Welcome!

@ThingsExpo Authors: Elizabeth White, Yeshim Deniz, Liz McMillan, Zakia Bouachraoui, Pat Romanski

News Feed Item

New Research Reveals 45% of Large Enterprises Struggle to Produce Mobile Apps

"App Masters" Share a Common Pattern for Success: A Cloud-First, Outside-In Approach to IT

SAN JOSE, CA -- (Marketwired) -- 08/12/14 -- Apigee®, developer of the leading platform for digital acceleration, today released a new Apigee Institute report, "Lessons from the App Masters: How Some IT Departments Excel at Delivering Quality Apps," which explores the findings of a recent global survey of IT executives at large enterprises that attempted to deploy apps in 2013. The report reveals that while mobile apps play a key role in business success, nearly half of the IT decision makers surveyed -- 45 percent -- reported missing expectations on at least one of the five key measures of app deployment success: number of apps, quality of apps, budget, business impact, and time. Those who exceeded expectations across all five measures of app deployment -- the "App Masters" -- share a common pattern for success that includes strategic and aggressive use of external resources.

"Traditional IT is no longer viable for the new world of apps. IT as we know it has been heavily conditioned by the legacy of a control-oriented approach used to build and manage the systems of record of the past," said Bryan Kirschner, director of Apigee Institute. "But this approach is incompatible with the new business imperative to deliver systems of engagement at the pace the market demands. We've found that those who are succeeding in app deployment have a strikingly different approach to their IT departments. They recognize the strategic value of leveraging external expertise to maximize their agility and adaptability -- this fundamental shift is called 'outside-in IT' and is a competitive necessity for every IT leader hoping to deliver digital experiences faster and better."

Key Survey Findings
There is a clear disconnect between enterprises producing apps successfully and those struggling.

  • Of IT decision makers in large enterprises that attempted to deploy apps, more than one in four failed to meet their timeline, nearly one in five failed to meet budget, and a similar proportion had to produce fewer apps than planned. Another five percent of enterprises failed entirely in their attempts to produce apps.
  • In contrast, some companies seem to have mastered app development, with eight percent reporting exceeding expectations on building and deploying apps across all success metrics.

App Masters are far more open to working with outside parties.

  • Only 11 percent of the App Masters mostly or exclusively used internal resources, compared with more than a quarter of the "App Challenged" -- or those struggling to deploy apps.
  • Nearly a third of the IT decision makers from App Master companies reported proactively looking for external resources, compared to only six percent of those at the App Challenged.

App Masters understand the value and strategic power of leveraging external resources, beyond cost savings.

  • When asked why they turn to external resources, the App Challenged cited cost reduction as the top reason (41 percent) one would use external resources, but only 28 percent saw value in access to external expertise. On the other hand, App Masters equally value technical and design expertise. When asked why they turn to external resources, 78 percent of the App Masters stated that access to technical or project management expertise was an extremely important reason.

App Masters are more likely to embrace the cloud.

  • Of App Masters, 85 percent are replacing legacy components with public or private cloud alternatives. Another 83 percent of this group reports committing to leveraging cloud-based external resources wherever they meet business needs.
  • On average, the App Master enterprises reported moving 80 percent of their infrastructure to Infrastructure-as-a-Service (IaaS), and 80 percent of their application development to Platform-as-a-Service (PaaS). In comparison, the App Challenged reported moving an average of 44 percent of their architecture to IaaS and PaaS.
  • Of the App Challenged, only 18 percent saw the strategic value of the cloud as extremely relevant to their organization. In contrast, a full 61 percent of the App Masters agreed that being cloud-first by making use of IaaS, PaaS, and Mobile-Backends-as-a-Service (MBaaS) while strategically approaching external resources is extremely relevant to their company's strategic market position.

Methodology
The Apigee Institute's 2013 Global ITDM (IT Decision Maker) Online Survey was fielded in January 2014 to 800 IT Decision Makers at companies with more than $500 million in annual revenue around the world in more than 25 industries. The survey respondents came from the following geographies: Australia, China, France, Germany, India, Japan, the United Kingdom, and the United States of America.

The Apigee Institute is a research and strategy organization committed to helping businesses succeed in the new digital world. The Apigee Institute includes executives in Global 2000 corporations, academic researchers and domain experts who collaboratively shape its research agenda and participate in building a body of empirical data as a shared resource. For more information, go to http://pages.apigee.com/institute.html. The Institute invites all digital practitioners, executives, academics, and journalists to join the Apigee Institute. In order to join please fill out the short form here: http://goo.gl/ZhBext.

"I Love APIs" Conference Sept. 8-10 in San Francisco
Come learn more about APIs, big data and the Internet of Things at the "I Love APIs" conference, Sept. 8-10, 2014 in San Francisco. Register here with discount code: SPECIALPR to receive $300 off the registration fee. For the latest updates on events, speakers, and registration, go to http://iloveapis2014.com/

About Apigee
Apigee provides the leading technology platform for digital business acceleration. Through APIs and big data, Apigee delivers the speed, scale and agility any business needs to compete in today's connected mobile world. Many of the world's largest and most respected organizations have selected Apigee to enable their digital business, including 20 percent of the Fortune 100 and 25 percent of the world's most admired companies. Apigee customers include global enterprises such as Walgreens, eBay, Shell, Live Nation, Kaiser Permanente and Sears. Apigee is headquartered in San Jose, California and has about 500 employees worldwide.

Connect with Apigee

Apigee blog: https://blog.apigee.com/front
Twitter: https://twitter.com/Apigee
Twitter: https://twitter.com/ApigeeInstitute
Facebook: https://www.facebook.com/apigee

Apigee is a registered trademark in the U.S. Other product or company names mentioned may be trademarks or trade names of their respective companies.

More Stories By Marketwired .

Copyright © 2009 Marketwired. All rights reserved. All the news releases provided by Marketwired are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving in a public database, redistributing via a computer network or in a printed form.

IoT & Smart Cities Stories
René Bostic is the Technical VP of the IBM Cloud Unit in North America. Enjoying her career with IBM during the modern millennial technological era, she is an expert in cloud computing, DevOps and emerging cloud technologies such as Blockchain. Her strengths and core competencies include a proven record of accomplishments in consensus building at all levels to assess, plan, and implement enterprise and cloud computing solutions. René is a member of the Society of Women Engineers (SWE) and a m...
Early Bird Registration Discount Expires on August 31, 2018 Conference Registration Link ▸ HERE. Pick from all 200 sessions in all 10 tracks, plus 22 Keynotes & General Sessions! Lunch is served two days. EXPIRES AUGUST 31, 2018. Ticket prices: ($1,295-Aug 31) ($1,495-Oct 31) ($1,995-Nov 12) ($2,500-Walk-in)
According to Forrester Research, every business will become either a digital predator or digital prey by 2020. To avoid demise, organizations must rapidly create new sources of value in their end-to-end customer experiences. True digital predators also must break down information and process silos and extend digital transformation initiatives to empower employees with the digital resources needed to win, serve, and retain customers.
IoT is rapidly becoming mainstream as more and more investments are made into the platforms and technology. As this movement continues to expand and gain momentum it creates a massive wall of noise that can be difficult to sift through. Unfortunately, this inevitably makes IoT less approachable for people to get started with and can hamper efforts to integrate this key technology into your own portfolio. There are so many connected products already in place today with many hundreds more on the h...
Digital Transformation: Preparing Cloud & IoT Security for the Age of Artificial Intelligence. As automation and artificial intelligence (AI) power solution development and delivery, many businesses need to build backend cloud capabilities. Well-poised organizations, marketing smart devices with AI and BlockChain capabilities prepare to refine compliance and regulatory capabilities in 2018. Volumes of health, financial, technical and privacy data, along with tightening compliance requirements by...
Charles Araujo is an industry analyst, internationally recognized authority on the Digital Enterprise and author of The Quantum Age of IT: Why Everything You Know About IT is About to Change. As Principal Analyst with Intellyx, he writes, speaks and advises organizations on how to navigate through this time of disruption. He is also the founder of The Institute for Digital Transformation and a sought after keynote speaker. He has been a regular contributor to both InformationWeek and CIO Insight...
Digital Transformation is much more than a buzzword. The radical shift to digital mechanisms for almost every process is evident across all industries and verticals. This is often especially true in financial services, where the legacy environment is many times unable to keep up with the rapidly shifting demands of the consumer. The constant pressure to provide complete, omnichannel delivery of customer-facing solutions to meet both regulatory and customer demands is putting enormous pressure on...
Andrew Keys is Co-Founder of ConsenSys Enterprise. He comes to ConsenSys Enterprise with capital markets, technology and entrepreneurial experience. Previously, he worked for UBS investment bank in equities analysis. Later, he was responsible for the creation and distribution of life settlement products to hedge funds and investment banks. After, he co-founded a revenue cycle management company where he learned about Bitcoin and eventually Ethereal. Andrew's role at ConsenSys Enterprise is a mul...
Business professionals no longer wonder if they'll migrate to the cloud; it's now a matter of when. The cloud environment has proved to be a major force in transitioning to an agile business model that enables quick decisions and fast implementation that solidify customer relationships. And when the cloud is combined with the power of cognitive computing, it drives innovation and transformation that achieves astounding competitive advantage.
Machine learning has taken residence at our cities' cores and now we can finally have "smart cities." Cities are a collection of buildings made to provide the structure and safety necessary for people to function, create and survive. Buildings are a pool of ever-changing performance data from large automated systems such as heating and cooling to the people that live and work within them. Through machine learning, buildings can optimize performance, reduce costs, and improve occupant comfort by ...