We’re in the midst of a business revolution – one where customers interact with businesses via software. Where apps have become the primary face of the business. Where JPMorgan Chase has more software developers than Google and more technologists than Microsoft. Welcome to the Application Economy.
This SlideShare outlines five things IT professionals should know about the Application Economy and how it will affect their business, their industry, and their careers. In some industries, the number of software jobs has doubled over the past ten years.
Learn more at http://rewrite.ca.com/us/default.aspx?mfm=425887
2. Welcome to the Application
Economy
We’re in the midst of a business revolution – one where
customers interact with businesses via software.
Where apps have become the primary face of the
business.
Where JPMorgan Chase has more software
developers than Google and more
technologists than Microsoft.
Source: Anish Bhimani: A Leader in Risk Management at
http://engineering.cmu.edu/alumni/profiles/2013/bhimani_jpmorgan_chase
.html
5. Start thinking differently about
your software
It’s not just an IT issue. It is a business
imperative.
There are five essential truths you need to
learn about the Application Economy …
6. #1. Every business is in the
software business
Have you seen a car ad lately?
It’s likely to tout applications and connections as
much as styling and horsepower.
7. In some industries, the number of
software jobs have doubled over the
past five years
Software Job Growth
Manufacturing Healthcare Financial Services Retail
100%
90%
80%
70%
60%
50%
40%
30%
20%
10%
0%
Software Job Growth 31% 40% 72% 98%
Source: Burning Glass Technology at http://www.burning-glass.com/research/software-is-
8. If you think your company isn’t in the
software business, you’re wrong …
Banks, airlines, athletic shoe companies – you name
it – are all using applications to attract and engage
customers and gain a competitive advantage.
9. #2. Your infrastructure is now your
greatest competitive advantage
IT infrastructure investment is no longer an IT
decision—it’s now a business decision, made by C-level
stakeholders looking for the best competitive
advantage.
10. Google won Search with world-beating
performance
Google built a near-insurmountable competitive
edge in Search by delivering an average search time
of 0.06 to 0.12 seconds.
BUT performance alone is not enough ...
Source: Google's Infrastructure is its Strategic Advantage at http://gigaom.com/2007/12/04/google
12. #3. DevOps should be your new
best practice
You need to build and deploy software faster,
more reliably, and this means DevOps,
where the creation, testing, and deployment of software
is a single, integrated process.
DevOps means your Dev and Ops teams can work more
collaboratively to deliver the highest quality apps, with
the best customer experience, in the fastest time
possible, to maximize the value IT delivers.
13. DevOps pays big benefits
A recent survey of 1300 senior IT leaders revealed
that 39% of companies have already adopted a
DevOps approach.
Those using DevOps saw a 19% increase in revenue,
a 20% reduction in time to market, and a 22%
increase in quality.
SOURCE: “What Smart Businesses Know About DevOps”, CA and Vanson Bourne, 2013
14. DirecTV brought Dev and Ops
closer together to:
• meet their consumers’ evolving needs
• provide increased flexibility around their legacy systems
• decrease time-to-market on their offerings
SOURCE: Full Interview: Can a DevOps approach improve your agility and time-to-
market? at http://www.ca.com/us/collateral/videos/na/full-interview-can-a-
devops-approach-improve-your-agility-and-time-to-market.aspx
15. #4. Security should enable the
business, not just protect it
65% of healthcare professionals think secure text
messaging could reduce hospital discharge times by
50 minutes.
This alone could save $3.1 billion in costs
across the industry.
SOURCE: May 2013 study by the Ponemon Institute titled “The Economic and
Productivity Impact of IT Security on Healthcare”.
http://www.imprivata.com/ponemon-economic-impact-study
16. Companies are using digital identities
from third parties (BYOID) to
strengthen security while creating a
better customer experience
70%
30%
52%
19%
38%
17%
81%
76%
90%
80%
70%
60%
50%
40%
30%
20%
10%
0%
Strengthens the authentication process Enables self-service processes Delivers a better customer experience Increases the effectiveness of
SOURCE: “The Identity Imperative for the Open Enterprise”, CA and marketing Vanson
activities
Bourne, 2014: http://transform.ca.com/428506-WW-Q2-FY15-SEC-Ponemon-
Slideshare-2_428506-Landing-Page.html
Biggest Differences in Perceived Value
IT Business
17. #5. The mainframe has become
the new secret weapon
More than 80% of the IT executives at organizations
using a mainframe say it is a strategic part of their
current and future IT strategy.
58% believe that mainframe is and will be a highly
strategic platform in their cloud computing strategy.
SOURCE: “The Mainframe as a Mainstay of the Enterprise 2012” survey
conducted by Decipher Research in August 2012
18. The mainframe is core to the
Application Economy
• 33% of organizations’ mainframe applications are
accessible on mobile devices.
• 35% of current mainframe applications are
accessible via the cloud.
SOURCE: Survey commissioned by Micro Focus and conducted by Vanson Bourne,
2014:
http://www.microfocus.com/about/press/pressreleases/2014/pr04032014.aspx
19. The Five Truths of the Application
Economy
1. Every business is in the software business.
2. Your infrastructure is now your greatest
competitive advantage.
3. DevOps should be your new best practice.
4. Security should enable the business, not just
protect it.
5. The mainframe has become the new secret
weapon.
20. To learn more about how software enables
the Application Economy, download a free
copy of the Forrester report
Software Must Enrich Your Brand
Notes de l'éditeur
For those businesses here today looking to transform the industry, your first port of call must be new mobile applications. Mobile device usage is exploding, and on mobile devices customers are looking overwhelmingly to use applications, rather than the mobile web, with over 80% of consumers using mobile applications in favor of mobile browsers.
But the greater application economy is much more than just mobile.
Around a third of consumers still use desktop and laptop; almost two-thirds are considered ‘multi-channel’ users, using both mobile and desktop or laptop.
Plus … almost half of all US consumers have a web-connected game console, 17% have an e-Reader, 16% have an internet-connected Smart TV
But understand that it is not enough to just have these applications. As the consumerization of IT drives customers to expect better options, you must pay attention to application quality and user experience.
The impact of poor experience is real and measurable. For example, just a three second delay in load times for a web application will cause 25% of your customers to abandon your website.
If you are building mobile applications, you have to get it right, first time, because up to 90% of your customers will never even try your app a second or third time
And as we all know, application issues cost real money – such as when ‘system problems’ during the Facebook IPO caused massive headaches for the NASDAQ, and an estimated $500 million dollar loss for traders … not to mention a $10 million dollar fine from the SEC.