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Corey Tollefson, Infor | Inforum DC 2018


 

>> Live from Washington DC. It's theCUBE, covering Inforum DC2018, brought to you by Infor. >> Well good afternoon and welcome back to Inform18, we are live in Washington DC, the nation's capital for this year's show. Joining Dave Vellante and me is Corey Tollefson, who is the Senior Vice President and General Manager for retail at Infor. Corey good to see you today sir. >> Good to see you, good to be seen. >> Yeah, right (laughs) it is, under any circumstance right. >> Absolutely. >> So retail, you talk about a world that's kind of upside down now. The brick and mortar guys are, they aren't brick and mortar anymore. So talk about the state of the industry if you would a little bit since it's moved to the digital platform and how that's changing your work with it. >> It certainly was simple 20 years ago. Manufacturers manufactured things, wholesale distributors distributed things, and then retailers sold things. Right, and so the whole business model has been disrupted. Mainly because of the advent of the mobile phone, a mobile device. I said it last year it feels like everyday you wake up and it's very chaotic and there is a lot of disorder. And I think it's an amazing opportunity for retailers to reinvent themselves into a modern 21st century retailer. Everyday is a challenge but we're working on it. >> So what's it like, I mean, every retailer I talk to has this sort of Amazon war room. They're trying to use their physical presence to drive online. They're really getting creative. Amazon continues to do super well. There are those who are predicting the end of of retail stores because of AI etcetera. What's your take? You're knee deep in this business. >> Well I feel, I mean Amazon certainly is bringing a lot of downward pressure. It's the first digital, retail is the first industry to be digitally disrupted. It is happening in healthcare, its happening in manufacturing, but retail brought on the initial wave so to speak. And what I'm seeing is a lot of the middle of the road retailers that don't have too much of an online presence, their legacy brands that maybe had their following 20 years ago. They're going to get squeezed out because the middle in this group is going to get squeezed out. The high end brands that control their own brand image, they brand manufacture their own products, they also have their own retail stores. Those are the companies that are uniquely qualified to compete and thrive against Amazon because the last I looked having stores and having an outlet for immediate gratification of getting products and services is a good thing. The retailers that we are working with are combating that against pure plays like Amazon. >> But there's some consumer friction there right, and it's generational, so how we shop is different then how our kids shop. They look at retail in a very different, through a very different prism then we do. So how do you address that in terms of, how do you help your clients address that through different segmentation of their audiences and addressing those unique problems? >> Well even as a kid I remember that the retail shopping was a destination shopping experience, so we'd load up the family truck, and we'd go to a mall, and spend the whole day. There would be entertainment there, there would be restaurants to eat at. We'd shop and then we'd come home, it was a destination. Try doing that when it is 24 hours, seven days a week, 365 days a year on your phone, suddenly the social engagement, with social media, and Snapchat, and Twitter, and Facebook. Facebook is a little old for a lot of the younglings now, but the moral of the story is social media takes on everything and that's where the influence is. And that whole shopping experience it used to be, well I'm just going to get some product information and then I'm going to go into the store. That's been completely disrupted as well. One other aspect of this is the whole concept of consumerism is disrupted. There is a lot of, you know you look at a lot of the cool brands that are in other adjacent industries whether its Uber or Airbnb, they don't own any of their assets. Same thing is happening in retail, a lot of the new emerging brands are going to have disruptive business models. Like you go into a store and they don't even have any inventory. It's all made to order right. So there's a lot of disruption that's happening and we're working with a lot of brands to help. >> So talk about the next big thing NBT, next big thing in retail is that one of them? I go into a store and say that's what I want send it to my house, what else? >> Well I think one of the next big things that we're working on is the whole concept of machine learning. I think you guys have heard about this before, but the whole technology singularity where its the point in which there is no differentiation between engaging with a customer. Oh sorry engaging with a human versus engaging with a computer. We're not that far away and its a little bit scary. I think we talked about it a couple years ago but the whole concept is why do I need to interact with a human being for my shopping experience? I can just interact with a chat bot, for example. As long as I the customer gets the information I need to make an informed decision, I don't really feel weird talking to a computer anymore. >> Yeah so that's the idea of systems of agency, right, where the machine is taking action on behalf of the brand, and the consumer either doesn't know or doesn't care. >> Right that's right. >> So do you have customers that are on the precipice of doing that? >> Yeah we do. In one of the areas I have talked about this before, machine learning-based demand forecasting. So getting better at forecasting the right product, the right skew on a store-by-location basis. And what we do is we leverage a lot of the inherent capabilities of the internet. A lot of companies talk about cloud as simply a cost reduction. We view cloud as taking advantage of the world's greatest super computer which is the internet. And so, that's one of the areas in which we've been using machine learning. >> So what's the, you say the company, that mid-lane, or middle range, what are they to do now? Because they are kind of stuck, they have their challenges, they have this legacy approach that they are kind of in a tough spot. >> The die has been cast, if I was in their shoes, a lot of these middle of the road retailers. I would look at finding ways to optimize what I have. So whether that's optimizing your inventory, optimizing your labor. That's another thing we talked about, Charles this morning mentioned the whole concept of unleashing maximizing human behavior and unleashing human capital. For years we've been on shows like this talking about products, instead it's about engaging your customer. Everybody's a customer, if you're in healthcare you're a customer. In manufacturing distribution, you have customers. To look at it more from a human element around store associates, I think there's are a lot of middle of the road retailers that have an old iconic brand that could reinvent themselves with time and enough patience. >> How do you deal with the inevitable, well first of all how do your customers deploy your software? It's in the cloud. >> Yeah. >> It's in the Amazon cloud right? >> Well three years ago we made a fundamental decision that we were not going to be an on premise company. So we are a cloud-only applications provider. The second decision point we made was, do we want to be suite or best-to-breed. And when we say suite that was our decision. The third point was, how do you want it to be able to be deployed? So when I started off in this industry which felt like yesterday. I feel like I'm super old now, I started off as a software developer for a company called Retech out of Minneapolis. You know I was doing batch forms, and Oracle PL/SQL and everything was tied to the database, and the user experience was basically a graphical depiction of a database. (Dave laughs) But back in those days-- >> And it still is in a lot of apps. >> Yeah. In those days it was pretty much all about developing that individual code. I kind of lost my train of thought on that. The way you can deploy our assets is on an individualized basis. You can deploy our demand forecasting engine for example. You can deploy our allocation and replenishment engine. And when you tie it all together, you can have a suite that doesn't need to be deployed like it used to be in the old days is where I was going. Which is you have to deploy the whole data model to get all the information that you're looking for. >> Okay so in retail you've got the inevitable, oh well, I'm going to run this in Amazon, they're my big competitor, they're disrupting me. What's the conversation like with customers? How do you guarantee we're protecting their data, you point to Netflix and say hey it's working for them? What do you say? >> Well I think, I mean we're Infor, we're a big company. It's on a case-by-case basis. Yes we have a relationship with AWS and yes they are a strategic partner for us. That doesn't preclude the fact that we work with Google we work with Azure. We are cloud agnostic in retail so, it hasn't been as big of an issue as a lot of industry critics and analysts have made it out to be. >> So if there were an issue, you'd could run it anywhere you want. >> Yeah you just swap it out yeah. >> Alright I want to change gears here. Announcement on the stage today, keynote Van Jones from CNN was talking about #YesWeCode, an organization he has an affiliation with. You've created this, well launched an initiative NextGen. First off explain what that is but fill us back up to the genesis of that because as we found out just a few moments before it's a pretty interesting journey. >> Yeah. >> That you personally were involved in. >> Yeah, I know I am sure a lot of friends and family that know me well are going to be tired of hearing this story. I will give you the condensed version, which is-- >> Take your time. >> Growing up in Minneapolis, I was a huge Prince fan like most Minneapolis people are. And through serendipity I met Prince's brother, and Prince's brother pre-social, pre-internet, pre-mobile, put me on Prince's private guest list for parties at Paisley Park. And so here I am I had a loving family, and I can't believe my mom and dad would let me do this, but I am 16, 17 years old going to parties with Prince. And when I say parties I mean these were intimate parties, maybe the most was 50 people in his house. Sometimes there's like five of us, and what happened at these parties were he would play new music. If we danced and got up there and jammed with him, then he'd put it on an album. If it wasn't very good, or he felt like there wasn't a good strong reaction he put it in his vault. So we were a test case, a Petri dish so to speak, for his music. And I got to build a relationship with him as much as anyone that could. He was a very stand-offish person, but a brilliant artist, and a brilliant human being for that matter. I got to build that relationship and through that relationship I met Van Jones. We hooked up again at one of Prince's memorials a couple of years ago after his death, and we looked at each other and we connected and I said I'm in the technology industry. And he goes we got to talk because there's some things related to Prince's legacy we should really talk about. Which ties us back to #YesWeCode and the announcement we made today about GenOne. >> For GenOne excuse me I said NextGen. >> Yeah GenOne. >> My fault. >> Yeah no, no worries. And the genesis of this was Prince, Rogers Nelson, and Van Jones had a conversation right after Trayvon Martin was shot and killed. And a lot of people suspect the main reason was he looked suspect because he had a hoodie on. And here is an African American kid wearing a hoodie, they follow him and bad things happen right. Van Jones asked Prince directly he goes, you know clearly that guy was racist. And Prince said, think again, maybe if that was a white kid in Silicon Valley wearing a hoodie he'd be a dot.com billionaire, but because we haven't produced enough people of color in CEO level positions in our tech industry, that's on us. Meaning we need to develop more of our own. And so this project means a lot to us, because of the fact that we don't think diversity is just a check box that you have on your corporate mission statement. We think diversity can change the DNA of your company and it can influence better products, solutions, and services to our customers. So it's really important for us and this is just the first step of a multi-echelon, multi-year, multi-faceted program. That we want to take this and roll it out to the entire industry. I'd love for Salesforce and Oracle and SAP and Workday. I'd love for all of them to adapt a program similar to this. This isn't pride of ownership, it's the right thing to do and putting brilliant kids and brilliant minds that maybe came from a bad circumstance, they all deserve a chance too. And it only makes all of us better, and I feel like a lot of great things have happened to me in my career and I feel like I have to give back. And if I can be a small part of this with Van, so be it. >> So that's a very thoughtful response by Prince, and you were saying earlier Corey it was sort of hard to get to know him. Was that typical of Prince, was he sort of introspective and maybe pensive and prescient in that way? >> Well the piece the people that don't understand about Prince is that the whole story of his life is written in his music. And he's released over two thousand songs, you know I'm sure the family and the estate might see this but I've heard another couple thousand songs that have been unreleased and it's beautiful brilliant music and his whole life story is there. You just need to listen to the lyrics, or read the lyrics and listen to the music. >> So was... You mentioned this story, and I just thought 17-year-old kid, I mean with all do respect you don't look like one of Prince's friends right. You're a Minnesota guy, he was too, but just different and I think, did you ever just think that what in the world am I doing here? >> I had that moment, I will never forget that one moment. So it was probably the summer of 1995, Prince was standing five feet from me. He had his right hand strumming his electric guitar, his left hand was playing lead keyboard lines on the keyboard, his right foot was controlling the pitch of the guitar, the left foot was controlling the pitch on the keys, and he was singing vocals and dancing. And I said to myself, I pinched myself, and I said this moment in time, if Amadeus Mozart was standing here he would be blown away. Because there is nobody in the history of music that can write, produce all this great music, but also maintain that look, that image. And then the musicianship, he's a musician's musician. You know we talk about Lenny Kravitz, I ran into Lenny Kravitz about 20 years ago sitting on Prince's couch. He probably doesn't remember me, I am pretty sure he doesn't. >> We'll find out tomorrow night. >> We'll find out tomorrow, but I mean the moral of the story is he was a musician's musician. I'll never forget sitting on the couch and this really soft spoken gal said to me she was really nervous to perform tonight. And I am like don't worry you go this, and it was an 18 year old Alicia Keys. And Prince behind the scenes had been cultivating and developing talent whether its Beyonce, Alicia Keys, Nora Jones, you know. These people he helped develop behind the scenes, and no one really knew it. >> Well his band members were always incredibly talented. I don't know if you ever saw Prince live. >> Nope, did not. >> You've saw him many times. Man as he would say, that band was tight. (laughing) >> That's right. >> Well the program's a great legacy. >> It is. >> And one that is certainly not apparent, but it is great to know that back story to know the generation of that. What got going and certainly I think there's a lot seems like of emotional equity that you and the company have invested, to make sure it's successful as well. >> We think that it was Prince's legacy, but we feel like he has passed the torch between Van, myself and Charles. This really means a lot to us. So we want to take it to the next level so, we are pretty excited. >> Fantastic. >> Congratulations. >> Thanks for having me here. >> Thanks for sharing the story too. I'm glad and it's just wonderful and look forward to talking to Charles about it, when we have him on tomorrow. Alright back with more we are live here, theCUBE is covering Inforum18 in Washington D.C. (upbeat music)

Published Date : Sep 25 2018

SUMMARY :

brought to you by Infor. Corey good to see you today sir. Yeah, right (laughs) it is, So talk about the state of the industry Right, and so the whole business model has been disrupted. the end of of retail stores because of AI etcetera. retail is the first industry to be digitally disrupted. So how do you address that in terms of, Well even as a kid I remember that the retail shopping but the whole concept is why do I need and the consumer either doesn't know or doesn't care. And so, that's one of the areas in which So what's the, you say the company, and unleashing human capital. It's in the cloud. and the user experience was basically And when you tie it all together, What's the conversation like with customers? That doesn't preclude the fact that So if there were an issue, Announcement on the stage today, I will give you the condensed version, which is-- and the announcement we made today about GenOne. And the genesis of this was Prince, Rogers Nelson, and you were saying earlier Corey about Prince is that the whole story of his life I mean with all do respect you don't look like on the keyboard, his right foot was controlling and this really soft spoken gal said to me I don't know if you ever saw Prince live. Man as he would say, that band was tight. and the company have invested, So we want to take it to the next level so, Thanks for sharing the story too.

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