Meeting the Rising Challenge of Modern Networks

1. ™ Meeting the Rising Challenge of Modern Networks

2. What we’ll learn • State of new technologies and their impact • The challenges businesses face today in managing and optimizing networks and applications • Detailed looks at the impact of key emerging technologies • How Best-in-Class organizations are meeting these technology challenges • Benefits of being a Best-in-Class business • Aberdeen Recommendations

3. Aberdeen Research Methodology • Survey end-users about their organization’s results from technology deployment • Define Leaders based on quantifiable business and operational performance • Identify characteristics, capabilities and business practices of Leaders not widely practiced by Followers • Recommend concrete actions for Followers based on the performance advantages of Leaders

4. Emerging Technologies: The Good and the Bad • New technologies keep things exciting and offer improved capabilities and features. They also disrupt established practices and increase complexity and the difficulty of tech management.

5. Rising Tide of Emerging Technologies • Top emerging technologies being deployed by business today. Source: Aberdeen Group, June 2013

6. Rising Tide of Emerging Technologies • Continued from previous slide. Source: Aberdeen Group, June 2013

7. Top Challenges Faced by Business Today • For this data, we asked organizations what the top pressures were that were impacting network and application service, performance and management. Source: Aberdeen Group, June 2013

8. Increasing Pressures on Enterprises

9. Service Margins vs. Product Margins Source: Aberdeen Group, December 2012 Not for Distribution

10. Emerging Technologies: A Deep Dive • Let’s shed some light on key new technologies impacting business today.

11. Server Virtualization and Private Cloud Small Mid-Sized Large 80% 70% 74% 72% 69% 60% 62% 50% 55% % of Survey Respondents 40% 48% 30% 20% 10% 0% Will be Deployed on virtualized Currently Deployed on Virtualized Servers Servers when all Projects Completed n = 123 +50% of all applications deployed on virtualized servers Source: Aberdeen Group, January, 2013

12. Real-Time Communications • VoIP phones and software, and larger Unified Communications, connect voice, video, collaboration, and email into an overarching collaborative infrastructure. While these real- time systems provide increased communication functionality and improved management capabilities, they increase overall network traffic. Due to their high demand for bandwidth and low tolerance for latency, they require the highest levels of network service in order to satisfy end-user expectations for enterprise-class communications. • 30% of organizations consider Unified Communications and Voice Over IP to be critical to their overall business

13. The Move to Mobility Corporate applications and data are accessed from anywhere and on anything. The rise of powerful tablets and smartphones and the increasing prevalence of the Bring Your Own Device trend mean that companies are delivering applications to new types of devices over networks that they have no control over or visibility into • Number one pressure (for 71% of organizations) is increased demand for mobile application access • In a recent Aberdeen survey, 91% of respondents said they are using a smartphone or tablet in the workplace

14. Public Cloud While cloud computing offers benefits in infrastructure costs and management, it adds new complexities. As cloud system adoption rates increase, businesses will need to continue to ensure high application uptime and performance levels. • The top THREE pressures driving cloud-focused organizations to invest in performance management solutions: • 43% said that the need to meet and measure Service Level Agreements • 39% chose rising user demand for applications and network bandwidth • 30% listed rising use of mobile devices and applications

15. More Emerging Technology on the Horizon • Big Data • Social Networking • Virtual Desktops & Applications • IPv6 • Software Defined Networking

16. Best-in-Class Strategies Source: Aberdeen Group, September 2012

17. Best-in-Class Results Source: Aberdeen Group, September 2012

18. Best-in-Class Take a Profit Centric View Source: Aberdeen Group, December 2012 Not for Distribution

19. Link Between Customer Satisfaction and Loyalty / Revenue Source: Aberdeen Group, December 2012 Not for Distribution

20. Top Roadblocks for Effective Service Management Source: Aberdeen Group, December 2012

21. Aberdeen Strategic Recommendations • Understand current networking infrastructure. A key first step to improving network strategy is understanding your current situation. Best-in-Class businesses know where their current network is providing value and where it is coming up short. • Don't be afraid to do things differently. Emerging technologies don't just impact your business, they impact your partners and technology suppliers. Networking strategies that didn't exist a few years ago are now available that can potentially provide improved capabilities and increased cost savings. • Do the prep work. Very few new technologies can be dropped into a company infrastructure without any changes necessary. Technologies like big data and unified communications boost traffic while cloud and mobile can increase management headaches. Making sure that your IT infrastructure is ready for these technologies will go a long way towards ensuring a successful deployment.

22. Aberdeen Strategic Recommendations • Build for growth. Don’t think that this current explosion of new technologies is going to end anytime soon. The Best-in-Class are redoing their network and infrastructure strategies to ensure growth and flexibility • Track emerging technologies early in their lifecycle. Even if you don't anticipate implementing a new technology in the near future, having a good understanding of the technology early on will ease both initial investigation and deployment of the technology when the time to implement it comes. Our research reveals that gaining an early knowledge of emerging technology leads to performance gains and Best-in-Class status for organizations. • Talk to key suppliers and vendors about the new technology. Gaining the knowledge that the vendors who supply your networking and performance management solutions are already in the process of supporting a new technology, will help with any implementation of the technology on the part of your business.

23. Aberdeen Strategic Recommendations • New service and services. As service margins continue to outpace those of products, it is imperative that the organization create new value-added services to provide customers with enhanced offerings. Top performing organizations have established newer services like training or consultation to become true partners with customers. • The competition is coming. The service opportunity is not going unnoticed by the market. Revenue and profitability prospects have led to a dearth of service providers and other competitive organizations establishing businesses around servicing others products. • Don't get left behind. Across the board, Best-in-Class organizations have a 15% edge in adopting new technologies when compared to Industry Average businesses. Top performing companies understand that new technologies often provide an edge in productivity and business capabilities and move to take advantage of the competitive boost of these technologies.

24. THANK YOU! Additional reports, blogs and other content on these and other topics freely available at www.aberdeen.com Contact Aberdeen: Phone: 617.854.5200 Fax: 617.723.7897 Member.Services@Aberdeen.com