Analytics = New Fuel for Technology Performance

AnalyticsSome technology trends come and go like the hot-or-not cycles of runway fashion. Remember “push” technology? Or “knowledge management”? Both are still around but never quite lived up to the early hype. Other trends are much more sustainable and transformational. Analytics is one great example, as demonstrated by the market’s growth to $14 billion plus — and sustained increase in search behavior over the past 8-10 years.

What’s interesting is that most of the analytics action to date has been focused on business operations, marketing insights and competitive dynamics — not IT. Like many other technology trends, IT has been the “shoemaker’s children” — focused on deploying analytics for business users first before applying the technology to IT’s needs. That’s starting to change.

Earlier this year, BMC expanded its investment in IT analytics with the creation of a dedicated Performance & Availability business unit, which combines several BMC products. Bill Berutti, who joined BMC as president of the business unit in April after 17 years at PTC, is now transforming the portfolio with focus and energy. Berutti recently shared his perspective on the market opportunity and BMC’s plans with analyst Rob Enderle and APMdigest editor Pete Goldin.

Berutti envisions a world where analytics and performance become a focal point for IT, potentially even a “hub” to manage and optimize enterprise technology. As Enderle writes, “the end result should be the highest performance and greatest availability” — which could translate into “an industry leading metric that would directly relate to how the overall company, and the CEO, felt about your organization.”

The APMdigest piece drills down into BMC’s views on the Application Performance Management (APM) market, which Berutti argues is “broadening” beyond its early focus on developers and DevOps staff to become more integrated with IT Operations and other roles:

“As IT becomes more complex, there is a need for additional roles, such as IT Operations, to focus on APM. Today, IT Operations is not only focused on making sure the environment is available, but in many cases it is also responsible for the user experience. This group of experts needs a set of solutions that help them to understand the user experience, provide the ability to correlate the information across the entire environment and understand the holistic service experience.”

“Also driving new interest in APM are technical trends, such as data analytics, which allow a user to quickly locate and translate critical information stored in log files. This application-aware infrastructure presents a quick, clear understanding of how deeper components impact an application or business service. BMC believes the industry can unlock new value in the APM market by building solutions that deliver deep insight for better decision-making and reduced manual effort for IT Operations.”

Berutti references several new technologies BMC will launch this fall to break down the barriers between application performance, infrastructure management and IT operations. The combination is designed to reduce ownership costs and improve IT productivity while dramatically improving user experience. As Berutti concludes: “Working on application performance management without taking into consideration the big picture will no longer yield the best value to the business.”

So what’s next in Berutti’s crystal ball? “We believe the investment focus in the APM market will start to shift toward mobile user experience monitoring, toward greater use of big data for insight into application performance and toward greater use of SaaS models. APM will extend to cover more monitoring use cases until the tools evolve into a simple unified monitoring solution that enables IT to manage infrastructure, applications and end users from a single pane of glass.”

Let’s watch this space…

These postings are my own and do not necessarily represent BMC's position, strategies, or opinion.

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Tim Marklein

Tim Marklein

Founder and CEO of Big Valley Marketing, a data-driven marketing and communication consultancy for technology companies. Unique background combines front-line marketing, strategic planning and in-depth analytics across in-house and agency roles. Frequent speaker and writer on business strategy, technology marketing, competitive positioning, communications measurement, analytics and advocacy.