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Forrester The Total Economic Impact of Talend
Forrester The Total Economic Impact of Talend
Of Talend
Cost Savings And Business Benefits
Enabled By Talend Solutions
AUGUST 2023
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• Data Integration includes the core data • API and Application Integration allow
extraction, and transport capabilities that enable organizations to sync and share data with
organizations to move data from many complex consumers and applications at scale, internally
sources to any destination at desired speeds and and externally.
frequencies. Talend commissioned Forrester Consulting to
conduct a Total Economic Impact™ (TEI) study and
examine the potential return on investment (ROI)
enterprises may realize by deploying Talend
solutions.3 The purpose of this study is to provide
readers with a framework to evaluate the potential
Development time savings financial impact of Talend solutions on their
of up to organizations. (Talend is now a Qlik company but will
be referred to as “Talend” throughout the remainder
To better understand the benefits, costs, and risks Talend requires fewer servers and resources to
associated with this investment, Forrester interviewed host and manage the same amount of data
data leaders and professionals at six different compared to the prior environment. Therefore,
organizations that depend on Talend to deliver data total infrastructure cost savings span data
management and digital transformation goals by storage and compute savings as well as resource
utilizing the four key groups of capabilities. For the time savings on administration and production
purposes of this study, Forrester aggregated the support tasks. Cost savings across both reduced
interviewees’ experiences and combined the results physical server costs and reduced infrastructure
into a single composite organization that is a support total $857,000 for the composite
multibillion-dollar conglomerate and utilizes all four organization over the three-year investment
Talend groups of capabilities. period.
Prior to using Talend, these interviewees noted how • Improved system performance results by
their organizations experienced siloed systems, data, reducing incidents by up to 65%. Talend
and business processes that made it difficult to improves system performance despite higher
extract, transform, and analyze data from multiple data processing and analysis volumes. As a
sources. These limitations led to an inability to apply result, costs associated with downtime and
data to business decisions efficiently, effectively, or support, including time spent re-creating and
securely. problem-solving incidents, are mitigated. For the
composite, cost savings total $629,000 over
three years.
75%
workflows, frameworks, subject matter expertise,
and best practice support enable development
resources — spanning developers, data
engineers, DevOps, and quality assurance (QA)
— to spend less time on administrative tasks to
After the investment in Talend, the interviewees deliver value more quickly to the business.
effectively managed data without compromising data Additionally, the intuitive user interfaces of
quality or compliance standards. They also created Talend’s SaaS applications empower less-
efficiencies that allowed resources to redirect their technical individuals, including citizen developers,
time to more value-added tasks that supported the to join the development cycle and further deliver
business and delivered value more quickly. impact to the business. Development efficiencies
are worth $2.9 million to the composite
KEY FINDINGS organization over three years.
Quantified benefits. Three-year, risk-adjusted • Reduced the likelihood of a data breach,
present value (PV) quantified benefits for the resulting in avoided costs for impact and
composite organization include: fewer productivity interruptions for
• Reduced server costs by up to 80% and employees. Talend provides more transparency
internal infrastructure support by up to 75%. into data quality and governance as well as
functionality to improve security postures that external stakeholders, which in turn allows data
reduce the likelihood of a security breach by 5%. to further influence business decisions and
The risk of noncompliance is subject to illuminate cost-saving and revenue opportunities.
organizational specifics, such as industry and
Flexibility. The value of flexibility is unique to each
country. For the purposes of the composite,
customer. There are multiple scenarios in which a
Forrester assumes that the reduction of risk is
customer might implement Talend solutions and later
5%, which saves the organization the potential
realize additional uses and business opportunities,
costs of a breach (including remediation costs,
including:
fines, and customer resolution costs) as well as
time savings for impacted employees that would • Flexible foundation to meet future innovation
otherwise have experienced downtime. Total cost goals and technology objectives at scale.
savings are $182,000 for the composite Talend solutions are flexible to help organizations
organization over three years. meet ever-changing business and technology
expectations. The ability to plug into a variety of
• Delivered business value by adding up to
data environments, architectures, and
3.5% more revenue to the top line in addition
frameworks enables organizations to easily
to providing cost savings to the bottom line.
implement and benefit from Talend solutions.
Talend enables development resources to more
This confidence inspires organizations to
quickly and securely deliver more value to the
continue to scale their investment in Talend as
business. This value can span top-line
well as to scale the application of Talend’s
improvements from new revenue streams, better
capabilities across the business.
customer experiences, and budget optimization
opportunities across technology spending and
operating expenses. The business value impact
totals $4.1 million for the composite organization “I would joke with people,
over the investment period.
saying, ‘If you asked me to get
Unquantified benefits. Benefits that provide value data out of your coffee cup, I
for the composite organization but are not quantified could probably connect Talend
in this study include:
to it and get it.’”
• Improved development resource experiences.
Chief data and analytics officer,
Talend improves the employee experience for
those involved in the development lifecycle by
environmental services
allowing them time to focus on more innovative
and value-added projects. This enables faster
ramp times, leads to more project ownership, and
Costs. Three-year, risk-adjusted PV costs for the
provides the opportunity to work with bleeding-
composite organization include:
edge, competitive technology that fosters more
transferable skills. Additionally, working with • Talend solutions and services costs totaling
Talend professional services resources helps $1.4 million. Annual costs to Talend include both
build internal capabilities more quickly. solution and service costs. The composite
organization implements all four Talend Data
• Enhanced data credibility. Improved data
Fabric solutions in the Talend Cloud over the
credibility leads to more trust from internal and
Three-Year Benefits PV
Total benefits
$10.0 M
flows
Cash
$8.0 M
$6.0 M
$4.0 M
$2.0 M
-$2.0 M
Initial
THE TOTAL ECONOMIC IMPACT™ OF TALEND Year 1 Year 2 Year 3 5
EXECUTIVE SUMMARY
COMPOSITE ORGANIZATION
Designed a composite organization based on
characteristics of the interviewees’
organizations.
Interviews
KEY CHALLENGES
Before implementing Talend solutions, the “[Before Talend], everyone had a
interviewees’ organizations lacked a single source of
different answer to the same
truth for data across various back-end systems and
business applications.
questions because everyone had
their own sources of
The interviewees noted how their organizations
information.”
struggled with common challenges, including:
Chief data and analytics officer,
• Data credibility problems. Before Talend, the
interviewees’ organizations lacked a single
environmental services
source of truth for their data. As such, they
struggled to answer data questions with
confidence. When answers were provided, they • Ineffective data tools that were ill-positioned
were often delayed due to inefficiencies in data to deliver on performance goals or business
identification, extraction, and analysis processes. objectives. Not only were the back-end systems
Additionally, organizations lacked transparency in that housed data sources often antiquated, but
data quality due to the variations in data sources, the tools utilized to extract, integrate, and analyze
formats, and inputs, which threatened data data were equally inadequate. If legacy extract,
integrity and left organizations vulnerable to transform, load (ETL) tools were in place, they
security and compliance threats. The CIO from a were often built around rigid on-premises
healthcare organization noted that, before architectures and were not fit to perform in the
Talend, they often felt that they were “flying blind” new cloud or hybrid cloud environments that
from a governance standpoint. organizations spun up as part of their ongoing
INVESTMENT OBJECTIVES
INVESTMENT DETAILS
The Talend investment was often made in
conjunction with larger digital transformation efforts. The interviewees’ organizations provided details to
Examples of organizational digital transformation indicate the scale of their investment with Talend as
initiatives included: well as specific examples of projects or initiatives
accomplished with Talend solutions that helped drive
• Enable analytics to influence Customer 360 investment objectives forward, including:
initiatives, improve fraud detection, build
predictive and prescriptive models, optimize • An environmental services organization
pricing models, or manage churn. indicated that Talend currently manages 90% of
its valuable data, which totals 1TB. Data is
• Modernize data and applications, which derived from 150 different sources and is sent to
includes application modernization, IT 250 different destinations using approximately 25
connectors. The organization implemented
Talend to create an API fabric for employee and integration project that fueled real-time company
contractor time tracking. It enabled teams to reporting to influence enterprise decision-making.
better track time spent on maintenance projects
• A healthcare organization leveraged historical
for contractors to influence future fixed-bid
appointment-booking information to build a smart
contracts and optimize spending. The same
booking system that allowed for overbooking of
organization also created a foundation of trusted,
appointments to make up for patient no-shows
real-time energy trading data to inform business
and therefore realize administrative cost savings.
decisions directly impacting operational
It also extracted patient data from various
expenses, such as those dictating spending on
systems of record to identify gaps in patient care.
energy. Similarly, waste energy was collected in
As a result, the organization saved 30,000 hours
real time and shared on external websites to
per quarter while providing better patient quality
build credibility with the local community and
of care that contributed to top-line improvements
establish credibility to meet EPA standards.
associated with quality incentives provided by
insurance providers as well as $450,000 of
avoided penalties per quarter.
underlying data grows 20x, it more quickly receive claims from new states and
accelerated the time to create member profiles.
creates new sets of complexity.
Both processes improved customer experiences
So, we can manage 20x more and helped to avoid lost business.
data and run 10x more analytics
• A government organization harnessed internal
with the same resources.”
data from various systems and connected APIs
CIO, healthcare from external sources to identify patterns in
opioid usage. It was then able to optimize budget
allocation by state and region based on areas
that required more support (i.e., experienced
higher opioid-related incidents). The organization
• A financial services organization moved from a also applied insights and learnings to internal use
hybrid solution to the Talend cloud, thus saving cases like IT investment areas. By connecting
$600,000 a year and enabling it to run 400 jobs business application data to track impactful
on the cloud. The interviewee from the technology investments over time, the
organization provided a few key project organization found time savings opportunities
examples, including a customer relationship and created transparency into the ROI of various
management (CRM) system integration project technology initiatives.
with Talend to improve system performance that
• A supply chain/logistics organization built a
impacted the quality of customer loan data
housed in systems of record. The organization predictive analytics model to target vehicles at
followed the initial CRM project success with an risk of failure based on real-time IoT data so the
organization could preemptively provide vehicle Year 2 to enable the organization to scale the use of
maintenance and avoid failure. The organization data while maintaining security and compliance
also built a prescriptive analytics model to standards. Finally, in Year 3, the organization elects
monitor vehicle repair status based on data from to implement Talend API and Application Integration
on-premises systems, APIs, and machine to further automate data usage and workflows, which
learning (ML) capabilities to track trends in enables more reach to data consumers both internal
vehicle maintenance requirements. Both models and external to the organization. By the end of
contribute to better customer experiences. Year 3, nearly 80% of the organization’s mission-
critical data is processed through Talend.
COMPOSITE ORGANIZATION
Based on the interviews, Forrester constructed a TEI
framework, a composite company, and an ROI
analysis that illustrates the areas financially affected. Key Assumptions
The composite organization is representative of the • $1B annual revenue
six interviewees and is used to present the aggregate
• 200 total developers
financial analysis in the next section. The composite
organization has the following characteristics:
• 15 Talend seats
• Data Integration in Y1
Description of composite. The global, billion-dollar
industry-agnostic conglomerate maintains US
• Data Quality &
headquarters while serving a global operating region Governance in Y2
across multiple brands. The composite organization • API and Application
embarks on a multiyear digital transformation effort to Integration in Y3
better equip its development team of 200 to meet
business expectations and drive value for its growing
customer base.
Total Benefits
Present
Ref. Benefit Year 1 Year 2 Year 3 Total
Value
Atr Infrastructure cost savings $202,500 $364,500 $494,100 $1,061,100 $856,555
Etr Total business value impact of Talend $1,122,000 $1,691,500 $2,261,000 $5,074,500 $4,116,657
INFRASTRUCTURE COST SAVINGS • The same interviewee also stated that the new
Evidence and data. Prior to engaging with Talend, environment reduced overall maintenance and
organizations connected and extracted data from administration efforts. The interviewee described:
legacy on-premises systems using on-premises ETL “When I got here, we had a team that did
and other data analytics tools. However, as administrative production support for the various
organizations embarked on digital transformation technology stacks. They did some development
efforts to move to cloud or hybrid cloud too, but I would say 80% to 90% was care and
environments, prior tools were no longer compatible, feeding of the animals.” Reducing the associated
nor were they capable of handling the large scale of maintenance and administration effort allowed
the business’s data processing and performance the organization to redirect three FTEs away from
expectations without significant investment in IT administration and production support toward
infrastructure and resources. By moving to Talend true development projects.
cloud, organizations reduced the number of required • The team lead of data engineering and analytics
servers, saving on storage and compute costs at a financial services organization corroborated
without sacrificing performance. Additionally, the new the reduction in infrastructure spending with the
cloud or hybrid cloud environments required fewer move to Talend Cloud, stating that their
dedicated resources for maintenance and organization reduced the required CPU cores for
administration compared to prior on-premises data storage and processing by about 75%, from
environments. 60 to 12.
• The chief data and analytics officer at an Modeling and assumptions. To calculate
environmental services organization moved to infrastructure cost savings, Forrester makes the
Talend Cloud from an on-premises environment following assumptions:
and ultimately reduced required servers by 50%,
from 200 to 100, with plans to continue • The volume of servers required before Talend
consolidation efforts. represents a static before state.
• With Talend, the required volume of servers Risks. Infrastructure cost savings may vary
steadily decreases over time despite higher depending on the following:
volumes of data for extraction and analysis.
• The architecture of the prior environment,
• Servers supporting the prior environment were whether it was built on-premises or in the cloud,
managed by a third party; therefore, the cost and whether the organization elects to move to
savings represent a percentage of the total cost Talend Cloud.
of the server, but the cost savings are perpetual.
• The size and scope of the prior environment as
• Before Talend, four FTEs were dedicated to the well as the systems and data targeted for the
administration, production support, and move to Talend Cloud.
maintenance of the legacy environment.
Results. To account for these risks, Forrester
• With Talend, the organization reduces the adjusted this benefit downward by 10%, yielding a
required dedicated resources to administrative three-year, risk-adjusted total PV (discounted at 10%)
and maintenance tasks over time. of nearly $857,000.
A4 Average cost savings per server 25% of $12K $3,000 $3,000 $3,000
REDUCTION IN DOWNTIME AND INCIDENT to 80%, totaling 4TB, the organization continued
SUPPORT COSTS to experience system performance
Evidence and data. Despite processing more data improvements. The interviewee stated that they
and performing more analyses across their significantly reduced the volume of errors
organizations, the interviewees indicated that the experienced per million records processed with
Talend solutions architected in the cloud improved Talend.
system performance and reduced downtime and • The team lead of data engineering and analytics
support costs. Organizations were, therefore, able to at a financial services organization tied better
ensure reliability on a large scale. system performance to better customer
• The team lead of data engineering and analytics experiences as well, stating, “With Talend, our
at a financial services organization indicated that tech team stopped getting complaints from
before Talend, their CRM system experienced brokers and their clients that the data was wrong
more than 500 job failures per week. With in our platform.”
Talend, the organization reduced job failures by Modeling and assumptions. To calculate the
50% and eliminated production outages. The reduction in downtime and incident support costs,
team lead said, “Weekly production outages were Forrester makes the following assumptions:
eliminated as soon as Talend was implemented.”
• Total annual cost of downtime and incident
• The director of IT at a healthcare organization support spans IT time spent on incident support
noted that reliability improvements continued as well as downtime for system users.
despite higher processing volumes in the new
• The organization reduces the total annual cost of
environment. They shared, “We’ve managed to
increase records processed by 80% while downtime and incident support with Talend by
maintaining 95% accuracy of performance.” reducing total incident volumes as well as time
spent problem-solving and remediating remaining
• The same interviewee at a healthcare incidences.
organization also described the impact on
internal resource efficiencies. Not only did the Risks. Reduction in downtime and incident support
organization experience better system costs may vary depending on the following:
performance overall, but it also saved time for • The volume of incidents and the criticality of
resources responsible for replicating existing those incidents experienced in the before state.
issues and problem-solving. The interviewee
• Time spent problem-solving and remediating
indicated that, before Talend, the organization
incidents before Talend.
had to dedicate five FTEs to remediation, which
could take a full 24 hours each time. With Talend, • The Talend solutions and data architecture
replicating an issue occurred automatically, implemented.
greatly reducing the remediation effort.
Results. To account for these risks, Forrester
• The CIO from a different healthcare organization adjusted this benefit downward by 10%, yielding a
noted that despite increasing the percentage of three-year, risk-adjusted total PV of close to
critical data that was processed through Talend $629,000.
Bt Reduction in downtime and incident support costs B1*B2 $250,000 $275,000 $325,000
you don't need high-paid skilled [developers/ Modeling and assumptions. To calculate
engineers] — it can be managed with IT development cost savings, Forrester makes the
analysts.” following assumptions:
• The team lead of data engineering and analytics • Average development resources include
at a financial services organization indicated that developers, DevOps, and QA resources.
they also introduced citizen developers to the
• The composite introduces citizen developers to
development cycle, which not only further
the development cycle to further accelerate
increased developer capacity but also helped to
development timelines and improve developer
accelerate project timelines. As a result,
capacity each year of the investment without
developers were free to take on increasingly
having to add highly skilled, and expensive
complex development work to further support the
developer headcount.
business. They explained: “The big value has
been to our businesses. The amount of work • Time savings for development resources are
developers can put into each sprint has attributed to automations that alleviate the need
increased a ton when it comes to the data to spend time on data administration tasks.
integration space. That’s really the value [the Additionally, Talend Data Integration includes
business] has seen since we implemented frameworks and visual connection capabilities to
Talend.” further expedite integration project timelines.
Additionally, some integration projects, including
• The same interviewee saw developer capacity
API connectivity, are taken on by citizen
improvements and accelerated timelines continue
developers. Talend Data Quality and Data
to meet growing business demands. The team
Governance make it easier to query for, assure
lead said: “We’ve been able to continue to
the quality of, and maintain compliance of the
accelerate the pace that the business is happy
data extracted for use.
with because we’re able to bring on developers
without oversaturating our teams with junior • The value associated with the increased
developers. So if we didn’t have a decrease in a) development capacity and accelerated delivery
the amount of time it takes to do the development timelines is reflected in the total business value
work and b) the level of skill required to do that impact of Talend benefit.
development, we would have fallen behind the
Risks. Development cost savings may vary
pace the business needs us to be at based on
depending on the following:
the amount of growth we were capable of."
• The volume of development resources and the
• A director of IT at a healthcare organization
type of resources involved in the development
implemented Talend Data Quality, which further
cycle as well as their associated salaries.
accelerated development timelines: “Now with
any kind of migrations or modernizations • The appetite for citizen development resources to
happening, they use [the Talend] solutions in the join the development cycle.
lower environment. That gives them confidence
• The Talend solutions implemented and the
that they can go into production faster, sooner,
cadence of implementation.
with better quality."
C2 Time savings experienced with Talend (%) Interviews 25% 30% 40%
C3 Average fully loaded salary per developer resource TEI standard $208,000 $208,000 $208,000
C5 Average fully loaded salary per citizen developer TEI standard $120,000 $120,000 $120,000
SECURITY AND COMPLIANCE RISK REDUCTION • Breaches will happen, and they will sometimes
SAVINGS go unnoticed. Forrester defines a breach as an
Evidence and data. Interviewees cited specific incident resulting in the loss or compromise of
Talend functionality to reduce the risk of a security data, accompanied by material remediation
breach or of breaking a compliance requirement. In costs. The data presented here is based on the
addition to having more transparency and better- breach activity of an organization with about
quality data, interviewees used log management to 10,000 total employees and $1 billion of annual
control data access and de-identification of source revenue. According to “Forrester Consulting Cost
data to improve security postures. Additionally, Of A Cybersecurity Breach Survey, Q4 2020,”
efficiencies enabled interviewees to meet compliance organizations of a similar size to the composite
reporting requirements for various stakeholder organization were likely to see 2.5 material
groups in a timely fashion. breaches per year.6
• The CIO at a healthcare organization indicated • Further findings from “Forrester Consulting Cost
that Talend helped them provide the necessary Of A Cybersecurity Breach Survey, Q4 2020”
quarterly compliance reporting on data security to indicate that the number of breach occurrences
health plans as well as to the board of directors was only slightly affected by the company size or
on an annual basis. The same interviewee cited revenue. However, the cost of recovery from a
Talend’s log management to control data access breach was highly correlated to the size and
through more specific policies and procedures. revenue of organizations.
They said, “Whereas before, we were flying blind; • For the composite organization, the average cost
now, we have a mechanism to extract and [a] is $654,841 per material breach.
process in place to manage who has access to
which data and for how long.” • Using Talend solutions, the overall reduction in
the likelihood of a breach is an additive 5%
• The CIO of a government organization stated that beyond all other solutions in place.
better-managed data access also had time
savings impacts. They explained, “The time Risks. Security and compliance risk reduction
savings experienced from not having to manually savings may vary depending on the following:
manage permissions could be 50% or higher for • The industry, size, and geography of the
different folks in IT.” organization.
• The director of IT at a different healthcare • The tools in place to manage security and
organization utilized de-identification and other compliance expectations prior to Talend.
functionality from Talend to improve the overall
• The Talend solutions implemented and the
security posture. The same interviewee also
cadence of implementation.
credited eliminating manual steps in governance
processes with additional improvements. Results. To account for these risks, Forrester
Modeling and assumptions. To calculate security adjusted this benefit downward by 20%, yielding a
and compliance risk reduction savings, Forrester three-year, risk-adjusted total PV of more than
makes the following assumptions: $182,000.
D6 Average salary — business user (hourly) TEI standard $39 $39 $39
Dt Security and compliance risk reduction savings D4+D9 $91,605 $91,605 $91,605
TOTAL BUSINESS IMPACT OF TALEND and analyzed by Talend to better forecast energy
Evidence and data. Today, delayed insights can costs and hedging those costs appropriately.
have a devastating effect on a firm’s ability to win, • The CIO of a healthcare organization built a
serve, and retain customers. Data fabric delivers a single source of truth for patient data that
unified, integrated, and intelligent end-to-end data enabled the organization to identify gaps in
platform to support new and emerging use cases. It patient care. As a result, insurance providers
automates all data management functions — allocated 30% more quality care incentives to the
including ingestion, transformation, orchestration, organization that contributed to the top line.
governance, security, preparation, quality, and
curation — enabling insights and analytics to quickly • Additionally, the organizations identified
accelerate use cases. Forrester sees a persistent opportunities for future revenue growth from new
trend of data fabric initiatives across all industries — revenue streams or market differentiation
including financial services, retail, healthcare, opportunities. The chief data and analytics officer
manufacturing, oil and gas, and energy — as at an environmental services organization gave
organizations continue executing their digital an example of a potential new revenue stream
transformation initiatives. A growing contingent of that would not have been possible if the
organizations leverages data fabric in the public organization did not trust the credibility of its data.
cloud and hybrid cloud environments to support They explained: “We [had] just spun off our
customer 360, business 360, fraud detection, IoT European division, but the European customers,
analytics, and real-time insights.7 when we brought up a new site, we had a
partnership agreement where they could sell
Examples of the business initiatives and projects some of the energy that we were generating from
heard in the customer interviews can be read in more the facility, but they needed real-time system
detail in the Customer Journey section of this study. uptime, downtime, and energy production data in
However, focusing on the initiatives that resulted in order to do that work. This would not have been
quantifiable business outputs for organizations, possible under any other platform. This opens up
Forrester found examples of operational cost savings a revenue stream for us."
as well as top-line revenue improvements for
organizations. • In another example that relies entirely on having
credible, quality data that meets governance
• The chief data and analytics officer at an standards, the environmental services
environmental services organization implemented organization’s chief data and analytics officer
Talend and saw incremental revenue said: “We know that all kinds of companies have
improvement from completing a project in a environmental targets to meet for regulatory
timely fashion that would have otherwise been bodies and everything else. One service we are
delayed and that ultimately contributed $25 considering offering to clients, but [that] we
million a year of revenue that would have “gone haven’t gone to market with, is a service to
out the window if the project had been delayed handle your environmental reporting for you if
six months.” you use us for your materials handling.”
• The same interviewee indicated that they also Modeling and assumptions. To calculate the total
experienced cost savings that totaled $500,000 a business value impact of Talend, Forrester makes
month from fueling decisions with data extracted the following assumptions:
• The composite organization is a $1 billion • The investment objectives and applicable use
organization. cases as well as projects completed with Talend
tools or data.
• Seventy percent of total revenue is allocated to
operational expenses. • The Talend solutions implemented and the
cadence of implementation.
• The ability to leverage data to influence more
business decisions and initiatives over time Results. To account for these risks, Forrester
improves additional revenue impact and adjusted this benefit downward by 15%, yielding a
contributes to more bottom-line cost savings over three-year, risk-adjusted total PV of $4.1 million.
the three-year study period.
E2 Additional revenue from data projects with Talend Interviews 1.5% 2.5% 3.5%
Talend, and today, we are at least 85% Flexibility would also be quantified when evaluated as
automated. In parallel, the issues part of a specific project (described in more detail in
evaporated in terms of second-guessing Appendix A).
the data. Talend Data Stewardship, the
Data Catalog, and the Studio with all of
the integration components all work
together to bring that level of trust and
credibility."
FLEXIBILITY
The value of flexibility is unique to each customer.
There are multiple scenarios in which a customer
might implement Talend solutions and later realize
additional uses and business opportunities, including:
Total Costs
Present
Ref. Cost Initial Year 1 Year 2 Year 3 Total
Value
Cost of Talend services and
Ftr $0 $346,791 $672,726 $728,033 $1,747,549 $1,418,218
solutions
Internal resource time spent on
Gtr $37,180 $181,847 $181,847 $181,847 $582,720 $489,405
investment
COST OF TALEND SERVICES AND SOLUTIONS projects and initiatives completed by the
Evidence and data. Interviewees indicated that organization.
costs to Talend spanned the technology solutions as • Additionally, over the three-year investment
well as engaging with the Talend team for various period, the organization engages with Talend for
services. professional services that cover implementation,
Modeling and assumptions. To calculate the costs QuickStart guides, and training for the various
of Talend services and solutions, Forrester makes Talend solutions and capabilities.
the following assumptions: Risks. Pricing for Talend services and solutions may
• In Year 1, the organization implements the vary. Contact Talend for additional details.
Talend Data Management Platform, which Results. To account for these risks, Forrester
includes Data Integration and Data Quality. Costs adjusted this cost upward by 20%, yielding a three-
for the Talend Data Management Platform are year, risk-adjusted total PV (discounted at 10%) of
paid on a per-user annual basis for 15 users. $1.4 million.
• In Year 2, the organization implements Talend
Data Fabric, which includes Data Integrity, Data
Quality, and API and Application Integration.
Pricing for Talend Data Fabric is also paid on a
per-user annual basis for 15 users.
G1 Average time spent on implementations (hours) Interviews 520 2,080 2,080 2,080
G7 Average hourly rate for citizen developers TEI standard $0 $58 $58 $58
Gt Internal resource time spent on investment G4+G8 $33,800 $165,315 $165,315 $165,315
$6.0 M
-$2.0 M
Initial Year 1 Year 2 Year 3
ROI 355%
Costs consider all expenses necessary to deliver the RETURN ON INVESTMENT (ROI)
proposed value, or benefits, of the product. The cost
category within TEI captures incremental costs over A project’s expected return in
the existing environment for ongoing costs percentage terms. ROI is calculated by
associated with the solution. dividing net benefits (benefits less costs)
by costs.
Flexibility represents the strategic value that can be
obtained for some future additional investment
building on top of the initial investment already made. DISCOUNT RATE
Having the ability to capture that benefit has a PV
that can be estimated. The interest rate used in cash flow
analysis to take into account the
Risks measure the uncertainty of benefit and cost time value of money. Organizations
estimates given: 1) the likelihood that estimates will typically use discount rates between
meet original projections and 2) the likelihood that 8% and 16%.
estimates will be tracked over time. TEI risk factors
are based on “triangular distribution.”
PAYBACK PERIOD
The initial investment column contains costs incurred at “time
The breakeven point for an investment.
0” or at the beginning of Year 1 that are not discounted. All
other cash flows are discounted using the discount rate at the This is the point in time at which net
end of the year. PV calculations are calculated for each total benefits (benefits minus costs) equal
cost and benefit estimate. NPV calculations in the summary initial investment or cost.
tables are the sum of the initial investment and the
discounted cash flows in each year. Sums and present value
calculations of the Total Benefits, Total Costs, and Cash Flow
tables may not exactly add up, as some rounding may occur.
1 Source: “The Forrester Wave: Enterprise Data Fabric, Q2 2022,” Forrester Research, Inc., June 23, 2022.
2 Source: “The Forrester Wave: Enterprise Data Fabric, Q2 2022,” Forrester Research, Inc., June 23, 2022.
3 Total Economic Impact is a methodology developed by Forrester Research that enhances a company’s
technology decision-making processes and assists vendors in communicating the value proposition of their
products and services to clients. The TEI methodology helps companies demonstrate, justify, and realize the
tangible value of IT initiatives to both senior management and other key business stakeholders.
4 Source: “Qlik Acquires Talend, Combining its Best-in-Class Data Integration with Talend’s Leading Data
Transformation, Quality, and Governance Capabilities,” May 16, 2023.
5 Source: “The Forrester Wave: Enterprise Data Fabric, Q2 2022,” Forrester Research, Inc., June 23, 2022.
6 Source: “Forrester Consulting Cost Of A Cybersecurity Breach Survey, Q4 2020.”
7 Source: “The Forrester Wave: Enterprise Data Fabric, Q2 2022,” Forrester Research, Inc., June 23, 2022.