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Moving forwards with cloud computing
IT News |
20/12/2011
At the start of 2011, IT analyst Gartner predicted cloud computing would be the number one priority for chief information officers (CIOs) this year. Adoption rates for hosted services suggest this forecast has proved accurate, as companies and organisations of all sizes have rushed to embrace hosted services this year.
Businesses are well aware of the need to reduce spending across the board, but without impacting on productivity or quality of output. And cloud computing helps achieve this important goal and much more. By outsourcing their IT to a third-party specialist, firms no longer have to commit capital expenditure to physical hardware, they can simply pay for technology services on-demand.
Crucially, cloud vendors offer more advanced IT services than many previously had access to, meaning that as well as cost reduction, hosted services can contribute to revenue growth. Employees can work faster, more effectively and from a variety of locations - helping businesses to maximise output and improve their profit margins.
For small businesses in particular, cloud computing has been a game changer. Previously, the majority would be unable to access sophisticated IT services due to a lack of up-front investment. But since hosted services are paid for simply on a per-use basis, they can take advantage of the same tools as their larger counterparts. Factor in small businesses' inherent mobility and agility, and such companies can compete more effectively.
The process of cloud adoption is set to continue into 2012, according to global consultancy KPMG. The Big Four giant claimed recently that 81 per cent of businesses are either planning, are in the early or advanced stages of experimentation, or already have full-on cloud implementations. Almost one quarter of executives surveyed said their organisation already runs all core IT services on the cloud (ten per cent) or is in transition to do so (13 per cent).
For 76 per cent of business leaders surveyed, economic factors were the primary driver of their move into the cloud. Some 80 per cent also said they were looking to improve processes, offering more agility across the enterprise.
Tudor Aw, KPMG's head of technology in the UK, pointed out that the cloud is becoming more of a business, rather than simply a technology, conversation. "In these harsh economic times, cloud computing should be considered by all companies that strive to reduce costs," he claimed. "Cloud adoption is quickly shifting from a competitive advantage to an operational necessity, enabling innovation that can create new business models and will impact the long-term growth opportunities and competitiveness of businesses."
Understandably, a significant shift in the way IT services are delivered to businesses is impacting on the way industry professionals work. A few years ago, IT departments were required to deploy and manage all servers, networks, hardware and software in-house, but this is no longer the case. With the majority of these duties outsourced to a specialist service provider, the role of the company IT professional is changing.
Some companies may use cloud computing as an excuse to downsize their IT departments, but on the whole, this does not appear to be happening. Skilled IT professionals are needed to manage the transition to private and public clouds, and also oversee daily operations from the client end. But an increasing number of firms are also recognising the importance of technology skills and experience to modern business processes, so rather than letting staff go, they are giving them new tasks or even re-deploying them in other areas of the business.
As Gartner explained, IT professionals have the insight needed to deliver maximum value from technology, and as such, professionals are being given roles which go beyond their traditional jurisdiction. It is becoming increasingly common for the IT department to influence, even guide overall organisational strategy, such as the importance of information technology in modern business.
In this sense, moves towards the cloud appear to be opening new doors for IT professionals. Hosted services are helping companies to reduce costs and operate more efficiently, which helps alleviate financial pressures and reduce the risk of redundancies. And with more advanced IT services being used in the workplace, businesses need individuals on hand who understand how to derive maximum value from IT.
They may be spending less time engineering and troubleshooting in the server room, and installing upgrades to business software, but IT professionals remain very much in demand. IT as a business function has become central to all else in many organisations, so while some of their traditional responsibilities may have ebbed away, cloud computing may be creating a new era of prosperity for IT professionals.
Posted by Stephen Wilkinson
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