apidays New York 2023 - Embedded Business Models in Retail, Bernd Schulze & Bhaskar Agarwal, Nagarro

apidays New York 2023
APIs for Embedded Business Models: Finance, Healthcare, Retail, and Media
May 16 & 17, 2023

Embedded Business Models in Retail – 2-Way Opportunity for Value Creation
Bernd Schulze, Global Practice Lead API Management at Nagarro
Bhaskar Agarwal, Director Technology, Enterprise Architecture Practice at Nagarro

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Transcript

1. Retail Track @ apidays New Work: Embedded Business Models (EBM) in Retail – A 2-Way Opportunity for New Value Creation Presented by Dr. Bernd Schulze Global Practice Lead API Management Bhaskar Agarwal Director Technology, Enterprise Architecture Practice
3. Welcome! Slide 2 We’re excited to speak with you about embedded business models as 2 -way opportunity for value creation in retail Dr. Bernd Schulze Global Lead API Management Practice Bhaskar Agarwal Director Technology & Enterprise Architecture … from Nagarro , a publicly listed provider for premium IT consulting & technology services 33 countries covered with registered offices by YE 2022 €856 million in revenue 2022 , growth 56.8% YoY 18,000+ colleagues , growing strongly
4. Industry Trends Slide 3 In today’s retail industry, we see changing consumer behavior, increasing competition and technological advances T h e r e t a i l i n d u s Technological advancements Increasing competition Changing consumer behavior • Massive digital transformation by leveraging technologies • Implications on strategies, orga- nization , workforce and culture • Shift to online, increased com - petition from e -commerce giants • Innovation and differrentiation in shopping experience • Demand for sustainable, ethical, socially responsible products • Increasing request for transparent information on supply chains
5. Opportunities Slide 4 New trends create opportunities – customers and retailers achieve value through embedded business models (EBM) Value of embedded business model (EBM) Customers Retailers • Greater choice of products and services • More immersive, personalized experience • Innovation (e.g. buy now, pay later) • Lower transaction costs for customer • Better price for bundle / higher volume • New revenue streams • Increased customer loyalty • Competitive differentiation • Ecosystem building / partnerships • Valuable customer data and insights
6. EBM Success Examples Slide 5 In retail space, we see 6 basic EBM variants – organizations typically design and implementation a mix of these variants
7. EBM Real Life Example A US client embraced a mix of EBM variants based on API-enabled architecture modernization and transformation Slide 6
8. EBM as an Idea Even if technology plays a major role for the concept, the EBM idea has existed in civilizations from time immemorial
9. EBM Design Principles Slide 8 To take this idea from lab to field, we advice organizations to consider 5 key principles related to API management “API First” to strengthen business model by delivering value to customers Experience -centricity to support the customer and developer journey Modularity as the basis for independent, autonomous devops Agility and flexibility to quickly address new opportunities Security to safeguard sensitive data and information
10. EBM APIM Enablement Slide 9 API management provides .mission -critical capabilities to manage APIs as first -class assets throughout their lifecycle • API management provides mission -critical capabilities alongside the API life cycle • Nurturing those capabilities allows for the enforcement of basic MACH principles: • Microservices-based • API-first • Cloud -native • Headless • Enforcement of MACH principles paves way for new services based on real -time data exchange API Mana- gement
11. Proposed Approach Slide 10 To set API management as basis for EBM, we suggest to follow 5 steps with continuous iteration and improvement Define a clear API strategy aligned with business Choose the right API management platform Document and publish APIs Monitor API usage and performance Foster a developer community Continuously iterate and then improve
12. Your Starting Point Slide 11 Step 1 is to define an API strategy – as starting point, we suggest to assess your “as is” API strategy maturity Slide 11 API Strategy Maturity Assessment Structured Interview (2 hrs) Deliverables Description Stakeholders • API strategy maturity status quo • Potential areas for improvement • Setting the stage • Structured dialogue on the basis of the questionnaire • Derivation of assessment findings , debrief asworkshop prep • Head of IT • Chief Architect
13. Concluding Remarks Slide 12 Overall API-fication journey paves the way for success in EBM – if you want to really go far, select the right IT partner Retailers and customers gain from EBM EBM requires to have API management API management is not just an IT topic
14. Imagine what we can do together ! www.nagarro.com Let’s talk: Dr. Bernd Schulze I API Business Consulting I bernd.schulze@nagarro.com Bhaskar Agarwal I Director Technology I bhaskar.agarwal@nagarro.com