SAN FRANCISCO, Feb. 13, 2020 /PRNewswire/ -- MuleSoft, provider
of the leading platform for building application networks, today
announced the findings of the 2020 Connectivity Benchmark Report on
the state of IT and digital transformation. The global survey of
800 CIOs and IT decision makers (ITDMs) in organizations with at
least 1,000 employees revealed that digital transformation has
widely become a strategic imperative for businesses with nearly all
respondents (92%) currently undertaking initiatives or planning to
in the next year. However, significant integration challenges exist
for 85% of organizations – stalling digital transformation and
negatively impacting revenue, speed to market and customer
experiences.
Businesses are under increasing pressure to digitally transform,
and for good reason: three out of four expect a decline in revenue
if they fail to do so in the next year. They're also struggling to
overcome a common obstacle: of the almost 900 different
applications used by the average enterprise, only 28% of those
applications are integrated - preventing a single view of the
customer. As a result more than half of businesses are unable to
provide connected experiences for customers.
"CIOs are uniquely positioned to lead their organization's
digital transformation. IT leaders across all industries must be
focused on creating a new operating model that accelerates the
speed of delivery, increases organizational agility and delivers
innovation at scale," said Simon
Parmett, CEO, MuleSoft. "With an API-led approach, CIOs can
change the clock speed of their business and emerge as the steward
of a composable enterprise to democratize access to existing assets
and new capabilities."
The 2020 Connectivity Benchmark Report highlights new
opportunities and challenges for businesses as they digitally
transform:
IT must innovate faster, and with fewer resources
Traditional IT operating models are broken and organizations are
being forced to find new ways of accelerating project delivery and
reusing integrations. At least half of respondents say their IT
budgets will increase by less than 10% this year despite their
project workloads skyrocketing by 40% (up from 32% last year). Yet
82% of businesses are now holding their IT teams accountable for
delivering connected customer experiences.
- When IT can't keep up with business demands, projects
slip: More than half (59%) of organizations weren't able
to deliver on all of their projects last year, creating a backlog
for 2020.
- IT faces the constant balancing act of keeping the lights on
and innovating: With current IT operating models, nearly
70% of IT's time is spent running the business, instead of focusing
on innovation and development.
- Organizations struggle to maintain the pace of our digital
world: Nearly two-thirds (64%) of ITDMs find it difficult to
introduce new technologies because of their IT
infrastructures.
- New technology investments only increase the need for
integration: The top four IT investment priorities for
2020 are security (53%), big data and analytics (48%), multi-cloud
strategy (41%), and AI/machine learning (41%) - all of which will
require deep integration with existing systems.
Businesses are failing to capture the full value of APIs
without a company-wide strategy
Organizations are
increasingly leveraging APIs as building blocks to streamline
integration while supporting reuse and self-service across the
enterprise. In fact 80% of businesses currently use public or
private APIs. However, very few have developed a strategic approach
to enable API usage across the business.
- Company-wide API strategies are necessary to drive true
value and reuse: Only 12% of organizations are mandated by
leadership to abide by a company-wide API integration strategy for
all projects. More than half (54%) implement APIs on a
project-by-project basis or use a strategy that's siloed within
certain parts of the business.
- Businesses don't have an easy way to share APIs: Less
than half (42%) of internal software assets and components (e.g.,
code, APIs, best practice templates) are available for developers
to reuse. Most organizations (80%) also don't have a completely
effective way to share APIs or integrations.
- New business users are emerging, amplifying the need for
reuse: Outside of IT, the top three business roles with
integration needs include business analysts (40%), data scientists
(38%) and customer support (38%).
- Citizen integrators lack critical internal resources:
70% of ITDMs say they have a good strategy in place to enable
non-technical business users to easily integrate apps and data
sources with APIs. Despite this high level of confidence, 67% don't
have a team that's dedicated to driving the sharing and reuse of
APIs.
API reuse is directly linked to speed of innovation,
operational efficiency and revenue
By establishing API
strategies that promote self-service and reuse, businesses put
themselves in a much better position to innovate at speed, increase
productivity and open up new revenue streams. More than half (52%)
of organizations say that IT has generated the most business value
by building reusable integrations that save time and money on
future projects. Despite this success, only 42% of ITDMs are
leveraging APIs to increase the efficiency of their application
development processes.
- Most organizations are making integration harder on
themselves by not designing APIs for reuse: Among organizations
that leverage APIs, 52% use them as part of the development process
for new projects and 52% use them to build integrations. However,
less than half (46%) say their APIs are reusable, highlighting
outsize opportunity for IT to be more effective in the delivery
process.
- Organizations aren't activating API ecosystems: Of those
leveraging APIs, only 26% of organizations are driving innovation
with partner and external developer ecosystems by exposing them to
third parties.
- When designed with intent, APIs drive business outcomes:
Organizations using APIs benefit from operational improvements such
as increased productivity (54%), increased innovation (47%) and
greater cross-team agility for self-serve IT (46%).
- APIs are the new revenue stream: On average, nearly a
third (31%) of businesses' revenue is being generated by APIs or by
API-related implementations.
Check out these digital transformation resources and see how
MuleSoft can help you deliver connected customer
experiences:
- Want to learn how you can tap into the power of APIs and
integration? Visit the MuleSoft Trailmix on Trailhead and become an
Integration Trailblazer.
- For deeper insight into how IT organizations around the world
are driving their digital transformation initiatives, download the
2020 Connectivity Benchmark Report here:
https://www.mulesoft.com/lp/reports/connectivity-benchmark
Methodology
For the fifth-annual Connectivity
Benchmark Report, MuleSoft, in partnership with Vanson Bourne, surveyed 800 IT leaders from
global enterprises. The goal was to uncover how much value
businesses actually gain from digital transformation, and to
understand IT leaders' most successful strategies for achieving
digital transformation goals. The online survey was conducted
between October and November 2019
across the United States, the
United Kingdom, France, Germany, Netherlands, Australia, Singapore, Hong
Kong and Japan. Only
suitable candidates participated in the survey and were verified by
using a rigorous, multi-level screening process. All respondents
work at an enterprise organization in the public or private sector
with at least 1,000 employees and hold a managerial position or
above in an IT department.
About Anypoint Platform
MuleSoft's Anypoint Platform™
is a leading application network platform. It allows organizations
to create composite applications that connect apps, data, and
devices through API-led connectivity to form a flexible application
network. Anypoint Platform is a unified, single solution for iPaaS
and full lifecycle API management, both on-premises and in the
cloud.
About MuleSoft, a Salesforce company
MuleSoft's
mission is to help organizations change and innovate faster by
making it easy to connect the world's applications, data
and devices. With its API-led approach to connectivity,
MuleSoft's market-leading Anypoint Platform™ empowers thousands of
organizations to build application networks. By unlocking data
across the enterprise with application networks, organizations can
easily deliver new revenue channels, increase operational
efficiency and create differentiated customer experiences. For more
information, visit https://www.mulesoft.com.
About Salesforce
Salesforce is the global leader in
Customer Relationship Management (CRM), bringing companies closer
to their customers in the digital age. Founded in 1999, Salesforce
enables companies of every size and industry to take advantage of
powerful technologies—cloud, mobile, social, internet of things,
artificial intelligence, voice and blockchain—to create a
360-degree view of their customers. For more information about
Salesforce (NYSE: CRM), visit: www.salesforce.com.
MuleSoft is a registered trademark of MuleSoft, Inc., a
Salesforce company. All other marks are those of respective
owners.
View original content to download
multimedia:http://www.prnewswire.com/news-releases/new-report-shows-3-out-of-4-organizations-expect-negative-revenue-impact-if-they-dont-digitally-transform-in-the-next-12-months-301004296.html
SOURCE MuleSoft