10 Things You Need to Know Before Modernizing Your ...

1 White Paper10 Things You Need to know Before Modernizing your ApplicationsFollow these best practices to ensure your data stays clean, safe, and connectedThis document contains Confidential, Proprietary and Trade Secret Information ( Confidential Information ) of Informatica Corporation and may not be copied, distributed, duplicated, or otherwise reproduced in any manner without the prior written consent of Informatica. While every attempt has been made to ensure that the information in this document is accurate and complete, some typographical errors or technical inaccuracies may exist.

2 Informatica does not accept responsibility for any kind of loss resulting from the use of information contained in this document. The information contained in this document is subject to change without incorporation of the product attributes discussed in these materials into any release or upgrade of any Informatica software product as well as the timing of any such release or upgrade is at the sole discretion of by one or more of the following Patents: 6,032,158; 5,794,246; 6,014,670; 6,339,775; 6,044,374; 6,208,990; 6,208,990; 6,850,947; 6,895,471; or by the following pending Patents: 09/644,280; 10/966,046.

3 10/727, edition published March 2014110 Things You Need to know Before Modernizing your ApplicationsWhite PaperTable of ContentsIntroduction ..2 Best Practice No . 1: Understand process and inter-application dependencies ..3 Best Practice No . 2: Clean and standardize data ..4 Best Practice No . 3: During design of your new application, build in transparent data access and integration points to avoid data lockdown ..5 Best Practice No . 4: Sync with existing apps and data warehouses using the most current data ..5 Best Practice No.

4 5: Classify data and define data retention and privacy requirements ..6 Best Practice No . 6: Leverage an automated test data provisioning process ..7 Best Practice No . 7: Leverage MDM to provide a consistent single source of enterprise master data for current and future transformation initiatives ..8 Best Practice No . 8: know your data integration team and what tools they use ..8 Best Practice No . 9: Build legacy application shutdown into the plan for when you go live ..9 Best Practice No . 10: Smart partitioning for application performance.

5 10 Why Informatica? ..112 IntroductionTransformation is the business buzzword of the day. It s overused. But in the case of what s happening to enterprise applications in businesses around the world, it s most definitely are being transformed at rates never seen Before . Seventy-one percent of enterprises said that IT is deploying more, and more complex, applications than it was a year Businesses are integrating on-premises applications with cloud applications such as Salesforce (28 percent of enterprises did so in 2013) or moving them to the cloud (40 percent of enterprises).

6 2 applications are being consolidated due to a once-again robust M&A market, where aggregate M&A deal value for 2013 was $958 billion, the second-highest amount spent since the 2008 financial you have the transformation necessary when moving from one application to another, such as from SAP to Oracle, or vice versa. Or to upgrade to the latest version of an ERP application. Or to implement master data management (MDM). Integration is always a part of application transformation: making sure new systems talk to existing systems and vice versa.

7 Gartner predicts organizations will spend one-third more on application integration in 2016 than they did in 2013. What s more, by 2018, more than half the cost of implementing new large systems will be spent on your reasons behind application transformation, a critical part of any initiative is migrating data from an old environment (or environments) into a new one. For large businesses, this is not cheap. On average, such a migration costs $875, If the migration is part of a larger project as it typically is the average cost is $ million.

8 The average cost of a project overrun is $268,000 or approximately one third of a data migration And an unfortunate reality is that such projects frequently experience significant cost avoid such overruns and other potential potholes on the road to a successful application transformation, here are 10 best practices you ll be glad you knew about Before embarking on your RULESWhat does it mean to keep your data clean, safe, and connected?Clean: Data contains no errors or omissions Safe: Data is shared only with authorized persons (and applications )Connected: Data flows freely among the applications that need it1 Cisco Global Cloud Networking Survey 20122 Data Migration Customer Survey, Bloor Research, February 20143 FactSet:FLASHWIRE US MONTHLY, January 20144 Gartner Predictions 2013 for Application Integration.

9 My Take, by Dinesh Chandrasekhar, November, 20125 Data Migration Customer Survey, Bloor Research, February 20146 Ibid310 Things You Need to know Before Modernizing your ApplicationsBest Practice No. 1: Understand process and inter-application dependenciesData isn t static. It flows through your organization, through multiple applications and many, many business processes. If you don t know your data flows and dependencies, you re heading for failure during an application transformation. Even when individual application owners are masters of their own domains, if they don t understand data flows to and from other applications , they won t be able to untangle the downstream impact of any changes they make.

10 This is especially critical during M&As. All too often, a company won t understand the processes that exist within an M&A target and how heavily the target company depends on the data flow of such processes to function. Say an enterprise has established important workflows between its on-premises marketing automation and CRM systems and is decommissioning them to move to a new cloud application. Retiring them separately or at the wrong time may lead to all-important sales leads falling between the cracks. It s critical, therefore, to trace data through the enterprise and document the flow, typically in asset spreadsheets.