Business observability is like having x-ray vision for your business systems. It allows you to see and understand the inner workings of your operations through the data they generate—logs, metrics, and traces. Unlike traditional monitoring that detects issues, observability dives deeper to reveal why problems occur and their potential business impacts. Without it, you’re flying blind, hoping nothing breaks.
It’s like driving a car without a dashboard. You wouldn’t know your speed, fuel level, or if the engine’s overheating. Many businesses operate that way—guessing and reacting to disruption instead of anticipating and averting it.
In today’s digital economy, this approach is even more risky. Data is generated at every turn. Every transaction, click, and user interaction produces valuable information. But just having data isn’t enough. You need to see it, understand it, and act on it.
Observability is your operational GPS, showing you where traffic jams are, which routes are clear, and how to navigate your way to operational excellence.
This blog is your guide to implementing better business process observability. We’ll walk you through the essential steps to enhance your business process observability. No more surprises. No more guesswork. Just clear, actionable insights.
What is business observability?
Business process observability is the ability to measure and understand the internal state of your business systems. Unlike traditional monitoring, which only highlights issues, business process observability provides deep insights into why operational problems occur and how they affect overall business operations.
Observability encompasses three components: metrics, logs, and traces. Metrics offer quantitative data points, logs capture event details, and traces follow requests through services. These components provide a holistic view of your systems, turning your data into actionable intelligence to ensure smooth, efficient operations. Let's delve into why this is crucial for large enterprises.
The benefits of observability in large enterprises
Observability enhances decision-making by providing real-time insights into system performance. IT and business leaders can identify and resolve issues before they impact customers, reducing downtime and improving user experience. In financial services, for example, banks use business process observability to monitor transaction flows and detect anomalies in real time. This allows them to instantly address potential fraud or system failures, ensuring that customer transactions are secure and uninterrupted.
Additionally, observability fosters innovation by providing precise data on what works and what doesn’t, enabling better planning and execution. In the financial services sector, observability tools can analyze vast amounts of transaction data to identify trends and opportunities for new financial products or services. For instance, a bank might discover that a significant number of its customers are using certain services together, prompting the development of bundled offerings that more effectively meet customer needs.
Observability can drive innovation in healthcare by analyzing patient data to improve treatment protocols and operational efficiencies. For example, hospitals can use observability to track the efficacy of different treatment methods in real time, leading to more effective and personalized patient care strategies. By understanding which treatments yield the best outcomes, healthcare providers can innovate and adapt their services to enhance patient recovery rates and overall satisfaction.
But there’s more to the story. Let’s explore how integrating business observability with business intelligence (BI) and business process intelligence (BPI) amplifies these benefits.
Real-world use cases
In the financial services industry, major institutions utilize observability to maintain the integrity of their trading platforms. By monitoring system performance and transaction flows in real time, they can quickly identify and mitigate any issues, ensuring that trades are executed smoothly and efficiently. This enhances the user experience and maintains trust and reliability in the financial markets.
In healthcare, observability is crucial for market leaders relying on real-time data monitoring to manage patient care systems. By integrating observability tools, they can track the performance of critical applications, ensuring that patient data is accessible and secure at all times. This capability is vital for maintaining high standards of patient care and operational efficiency, ultimately leading to better health outcomes.
Observability is not just about keeping systems running; it's about leveraging data to make informed decisions, drive innovation, and deliver superior service. Now, let’s explore seven critical steps to implementing better business observability in your organization.
7 steps to better business observability
Step 1: Assess current state
Start by conducting a thorough audit of your existing monitoring and observability tools. Are you collecting the right data? Is it easily accessible and interpretable? Assessing these factors is crucial for evaluating the business impacts of your current observability strategy and identifying areas for enhancement. Understanding your starting point is a critical success factor.
Step 2: Set clear objectives
With an accurate picture of your current state, the next step is to set objectives. This is like plotting your course on a map. Define what successful observability looks like for your organization. Align your efforts with your business goals to ensure that monitoring supports your overarching mission. Are you aiming to reduce downtime, improve customer experience, or streamline operations? Clear objectives will guide your journey.
Step 3: Choose the right tools
Once your goals are set, it’s time to choose the right tools for the job. Data access is crucial for business observability, improving processes, and making better business decisions. But it’s only a start. You need an easy way to turn data into actionable insights. Evaluate tools based on scalability, integration, and ease of use. Opt for tools that can grow to meet any challenge and seamlessly integrate with your existing systems.
For example, consider business observability solutions like Appian Process HQ, which offers low-code functionality that enables you to build a robust observability framework without being a process or data expert.
This next-generation business observability tool combines process and business data in a single place, automating process analysis and empowering users with intelligent recommendations for where and how to take action. Because it’s part of the Appian Platform, you can immediately apply improvements to your processes using Appian’s AI automation and workflow orchestration capabilities.
Step 4: Develop a centralized logging strategy
With your tools in place, focus on developing a centralized logging strategy. Centralized log management ensures that all logs are collected, stored, and analyzed in one place. This practice enhances visibility into system operations and overall business activity, simplifying troubleshooting and improving decision-making.
Next, we’ll dive into more advanced strategies to ensure your systems are monitored and observable.
Step 5: Implement distributed tracing
Distributed tracing is like a GPS for your data. It tracks requests as they move from users and frontend devices through backend services and databases, showing you where delays or errors occur. Unlike simple tracing, which follows a single application or component, distributed tracing spans multiple services, connecting the dots between them. This comprehensive view is crucial for debugging microservices and ensuring a smooth customer experience.
To integrate distributed tracing, choose a tool that fits your tech stack. Embed tracking code to capture trace data at critical points. Make sure each service log traces IDs consistently. Collect and analyze this data in a centralized system. This gives you a clear map of your system’s performance, helping you pinpoint and resolve performance issues quickly.
Step 6: Automate and integrate
Automation is the secret weapon for observability, empowering businesses to accelerate from insight to action at warp speed. Use a process automation platform that powers full-stack observability and can collect, analyze, and make intelligent recommendations. This integration not only streamlines operations but also provides valuable insights, enabling your teams to make more informed decisions and optimize performance.
This creates a seamless flow of information, enabling IT and business teams to make data-driven decisions that enhance operational efficiency and effectiveness. It also ensures your IT and business teams can access critical data, making your observability strategy more powerful and effective.
The best process automation platforms integrate data fabric technology, enabling you to explore your enterprise data and report on key business performance indicators.
For example, Appian’s process platform includes Process HQ, a workspace where business users get unprecedented visibility into enterprise data and processes. By combining the latest technologies in data fabric, process mining, machine learning, and generative AI, Process HQ gives business users the insights they need to improve process performance and make more informed, data-driven decisions.
With automation, AI, and data fabric supercharging your observability, you can transform data into decisive action with unprecedented speed and precision. But technology alone isn't enough. To unlock observability’s power, embed it into the very fabric of your organization. Create a culture where every team member can leverage observability insights for continuous improvement.
Step 7: Foster a culture of observability
A strong observability culture is the backbone of operational excellence. Encourage cross-team collaboration and communication. Break down silos and promote knowledge sharing across departments. Everyone should understand the importance of observability and its impact on their work.
Invest in training and education. Teach best practices and keep everyone updated with the latest tools and techniques. Empower your teams to use business process observability data to make informed, data-driven decisions. This fosters a proactive approach to identifying and addressing issues. Promote a continuous improvement mindset. Regularly review metrics and feedback to refine processes and strategies.
As your organization embraces a culture of observability, you’ll unlock new levels of operational excellence and innovation. However, observability is an ongoing journey. You must continuously measure and iterate on your strategy to sustain and enhance these gains.
Measure and iterate on your observability strategy
Start by defining KPIs that align with your observability goals. KPIs are your benchmarks for success, guiding your efforts and highlighting areas for improvement. Choose metrics that reflect system performance and business KPIs. For example, include system uptime, mean time to resolution, and user satisfaction scores.
Review these KPIs regularly to assess your progress. Use the data to identify trends, pinpoint weaknesses, and make informed adjustments. Continually refining your KPIs and strategy ensures that your observability efforts remain effective and aligned with your evolving business needs. This iterative approach keeps your organization proactive, resilient, and moving forward.
Unlock competitive advantage
Embracing observability transforms your organization into a data-driven powerhouse. By following these steps, you’ll build a robust observability framework that enhances decision-making, fosters innovation, and drives operational excellence. Remember, observability is a continuous journey. Regularly measure, iterate, and refine your strategy to stay ahead of the curve.
By embedding observability into your culture, you create a data-driven organization that operates transparently and efficiently, driving your business forward. This proactive approach supports operational excellence and gives your organization a competitive edge in a rapidly evolving market.
