APIs, aka Application Programming Interfaces, are widely used tools whose proliferation is closely tied to the ubiquitous and universal availability of connectivity. Securely exposing a service through the web implies that third parties can use it effectively and profitably. In fact, this technology is so successful that it has established itself as the de facto standard for communication between different systems, and moreover, this is not only true for external communication: APIs are widely used for internal communication between applications, infrastructures, and departments as well!

The World of APIs: From Simple “Tooling” to an effective Innovation Model

APIs are so crucial that, even when putting aside the aspects related to direct monetization, their value is still widely recognized. For instance, IBM, in its paper Innovation in the API Economy, emphasizes the value of these tools both as market opportunities and, more importantly, as company assets that should be properly capitalized and managed.

As a matter of fact - as is often the case for technologies adopted as a un upcoming tech wave but continued to evolve and increment over the years - companies frequently lack a consolidated, linear, and repeatable approach to API management and especially to API Governance. In many cases, these crucial resources are viewed merely as tools, without the deep strategic vision that is necessary to realize their full value as effective “digital products”.

API, Application Programming Interface: Why Governance is Convenient

There are numerous reasons to govern APIs, and in most cases, it's not just about best practices for companies aiming to be best performers, but about real opportunities for improvements and savings.

Let's see the main benefits that companies can achieve.

Improved Management Control

How are APIs developed within the company? Is it in a coordinated way, or does each development team only respond to its own department? Are there redundancies? Is license and resource management optimal?

In a company that correctly governs its APIs, these kinds of questions have straightforward answers.

Here are the main benefits of API Governance in this scenario.

Consolidating the Service Portfolio: It is not uncommon for companies to be unaware of all the digital services they have, and that they maintain. Governance allows cataloging, rationalizing, documenting, and leveraging them.

Setting up a Control and Management Framework: At the same time, the strategy through which APIs are developed and maintained should be as consistent as possible through all development teams, all stakeholders and possibly...the entire Organization!

Establishing standard Processes according to specific needs: Why, When, and how is an API developed or modified? Is its development driven by stakeholder needs or merely by IT? These aspects also fall under the governance umbrella!

API Security and Compliance: Lastly, but not less important, among the aspects most closely related to control cybersecurity remains a top priority. But also, compliance, (the fact that every Organization must be sure that its digital products are used exactly for the scope they were created for), is quite important.

Effective governance that ensures control over every single API-related asset is the essential step towards securing the ecosystem.

Economic opportunities

Effective API governance not only generates benefits in management and organizational terms but also offers measurable economic benefits. Let's take a closer look at them.

Improved Resource Management: This is an immediately measurable advantage that directly impacts on the company's bottom line. Optimally managing resources eliminates redundancies, allows the best use of resources and licenses, and, in general terms, makes cost structures more efficient.

Improved People Management: An improved management of resources opens the way to improved people management. Here too, the elimination of redundancies and a centralized organization allow for better orchestration of efforts, reuse of each asset available, resulting in measurable optimization.

API Economy – Service offering: Finally, API Governance is also an enabling practice for companies that intend to expose their services to external users, business partners or applications, either charging for their use or generating additional indirect revenue through synergies or collaborations.

API Governance: Where Control boosts Innovation!

In modern enterprises technological innovation is increasingly important for growth and competitiveness, and, therefore, API Governance is both an operational need and a significant opportunity for innovation. In fact, API management is not just about technical control; it becomes a fundamental strategy that profoundly impacts the consistency, security, and efficiency of business operations.

Effective API Governance ensures that every innovation is part of a structured and scalable growth environment. Controlling does not mean limiting innovation but channeling it so that every new implementation meets security standards, is compatible with other systems in use, and aligned with business objectives.