Fed up with outdated integration technology that is proving costly to their business, C-level and IT decisionmakers are tackling cloud integration challenges with greater urgency in 2020 as they prepare for an ecosystem-driven future.
According to the 2020 State of Ecosystem and Application Integration Report, an annual survey published this week by Cleo, the complexity of legacy integration solutions is negatively impacting both revenue and productivity, leading many companies to take action.
Thirty percent of respondents estimate they lose between $100,000 and $1 million per year as a result of integration-related issues such as data errors, technology impediments, or SLA violations. Furthermore, 10 percent claim to lose $1 million or more on an annual basis from such causes.
As for productivity costs, nearly half (46 percent) say it takes them a month or longer to onboard a new trading partner, causing slowdowns in their business. Considering productivity in terms of lost orders, 47 percent of respondents say their company loses upwards of 50 orders each year specifically due to integration issues, with 17 percent losing up to 500 orders or more on an annual basis.
In response to such trends, a newfound urgency has entered the integration market, leading many companies to plan aggressive action in the coming months while holding optimism for the longer term:
"Companies' patience for struggling with both the complexity and negative business impact of legacy integration solutions is wearing thin," says Tushar Patel, chief marketing officer at Cleo. "As a result, a new sense of urgency has taken hold and enterprises are making concrete plans to finally tackle their cloud integration challenges more aggressively in 2020."
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