5 Trends That Will Shape Your Data Integration and Management Strategy
By Rob Consoli Is CRO, Liaison Technologies
As companies identify data as their top strategic asset, business leaders are paying more attention to the integration and management of that asset. Enterprises are seeking digital transformation to keep up with or drive industry disruptions and meet emerging consumer expectations, and their executive teams are realizing that success hinges on the ability to effectively integrate and manage data.
But the rapid evolution of data integration and management technologies poses a dilemma for IT leaders when it's time to select an approach and choose a solution for their company. Making the right choice requires insight into how technologies are likely to evolve. Here are five trends that will shape the data integration and management space over the next few years:
1. Data domain boundaries are falling. Early integration technology couldn't handle multiple integration patterns (e.g., MDM, B2B, A2A, etc.), so data was divided into domains. But modern integration technology can handle multiple patterns, so now, it's more efficient to integrate everything on a single platform. Single-domain solutions are obsolete. The market for hybrid integration platforms is heating up - a recent MarketsandMarkets report projects it will top $33 billion by 2022. Future-focused IT leaders are considering options in that space.
2. Legacy integration technologies are becoming obsolete. Users of on-premises application middleware are increasingly abandoning that technology for cloud-service options. Integration technology designed well over a decade ago doesn't support digital transformation, and that holds users back. To cite one use case, supply chains that embrace digital transformation can create a dynamic (as opposed to linear) value ecosystem in which vendors and suppliers work together to satisfy customers with new digital services. Middleware can't facilitate that.
3. Enterprises are choosing professional integration services. As integration becomes more complex, companies are responding in different ways. Some are adopting do-it-yourself integration technology and using in-house IT staff as "citizen integrators." Others are choosing to tap professional integration services instead, which frees up internal staff to discover insights within data to disrupt their industry and drive efficiency. IT leaders must decide if it makes sense to add skills in-house as needs evolve or source outside expertise.
4. The focus is shifting from data integration to data management. For the past several years, companies have focused on data integration since it was imperative to create a usable data repository to meet their business objectives, including market share growth and new revenue streams. But now that integration technology is more sophisticated, the focus is shifting to data management. Business leaders understand how valuable their data is, so they are treating it as a strategic asset. That reality is reflected in the growth of the Master Data Management (MDM) market, which Zion Market Research projects will grow to nearly $38 billion by 2022.
5. Data security and privacy concerns - and regulations - are increasing. Business leaders aren't the only ones who perceive the value of data; hackers understand its value too, which is why they are creating ever-more sophisticated exploits, including AI-enabled malware. Government authorities and regulatory bodies are responding with new rules to protect consumer privacy (such as the new GDPR standards), and companies find it challenging to keep up, especially if they operate all over the world. Many are choosing to partner with platform providers with built-in compliance and security capabilities, so they can focus on core competencies instead.
Company leaders know data drives efficiency and innovation, and they need an IT infrastructure that supports digital transformation. That means IT executives will be making major decisions about data integration and management strategy and technologies - now and in the years to come. Understanding how trends in the data integration and management space are likely to play out in the short and long term can help IT leaders choose wisely.
As the focus shifts from data integration to data management, the two spheres will likely merge and become part of a single whole: the data platform market. IT leaders who are aware of these trends will be in a better position to support their company's digital transformation objectives. A future-proof data integration and management strategy will provide a significant competitive advantage over companies that are still playing catch-up.
Rob Consoli is CRO, Liaison Technologies, a recognized leader in cloud-based integration and data management solutions.
Liaison's cloud-based approach and ALLOY(r) platform breaks down the barriers between data silos to tap into the valuable information needed to make better decisions, faster.