Business Case for Application Performance

On May 26, Alois Reitbauer wrote a post about Is There a Business Case for Application Performance? Alois quotes some interesting statistics from a dynaTrace study that show performance management is not a high priority in most companies.

  • 6o percent of the companies admit that they do not have any performance management processes installed or what they have is ineffective.

  • Half of the companies who answered that they have performance management processes admitted that they are doing it only in a reactive way when problems occur.
  • One third of all companies said that management is not supporting performance management properly.
  • 10 percent responded that they spend up to half of their development time troubleshooting problems.
  • Most companies also said that they find about 50 percent of application problems in production – when those problems have impacted end users and are most expensive to resolve.
  • Two thirds of all respondents said that they are convinced that shorter release cycles, more complex architectures and other factors will make the situation even worse.



    Another good post on the business value of web performance tuning was posted on the blog of LoadStorm, a load test tool built in the Amazon EC2 cloud.

    • 45% are concerned about a lack of visibility into application performance

    • 31% found that their IT staff also lost effectiveness due to subpar application performance
    • 58% of respondents said they experience lower employee satisfaction due to poor application performance
    • Business performance starts to decline when mission-critical applications reach the baseline of 5.1 seconds of response time delay
    • 50% said they lost revenue opportunities because of poorly performing applications
    • 32% said they experienced damage to their brand reputation
    • Some 47% indicated that they had decreased responsiveness to the needs of external customers
    • 60% of survey respondents reported the inability to identify issues before end users are impacted as a top challenge when dealing with applications
    • Organizations are planning to increase the number of business critical applications by 67% over the next 12 months (from six on average to 10 applications)
    • 60% of organizations were not satisfied with the performance of business critical applications
    • 41% have issues with rolling out new applications without them being tested
    • 31% believe virtualization of applications and data storage would further challenge application performance management