CA: Toolmaker For The DT Generation
SAN JOSE: CA Technologies has weathered tremendous changes since planting its mainframe roots in 1976, but as it starts its fiscal 2018, following a year of relatively flat sales and profits, the $4 billion software vendor is facing its greatest challenge… and opportunity. The challenge is transforming a company that is primarily based upon the legacy software business into a fast and agile contributor to the emerging Digital Transformation revolution. The opportunity: spending on DT technologies will exceed more than $1.2 trillion this year, and continue to grow at almost 18% per year to $2 trillion by 2020, almost 20X the anemic growth forecast for the overall IT market.
There weren’t a lot of answers at last week’s ‘Built to Change Summit’, but the company’s senior management, including CTO/EVP Otto Berkes and President and Chief Product Officer Ayman Sayed, spoke frequently, and in depth, about the onrushing DT express, and how CA is positioned to help its customers weather the journey. We are one of the few companies uniquely positioned to help companies manage digital transformation, stated Sayed.
“Effectively we are helping them build a modern software factory,” he said. “If you look at our customers, almost every single one of them is racing to transform their business into a software factory.” A week prior to the event the company unveiled The Modern Software Factory as its new marketing campaign to showcase the full spectrum of capability CA brings — either a single solution, or a combination of solutions across the areas of Agile, DevOps and Security — to customers navigating the challenges of digital transformation.
CA has been pushing DT and the application economy for some time, and the opportunity was one of the reasons why Berkes moved over from HBO in 2015, following almost 20 years at Microsoft. “… that transformation was formative in bringing me to CA… to build the tools to enable enterprises to manage that transformation…”
DT (AKA digitization or Industry 4.0) and its related technologies — cloud computing, Internet of Things (IoT), big data and analytics (BDA), mobility, social media and security — is generating tremendous change, but only 5% of large companies are prepared to meet the IT requirements of the Digital Business era. Given the stakes — i.e. a 33% increase in speed to market; 40% increase in customer satisfaction; 37% increase in new business revenue; an expected increase in annual revenues by an average of 2.9%; an expected reduction in costs by an average of 3.6%; while “first movers” ‘are far more likely to be forecasting both revenue gains of more than 30% and cost reduction of more than 30% at the same time’ — DT is an extinction-level event — it’s ‘go digital or die’.
Going digital largely depends upon applications delivered quickly and securely, hence CA’s focus on The Modern Software Factory theme. According to a new survey, the company has identified ways for 80% of companies to develop and deliver better software faster. The survey of almost 1,000 IT decision makers found that companies practicing DevOps with cloud-based tools and delivery results in:
-81% improvement in overall software delivery performance (over an improvement of just 52% when practicing DevOps alone or 53% when leveraging cloud without DevOps);
-almost 2x faster software delivery speed;
-80% better predictability of software performance;
-66% improvement in software quality for fewer defects;
-69% improvement in customer experience than baseline of traditional software development and delivery models; and,
-more than 2x better cost control for the tools and services that DevOps teams actually use.
CA did make several product announcements last week, including:
-CA Agile Central with Team Board, a new capability to bridge the gap between employee autonomy and company strategy;
-a holistic approach to API Management in the cloud with portfolio updates including CA API Developer Portal to support full lifecycle API Management for modern architectures, CA Live API Creator for instant, complete microservices creation and a gateway for microservices, currently in beta availability for Docker containers, to orchestrate and secure microservices;
-orchestration across the entire software delivery chain in a single view with CA Continuous Delivery Director SaaS, now available in public beta, with analytics that provide visibility into time spent at each step in the software development lifecycle (SDLC) for faster software delivery;
-integration across the CA portfolio with planning tool, CA Agile Central, CA BlazeAPI Test, a new public beta to meet critical performance metrics, performance testing tool CA BlazeMeter, release automation, operations and application testing with CA Veracode;
-CA’s Digital Experience Insights, now available in a public trial, is a SaaS-based analytics solution that correlates end-user, application and infrastructure monitoring to deliver business and operational insights necessary to improve digital experiences;
-CA Mainframe Operations Intelligence integration with the Automic ONE Automation Platform that uses machine learning for operational intelligence and real-time dynamic thresholds to proactively detect performance anomalies sooner and automate corrective action that prevents outages and slowdowns of mission essential systems; and,
-CA Veracode integration to support the fundamental shift to DevSecOps that incorporates security across the entire software lifecycle.
DISCLAIMER: In addition to looking after airfare and hotel, CA is also a part of my investment portfolio.