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1
THE SHORTEST PATH
TO CLOUD SUCCESS:
YOUR ROADMAP
EBOOK
0 COVER
TABLE
O
F
C
O
N
TEN
TS
For more information
Legal
+
PREVIOUS NEXT
SLOW DOWN:
MAP YOUR PATH
TO CLOUD SUCCESS +2
chapter
MAK...
It’s easy to think you should rush into a
technology such as cloud, which offers so
many opportunities—and not just for yo...
This ebook gives you the key steps to create an effec-
tive roadmap that supports your business needs and
long-term career...
SLOW DOWN:
MAP YOUR PATH TO
CLOUD SUCCESS
No matter what industry you’re in, building a
roadmap to cloud success requires ...
page 2 of 11
?
?+
CLOSE X
Slow down: Map your path to cloud successCHAPTER 2
PREVIOUS NEXT
TABLE OF CONTENTS
BACK TO
RETAI...
A TELECOMMUNICATIONS PERSPECTIVE:
Maximizing business opportunities
For telecommunications companies, the cloud environmen...
A TELECOMMUNICATIONS PERSPECTIVE:
Maximizing business opportunities
For telecommunications companies, the cloud environmen...
A TELECOMMUNICATIONS PERSPECTIVE:
Maximizing business opportunities
For telecommunications companies, the cloud environmen...
A TELECOMMUNICATIONS PERSPECTIVE:
Maximizing business opportunities
For telecommunications companies, the cloud environmen...
A TELECOMMUNICATIONS PERSPECTIVE:
Maximizing business opportunities
For telecommunications companies, the cloud environmen...
A RETAIL PERSPECTIVE:
Prioritizing customer engagement
For retailers, optimizing customer engagement is a top reason for d...
A RETAIL PERSPECTIVE:
Prioritizing customer engagement
For retailers, optimizing customer engagement is a top reason for d...
A RETAIL PERSPECTIVE:
Prioritizing customer engagement
For retailers, optimizing customer engagement is a top reason for d...
A RETAIL PERSPECTIVE:
Prioritizing customer engagement
For retailers, optimizing customer engagement is a top reason for d...
A RETAIL PERSPECTIVE:
Prioritizing customer engagement
For retailers, optimizing customer engagement is a top reason for d...
A RETAIL PERSPECTIVE:
Prioritizing customer engagement
For retailers, optimizing customer engagement is a top reason for d...
A BANKING PERSPECTIVE:
Balancing convenience with compliance
In banking, customer intimacy, choice and convenience are all...
A BANKING PERSPECTIVE:
Balancing convenience with compliance
In banking, customer intimacy, choice and convenience are all...
A BANKING PERSPECTIVE:
Balancing convenience with compliance
In banking, customer intimacy, choice and convenience are all...
A BANKING PERSPECTIVE:
Balancing convenience with compliance
In banking, customer intimacy, choice and convenience are all...
A BANKING PERSPECTIVE:
Balancing convenience with compliance
In banking, customer intimacy, choice and convenience are all...
A BANKING PERSPECTIVE:
Balancing convenience with compliance
In banking, customer intimacy, choice and convenience are all...
page 6 of 11
?+
CLOSE X
Slow down: Map your path to cloud successCHAPTER 2
PREVIOUS NEXT
TABLE OF CONTENTS
BACK TO
?
Which...
A TELECOMMUNICATIONS PERSPECTIVE:
Prioritizing back-office workloads
Even the smallest telecommunications company could ha...
A RETAIL PERSPECTIVE:
Capitalizing on ready-to-move application functions
When considering marketing within a retail envir...
A BANKING PERSPECTIVE:
Focusing on value and flexibility
The cloud is an ideal opportunity for banks to build more respons...
HOW CAN YOU BUILD CREDIBILITY, SUPPORT AND MOMENTUM?
How can you create evangelists for
cloud—and your cloud roadmap?
To u...
Part of getting leadership buy-in is sharing quick and easy wins.
But moving to any new infrastructure is never easy; one ...
Building your roadmap is a major milestone in the journey
to cloud. But, as you know, journeys like this rarely go
exactly...
For more information
For more information on other cloud topics,
visit The Steps to Cloud Expertise Series at:
ibm.com/clo...
© Copyright IBM Corporation 2014
IBM Corporation
Software Group
Route 100
Somers, NY 10589
Produced in the United States o...
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IBM cloud e book

  1. 1. 1 THE SHORTEST PATH TO CLOUD SUCCESS: YOUR ROADMAP EBOOK 0 COVER
  2. 2. TABLE O F C O N TEN TS For more information Legal + PREVIOUS NEXT SLOW DOWN: MAP YOUR PATH TO CLOUD SUCCESS +2 chapter MAKE YOUR STRATEGY A REALITY +3 chapter 1 chapter INTRODUCTION: ARE YOU RUSHING BLINDLY INTO THE CLOUD? + TABLE OF CONTENTS 0 TABLE OF CONTENTS
  3. 3. It’s easy to think you should rush into a technology such as cloud, which offers so many opportunities—and not just for your enterprise, but also for your career. How- ever, realizing the full potential of cloud for your organization requires a well-planned, strategic approach—a detailed roadmap— that builds your expertise, credibility and the leadership value of your IT department. ARE YOU RUSHING BLINDLY INTO THE CLOUD? page 1 of 2 PREVIOUS NEXT Are you rushing blindly into the cloud?CHAPTER 1 TABLE OF CONTENTS BACK TO 1.1 INTRODUCTION (p.1)
  4. 4. This ebook gives you the key steps to create an effec- tive roadmap that supports your business needs and long-term career goals. Creating a roadmap can not only help you lead your department by driving better business results faster; it can also allow you to identify and solve new demands around technology integra- tion, skill development, security and other complexities that might otherwise derail your success. page 2 of 2 PREVIOUS NEXT Are you rushing blindly into the cloud?CHAPTER 1 TABLE OF CONTENTS BACK TO 1.2 INTRODUCTION (p.2)
  5. 5. SLOW DOWN: MAP YOUR PATH TO CLOUD SUCCESS No matter what industry you’re in, building a roadmap to cloud success requires answering three important questions. Keep in mind that these questions may be addressed individually or concurrently, but all need to be factored into the development of your roadmap. To help you get started, explore each section to learn how IT professionals in different industries are finding the answers they need. Their challenges and considerations can provide relevant insight as you map your own path. page 1 of 11 PREVIOUS NEXT TABLE OF CONTENTS BACK TO Slow down: Map your path to cloud successCHAPTER 2 What’s the right cloud environment? How can you build credibility, support and momentum? Which workloads should you deploy first? ? + ? + ? + 2.1 MAP YOUR CLOUD –Main
  6. 6. page 2 of 11 ? ?+ CLOSE X Slow down: Map your path to cloud successCHAPTER 2 PREVIOUS NEXT TABLE OF CONTENTS BACK TO RETAILTELECOMMUNICATIONS BANKING WHAT’S THE RIGHT CLOUD ENVIRONMENT? Custom-make your cloud For the past several years, IT leaders have debated how cloud computing will affect their businesses and whether it is best to adopt a public or private cloud solution. While the pro–public cloud crowd has long argued that the only way to go is con- suming IT and related services as a pay-per-use model, the pro–private cloud camp is quick to remind clients that enabling private cloud capabilities provides the highest levels of manage- ment visibility, control, security, privacy and physical proximity to data. So what’s the real answer? It’s different for every business and depends largely on your business goals and challenges, IT limitations, and investment priorities. Take a look at the following industries, their common challenges and how they solved these challenges with cloud technology. What’s the right cloud environment? 2.2.A MAP YOUR CLOUD –Question 1
  7. 7. A TELECOMMUNICATIONS PERSPECTIVE: Maximizing business opportunities For telecommunications companies, the cloud environment selection process is strongly influenced by the scale and history of their existing technology investments combined with the level of in-house technology skills they possess. Understanding how these factors influence their cloud environment decisions can provide insight for you as you develop your own roadmap. What’s driving this cloud decision? Significant existing technology investments and in-house IT skills telecommunications ? page 3 of 11 TELECOMMUNICATIONS GOALS AND LIMITATIONS KEY CONSIDERATIONS CHANGING COMPANY, CHANGING CLOUD POTENTIAL PITFALLS CLOSE X Slow down: Map your path to cloud successCHAPTER 2 PREVIOUS NEXT TABLE OF CONTENTS BACK TO BANKING ?+ A telecommunications perspective RETAIL 2.2.B1 MAP YOUR CLOUD –Q1 /Telco (Main)
  8. 8. A TELECOMMUNICATIONS PERSPECTIVE: Maximizing business opportunities For telecommunications companies, the cloud environment selection process is strongly influenced by the scale and history of their existing technology investments combined with the level of in-house technology skills they possess. Understanding how these factors influence their cloud environment decisions can provide insight for you as you develop your own roadmap. A telecommunications perspective RETAIL page 3 of 11 TELECOMMUNICATIONS GOALS AND LIMITATIONS When a company lacks the agility and flexibility to meet business opportunities because of the limitations of its IT infrastructure, it may be time to consider the benefits offered through cloud computing. Cloud can help you deliver technology services quickly against a rapidly evolving marketplace. Many telecommunications companies have made significant investments in data center technologies and assets. In doing so, they have also developed many of the in-house technology skills required for cloud. To maximize the value of all those investments, their cloud roadmap begins in a private cloud environment. In fact, many of these companies have become cloud service providers them- selves, leveraging the early adoption of cloud technologies to meet the needs of their own clients. KEY CONSIDERATIONS DIFFERENT GOALS MAY LEAD TO DIFFERENT ANSWERS POTENTIAL PITFALLS CLOSE X Slow down: Map your path to cloud successCHAPTER 2 PREVIOUS NEXT TABLE OF CONTENTS BACK TO BANKING ?+ 2.2.B2 MAP YOUR CLOUD –Q1 /Telco (goal)
  9. 9. A TELECOMMUNICATIONS PERSPECTIVE: Maximizing business opportunities For telecommunications companies, the cloud environment selection process is strongly influenced by the scale and history of their existing technology investments combined with the level of in-house technology skills they possess. Understanding how these factors influence their cloud environment decisions can provide insight for you as you develop your own roadmap. ?+ RETAIL page 3 of 11 TELECOMMUNICATIONS GOALS AND LIMITATIONS KEY CONSIDERATIONS Every company’s cloud needs are distinct, but there are some considerations that every IT professional should think about when planning for cloud: • Control: A private cloud can give you more control over your data, mission-critical workloads and possibly security. When your data travels across state and country lines, you’re at the mercy of their changing breach protection laws. • Compliance: A private cloud can provide greater visibility into the environ- ment, making it easier for highly regulated industries to demonstrate compliance. DIFFERENT GOALS MAY LEAD TO DIFFERENT ANSWERS POTENTIAL PITFALLS CLOSE X Slow down: Map your path to cloud successCHAPTER 2 PREVIOUS NEXT TABLE OF CONTENTS BACK TO BANKING A telecommunications perspective 5.2.C INNOVATIVE SECURITY (fine grained - benefit)2.2.B3 MAP YOUR CLOUD –Q1 /Telco (key consideration)
  10. 10. A TELECOMMUNICATIONS PERSPECTIVE: Maximizing business opportunities For telecommunications companies, the cloud environment selection process is strongly influenced by the scale and history of their existing technology investments combined with the level of in-house technology skills they possess. Understanding how these factors influence their cloud environment decisions can provide insight for you as you develop your own roadmap. A telecommunications perspective ?+ RETAIL page 3 of 11 TELECOMMUNICATIONS GOALS AND LIMITATIONS KEY CONSIDERATIONS DIFFERENT GOALS MAY LEAD TO DIFFERENT ANSWERS For most companies and industries, the roadmap to cloud will consist of multiple phases that ultimately employ cloud capabilities in a variety of ways. IT organiza- tions, such as those in telecommunications that have invested heavily in technol- ogy assets and skills, may begin the cloud journey by transforming their data centers to private clouds. But private clouds will not always be the right answer. Although private cloud may be the right starting point in this scenario, other companies may find that a public cloud environment is the better answer based on other business factors or needs. For instance, if the business is migrating to a new customer relationship management (CRM) or salesforce automation appli- cation, it may make sense to use an off-the-shelf solution served out of a public cloud. That approach can help the IT organization focus on transforming its existing technology assets to cloud without slowing down other strategic busi- ness initiatives. POTENTIAL PITFALLS CLOSE X Slow down: Map your path to cloud successCHAPTER 2 PREVIOUS NEXT TABLE OF CONTENTS BACK TO BANKING 2.2.B4 MAP YOUR CLOUD –Q1 /Telco (different goal)
  11. 11. A TELECOMMUNICATIONS PERSPECTIVE: Maximizing business opportunities For telecommunications companies, the cloud environment selection process is strongly influenced by the scale and history of their existing technology investments combined with the level of in-house technology skills they possess. Understanding how these factors influence their cloud environment decisions can provide insight for you as you develop your own roadmap. RETAIL page 3 of 11 TELECOMMUNICATIONS GOALS AND LIMITATIONS KEY CONSIDERATIONS CHANGING COMPANY, CHANGING CLOUD POTENTIAL PITFALLS As with every new technology, there are some important and common issues that you should plan for, including: • Security: Your team has to keep track of multiple security platforms. • Increased operational complexity: The management requirements of cloud computing become much more complex when you’re managing private, public and traditional data centers together, unless you have the right management tools. CLOSE X Slow down: Map your path to cloud successCHAPTER 2 PREVIOUS NEXT TABLE OF CONTENTS BACK TO ?+ BANKING A telecommunications perspective 2.2.B5 MAP YOUR CLOUD –Q1 /Telco (pitfalls)
  12. 12. A RETAIL PERSPECTIVE: Prioritizing customer engagement For retailers, optimizing customer engagement is a top reason for deploying to the cloud. Yet many may not have the infrastructure investments or technology skills required to begin the cloud journey with a private environment. Understanding how these factors influence their selection of a cloud environment can provide some key insights if you have similar priorities. What’s driving this cloud decision? The need to engage with customers quickly and innovatively GOALS AND LIMITATIONS KEY CONSIDERATIONS CHANGING COMPANY, CHANGING CLOUD POTENTIAL PITFALLS retail ? A retail perspective page 4 of 11 TELECOMMUNICATIONS CLOSE X Slow down: Map your path to cloud successCHAPTER 2 PREVIOUS NEXT TABLE OF CONTENTS BACK TO ?+ BANKINGRETAIL 2.2.C1 MAP YOUR CLOUD –Q1/Retail (main)
  13. 13. A RETAIL PERSPECTIVE: Prioritizing customer engagement For retailers, optimizing customer engagement is a top reason for deploying to the cloud. Yet many may not have the infrastructure investments or technology skills required to begin the cloud journey with a private environment. Understanding how these factors influence their selection of a cloud environment can provide some key insights if you have similar priorities. GOALS AND LIMITATIONS KEY CONSIDERATIONS CHANGING COMPANY, CHANGING CLOUD POTENTIAL PITFALLS What’s driving this cloud decision? The need to engage with customers quickly and innovatively retail ? A retail perspective TELECOMMUNICATIONS page 4 of 11 RETAIL CLOSE X Slow down: Map your path to cloud successCHAPTER 2 PREVIOUS NEXT TABLE OF CONTENTS BACK TO ?+ BANKING CLOSE X OF IT ORGANIZATIONS WILL PURSUE AN INTERNAL HYBRID IT STRATEGY.1 74% 2015 1 Gartner, “Hybrid Clouds and Hybrid IT: The Next Frontier,” September 9, 2014. BY 2015, 2.2.C1 MAP YOUR CLOUD–Q1/Retail (main) - popUp
  14. 14. A RETAIL PERSPECTIVE: Prioritizing customer engagement For retailers, optimizing customer engagement is a top reason for deploying to the cloud. Yet many may not have the infrastructure investments or technology skills required to begin the cloud journey with a private environment. Understanding how these factors influence their selection of a cloud environment can provide some key insights if you have similar priorities. A retail perspective GOALS AND LIMITATIONS For retailers, increasing application speed and performance, enhancing mobile capabilities, and harnessing data to create a single view of the customer are all essential to better customer engagement. However, general low levels of investment in infrastructure and data centers can put these goals out of reach by requiring capital expenditures and technology skills that go beyond the company’s ability or appetite. Rapid adoption of technology by consumers has created new shopping experi- ence expectations, accelerating the pace at which retailers adopt and deploy technologies. Driven to enhance the customer experience, retailers now deploy technology at such a high rate that staff skills are falling behind IT innovations. To ramp up their ability to capitalize on new opportunities quickly and cost- effectively, retailers will likely begin their roadmap in a public cloud environment. KEY CONSIDERATIONS CHANGING COMPANY, CHANGING CLOUD POTENTIAL PITFALLS TELECOMMUNICATIONS page 4 of 11 RETAIL CLOSE X Slow down: Map your path to cloud successCHAPTER 2 PREVIOUS NEXT TABLE OF CONTENTS BACK TO ?+ BANKING 2.2.C2 MAP YOUR CLOUD–Q1/Retail (goals)
  15. 15. A RETAIL PERSPECTIVE: Prioritizing customer engagement For retailers, optimizing customer engagement is a top reason for deploying to the cloud. Yet many may not have the infrastructure investments or technology skills required to begin the cloud journey with a private environment. Understanding how these factors influence their selection of a cloud environment can provide some key insights if you have similar priorities. ?+ BANKING A retail perspective GOALS AND LIMITATIONS KEY CONSIDERATIONS Every company’s cloud needs are distinct, but a few key considerations are consistent when it comes to determining environments that optimize customer engagement: • Increased integration: You need the ability to integrate new applications, such as mobile, with existing applications and systems. Although it may not be critical at the onset, systems integration will be required before fragmen- tation begins to hinder performance and flexibility. • Compliance: Public environments can make it easier for businesses to take advantage of cloud, but some trade-offs are required. However, customer experience shouldn’t be one of them. Understanding the service level agree- ments (SLAs) offered by a public cloud provider and how the provider ensures they’ll be met is an important consideration when evaluating providers. CHANGING COMPANY, CHANGING CLOUD POTENTIAL PITFALLS TELECOMMUNICATIONS page 4 of 11 RETAIL CLOSE X Slow down: Map your path to cloud successCHAPTER 2 PREVIOUS NEXT TABLE OF CONTENTS BACK TO 2.2.C3 MAP YOUR CLOUD –Q1/Retail (key considerations)
  16. 16. A RETAIL PERSPECTIVE: Prioritizing customer engagement For retailers, optimizing customer engagement is a top reason for deploying to the cloud. Yet many may not have the infrastructure investments or technology skills required to begin the cloud journey with a private environment. Understanding how these factors influence their selection of a cloud environment can provide some key insights if you have similar priorities. GOALS AND LIMITATIONS KEY CONSIDERATIONS CHANGING COMPANY, CHANGING CLOUD For most companies and industries, the roadmap to cloud is likely to consist of multiple phases that ultimately employ cloud capabilities in a number of ways. Retailers, for example, may find that a public environment represents the fast- est and most cost-effective way to take advantage of cloud initially. However, as the organization builds the experience and skills required to manage a cloud environment, new possibilities will be created that call for the unique character- istics of a private cloud. Many retailers may, in fact, ultimately operate within a hybrid environment, using a public cloud to build and deploy applications that enhance customer engagement and a private cloud to support existing systems and sensitive customer data. POTENTIAL PITFALLS ?+ BANKING A retail perspective TELECOMMUNICATIONS page 4 of 11 RETAIL CLOSE X Slow down: Map your path to cloud successCHAPTER 2 PREVIOUS NEXT TABLE OF CONTENTS BACK TO 2.2.C4 MAP YOUR CLOUD–Q1/Retail (changing company)
  17. 17. A RETAIL PERSPECTIVE: Prioritizing customer engagement For retailers, optimizing customer engagement is a top reason for deploying to the cloud. Yet many may not have the infrastructure investments or technology skills required to begin the cloud journey with a private environment. Understanding how these factors influence their selection of a cloud environment can provide some key insights if you have similar priorities. GOALS AND LIMITATIONS KEY CONSIDERATIONS CHANGING COMPANY, CHANGING CLOUD POTENTIAL PITFALLS Some important and common issues to watch out for when making your final decisions include: • Application isolation: Applications all need to interact with one another and share information. • Overlooking workload impact on other systems: After workloads move to the cloud, don’t lose sight of their effect on other information systems. The more you understand the affinity of information flow and sharing between applications, the better you’re able to create manageable chunks of work- flow information that can move to the cloud. A retail perspective BANKINGTELECOMMUNICATIONS page 4 of 11 RETAIL CLOSE X Slow down: Map your path to cloud successCHAPTER 2 PREVIOUS NEXT TABLE OF CONTENTS BACK TO ?+ 2.2.C4 MAP YOUR CLOUD –Q1/Retail (pitfalls)
  18. 18. A BANKING PERSPECTIVE: Balancing convenience with compliance In banking, customer intimacy, choice and convenience are all top reasons for deploying applications to the cloud, but doing so can be complex, risky and costly. It all depends on the characteristics of the workloads being moved and how they are integrated with other, often-customized systems of record and external parties. Many banks are seeking assistance in determining which applications should be maintained on premises or off premises. Understanding the key factors influencing their decisions can provide some key insights if you have similar priorities. CLOSE X GOALS AND LIMITATIONS KEY CONSIDERATIONS SMALL STEPS TOWARDS HYBRID POTENTIAL PITFALLS What’s driving this cloud decision? The delicate balance between connectivity and privacy banking ? ?+ A banking perspective RETAILTELECOMMUNICATIONS page 5 of 11 Slow down: Map your path to cloud successCHAPTER 2 PREVIOUS NEXT TABLE OF CONTENTS BACK TO BANKING 2.2.D1 MAP YOUR CLOUD –Q1/Banking (main)
  19. 19. A BANKING PERSPECTIVE: Balancing convenience with compliance In banking, customer intimacy, choice and convenience are all top reasons for deploying applications to the cloud, but doing so can be complex, risky and costly. It all depends on the characteristics of the workloads being moved and how they are integrated with other, often-customized systems of record and external parties. Many banks are seeking assistance in determining which applications should be maintained on premises or off premises. Understanding the key factors influencing their decisions can provide some key insights if you have similar priorities. CLOSE X GOALS AND LIMITATIONS KEY CONSIDERATIONS SMALL STEPS TOWARDS HYBRID POTENTIAL PITFALLS What’s driving this cloud decision? The delicate balance between connectivity and privacy ? banking ?+ A banking perspective RETAILTELECOMMUNICATIONS page 5 of 11 Slow down: Map your path to cloud successCHAPTER 2 PREVIOUS NEXT TABLE OF CONTENTS BACK TO BANKING CLOSE X OF COMPANIES REPORT HAVING ALL THE CLOUD SKILLS THEY NEED.2 14% 14 2 IBM, Raising the game: The IBM Business Tech Trends Study, September 2014. ONLY 6.1 SECURITY APPROACHES (p.1) 2.2.D1 MAP YOUR CLOUD –Q1/Banking (main) - popUp
  20. 20. A BANKING PERSPECTIVE: Balancing convenience with compliance In banking, customer intimacy, choice and convenience are all top reasons for deploying applications to the cloud, but doing so can be complex, risky and costly. It all depends on the characteristics of the workloads being moved and how they are integrated with other, often-customized systems of record and external parties. Many banks are seeking assistance in determining which applications should be maintained on premises or off premises. Understanding the key factors influencing their decisions can provide some key insights if you have similar priorities. CLOSE X GOALS AND LIMITATIONS Like so many other organizations, banks want to connect with customers directly and are rapidly taking advantage of customer-facing technologies, such as mobile apps, to drive customer engagement. But they have to balance their desire for customer intimacy with their industry’s stringent privacy standards and regula- tions. A cloud strategy based on a hybrid environment—private to ensure that sensitive customer data is protected and public to rapidly develop new customer- facing applications—allows them to address both critical business needs. KEY CONSIDERATIONS SMALL STEPS TOWARDS HYBRID POTENTIAL PITFALLS A banking perspective page 5 of 11 Slow down: Map your path to cloud successCHAPTER 2 PREVIOUS NEXT TABLE OF CONTENTS BACK TO ?+ RETAILTELECOMMUNICATIONS BANKING 2.5.D2 MAP YOUR CLOUD –Q1/Banking (goals)
  21. 21. A BANKING PERSPECTIVE: Balancing convenience with compliance In banking, customer intimacy, choice and convenience are all top reasons for deploying applications to the cloud, but doing so can be complex, risky and costly. It all depends on the characteristics of the workloads being moved and how they are integrated with other, often-customized systems of record and external parties. Many banks are seeking assistance in determining which applications should be maintained on premises or off premises. Understanding the key factors influencing their decisions can provide some key insights if you have similar priorities. CLOSE X GOALS AND LIMITATIONS KEY CONSIDERATIONS Every company’s cloud needs are distinct, but a few key considerations are consistent when it comes to increasing connectivity with customers in an existing environment within a highly regulated industry: • Convenience and compliance: Banks and other organizations want all the mobile opportunities the public cloud offers but want to leave data and sensitive applications within a private environment that offers the highest levels of security and control. • Upgrade of core banking application: Many financial institutions want a core banking application that functions solely as a system of record and can easily integrate into and support other parts of their cloud strategy. SMALL STEPS TOWARDS HYBRID POTENTIAL PITFALLS A banking perspective page 5 of 11 Slow down: Map your path to cloud successCHAPTER 2 PREVIOUS NEXT TABLE OF CONTENTS BACK TO ?+ RETAILTELECOMMUNICATIONS BANKING 2.5.D3 MAP YOUR CLOUD –Q1/Banking (key considerations)
  22. 22. A BANKING PERSPECTIVE: Balancing convenience with compliance In banking, customer intimacy, choice and convenience are all top reasons for deploying applications to the cloud, but doing so can be complex, risky and costly. It all depends on the characteristics of the workloads being moved and how they are integrated with other, often-customized systems of record and external parties. Many banks are seeking assistance in determining which applications should be maintained on premises or off premises. Understanding the key factors influencing their decisions can provide some key insights if you have similar priorities. CLOSE X GOALS AND LIMITATIONS KEY CONSIDERATIONS SMALL STEPS TOWARDS HYBRID Because data privacy is so critical to banks, they should focus on a private cloud for high-risk customer data. In the meantime, to take advantage of the full benefits of cloud, banks are moving nonsensitive, nonproduction workloads, such as development and test, as well as mobile apps to the public cloud. The real value, however, in creating an experience connecting directly with customers is in using public and private clouds linked to systems of record and systems of engagement. POTENTIAL PITFALLS A banking perspective page 5 of 11 Slow down: Map your path to cloud successCHAPTER 2 PREVIOUS NEXT TABLE OF CONTENTS BACK TO ?+ RETAILTELECOMMUNICATIONS BANKING 2.2.D4 MAP YOUR CLOUD –Q1/Banking (small steps)
  23. 23. A BANKING PERSPECTIVE: Balancing convenience with compliance In banking, customer intimacy, choice and convenience are all top reasons for deploying applications to the cloud, but doing so can be complex, risky and costly. It all depends on the characteristics of the workloads being moved and how they are integrated with other, often-customized systems of record and external parties. Many banks are seeking assistance in determining which applications should be maintained on premises or off premises. Understanding the key factors influencing their decisions can provide some key insights if you have similar priorities. CLOSE X GOALS AND LIMITATIONS KEY CONSIDERATIONS SMALL STEPS TOWARDS HYBRID POTENTIAL PITFALLS Some important and common issues to watch out for when making your final decisions include: • Losing control over customer service: Business processes need to be well defined, with clear delineation of responsibilities, contracts, rules, fallback provisions, measurable performance metrics and SLAs between parties. • The need to upgrade IT skills: The design of a hybrid cloud environment requires higher IT skills than are needed for a private environment. A banking perspective page 5 of 11 Slow down: Map your path to cloud successCHAPTER 2 PREVIOUS NEXT TABLE OF CONTENTS BACK TO ?+ RETAILTELECOMMUNICATIONS BANKING 2.2.D5 MAP YOUR CLOUD –Q1/Banking (pitfalls)
  24. 24. page 6 of 11 ?+ CLOSE X Slow down: Map your path to cloud successCHAPTER 2 PREVIOUS NEXT TABLE OF CONTENTS BACK TO ? Which workloads should you deploy first? WHICH WORKLOADS SHOULD YOU DEPLOY FIRST? What’s hot and what’s not As an IT manager, you’ve likely had to choose which jobs are given priority access to essential computing resources. It’s a common challenge that’s made more difficult when it involves a new environment like the cloud. How do you decide the right hierarchy of workloads to deploy to the cloud? Where do you begin, and why do you begin there? As demonstrated in each of the following examples, start by identifying which applications will transition easily and give you the best return on your investment. BANKINGRETAILTELECOMMUNICATIONS 2.3.A MAP YOUR CLOUD - Question 2
  25. 25. A TELECOMMUNICATIONS PERSPECTIVE: Prioritizing back-office workloads Even the smallest telecommunications company could have hundreds of thousands of customers, which means they require a lot of computing capacity to simply keep up with day-to-day data processing needs. By deploying large, back-office work- loads to the cloud, telecommunications and similar companies can free up valuable resources for mission-critical computing needs. At the same time, these less-critical workloads aren’t the kind that will disrupt day-to-day operations, which means there’s little risk involved in moving them quickly. In general, some ideal candidates to deploy first include: • Customer billing and payroll: These large batch processing workloads demand extremely high compute capacity. • Development and test: Nonproduction workloads such as these can help speed innovation and delivery of value to customers with less risk exposure. ?+ BANKINGRETAIL page 7 of 11 TELECOMMUNICATIONS CLOSE X Slow down: Map your path to cloud successCHAPTER 2 PREVIOUS NEXT TABLE OF CONTENTS BACK TO A telecommunications perspective 2.3.B MAP YOUR CLOUD - question 2 (Telco )
  26. 26. A RETAIL PERSPECTIVE: Capitalizing on ready-to-move application functions When considering marketing within a retail environment, application functions such as mobile marketing, geolocation-based detection and customer analytics are great candidates for fast deployment to the cloud because they’re already optimized. In general, some ideal candidates to deploy first include: • Mobile apps: They’re new, designed for the cloud and hard to predict from a demand standpoint, making the flexibility of cloud ideal. • Inventory management: Deploying these workloads to cloud can make it easier to securely share them with supply chain vendors and partners. TELECOMMUNICATIONS page 8 of 11 RETAIL CLOSE X Slow down: Map your path to cloud successCHAPTER 2 PREVIOUS NEXT TABLE OF CONTENTS BACK TO ?+ BANKING A retail perspective 2.3.B MAP YOUR CLOUD - Question 2 (retail)
  27. 27. A BANKING PERSPECTIVE: Focusing on value and flexibility The cloud is an ideal opportunity for banks to build more responsiveness and agility into their operations without sacrificing security or compliance. The key is to prioritize workloads that deliver the greatest value without adding risk or disrupt- ing core business functions. For example, by moving workloads that demand the greatest level of flexibility, banks are able to curb costs while addressing business and customer service level expectations. At the same time, the public cloud provides an ideal way to minimize risk and cost while developing new services, such as mobile apps for customers. In general, some ideal candidates to deploy include applications without high operational performance or customer data privacy needs, and with noncomplex and nonstandard integration needs, such as: • Business support applications: These may include finance, HR manage- ment and corporate relations workloads. • Analytics applications: These may include business planning models as well as bank portfolio and treasury applications. • Differentiating capabilities: These may include credit monitoring, pricing and billing, cash positions, sweeping and pooling, and electronic bank and account management workloads. A banking perspective ?+ RETAILTELECOMMUNICATIONS page 9 of 11 BANKING CLOSE X Slow down: Map your path to cloud successCHAPTER 2 PREVIOUS NEXT TABLE OF CONTENTS BACK TO 2.3.C MAP YOUR CLOUD - Question 2 (banking)
  28. 28. HOW CAN YOU BUILD CREDIBILITY, SUPPORT AND MOMENTUM? How can you create evangelists for cloud—and your cloud roadmap? To understand and realize the value of cloud computing, organizations must lose the old view of IT as a support organi- zation and view it as a leader instead, providing services that support each department and drive business results. In turn, IT has to market its capabilities and resources and continue selling the advantages of moving to the cloud, such as simplify- ing operations, driving revenue, increasing agility and reducing capital expenditures. page 10 of 11 CLOSE X Slow down: Map your path to cloud successCHAPTER 2 PREVIOUS NEXT TABLE OF CONTENTS BACK TO ? 2.4.1 MAP YOUR CLOUD - Question 3 (pg.1)
  29. 29. Part of getting leadership buy-in is sharing quick and easy wins. But moving to any new infrastructure is never easy; one slipup could spell disaster for an organization, especially if it relies on a lot of mission-critical systems. Ultimately, you can take the following steps to come up with a list of workloads that would provide some quick and relatively easy wins: • Assess your applications and workloads. • Build the business case. • Develop the technical approach. • Adopt a flexible integration model. • Address security and privacy requirements. • Manage the migration. In general, lead with the solution—look across the business and identify application functions that serve key business prob- lems quickly and efficiently. Also, keep in mind that selling your roadmap—cloud strategy—is just as important as selling the benefits of the cloud for your organization. page 11 of 11 ? CLOSE X Slow down: Map your path to cloud successCHAPTER 2 PREVIOUS NEXT TABLE OF CONTENTS BACK TO 2.4.2 MAP YOUR CLOUD - Question 3 (pg.2)
  30. 30. Building your roadmap is a major milestone in the journey to cloud. But, as you know, journeys like this rarely go exactly as planned. You will likely experience unanticipated obstacles and challenges. But, there are ways to minimize the potential for unexpected setbacks and take advantage of your growing experience to continually improve your success rate: • Assess the cloud deployment challenges, opportunities and success rates in the marketplace. • Evaluate and document the success stories, risks and barriers involved in cloud adoption. • Develop required skill roadmaps as a part of your process. • Conduct “lessons learned sessions” after each deployment and refine your methods accordingly. MAKE YOUR STRATEGY A REALITY Putting your roadmap into action Make your strategy a realityCHAPTER 3 PREVIOUS NEXT TABLE OF CONTENTS BACK TO 3.1 MAKE STRATEGY REALITY - (pg.1)
  31. 31. For more information For more information on other cloud topics, visit The Steps to Cloud Expertise Series at: ibm.com/cloud/expertise For more information PREVIOUS NEXT TABLE OF CONTENTS BACK TO + 4.1 FOR MORE INFORMATION
  32. 32. © Copyright IBM Corporation 2014 IBM Corporation Software Group Route 100 Somers, NY 10589 Produced in the United States of America November 2014 IBM, the IBM logo, ibm.com, and the planet icon are trademarks of International Business Machines Corp., registered in many jurisdictions worldwide. Other product and service names might be trademarks of IBM or other companies. A current list of IBM trademarks is available on the web at “Copyright and trademark information” at ibm.com/legal/copytrade.shtml This document is current as of the initial date of publication and may be changed by IBM at any time. Not all offerings are available in every country in which IBM operates. THE INFORMATION IN THIS DOCUMENT IS PROVIDED “AS IS” WITHOUT ANY WARRANTY, EXPRESS OR IMPLIED, INCLUDING WITHOUT ANY WARRANTIES OF MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE AND ANY WARRANTY OR CONDITION OF NON-INFRINGEMENT. IBM products are war- ranted according to the terms and conditions of the agreements under which they are provided. The client is responsible for ensuring compliance with laws and regulations applica- ble to it. IBM does not provide legal advice or represent or warrant that its services or products will ensure that the client is in compliance with any law or regulation. PREVIOUS TABLE OF CONTENTS BACK TO 5.1 LEGAL

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