Click here to close now.

Welcome!

Cloud Expo Authors: Liz McMillan, Pat Romanski, Elizabeth White, Carmen Gonzalez, John Wetherill

Related Topics: Cloud Expo, Microservices Journal, .NET, Virtualization, Big Data Journal, SDN Journal

Cloud Expo: Article

What CIOs Need to Consider When Migrating to Cloud Is the Next Big Move

The Great IT Debate

In enterprises across the globe, CIOs are looking cautiously in one direction: up - to the cloud. Migrating to the cloud changes not only the operations of the data center but also the roles of the CIO and IT staff. As a result, management must carefully weigh the pros and cons of shifting to cloud-based computing so that they can prepare their organizations and themselves for change that cascades across budgets, vendor relations, job descriptions and career paths, as well as infrastructure and processes.

The benefits of moving from an on-premises model to subscription-based, cloud-hosted computing are substantial. With cloud computing, CIOs have the opportunity to capitalize on a variable-cost structure. Until recently, data centers have needed to load up with hardware, software and networking devices to prepare for peak periods, even though these investments may lie underused or dormant for significant periods. Traditionally, IT costs only go up. By employing the cloud, however, IT departments pay for only the infrastructure and applications that they use, as they need them. They can easily scale up when the business grows or during peak selling seasons, then scale back if the economy shrinks. Over time, the cost of Software-as-a-Service subscriptions is far lower than that of licensing fees for software, middleware and databases, along with expenditures on hardware and staff to maintain it all.

Furthermore, cloud-based computing enables faster deployment of technology, since the enterprise needs only to add a subscription for a new employee, rather than configure permissions and upgrade data storage.

Equally important, migrating to the cloud substantially reduces pressure on the capital budget. The shift removes a huge amount of demand for data center infrastructure, since the cloud-computing vendor houses virtually all of the servers, networking systems and software.

Additionally, the cloud can relieve the CIO's team of the enormous amount of time and effort required to make upgrades and patches and to extend infrastructure. The CIO is traditionally responsible for ensuring these massive projects are completed in the right sequence and that changes are made in a compatible fashion. In a cloud environment, this demanding work goes away, with no need for patches or upgrades at the business level. The vendor manages it all.

Cloud computing also can make hiring decisions easier and more productive. Typically, finding and retaining people with the right set of skills to maintain and operate a data center has been frustratingly difficult. In a cloud environment, the vendor employs those individuals. As a result, the CIO gains the opportunity to refocus scarce and valuable IT resources on strategies and actions with much higher value to the company. In an on-premises center, routine maintenance and upgrading devours a great majority of the IT staff's time. Because staff is so consumed with must-do chores, the CIO seems to spend his career saying no to requests from the business for applications and capabilities that they really want. With cloud computing, the great majority of routine tasks disappear, freeing staff for more productive activity.

Another consideration is that the cloud environment is much more amenable to the bring-your-own-device trend that has been driving IT management to find ways to protect its networks from malware and misuse. Conventionally, on-premises systems block access with a big internal firewall; it's a system designed specifically to prevent connection of all but a limited set of outside devices. The cloud, on the other hand, is device-friendly. If you can access the Internet, you can work with vendor-hosted data from any type of mobile or desktop device.

Finally, cloud computing dramatically lowers the risk of obsolescence. The vendor automatically makes the latest version of cloud-based operating systems and applications available to every user, while ensuring the networking, storage and security systems evolve to meet the needs of all the vendor's customers.

While some have claimed that the sky's the limit for cloud computing, transitioning to the cloud environment can present difficulties and occasional obstacles that can draw CIOs back down to Earth. First of all, the CIO and the IT team need to develop a new skill. Previously, a large part of IT staff's role had been managing equipment, software and licenses; with the cloud, the CIO shifts to managing the relationship and subscriptions with the vendor. The job is completely different; instead of providing IT services directly to users, the CIO manages a third party that provides those services.

For IT staff, migration to the cloud potentially could be a career threat. For example, computer programmers who spend their days writing modifications to on-premises ERP systems lose that responsibility when the enterprise adopts cloud-based ERP. The CIO must decide what to do with these now displaced employees.

Similarly, a shift to the cloud may generate the perception that someone in the C-suite will decide to cut the CIO's headcount and budget. While this is not a common outcome, the perception may remain and impact productivity.

Working in the cloud, users and IT staff no longer have the ability to modify software. That may be a good thing or a difficult proposition, depending on the organization. Manufacturers of on-premises software traditionally have made their products as configurable as possible, since each release must be able to meet the needs of hundreds of thousands of different companies. Configuration is a process that IT has taken for granted on premises. In the cloud, software customization is very limited, with someone outside the organization controlling the applications.

A final consideration is that a fundamental change in relationships within the business may accompany migration to the cloud. With the on-premises model, users within the company depended solely on the IT department for their computing needs. In the cloud, the relationship changes to one between users and the vendor. It's the vendor that handles user requests, interacts with them and provides the services. Whereas the CIO once controlled and managed all the IT systems and information in the organization, the cloud suddenly empowers individual users and departments. They no longer need to go to the IT department. For some CIOs, this may be a welcome development; others may not wish to relinquish the connections they have nurtured with colleagues in the enterprise, or must seek to evolve them.

CIOs should carefully analyze the potential benefits and drawbacks of migrating to the cloud before making the leap. More resources to assist in that decision can be found at the Plex Systems Knowledge Center (www.plex.com/knowledge-center) and discussions of cloud computing by Microsoft (www. msdn.microsoft.com/en-us/magazine/ee309870.aspx) and Cisco (www.cisco.com/en/US/solutions/collateral/ns340/ns517/ns224/ns836/ns976/white_paper_c11-543729.html ).

More Stories By Jim Shepherd

As vice president of strategy, Jim Shepherd is responsible for defining the strategic direction of Plex Systems (Plex) with manufacturers across multiple industries and global markets. He has 40 years of leadership in manufacturing and technology. Prior to joining Plex, Shepherd was vice president and distinguished analyst for Gartner Inc., the world’s leading information technology research company. Among his many accomplishments, Shepherd was the first AMR research fellow.

Comments (1) View Comments

Share your thoughts on this story.

Add your comment
You must be signed in to add a comment. Sign-in | Register

In accordance with our Comment Policy, we encourage comments that are on topic, relevant and to-the-point. We will remove comments that include profanity, personal attacks, racial slurs, threats of violence, or other inappropriate material that violates our Terms and Conditions, and will block users who make repeated violations. We ask all readers to expect diversity of opinion and to treat one another with dignity and respect.


Most Recent Comments
rcopperman 06/21/13 01:59:00 PM EDT

Nice article from Jim at Plex. The other points to stress with movement to Cloud/SAAS is the importance of the back-end infrastructure related to access and availability. Eliminate as many single points of failure for getting and staying connected to the web. This should include redundant switches, routers, Firewalls, and so on. Also, must assure there is adequate bandwidth (dedicated if possible for business critical apps like ERP) and multi-points of access.

@CloudExpo Stories
The truth is, today’s databases are anything but agile – they are effectively static repositories that are cumbersome to work with, difficult to change, and cannot keep pace with application demands. Performance suffers as a result, and it takes far longer than it should to deliver new features and capabilities needed to make your organization competitive. As your application and business needs change, data repositories and structures get outmoded rapidly, resulting in increased work for applica...
The Workspace-as-a-Service (WaaS) market will grow to $6.4B by 2018. In his session at 16th Cloud Expo, Seth Bostock, CEO of IndependenceIT, will begin by walking the audience through the evolution of Workspace as-a-Service, where it is now vs. where it going. To look beyond the desktop we must understand exactly what WaaS is, who the users are, and where it is going in the future. IT departments, ISVs and service providers must look to workflow and automation capabilities to adapt to growing ...
The speed of product development has increased massively in the past 10 years. At the same time our formal secure development and SDL methodologies have fallen behind. This forces product developers to choose between rapid release times and security. In his session at DevOps Summit, Michael Murray, Director of Cyber Security Consulting and Assessment at GE Healthcare, examined the problems and presented some solutions for moving security into the DevOps lifecycle to ensure that we get fast AND ...
From telemedicine to smart cars, digital homes and industrial monitoring, the explosive growth of IoT has created exciting new business opportunities for real time calls and messaging. In his session at @ThingsExpo, Ivelin Ivanov, CEO and Co-Founder of Telestax, shared some of the new revenue sources that IoT created for Restcomm – the open source telephony platform from Telestax. Ivelin Ivanov is a technology entrepreneur who founded Mobicents, an Open Source VoIP Platform, to help create, de...
The Internet of Things (IoT) promises to evolve the way the world does business; however, understanding how to apply it to your company can be a mystery. Most people struggle with understanding the potential business uses or tend to get caught up in the technology, resulting in solutions that fail to meet even minimum business goals. In his session at @ThingsExpo, Jesse Shiah, CEO / President / Co-Founder of AgilePoint Inc., showed what is needed to leverage the IoT to transform your business. ...
In his session at DevOps Summit, Tapabrata Pal, Director of Enterprise Architecture at Capital One, will tell a story about how Capital One has embraced Agile and DevOps Security practices across the Enterprise – driven by Enterprise Architecture; bringing in Development, Operations and Information Security organizations together. Capital Ones DevOpsSec practice is based upon three "pillars" – Shift-Left, Automate Everything, Dashboard Everything. Within about three years, from 100% waterfall, C...
Skeuomorphism usually means retaining existing design cues in something new that doesn’t actually need them. However, the concept of skeuomorphism can be thought of as relating more broadly to applying existing patterns to new technologies that, in fact, cry out for new approaches. In his session at DevOps Summit, Gordon Haff, Senior Cloud Strategy Marketing and Evangelism Manager at Red Hat, will discuss why containers should be paired with new architectural practices such as microservices ra...
With the arrival of the Big Data revolution, a data professional is expected to master a broad spectrum of complex domains including data processing, mathematics, programming languages, machine learning techniques, and business knowledge. While this mastery is undoubtedly important, this narrow focus on tool usage has divorced many from the imagination required to solve real-world problems. As the demand for analysis increases, the data science community must transform from tool experts to "data...
Thanks to Docker, it becomes very easy to leverage containers to build, ship, and run any Linux application on any kind of infrastructure. Docker is particularly helpful for microservice architectures because their successful implementation relies on a fast, efficient deployment mechanism – which is precisely one of the features of Docker. Microservice architectures are therefore becoming more popular, and are increasingly seen as an interesting option even for smaller projects, instead of bein...
Grow your business with enterprise wearable apps using SAP Platforms and Google Glass. SAP and Google just launched the SAP and Google Glass Challenge, an opportunity for you to innovate and develop the best Enterprise Wearable App using SAP Platforms and Google Glass and gain valuable market exposure. In his session at @ThingsExpo, Brian McPhail, Senior Director of Business Development, ISVs & Digital Commerce at SAP, outlined the timeline of the SAP Google Glass Challenge and the opportunity...
DevOps tends to focus on the relationship between Dev and Ops, putting an emphasis on the ops and application infrastructure. But that’s changing with microservices architectures. In her session at DevOps Summit, Lori MacVittie, Evangelist for F5 Networks, will focus on how microservices are changing the underlying architectures needed to scale, secure and deliver applications based on highly distributed (micro) services and why that means an expansion into “the network” for DevOps.
The 3rd International @ThingsExpo, co-located with the 16th International Cloud Expo – to be held June 9-11, 2015, at the Javits Center in New York City, NY – is now accepting Hackathon proposals. Hackathon sponsorship benefits include general brand exposure and increasing engagement with the developer ecosystem. At Cloud Expo 2014 Silicon Valley, IBM held the Bluemix Developer Playground on November 5 and ElasticBox held the DevOps Hackathon on November 6. Both events took place on the expo fl...
In his session at DevOps Summit, Tapabrata Pal, Director of Enterprise Architecture at Capital One, will tell a story about how Capital One has embraced Agile and DevOps Security practices across the Enterprise – driven by Enterprise Architecture; bringing in Development, Operations and Information Security organizations together. Capital Ones DevOpsSec practice is based upon three "pillars" – Shift-Left, Automate Everything, Dashboard Everything. Within about three years, from 100% waterfall, C...
As enterprises look to take advantage of the cloud, they need to understand the importance of safeguarding their confidential and sensitive data in cloud environments. Enterprises must protect their data from (i) system administrators who don't need to see the data in the clear and (ii) adversaries who become system administrators from stolen credentials. In short, enterprises must take control of their data: The best way to do this is by using advanced encryption, centralized key management and...
DevOps Summit 2015 New York, co-located with the 16th International Cloud Expo - to be held June 9-11, 2015, at the Javits Center in New York City, NY - announces that it is now accepting Keynote Proposals. The widespread success of cloud computing is driving the DevOps revolution in enterprise IT. Now as never before, development teams must communicate and collaborate in a dynamic, 24/7/365 environment. There is no time to wait for long development cycles that produce software that is obsolete...
A new definition of Big Data & the practical applications of the defined components & associated technical architecture models This presentation introduces a new definition of Big Data, along with the practical applications of the defined components and associated technical architecture models. In his session at Big Data Expo, Tony Shan will start with looking into the concept of Big Data and tracing back the first definition by Doug Laney, and then he will dive deep into the description of 3V...
SYS-CON Events announced today that Gridstore™, the leader in hyper-converged infrastructure purpose-built to optimize Microsoft workloads, will exhibit at SYS-CON's 16th International Cloud Expo®, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. Gridstore™ is the leader in hyper-converged infrastructure purpose-built for Microsoft workloads and designed to accelerate applications in virtualized environments. Gridstore’s hyper-converged infrastructure is the ...
What are the benefits of using an enterprise-grade orchestration platform? In their session at 15th Cloud Expo, Nate Gordon, Director of Technology at Appcore, and Kedar Poduri, Senior Director of Product Management at Citrix Systems, took a closer look at the architectural design factors needed to support diverse workloads and how to run these workloads efficiently as a service provider. They also discussed how to deploy private cloud environments in 15 minutes or less.
Cryptography has become one of the most underappreciated, misunderstood components of technology. It’s too easy for salespeople to dismiss concerns with three letters that nobody wants to question. ‘Yes, of course, we use AES.’ But what exactly are you trusting to be the ultimate guardian of your data? Let’s face it – you probably don’t know. An organic, grass-fed Kobe steak is a far cry from a Big Mac, but they’re both beef, right? Not exactly. Crypto is the same way. The US government require...
of cloud, colocation, managed services and disaster recovery solutions, will exhibit at SYS-CON's 16th International Cloud Expo®, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. TierPoint, LLC, is a leading national provider of information technology and data center services, including cloud, colocation, disaster recovery and managed IT services, with corporate headquarters in St. Louis, MO. TierPoint was formed through the strategic combination of some of t...