[12/10/2021] Workflow management platform provider ServiceNow has partnered with process mining specialist Celonis to help companies prioritize and optimize process automation.
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According to Celonis representative Faiz Mandviwala, the partnership will make it easier for CIOs to combine the capabilities of both platforms when the union becomes available, which is expected in the first half of 2022.
ServiceNow introduced tools to help its customers optimize their processes in early March 2021 in the Quebec version of its Now platform. These enhancements only work with processes created in ServiceNow. However, the tie-up with Celonis will broaden the scope of Now’s customization, giving it access to process information on all platforms that Celonis can mine.
Charles Betz, principal analyst covering infrastructure and operations at Forrester, speculates that Service Now may have added those capabilities in Quebec, at least in part, to pressure Celonis to partner with it.
“Celonis has been doing this for a long time, so displacing them for Service Now will not be easy or cheap,” he said.
participants in a fragmented market
Instead of fighting for the process optimization market, companies will jointly develop and market their services, and use each other’s products internally.
Stephen Elliott, group vice president of infrastructure and operations at IDC, said: “It complements each company’s offering. It helps CIOs organize technology and business workflows and the potential triggers that drive automation within those processes. . . . they are putting together the building blocks for a foundation. No vendor can do it all.”
Elliott said that once ServiceNow and Celonis have integrated their respective platforms, the companies will be able to build on that foundation. “ServiceNow AppEngine Studio Products and AppEngine Templates can work as front end To help IT teams (and potential business teams) build applications that have built-in automation (via templates) with data and process intelligence from Celonis.”
ServiceNow and Celonis also plan to invest in each other, though neither will reveal how much. Could this be a prelude to takeover? It’s possible, though unlikely at this stage, Forrester’s Betz said.
Celonis raised $1 billion in new investments in June 2021, valuing the 10-year-old company at $11 billion. The market capitalization of ServiceNow is almost 10 times higher.
As long as Celonis remains free to process the mine on any platform, Betz sees only advantages for the CIO in the partnership. Close communication between companies can help CIOs communicate the same amount of information about business processes as they do about the industry.
knowledge management optimization
“It’s really about putting ERP-class management into knowledge work. That’s the ultimate goal,” Betz said.
Company managers have access to powerful analytics tools that tell them where everything is in the supply chain, “but when it comes to knowledge work, they don’t know because knowledge work is basically a Cyled system.” embedded in.” They said. “It’s been very fragmented for a long time.”
Now, however, software vendors are approaching these silent systems from different directions, trying to connect them to their own platforms.
“We have the enterprise services management space; there’s some drama that responds, companies like Salesforce are trying to get in on the action. I’m still waiting for SAP or Oracle to make a significant move here. Me Looks like they will sooner or later, because the time and attention of knowledge workers is the bread and butter for many companies,” Betz said.
Many companies must have experienced the paradox that something that requires just three days of effort sometimes takes six months to complete. “Process mining is a promising tool to help organizations overcome these types of problems and gain better visibility into knowledge work problems,” Betz said.
Kulasekhar Subramaniam, IT Director of Service Now at Medtronic, is already an IT leader with an interest in learning more.
In early 2021, they considered using Celonis to pull off Medtronic’s IT Service Management (ITSM) processes, but were discouraged by the challenge of pumping all Service Now data into a data warehouse, which Celonis can access. could. “It looked like a total replica,” he said.
Organizations like Medtronic want to learn how they can exploit the data produced by their IT operations to identify gaps and bottlenecks and streamline processes.
“I think the relationship with Celonis will go a long way towards extracting value from the ITSM process,” Subramaniam said. “We are now going to study Celonis and look for more information about what these two companies have to offer.”
A connection to IBM
Celonis has been building partnerships left and right, and in April 2021 it reached a service agreement with IBM. ServiceNow also has a partnership with IBM, and IDC’s Elliott said the fact that both companies have this partner will bring CIOs the benefits of professional services and implementation expertise.
According to a person familiar with the matter, this is something that will continue even after IBM spun off its managed infrastructure services operations as a startup, Kindrill. IBM and Kyndryl will both have separate partnerships with ServiceNow, Kyndryl for basic services and IBM for consulting services, while IBM will support partnerships with Celonis.
Based on an article by Peter Sayer (CIO) and edited by CIO Peru
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