A New Vision for Service
00:34 Please welcome the president of SLM business unit, Neil Barua. All right. Welcome to live works again. That was people are still milling in. That was quite a show that Jim put on. And I'm thankful that you guys are all joining the even more important keynote. Now, that's just a joke. But SLM is very important to PTC,
01:05 as you've seen and for if you weren't here previously. Neil Barua I'm the president of SLM at PTC and glad to be here, super thrilled to be at LiveWorx. I want to first and foremost do a big thank you to all of you here in the crowd here participating, listening, and for the customers here that really do so much for the world. So thank you for that. Those that are here those virtually to thank you for joining and taking interest in in SLM and PTC thank you for that big shout out by the way.
01:38 Two big shout outs since I've got the stage here. One is to my wife of 17 years who trekked across the country to see her husband speak. So thank you for that support and virtually Hello mom, you got your hello and she won't understand a word I'm saying, but you'll be the first one that says you did a great job, Neil. So, so, so. Thank you, mom, for joining all those online. I'm. I'm really, like I said, very happy to be here, not only at LiveWorx but part of the PTCfamily and it's been call it a few months,
02:12 probably three and a half months since we were acquired by PTC. I was the former CEO of ServiceMax, and it's been quite a journey already and I've been spending, to the chagrin of my wife, more time here in Boston than in our house on the West Coast. And I got to understand very quickly the special nature of this company at PTC. And I'm sure you all see it as customers and those that are interested in doing business with us and employees here that have been doing great work. There's something very unique in this company and
02:44 I am super thrilled to be part of it, to do even more to drive value for customers broadly. So super glad to be there. Here I'm going to talk a bunch about service. We've got 30 minutes. I've got great customers coming up, so let's get to it. You know, as you journey through live works over the next few days. And today I'm hoping I'm hoping many people who are missing this keynote are doing Demo Power Hour and seeing all the amazing things that we're constructing together with PTC and now SLM within it with the PLM brethren that we've got.
03:18 When you see the track sessions, the breakout sessions, hopefully you speak to other customers, hopefully you speak to the great employees, hopefully you speak to Robb Bannerman, who is Mr. SLM out there really pitching the story. I'm hoping you all spend a lot of time with each other and get to really experience something here because you'll see the technology, the solutions and very, very importantly, the people are exactly what you all need to really drive value for the future of service
03:49 for your own companies. And you'll see that depth here over the next few days. In Jim. Jim did an awesome job like he does always. He did a great job setting up. And quite frankly, with the support of the board, the leadership team building this business. And I'm very now proud to lead. But you heard how service now within PTC has strategic value because it has the close loop of the digital thread that's model base, right?
04:21 And we're a very, very big part of it and important part of it that we'll talk about why that is relevant to all of you and creates value over the long term. But one scary thing, but maybe exciting thing that you'll hear in the next 25 minutes is many of the things that we talked about with the Infinity Loop and the digital thread and the closed loop nature of it. Some customers are already doing it and they've been doing it for a bit of time with some of the capabilities we have in Windchill as well as customers of ServiceMax, ServiceMax architects,
04:52 and you'll see that actually happening and it's scary for those that are catching up. But fear not, we are here to support that journey and you'll understand the depth and the value that we could provide at PTC to all of you willing to take that journey with US. Service. You know, I like to say that when you're at a company and many great companies are going to hear from today, when you have a purpose, like a meaningful purpose as a company, which ServiceMax had PTC even has it in a bigger stage. It makes a big difference.
05:26 Great things happen when companies have a really meaningful purpose. Purpose For me, running SLM and our team is about service and service. Not only is it in many product companies, the most important generator of sustainable recurring revenue and profitability, but more importantly, it's the criticality of what service does for the world and the things that we and all of you design, manufacture and put out in the world for all of us to consume.
05:57 For me, it's actually really personal. My father, an immigrant from India, was came here and was a food technician at an aseptic food processing plant. And, you know, when when Fridays would come, the number one thing I wanted for my dad was three hours of after school play with me in the yard soccer. But my dad had to spend three hours filling out work orders manually with pen
06:27 and paper at the time versus playing soccer with me. Now fast forward all these years. My father's 84 and fast forward. All these years we have customers that have technicians at food processing plants that three our amount of work that my dad sacrificed spending time with his son is done now in five minutes using the digital tools that we've created. So very meaningful to me. Service hugely important not only for me. If my dad did spend time, you would be listening to
06:57 a world famous soccer player versus another enterprise software sales executive software executive. But that being said, it is a very critical part of the world. People depend upon it, we depend on it, and all of the world depends on service getting right. So we'll we'll talk about what we do to help you around that journey. Service Again, I think all of us are reminded and I'll give you a personal story. I'm reminded of this on an almost daily, weekly basis on why service is important. Sitting on a close to deathbed of
07:29 a very close family member that was in palliative care, sitting and listening to the final things that she had to say. And I'm looking around at all the equipment that she is sitting on and waiting to go to the next stage of her life. And every piece of equipment, the bed, the ventilator, all the medical equipment was actually ServiceMax customers. Right. And while it was a very sad moment, it was also very humbling at the time as CEO of ServiceMax,
08:02 seeing the criticality of what we do and making sure all of that equipment actually had uptime by which that person had the comforts of passing the way she did. And so very important for me on that front, and I know many of you guys have experienced this yourselves. Second is on, you know, I was with the CEO of one of our largest now joint, PTC ServiceMax customers a month ago or so, and they do very specific radiotherapy treatment for cancer patients.
08:33 And one of the great highlights of what he said across many things that he's really excited to do more with. He has thing works, he has ServiceMax and trying to think through how do we actually close the loop for. He said that with our capabilities, they've done the math on it. Thousands, if not tens of thousands of hours were for surgeries where. Uninterrupted because of our solutions. And if you think about that, right, if you have someone who's a patient or ourselves that has cancer,
09:05 we probably won't know that the machine was down. We'll just get the note that says the next appointment is two weeks from now, three weeks and now four weeks from now. We wouldn't know if it had downtime, but our hearts and our souls and our people and the worries that are created for that delay that now no longer happens or is mitigated by the solutions we have to provide, is a very, very meaningful part of why we're here and why we really need to drive this service technology solution going forward.
09:35 But very, very meaningful that all of you do. And we experience on a daily basis. This is a matter of pride, as you can see, and a lot of heartfelt energy here and emotion around it. But that brings also responsibility of building solutions, technology, the great people, the knowledge, the expertise to support those that build design critical machines and ultimately service it. And so that's what the the opportunity is and that's what we're here to talk to you about, why we're the best suited to be partners around that.
10:09 Similar to my stories that about the the CEO. You know, what does service do? Keeps hospitals running, as I mentioned. Right. To allow for life saving surgery or tests keeps the lights running. You'll hear from Schneider Electric worldwide to keep businesses moving forward and operating and employing millions of people. It keeps the wheels of commerce running in a very big way, right from getting critical material to the right places, supplies and content, those who need it the most. A funny aside, maybe funny for some,
10:40 but I'll never forget during the pandemic, which is now a distant memory, seemingly, I got a call from one of our bigger customers who designs manufactures and operates some of the largest paper mills in the world, and they were in the midst of deploying ServiceMax. And he called me up. He said, we got to deploy faster. And I'm like, Well, we're on a timeline. We do this very well professionally so that it works. He's like, It's got to be fast. And I'm like, What's the urgency? He said, You Americans are hoarding toilet paper.
11:11 So we got to produce more toilet paper as fast as possible. And so one of the things we do is keep toilet paper flowing during pandemic so Americans can hoard it at Costco. But on a serious note, as you know, again, one thing here that hopefully you'll understand product service together, very critical part of what we all do in experience on a daily basis. Execution. Right. All this happy talk by someone that's wearing hopefully what you think is a nice sports coat doesn't mean really anything unless the front lines,
11:44 those people in your companies that are actually closest to the customer actually have the things that are necessary for them to do their job. They don't want another mobile app. Truly, they don't want another parts catalog. They don't need another 500 page product manual telling them how to do their job. What they need is the confidence to get the right tools, simplistically the right parts, the right information, the right support to get their job done and keep the customer up and running
12:14 and go spend time with their son or daughter or read their grandkids a book in the time that they save doing their jobs in that manner. And so to that end, what you'll see here with PTC is through Jim's support, through the executive leadership team, the board support, what we put together is the most comprehensive, best in class under one umbrella, as I mentioned, under one roof service capabilities and a business expertise that actually gets this done. I believe, you know, the the
12:44 the collection of all these capabilities that we're going to talk about how they interact with each other is bar none the most complete in the market. I've been in this space for a bit of time. I challenge any of you to find anything like this ever assembled an enterprise software or ever to be assembled. And when we connect this digital thread and close that loop, the the ultimate value for all of us is is going to be exponential in our opinion. And I don't think that there's anything left for those that are here in
13:14 the United States. Baseball analogy. We're on third base with this. The other teams are just like getting up to the parking lot right now. And so we have a real advantage right now with all your help ServiceMax just this is really important. The scale, the amount of experience, the amount of elbows that we've skinned and the knees that we've skinned and all the ups and downs that ServiceMax has gone for 15 years has enabled us to harden our solution, to know what it takes to actually be credible to all of you customers on
13:45 the front line. And that's really important at scale. You add in 35 years of leadership in service supporting entities like Pratt Whitney and the US Air Force. Add that to the collection of capabilities that we're now closing this digital thread with. Lastly, 40 years of dominance in armor techs doing technical content and service information delivery across the world. And I could keep going around some of the things that we've got in addition to those capabilities ServiceMax armor
14:18 and service joysticks which are underneath the slim portfolio currently, we've got expanded capabilities, as I keep mentioning, thing works. Vuforia warranty possibilities are truly endless. In fact, I was laughing with my wife that I felt like when Jim and PTC acquired ServiceMax and I said this in a press in a media interview that I felt like a kid in a candy shop. And truly, I think one step more of this crazy kid in a candy shop analogy,
14:49 I feel like I got the golden ticket to go to the chocolate factory. When you walk into this chocolate factory called SLM, it's got everything. It's got everything. We need to drive those outcomes that we talked about earlier on. And it's a real pledge from this team to continue to build on this, which we'll talk about here upcoming. With purpose. With purpose. As I mentioned, as a company at our core, we have to still be customer obsessed. This is an important element.
15:19 I think AJ mentioned this as similarities between Ansys, PTC and within PTC. This customer obsessed behavior to do all this thing means we got to be very close to all of you doing the heavy lifting, doing all the right work. And one of the things we've seen and I'm going to bring someone up on stage that's going to talk about this actually working at scale. One of the things we saw being customer obsessed and our point of view on this is having a very asset centric view of service. You'll keep hearing this and I'll take you a little bit to really digest it,
15:50 but keep listening to this around understanding the asset, all the products that you actually have build and put out in the field. Having that view now in an SMS, very critical to actually executing on the strategy. And as you saw in Jim's keynote, I talked about Schneider Electric. And with no further ado, let me introduce to you Jean Pierre Camillo, who's actually the VP of Services digital experience at Schneider Electric. Again, a close to $100 Million Market Cap company.
16:21 We've been partners with them at ServiceMax for ten years. There are Windchill customer. There's a lot there that we're doing collectively with Schneider, and I'm happy to introduce J.P. up on stage. The world is full of people telling you who to believe they are. Well, we thought we'd tell you who were not. Let's start here. We're not in shipping. We don't make lifts. Seriously? No lifts. We do this. We're good at this.
16:52 And we make all of these. And even though you'll find us here and here, we don't make energy. We make you save it. And you'll be saving the environment, too. Are we an Internet company? Well, we connect and power just about everything around you, helping machines talk to each other and to you making your world more personal. We're seeking out the big questions and answering them honestly,
17:23 like how can we make the most of our energy and resources, or can we make access to energy and digital basic human rights? We're real people, employees, developers, partners, investors and inventors all passionate about doing what's right. We're open humans of all sorts from all over, learning from each other and about each other . We're not here to save the world. It'll go on with or without us. We're here to be your digital partner for sustainability
17:55 and efficiency to ensure life is on everywhere for everyone at every moment. Please welcome the vice president of Services digital experiences at Schneider Electric. Jean-Pierre Camillo. Welcome. Good to see you. JP, come on over here. Wait till you hear JP's story.
18:25 That video really set the stage. And thank you for being here. I'm hoping to have a glass of nice red wine when I come visit you in France later this year. JP But thanks for being here again. Let's get right to the questions for the audience. So one thing, you know, we've been partners now for ten years doing it at scale with you, right? As you know, one thing that we found really interesting is how do you turn this asset centricity to talk about to makes Schneider electric more customer centric? Yeah, sure. First of all, thank you, Neal,
18:55 to be with you and to share our experience at Schneider Electric this morning and looking forward to network with many companies which are present here at Live Works this week. And of course, we now extended family of PTC and ServiceMax. And yes, asset centricity is at the core of our services business for us at Schneider Services is a strategic level for growth and we are committed to grow the services business two times faster than the rest of
19:27 the group. In fact, our whole services transformation started with putting a huge effort on increasing the knowledge of our installed base. And I must admit that when we started the journey close to ten years ago, we had very limited knowledge of our installed base being, you know, very, let's say, a manufacturing oriented company at that time. And year over year, with the effort we have put into it, we have really grown significantly the knowledge of it
19:58 and why it's important to know our installed base is the only way for us to be a trusted advisor to our customers all along the product lifecycle from installation and commissioning, monitoring and maintenance to modernization. And now our circularity of. On top of the installed base data, we are able to produce three major business outcomes. First one is the growth to generate new business through
20:32 a data to revenue engine based on installed base data. Second is an enhanced digital experience for our customers who have now online access to their installed base data and service data. And third, by being able to connect the products we sell to our customers, we can bring additional value and peace of mind to them through digitally enabled services. It's incredible what you guys are up to. And when we see it in practice,
21:02 for those of you that we'll ask more questions in the breakout, you'll see it come to life. Switching another question, Now that you've matured in your asset centric framework, what are you looking at for additional digital solutions Technologies to augment that strategy? So for several years we have fully embarked on the Iot journey and we are focusing on helping our customers unlock the potential of Iot by connecting it to our asset centric services.
21:33 All our Iot based offers are directed to improve energy efficiency and hence support sustainability with Iot. We gain access to a wealth of data from the connected assets which enables us to do even more. So as a result, we are starting to explore new value added services such as eco care for recurring services, eco consults for consulting and what we call eco feeds for modernization of equipment and circularity.
22:07 In addition, we are also leveraging our asset centric approach to provide our customers with a superior customer experience. We are building new end to end digital customer journeys for them, enabling digital interaction with us in their day to day life with online access to their installed base, their service contracts , the service visits and so on. It's amazing. And I'm sure the audience is getting the sense of this is like how much advance you've become
22:40 on this new data enabled service model, right. That we've been talking about and the link to Iot. How does this data let's go back to the loop. How does this data allow you to close the loop and set the stage for your future at Schneider Electric? Yes. So, you know, our mission at Snyder is to provide digital solutions for energy efficiency and sustainability. Our digital solutions help companies optimize energy usage and reduce wastes by automating processes and providing real time data
23:14 on energy consumption. For example, on the connected products, we are offering predictive maintenance technologies that help identify and address maintenance issues before the result in equipment failure or energy waste. And we prioritize data driven results in the areas of serviceability and sustainability. So indeed, serviceability is a key topic for us. And first of all, it's supporting our recurring growth,
23:46 our customer satisfaction and our circularity commitments. It is also helping us to design products with lower carbon footprints during their entire life cycle. Serviceability in a nutshell, for us it has four components. Number one is the capability to diagnose the products and systems. Number two is the capability to maintain the product at its right level of performance. Number three is its repairability to get the product back to its performance level.
24:20 And number four is the circularity of the product to be able to reuse it, refurbish or recycle it. So I will conclude with this message on sustainability, which is of paramount importance to both Schneider Electric and the wider world as we all strive for progress and efficiency. Thanks, JP, Really appreciate the time. Thank you, Dean.
24:50 It's incredible. Like I keep saying. Schneider Electric. You just heard a lot of things that they're already doing. This is not they're not designing it. They've been doing it for a while and they're just getting better and better at it. And we're the partners that's supporting them around that journey. So make no mistake about it, we're delivering value already and we're looking forward to doing that with many more of you going forward. A key to unlocking the future service is a few flavors here, and this is our belief connected and remote. First, optimize for profitability and set up for sustainability.
25:23 Some of the things that you heard JP talk about to do this, truly believe in pressure. Test this with us. You need the SLM capabilities linked to the PLM capabilities under one roof. This thread doesn't happen in disparate areas. It happens under one roof, which clearly under this roof is the PTC umbrella. And again, no one can match this. But also those of you guys have been in this industry, you also need an asset system of record. Another key theme that you'll keep hearing us talk about and when you put it all together, PTC is again the only provider, no ERP provider,
25:58 no PLM provider, no enterprise software company can do what we could do with bridging the digital thread together. We're not stopping there. Right. One of the next big North stars that we have is around making sure with everything that's gone on in the last few years to make sure we help you all have resilient and sustainable business. And, you know, to do that in terms of the near and medium term craziness that I think we're all, you know, seeing the investment to actually get around the loop
26:30 and to do what Schneider is doing to have long term sustainability. It's a big deal. And it's really this is actually a very important point because it enables a lot of incremental technologies to be utilized. It's just not about service. It's about breaking down walls in the organization. This infinity loop, when done well, when we execute it well with all of you in partnership, it breaks down silos of your company. It allows the ethos of service to move to,
27:00 to move back into the DNA of the product and vice versa. And that's really important, especially in this in the tagline of AI, as we are being inundated to be able to do that, you actually need a common way to actually communicate in the data flows to actually occur. And so that's what we have to offer here at PTC. That's the real path of digital transformation. And so one of the relevancy is, again, you heard it from JP reliability assets so that customers continue to view you as a partner, allows you to build new service models.
27:32 You're going to be asked by your CEO, CFO to keep using models to actually deliver outcome based models so that you can ultimately have profitability and sustainability with your recurring services line. And third, the sustainability impact of it is very critical. All these executive level initiatives require the digital thread to be acted on profitably. Add in our partnership with Salesforce and this is hopefully this is sunk in when you saw the hub and spoke model that we put up earlier,
28:02 you now have with us the digital system of record. As Jim talked about, the physical asset system of record with ServiceMax and SLM and also the customer system of record through our partnership with Salesforce. Again, all tied within what we have is an innovative solution to all of you to look at and also execute on. That's why last night I was with our ServiceMax customers up in our headquarters and it was one of the few times when an M&A deal happens
28:33 and you get bear hugs from your customers saying this is awesome. And I didn't get a bear hug from the next gentleman. But the reason for why I think we're doing this together is it makes sense when this sinks in, it makes sense for our customers, make sense for our employees. It makes sense for us to drive the innovation in a very practical way that creates value. And to discuss this further again in real life is Philip Green, VP at Alcon Vision. Philip. Right now there are a billion people on this planet living with vision problems,
29:07 people being held back from reaching their full potential. And for those who do get treatment, far too often the results fail to reach their expectations. As leaders in the industry, we have the responsibility and the power to change this because being able to see is one thing. It's quite another to see brilliantly. We stand on the precipice of incredible opportunity to transform the way people see and experience the world. Not just a clinically improve ocular health,
29:42 but to usher in a brave new age of vision. Because in today's world, Vision has never been more important. It has the power to connect us, inspire us, empower us and create joy. I love this game. Are we happy with statement? This is our mission. To help people see brilliantly is to help us all see new
30:12 opportunities and new ways of doing things to help open the eyes of a billion people across the world to they are in the every day. To enable that incredible feeling when everything suddenly looks brighter, bolder, more extraordinary, and full of more possibilities than they could possibly ever imagine. Because when people see brilliantly, they live brilliantly. Alcorn See? Brilliantly.
30:45 Please welcome the IT director at Alcon Vision Suite, Philip Green. What's up, my man? Welcome, Philip. Welcome to Live Works. Great to see you, Philip, by the way. 22 years at Alcon, so congratulations on that tenure. Looking forward to this discussion. Let's get right to the questions. In the interest of time. I heard, by the way, for all all of you, we have great frontline employees all around the world. And Philip actually met our R&D center as well
31:16 as our professional services group in India and Bangalore recently, a few weeks ago. And to that end, I want to hear how did the trip go? What did you learn? Thanks, Neil. I was first I was listening to you earlier about the hospital. You we'll connect a little bit more about that in the story here. But we were visiting Bangalore to one of our global service centers where currently we service our enterprise from there. But we're looking forward to servicing our customers from these service centers
31:46 as well. It was during that trip that I had the honor to be able to visit a eye care hospital and attend eye surgery in a matter of 15 minutes. A surgeon can restore eyesight, but to do that, our instruments have to be up and running. That's where service comes in. After attending the four surgeries, I was able to speak with the surgeon about what he likes most. About Alcon.
32:18 The answer was quick and simple. We have the best instruments in the world and our team is always available in. The instruments are always up. So that was great to hear. That was a real honor. Next I went to the harder question What would you like to see from Alcon in the future? And the answer was value We need more value. How are we going to produce more value if we already have the best instruments? It's about services. We've got to be able to deliver more services. So that's what is in front of us and that's why Alcon is becoming
32:51 a service company in the new digital world. Great. Really good to hear. You know, one of the things we talked about previously is around partnering with your business counterparts and delivering this digital data into different silos upstream and downstream. It's been traditionally starved, as you mentioned, in previous generations. What's been the response and impact, Philip. In the New World, As I mentioned before, what it's about, what we can do with data in the Iot world,
33:22 we can capture untold amounts of data and coming off the instruments or the software that we're now offering. We've just introduced Smart Cataract, which is a piece of software that connects the diagnosis for cataract surgery in the clinic, captures that data and can transport it to the O.R. . When we captured that information, we're able to aggregate it and do all kinds of things with it. For example, we can do predictive maintenance on on some of the instruments
33:54 as well. With that data, we can send that data downstream to R&D to generate better spare parts, or we can send it to marketing and actually harvest that data in a way to provide better, more precise eye surgeries on our laser instruments as well. One final question. This path, the model based digital thread that we've been talking about. What's the of all the things you've heard, what's the most impactful to Alcon as a takeaway from live works?
34:26 Okay. Al Khan is in the midst of a connected ecosystem in the operating room in the clinics. As our instruments become more and more connected, our path is set by the digital revolution of Iot. In fact, now it's about how we harvest that data. As Iot becomes a commodity, we need partners like PTC helping us to provide those services so that we don't have to invent them so that Alkan can focus on the patient eyesight, which is what we do best at Alkyne.
34:56 We'll get going on that. Thank you so much for coming to live. Thank you. Appreciate the time. Think about this. You know, we're we're in the homestretch now. Appreciate you guys hanging in there and listening to us here. We're excited, as you could tell. Imagine having the ability to match the digital world with the physical world as as Philip mentioned that he's doing at Alcon. Not only would you be able to deliver great solutions and care,
35:26 but you start breaking down those silos that I mentioned in the organization. That's what he's talking about and it's a huge lift of the culture within Alcon on that kind of ability to do what he's done with the technology stack. Imagine a world where new service models can be created, right? Imagine a world where you could service, build and design products or serviceability, profitability and sustainability. Imagine a world again where you can empower your people at every level to get their jobs done, to feel accomplished at the end of the week,
35:56 and to do things that are meaningful in their lives. It's extremely impactful. And this is what we've been waiting for. Right? You've heard it from your teams. You probably got 50 million spam emails over the course of the last year, five, ten years, telling you about this vision and ability to do this and that vision for the first time, I could tell you, is become reality here at PTC. And we are the partner to make it reality pressure test us, like I mentioned. But we're here to serve you and we're really looking forward to this journey going
36:29 forward. We've got the critical technologies and we've got the people that actually make it happen and bring it to life. So to that end, we're not laying out a vision. We're bringing it to life truly unmatched. And I know my mom said one piece of advice. She said, don't swear and don't be arrogant, but I'll be arrogant for one second. We are unmatched in this capability. We're here to prove it to you over the live works over the next number of years, decades to serve all of you better. And on behalf of the entire leadership team, thank you for everything that you all do. Thank you for taking interest in us today.
37:01 Thank you for the journey that we're going to undertake with all of you going forward. I'm all in. Hopefully you all are as well. Let's get to work.