SYS-CON MEDIA Authors: Xenia von Wedel, Peter Silva, Glenn Rossman, Ava Smith, Elizabeth White

Related Topics: Cloud Expo, Java, SOA & WOA, Linux, Big Data Journal, SDN Journal

Cloud Expo: Article

How Data Integration Is Changing the Enterprise Landscape

Cloud integration is now more important than ever to tackle increasingly complex integration challenges

Two words that are continually brought up in conversations at company meetings are "integration" and "cloud." According to leading analyst firm Gartner, by 2016 the growth of cloud computing will increase to become the bulk of new IT spend. The relative cost of cloud services as compared to handling integration in-house has historically hindered executives' decisions to implement cloud services and brokers. However, the undeniable benefits to cloud-based integration have now come to the forefront of consideration for C-level decision makers looking to relieve their companies of compliance challenges and security risks, while increasing the speed of data being transferred and analyzed. Putting the two words together, cloud integration is now more important than ever to tackle increasingly complex integration challenges.

As such, 2014 will be a disruptive year for integration providers, cloud services, Big Data and C-level executives looking to take full advantage of what data integration has to offer. Below are three trends companies can expect to see and incorporate into their businesses in the next year:

The Marriage of A2A and B2B Integration
By the end of this year, it is very possible the only people still separating Business-to-Business (B2B) and Application-to-Application (A2A) integration will be software vendors. Integration has historically been separated into the two distinct solutions of B2B and A2A, but as the year continues, we will see these two solution groups merge into one category, known simply as integration. No longer viewed as siloed entities, enterprises will be better able to manage and share information both internally and externally. Heavily influencing this holistic convergence is cloud-based integration. Additionally, the growth of cloud-based integration will continue to act as a fusing structure for evolving integration.

The Bifurcation of the Integration Market
Fueled by the increasing complexity of integration where "data-centric" computing has overtaken "application-centric" architectures, the integration market will bifurcate into two categories: "use case specific" and "use case independent" solutions, the latter of which will focus on the integration technology itself. With the demand for cloud services sold through brokerages expected to reach 20 percent, CSBs are becoming the go-to data-centric strategy for companies looking for an application-agnostic approach spanning across various providers to handle complex integration requirements associated with the growing classes of data generated.

For integration cloud brokers who optimize their offerings for specific "use cases," they will typically work within industries with repetitive implementations and low variation between customers. This model drives the complexity to the end points or the cloud applications. In these cases, providers advocate for common data models or "industry canonicals" with "connect once" marketing messages that entice customers with a simple integration story. However, integration complexity can pose some significant challenges in this market as providers try to address varying integration scenarios with over-simplified solutions.

Looking to the future, the more valuable and sustainable approach will focus on integration providers that embrace variations among customers, developing a core competency to deliver tailored solutions that fit each unique use case. This solution will necessarily yield lower margins, but will ultimately prevent customers from feeling forced to settle for less. This model is a foundational principle of mass customization applied to cloud integration services.

In the end, the two newly created markets will boil down to simple and complex frameworks. As Albert Einstein said it best, "things should be made as simple as possible but not simpler." It's important for both customers and providers to recognize that mass customization offerings, as would be proposed in the second market, are neither a technology nor sales technique, but rather a shift in organizational discipline, which may be difficult for many companies to handle.

Emergence of the Chief Data Officer
In recent years, it seems like a new C-level title is created and en vogue to capitalize on just about every emerging business trend. Some of these positions have more staying power than others. One position, in particular, that will continue to gain legitimacy is the CDO - the chief data officer. Over the past year, companies have become more aware of how data is being analyzed and communicated within their business as well as with partners and customers. Additionally, they have begun to embrace the evolution of data integration and data management to govern new analytics including applications, reporting, planning and social media. This growing emphasis on data management will be the catalyst that propels the CDO from early adopter status to mainstream C-level executive.

In essence, the CDO is the evolution of what most people know as the chief information officer. As with any executive position, the CDO will be faced with various challenges, including the increased complexity of data integration. The CDO's role will expand on the historically internal focus of integration to include external data integration. With 85 percent of respondents to IDC's recent study reporting that IT has become a more valuable partner to their businesses than it was three years ago, today's enterprise has more technology that needs to be integrated within the business. Additionally, the rise of cloud services, cloud application and mobile devices within a company is opening the door for more data, but leaving IT teams with more to manage and integrate.

The increasing presence of CSBs and cloud applications across businesses of all sizes and types is another area of focus that will be guided by the vision of the CDO. With expectations like analyst firm IDC's prediction of $100 billion to be spent on cloud and cloud services alone in 2014, CDOs will need to oversee both external customer and internal cloud implementations, solutions and services. Within this cloud framework, CDOs will be responsible for evaluating, designing and implementing cloud security that is compatible with compliance and integration efforts. As mentioned earlier, with the trend of working with CSBs on the rise, the need for more requirements, security and management will be necessary more than ever.

Last, according to IDC, the global Big Data technology and services market is expected to grow at a 31.7 percent compound annual growth rate. By 2016, it will reach $23.8 billion. With Big Data integration projects on the rise, companies will take advantage of opportunities to build out specific Big Data focused teams to complement solutions and address increasingly complex Big Data challenges. Leading these teams as well as overseeing internal Big Data issues and management, CDOs will be able to support their company as well as customers.

In the end, 2014 will be a dynamically shifting year for IT and the business leadership structure. With increased investments in cloud and cloud services, enterprises will be forced to take a serious look at data integration and management in the cloud to leverage the most effective solution that meets the needs and demands of each specific use case. To create and support this growing demand, the emergence of the chief data officer will be viewed as a necessary component to help champion these changes and provide the vision companies need to succeed. Ultimately, CDOs will be among the prominent new generation of leaders and change-makers who will aid in the growth and prosperity of current and prospective businesses.

More Stories By Bob Renner

Bob Renner is the President and CEO of Liaison Technologies. He has been in this role since 2002 and has successfully executed nine corporate acquisitions in the US and Europe. He acted as Liaison’s Chief Technology Officer in the company’s startup phase from 2000 – 2002.

Comments (0)

Share your thoughts on this story.

Add your comment
You must be signed in to add a comment. Sign-in | Register

In accordance with our Comment Policy, we encourage comments that are on topic, relevant and to-the-point. We will remove comments that include profanity, personal attacks, racial slurs, threats of violence, or other inappropriate material that violates our Terms and Conditions, and will block users who make repeated violations. We ask all readers to expect diversity of opinion and to treat one another with dignity and respect.


Latest Stories
Docker offers a new, lightweight approach to application portability. Applications are shipped using a common container format and managed with a high-level API. Their processes run within isolated namespaces that abstract the operating environment independently of the distribution, versions, network setup, and other details of this environment. This "containerization" has often been nicknamed "the new virtualization." But containers are more than lightweight virtual machines. Beyond their small...
Cloud Expo 2014 TV commercials will feature @ThingsExpo, which was launched in June, 2014 at New York City's Javits Center as the largest 'Internet of Things' event in the world.
The major cloud platforms defy a simple, side-by-side analysis. Each of the major IaaS public-cloud platforms offers their own unique strengths and functionality. Options for on-site private cloud are diverse as well, and must be designed and deployed while taking existing legacy architecture and infrastructure into account. Then the reality is that most enterprises are embarking on a hybrid cloud strategy and programs. In this Power Panel at 15th Cloud Expo (http://www.CloudComputingExpo.com...
Explosive growth in connected devices. Enormous amounts of data for collection and analysis. Critical use of data for split-second decision making and actionable information. All three are factors in making the Internet of Things a reality. Yet, any one factor would have an IT organization pondering its infrastructure strategy. How should your organization enhance its IT framework to enable an Internet of Things implementation? In his session at Internet of @ThingsExpo, James Kirkland, Chief Ar...
Leysin American School is an exclusive, private boarding school located in Leysin, Switzerland. Leysin selected an OpenStack-powered, private cloud as a service to manage multiple applications and provide development environments for students across the institution. Seeking to meet rigid data sovereignty and data integrity requirements while offering flexible, on-demand cloud resources to users, Leysin identified OpenStack as the clear choice to round out the school's cloud strategy. Additional...
Technology is enabling a new approach to collecting and using data. This approach, commonly referred to as the "Internet of Things" (IoT), enables businesses to use real-time data from all sorts of things including machines, devices and sensors to make better decisions, improve customer service, and lower the risk in the creation of new revenue opportunities. In his General Session at Internet of @ThingsExpo, Dave Wagstaff, Vice President and Chief Architect at BSQUARE Corporation, discuss the ...
The security devil is always in the details of the attack: the ones you've endured, the ones you prepare yourself to fend off, and the ones that, you fear, will catch you completely unaware and defenseless. The Internet of Things (IoT) is nothing if not an endless proliferation of details. It's the vision of a world in which continuous Internet connectivity and addressability is embedded into a growing range of human artifacts, into the natural world, and even into our smartphones, appliances, a...
SYS-CON Media announced today that Aruna Ravichandran, VP of Marketing, Application Performance Management and DevOps at CA Technologies, has joined DevOps Journal’s authors. DevOps Journal is focused on this critical enterprise IT topic in the world of cloud computing. DevOps Journal brings valuable information to DevOps professionals who are transforming the way enterprise IT is done. Aruna's inaugural article "Four Essential Cultural Hacks for DevOps Newbies" discusses how to demonstrate the...
"BSQUARE is in the business of selling software solutions for smart connected devices. It's obvious that IoT has moved from being a technology to being a fundamental part of business, and in the last 18 months people have said let's figure out how to do it and let's put some focus on it, " explained Dave Wagstaff, VP & Chief Architect, at BSQUARE Corporation, in this SYS-CON.tv interview at @ThingsExpo, held Nov 4-6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
The 4th International DevOps Summit, co-located with16th International Cloud Expo – being held June 9-11, 2015, at the Javits Center in New York City, NY – announces that its Call for Papers is now open. Born out of proven success in agile development, cloud computing, and process automation, DevOps is a macro trend you cannot afford to miss. From showcase success stories from early adopters and web-scale businesses, DevOps is expanding to organizations of all sizes, including the world's large...
Verizon Enterprise Solutions is simplifying the cloud-purchasing experience for its clients, with the launch of Verizon Cloud Marketplace, a key foundational component of the company's robust ecosystem of enterprise-class technologies. The online storefront will initially feature pre-built cloud-based services from AppDynamics, Hitachi Data Systems, Juniper Networks, PfSense and Tervela. Available globally to enterprises using Verizon Cloud, Verizon Cloud Marketplace provides a one-stop shop fo...
Software-driven innovation is becoming a primary approach to how businesses create and deliver new value to customers. A survey of 400 business and IT executives by the IBM Institute for Business Value showed businesses that are more effective at software delivery are also more profitable than their peers nearly 70 percent of the time (1). DevOps provides a way for businesses to remain competitive, applying lean and agile principles to software development to speed the delivery of software that ...

ARMONK, N.Y., Nov. 20, 2014 /PRNewswire/ --  IBM (NYSE: IBM) today announced that it is bringing a greater level of control, security and flexibility to cloud-based application development and delivery with a single-tenant version of Bluemix, IBM's

"Our premise is Docker is not enough. That's not a bad thing - we actually love Docker. At ActiveState all our products are based on open source technology and Docker is an up-and-coming piece of open source technology," explained Bart Copeland, President & CEO of ActiveState Software, in this SYS-CON.tv interview at DevOps Summit at Cloud Expo®, held Nov 4-6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
Focused on this fast-growing market’s needs, Vitesse Semiconductor Corporation (Nasdaq: VTSS), a leading provider of IC solutions to advance "Ethernet Everywhere" in Carrier, Enterprise and Internet of Things (IoT) networks, introduced its IStaX™ software (VSC6815SDK), a robust protocol stack to simplify deployment and management of Industrial-IoT network applications such as Industrial Ethernet switching, surveillance, video distribution, LCD signage, intelligent sensors, and metering equipment...