april 17 delivering a successful web api golliffe 52421

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© 2014 Gartner, Inc. and/or its affiliates. All rights reserved.

While you are waiting for our webinar to begin, you might be interested in the downloads on the Attachment tab:

Have a question for our analyst? Click the Question tab. Q&A will be at the end of today’s presentation.

If you have any difficulties, please email [email protected].

A copy of today’s presentation

Information on how to dial in if you are unable to attend via VoIP

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© 2014 Gartner, Inc. and/or its affiliates. All rights reserved. Gartner is a registered trademark of Gartner, Inc. or its affiliates. This publication may not be reproduced or distributed in any form without Gartner's prior written permission. If you are authorized to access this publication, your use of it is subject to the Usage Guidelines for Gartner Services posted on gartner.com. The information contained in this publication has been obtained from sources believed to be reliable. Gartner disclaims all warranties as to the accuracy, completeness or adequacy of such information and shall have no liability for errors, omissions or inadequacies in such information. This publication consists of the opinions of Gartner's research organization and should not be construed as statements of fact. The opinions expressed herein are subject to change without notice. Although Gartner research may include a discussion of related legal issues, Gartner does not provide legal advice or services and its research should not be construed or used as such. Gartner is a public company, and its shareholders may include firms and funds that have financial interests in entities covered in Gartner research. Gartner's Board of Directors may include senior managers of these firms or funds. Gartner research is produced independently by its research organization without input or influence from these firms, funds or their managers. For further information on the independence and integrity of Gartner research, see "Guiding Principles on Independence and Objectivity."

Gary Olliffe Twitter: @garyolliffe

Gartner for Technical Professionals — Delivering a Successful Web API Program

© 2014 Gartner, Inc. and/or its affiliates. All rights reserved.

You Already Live in an API Economy

New System Production

New API Production

Future

Consumption of APIs Is Growing — Fast!

• You Tweet

• You Register

• You Check In

• You Deposit

• You Pay

• You Post

• You "Candy Crush"

Past

© 2014 Gartner, Inc. and/or its affiliates. All rights reserved.

Key Issues

• What can an API program do for the enterprise?

• How do I structure a great API program that provides serious business impact?

• What are the key technical underpinnings of an API program?

© 2014 Gartner, Inc. and/or its affiliates. All rights reserved.

What Is an API?

A Contract and an Access Channel

Your

Business

Clients

Stores

Partners

Apps

Your API

© 2014 Gartner, Inc. and/or its affiliates. All rights reserved.

Why Businesses Need APIs (Whether They Ask for Them or Not …)

IoT

SaaS

Mobile

Social

BI

Big Data Sources

IaaS/PaaS

B2B

B2B

Your

Business

© 2014 Gartner, Inc. and/or its affiliates. All rights reserved.

Source: Gartner

APIs Let Enterprises Compete in the Cloud

Open for Mobility

Open for Refacing

Open for Information Exchange

Open for Transactions

Open for Customers, Partners, Employees and Citizens

Source: CA (Layer 7), Feb 2014, n >180

Private APIs Only 26%

Public APIs Only 14%

Mixture of Both 60%

Most API Programs Include (or Plan to Include) Private APIs

© 2014 Gartner, Inc. and/or its affiliates. All rights reserved.

"Extensible Enterprise" Maturity Model

Mobilize Existing Business Apps

"Extend the Enterprise With Public Web APIs," Gartner, 5 November 2012 (G00237174)

Build an App

Enable:

Mobility and Innovation P

rog

ram

Co

mp

lexit

y

Bu

sin

ess Im

pact

© 2014 Gartner, Inc. and/or its affiliates. All rights reserved.

"Extensible Enterprise" Maturity Model

Mobilize Existing Business Apps

"Extend the Enterprise With Public Web APIs," Gartner, 5 November 2012 (G00237174)

Build an App

Enable:

Mobility and Innovation

Engage:

Increase Product and Service Accessibility

Pro

gra

m C

om

ple

xit

y

Bu

sin

ess Im

pact

Build a Developer Ecosystem

Add Programmable Capabilities to

Existing Offerings

© 2014 Gartner, Inc. and/or its affiliates. All rights reserved.

"Extensible Enterprise" Maturity Model

Mobilize Existing Business Apps

"Extend the Enterprise With Public Web APIs," Gartner, 5 November 2012 (G00237174)

Use Our Platform to Create a Service

Build an App

Enable:

Mobility and Innovation

Engage:

Increase Product and Service Accessibility

Extend:

Create New Business Models

Pro

gra

m C

om

ple

xit

y

Bu

sin

ess Im

pact

Enter New Markets or Expand Into

Existing Ones

Build a Developer Ecosystem

Add Programmable Capabilities to

Existing Offerings

© 2014 Gartner, Inc. and/or its affiliates. All rights reserved.

Case Study: News Media

• Drivers/Challenges:

- Improve editorial reach and influence.

- Diversify commercial distribution alternatives.

- Be part of the Web, not just on it; go from publisher to platform.

• Processes/Solutions:

- Launched Guardian Content API with freemium rate-limited business model.

- Guardian Developer Network and Open Platform to build developer ecosystem.

- Deployed the Content API on Amazon Elastic Compute Cloud (EC2).

• Results/Benefits:

- Launched Kindle edition, Facebook apps using the API.

- Internal API usage is six times that of external consumption!

- Self-service models have been successful, but higher-touch model is challenging.

Lesson Learned: The Right Public Cloud Services Can Simplify

Scaling and Managing a Successful Public Web API Initiative.

© 2014 Gartner, Inc. and/or its affiliates. All rights reserved.

Value Flows in Many Directions

Value

API Ecosystem

API Providers

API Consumers

© 2014 Gartner, Inc. and/or its affiliates. All rights reserved.

Understand Your Value Proposition and Value Chain

Partners

Customers

Provided Services

Segment Your API Consumers: What Is the Value for Each?

Your Channels Long-tail Dev.

New Markets

© 2014 Gartner, Inc. and/or its affiliates. All rights reserved.

Case Study: Investment Services

*Source: https://cdn.etrade.net/1/20140220.0/static_devportal/static/downloads/ETRADE_Developer_Platform_Guide.pdf

• Investment Services as a Platform*

• More than 25 REST APIs with SDKs for C++, Java, PHP

• Authorization using OAuth

• Developer Community

API Module Features

Accounts Get information on the user's accounts

Market Look up symbols, get quotes, fundamentals, and performance history

Order Get a list of current orders, create/modify orders for equities and options

Streaming API Subscribe to receive timely push notifications of order status changes

Notifications Get notifications about the system and platform

Rate Limits Check the API rate limits and see how many requests are still available

© 2014 Gartner, Inc. and/or its affiliates. All rights reserved.

A Cross-functional Team Makes It Happen

Product Management Business Stakeholders Development Operations Marketing

© 2014 Gartner, Inc. and/or its affiliates. All rights reserved.

Balancing Value and Costs

Operating Costs:

• Storage

• Computing

• Bandwidth

• Third-party Licensing

• Staffing

Measures of Value:

• Number of Users

• Number of Transactions

• Product Revenue

• Expanded Partner Base

• Cost Reduction

Units Often Differ!

© 2014 Gartner, Inc. and/or its affiliates. All rights reserved.

APIs Must Be Designed and Managed as Products

Personas Drive Design Choices

© 2014 Gartner, Inc. and/or its affiliates. All rights reserved.

APIs Must Be Designed and Managed as Products

Personas Drive Design Choices Consumers Drive Contracts

© 2014 Gartner, Inc. and/or its affiliates. All rights reserved.

APIs Must Be Designed and Managed as Products

Personas Drive Design Choices Consumers Drive Contracts

Scenarios Drive Technology

© 2014 Gartner, Inc. and/or its affiliates. All rights reserved.

APIs Must Be Designed and Managed as Products

Personas Drive Design Choices Consumers Drive Contracts

Scenarios Drive Technology Support Drives Demand

© 2014 Gartner, Inc. and/or its affiliates. All rights reserved.

Consuming Services: What Do Developers Need?

• Self-service Access Provisioning

• Documentation

• Test Sandbox

• Platform SDKs

• Code Samples

• Collaboration and Community

© 2014 Gartner, Inc. and/or its affiliates. All rights reserved.

A Good Developer Portal Is Fundamental to API Acceptance and Adoption

Source: https://www.twilio.com/docs/api/rest/making-calls

© 2014 Gartner, Inc. and/or its affiliates. All rights reserved.

Delivering Services: What Do You Need?

• Authentication

• Authorization

• Threat Detection

• Data Privacy

• Traffic Management

• Quality of Service Management

• Interface Translation

• Service Routing

• Service Orchestration

© 2014 Gartner, Inc. and/or its affiliates. All rights reserved.

APIs and Their Business Value Must Be Measured

• Activity Logging

• User Auditing

• Business Value Reporting

• Contract Management

• Advanced Analytics

• Service-level Monitoring

© 2014 Gartner, Inc. and/or its affiliates. All rights reserved.

Key API Delivery Capabilities …

But … Service

Implementation

Service Implementation

Developer

Access Portal Gateway

Service

Implementations

Service

Mediation

API Consumer 1 API Consumer 2 API Consumer N

API Governance

Tools

App

Developer

Service

Governance

Tools

© 2014 Gartner, Inc. and/or its affiliates. All rights reserved.

… Don't Buy What You Already Have

Service Implementation

Service Implementation

Developer

Access Portal Gateway

Service

Implementations

Service

Mediation

API Consumer 1 API Consumer 2 API Consumer N

API Governance

Tools

App

Developer

Service

Governance

Tools

© 2014 Gartner, Inc. and/or its affiliates. All rights reserved.

Recommendations

Develop clear program goals with quantifiable metrics tied to business value.

When building a business-case segment API consumers and determine the value for each.

Establish a cross-functional team responsible for the steering, design, implementation and operation of the API program.

Design and manage APIs as you would a product.

© 2014 Gartner, Inc. and/or its affiliates. All rights reserved.

Recommended Gartner Research

Run and Evolve a Great Web API With API Management Capabilities Eric Knipp (G00247962)

Managing Service Dependencies in the Extended Enterprise Gary Olliffe (G00260047)

Adopt These Six Traits of Highly Effective Web API Programs for Business Advantage Gordon Van Huizen (G00234982)

Govern Your Services and Manage Your APIs With Application Services Governance Paolo Malinverno (G00245902)

For more information, stop by Gartner Research Zone.

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gathering of CIOs and senior IT executives

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• Role-based tracks designed to address your key priorities and challenges

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• ITxpo exhibit floor with hundreds of top solution providers and exciting startups

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Visit gartner.com/symposium

© 2014 Gartner, Inc. and/or its affiliates. All rights reserved. 30

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