How to create value
through API Management
API Management:
In 2012, IBM announced an API Management
solution with Cast Iron in their cloud offerings package. This solution helps companies leverage the
value of their applications and even monetize their value through exposing and
marketing API's. Making available information
and application assets to customers and partners’ enables both parties to leverage
it to their fullest potential. Doing so requires
not just the correct technology but the right approach to manage their
deployment, access, and security.
An example, shared at Impact, is
the United States Postal Service making their address validation application
available as an API and a fee based service to companies. When your customer inputs
an address for shipping or billing, your own commerce or order entry application
can call the USPS API and they will send back a valid address or validate the
one entered. Knowing that your customer’s
mailing information is validated and accurate can add value to the information
and increase company efficiency. With
all the challenges the postal service faces they are beginning to leverage
their applications and information as assets in order to monetize them. The USPS
information on addresses should be second to none in this country so it is a
very good place to start to create value though API management.
Start by asking the right questions
and discover if there is real value to be found in the delivery or consumption
of API's for your company: Do you have
the right applications, web services, and other assets that would be valuable
to your customers and or partners? Value
can be found in many places, knowing where to look is the first part. Shipping
calculations, sales tax calculations, and credit validation can all now be
considered part of your business applications when accessed through an API service provider;
allowing your company to focus on your core competencies and applications. Imagine, you want a 20% uplift for packing
and handling and with a call to your contracted shipper you can send the right
information, receive a quote, and rapidly provide the right shipping price to your
customer. This brings value to your business and will increase overall operational efficiency.
The question is, how can your
company embrace this API trend and possibly deliver API's to the market place? iSOA Group, trusted advisors see this as an
extension of your SOA Strategy and web services. We at iSOA Group, Inc. see that this has the
potential to be a great opportunity for advancement, while reminding our
clients to proceed with caution. API
Management requires quality documentation of the API's. Having the right controls in place for
security, authorized use, and a clear understanding of the value and how to
monetize these API's is necessary. In
addition, companies need to realize that success breeds potential issues around
the performance and scalability of their applications that are being exposed with
the API's.
IBM announced at Impact a robust
extension of their API Management capabilities beyond the SAAS offering from
their Cast Iron team. Extensions
including new capabilities for Cast Iron on premise solutions and DataPower to
assure the right performance and security as companies look to deliver their
own API's to the market place.
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