Virtually every company surveyed (99%) reported revenue losses, in some cases upwards of $1M – demonstrating organizations stand to benefit from business process automation
According to Cleo’s fourth annual State of Ecosystem Integration Report, the top challenge business and technology leaders are grappling with in the wake of the pandemic is a persistent loss of control over their supply chains. And as avoidable losses mount, many are investing handsomely in supply chain integration technologies to get it back.
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According to Cleo’s fourth annual State of Ecosystem Integration Report, the top challenge business and technology leaders are grappling with in the wake of the pandemic is a persistent loss of control over their supply chains. And as avoidable losses mount, many are investing handsomely in supply chain integration technologies to get it back. (Graphic: Business Wire)
With 99% of companies acknowledging they are losing money and missing out on business opportunities due to supply chain integration problems, more than a quarter of them (26%) admitted they are losing between $500,000 and $1,000,000 in revenue per year. And this only includes what they can actually track – actual losses might be even greater depending on the visibility and analytics each organization has in place.
Such continuing losses have motivated more than 80% of companies to allocate budget increases of 10% or more toward supply chain technology investment for the coming year. Throughout the survey findings, ecosystem integration emerged as one of the key technologies companies are interested in when it comes to regaining control.
“More organizations are becoming aware of their integration operations, and this year marks the third consecutive year where the survey showed a growth in the number of companies reporting revenue losses. Business leaders desperately want a sense of control over supply chain operations and they’re budgeting significant IT investment dollars to get it,” said Tushar Patel, CMO of Cleo. “What they’re finding is that a strategic investment in integration technology and automation has a positive ripple effect across their entire ecosystem – improving relationships with partners, suppliers, and customers, as well as streamlining end-to-end business processes. The result is an efficient business positioned for revenue growth.”
Indeed, a rising tide lifts all boats. With companies facing increased pressure to drive new business, improve response times, and optimize their operations, many are responding by modernizing their applications, adding new sales channels and marketplaces, or shifting to cloud-based integration platforms -- actions which not only improve their own company’s performance, but have the added benefit of making their ecosystems stronger through added agility, visibility, and control.
“Regaining control begins with a purposeful shift in integration strategy; supply chain improvement begins with a fundamental focus on ecosystem integration technology,” Patel continued. “This year, more than ever, it will be important for organizations to embrace a new mindset, one that starts with integration control and ends with supply chain optimization.”
What Is Ecosystem Integration?
Ecosystem integration is a category of software, principally for supply-chain-driven companies, where a single cloud-based platform is used for file-based, EDI, and application integration to optimize end-to-end integration processes across a dynamic network of trading partners, applications, suppliers, customers, and marketplaces.
Ecosystem integration takes the best of B2B integration and iPaaS technologies and combines them with a layer of visibility that empowers organizations to optimize business processes and quickly resolve errors when they occur. Its value lies in driving cost savings through B2B process automation, giving companies the agility and control needed to outsmart supply chain disruption and creating value for their businesses in myriad ways.
Creating Value
The survey also details findings around exactly how companies have seen integration technology improve various operations and key performance indicators. When asked which integration objectives they felt were most important to supporting their key business initiatives, survey respondents cited multiple business and supply chain benefits that result from investing in ecosystem integration solutions:
- Increased automation (33%), end-to-end visibility (32%), and access to skilled talent (29%), along with replacing legacy systems (25%)
- Business ecosystem automation and modernizing B2B integrations that drive improved governance, customer value, and visibility (31%)
- In addition to the technical value that comes from data consolidation, well over one-third of respondents agreed ecosystem integration would deliver business value in terms of cost savings (39%), improved profitability (34%), increased revenue (34%), and savings from avoiding violation penalties (33%)
Download the Report
Cleo’s 2023 State of Ecosystem Integration Report – “What’s Good for Your Business Is Good for Your Business Ecosystem” -- is available online at no cost. To learn more about the latest integration trends impacting today’s manufacturing, logistics and transportation, and wholesale distribution industries, view the infographic or click here to access the full 2023 State of Ecosystem and Integration Report.
About the Report
The primary research goal was to understand the top business risks to business in 2022, as well as the challenges of building and maintaining enterprise B2B integrations, partner onboarding, and real-world profit loss from integration issues. Additionally, the research sought to understand how these issues have changed over the four years of the study (2022, 2021, 2020, 2019) and capture the business impact of integration issues. A total of 307 qualified participants that design, build, and manage applications or infrastructure integrations completed the survey. Participants were from North America and Europe.
About Dimensional Research
Dimensional Research® provides practical market research for technology companies. We partner with our clients to deliver actionable information that reduces risks, increases customer satisfaction, and grows the business. Our researchers are experts in the applications, devices, and infrastructure used by modern businesses and their customers. For more information, visit www.dimensionalresearch.com
About Cleo Integration Cloud
Cleo Integration Cloud (CIC) is a cloud-based integration platform, purpose-built to design, build, operate, and optimize critical ecosystem integration processes. The CIC platform brings end-to-end integration visibility across API, EDI, and non-EDI integrations, giving technical and business users the confidence to rapidly onboard trading partners, enable integration between applications, and accelerate revenue-generating business processes. On the platform, businesses have the choice of self-service, managed services, or a blended approach – ensuring complete flexibility and control over their B2B integration strategy.
About Cleo
Cleo is an ecosystem integration software company focused on business outcomes, ensuring each customer’s potential is realized by delivering solutions that make it easy to discover and create value through the movement and integration of B2B enterprise data. Cleo gives customers strategic, “outside-in” visibility into the critical end-to-end business flows happening across their ecosystems of partners and customers, marketplaces, and internal cloud and on-premise applications. Our solutions empower teams to drive business agility, accelerate onboarding, facilitate modernization of key business processes, and capture new revenue streams by reimagining and remastering their digital ecosystem through robust application, B2B, and data integration technologies. For more information, visit www.cleo.com or call +1.815.282.7695.
View source version on businesswire.com: https://www.businesswire.com/news/home/20230228005473/en/
Contacts
Kathleen See
10Fold Communications on behalf of Cleo
cleo@10fold.com
