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Open Banking, Other Digital Initiatives Driving Demand for ADM Services in Brazil

Open Banking, Other Digital Initiatives Driving Demand for ADM Services in Brazil

ISG Provider Lens report sees enterprises turning to ADM providers to speed development in response to growing need for applications

Open banking and other digital initiatives accelerated by the COVID-19 crisis are driving up demand for application development and maintenance services in Brazil, according to a new report published today by Information Services Group (ISG), a leading global technology research and advisory firm.

“Instant payments from mobile apps and other solutions leveraging open banking are one of the big demand areas driving the application development market in Brazil”

The 2021 ISG Provider Lens™ Next-Gen Application Development and Maintenance Services Report for Brazil finds enterprises looking to ADM providers to help them enable instant mobile payments through open banking APIs. The instant payment system PIX, which allows instant money transfers between people and companies, has been growing in transaction volume since it was launched last November by Brazil’s Central Bank.

“Instant payments from mobile apps and other solutions leveraging open banking are one of the big demand areas driving the application development market in Brazil,” said Jan Erik Aase, partner and global leader, ISG Provider Lens Research.

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Meanwhile, the COVID-19 pandemic has also prompted enterprises in Brazil to move toward digital business practices, leading many of them to work with ADM providers to speed the development of applications.

DevOps continues to be a challenge for most enterprises, with less than half of agile development teams able to use DevOps efficiently, the report says. Leading next-gen ADM providers can help address the issue by offering agile development platforms that integrate tools to streamline the development process. Without automation, which many ADM providers offer, DevOps teams tend to skip process steps, including quality assurance.

ADM providers note that customers trying to scale agile on their own face challenges related to cultural change, with many companies finding it difficult to define roles and responsibilities. By focusing only on the process, companies fail to consider the importance of organizational culture in ensuring operational efficiency.

ADM providers can help enterprises with organizational change management, training, education and automation, the report says.

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The 2021 ISG Provider Lens™ Next-Gen Application Development and Maintenance Services Report for Brazil evaluates the capabilities of 49 providers across five quadrants: Application Development and Scaled Agile, Agile Development Specialists, Managed Application Services, Application Quality Assurance, and Continuous Testing Specialists.

The report names Capgemini, Tech Mahindra and Wipro as Leaders in three quadrants and Accenture, Globant, Iteris, NTT DATA and Stefanini as Leaders in two. Base2, BRQ, CI&T, Compasso UOL, Dextra, Infosys, Inmetrics, Prime Control, Reply, Sofist, Softtek, Thoughtworks and Yaman were all named Leaders in one quadrant.

In addition, CTC, Deal, Sempre IT, TCS and T-Systems were named Rising Stars—companies with “promising portfolios” and “high future potential” by ISG’s definition—in one quadrant each.

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[To share your insights with us, please write to sghosh@martechseries.com ]

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