ServiceNow CEO Frank Slootman (Frank Slootman) set this goal at the annual Knowledge16 conference in May last year. ServiceNow’s goal is to achieve a turnover of 4 billion U.S. dollars by 2020. When we know that the publisher of ITSM services reached the $1 billion mark in 2015 and the target for this year is between $1.35 and $138 billion, this is a pretty big goal.
Goal: To be a n°1 customer service platform
Although ServiceNow has just acquired the predictive IT security expert BrightPoint, the publisher hopes to achieve most of the growth through the organic development of its platform. On the publisher’s bet, its privileged interlocutor is still the CIO who manages its infrastructure and IT service desk-since its establishment in 2004, it has been facing the markets of HPE, BMC, IBM, and CA.
“What makes us truly different is our platform approach,” explains Christophe Bouchardeau, Vice President of ServiceNow Southern Europe. “It is this that really allows us to provide fully integrated applications, using a single system of record without redundancy, and a single system for interacting with customers, wherever the application is going to rest. On this platform. It’s just a service. The intermediary platform establishes a connection between the person requesting the service and the person providing the service. “
In ServiceNow’s strategy, what is effective for IT is equally effective in many business use cases. “What is the difference between a user requesting service from the company’s human resources department and the same user requesting to update the company’s iPhone through the portal? Nothing,” added Christophe Busado. “Connecting the requester of the service and its provider is a process that is no different. No matter what service is needed, our platform can carry out service intermediation. “ServiceNow is positioning its platform as a solution to human resources, Marketing, finance, facility management, legal issues, etc.
$60 billion potential market
According to data provided by the publisher, ServiceNow is fighting to position itself in the $60 billion market. Among them, the core IT operation management of the ServiceNow business represents an opportunity of 10 billion US dollars, and the PPM project management represents 5 billion US dollars. The target market for the SME product called ServiceNow Express is “only” 2 billion. Of course, this diversification of transactions should be a “booster” for ServiceNow’s turnover in the next few years. The publisher estimates that the global enterprise service management market is $25 billion, which does not include the customer service market, which weighs only 9 billion. With its “customer management” product launched in Las Vegas, ServiceNow is now competing head-on with other cloud heavyweights, especially Salesforce.com’s “service cloud.”
Therefore, this “enterprise service management” market is the key to Frank Slootman’s expansion plan. ServiceNow must prove itself in front of HRD, marketing and sales departments, finance departments, etc. For publishers who are more accustomed to talking about CMDB than HR or financial processes, this is a cultural revolution.
ServiceNow has already begun to score, especially in the human resources area. A few months ago, ING chose ServiceNow to deploy its portal to automate human resources processes. A project wins when faced with Saas HR platforms such as Workday, TalentSoft, Cornerstone or HR Access. “Whether we have to change HR Access or Workday one day, obviously the answer is no”, Matthieu de Montvallon, head of ServiceNow’s pre-sales consulting, said affirmatively. “Our job is still service management and case management.” Christophe Bouchardeau added: “The platform will welcome more and more new applications to manage cases and processes related to other professions.”
Publishers rely on the CIO to find a way to the business unit. ServiceNow provides them with a portal and a unified process management engine. If it does not compete with Workday or Salesforce, it will replace the self-service portals that all business cloud providers now have in their catalogs. So far, this can be said to be the limit of ServiceNow’s successful strategy.
If in 2004, facing mature competitors with traditional software solutions, Americans set foot on a virgin land with cloud solutions, then the market that ServiceNow is now targeting is a market where leaders have emerged and innovated rapidly. No one is waiting for ServiceNow to provide enterprises with such self-service portals, and pre-sales staff will have to learn to talk about business with new interlocutors.
Helsinki 2016, a version that marks publishers’ desire for openness
Frank Slootman’s eyes are bigger than his stomach, and he wants to quickly diversify to reach a turnover of 4 billion? An undeniable asset of ServiceNow is attracting the attention of many large corporate CIOs. The CIO is trying to take back control of the Saas project led by the business units, which have each established their own islands, that is, their own self-service portals. It is hoped that CIOs who maintain little consistency in these multiple services can follow the path proposed by ServiceNow well.
The new features announced by the publisher on Knowledge16 in Las Vegas are part of the hope to extend the use of its platform beyond ITSM. As an example of this new direction, a new portal creation tool has appeared in the Helsinki 2016 version of the platform. “We provide a new framework, a service portal located above the platform,” Matthieu de Montvallon explained. “This framework will make it easier to build business portals. We are already using the so-called CMS that still exists to do this, but the novelty lies in the technology implemented (Angular.js) and the flexibility it brings. »With a more modern portal look and a dashboard that can be created in drag and drop, the tool is no longer just for IT professionals. In addition, the Paas ServiceNow service is now able to properly separate user groups.
IT users now have an environment isolated from colleagues. “Before the Helsinki version, everyone was working in the same environment. When a company wanted to increase from 10 developers to 100 developers, this brought a real problem. Today, development is Business isolation. All facilities that create applications to book rooms will have their own space without seeing what people in the finance or human resources department are doing. Deployment is done on a global scale, but people are creating packages, Testing and other aspects are isolated. If the company wants, it can now choose to properly separate its ServiceNow environment and data.
Another new feature appearing in this Helsinki version is the ITIL configuration wizard. Perhaps in the next major version of ServiceNow, this type of help will increase exponentially in areas further away from ITSM. “If the HR manager listens to our opinions, it is because we are wearing ITIL hats,” Matthieu de Montvallon said. “They can’t rely on this approach in their field, but we have 20 years of ITIL. We can transfer the work we do in the IT field to HR. Such assistants are likely to appear in processes such as HR.” . “Complete” ITIL projects quickly so that they can position themselves on non-IT projects as soon as possible. This is the goal of ServiceNow’s pre-sales.
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