master the complexity

so they can be agile, build resilience,

and ultimately succeed.

I hope you will join us at Microsoft Ignite on March 2nd

to learn more about these announcements

and to find out how you can join the preview programs

for these cloud offerings.

Thank you so much.