Legacy Integration Solutions Fail to Meet Expectations
March 17, 2020

Tushar Patel
Cleo

Having an intimate understanding of the exchange of information between suppliers and partners is key when it comes to quickly shifting operations as needed. This crucial knowledge of information flow is best provided by complex integrations between a business' various applications and partners — but doing so is much easier said than done.

Integration is a perennial topic of frustration for enterprise infrastructure — a seemingly never-ending round of "one step forward and two steps back." Why is integration so hard to nail down in your average enterprise? Why is it always a bone of contention among IT staff the world over? The Cleo 2020 State of Ecosystem and Application Integration Report answers those questions, and they are illuminating.

Integration Frustration

The 2020 Report surveyed 305 participants across North America and Europe who design, build and manage applications or infrastructure integrations. One takeaway that dwarfed all the others was a sweeping frustration with the integration status quo.

IT professionals are consistently unhappy with their current integration solutions: 63% say their own legacy integration applications are their biggest challenge. Over half maintain that legacy integration solutions are the problem, while just under half cite having multiple integration solutions.

The High Cost of Poor Integration

It's not just IT's angst fueling the urgency for integration. 30% of respondents say their companies' estimated losses were between $100,000 and $1M per year, while 10% maintain they lose more than $1M per year. Technology issues, data errors, SLA violations — they all add up to a serious problem.

Furthermore, slow onboarding of new partners, customers and suppliers cause 70% of participants to agree that  inefficient processes have a direct impact on productivity. Lost orders are another major source of concern. Just shy of 50% say their company loses more than 50 orders per year, while 17% put that number at 500 orders or more. Each lost order represents lost revenue, and lost confidence in the company that possibly impedes future business.

So, what kind of applications are proving particularly difficult to integrate? The study found that the answer reveals a complex web of applications adding to the complexity of integration:

■ Relational Databases

■ Cloud Storage

■ ERP Applications

■ CRM Applications

■ Finance Applications

■ HCM Applications

■ E-Commerce Applications

■ Marketplace Applications

The problem, of course, is that those applications form the backbone of a modern enterprise's productivity and profitability. When integrating them is an insurmountable challenge, it costs everyone money and, yes, increases frustration.

What's one major item on IT's wish list to wrangle this tangle of application integrations? Automated integration. An impressive 82% of respondents cite automating integration processes as a capability they crave, just behind the 84% who put flexible and highly available integration platforms at the top of the list.


The Full Picture

It's almost ridiculous to think that over 50% of IT staff have limited or no end-to-end visibility into transactions between their systems and those of partners, suppliers and customers, but that's the reality for more than half of companies. How are you supposed to manage and integrate what you can't even see?

That's why 78% of participants say consolidating  disparate integration solutions is a high priority, or possibly Electronic Data Interchange (EDI) modernization. Overall, they see visibility as a critical priority. We've discussed how integration challenges can negatively affect the bottom line, but systems consolidation and EDI modernization can provide a flexible and highly available integration architecture that could enable the end-to-end visibility IT needs to boost productivity and profit.

Ecosystem-Friendly

We've spent our time so far talking about problems — now it's time to talk about new approaches that offer solutions, like ecosystem integration. When we say ecosystem integration, we mean using a single platform for file-based, EDI and application integration to optimize end-to-end integration processes, establishing a dynamic network of partners, applications, suppliers, customers and marketplaces.

The 2020 Report identified ecosystem integration as a hot topic among respondents. An incredible 98% of respondents reported that they would expect to gain substantial benefits and business value from ecosystem integration. Specific benefits cited include cost savings, improved SLAs, happier customers, more efficient order processing, violation reductions and fewer lost orders.

A Modern Approach to Integration

The old way is seldom the best way when it comes to managing enterprise technology complexity. What the 2020 Report told us beyond a doubt is that the old models of opacity, multiple integration vendors, and poor ROI are effectively dead in the water. The integration professionals surveyed in the 2020 Report overwhelmingly want a modern solution that elevates all "flavors" of integration onto one platform, providing comprehensive visibility to speed integration across the enterprise.

Tushar Patel is CMO at Cleo
Share this

Industry News

March 26, 2020

Redgate’s new SQL Monitor now ensures that DevOps teams can monitor and track deployments at all times.

March 26, 2020

Split Software announced a two-way data integration with Google Analytics that can instantly detect performance issues caused by new features.

March 26, 2020

Cloudreach earned the Kubernetes on Microsoft Azure advanced specialization.

March 25, 2020

Informatica updated its Intelligent Data Platform, powered by Informatica's AI-powered CLAIRE engine, with advanced intelligence and automation capabilities, enabling enterprises to accelerate cloud analytics modernization, drive better customer experiences, and properly govern and manage all their data.

March 25, 2020

Datical released Targeted Rollback capabilities for Liquibase, the rapidly growing open-source tool that helps application developers track, version and deploy database schema changes quickly and safely.

March 25, 2020

HashiCorp raised $175 million in Series E funding, at a company valuation of $5.1 billion.

March 24, 2020

Sysdig launched PromCat.io.

March 24, 2020

Sonatype announced expanded language coverage within Nexus Lifecycle to include Conan (C/C++), Composer (PHP), and RubyGems (Ruby), including the ability to create and contextually enforce policies.

March 24, 2020

Swimlane joined the Chronicle Index Partner program as part of a broader industry effort to help customers improve visibility of and response to cyber threats.

March 23, 2020

Portshift introduced Kubei Open Source container scanning software.

March 23, 2020

Perspecta achieved Amazon Web Services (AWS) DevOps Competency status.

March 23, 2020

Talend announced the availability of Talend Cloud in Microsoft Azure Marketplace, an online store providing applications and services for use on Azure.

March 19, 2020

DevOps Institute, a global member-based association for advancing the human elements of DevOps, announced eight Virtual SKILup Day micro-conferences starting April 30, 2020.

March 19, 2020

Oteemo, an enterprise DevSecOps and Cloud Native Transformation consultancy, launched an enterprise kubernetes and cloud native learning program.

March 19, 2020

Spectro Cloud, an enterprise cloud-native infrastructure company, emerged from stealth and unveiled its first product: Spectro Cloud.