1. Milan Hanson, Senior Analyst
WEBINAR Introducing The Forrester WaveTM: Application Performance Management Solutions, Q3 2016
Milan Hanson, Senior Analyst
October 4, Call in at 12:55 p.m. Eastern time

3. Agenda
About the APM market
Choosing vendors
Evaluating vendors
Results

4. Agenda
About the APM market
Choosing vendors
Evaluating vendors
Results

5. Customer obsession transforms ITBT
Technologies, systems, and processes to support and transform internal operations
Technologies, systems, and processes to win, serve, and retain customers

6. Customer obsession drives APM value
Source: A Customer-Obsessed Operating Model Demands A Close Partnership With Your CIO Forrester report

7. Agility drives APM value
Source: Increase Your Value: Become The Modern, Agile PMO Forrester report

8. Agility drives APM value
Source: Organize And Staff I&O Pros For Successful DevOps Practices Forrester report

9. Tech complexity drives APM value
Cloud adoption
Microservices adoption

10. Three components of performance
Attractive
Performance
content
infras-tructure
code
Easy
Reliable

11. The APM market

12. . . . gets complicated The APM market SIEM Automation ITSM
Continuous X
ITOA
ITOM
Unified monitoring
EUM
Service mgmt
Crash analytics
DBMS
NPMD
NSM
Mobile APM
Crash analytics

13. Agenda
About the APM market
Choosing vendors
Evaluating vendors
Results

14. How we chose vendors for the Forrester Wave
Invited 26 from our vendor landscape report
Selected 14 that:
Declare an APM solution
Satisfy Forrester APM Reference Model
Exhibit mindshare in the market
Own customer base >200
Earn APM annual revenue above $85M
Show CAGR (last fiscal year) above 10%

15. Agenda
About the APM market
Choosing vendors
Evaluating vendors
Results

16. The Forrester Wave methodology
Selected vendors participated in a kickoff call to review the Forrester Wave process.
Forrester developed initial evaluation criteria and allowed vendor feedback.
Vendors responded to evaluation criteria in the form of a questionnaire about their current offering, strategy, and market presence.
Forrester conducted briefings with all vendors to supplement questionnaire responses.

17. The Forrester Wave methodology (cont.)
Forrester requested three client references from each vendor for questionnaire survey.
Forrester considered vendor responses and client reference responses to establish initial scores for vendor review.
Vendors responded to scoring for fact-check and supplemental/corrective data.
Forrester made appropriate adjustments based on the feedback.

18. Criteria emphasis Evenly split across current offering and strategy
Emphasize CX, analytics, and apps
Align with BT
Innovate
Presence
Size
Growth

19. The final Forrester Wave graphic

20. Agenda
About the APM market
Choosing vendors
Evaluating vendors
Results

21. Current offering attributes: app monitoring
(20% of score): variety and flexibility of approaches
Compiled-in monitoring for many languages
App monitoring via wire data
Agent monitors apps by observing.
Monitor apps by wrapping or injecting
Monitor APIs of which apps are built
Wildcards: mobile versus desktop, app versus browser
Wildcards: extent of app ownership

22. Current offering attributes: CX monitoring
(20% of score): accuracy and proximity — get close to the user
Real users, real transactions, on the users’ real devices
Synthetic transactions on real devices
Device impact on performance
Last mile: Wi-Fi or carrier
WAN/cloud/internet latency
Behind the firewall: HW & SW infrastructure

23. Current offering attributes: analytics
(20% of score): so many ways to apply insight
Faster problem solving: e.g., prioritize action, suggest root cause, reduce MTTR
Fewer problems to solve: e.g., predict problems for prevention or minimization
Accelerate problem fixes: e.g., offer (or run) known past fixes
Move up: shift from technology focus to CX and business impact
Integrate: accept data easily, export insight effectively

24. Current offering attributes: other
LESS DIFFERENTIATION ON THESE CRITERIA
Dynamic transaction topology 5%
All vendors present application transactions and their components with scaling and auto-adjust. Leaders also raise the view to customer transaction (multi-app) and even customer session (multitransaction).
Dynamic health overlay
All vendors present application, service, or customer experience health. Leaders also translate that to business/financial health.
Infrastructure (general)
All vendors monitor some infrastructure, and none monitors everything. Leaders make it easy to extend monitoring for whatever you have, by a variety of means.
Infrastructure (off-prem)
10%
All vendors monitor transaction steps through off-prem infrastructure (e.g., cloud). Leaders also monitor off-prem resources as if they were local; and going further monitor orchestration (spin-up and tear-down).
Infrastructure (containers)
All vendors monitor transaction steps through off-prem infrastructure (e.g., cloud). Leaders also monitor off-prem resources as if they were local; and going further monitor orchestration (e.g., spin-up and tear-down).
Presentation
All vendors present navigable dashboards. Leaders also offer reports, dashboard views with navigation (programmatic access), export of data/insights to other tools, and a variety of views: physical map, logical map, graphs, charts, and even old-fashioned tables/lists of events and alarms.

25. Strategy attributes: vision — BT
(40% of score): alignment with Forrester BT vision
Focus on winning, serving, and retaining customers.
All vendors’ visions aim toward presenting technology (services, apps, transactions) whose value to the customer must be interpreted.
Leading vendors’ visions extend beyond technology to reduce or eliminate the interpretation and directly present CX and business impact.

26. Strategy attributes: vision — market leadership
(50% of score): breakaway vision (other than Forrester BT vision)
All vendors strategize to tune and incrementally improve what they do today. Digital disruption shows that to lead they must do more.
Leaders set bold direction.
Leaders revolutionize their industry by creatively applying emerging technologies such as:
Digital experience, digital business
Social influence
Continued cloudification, containerization
Advances in mobility (e.g., IoT, augmented reality)
Advanced analytics

27. Strategy attributes: corporate strategy
(10% of score): commitment to APM
Inconclusive but noteworthy, hence low weight
APM invisible in corporate strategy deserves caution — this vendor’s APM strategy could change dramatically on short notice.
APM positioned in corporate strategy suggests commitment — but just “one of many” business units.
APM as corporate strategy is a full-on commitment — this vendor’s continued existence depends on APM.

28. Next steps
Understand that every vendor in this Forrester Wave is top-notch.
Read the report for details on each vendor.
Use the companion spreadsheet to adjust the weights to your needs and priorities.

29. Milan Hanson