As we think about economic recovery from COVID-19—both inside Google and outside through working with Google Cloud customers—we’ve made many important observations. Among them is the recognition that the ways software developers and IT practitioners work together will shift in the post COVID-19 world. Our economic recovery today will look different than past recoveries, and on a fundamental level, the way we innovate will be different than it’s ever been before.

Right now, we’re entering a new phase of cloud computing, where businesses have shifted from making tactical infrastructure decisions, to making larger IT decisions with an eye towards enabling transformation throughout the company. Data, and what we can do with that data, is key to this transformation. And how companies put data in the hands of every employee to help catalyze transformation and solve the most important and impactful opportunities in their industries is at the core.  

A recent Google-commissioned study by IDG highlighted the role of data analytics and intelligent solutions when it comes to helping businesses separate from their competition. The survey of 2,000 IT leaders across the globe reinforced the notion that the ability to derive insights from data will go a long way towards determining which companies win in this new era.

Data analytics and intelligence were prioritized during COVID-19

The results of the IDG study show a separation amongst those organizations that embrace the capabilities of today’s data analytics and AI/ML tools and those that do not. When COVID-19 hit, many organizations cancelled IT initiatives, with 55% of respondents delaying or cancelling at least one technology project. However, 32% of respondents accelerated or introduced initiatives around building out or improving the use of data analytics and intelligence. IT leaders realize how critical data is to their future success, even when resources are scarce.

Digital-focused companies are faster to embrace advanced intelligence tools

Furthermore, enthusiasm for big data analytics, AI, and ML technologies is highest among companies who are further along in their digital transformation journeys. Fifty-four percent of companies who identify as “Fully digitally transformed” or “Digital native” are using or considering using these tools, vs. the global average of 37%. And, these same organizations are embracing the promise of AI more than their peers. Forty-eight percent felt that “Embedded AI across our full stack of cloud solutions will be critical” vs 39% of digital conservatives. These companies realize these digital tools enable them to be more resilient, agile, and prepared for whatever the future brings.

Companies are turning to cloud to maximize insights from data

As companies tap into the promise of data analytics and AI/ML, they are turning to cloud for help. When considering which cloud providers to work with, 78% of respondents said big data analysis is a “must have” or a “major consideration,” which placed this capability at the top of the list of consideration factors. This is not surprising, as cloud solutions address the most common pain points and barriers to innovation. Three of the respondents’ top four areas impeding innovation are addressed by cloud: Insufficient IT & developer skill sets (1st), security risks and concerns (2nd), and legacy systems and technologies (4th). Plus, cloud makes it easier to quickly launch a project, scale up or scale down, and pay for only what you use.

COVID-19 changed the very nature of business, and of IT. It forced IT leaders to decide where to put their scarce resources and big data analytics and AI/ML were, understandably, at the top of the list. To learn more about the findings, download the IDG report “No turning back: How the pandemic reshaped digital business agendas.”

With nearly 2,300 stores, The Home Depot is the world’s largest home-improvement chain — a brand that professional contractors and DIYers alike have come to depend on. The home improvement industry continues to experience unprecedented demand and dramatic increases in online ordering accompanied by expanding consumer expectations for things like curbside pickup and same day delivery. The Home Depot’s decision to migrate to cloud-based infrastructure, including the migration of the company’s SAP applications on Google Cloud which began in 2017, has set it up for success in an increasingly digital world, and helped the company adapt to changing market conditions quickly. 

Interconnected retail at scale

Building on a strong customer-first philosophy, The Home Depot aims to create what it calls interconnected retail—allowing customers to shop however, whenever, and wherever they want. “So many companies are focused on omni-channel retail,” explains Sam Moses, Vice President of Corporate Systems. “At The Home Depot, we wanted to take it to the next level. Interconnected retail puts the customer at the center of everything and enables them to shop in store, online, or both. Customers can begin a transaction online and continue in-store, or vice-versa.”

To support this strategy, the company’s SAP environment needed to be more agile. Running  everything on-premises, from central finance to POS systems, meant that The Home Depot’s IT teams experienced redundancy and repetitive, manual processes. Their data warehouse needed an upgrade to process and analyze growing and increasingly diverse data sets. The Home Depot chose to migrate its SAP environment to Google Cloud to support both the velocity and scale needed for the business as well as critical analytics capabilities needed for its bold digital initiatives. “We chose Google Cloud to support our SAP implementation. Our decision had a lot to do with the relationship between Google Cloud and SAP and also for the applications and services that are offered by Google Cloud, like BigQuery, which are helping to enable data and analytics within our organization,” Moses explains.

After migrating its SAP applications—including S/4HANA, its customer activity repository (CAR), general ledger, e-commerce system, enterprise data warehouse and more to Google Cloud, the company now has the speed, scale and flexibility to tackle enormous spikes in the business, all while staying fully available for their customers. Additionally, The Home Depot was able to transform its financial systems and make them more agile to deliver critical information across multiple business functions in real time.

Maximizing data insights to support customer experiences

By migrating to Google Cloud, The Home Depot is leveraging Google Cloud analytics to build   the industry’s most efficient supply chain including more robust demand forecasting, supplier lead times, estimated delivery times and more, all while maintaining better security than before. “We experienced unprecedented change in our customers’ behavior and their buying patterns, which puts a lot of pressure on our supply chain,” explains Moses. “So having the ability to leverage data and analytics gives us insights to know exactly what it is that our customers need.” 

The company’s analysts now use BigQuery ML for machine learning directly against the company’s BigQuery data and use AutoML to determine the best model for predictions. The Home Depot’s engineers have also adapted BigQuery to monitor, analyze, and act on application performance data across all its stores and warehouses in real time—capabilities that were not as seamless in the on-premises environment.

With hundreds of projects on Google Cloud, The Home Depot’s cloud journey is well on track, but the company is always looking to the future. “As our customers’ needs have continued to evolve, and as technology has continued to evolve, our relationship with Google will continue to advance — to be able to innovate together, to be able to find new solutions together, to better serve our customers.”

Learn more about how The Home Depot is renovating its retail operation with SAP on Google Cloud.

For many enterprises, the venerable mainframe is home to decades’ worth of data about the company’s customers, processes and operations. And it goes without saying that the business would like access to that mainframe data — to report on it, to analyze it with big data analysis tools, or to use it as the basis of new machine learning and artificial intelligence initiatives.

At Google Cloud, we are eager to work with organizations to help them transform their mainframe assets for the cloud era. Of course, we can help them modernize their mainframe applications by migrating them to the cloud. At the same time, working with partners and customers, we’ve developed another, more lightweight approach that can help them start to leverage the cloud for their mainframe assets much more quickly than performing a full-fledged migration. We call this approach data-first digitization.   

In this rapidly evolving digital ecosystem, it’s imperative to understand the difference between ‘modernization’ and ‘digitization.’ With modernization you start with the current state and look forward, and rely on mainframe application migration approaches such as rehosting (emulation), refactoring (automated code transformation), reengineering — or simply replacing a custom application with a commercial package. With digitization, you start with the future state that you want to achieve, and work back to what is required to get there.

This data-first digitization approach includes a mainframe data-first integration framework comprising in-house and partner products and tools to migrate heterogeneous data sources from the mainframe to Google Cloud Storage. Once mainframe data has been copied to Cloud Storage, it can then be integrated and leveraged by Google Cloud tools such as BigQuery, AI and machine learning prodcuts  and Smart and Stream analytics platforms. The integration framework covers both bulk batch data transfers and real-time data replication (change data capture).

Data-first digitization is based on the tenet that ‘applications are transient, data is permanent.’ By bringing data first to Google Cloud instead of traditional ways of modernizing applications (for example, with Gartner’s 7 options to Modernize), this allows organizations to leapfrog to new business models, use cases and innovative ways to serve end customers. For example:

• Making decisions with smart and stream analytics platforms and AI/ML engines. These tools need data to make decisions. Google is a pioneer in extracting information and value from the raw structured and unstructured data, and this approach opens up mainframe data for use by BigQuery and AI/ML models. 
• Building new reporting applications. With access to mainframe data, you can use Google cloud products like Looker and Appsheet to build net-new reporting applications, expediting the process of retiring mainframe reporting applications, and accelerating your overall transformation.

In our experience, taking a data-first digitization approach to your mainframe offers a number of benefits:

1. Faster time-to-business: Because data-first modernization is built on existing products, the implementation cycle is much shorter.
2. Less capital investment: You spend your time integrating products, not developing applications.
3. Minimized risk: Data-first integrates with existing, proven and reliable Google Cloud products.
4. Faster overall mainframe transformation: When you shift your modernization center of gravity from the application to the data, you look at mainframe applications from a business perspective instead of just “keeping the lights on.” As a result, only the most business-critical applications are modernized and many support applications can be decommissioned, accelerating your transformation journey. 

Taking a data-first approach to digitization is still relatively new, but we’re heartened by customers’ early successes. Watch this space for additional insights, reference architectures and technical white papers around data-first. And if you think this approach may be right for you, reach out to mainframe@google.com.

Learn more:

• Liberating your mainframe data with Confluent and Google Cloud
• Beyond mainframe modernization: The art of possibilities

At Google Cloud, we’re committed to making artificial intelligence (AI) accessible to everyone and easier to harness for new use cases.  That’s why we’re excited to announce the general availability of our intuitive, new visual user interface for Google Cloud’s Speech-to-Text (STT) API, right in Google Cloud Console, which makes the API much simpler and easier for developers to use.  

The STT API lets developers convert speech into text by leveraging Google’s years of research in automatic speech recognition and transcription technology. As advancements in AI continue to bring speech to new interfaces and devices, the STT API helps developers add speech functionality to their applications in order to better meet consumer demands. 

The STT API covers a wide variety of use cases, from dictation and short commands, to captioning and subtitles. Getting the most of STT, however, can be a complicated process. To achieve the highest accuracy on any AI use case requires careful testing and tuning. 

Previously, developers building on the STT API had to do this work manually by carefully experimenting with our API. Just to get started, developers needed familiarity with GCP integration concepts and had to either build their own tools or manage various scripts and API calls to fully understand the API documentation.  These actions required cumbersome and time-consuming effort and made measuring, customizing, and improving models even more difficult.  

Today’s announcement significantly simplifies the process, facilitating iteration and integration of models into developers’ applications by letting developers perform every API function from within the Google Cloud Console.  These tools will make it easier for developers to integrate the STT API with their products or services. This update also gives developers the ability to manage and quickly iterate on their STT model customizations with Model Adaptation.

Model Adaptation allows developers to customize STT specifically for their domains or use cases. Developers can maintain lists of words and weights that will be applied to either every request or just single requests, depending on their needs. Model adaptations are reusable and composable, so once developers have seen good results in the STT Cloud Console, they can deploy to their entire solution. 

The Speech-to-Text Cloud Console and Model Adaptation API is available now in all Google Cloud regions and languages and is accessible to all GCP users with no additional cost to that of the underlying API usage. The STT API supports over 70 languages in 120 different local variants. If you’re a developer looking for an easy to use, easy to integrate, and high-quality STT experience, sign up for our free trial and try our new interface on your own datasets today!