Forrester Reveals ROI of AppDynamics with Cisco

Over 90% of IT decision makers find a business case valuable to validate their technology investments.  For customers on their digital transformation journey, they specifically want to understand the projected ROI of AppDynamics APM.

We commissioned Forrester Consulting to evaluate “What is the business impact of AppDynamics APM?”  In their newly released Total Economic Impact™ (TEI) study, you’ll get insights into the cost savings and business value enterprises can realize with AppDynamics APM—and now that we are part of Cisco, how it can create additional advantage for customers also using Cisco technology.

Forrester interviewed and surveyed several customers who have used AppDynamics APM for years, across industries including healthcare, financial services, and retail.

Five key quantitative benefits emerged as representative of the companies who participated:

#1: IT Operations and Help Desk Time Savings

  • Faster root-cause identification with AppDynamics APM decreased mean-time-to-resolve by 65% for IT groups

  • IT groups were able to avoid time consuming war room triage sessions

  • Help desks received 30% fewer calls for support

  • Estimated IT savings: $2.8 million present value (PV) over three years

#2: End User Productivity Recovery

  • Business end users recovered an average of eight minutes of productivity per incident when uninterrupted by performance or outage issues

  • Estimated savings:  ~$8.5 million over three years

#3: Development Reduction Savings

  • AppDynamics early detection capabilities allowed developers to spot issues at a code level and quickly fix errors before releasing work into production

  • Fewer test & debugging cycles were required even as environments became more complex

  • Estimated savings from cycle reduction: nearly $4 million across three years and 45%

#4: Time-to-Value Benefit of Faster Application Delivery

  • With accelerated application delivery, natively coded projects were released as much as four months (or half of original expectations) faster

  • Assuming an internal rate of return of 30%, an organization can net as much as $1.1 million PV over three years, excluding any application revenue generation

#5: Application Monitoring and Detection Tool Consolidation

  • Consolidation in tools with AppDynamics provided level of insights that enabled customers to reduce their stack by as much as 70%

  • Maintaining these tools typically cost 20% of the licensing (or production for internal tools)

  • Total combined value of tool rationalization:  $3.6 million PV over three years

AppDynamics and Cisco: Better Together

The research also revealed benefits for customers that leverage AppDynamics together with Cisco. Forrester highlights: “With AppDynamics and Cisco, customers have a single view across their environment, with insightful visibility into both the software and now the hardware stack. Remediation is faster and customers become more proactive to avoid performance degradation.”

You can download Forrester’s exclusive study today to access the ROI data you need to make the business case for AppDynamics APM.  I also invite you to join me for our live webinar featuring Forrester to learn more about APM trends, the TEI methodology, and AppDynamics + Cisco.

Forrester names AppDynamics a Leader and Top Ranked In The Current Offering Category in latest APM Wave Report

In the newly released report, “The Forrester Wave™: Application Performance Management Solutions, Q3 2016” by Milan Hanson and Eveline Oehrlich, Forrester evaluated and analyzed 14 top Application Performance Management solutions. The firms were evaluated against twenty-eight criteria, which were grouped according to current offering, strategy, and market presence.

The report specifically recognizes, “AppDynamics’ App iQ Platform supports its suite of APM applications, providing insight into business transactions with discovery, tagging, tracing, and learning transactions that are important to the user.”

To emphasize how proud we are of our ranking, AppDynamics CTO Bhaskar Sunkara said “Every business is becoming a digital business and they are transforming the way they deliver valuable experiences for their customers.” Bhaskar continues “With AppDynamics’ App iQ Platform, enterprises have real-time insights into application performance, allowing them to accelerate their digital transformation and make key decisions that enhance customer experiences faster.”

Furthermore, within the current offering category, Forrester AppDynamics received a 5 out of 5 score in the following feature sets:

  •       Dynamic transaction topology
  •       Dynamic health overlay
  •       General infrastructure monitoring
  •       Off-premises infrastructure monitoring
  •       Microservices/containers monitoring (new)
  •       Analytics

Though this report is new, I think it further confirms what I’ve seen in my relatively short tenure at AppDynamics. After speaking with customers and learning about their use cases, we’re driven to continue innovating and helping our customers solve their application problems. NASDAQ Director of Operations Analytics, Eric Poon states, “It worked as it was advertised and it worked very easily. It was simple to deploy. It took minutes, literally. On our first proof-of-concept, we saw results within an hour.”

Read a complimentary copy of the Forrester report here.

AppDynamics recognized by Forrester in APM market overview

Interest in the Application Performance Management (APM) category is very high right now.   To stay one step ahead of their clients, the Industry Analysts who cover the category and write research to advise their clients have been very busy.  In December alone, there were six different analyst reports being researched by the major analyst firms.

Forrester published the results of their research in the 2nd week of December with the report: Market Overview: Application Performance Management, Q4 2011.  Forrester clients can access the report at In this report, Forrester provides very sound advice on why APM exists and what it should do for clients. Forrester has created their own “Reference Model” for APM and evaluated the vendor landscape against those criteria.

Raison d’etre for APM

Forrester VP and Principal Analyst, JP Garbani, gives readers very pragmatic advice on the raison d’etre for APM.  Simply put, APM’s job is to:

1) Alert IT to application performance and availability issues before a full-scale outage occurs

2) Isolate or pinpoint the problem source

3) Provide deep-diagnostics to enable IT to determine the root cause

For several years now, JP Garbani has been on the forefront of proclaiming that modern APM solutions should enable IT organizations to manage apps not by gauging the heath of their servers or servlets, but instead by assessing what the customer or end-user cares about most – whether their Business Transaction completes quickly and doesn’t make them wait.  He states that this has become even more critical as applications have gotten more distributed and complex.