Cloud is a shift from the focus on underlying technology implementation to leveraging existing implementations and further building upon them. Cloud orchestration or a network of clouds is the wave of the future where these clouds can operate with elasticity, scalability, and efficiency. Effective service management is an important aspect of managing such networks. The transition to the cloud will enable the further aggregation of composite web services and enhanced business-to-business capabili...| By Roger Strukhoff | Article Rating: |
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| October 30, 2009 05:00 AM EDT | Reads: |
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As we near the end of a tumultuous 2009, I thought I'd get back in touch with Rebecca Wanta (pictured) to get her thoughts about what CIOs and CTOs should be doing right now.
Becky is the CEO & President of RSW1C Consulting. In that role, she's worked with many Fortune 50+ companies, including Best Buy, Target, DuPont, Cargill, 3M, GE, P&G, Caterpillar, KLA-Tencor, and State Compensation Insurance Fund. During her career, she's served as CTO of Wells Fargo, Global CTO of PepsiCo, and CIO of North America for BestBuy.
She has made her mark by taking an innovative approach to aligning and leveraging the IT resources within major organizations to business goals. Here are some of her current thoughts...
Roger: Traditional concerns facing the CIO are total spend, spend on innovation vs ongoing operations, and proof-of-concepts and case studies when their organizations are considering new concepts and technologies. How will these three broad areas be prioritized in 2010?
Becky: CIOs who did not capitalize on the economic downturn of 2009 as a "lull" to leverage the lull and get their respective "IT houses in order" will be forced with keeping the trains running--that is, focus on on-going operations--as their first priority, versus threading innovation and new capabilities within their business environments. But the latter is critical to enable businesses to survive and thrive in the forseeable future. CIOs who kept their eye on the proverbial ball will be poised to prioritize innovation and new capability--proofs of concepts, case studies, joint-ventures, etc.--first.
Roger: But ongoing operations gobble up the majority of the budget in any case...
Becky: Yes, CIOs historically face the dilemma of an IT run rate of 80 to 90 percentfor business operations, with a mere 10-20% left over for innovation and new capabilities. But senior IT executives should be constantly stepping up to the challenge of looking at how to reduce the direct spend, leaving more variable spend for innovation and capability based on business value.
Roger: We hear a lot about how the business must drive the IT, rather than the other way around. But realistically, how well do the business sides and IT sides communicate in most organizations today?
Becky: Senior IT executives that have earned their "seat at the table' understand that IT must be a strategic partner to the business in vision and execution and be solving problems in support of the business. They also understand that hey must continue to demonstrate their value and re-earn their seat at the table!
This does not mean that the business should be involved in the decision-making of whether an upgrade of the infrastructure--network, server, database, etc.--is necessary. It does mean that it is their responsibility to understand that, as with any investment, continued investment in IT is necessary to ensure that faster, cheaper, and better solutions are available to appropriately support the business.
Roger: In your experience, how do multinational companies address global technology adoption issues? Can a US-based CIO, for example, really influence how subsidiaries and operating units in, say, Europe and Asia spend their money and deploy their technology?
Becky: Yes, of course! The keys to making this happen are executive support and having the authority along with the responsibility to do so.
Roger: Social networking is seen as a way for companies to stay even closer to their customers. Some companies shy away from hearing angry customers vent online, while others embrace this, viewing today's upset customer as an opportunity rather than a problem. What do CIOs make of all this?
Becky: Clearly, social networking is not so much a technology play as a philosophical play. That said, the CIO has a responsibility for the technology involved here. The challenge is to continue to track new developments and emerging technology trends ahead of their customer constituency, to be appropriately poised to bring the new capability into the company, or to effectively interoperate with it internally and externally.
More often than not, I continue to see dated IT organizations that are last to the exploration and possible adoption of new technology. This means their business partners and customer constituencies are out in front, tinkering around with the viability of the new technology, and results in challenges to truly partnering with the business as a value-added service provider.
To remedy this, I traditionally put in place an emerging technologies organization, with a senior executive who understands the business and the technology, and who can create "safe harbor" experiments, proofs of concepts, joint ventures., to demonstrate the viability of the capability before investment is made.
Roger: The Microsoft/Sidekick fiasco has set back Cloud Computing by several years. Do you agree with this statement? And in any case, do you think that organizational anxiety about security and lock-in with Cloud will ever be outweighed by potential Cloud advantages such as lower costs and flexibility?
Becky: No, I do not think the Microsoft/Sidekick fiasco has set back Cloud Computing in terms of adoption. Sure, concerns around security, and who owns the data remain fundamental challenges with the use of external clouds. However, more likely than not, most companies have been operating with internal clouds forever; it just never had this new "sexy" name.
You know, so many companies have already solved their concerns on security and who owns the data, and have therefore made and continue to make the business decision that those IT functions stay in-house and are organic are those functions that provide the company's competitive advantage. All else is not core, and if it can be done more cost-effectively in a quality and price-point manner, the CIO really needs to support getting the work handled through a third-party outsourcer.
The fundamental question, "What is core to the business?" needs to be continually asked, answered and the workload adjusted accordingly so the company's talent is focused on the right priorities.
Roger: How much should CIOs today be up to date on business concepts such as Blue Ocean and Base of the Pyramid opportunities versus less glamorous, day-to-day operational detail?
Becky: CIOs need to be knowlegeable about the concect of Blue Ocean and Pyramid Opportunities to their business, as they have a coaching/educating responsibility embedded within their strategic business partnering responsibilities. Armed with the understanding of these two techhniques, they can adjust the business and lock into the culmination of information from disparate sources, to partner with the business and determine what next "Blue Ocean" their company should be entering, leading, and owning!
Published October 30, 2009 Reads 2,558
Copyright © 2009 SYS-CON Media, Inc. — All Rights Reserved.
Syndicated stories and blog feeds, all rights reserved by the author.
More Stories By Roger Strukhoff
Roger Strukhoff holds a BA from Knox College, Certificate in Technical Communications from UC-Berkeley, and MBA from CSU-Hayward. He won a 2009 "Stevie" American Business Award for producing the best publication in its category. He is a former Publisher at IDG and Guest Lecturer at MIT. He splits most of his time between Silicon Valley and Southeast Asia, but can also be found at www.twitter.com/strukhoff
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The focus of Java EE 7 is on the cloud, and specifically it aims to bring Platform-as-a-Service providers and application developers together so that portable applications can be deployed on any cloud infrastructure and reap all its benefits in terms of scalability, elasticity, multitenancy, etc. The existing specifications in the platform such as JPA, Servlets, EJB, and others will be updated to meet these requirements.
Java EE 7 continues the ease of development push that characterized prior ...
With Cloud Expo 2012 New York (10th Cloud Expo) just four months away, what better time to start introducing you in greater detail to the distinguished individuals in our incredible Speaker Faculty for the technical and strategy sessions at the conference...
We have technical and strategy sessions for you every day from June 11 through June 14 dealing with every nook and cranny of Cloud Computing and Big Data, but what of those who are presenting? Who are they, where do they work, what else h...
Wide and cheap availability of cloud-based media services is upon us. With the transformations these services are already bringing to the consumption of music, video and interactive media, change has likewise come to professional workflows. Documents in 2012 are read, written, collaborated on, and distributed anywhere an Internet-enabled device can reach – which is to say, everywhere.
In his session at the 10th International Cloud Expo, Christopher Kenneally, Director of Business Development a...
I've been working on Enterprise Cloud Strategy and in the course of this work identified some interesting and non-obvious opportunities in the Cloud.
One solution I’ve examined is the well-crafted solution that is enStratus. enStratus has built a SaaS Cloud Management / Governance product focused on providing critical management, monitoring, governance capabilities tailored to the needs of the Global 2000 market, rather than the startup market. As I have worked with a current Fortune 500 clie...
With Cloud Expo 2012 New York (10th Cloud Expo) now under four months away, what better time to start introducing you in greater detail to the distinguished individuals in our incredible Speaker Faculty for the technical and strategy sessions at the conference...
We have technical and strategy sessions for you every day from June 11 through June 14 dealing with every nook and cranny of Cloud Computing and Big Data, but what of those who are presenting? Who are they, where do they work, what e...
2011 was a year of rapid adoption for public and private cloud services. Instant and on-demand server provisioning was the driving force behind the massive growth. On top, cloud server templates and script automation simplified application installation for simple and pre-defined application stacks, but have not targeted more complex enterprise application environments.
In his session at the 10th International Cloud Expo, John Yung, CEO of Appcara, will discuss how 2012 will be the year for app...
"Having been in the IT field for many years, I believe the cloud computing chapter in the industry is an exciting one and I am proud to be a part of it," said National Reconaissance Office (NRO) Chief Information Officer Jill T. Singer Tuesday, as it was announced that she was one of 10 winners of the 2012 CloudNOW "Top Ten Women in Cloud" Awards.
As more enterprises are adopting clouds, the nature of cloud computing is changing. Previously, clouds were used to test applications or for non-mission critical applications. Today, enterprises are using clouds for cost-saving advantages and launching more mission critical applications that have defined performance needs.
In his session at the 10th International Cloud Expo, Eric Shepcaro, CEO and Chairman of the Board of Telx, will discuss how distributed computing has many advantages. It wou...
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URI scheme enhancement allows passi...
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