ServiceNow, Inc. (NOW) Earnings Call Transcript & Summary

October 30, 2024

New York Stock Exchange US Information Technology Software special 59 min

Earnings Call Speaker Segments

Michael Galello

executive
#1

Hey, everyone. Thank you so much for joining us today. We have a really exciting webinar for everybody, leveraging the power of AI with public sector digital services. I'm going to just jump right into things. Before I start, I have to flash this slide up. It's our safe harbor notice for forward-looking statements. To sum it up, the presentation may contain forward-looking statements that are based on our beliefs and assumptions, but that's just information that's available to us right now, and our plans can change. So I'm going to jump right into it. My name is Michael Galello. I'm the Product Marketing Manager for our Public Sector Digital Services product, and we're joined by some really awesome speakers today. So we're going to start with Andrej Danko. He's our VP and GM of Public Sector and Regulated Markets. After Andrej is going to be Ryan Griffin. He's our Principal Product Manager for Public Sector Digital Services. And then after Ryan is going to be Alaina Beaver, and she is the Head of Customer Engagement for Accessibility here at ServiceNow. So you've got 3 awesome ServiceNow presenters, and I'm your MC today. So the agenda today. We're going to kick things off with Andrej, who's going to be giving us a Public Sector Digital Services overview. Some folks in this audience may not have the solution, may want to learn more about it, you're going to learn a ton. And even if you do have the solution, you'll probably still learn some really interesting things from Andrej's section. After Andrej goes, we're going to have Ryan Griffin. He's going to talk about our most recent Xanadu release for the product, and he's going to talk about innovations that we've launched recently as well as road maps, so innovations that are coming that are really exciting that we're going to get to share with all of you. After Ryan, it's going to be Alaina, and she's going to be talking accessibility here at ServiceNow, what it means to us, what it means to you, what it means to your employees and the people that they serve. And it's going to be a really engaging agenda, hopefully, for everybody. Before I hand things off to Andrej, I just want to remind everyone, we do have Q&A in the chat, so ask your questions. We have a couple of experts here that are monitoring the chat, and they will answer them live. Anything that we don't get answered live, if it's a more complex question, we have your information and we will make sure to follow up with you afterwards so you get the answers that you're looking for. So without further ado, I am going to hand things off to you, Andrej.

Andrej Danko

executive
#2

Thank you, Michael, for the introduction, and I'm thrilled to be here today with you to talk about the overview of Public Sector Digital Services. I will talk about 3 things today: why we are here, how Public Sector Digital Services are built and what outcomes can government agencies and constituents get by leveraging these solutions. So first, let's start with why we are here. A few years back, when we started to think about how to articulate what we're delivering with Public Sector Digital Services, we really took an outside-in approach and started talking about delivering on missions, which governments and their respective agencies and departments are centered around. Public Sector Digital Services is a solution that helps to transform the citizen experiences that demand today trusted public services that are delivered digitally, that are equitable and that are accessible for all of them, regardless of where they are. Today, we will have a section on accessibility too, because it is an important aspect of delivery of the services. When we look at citizen experiences, we are initially focusing on 5 mission centers that deliver citizen experiences: public safety and emergency management, number one, delivering better outcomes during crisis, ensuring safety of our citizens and agencies; social services and public housing, enabling citizens to apply and get eligible for benefits; public health transformation, helping citizens to get the right health care; sustainable infrastructure and transportation, enabling agencies and constituents to get better access to infrastructure and to build infrastructure in a scalable way; and last but not least, revenue and budget modernization, how do we help agencies to get better access to money and get a better access to distribute funds through grants management and other use cases. These are the 5 areas where we focus Public Sector Digital Services today. Typically, when you look at the processes that government agencies run, and when we talk about processes, we talk in the context of ServiceNow about workflows to get the work done, you see a lot of automation on the front office. We have a pretty good constituent experiences through modern interfaces. But the problem and issue typically happens once a request is made. And think about the request, an agency requires from another agency a service to deliver or a citizen requires a benefit to be approved on or 2 agencies collaborating together to get an outcome done. The typical problem is what we call the swivel chair or the human middleware, where siloed technologies, different systems that do not communicate with each other, come into place that negatively impact both experience of whoever is the requester, and in addition to that, create inefficiencies in the process. The outcome typically is today that it takes weeks or months to actually get something approved or work done. The statistics from the White House, for example, says that $130 billion of constitutionally approved benefits never actually reach the end recipient today. And there are many reasons for it, but one of them is that the process end-to-end is broken. Agents and the middle and the back-office workers also spend a lot of time to getting these processes aligned in their heads rather than being supported by a system that helps them to navigate the workflows end-to-end, whether it's within one agency or across multiple agencies. And this is where ServiceNow comes in and helps to solve this problem. So our goal is to orchestrate and automate the work to enable the mission centers in an intelligent way. Not only ServiceNow can automate the front office interaction with other agencies or constituents through different channels and plug in new generative AI capabilities that help either agents to respond quickly to the questions of the constituents or even deflect citizen questions, we're able to orchestrate the work within an agency and across an agency in a truly digital way. And what do I mean by a truly digital way? Today, what happens is, as I explained sometimes ago, a request is made and then people need to actually start e-mailing to each other to resolve the incident. What ServiceNow is really great at is connecting that front office to middle office and back office and orchestrate that work end to end. Because in the end, a great experience is not only about how I interact with voice or web or e-mail with an agency, but do I actually get that service? Is that service fulfilled that I am looking for? And this is what truly ServiceNow is about, and this is what differentiates us from other solutions that are point-to-point solutions. Now how do we do this? ServiceNow is the AI platform for digital government. The word platform is really important because everything what we built is based on components that we assemble together. My favorite analogy for the ServiceNow platform is the LEGO system. We produce the system that we're able then in a compatible way to preassemble together and deliver various components or preassemble artifacts together. We have the powerful Now platform on the bottom that contains many key LEGO blocks or elements, whether it's workflow automation and orchestration, whether it's platform analytics, whether it's our GenAI and machine learning engines or whether it's the low-code environment in which our customers are able to extend and build on top of the platform. Next, we built a layer on top of the platform, which you can see there, which is the customer workflows. Customer workflows are really an extension of the platform that introduce all of the different capabilities and LEGO blocks that enable interactions with external parties. And in the context of government, external party can be a citizen, it can be a business, it can be another agency. So we really introduced this model and set of workflows that enable interaction between internal and external constituents or stakeholders between agencies. Sometimes it's called G2G or G2C. And next, we take and we introduce our industry workflows. And you can think about as industry workflows as an articulation of customer workflows in the context of an industry. And when we talk about Public Sector Digital Services, we're talking about all the different industries within public sector that require a framework that is related to government. So going a little bit more in detail in terms of the customer workflow. So the customer workflow foundation contains all the different objects and interactions and user interfaces that are related to external interactions. We have sales and order management, we have customer service management and we have field service management. Public Sector Digital Services extend customer service management and integrate with field service management that enable to deliver a holistic end-to-end experience towards any of the mission areas that I've mentioned a little bit earlier. Now we are not stopping only at this layer. We're extending also our understanding and what we deliver out of the box by analyzing what are some of the specific needs within the public sector that we should prepackage so we eventually reduce time to value and increase the speed of innovation in government. So let's have a look at some of the capabilities that we plan from a strategy perspective to deliver or which we have already delivered. So as I mentioned before, we have 5 mission centers that we are focusing on within the Public Sector Digital Services to deliver critical government customer services. Public safety and justice. It is very common to have investigative case management across many different aspects of delivery of services. Emergency response management, social assistance that we'll be talking a little bit more in detail today, child welfare, how people apply for long-term Medicaid, that's applications that we're delivering within the Public Sector Digital Services. Defense and national security, how do we improve service member and family member experiences, even how we think about better ways to workflow mission planning. Sustainable infrastructure, how do cities and counties issue licensing and permits, or even on a federal level, how federal agencies make sure that the licensing and permitting process is well orchestrated across many different agencies. How do we improve customs and border protection processes. And last but not least, revenue and trade modernizations. Governments collect money and then distribute money via different vehicles. One of them is social assistance, but a very predominant one is, for example, grants management through different type of grants. So how do we prepackage components that deliver on grants management workflows. So all of this is built on top of the Now platform and customer and service management foundation that is extended for specific items that are related to government. Number one, there is a government and constituent tailored foundation data model. So we can actually understand and extend a customer, and we can understand what is a citizen, what is a household, what is an agency and model all respective workflows, permissions and security that tie to these different elements that are extension of the generic customer and service management. There is a huge value in this because we're enabling better interoperability between the agencies by standardizing the model. As well as we are driving more innovation through the standardization, so when we will talk, for example, new generative AI capabilities, by leveraging the standard model, we're able to deliver out-of-the-box summarization and other type of generative AI-related functionality that just works when implemented. Last but not least, we're introducing the layer that supports agency-to-agency collaboration. A huge part of government is working across different agencies, whether there are agencies on the same level, whether it's between central, federal government and state and local government. So by introducing this layer, we're enabling customers either on one instance of ServiceNow or multiple instances of ServiceNow to collaborate with each other. So from a product strategy perspective, we're going deeper in all of these mission centers and verticals so government agencies can actually deliver on their digital promise faster. So what are some of the outcomes that our customers get when they implement and choose Public Sector Digital Services? First of all, it's faster time to value. We put a lot of effort and energy to think about what's that common denominator, yes? What's the standard? How should an extended data model look like for government agencies specifically? And we also put a lot of effort in terms of understanding how configurability and extensibility are built into this. Because everything that you do on top of products, Public Sector Digital Services is configurable and extensible. And because most of the agencies that collaborate have similar requirements, by implementing the standard, we're addressing and enabling what we call inherent interoperability because it's the same data model talking to the same data model workflow talking to the same workflow. So that's number one, time to value. Number two, iterative transformation of services. The way how we both release the product as well as how the product can be adopted is in an iterative and incremental fashion. We have customers on the state level that started with digitizing one service, whether it's social benefits delivery or issuing a license for a specific type of entity. And then gradually and incrementally, they've introduced multiple services, which both enabled agencies or constituents to get as well as the employees who fulfill them to get onboarded. So this is really, really powerful because not only you can do this step by step, but over time, you can also learn what approaches are working for the change management, which is the most critical part. Typically, technology is not the part that's the blocker. Typically, it's the change management that is required to educate people how they should fulfill a new service or how they should apply for the new service. And with this iterative approach, you're able to incrementally introduce a service and then expand as we go. Now with this, we're quarterly releasing Public Sector Digital Services. Ryan is going to talk about the latest release, the Xanadu release and what we are there. And as we are releasing new capabilities and new functionality, you are able to update them and make them part of your workflows, making them more efficient with better outcomes for the constituents. Now the last thing that you get, and I call it this 10x return on investment, the more you do on the platform, the more services you activate, implement and roll out, the better the ROI. And why is that? Well, number one, you're reducing the number of different systems that need to be maintained because you're standardizing everything. Number two, you're reducing the burden both on the employees as well as the constituents, whether it's citizens or agencies, how they should work. So the learning curve is faster, or smaller, if you will, and it enables better productivity. And last but not least, you can start observing synergies which actually provide a better outcome for the citizens. Synergies such as you apply once, but you can understand multiple benefits that you're able to get. An employee can actually evaluate multiple requests, find duplicate requests and reduce potentially fraud. So there is a lot of inherent value in doing more on the platform that eventually leads to a better ROI for you and your agency. You can also co-innovate with us. So I'd like to invite anyone who has ideas what to improve in the product to give us feedback and provide input what other capabilities, or these LEGO blocks, if you will, we should provide out of the box so you get faster time to value, you can iterate faster in terms of adopting and rolling out services and you get a better ROI. Last thing that I will mention before I will hand it over to Ryan. As any provider of solutions, we understand that we're not coming into an environment that's a blank slate. We're coming into an environment where there are maybe multiple system of records, multiple systems that require interoperability and working together. ServiceNow is a single data platform that is optimized for AI analytics and faster workflow performance. We can be the system of action if you have other system of records and provide a unified overlay, both for government agents and employees as well as citizens, but we also can become a system of record for entities that you want to start standardizing and consolidate on the ServiceNow platform. So we give you the option of doing both. And when we talk about the system of record, we talk about -- in our terminology about knowledge graph. Because the more you start storing within ServiceNow about businesses that apply, about citizens that apply, about visitors or other agencies that work with you, the more you're integrated with other systems, whether it's identity providers or the more services you provide through, the more we start to know about these different entities and relationships and the better outcome we can provide over time. Now it's completely up to you what's your journey and your ecosystem, but ServiceNow can be both the system of action, it can be also the system of record for the entities that you choose to. Second, which is really most important is, in order to deliver, and this goes very deep into the AI story, in order to deliver highly personalized, almost bespoke experiences to agency workers, to citizens or to businesses, it's required that we have the data. And then through the data, through the knowledge graph, through that understanding, we can provide experiences that are tailored to those entities that are interacting with ServiceNow, again, being employees, being citizens, being agency workers. Case in point, I'm a citizen, I'm applying for a benefit. If the knowledge graph contains information about me, about my starters, about my income, and it also contains information about the services. And in this case, the social services that people might be eligible to, we can create a completely personalized experience that tailors what you can be offered, what you might be eligible for based on this information. That is only possible because of the knowledge graph and because of our AI toolkit, including the GenAI toolkit that we're bringing into the platform and surfacing through Public Sector Digital Services in a way that's understandable for those entities. Last, I will mention trust and security. I guess the most important thing when you are a system of record of an action, the platform, starting from our cloud to our platform security to access level and controls, has the highest degree of control in terms of maintaining privacy and security of the data, of the citizens, of the businesses, of the agencies, of the employees. We are aware that a lot of sensitive data is going to be stored and processed within ServiceNow. So trust and data and workflow security authorization and authentication play a significant, if not the most important role in the way how we design all of the experiences. So with that, I would like to hand it over to Ryan, who is going to walk us through Xanadu, our latest release, and talk about what we have prepared for you around improving citizen experiences and generative AI. Ryan?

Ryan Griffin

executive
#3

Thanks a lot, Andrej. My name is Ryan Griffin. I am a product manager here at ServiceNow, working specifically on our industry product known as Public Sector Digital Services. I'm going to take the next couple of minutes to run through some recent innovations with you and what we've launched as part of the Xanadu release, and then share a little bit of information about where we're planning to go in the upcoming quarterly store releases. So with that, I'm going to get started with a very exciting innovation that we launched earlier this year, known as Now Assist for Public Sector Digital Services. So really cool capability in that we started with case summarization, which basically summarizes a whole host of case information for agents working in a variety of government agencies. Some of the key benefits here are really the ability to provide accessible self-service when -- and reducing costs within these government agencies. And how we do that is, as I said, we take all the case information that may have been generated across one or more case agents and summarize that into meaningful bite-sized pieces of information so that case agents don't have to read through pages and pages of case data in order to understand what has taken place and then what some of those next steps may entail. And in turn, what that does is really improves agent productivity. As you can imagine, hours that would be spent on reading through case information are reduced to mere seconds. And so case agents are really able to focus on more value-added activities such as serving the constituents. And then last but not least, really an improvement around accuracy and speed. I think the speed speaks for itself. But in terms of overall accuracy, again, it kind of minimizes that human interaction and looking through case information, maybe reaching out to other case agents and really focuses in on what has taken place throughout that case so they can work on immediate next steps, as I described. So that said, I really wanted to just talk a little bit about what case summarization means to you. So as I said, we launched this back in August of this year. And what we've done is we've trained our models with government case information, so a variety of different use cases that are in Public Sector Digital Services, but we've trained our model based on those government cases, okay? And really, what we're looking to do is, as I mentioned, empower those case agents to quickly act on cases and determine what those next steps are so they can really improve the overall experience to the constituents that they serve. And all of this can be done on demand. It's literally clicking a button within the case, and that takes in all of the previously generated case information. It takes in work notes and things like that and really summarizes it down into a clear, distinct couple of sentences that can be actioned on by case agents. And all this data is powered by our Now LLM. I also wanted to share a little bit about one instance capabilities that we have in a multi-agency scenario. This is super important because, as you can imagine, agencies need to collaborate with one another and they need to do so really in a secure way, and they need to make sure that the information that they're sharing is effective and that they can communicate clearly whenever they're serving citizens. And so I'd like to just share this simple example about a Freedom of Information request act, or an information request, as it's known in some jurisdictions. Basically, what happens in this fictitious scenario is that maybe we've got a reporter out there who's looking for a piece of information about environmental protection. That request could come in at, say, the state or local level. But the information that's gathered might require that state or local government agency to actually interact with, say, a federal agency such as the EPA. With the power of the Now platform and PSDS, we're able to share that information directly from that federal agency down to the state and local government agency using our technology. And in return, that simple request that's been submitted by a reporter can be fielded and the information that's provided can be holistic and really suit their needs. All right. So I just want to show you a brief video of our case summarization functionality within the agent experience. The video you're about to see demonstrates 2 main capabilities of our Now Assist for Public Sector Digital Services. The first being an agent experience where the agent goes into a case and takes all of the previous information that's been generated about that case and summarizes it down into that unique, small digestible set of sentences that I described. And then our second video really illustrates the power of being able to get a quick update using our CSM/FSM agent workspace on what has taken place throughout that case's life cycle. We have our Now Assist for PSDS panel. And it's really there where the agent can click that summarize button and generate that case summarization using all of the information that's been generated about that case. They can also post this information directly to the work notes and add to those work notes for future reference. And then secondarily, as I described, we also offer summarization within that CSM/FSM workspace, where you can see here an agent might be looking for a quick summarization to learn what is taking place. And they can easily call up that case number and see all the summarization regarding that case. All right. So moving on, I want to talk a little bit about some of the recent enhancements that we've had throughout this year in Public Sector Digital Services. And one of those exciting enhancements involves an earlier playbook that we launched known as our Information Request Playbook. I used this playbook as an example earlier when I was talking about foyer requests and how multiple agencies can solve and service foyer requests for the big constituents they serve. So one of the major enhancements that we made to that playbook this year was to deliver document redaction capabilities. And what document redaction is and why it's so key is oftentimes government agencies, when they're sharing information, can't necessarily share the full breadth of that information. For example, maybe persons' names, maybe key identifiers such as a social security number or a social insurance number have to be redacted from these documents. And as part of our solution, we wanted to introduce document redaction capabilities. So again, we minimize that swivel chair action between other systems that provide document redaction capabilities and our information request playbook. And so some of the benefits of this call-out is, again, we've kind of got that one-stop shop, if you will, to not only service that request, but also redact information directly from within the playbook experience. Likewise, we're trying to reduce that overall administrative burden, right, by looking up documents, finding certain text that needs to be redacted. It now can all be done within 2 main ways, either directly searching for text and locating bodies of text to redact, or simply hovering your cursor over bodies of text and denoting that, that text be redacted from the document. And all of this is done within a secure repository to basically conversion control and make sure that the right people that have the right permissions are accessing these documents before they're shared with the general public. So then I've shared a little bit about what we've been up to over the last couple of months and what we've launched as part of the Xanadu release. I want to talk a little bit about where we're going over the next few store releases. And I want to share a little bit about where we are today and some of the key innovations that we've launched throughout the past year. And then I'll quickly get into where we're planning to go throughout our Yokohama, Zurich and beyond. So just to quickly recap, I chatted a little bit about -- Now Assist for Public Sector Digital Services and that case summarization functionality that we launched in our August store release as part of Xanadu. But I also want to quickly touch upon some of our packaged government applications that we launched late last year and into this year. And those include our Information Request Playbook, which I talked about earlier when I introduced our document redaction functionality; our Social Benefits Playbook that we launched earlier this spring, which includes a full end-to-end experience for government agencies to manage social assistance programs such as child care, housing assistance and maybe even unemployment assistance. It provides that end-to-end experience that entails not only the application for such a benefit, but the management of that application and ultimately, the ability for government agencies to render a decision on whether or not to grant that benefit program to the applicant. Another really cool piece of innovation that was launched as part of the Social Benefits Playbook is our eligibility rules determination engine. What this basically is, is a piece of functionality that really codifies those eligibility rules that are typically managed within a government agency and utilizes case information that's coming in via that application to objectively determine whether or not a person is able to qualify for such a benefit program in which they're applying. Another cool playbook that we stood up late last year is our licensing and permitting playbook. Again, this provides the full end-to-end experience for government agencies to manage a full suite of licenses or permits and takes it from that initial application through that processing phase and ultimately provides the government agency the ability to either approve or reject that license application. Last but not least is our Service Request. It's one of our original playbooks that we launched as part of Public Sector Digital Services. This is 311 here in the United States. And again, it provides the ability for government agencies to manage 311 requests within state and local government. Constituents can simply submit these requests for services such as a pothole fix or maybe graffiti removal, and then allows that government agency to manage that request throughout its life cycle, ultimately dispatching field services out to the local communities to manage and ultimately close out these types of requests. Looking ahead to 2025, as part of our Yokohama release, we're really shifting gears and focusing on some federal government or central government use cases. We're starting off with our first release early next year that involves grants management. We're putting together a solution that really covers all aspects or all phases of the grant life cycle. This includes pre-award, award, post-award and closeout phase. And really as part of doing so, we're providing grant program managers the ability to stand up and manage all aspects of a grant as well as managing the application intake process straight through scoring, which could involve either internal parties or external third-party evaluators through the distribution and ultimately, the ongoing management of a grant. From there, we're also focusing on some -- continuing our evolution throughout the Now Assist for PSDS capabilities. Here, we're switching gears from basic case summarization to starting on chat summarization and analysis search as well as deep verticalization of our generative AI capabilities for government-centric use cases. These things include such examples as eligibility summarization, so taking policies and pieces of legislation that govern eligibility surrounding social assistance programs and distilling all of that information down into meaningful bite-size chunks for prospective applicants to consume. Additionally, we're looking at things like summarizing known information or profile data about historical applicants to potentially recommend future programs to them that may be beneficial for them. Throughout Yokohama, we're also considering our journey in the federal government and central government spaces by launching a net new investigative case management solution. These solutions really entail managing all aspects of things like fraud complaints, whistleblower complaints, things of that nature, and really providing that full end-to-end capability to manage these types of complaints. We're also looking at managing things like evidence and persons of interest that are really key components to the investigative case management space. Fast forward now out to 2026 and beyond, some of the things that we have planned for Zurich include our emergency response program management solution. Here, as you can imagine, agency-to-agency communication and coordination are paramount. And so again, we want to provide that full end-to-end solution to manage all aspects of emergency program management. And these things would include, obviously, managing resources, managing volunteers, and again, really making sure that multiple agencies, whether it be at the federal government or state or local government, are able to work together when emergencies occur. And then last but not least, as part of Zurich and beyond, we're really focusing in on internationalization. And specifically, what we want to do is localize our upcoming and legacy playbooks for very specific areas throughout the world so that it makes it very easy for them to stand up our playbooks and get time to value. So we're going to be focusing on key jurisdictions and key geographies throughout the world to localize those playbooks to make sure that they are as easy as they can be to stand up and get using by various government agencies. So hopefully, that provided you a good insight of where we are today with our Xanadu release and where we're thinking of going in the upcoming family of releases. I really want to show the evolution of Public Sector Digital Services. It's our product that launched approximately 2, 2.5 years ago. And since its initial inception in our San Diego release, it's really grown in terms of a portfolio of capabilities. So I'm not going to exhaust the slide. As you can see, there's a ton of innovation that has been released over the last 6 family releases. But it's important to know that we're continuing to grow the product in Xanadu and Yokohama and beyond. And then just lastly, I would like to close in talking about generative AI capabilities. This slide illustrates the power of all the generative AI capabilities that exist on the ServiceNow platform. And I want to highlight that in Public Sector Digital Services, you can draw from the customer service management, or CSM, capabilities that you see highlighted here on the screen. But also, we're continuing to develop, as I mentioned earlier, very detailed, very government-centric use cases to support our government agencies with generative AI. We launched, as I said earlier, case summarization, and we're quickly moving forward towards chat summarization, Now search and really working on some of those other government-centric use cases that I mentioned, such as eligibility summarization and recommended next best action when viewing a constituent's profile. So with that, I hope I provided you a good overview of what's been newly released as part of Xanadu and where we're planning to go with Public Sector Digital Services. I'll now turn it back to Mike, who's going to introduce our next section. Thank you.

Michael Galello

executive
#4

Awesome. Thank you so much, Ryan. It's really exciting stuff seeing what's already been released in the product, what just got released in the product and what's coming. I get excited and I hear about it every day, all day. So we're going to wrap up that portion of Public Sector Digital Services, and we are going to transition to our last section of the day, on accessibility. So I'm going to hand things off to Alaina Beaver, and she is going to walk us through our strategy on accessibility and show you some really cool stuff that came out in Xanadu very recently. So Alaina, take it away.

Alaina Beaver

executive
#5

Awesome. Thank you so much, Michael, and hello, everyone. It's wonderful to be with you all today to talk about our accessibility strategy and the exciting things that we've done in Xanadu. So let's jump into it. I'd love to start with this slide first, though. Just for those of you who might not be as familiar with the accessibility work that happens at ServiceNow, if you're only going to remember a couple of key pieces of information, I really want you to know that we are deeply committed to accessibility and how we are leaders in this space. So our commitment extends through our conformance and innovation cycles. We're embedding accessibility into the product development life cycle at ServiceNow. And that means we're striving to, of course, meet our international standards of web content accessibility guidelines, 2.1 AA, and working ahead to proactively meet 2.2 standards and even 3.0. And as we are engaged in that work of making the product better, we're also deeply committed to listening to our customers. So you all are really where it's at for us. We love talking with you. We have a Product Advisory Council that I'll speak to a little bit more at the end as we wrap up because your feedback is absolutely invaluable in setting our road map. And lastly, I do want to touch on something that I'm personally very proud about, very excited about. Our company, ServiceNow has recently made the Fast Company Awards list as the 2024 Best Workplaces for Innovators. And we won that award for the first time this year on the strength of an accessibility innovation that I'm going to demo for you in just a little bit. So this is a very exciting product that we are actually giving away for free, and we're thrilled to be able to talk about it as part of the Xanadu release. So before I jump into some of the more detailed pieces that I mentioned, I do also want to just mention that at ServiceNow, we really think about accessibility from a broader perspective than just disability. A lot of times, people think about accessibility and think about permanent disability, but that is actually a very small portion of the population overall, about 16% of the population globally, 1 in 6 people. In other developed countries, that's a little bit higher. The numbers go up to about 20% up to even 27% in Canada, 24% in the U.S. So it's actually maybe not such a small portion of the population. But when it comes to how we design, we design for a broad diversity of experiences. And so it's really important to sort of unlearn this idea that accessibility is just about disability. And really, accessibility is about enabling people with the power of choice, the power of being able to customize the UI for whatever need you may have, be it a temporary need or a situational need. So hopefully, as you're looking at this grid, you see yourself in here or someone that you love, and you can appreciate in respect to the broader context in which we work when we really focus on accessibility and usability for everyone. So let's jump into some highlights from Xanadu. So we are continuing to upgrade our required conformance across all of our remaining components and our third-party TinyMCE rich text editor. We have upgraded our key configurable workspaces and our admin center to 2.1 AA, including having reflow available through all of those experiences. We introduced PDF tagging as an option for Word to PDF documents, so you can download PDF documents that are fully accessible and tagged for screen reader users. And then here's the exciting one. I'm going to be demoing for you today our Chrome extension for users with dyslexia, and this is to help improve and customize the UI so that people can read more effectively and efficiently. And then we also in Xanadu introduced UI Builder Assistant for business units to aid with accessible configuration. We are working on an ongoing project called Voice Assist and page summarization. And we've submitted a great proof of concept and have a great POC that's launching in Xanadu, but more to come very soon in our upcoming releases in 2025. That one is going to be a big one too, very exciting. And then we are always working on addressing targeted lists of high-impact defects across the platform and products. A fun fact, across the past 3 years that our team has been working on accessibility, we have addressed and fixed over 11,000 issues for accessibility. So for those of you who've been with us for a while, you'll have noticed that the experience is vastly better, vastly different from how it used to be in the past, and our commitment in this space runs really deep. So we are here and we are going to make sure that whatever problems you might encounter in regards to accessibility, we address them. So if you have any questions at all, please do reach out to our team because we're always happy to talk with you about accessibility or any usability concerns that you may have. I'm going to jump into a discussion of our text adjust plug-in. So this is the award-winning product that I mentioned. This is the one that we submitted to Fast Company and for which ServiceNow has made that top innovative workplaces list for the very first time. The text adjust plug-in is a free Chrome extension. This was our fastest way to go to market with this functionality. And although it will be coming as a baked-in part of future releases, right now, it's available as a Chrome extension. And so I'm going to show a little bit of what that's going to look like here in our live demo really soon. But basically, what the Chrome plug-in will allow you to do in ServiceNow, but really on any website for which you're using Chrome as your browser, you can adjust the UI in dynamic ways to make it easier to read, which can be a real game changer for people who have dyslexia or for people who are ADHD or have any kind of cognitive learning impairment. And so being able to snap the font into 1 of 4 dyslexia-friendly fonts and the ability to adjust the font in 4 dynamic ways will allow people to really customize the reading experience on their UI and enable them to be more effective and productive. So let's take a look at what that's going to look like. So we are going to get into a video recording and I'm just sort of scrolling through and showing you the text, the different kinds of text available on the screen. I'm opening up text adjust and toggling it on. And from here, I'm activating the font family, and I'm going to select Comic Neue from the drop down. You'll see that all of the text in the UI has changed. And now under text spacing, I am increasing the word spacing as well as the line spacing. We can also change the line height and create more white space in the UI. And then I'm kind of scrolling down a little bit until we get to an area where there's some paragraphs to show you the next one, paragraph spacing. Obviously, it's adjusting the space even more on the UI to increase the space between paragraphs. So 4 dynamic font families, 4 dynamic ways of changing text spacing to improve [Audio Gap]. Right now, that is available in the innovation labs in ServiceNow, and it's coming to the global Chrome store very soon. So if you don't see it at the time of this reporting for this webinar, then check back with us, and we're happy to give you an updated ETA on that global Chrome store availability and provide you with a direct link to get it from the ServiceNow store. And then as we wrap up today, I wanted to show you that we have a Product Advisory Council for accessibility. It's 55 logos strong, 30 in the public sector, 25 in private sector. And I hereby invite you that if you are interested and want to get involved with us and to be beta testing some of our great new tools for accessibility or provide us feedback, if you have any ideas of things that you would like to see happen in the accessibility space, get involved with us. We would love to have you join us for the 2025 cohort. And yes, this year, we've had really rich, engaging conversations as a community of practice. So it's not just sit and get. This is an opportunity for you to be dynamically involved with a community of accessibility practitioners who really are solving real problems every day on the platform and making things work better for everyone. So that's all for me for our accessibility strategy and highlights in Xanadu. I'm going to turn it back to you, Michael. Thanks so much.

Michael Galello

executive
#6

Thank you, Alaina. I really appreciate it. I always love hearing about accessibility. It's not a product that I'm focused on day in and day out like Public Sector Digital Services, so I always love when we're able to have you join us and talk about all those really, really great features. And also, thank you, Andrej. Thank you, Ryan. That was an awesome overview, awesome recap of Xanadu, and I love the road map, super exciting stuff that is coming out. So where does that leave us? What next? You attended the session. Hopefully, you found that you got a lot of great information. There's a couple of things you can do. You could explore apps on the store. You can engage in the ServiceNow community. If you're not already a member, let's fix that, get you signed up. We're always in there interacting with our user community. And it's not just one community. There's really -- there's a lot of different communities for a lot of different groups, so you're sure to find what you're looking for. And then lastly, if there's something that you'd like to dive deeper into or you want to schedule a meeting, please reach out to your account rep and schedule that. Maybe they could give you a demo on what you're interested in. So I definitely encourage you to do that as well. And lastly, before we all wrap, I just want to highlight our ServiceNow Federal Forum event that is going to be happening in February of 2025. Don't let the name fool you, it is open to federal, state and local governments. It's going to be a really great event where attendees can explore how government innovators are creating unified experiences across their enterprises. This year, we're going to have sessions that cover digitizing manual processes, unleashing innovation on your services, implementing Zero Trust architecture, improving infrastructure, improving cyber defense capabilities, total experience. I could talk forever. It's going to be a really great event, and I definitely encourage you to scan that little QR code on the bottom right, and it's going to give you updates when registrations go live. So that concludes all of our content today. I really hope that everybody got a lot out of this. I hope it gets you guys thinking about new ways that you can improve the way your governments are operating. And hopefully, you have some questions. So reach out if you need anything. And we all -- I can speak for all of us, thank you so much for attending and spending some of your day with us today. Have a good one. Bye.

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