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2019 CIO Think Tank: Pathways to Multicloud Transformation

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By 2021, 98% of organizations plan to adopt multicloud architectures, but only 41% have a multicloud management strategy and just 38% have procedures and tools to operate a multicloud environment. As an IT leader you don't want to stifle forays into multicloud as it is an engine to efficiently support growth, innovation and transformation, however, it can be one of the most challenging changes that organizations face.

During the Think Tank we’ll discuss:
- Opportunities and inherent challenges for organizations as applications across categories migrate to multicloud
- Stages of multicloud transformation
- Best practices from organizations that are succeeding with a multicloud environments

Published in: Technology
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2019 CIO Think Tank: Pathways to Multicloud Transformation

  1. 1. Assembling your cloud orchestra: A field guide to multicloud management Michael Healy IBM VP, Global Business Services Cloud Application Migration Services GTM and Sales
  2. 2. 2 Demographics of our global respondents Multicloud management Regional distribution Industry distribution Role distribution 5% 8% 6% 5% 5% 6% 4% 8% 5%5% 6% 6% 6% 5% 6% 6% 4% 4% 5% 13% 14% 30% 14% 29% 9% 36% 10% 26% 20% Automotive Industrial products Banking Insurance Chemicals Life sciences/pharma Petroleum Media & entertainment Electronics Retail Consumer products Telecom Education Transportation Energy & utilities Travel Government/public Info technology services Healthcare Africa and Middle East Asia-Pacific Latin America Europe United States and Canada CEO/Head of Strategy COO/Chief Supply Chain Officer CIO CFO Head of Innovation 1,016 respondents 19 industries 20 countries Sampling: Global All participants
  3. 3. 3 Table of Contents Cloud proliferation Reasons for multicloud adoption Multicloud management readiness A field guide to multicloud management A multicloud management roadmap
  4. 4. 4 Cloud proliferation Business benefits of cloud services: • Product developers speed proof-of-concept development • Product designers create new products, features and services • Offering managers monetize data for new revenue streams • Supply chain optimizes logistics • Marketers entice buyers more effectively and efficiently • Sales teams optimize lead management • Customer service reps respond better to inquiries • Human resources more effectively identifies and evaluates candidates • Teams are more efficient using collaboration tools Multicloud management Cloud Services Innovative technologies Empowered consumers Digital disruptors
  5. 5. 5 How would you characterize your cloud environment? of companies are already operating in a multicloud environment today of organizations forecast they will be using multiple hybrid clouds within three years Cloud proliferation How many cloud services and platforms are you planning to use across your entire business? Sampling: Global All participants 85% 98%
  6. 6. 6 Table of Contents Cloud proliferation Reasons for multicloud adoption Multicloud management readiness A field guide to multicloud management A multicloud management roadmap
  7. 7. 7 How important are the following strategic, operational and infrastructure reasons for establishing a multicloud environment for your business? Reasons for multicloud adoption Sampling: Global Multicloud users Strategic drivers Reduce operating costs 66% Improve customer experience 62% Create/support new business models 62% Operational drivers Reduce operating costs 66% Deliver a self-service customer experience 58% Provide executives with visibility, governance and control 57% Infrastructure drivers Cut infrastructure costs 65% Avoid vendor lock-in 59% Improve latency 59%
  8. 8. 8 Reasons for multicloud adoption Harmonizing multicloud environments
  9. 9. 99 Table of Contents Cloud proliferation Reasons for multicloud adoption Multicloud management readiness A field guide to multicloud management A multicloud management roadmap
  10. 10. 1010 Storm clouds ahead Multicloud management readiness “By 2021, 98% of organizations plan to adopt multicloud architectures, but only 41% have a multicloud management strategy and just 38% have procedures and tools to operate a multicloud environment.”
  11. 11. 1111 Table of Contents Cloud proliferation Reasons for multicloud adoption Multicloud management readiness A field guide to multicloud management A multicloud management roadmap
  12. 12. 12 Managing multiple clouds Developing a multicloud management plan is vital to reducing technology redundancy and business agility To create a multicloud architectural blueprint: • Determine which business processes should be in the cloud • Identify which technical building blocks and management tools best support your business objectives A field guide to multicloud management Cloud Services Business processes Technical building blocks Management tools apijava
  13. 13. 13 We call the most proficient operators of multicloud environments multicloud maestros. Maestros are already using multiple clouds to smoothly and routinely deliver business functions. 13 20%
  14. 14. 14 Workloads in the cloud A field guide to multicloud management Development Operations Marketing Technical infrastructure Application dev & testing Website dev & hosting Infrastructure services IT service mgmtEnterprise mobility mgmt Asset mgmt SecurityProductivity & collaboration tools Finance/accounting Asset mgmt Financial planning, budgeting & forecasting Treasury & investments Accounting close & consolidation General ledger/ financial ops External financial reporting Risk & compliance mgmt Transaction processing Human resources ERP Payroll processing Travel & expense mgmt Learning & devPerformance mgmt Employee data & info mgmtBenefits Business performance mgmt Other administration Legal Ecosystem mgmt Procurement/ purchasing Marketing database mgmt Lead management Content creation/ management Marketing data analysis Digital marketing campaign execution Agency coordination/ collaboration Sales Sales forecasting Contact management Opportunity management Lead management Reports & dashboards Customer Service Omni-channel management Customer profile management Social media management Case management Contact management Order management Manufacturing / production/ operations Inbound / outbound logistics Product design & development Research & development Supply chain 25% - 49% 50% - 100%
  15. 15. 15 Sampling: Global Multicloud users 43% | 62%32% | 51% 35% | 76% 29% | 69% +44%+59% +117% +138% Multicloud maestros Others All industries, except government and education Government and education Multicloud maestros Others ProfitabilityRevenue growth Efficiency Effectiveness A field guide to multicloud management Multicloud maestros outperform
  16. 16. 16 © 2018 IBM Corporation 19 March 2019 IBM Institute for Business Value16 Technical building blocks of multicloud management A field guide to multicloud management Cloud Management Platform Application Development Layer Containers Micro-Services Virtual Machines Serverless Cloud Services
  17. 17. 17 How significant are the following challenges your organization faces in managing a multicloud environment? A field guide to multicloud management Sampling: Global Multicloud users Establishing IT governance/control Meeting desired performance goals Managing and optimizing cloud costs 63% 61% 55% 55% 52% 51% 48% 46% Ensuring security and compliance meets our needs Having IT set company-wide cloud policies Delivering a self-service user experience Ensuring immediate scalability for business processes Lack of skills to manage a multicloud environment Selecting which apps move to the cloud 40% 35% Interoperability between cloud platforms
  18. 18. 18 How important are the following characteristics of a multicloud management vendor? Multicloud management Sampling: Global Multicloud maestros Manages workloads across various clouds & on-premise IT Meets security and compliance needs Meets our disaster recovery needs 77% 73% 65% 64% 63% 62% 61% 61% Manages workloads across multiple public clouds Quick deployment Offers professional services we need Offers easy-to-use interface/console Manages various types of workloads Deals with the entire cloud stack (Iaas, Paas, BPaas, etc.) 59% 57% Provides the type of platform(s) we need 57% Offers geographic presence we need
  19. 19. 1919 Table of Contents Cloud proliferation Reasons for multicloud adoption Multicloud management readiness A field guide to multicloud management A multicloud management roadmap
  20. 20. 20 2. Enlist help4. Build in the cloud 1. Develop goals & governance 5. Continually adapt 3. Move to the cloud The path to multicloud management Multicloud management roadmap
  21. 21. 2121 How will you assemble your cloud orchestra? • Which benefits will your organization pursue by actively managing your multicloud environment? • How does your organization’s planned multicloud management approach compare to that of multicloud maestros? • What is your action plan for orchestrating a multicloud infrastructure? • What is the opportunity cost if you don’t coordinate your organization’s forays into multiple clouds? Multicloud management roadmap
  22. 22. © 2018 IBM Corporation 19 March 2019 IBM Services22 Michael Healy IBM VP, Global Business Services Cloud Application Migration Services GTM and Sales michael.healy@us.ibm.com Thank you

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