Salesforce survey: Orgs today using 1k+ apps, but 70% are disconnected from each other & core business
The corporate world relies on digital applications, with firms using over 1,000 on average. However, 70% of these apps are disconnected from the core company, leading to inefficiencies and a lack of visibility. This can hinder decision-making and adapting to market changes.
Integration issues are hampering digital transformation effort.
Application volume spikes: Organizations use an average of 1,061 apps, a 10% rise over the 976 found in the 2022 study.
Lack of integration is a rising challenge: On average, just 29% of these apps are now interconnected.
Custom integration costs rise: In the previous year, organizations spent an average of $4.7 million on bespoke integrations, a 21% increase from the $3.7 million recorded the previous year.
Siloed apps and data causing headaches: Integrating siloed apps and data is the main digital transformation difficulty for 36% of respondents.
API-driven connection assists firms in integrating apps and data
The empowerment of non-technical business users speeds up transformation: 68% percent of digitally advanced firms have a sophisticated strategy for allowing non-technical people to seamlessly combine apps and data sources utilizing APIs. This demonstrates how low-code technologies may improve business agility.
APIs drive revenue as top-down API integration strategies increases: APIs are used by 38% of digital assets that generate income, such as e-commerce and partner portals, up from 35% last year. Furthermore, 75% of businesses have established an API integration strategy from the top down.
As demand grows, IT turns to automation to help non-tech activities
Businesses report widespread automation and integration requirements: According to 92% of firms, at least one department inside their organization requires both integration and automation.
Despite digital disruption, IT continues to 'own' automation: The most probable people to be in charge of automating business processes are developers (72%), IT operations (65%), and application administrators (49%).
Non-tech occupations that are ready for automation include: The majority of departments, including data science (64%), product (62%), business analysts (61%), customer service (58%), finance (57%), marketing (56%), engineering (56%), and human resources (52%), show a desire for automation in their operations.
Reusable integrations offer cost saving opportunities: On average, 47% of internal software assets and components are available for reuse to developers, providing a chance for increased integration efficiency.
As digital change accelerates, the cost of failure climbs
IT teams are closing the delivery gap: In 2023, 48% of teams successfully completed all IT projects, up from 44% the previous year. Also, late delivery fell from 52% to 30%. This might be due to corporations investing more in IT staff, with an average of $11.7 million.
Infrastructure investments make system changes easier: Just 54% of businesses find it difficult to alter their systems or apps owing to their IT infrastructure, down from 74% last year.
The cost of failing digital transformations has risen: Failure to complete digital transformation initiatives now costs an estimated $9.5 million per year, up from $6.8 million the previous year.
Conclusion
Integration is crucial for digital transformation success. Low-code, automation, and APIs can save money and enhance agility. IT departments are investing in people to improve system changes. Prioritizing integration prevents costly mistakes in digital transitions.