Tag Archives: Emerging Trends

Megatrends II – Data Exploration and Exploitation

What is Happening?

As we close out the year 2015, we at Saugatuck Technology are publishing a series of weekly Research Alerts that look at what our research points to as the top “megatrends” that not only have been affecting enterprise business and IT markets over the past year, but which will remake markets for years to come. The second megatrend we are highlighting is: Data is the “oil” of the digital economy.

The rise of inexpensive processing and storage (including both on-premises and Cloud-1686_graphicbased) combined with advanced / predictive analytic capabilities (including Big Data and so-called “cognitive” engines such as IBM’s Watson) promise a new era of business decision making. Business data of all types, including things that we typically today do not regard as “data,” will provide not only the raw material to be refined into multiple types of outputs, but also the lubricant of business optimization and growth for the foreseeable future. In sum, the exploration of, and exploitation of, business data will be the “oil rush” of the 21st century.

(Note: Readers can gain access to the first in our Megatrends Research Alert series focused on Digital Business by clicking here.) Continue reading Megatrends II – Data Exploration and Exploitation

2016 Megatrends: Digital Business

What is Happening?

As we look ahead to 2016, Saugatuck Technology is publishing a series of weekly Research Alerts and Strategic Perspectives focused on the top “megatrends” that not only have been affecting enterprise business and IT markets over the past year, but which will remake markets for years to come. The first megatrend we are highlighting is: Digital Business Opportunities & Expectations.

As Saugatuck CEO Bill McNee stated in the opening keynote of this year’s Cloud Business Summit, “The train has left the station . . . By YE 2020, 90 percent of enterprises will be fully engaged in Digital Business, and by 2018, ‘Digital Business’ will evolve to merely become ‘business as usual’” (1661RA, Summary Thoughts on Saugatuck’s 2015 Cloud Business Summit, 06Nov. 2015).

Saugatuck survey and interview data indicate that Digital Business adoption rates rival, or exceed, adoption rates for Cloud-based software and services over the past several years. We’ve written up several analyses of both our early survey work and our current work for our ongoing subscription research clients (1427SSR, 2014 Global Survey: Cloud and Digital Business Strategy, Adoption and Success, 27Aug2014). While nearly 90 percent of business and IT leaders that we have researched claim to have implemented, and enjoyed at least some success with, one or more forms of Digital Business – in our view, we are still very early in this journey.

Why is it Happening?

Saugatuck has long viewed Digital Business as being all about increasing revenue and creating customer value, either more effectively or in altogether new ways, typically framed by innovative business strategies, products, processes and interactive experiences. While marketing has often led the charge, with a laser-like focus on proactive customer engagement and deploying a range of creative omni channel strategies – our research is indicating that many business and IT leaders are correctly realizing that Digital Business spans the entire value chain, and is not solely focused on customer engagement / interaction.

At its heart, Digital Business is all about the explosion in business data, and new ways of being able to use it. The emergence of real-time and context-aware, mobile and sensor-based technologies, along with the ubiquitous availability of low-cost infrastructure, applications, compute capabilities, enables the communication and analysis of an ever-broadening array of data on all aspects of practically any business. And from a traditional business point of view, whether in manufacturing or services, more and more markets are saturated with competitors in a “race to the bottom” based on price and quantity. There is both immediate and long-term reward for those that develop / implement / manage more, new, and better ways of doing business that leverage existing strengths, from infrastructure to intellectual property to business methods and relationships. Continue reading 2016 Megatrends: Digital Business

The Next Wave of Consumerization of Business IT is Now

What is Happening?           

The first wave of consumerization of IT, which includes Social, Mobile, and the UI elements popularized in Cloud applications have now made their way thoroughly into the enterprise. Less and less business software is developed in-house and the majority of new software now has mobile components. Social IT now permeates most enterprises, and streams, feeds, and quick collaboration now make up a major part of many business applications, from Finance and HR, to Customer Support and CRM. Of course, new SaaS applications are not totally ubiquitous yet. And many companies are still operating on legacy applications, or traditional infrastructure.

But the pace of innovation does not lag, and so the next wave of consumerization is already ramping up. And in many cases, companies that have traditionally been laggards in technology adoption – often because new technology was not a competitive advantage – feel differently this time around. Industries like manufacturing, retail, logistics and supply chain are investigating and producing new, digitally enabled products based on the next generation of consumerization, which includes IoT, Drones, Virtual Reality, Autonomous Vehicles, and Indoor and Outdoor geospatial data. These trends, coupled with advances in rapid prototyping – 3D scanning, printing, and machining – are enabling companies that had little to gain from the revolution in knowledge worker technologies to produce world class products and services that can change their business. (1623RA, Cloud-driven “Leapfrogging” Alters Linear Nature of Business IT Change, 21 Aug 2015)

Why is it Happening?

Consumer-driven activities have primarily benefited from the application of lab-engendered IT breakthroughs to products and services. Companies like Apple, Google, and Facebook have introduced major new products, as well as made major acquisitions, to drive that continued innovation, and it has paid off. These innovations have had a bubble-up effect on enterprise IT, and this trend seems unlikely to change or slow any time soon.

As enterprise IT falls under ever-increasing cost pressure, and continues to face upheaval as it realigns with changing business needs (1573RA, New Report Identifies Problems and Fixes in CFO-CIO Synchronization, 07May2015), business innovation will continue to be driven by consumer behavior with, and adaptation of, IT, where the market for new services and devices is characterized by both rapid iteration and failure, as well avoidance of ossification. While there are often large costs to changing business applications or technology stacks in the enterprise, consumers can easily change devices and platforms with little or no cost. In this kind of environment, IT vendors and users both benefit from consumerization leading enterprise IT. Continue reading The Next Wave of Consumerization of Business IT is Now

The Bear at the Door–Intacct’s Advantage

What is Happening?

Intacct Advantage conference took place last week at the Loews Royal Pacific Resort in Orlando on the Universal property. Intacct Advantage 2014 drew a record number of attendees, perhaps a reflection of Intacct’s continued product innovation and rapid growth. Over the past two years, Intacct has doubled subscription revenues.

This year’s Advantage keynote speakers included several top Intacct executives, including CEO Robert Reid, CTO Aaron Harris, VP of Product Management Dan Miller, VP of Sales Kathy Lord, and VP of Client Services Derek Taylor. Aussie futurist Mike Walsh, author of The Dictionary Of Dangerous Ideas, offered insights and observations on business transformation and the key components of building a high-growth business. Continue reading The Bear at the Door–Intacct’s Advantage

Progress Exchange 2014: Disruption Fuels Continued Relevance

What is Happening?

Imagine attending a vendor conference where you get just enough exercise, just enough to eat and drink, and learn just what you need for a great blog post. I wrote that line as a tweet, reflecting on the many conferences I’ve attended through the years when you walk miles and miles between sessions, overindulge in food or drink through sheer conviviality and never quite get the core messages the conference sponsors intended, despite very high-gloss keynotes with booming sound tracks. Is this the one, maybe?

It begins well enough with stimulating, but not deafening music, eye-catching and thought-provoking visuals on the theme of innovation, and a video that emphasizes the interconnections that make the information you need immediately available, ah nirvana!

Progress Software CEO Phil Pead kicked off Progress Exchange 14 by commenting on the warm-up video and on the theme of partnership and problem solving through software engineering, and those are the twin uber-themes that wove through the keynotes. The reason behind all of this emphasis on innovation is a business imperative: innovation. Pead’s motif was the unpredictable disruption in the marketplace or the Black Swan that Nassim Taleb made popular in his great business book on the subject. Can you identify your competitor? Or does disruption come from somewhere entirely unexpected? Continue reading Progress Exchange 2014: Disruption Fuels Continued Relevance

Futebol and IT: Brazilian Repercussions from the World Cup, NSA, and the Olympics

Brazil has a strong IT sector, though the country has been mired in lackluster growth for the past several years after its earlier sprint. There is a lot of development beneath the surface, however, and among the strongest influencers, are an attempt to put on two top World Cup 2014 Brazilinternational events – the World Cup and the Olympics – within two years. This is a feat that no other nation has yet attempted. It is extraordinarily expensive and demanding, with demands from FIFA (World Cup governing body) and the Olympics Committee for a wide range of new infrastructure and conditions, all of which have created a need for new technology, as well as waves of protests over costs and security arrangements.

IT has been an important part of event preparation, with high tech security centers being established in major urban locations throughout the country, and media/communications facilities being expanded to accommodate viewers, visitors, and fans. The preparations have also highlighted Brazilian technology, as well as drawing even greater attention to the protests, construction failures, and inability to meet time commitments. Continue reading Futebol and IT: Brazilian Repercussions from the World Cup, NSA, and the Olympics

SAP SAPPHIRE NOW 2014 – 3 Takeaways

What is Happening?

Earlier this week, Saugatuck attended the SAP Sapphire NOW conference in Orlando, Florida. We value coming to the conference each year as it, like several others that we attend, provides great signposts as to the current state of business computing. This year more than 20,000 attended the event live, with thousands more accessing the keynotes remotely. In this Research Alert, we emphasize three key takeaway threads from the event: “Simplicity”, “HANA Front and Center”, and “Ariba: Key to SAP’s Future.”

Why is it Happening?

With many of the key technological foundations having already been laid, SAP is at an important juncture to begin to significantly monetize on the vision it has built over the past few years. We see the company pursuing that in the following ways: Continue reading SAP SAPPHIRE NOW 2014 – 3 Takeaways

Key Issues for Defining an API Strategy

What is Happening?

Saugatuck research among both enterprise IT buyers and IT providers indicates that application programming interfaces – APIs – are becoming increasingly relevant to the future of business IT, especially in today’s Cloud-enabled, loosely-coupled environments.

Enterprise IT buyers are looking to APIs as one of the next major trends in enterprise IT, though many are having difficulty with defining and formulating strategies around how best to use these new capabilities. IT providers recognize that both offering and enabling APIs increase the value of their solutions as APIs enable greater flexibility for how a product can be consumed, sold, or integrated. Providers have been active in the API management space over the last 18 months, with acquisitions like MuleSoft’s purchase of ProgrammableWeb, CA’s purchase of Layer7 Technologies, and Intel’s purchase of Mashery. The market for API management is becoming one of the next major areas of enterprise IT, and much less of a niche market. Continue reading Key Issues for Defining an API Strategy

Looking at a Chaotic API Economy Reality

What is Happening?           

There is much buzz about what is being called The API Economy. As we have written before, the API economy is not a new concept. Libraries of services have been called to create and connect applications under the guise of Service-Oriented Architectures (SOAs), Enterprise Service Busses (ESBs), and mainframe programming libraries.

Yet today’s API economy is different and constantly/quickly growing more so, because of widespread API availability via Internet, the enablement of multi-vendor suites, and their ubiquity in the rise of Cloud, Mobile, Social, and Analytics (1275RA, The API Economy, Not Just Another Service Bus, 17Oct2013).

Application Programming Interfaces (APIs) have grown in importance during the last couple of years as a result of increasing uses of mobile applications and social media. The situation is disruptive to many businesses; the new ways people access and use data requires speed of connection and multiplicity of sources not anticipated in the designs of most existing systems. However, implementing APIs in a vacuum can lead to unmanageable connection scenarios. Continue reading Looking at a Chaotic API Economy Reality

Age of the Smart Cloud: Analytics Monetization

Global systems integrators (GSIs) and other Cloud solution providers are positioning now to serve the Analytics-as-a-Service market. Many have made significant investments in attacking this nascent market for Cloud Analytics. Saugatuck Technology has been interested in developing an understanding of this emerging market and the role monetization will play. We approached four leading vendors of monetization solutions — Aria, MetraTech, SafeNet and Zuora – and requested an interview on the monetization strategies likely to emerge in the market for Analytics-as-a-Service solutions. The monetization vendors made these executives available for our interviews:

One question we asked these monetization experts to address was about “Collaborative and Collective Analytics.” Continue reading Age of the Smart Cloud: Analytics Monetization