With a potential of 2 billion Swiss francs to become market leader in the decommissioning of software systems by 2030
Massive cost reduction opportunities with data archiving and application history hold enormous potential for Swiss software company
Kreuzlingen, 28 May 2018 – Data Migration Services AG, the specialist for data migration and data management, has repeatedly increased its sales in the double-digit percentage range in recent years. In 2017 alone, growth totaled around 40 percent. Last year, 25 million Swiss francs were generated directly and via partners with the JiVS software. In 2017, for example, one of the largest energy companies and Lafarge Holcim chose JiVS. The building materials giant will thus historize dozens of legacy systems. But another prominent customer of the Kreuzlingen-based software manufacturer is one of the world’s 20 largest corporations from the USA. The conglomerate has been using JiVS for all business sectors since 2017. However, Data Migration Services AG still has a very large growth spurt ahead of it. Founder and owner Thomas Failer expects a potential of at least two billion Swiss francs by 2030. Failer returned to the company on May 1, 2018 with the goal of becoming the global market leader for the historicization of legacy systems and complementary solutions. In order to tap this potential as much as possible, the existing worldwide partner network is to be expanded at full speed. Failer: “Customers see up to 80 percent of potential savings for IT operations in the history of legacy systems in the future. Discipline must therefore also be an integral part of migration strategies and the means of choice to provide the often lacking resources for the urgently needed investments in innovative business models”. However, Failer can already report initial success for its platform with an average sales volume of CHF 750,000 per customer: In addition to its long-standing partner T-Systems, DXC Technology (formerly HPE) and Proceed Group have now entered into strategic alliances with JiVS. But further partnerships with internationally active, specialized and local SAP consulting companies should also help Failer’s ambitious growth targets to succeed. Today, the company already has 200 large companies on all continents among its customers.
Challenges of data protection and migration to SAP S/4 Hana
The reasons why market researchers see such great potential for companies in JiVS’ core business are extremely pragmatic: Capgemini, for example, says that half of the largest companies could take 50 percent of their software systems out of operation. However, since the requirements for data protection laws, for example, cannot be fulfilled without the historicization functionalities such as those of JiVS, the topic has been neglected in the past. Added to this are the consequences that migration to the new SAP world will have for companies if they do not consistently retire legacy systems. By 2025 at the latest, companies will be confronted with the inevitable migration to S/4 Hana with a proprietary database policy whose costs can no longer be justified. In the meantime, a rethinking has begun, says Failer: “Customers, partners and market researchers see the need for consolidation and historicization of software systems more urgently than ever. In addition to data protection compliance and SAP S/4 Hana, megatrends such as cloud computing or new digital business models are the drivers. “Processes and systems change, but data must remain available. We will use these challenges of the companies to expand the market leadership for historicization of legacy systems with JiVS”.
Data available even after systems have been shut down
JiVS distinguishes itself by keeping data from shutdown legacy systems in their business context. This gives business users the opportunity to trace the creation of data and its further processing along the value chain. This process-oriented view of data from decommissioned systems is important, for example, for compliance with the new General Data Protection Regulation (GDPR), in order to specifically hide or delete information for specific users. However, it is also relevant, for example, in project business and plant construction, where long operating times often prevail. When modernizing a power plant, for example, it is extremely important to know exactly which parts or materials were originally installed in order to avoid errors and delays in planning and, above all, in execution. This allows the different views in the JiVS interface to be arranged next to each other, so that, for example, a specialist user can follow the material flow at a glance from ordering to delivery and assembly.
Gartner on JiVS
Market researcher Gartner recognizes the Swiss software JiVS in his SDAAR Magic Quadrant (Structured Data Archiving and Application Retirement) and says: «If you are looking for a Legacy Retirement Solution, we believe JiVS is ideal.» and «The JiVS Approach to switch to SAP S/4HANA is game-changing.»