cloud disruption: the immediate need for new integration strategies
TRANSCRIPT
CONFIDENTIAL | © 2015 Scribe Software Corporation. All rights reserved.
Cloud Disruption
The Immediate Need for New Integration Strategies
CONFIDENTIAL | © 2015 Scribe Software Corporation. All rights reserved.
Housekeeping • The recording will be available to you 2 hrs. after the webinar• Icons at the bottom of the slide deck allow you to:◦ Adjust sound◦ Participate in Q&A◦ Contribute to the discussion on twitter @scribesoft –#DataIntegration
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• You can ask questions at anytime but we will answer all questions after the presentation is over.
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Presenters
Holger MuellerPrincipal Analyst & VP
Constellation Research
John JosephVP, Marketing
Scribe Software
© 2010 - 2014 Constellation Research, Inc. All rights reserved.
TM
Cloud DisruptionThe immediate Need for New Integration StrategiesJune 18th 2015Holger Mueller (@holgermu)
© 2010 - 2014 Constellation Research, Inc. All rights reserved.
Where will your business be in 2020?
5
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52% of the Fortune 500 firms since 2000 are gone
6
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1957 2003 2013
75
25
10Average age of a company joining the S&P 500
7
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State of boardroom priorities in 2015Investment in digital presence
Consistent delivery of customer experience (CX)
Digital transformation of the business
Rapid response to non-traditional competitors
Creation of insights driven business models
© 2010 - 2014 Constellation Research, Inc. All rights reserved.
State of boardroom priorities in 2015Prioritized development of high performance culture
Readiness for inorganic growth
Mass automation of work and thought
Efficiency in post merger integration
Cost reduction of regulatory and security compliance
© 2010 - 2014 Constellation Research, Inc. All rights reserved.
Digital creates winner takes financialsOverall Market Share Percentage of Profits
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Do you remember…
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… for example …
It used to be simple…
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… which industries are next?
When is your turn?
© 2010 - 2014 Constellation Research, Inc. All rights reserved.
The business model shift is here• Product companies give
away product for service revenues.
• Service based businesses sell experiences at varying price points and service levels.
• Experience based businesses selling business models
• Business model companies sell peace of mind.
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4 Phases of Transformation
1950 2014 20502020
Legacy Phase
Oppor-tunity
Catch up
Inflection
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So what happened and is happening?
Technology Capability > Business Practice
…
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© 2010 - 2014 Constellation Research, Inc. All rights reserved.
So what happened and is happening?
Technology Capability > Business Practice
…l …
Next Gen Business Processes are created
17
© 2010 - 2014 Constellation Research, Inc. All rights reserved.
So what happened and is happening?
Technology Capability > Business Practice
…
l
……
IT needs to accelerate
Next Gen Business Processes are created
18
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In the beginning there was…
Who typed a letter in business 60 years ago?
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Business Practice Innovation is… hard!
21
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It used to be simple…
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Or was it hard?
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The ever falling cost of 1 GigaByte
Opportunity cost of this webinar pays for 10 years of all your work & personal data.
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Cloud Economics
From James Hamilton presentation at Amazon AWS re:Invent 2014
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So what is the ‘Cloud’?
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Is Cloud real?
28
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It’s almost impossible to build new software in 2015 without using the cloud
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And it’s hard to get (new) Enterprise Software for on Premise
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Some Cloud Stats
3B Internet Users15B Devices380% Storage Growth530% IP Traffic Growth
Cloud Drivers
JapanAustraliaUSA GermanySingapore
Cloud Readiness
Increased Efficiency Improved Employee MobilityIncreased Ability to Innovate
Cloud Benefits
• Test, Dev & Pre Production
• Business critical Applications
• New Production Workloads
Cloud Usage
• Conferencing & Collaboration
• Office / Productivity Suites
• Storage• Messaging• Business Process Apps
Cloud Apps
• Price• Security• Technology Unknown• Not well understood• Incompatible Apps
Cloud Inhibitors
Sources – Intel, BSA, iWeb (3), Statista
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… enterprise software has been constrained
Enterprise Software Usershave been constrained
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Fundamental Shift in ComputingConstraint Based
ComputingDemand Based
Computing
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Example: Data to BigData
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Example: Analytics
Data Analytic Model
Predicted Future
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Single Model to n Models
Data Analytic Model
Predicted Future
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Hard to spend more on running all available analytical models overnight than on a burger
37
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© 2010 - 2014 Constellation Research, Inc. All rights reserved.
What triggers integration needs?
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TechnologyTrigger
• Move to Cloud• Mobile• Social Integration• ….
Business Trigger
• New Business Model• 21st Century Best
Practices• More user types
Statutory Trigger
• Legal Changes• Compliance Changes• Data Residency• …
© 2010 - 2014 Constellation Research, Inc. All rights reserved.
© 2010 - 2014 Constellation Research, Inc. All rights reserved.
© 2010 - 2014 Constellation Research, Inc. All rights reserved.
© 2010 - 2014 Constellation Research, Inc. All rights reserved.
© 2010 - 2014 Constellation Research, Inc. All rights reserved.
What does it mean for IT?
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So will it be Data Center to …
So will it be Data Center to Fitness Center?
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IT Department 2025 – ‘All in’ Cloud
Apps IT
DB Administrators
Network Engineers
Storage Specialists
Virtualization Specialists
Hardware Experts
Strategic IT
DB Architects
Sourcing Specialist
Data Retention Expert
RIP
RIP
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New IT Roles emergeMobile Pro
Open Source Expert
Cloud Champions
Business Process Guru
Help Desk Maven
“No enterprise function will be transformed more and
need to re-invent itself more in the next age of computing
than the IT department.”
Holger MuellerConstellation Research
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IT has a key role!
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We are in the 2nd Mainframe Era
50
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But the reality…
51
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NextGen Apps
52
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SaaS
Hybr
id C
loud
Mul
ti Cl
oud
Ope
nSta
ck
BigD
ata
PaaS
Pric
e Pr
essu
re
Acqu
isitio
ns
Part
ners
hips
9 Cloud Trends to be aware of
© 2010 - 2014 Constellation Research, Inc. All rights reserved.
7 Steps to your Cloud Strategy
Negotiate favorable
contractual terms and conditions
7
Select which Open-Stack
vendor fits best
6
Can you afford
the GAMO
cloud vendors
?
5
Evaluate your
custom code
develop-ment
strategy
4
Assess Road-
map Impact
on CAPEX &
OPEX and
adjust
3
Design Cloud Road-
map for 3 years
to come
2
Assess Cloud Foot-print
1
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5 Strategies To Be Ready for 21st century Integration
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Technical Debt Reduction is mandatory
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Avoid spaghetti Integration
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Instead Aim for This!
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Win the Integration Fight
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Look for vendors
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Thank you
Holger Mueller+1 650 395 [email protected]: @holgermuhttp://enswmu.blogspot.comwww.ConstellationR.com
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Managing the Cloud Disruption: Integration Lifecycle Management
John JosephVP, Marketing
[email protected]@jjoseph100
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The “Connected Software Age” – Cloud Adoption has Led to a Connected, Best-of-Breed World
Customers increasingly expect• Integration is available – a “must-have”• “Out of the box”, low burden integrations• Cloud and on premise integration
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Integration Providers Face Different Challenges, But Share Common Concerns
Common concerns: agility, total cost of ownership, repeatability
IT Departments• Many apps• All app categories• Many departments
SI/VARs• Several apps• Fewer app categories• Many customers
SaaS Providers• One app• Fewer app categories• Many customers
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The Most Common Integration Approach Puts Time to Market & Satisfaction at Risk
• Slow approach requires learning API and coding• Not a core competence• High skills required• Risks higher customer dissatisfaction from higher
cost, slower deliveryCustom Integration via API
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Custom Coding Can’t Keep Pace When You Need Lots of Connectivity
First connection is… • Difficult• Disruptive• Time consuming• Costly
Now do it 10 more times! • All consuming• Varied quality in results• Not “core”• Hard to maintain
And support and maintain them over time “Impossible”
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SaaS and Connectivity Demands Are Shifting the SI-Customer Relationship Toward Retained Services
Data conversionIntegration services to legacy appsRun state management
Software customization
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Custom-Coded Integrations Require Cost, Time, and Skill Investments that are Underestimated by Most
Of the TCO for deployed software comes from maintenance costs
Dev Costs
Maintenance & Operational Costs
Initial Infrastructure5-20%
Deployment Personnel5-15%
Ongoing Infrastructure5-15%
Ongoing Personnel50-85%
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If You Don’t Consider the Entire Integration Lifecycle, You Don’t have an Integration Strategy
• Environment support (cloud and hybrid)
• Staging and production tools• Packaging options
(managed, unmanaged)
Commercial
Design
DevelopDeploy
Run
• Rapid prototyping capabilities
• Balance of control vs. speed
• Ability to customize and extend
• Documentation for maintainability
• Branding• Pricing and licensing models• Provisioning process• ROI
• Performance and scalability• Reliability and security• Instrumentation and
management API’s • Management tools
• Resources and documentation
• Expert advice, training and support
• Pre-built solutions• Development fees
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Scribe Integration
Platform
Integration Platforms Offer Easier Access to Dozens of APIs
Pre-built Connectors
Pre-built Connectors
Drag and Drop
Mappings
Cloud or On-Premise Platform
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Commercial
Design
DevelopDeploy
Run
Scribe Offers a Low-Risk, Agile Approach for the Entire Integration Lifecycle
• Cloud and hybrid support• SDLC tools (build, test,
stage, production)• Managed, unmanaged
packaging options
• Private labeling• Wholesale licensing• Self-service provisioning• Pay as you benefit
• Expert architectural help• Low-no dev time fees• Extensive resources,
including samples, and support
• Clicks, not coding• Self-documenting interface• Drag and drop mapping• Collaborative tools • A full set of debugging tools
• Azure performance, scalability• Unified integration
management console• Instrumentation and
management APIs• Agile, multi-tenant
provisioning
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Integration Lifecycle Management is about Processes as Much as Technology
Project Plan
• Key Participants• Object Model• Systems of
Record• Project Goals
and Details (in plan language)
Design
Run
Monitor/Alert
Deploy
Change Management
Phased Approach
In-line Debugger
Develop
DocumentCollaborate Reuse
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Webinar/Virtual Training SaaS Provider Gains Fast Connectivity, Agile Deployments
• Lifecycle benefits◦ Connect to 10 CRM and MA systems ◦ 2 man months vs. 60 man months◦ Customized integrations within days◦ Staffed by business analysts
• Differentiated service delivery
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Marketing Services Firm Automates Sales and Deployment Through Self-service Portal
• Lifecycle benefits◦ Integrations configured and running within a couple of hours ◦ No interaction from LyntonWeb required◦ More profitable deployments◦ Increases sales opportunities to all size organizations
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Hospitality Leader Doesn’t Skip a Beat When Staff Changes; Reduces Support Costs
‘All of the data is cataloged and standardized in the [Scribe] system, so if an employee leaves, their replacement can come in and understand exactly how the data mapping works and be effective at supporting it,’
Walid SalemVP of IT, SilverBirch Hotels & Resorts
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Integration Lifecycle Management Improves Project Success
• Lower ownership costs• Faster response to issues • Staffing flexibility• Business agility• Higher profitability
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Scribe – Your Trusted Integration Partner
• Agile data integration software (since 1995): iPaaS, on-premise• 14,000+ customers and partners• Power of choice: Cloud, on-premise, hybrid product portfolio• Comprehensive integration lifecycle management• “Solution focused” integration – insights across the customer lifecycle
SIs(partial list)
End Users(partial list)
ISVs and Tech Partners(partial List)
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You have questions?
We have answers!
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