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Application Performance Management software in hot demand

26 Apr 16

A rising demand for cloud-based Application Performance Management (APM) software is lifting the performance and availability of management software, according to Technavio.

In fact, the analysts have forecast the global distributed performance and availability management software market to grow at a CAGR of more than 13% during the forecast period.

Technavio ICT analysts highlight the following four factors that are contributing to the growth of the global distributed performance and availability management software market:

  • Rising demand for cloud-based APM software
  • Increased need to enhance business productivity
  • Greater need for visibility into business processes
  • Reduced operational costs of distributed performance and availability management software

Rising demand for cloud-based APM software

Cloud systems allow companies to use software on a pay-per-use basis and are cost effective, Technavio says. Low maintenance costs, less dependency on internal IT personnel, limited hardware infrastructure, easier and faster implementation of IT solutions, and no licencing costs are factors that drive the adoption of cloud software, the analysts say. These factors allow businesses to concentrate on developing core competencies, according to Technavio.

Although some benefits are provided in the cloud infrastructure, there are some concerns that arise in terms of performance because servers, storage, applications, and services are accessed through a common network.

“As enterprises move enterprise applications to the cloud, the need for managing and monitoring the performance of applications across a distributed computing environment becomes important. As a result, the demand for cloud-based APM software is increasing,” says Amrita Choudhury, a lead analyst at Technavio for enterprise application.

Increased need to enhance business productivity

Organisations are continually focusing on improving overall operational efficiency, according to the analysts. Any issue related with the performance of an application results in the devaluation of an enterprise.

In the increasingly competitive market landscape, enterprises are giving importance to the adoption of distributed performance and availability management software to improve the performance of applications, enhance business productivity, and gain advantage over competitors, Technavio says.

The software helps in monitoring enterprise applications, managing the performance and availability of applications, detecting obstructions in performance early, identifying the root cause of an issue quickly, and resolving issues proactively before they affect end-users, according to the analysts.

As a result of the increasing importance of scalable IT systems, enterprises are looking for business solutions that can accelerate the growth of the organisation. Deployment of distributed performance and availability management software helps organisations to meet their business demands quickly and stay competitive in the market, Choudhury says.

Greater need for visibility into business processes

The growing interest among organisations to acquire visibility into the performance of applications has resulted in the increased adoption of the distributed performance and availability management software. It helps organisations to monitor, detect, and identify uncharacteristic behaviour of applications across hardware and software infrastructure in an organisation and provides greater visibility into service-oriented architecture, which helps in deploying new business solutions, Technavio says.

Greater visibility into systems helps in faster recovery from performance issues. The software allows the tracking of mobile-user sessions in real-time and provides information related to mobile app performance and its impact on business, the analysts say.

Some vendors specialise in providing the software solely from a business user’s perspective by adding differentiated features that add value to business productivity. Organisations that lack real-time visibility into the impact of performance on users and the business will be at a competitive disadvantage, according to Technavio.

Reduced operational costs of distributed performance and availability management software

According to Technavio, the market is driven by the growing need for cost saving. Organisations need to achieve maximum productivity while reducing operational costs because of inflation and fluctuating economic growth.

In this highly competitive and agile business environment, organisations are constantly looking for ways to reduce operational costs. As a result, they are increasingly adopting distributed performance and availability management software to gain high visibility into applications, enhance operational efficiency, and achieve productivity gains, the analysts say.

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