Q: My colleagues say we’re not ready to move business-critical data to the cloud. What should I tell them?
A: Tell them the risk of maintaining the status quo is much greater
When I hear about executives hesitating to embrace cloud computing, I think about the Dow Jones Industrial Average. Since its 1896 inception, the Dow has been a closely followed bellwether of marketplace stability, one that historically has experienced little change. In fact, there have been only 50 changes to the index of included companies since its launch.
So how does this relate to concern about cloud computing?
Since the 1990s, the overseers of the Dow have started to make replacements on a more regular basis, which begs the question: If one of the most important indicators of economic stability is undergoing changes regularly, how risky is the decision to maintain the status quo economic model for your business? If your company’s economic model needs changing, can your traditional data center strategy keep up?
A survey from the IBM Institute for Business Value found 98 percent of organizations expect to operate within a multicloud environment by 2021. The move to cloud, however, cannot ignore expected ROI from past IT investments.
This points toward a strategic middle ground — adopting some aspects of multicloud, while building on the value of legacy infrastructure solutions.
Where to begin?
From a management point of view, organizations need to define their internal business processes and innovate. Six factors define the success of this undertaking:
- Ensure an optimal transformation process that provides technical insights and collaboration across the entire digital transformation project team
- Establish critical business and financial objectives for hybrid cloud services that align workload types (e.g., ERP, SCM, CRM and productivity) by cloud preference (e.g., on-premises private cloud, hosted private cloud, and public cloud)
- Rationalize and transform the organization’s application portfolio based on preferred cloud deployment model and service model
- Determine the role of key technologies and capabilities while simultaneously aligning them with each stage across transformation and continuous operations requirements
- Define security and continuity requirements that address key issues such as data breaches, system vulnerabilities and malware
- Establish strategic key performance indicators and pricing preferences that must also include service-level agreements that support expectations on availability, system response times and application provisioning requirements.
Read more about orchestrating and simplifying your IT management.