Three reasons why cloud transformation is not a one-time activity

Businesses always setup their IT the best possible way they are able to and get on with their business and few actually pause to take a look at improvements. But many smart companies have transformed their IT, at least partly, when they had to refresh hardware or when they hired a new CIO. However, this scenario is changing. Customers are now aware that forces acting on the market (whether they are technological, political, socio/economic) are changing rapidly, innovations are coming from all over the world and the product life cycles (time to extract value from products) are shrinking. This trend is not new and has been going on for nearly 25 years (I am just surprised this article is still available online) but the pace is frantic. No company in their right mind wants commitment of any sort, far less so on depreciating assets like ICT. The thought of wanting to get away from commitment and operationalize expenses and tie expenses to business performance is really tempting and therefore expanding into other areas of business as well

This brings us to cloud and why cloud computing has seen the growth that it has. Variable workloads, no commitment and pay per use are important to many businesses. Of course, everyone wants the best performance, best security that money can afford, to satisfy all regulatory requirements at the lowest cost and all available on-demand at the drop of a hat. Yes; this is possible but some things have to change for companies to benefit from the new and hence the transformation. Now we argue that this transformation is not a one-time activity but instead needs to be on-going, if you want to stay true to your goals.

  1. Cloud computing firms are innovating and technology is changing. So cloud is a highly evolving platform: In the last few years, cloud provider like AWS and Azure have introduced many new services on their platform and keep introducing new ones.  Cloud providers are also expanding their presence in multiple locations.  Customers now have several options to choose more appropriate services for their requirements. On top of this are fare wars between the cloud providers and broker sites that want to showcase price performance ratios to continue to broker new deals for their own sustenance. It will not be too far when in addition to (or instead of) “moving to cloud” many service providers will come up with solutions to move customer workloads between cloud providers.
  1. Latest Infrastructure: Moore’s law is not quite obsolete, well not yet anyways. When newer features are available in the market, customers naturally expect those. For example, AWS released 4th generation of memory centric instances of their EC2. Having a combination of new, old and even older versions of hardware makes for a more complex environment management for anyone, including cloud providers.  At their scale, the management of that operational complexity is quite impressive a story in itself. Naturally to reduce this complexity for themselves, cloud providers encourage customers to move to newer instances, in order to get the cost and the performance benefits. 
  1. Usage Efficiency: Customers get the clarity of the resource utilization in a near real time scenario.  Customers can analyse and engage in a more effective resource forecasting.   For example, if the Customer is doing a marketing promotion in one region or country or if they expect or see the usage of their media content is more from Australia than in the UK, they can adjust their CDN replications properly.

Fortunately help is available and as with anything the quality is variable. We recommend businesses to research; find a cloud partner that is accomplished. Your business IT may not be a trivial expense. Spend wisely and extract maximum value from your partner, ask them to simplify your IT consumption; make no commitments while you protect and grow your business.  Let us know if we can help you.

Posted in Cloud Computing, non-stop IT.