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Š 2013 Persistent Systems Ltd
API Management in Digital Transformation
Aditya Thatte
Architect
Cloud & Digital Transformation Practice
Š 2013 Persistent Systems Ltd
2
Topics of Discussion
• Why APIs & API Evolution
• API Initiatives / Programs
• API Management (What & Why)
• Components of API Management Platforms
• API Management Myths
• Deployment Models
• API Management Evaluation Criteria
• Case Study
Š 2013 Persistent Systems Ltd
3
Amazon’s Fiery Secret Sauce…
1.All teams will henceforth expose their data and functionality
through service interfaces.
2. Teams must communicate with each other through these interfaces.
3. There will be no other form of IPC allowed: no direct linking, no direct
reads of another team’s data store, no shared-memory model, no back-
doors whatsoever. The only communication allowed is via service interface
calls over the network.
4. It doesn’t matter what technology they use. HTTP, CORBA, Pub/sub,
custom protocols — doesn’t matter.
5. All service interfaces, without exception, must be designed from the
ground up to be externalizable. That is to say, the team must plan and
design to be able to expose the interface to developers in the outside world.
No exceptions.
6. Anyone who doesn’t do this will be fired.
7. Thank you; have a nice day!
Š 2013 Persistent Systems Ltd
4
Why APIs?
DisruptEngageExternalize Growth Optimize
• Service visibility
• Leverage internal
systems & data
• Partner adoption
• Open new channels
• Drive consumption
• Fuel App economy
• Accelerate innovation
• New biz. Models
• New revenue streams
• Mashups
• Customer Delight
• Target ubiquity
• Max reach
• Footprint
• Drive revenue
• Internal processes
• Faster GTM
• Time saver
Š 2013 Persistent Systems Ltd
5
Evolution of APIs & Business Impact
• Revenue Generated
• Salesforce, 50% revenue via APIs
• Expedia, 90% revenue via APIs
• eBay, 60% revenue via APIs
• API Traffic explosion
• Twitter gets > 15B API calls / day
• Google gets > 10B API calls / day
• Facebook gets > 7B API calls / day
APIs
Device and data explosion
fuels the AE
Š 2013 Persistent Systems Ltd
6
Types of API Programs / Initiatives
Facilitates Integration & optimization of
Internal services / processes
• Optimizing business processes
• Atomic SOA based services
• Reuse web services
For: Internal users, employees
• Streamlined operations
• Service reuse (no reinvention)
• Increased flexibility
Examples:
• HR Payroll service
• Travel Management service
Internal APIs Partner APIs Open APIs Product APIs
Product as an API
• B2B, B2C
• Mindshare
• Drive innovation
For: Developers, partners
• Grow product footprint
• Foster app economy
Examples:
• Amazon Web Services
• Salesforce.com
Facilitates Integration with partner
organizations
• B2B partner processes
• Composite SOA based services
• On-board new partners quickly
For: Internal users, suppliers, channel
partners
• Upsell services
• Lowers cost
• Grow partner ecosystem
Examples:
• Product Shipment API (e.g. Deliv)
• Payment API, Deals API (Groupon)
Public APIs, Self-service
• B2B, B2C
• Expand reach
• Drive innovation
For: Developers, disruptors
• Grow developer ecosystem
• Open new channels &
revenue streams
Examples:
• Google Maps
• BestBuy
• Facebook, Twitter
Š 2013 Persistent Systems Ltd
7
API Management
Data LayerBusiness LogicAPI EndpointsApplications
Analytics
Quotas
Product
Management
Portals
Security
Transformation
Caching
Lifecycle
Management
Develop
• API Manageability (100’s of APIs)
• E.g. Amazon Web Services
• Faster Time to Market
• Product / Service / API Analytics
• Monetizing services
• API Versioning
• Scalability
Š 2013 Persistent Systems Ltd
8
Key Components of API Management Platforms
API Portal
API Gateway
Data Layer
Security Performance Transformation
Documentation Onboarding Packaging Analytics
Lifecycle
Management
Data Backend as a Service (DBaaS)
Caching
Monetization
Š 2013 Persistent Systems Ltd
9
API Management Scenario
API Management (API Proxy)
API Strategy for an e-commerce company:
- B2B & B2C API Program (~100,000 users)
- 20 Public & 100 Internal APIs
- Automatic Key Generation
- 500 API calls / day per user
- XML, JSON support
- Create app ecosystem around product &
inventory data
Security
Caching Analytics
Transform
Quotas
Onboarding
- Register (proxy) the backend API
- Enable OAuth / SAML / API key
- Automatic key registration
- Define Quotas (500 per day)
- XML to JSON transformation
- Cache tokens, product details
Data LayerBusiness LogicAPI EndpointsApplications
Š 2013 Persistent Systems Ltd
10
A Microservices approach
Š 2013 Persistent Systems Ltd
11
Forrester Wave (Oct 2014) & Gartner Quadrant (Apr 2015)
Š 2013 Persistent Systems Ltd
12
Other Vendors…
Commercial Open Source
Oracle API Grove
Azure API Mgmt. ApiAxle
Software AG Tyk
WaveMaker API Umbrella
SAP StrongLoop
Mashape RESTFiddle
Repose
Š 2013 Persistent Systems Ltd
13
Selection / Evaluation Criteria
Strategic Technical Non- Technical
Audience
- B2B
- B2E
- B2C
Metrics & Goals
- UX
- No. of downloads
- API calls / day
- Revenue / call
GTM Strategy
- Business Models
- Standalone app
- Integration
Support Services
- Community
- Forums
Global Presence
Technical & Domain
Expertise
- Vertical consulting
- API Strategy
- Custom Engineering
- Engineering services
Security
- OAuth, SAML
Monetize
- Rate Plans
- Business Models
Analytics
- API KPIs
- SLAs, Monitoring
- Revenue, Traffic Patterns
Transformation
- Caching, Mediation
Compliance
- FIPS, PCI, HIPAA
Budget
Š 2013 Persistent Systems Ltd
14
API Management Deployment Models
Cloud On-Premise
• Typical PAYG model
• Multi-tenant
• Economies of scale
• Focus on the core business, not the
infrastructure
• Resiliency (HA, FT, DR)
• Faster Go To Market (GTM)
• Compliance
• Managed service
• All API management services & data
would run in the cloud (security)
• Latency
• Management & control
• Data compliance
• Reduced Latency
• Varied levels of security
• Increased CAPEX & OPEX
Š 2013 Persistent Systems Ltd
15
API Management Myths
• API Management is different from SOA
• API Management is SOA Governance
• API Management is an extension of SOA (from inside to the outside)
• SOAP is dead
• SOAP is traditional YES, but by no means dead. SOAP projects are converted to REST projects
• APIs are only REST based
• Most favored for building next generation apps
• APIs need NO management
• Oh boy, APIs do need to be managed
• API Management == Digital Transformation
• APIs fuel the mobile, social and data economy, thus driving the digital force
Š 2013 Persistent Systems Ltd
16
Case Study
• Enterprise in the Media Industry
• API Program: Public + Partner + Internal
• Goals:
• Offer USAToday content on any device
• Grow strategic partnerships
• Facilitate easy partner onboarding
• Mashup & remix data like never before
• Approach:
• API Management Platform + API Strategy services
• Results:
• 700+ partners onboarded
• 200+ applications developed around the APIs
Š 2013 Persistent Systems Ltd
17
Key Takeaways
• APIs have exploded, and sit at the heart of the application economy (Great time
to be a developer and an agile business)
• APIs when grow in number, need to be managed (APIs are not as trivial as we
think. Get it right the first time!!)
• API management is one of the key stepping stones towards a Digital
Transformation Strategy
Š 2013 Persistent Systems Ltd
18
References
Article Link
Strategic Value of APIs https://hbr.org/2015/01/the-strategic-value-of-apis
The Success to Amazon’s
Internal APIs
http://apievangelist.com/2012/01/12/the-secret-to-amazons-
success-internal-apis/
The Forrester Wave: API
Management Solutions
https://www.forrester.com/The+Forrester+Wave+API+Managem
ent+Solutions+Q3+2014/fulltext/-/E-RES119266
Gartner Magic Quadrant for
Application Services
http://www.gartner.com/technology/reprints.do?id=1-
2DE91TX&ct=150410&st=sg&aliId=14066789
Building blocks of a
successful API strategy
https://gigaom.com/2011/03/19/the-building-blocks-for-a-
successful-api-strategy/
Why APIs are not SOA++? https://blog.apigee.com/detail/qa_why_apis_are_not_soa
Š 2013 Persistent Systems Ltd
19
Q&A

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API Management in Digital Transformation

  • 1. www.persistentsys.com Š 2013 Persistent Systems Ltd API Management in Digital Transformation Aditya Thatte Architect Cloud & Digital Transformation Practice
  • 2. Š 2013 Persistent Systems Ltd 2 Topics of Discussion • Why APIs & API Evolution • API Initiatives / Programs • API Management (What & Why) • Components of API Management Platforms • API Management Myths • Deployment Models • API Management Evaluation Criteria • Case Study
  • 3. Š 2013 Persistent Systems Ltd 3 Amazon’s Fiery Secret Sauce… 1.All teams will henceforth expose their data and functionality through service interfaces. 2. Teams must communicate with each other through these interfaces. 3. There will be no other form of IPC allowed: no direct linking, no direct reads of another team’s data store, no shared-memory model, no back- doors whatsoever. The only communication allowed is via service interface calls over the network. 4. It doesn’t matter what technology they use. HTTP, CORBA, Pub/sub, custom protocols — doesn’t matter. 5. All service interfaces, without exception, must be designed from the ground up to be externalizable. That is to say, the team must plan and design to be able to expose the interface to developers in the outside world. No exceptions. 6. Anyone who doesn’t do this will be fired. 7. Thank you; have a nice day!
  • 4. Š 2013 Persistent Systems Ltd 4 Why APIs? DisruptEngageExternalize Growth Optimize • Service visibility • Leverage internal systems & data • Partner adoption • Open new channels • Drive consumption • Fuel App economy • Accelerate innovation • New biz. Models • New revenue streams • Mashups • Customer Delight • Target ubiquity • Max reach • Footprint • Drive revenue • Internal processes • Faster GTM • Time saver
  • 5. Š 2013 Persistent Systems Ltd 5 Evolution of APIs & Business Impact • Revenue Generated • Salesforce, 50% revenue via APIs • Expedia, 90% revenue via APIs • eBay, 60% revenue via APIs • API Traffic explosion • Twitter gets > 15B API calls / day • Google gets > 10B API calls / day • Facebook gets > 7B API calls / day APIs Device and data explosion fuels the AE
  • 6. Š 2013 Persistent Systems Ltd 6 Types of API Programs / Initiatives Facilitates Integration & optimization of Internal services / processes • Optimizing business processes • Atomic SOA based services • Reuse web services For: Internal users, employees • Streamlined operations • Service reuse (no reinvention) • Increased flexibility Examples: • HR Payroll service • Travel Management service Internal APIs Partner APIs Open APIs Product APIs Product as an API • B2B, B2C • Mindshare • Drive innovation For: Developers, partners • Grow product footprint • Foster app economy Examples: • Amazon Web Services • Salesforce.com Facilitates Integration with partner organizations • B2B partner processes • Composite SOA based services • On-board new partners quickly For: Internal users, suppliers, channel partners • Upsell services • Lowers cost • Grow partner ecosystem Examples: • Product Shipment API (e.g. Deliv) • Payment API, Deals API (Groupon) Public APIs, Self-service • B2B, B2C • Expand reach • Drive innovation For: Developers, disruptors • Grow developer ecosystem • Open new channels & revenue streams Examples: • Google Maps • BestBuy • Facebook, Twitter
  • 7. Š 2013 Persistent Systems Ltd 7 API Management Data LayerBusiness LogicAPI EndpointsApplications Analytics Quotas Product Management Portals Security Transformation Caching Lifecycle Management Develop • API Manageability (100’s of APIs) • E.g. Amazon Web Services • Faster Time to Market • Product / Service / API Analytics • Monetizing services • API Versioning • Scalability
  • 8. Š 2013 Persistent Systems Ltd 8 Key Components of API Management Platforms API Portal API Gateway Data Layer Security Performance Transformation Documentation Onboarding Packaging Analytics Lifecycle Management Data Backend as a Service (DBaaS) Caching Monetization
  • 9. Š 2013 Persistent Systems Ltd 9 API Management Scenario API Management (API Proxy) API Strategy for an e-commerce company: - B2B & B2C API Program (~100,000 users) - 20 Public & 100 Internal APIs - Automatic Key Generation - 500 API calls / day per user - XML, JSON support - Create app ecosystem around product & inventory data Security Caching Analytics Transform Quotas Onboarding - Register (proxy) the backend API - Enable OAuth / SAML / API key - Automatic key registration - Define Quotas (500 per day) - XML to JSON transformation - Cache tokens, product details Data LayerBusiness LogicAPI EndpointsApplications
  • 10. Š 2013 Persistent Systems Ltd 10 A Microservices approach
  • 11. Š 2013 Persistent Systems Ltd 11 Forrester Wave (Oct 2014) & Gartner Quadrant (Apr 2015)
  • 12. Š 2013 Persistent Systems Ltd 12 Other Vendors… Commercial Open Source Oracle API Grove Azure API Mgmt. ApiAxle Software AG Tyk WaveMaker API Umbrella SAP StrongLoop Mashape RESTFiddle Repose
  • 13. Š 2013 Persistent Systems Ltd 13 Selection / Evaluation Criteria Strategic Technical Non- Technical Audience - B2B - B2E - B2C Metrics & Goals - UX - No. of downloads - API calls / day - Revenue / call GTM Strategy - Business Models - Standalone app - Integration Support Services - Community - Forums Global Presence Technical & Domain Expertise - Vertical consulting - API Strategy - Custom Engineering - Engineering services Security - OAuth, SAML Monetize - Rate Plans - Business Models Analytics - API KPIs - SLAs, Monitoring - Revenue, Traffic Patterns Transformation - Caching, Mediation Compliance - FIPS, PCI, HIPAA Budget
  • 14. Š 2013 Persistent Systems Ltd 14 API Management Deployment Models Cloud On-Premise • Typical PAYG model • Multi-tenant • Economies of scale • Focus on the core business, not the infrastructure • Resiliency (HA, FT, DR) • Faster Go To Market (GTM) • Compliance • Managed service • All API management services & data would run in the cloud (security) • Latency • Management & control • Data compliance • Reduced Latency • Varied levels of security • Increased CAPEX & OPEX
  • 15. Š 2013 Persistent Systems Ltd 15 API Management Myths • API Management is different from SOA • API Management is SOA Governance • API Management is an extension of SOA (from inside to the outside) • SOAP is dead • SOAP is traditional YES, but by no means dead. SOAP projects are converted to REST projects • APIs are only REST based • Most favored for building next generation apps • APIs need NO management • Oh boy, APIs do need to be managed • API Management == Digital Transformation • APIs fuel the mobile, social and data economy, thus driving the digital force
  • 16. Š 2013 Persistent Systems Ltd 16 Case Study • Enterprise in the Media Industry • API Program: Public + Partner + Internal • Goals: • Offer USAToday content on any device • Grow strategic partnerships • Facilitate easy partner onboarding • Mashup & remix data like never before • Approach: • API Management Platform + API Strategy services • Results: • 700+ partners onboarded • 200+ applications developed around the APIs
  • 17. Š 2013 Persistent Systems Ltd 17 Key Takeaways • APIs have exploded, and sit at the heart of the application economy (Great time to be a developer and an agile business) • APIs when grow in number, need to be managed (APIs are not as trivial as we think. Get it right the first time!!) • API management is one of the key stepping stones towards a Digital Transformation Strategy
  • 18. Š 2013 Persistent Systems Ltd 18 References Article Link Strategic Value of APIs https://hbr.org/2015/01/the-strategic-value-of-apis The Success to Amazon’s Internal APIs http://apievangelist.com/2012/01/12/the-secret-to-amazons- success-internal-apis/ The Forrester Wave: API Management Solutions https://www.forrester.com/The+Forrester+Wave+API+Managem ent+Solutions+Q3+2014/fulltext/-/E-RES119266 Gartner Magic Quadrant for Application Services http://www.gartner.com/technology/reprints.do?id=1- 2DE91TX&ct=150410&st=sg&aliId=14066789 Building blocks of a successful API strategy https://gigaom.com/2011/03/19/the-building-blocks-for-a- successful-api-strategy/ Why APIs are not SOA++? https://blog.apigee.com/detail/qa_why_apis_are_not_soa
  • 19. Š 2013 Persistent Systems Ltd 19 Q&A

Notas do Editor

  1. Hello everyone, a very good morning and evening to all of you, wherever you are seeing this from. I am Aditya Thatte; most of my time is spent architecting solutions around Infrastructure clouds and digital transformation projects. I hope you have enjoyed the highly insightful talks on curated data and api design in our webinar series from our experts. Today I’m going to be talking about the use of API management in enabling Digital Transformation.
  2. Here are the topics we would be looking at today. Starting off with why APIs are critical and how APIs have evolved over the last few years. We shall then take a look at what API management is, and why it is essential to enabling transformation. We’d round off by discussing some myths around API mgmt, deployment models, evaluation criteria and case studies
  3. I just want to take a step back in time and talk about Amazon’s secret sauce. It was indeed a fiery one. This is what Jeff Bezos mandated back in 2002.
  4. Great ideas need to be heard, seen, felt and consumed. 1 minute
  5. Web API development has made great leaps since the mid 2000s. The API pioneers in those days were Amazon, eBay & Salesforce.com APIs have now come of age with the advent of cloud computing and the ubiquity of mobile devices. Data explosion has and will create many new opportunities to optimize and scale processes, drive revenue. Mobile devices have changed the way consumers behave and have set high benchmarks in terms of expectations. (retail, fitness, wellness)
  6. (3 minutes) API Management as the name suggests, is the ability to manage APIs. Lets take a look at what that means, and why it is essential in the context of Digital Transformation. The API management platforms offload many management features of the backend services such as security, caching and the like. The API proxies act as managed facades for backend services. Introduction of management capabilities for APIs without having to touch the backend implementation of the service. The goal of the API tier is to be able to connect to different devices in a shared, performance, and secure manner.
  7. Lets now come to the meat of the talk. API Management components. API Management vendors package these components in the way they like; however a standard API management suite would comprise these 3 subsystems.
  8. (1 minute) This itself is another 15 min webinar topic, however I’d like to quickly summarize some key evaluation pointers for you to be able to choose the right vendor for implementing your api management solution. Identifying and creating your high level API strategy. This would define the following: Aligning metrics (No. of downloads, X no. of API calls / day) Knowing your audience (B2B, B2C) Internal APIs Partner APIs Open APIs Product APIs GTM strategy (integration in another app, standalone app) Evaluation Criteria Hosting Model (On-premise vs cloud) Monetization support
  9. This piece of discussion is very much analogous to the discussion between choosing a public cloud v/s a private cloud.