Moving to the Cloud - Risk vs. Reward


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Moving to the Cloud - Risk vs. Reward.

Presented at Green Data Center Conference: Innovation in the Cloud, by Steven Robert in San Francisco, CA - May 25th, 2011.

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Moving to the Cloud - Risk vs. Reward

  1. 1. Moving to the Cloud<br />Risk vs. Reward<br />@StevenRobert<br />Chief Information Officer<br /><br />
  2. 2. ‘Quickbooks’ for Communities:<br />11 YearsOld<br />Sustained 5-Year AnnualizedGrowth > 70%<br />Transact ~$5M/Per Day (>$4B cumulative)<br />Approaching 1M Customers!<br />~10M Pageviews/Month<br />Online Billing, DonationsDues/FeesCollection<br />[Patent-Pending] Cash & AccountingIntegration<br />Membership Management<br />
  3. 3. Alphabet Soup<br />Cloud (Private, Public, Hybrid, Cloud 2.0)<br />SaaS, PaaS, IaaS, NaaS, DaaS, CaaS<br />100% Web<br />3-Screens<br />Ellison?<br />*Image Courtesy: Wikipedia<br />
  4. 4. Defined<br />Platform or “Service”accessed over a network to provideadvanced, often transparent functionality for mass consumption and high-availability.<br />Seasonal or as-neededutilizationis a classic use-case<br />Evolutionary:ASP-> SaaS-> PaaS = Cloud.<br />
  5. 5. Innovation Sources<br />Technology Maturity <br />Adoption<br />
  6. 6. Trends<br />Innovation<br />Local motors can take a car from concept to creation in under 18 months. (Wired Magazine)<br />Collaboration<br />81% correlation between collaboration and innovation. (Future Foundation, 2010)<br />Social<br />By 2012, 50% of businesses will use micro-blogging (Gartner, 2010)<br />Mobility<br />Smartphone sales to exceed desktop and notebook PCs in 2012. (Morgan Stanley, 2010)<br />
  7. 7. Challenges<br />Inhibitors Restricting Your Ability to Adapt:<br />$8 out of $10 spent in IT is ‘dead money’, not contributing to business change or growth (Source: Garner, 2010)<br />Complex Interfaces; applications often built for business process vs. usability<br />Device Centric; limited productivity, restricted dependencies, minimal collaboration.<br />
  8. 8. IT Value is Dead.Long Live Business Value<br />Business Outcomes Are The Real And OnlyMeasure of IT Worth<br />Shift FromAlignment To Engagement<br />There Are No IT Projects (Really!)<br />Enter: Revenue Performance Management<br />
  9. 9. Opportunities<br />Speed To Market<br />Leverage 3rd Party APIs, Ecosystems and Frameworks<br />Continuous Improvement; Fail Fast & Cheap<br />Research & Development<br />High Performance Computing<br />“Cloud-Bursting”<br />Agile Business Transformation<br />Hybrid; Bridge Solutions to Migrate Toward Web<br />Less Dollars Toward Infrastructure, More to Innovation<br />
  10. 10. Transformation<br />Cloud Driven By: Users & Customers<br />Expectations Have Changed<br />Information Based Technology<br />Answer Business Problems First<br />Ability To Be More SurgicalWhenMigrating<br />Think Differently<br />Add Value Quickly. Shorten Feedback Loops<br />Change Mindset; Not A Marathon, Series Of Sprints<br />Time to Value<br />
  11. 11. Example<br />BillhighwaySends>1M Emails/Month<br />Outbound (via SendGrid/Return Path)<br />Best Practices, DKIM, SPF<br />96% Delivery Rate<br />Inbound (via MXLogic; now McAfee) <br />>90% Spam (Filtered Prior To Our Network)<br />Inbound Protection: AV/Anti-Spam & HA<br />Full Time Staff: 0<br />
  12. 12. Truths<br />Not All Clouds Are CreatedEqual<br />Truly Disruptive!<br />Poor Connectivity != Cloud<br />Standards Not FullyBaked<br />GRC Still In Infancy<br />Consumerization of IT (Simplicity, UX)<br />Cloud = Modern Mainframe?<br />
  13. 13. Live by the Cloud,<br />Die by the Cloud<br />Amazon Cloud Goes Down, TakesEvery Hot Startup With It. (April, 2011)<br />
  14. 14. Magic Quadrant<br />Comm-puting?<br />Cisco, HP, IBM <br />Verizon/Terremarkpartnership w/SAP?<br />Conservative vs. Progressive?<br />
  15. 15. Risks<br />AssessYourRiskAppetite: <br />MaturityLevels, Security, Compliance, Performance, Reliability<br />Reliquishing Control of IT Assets<br />HedgeRisk w/Cloud Broker?<br />Service Intermediation<br />Aggregation<br />Arbitrage<br />
  16. 16. Guidance<br />Don’t Move for Technology Sake<br />IdentifyWhat’sBroken<br />Where Is Value, Lost or Opportunity?<br />Embrace Change<br />Consumers Are Driving Force<br />Reduce Friction With An Open Mind<br />PresentActionable Information<br />Context Is Everything<br />
  17. 17. Questions?<br />Twitter: @stevenRobert<br />Email:<br />