CA Technologies SurveyInfographic SummaryIntroductionTime to marketFlexible capacityPowering the recoveryGrowth agendaConc...
CA Technologies Survey              Infographic SummaryInfographic Summary                   Cloud development & time to m...
CA Technologies Survey              IntroductionInfographic Summary                                    The fact that cloud...
CA Technologies Survey              Accelerating time to marketInfographic Summary                 Cloud development & tim...
CA Technologies Survey              Flexible capacity - unleashing the power of cloudInfographic Summary                 H...
CA Technologies Survey              Powering the recovery - From saving money to making itInfographic Summary             ...
CA Technologies Survey              How to make cloud a reality - Growth agenda driving cloudInfographic Summary          ...
CA Technologies Survey              Conclusion: powering recovery - the genie is out of the boxInfographic SummaryIntroduc...
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How Cash & Flexibility Are Driving Cloud Investment

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Financial experts estimate companies may be jealously sitting on trillions of dollars in cash, and refusing to spend it. Companies are choosing to avoid large capital intensive investment programmes which incur large, upfront costs. Instead, the more desired spending pattern is to switch to projectssuch as investing in a cloud computing infrastructure which is charged monthly on a per usage basis

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How Cash & Flexibility Are Driving Cloud Investment

  1. 1. CA Technologies SurveyInfographic SummaryIntroductionTime to marketFlexible capacityPowering the recoveryGrowth agendaConclusionCA Technologies is an ITmanagement software andsolutions company with expertiseacross all IT environments - frommainframe and distributed, tovirtual and cloud. Cloud: Responding to changing business demandsCA Technologies manages andsecures IT environments andenables customers to delivermore flexible IT services. Themajority of the Global Fortune500 relies on CA Technologies tomanage evolving IT ecosystemshttp://www.ca.com Survey conducted by IDG Connect on behalf of CA Technologies, via telephone interviews
  2. 2. CA Technologies Survey Infographic SummaryInfographic Summary Cloud development & time to market Which of the following business drivers is most important when you think of Cloud computing?Introduction 27%Time to market FlexibilityFlexible capacity 47% 51% CostPowering the recoveryGrowth agenda 26% 33% SpeedConclusion Respondents reporting speedier development cycle, but with 15% quality assurance concerns Respondents reporting “significant” benefits from a speedier development process The key drivers of Cloud adoption in EuropeCA Technologies is an ITmanagement software and Respondents reporting a faster developmentsolutions company with expertise cycle, somewhat constrained by ITIL releaseacross all IT environments - from management requirementsmainframe and distributed, tovirtual and cloud.CA Technologies manages and How does your organisation manage the trade offsecures IT environments and between spending too much on IT capacity and notenables customers to deliver spending enough when demand spikes?more flexible IT services. Themajority of the Global Fortune500 relies on CA Technologies to We prioritise budget constraints & 36%manage evolving IT ecosystems tolerate demand spikes that slowhttp://www.ca.com down our systems 28% Capacity is prioritised: we plan for spikes and accept low utilisation most of the time 23% We don’t manage capacity 13% We cloud burst to an external provider to balance cost and performance Reducing IT costs Growth through new and avoiding capex product innovation
  3. 3. CA Technologies Survey IntroductionInfographic Summary The fact that cloud computing is an established reality is well The answer has always been obscured by a suspicion that decisionsIntroduction accepted. What is not known, though, is, in a time of austerity, what are shaped by self-preservation. With cloud’s use of external providers, are organisations doing about it? For example, how is the economic could the technology work against the best interests of an internalTime to market downturn impacting the broader organisation’s expectations on team and threaten their jobs? Alternatively, could the need to IT and how are these expectations shaping the adoption of cloud streamline an organisation so it can seek growth through innovationFlexible capacity technologies? actually make the IT department central to future plans?Powering the recovery All too often technology is considered as an IT issue but this can miss Further complicating a clear answer is that to date research and the ungoverned use of IT by different entities within the business. To conclusions have been based on gut feel or skewed by limited dataGrowth agenda understand how cloud adoption is being impacted by the economy one collected from only the earliest adopters. What is needed, to get an must appreciate how the very nature of the cloud accelerates the use accurate picture, is broad empirical data from mainstream IT decision of digital services outside of IT. makers in the field who are daily charged with supporting enterpriseConclusion wide strategies and are doing so in a time of austerity. So, surely the best approach to understanding what IT is doing with respect to the cloud is to look at it from the perspective of how The following white paper sets out just such an up-to-date picture, the pressures organisations are facing are expressed through the IT through 300 interviews with IT decision markers (1). decisions taken to deliver on corporate strategy and stay ahead of out- of-process adoption of technologies by renegade business units. IT’s The results give the clearest picture yet across Europe of IT maturity,CA Technologies is an IT use of cloud may be driven by a need to rationalise budgets, innovate attitudes to cloud and the IT and business drivers behind potentialmanagement software and faster, become leaner, drive efficiencies and seek growth in new uptake of the new technology.solutions company with expertise markets; or even all of the above.across all IT environments - frommainframe and distributed, to The backdrop to these weighty questions is far from ideal. Today, ITvirtual and cloud. departments are having to cope with a variety of new challenges, suchCA Technologies manages andsecures IT environments and as big data and mobility, at a time when budgets show little or noenables customers to deliver growth.more flexible IT services. Themajority of the Global Fortune With these huge challenges weighing heavily, traditional IT practices500 relies on CA Technologies to are facing massive change. Commissioning more equipment,manage evolving IT ecosystems employing large teams to set it up and then maintain and patch it is, for some companies, no longer an option.http://www.ca.com The question arises, then, if a more flexible, cost-effective solution is desired - or dare we say, required - is cloud too untried and too risky? Or is it the path forward because it is quickly becoming a proven, (1) Survey data based on 300 telephone flexible way of consuming IT services, resulting in capital expenditure interviews conducted with 120 decision makers savings, more rapid innovation, and growth in existing and new (eg CTO and CIO) and 180 influencers (eg data markets? centre managers) during August 2012.
  4. 4. CA Technologies Survey Accelerating time to marketInfographic Summary Cloud development & time to marketIntroduction Attitudes to the cloud are clearly maturing. While the technology The emergence of DevOps, the radically tighter alignment between was originally portrayed as a low cost means of outsourcing IT development teams and IT operations, is playing a transformationalTime to market infrastructure and applications, there has been a massive shift in role in speeding up time in which companies can equip staff, clients opinion as early adopters have shown not just the computing gains and partners with the latest applications to boost productivity andFlexible capacity but, crucially, the business benefits. improve margins.Powering the recovery Those who have looked beyond their own IT capabilities and invested The proof comes with a quarter of companies already reporting in cloud-based system have found the improved speed in setting up ‘significant’ benefits from speedier development cycles while nearlyGrowth agenda services is not limited to just the IT department; it goes right across half (47%) of respondents reveal the main issue holding them back the business. Whether it is innovating new products, supporting staff from capitalising further on their cloud investment are ITIL release in multiple locations with improved mobility, improving financial management requirements. They have the clear potential for speed;Conclusion forecasts, managing supply chains, obtaining business intelligence, now all they need are more flexible release rules and systems to allow or any doing almost any other traditional or emerging core business them to realise it. function, cloud adopters are reporting massive speed to market business benefits. While three in four are hugely optimistic about the cloud, only a quarter of companies (26%) had concerns that cloud technology mightCA Technologies is an IT 27% be too fast to ensure quality standards are met. This is a completely understandable result. Three in four are enjoying the speed to marketmanagement software and the cloud brings while one in four is more cautious, concerned thatsolutions company with expertise their DevOps teams might go faster than its safe to go.across all IT environments - frommainframe and distributed, to The solution is likely to be found in either evolving ITIL release 47%virtual and cloud. management recommendations or, perhaps ironically, extendingCA Technologies manages andsecures IT environments and the use of cloud and IT automation technologies. For example,enables customers to deliver many companies are now switching on extra capacity, as and whenmore flexible IT services. The required, and deploying updates or entirely new services at a rate notmajority of the Global Fortune considered by the previous edition of ITIL. 26%500 relies on CA Technologies tomanage evolving IT ecosystems This is having a profound impact on what is considered best practice for planning, building, testing, and running applications. As thehttp://www.ca.com DevOps phenomenon gains more traction, setting up collaborative Respondents reporting speedier development cycle, development and testing areas, commissioned instantaneously and but with quality assurance concerns going live in minutes rather than months, will transform the delivery expectations of the business and the performance capabilities of IT. Respondents reporting “significant” benefits from a speedier development process Respondents reporting a faster development cycle, somewhat constrained by ITIL release management requirements
  5. 5. CA Technologies Survey Flexible capacity - unleashing the power of cloudInfographic Summary How does your organisation manage the trade off between spending too much on IT capacity and not spending enough when demand spikes?Introduction There is clear evidence that not only are cloud adopters speeding up cloud services. Or, perhaps one should ask, is the question markTime to market time to markets and the pace at which new intellectual property (IP) hanging over the acceptance of cloud technologies being raised by the can be created, they are also using the new technology to ensure staff, 23% -30% of companies who either don’t care to or don’t know howFlexible capacity customers and partners are offered the best possible IT and web to manage their current IT capacity? If so, perhaps asking them about experience both internally and externally. the reality of cloud computing is like asking the man who cannot tie hisPowering the recovery laces if studs improve football skills. However, this is where we hit a clear polarisation in attitude whichGrowth agenda probably says more about the maturity of the company’s IT strategy then the benefits of the cloud. We prioritise budget constraints & 36%Conclusion tolerate demand spikes that slow On the one hand 13% of companies are using the flexibility of commissioning ‘elastic’ capacity to ‘cloud burst’ and let cloud resources handle peaks in traffic on their systems. This gives them the benefit of down our systems 28% Capacity is prioritised: we plan for not paying for too much capacity up front, which may be underutilised much of the time, while at the same time having capacity when spikes and accept low utilisation most of the time 23% needed. High utilisation rates without risk of handling a spike inCA Technologies is an IT demand, what’s not to like about this model? We don’t manage capacitymanagement software andsolutions company with expertiseacross all IT environments - from However, on the other extreme, a staggering near one in four We cloud burst to an external provider 13% to balance cost and performancemainframe and distributed, to companies (23%) do not manage capacity at all. Also worth noting isvirtual and cloud. that while more than one in three (36%) put up with poor performanceCA Technologies manages and by prioritising budget over service levels, more than one in four prefersecures IT environments and to throw money at the issue and build systems that can handle peaksenables customers to deliver but are underutilised at other times. Interestingly, when asking firms what their prime concerns around themore flexible IT services. The cloud were, a positive picture emerges. More than a third (37%) havemajority of the Global Fortune To put the theory to the test that this variety of answers speaks more no concerns at all and for half (47%) the main issues is not acceptance500 relies on CA Technologies to about internal IT maturity than any concern over cloud services, but rather ensuring new technology does not impact their regulatorymanage evolving IT ecosystems respondents also revealed a lack of advanced action on ‘asset compliance. The changing role of the IT department and the questhttp://www.ca.com sweating’. In a time of austerity businesses are under pressure to make to keep pace with technology was raised by less than one in ten sure all assets are used to their fullest potential, yet only a quarter respondents respectively. (24%) measure and report on capacity utilisation for each IT service. A third have measures in place, but not for individual services, and a Clearly these statistics show the focus has moved from the minutia further third (30%) have no measures in place at all because ‘it’s not of internal acceptance to how these new technologies can be utilised part of our focus’. without breaching regulation. This is a mature, high level concern which underlines how far acceptance of the cloud is entrenched within Clearly organisations which do not measure the effectiveness of their organisations - a development which would appear to only be held spending are not placed to take advantage of potentially more efficient back by internal IT maturity.
  6. 6. CA Technologies Survey Powering the recovery - From saving money to making itInfographic Summary Which of the following business drivers is most important when you think of Cloud computing?Introduction When the cloud first started to be talked about among organisations, When asked to make a straight choice between flexibility, cost andTime to market its most obvious benefit was cost. That is, of course, not a bad thing speed, more than half of respondents opted for flexibility as the main and it is hardly surprising considering it has been gaining traction business driver of cloud. That there should be a business driver is, ofFlexible capacity during a worldwide economic downturn. course, an interesting point, showing that the technology has moved beyond being a choice made by IT teams to become more of a strategicPowering the recovery However, a far more positive message is now emerging from enterprise decision. organisations that have invested in cloud technologies. While costGrowth agenda savings are still very important, cloud adoption is beginning to be This is further evidenced by respondents’ revelation that cost savings driven by demands for replacing outdated IT systems with new, are not just associated with IT expenditure. Instead nearly half (43%) improved tools to empower business growth. of all respondents revealed that automating internal IT processesConclusion is the activity most likely to deliver cost and time savings. This was double the proportion of interviewees who selected the process of outsourcing IT to cloud providers (21%) and almost triple the choice of developing a self-service catalogue (16%). Flexibility Cloud technology users are clear on the benefits they seek and theyCA Technologies is an IT have a preferred approach. Cloud is helping them to automate (nomanagement software and doubt, standardised and at times re-engineer) processes which boostsolutions company with expertiseacross all IT environments - from 51% efficiency, streamline resources and make the organisation leaner and fitter to seek growth - and it is growth that is clearly identifiedmainframe and distributed, to as the intended business outcome from more flexible cloud-based ITvirtual and cloud. Cost technologies.CA Technologies manages andsecures IT environments and 33%enables customers to delivermore flexible IT services. Themajority of the Global Fortune500 relies on CA Technologies tomanage evolving IT ecosystems Speedhttp://www.ca.com 15%
  7. 7. CA Technologies Survey How to make cloud a reality - Growth agenda driving cloudInfographic Summary The key drivers of Cloud adoption in EuropeIntroduction There is an apparent contradiction when IT decision makers and The reason almost certainly lies in the strategy of companies not influencers are asked about the key drivers behind cloud adoption wanting to risk capital expenditure in uncertain times, movingTime to market which encapsulates the multiple promises of the technology. whatever can possibly be moved in to operating expenditure. This underlines why flexibility is the prime business driver for cloudFlexible capacity When asked about business drivers more than half (51%) rank adoption and yet reducing cost and capital expenditure is the number flexibility above speed (33%) yet when separately asked to rank the one priority behind choosing cloud technologies. Clearly flexibility, onPowering the recovery top drivers for adopting cloud technology, cost reduction and avoiding the business driver side, involves cost but also the ability to be more capital expenses was the first choice for 61%. agile, to get to markets quicker with less money committed up front.Growth agenda Organisations want the flexibility of scaling IT systems up and down at short notice and they want to do this through a consumption-based billing model which avoids capital being tied up in IT.Conclusion So, if they do not want budget tied up in internal infrastructure, what do they want it for? The answer is very positive and leaps out from respondents’ choices of the second, third and fourth drivers for choosing cloud technologies. Namely; innovation (40%) the second most important driver. Interestingly, and perhaps a bellwether for theCA Technologies is an IT economy, approximately one in three companies rate growth withinmanagement software and and outside the EU s as their third or fourth driver.solutions company with expertiseacross all IT environments - from Clearly, cloud technology is becoming so well proven that it has movedmainframe and distributed, to beyond being an attractive IT proposition. Today it is fast becomingvirtual and cloud. recognised as crucial business asset for any organisations seeking outCA Technologies manages andsecures IT environments and new growth. The order of priority makes perfect sense. Avoiding largeenables customers to deliver capital expenditure projects is the number one priority because itmore flexible IT services. The can fund the second priority of innovating new products and servicesmajority of the Global Fortune through which they can then seek growth.500 relies on CA Technologies tomanage evolving IT ecosystems Another point that underlines the integral trust now being place in cloud technologies is that, as the graph show, there is now littlehttp://www.ca.com distinction between growth in the EU and beyond. The flexibility, scalability and speed to market promise of cloud is clearly being seen as providing organisations with the support and tools they need to look in to growth markets that are both close to home and, crucially, further afield. Reducing IT costs Growth through new and avoiding capex product innovation
  8. 8. CA Technologies Survey Conclusion: powering recovery - the genie is out of the boxInfographic SummaryIntroduction If assumptions are allowed to go unchecked they can become However, as has been demonstrated, neither is true. To quickly engrained and thought leadership and strategies hampered dispense with the threat issue - only one in four respondents feelTime to market by outdated perceptions. When it comes to cloud, if outdated the cloud will make their IT department less relevant to the business. misconceptions are not challenged, the business benefits that could The three in four who realise the reverse is actually true understandFlexible capacity help Europe out of an economic downturn could easily be overlooked. the impact the new technology is having in helping companiesPowering the recovery That is why it has been so vital to seek opinions from decision makers drive innovation and growth while improving margins and boosting in 300 European organisations. efficiency.Growth agenda The main benefit of the cloud has traditionally been cost and there was The people towards the front of the adoption curve are realising thatConclusion always a perception, whether real or not, that IT departments were although cloud initially appears to be about IT it is actually about hostile to the new technology that looked too good to be true and business. It is about giving organisations the tools that will empower could possibly run the risk of individuals’ roles being outsourced. them to move away from long term, risky, slow and expensive capital expenditure projects. Instead, they can form a strategy around having capacity they can simply dial up or dial down, as they see fit, and for which they are only billed for what they use. What is more, the speedCA Technologies is an IT this brings is already demonstrably helping organisations innovate andmanagement software andsolutions company with expertise bring new products and services to market quicker than before.across all IT environments - from So, although the tools commissioned through cloud providers aremainframe and distributed, to IT-based, the benefits and the driving force behind those decisionsvirtual and cloud. now go beyond the IT department alone. They are clearly seen asCA Technologies manages andsecures IT environments and integral to business strategies organisations are putting in place to fundenables customers to deliver innovation and growth without taking speculative bets on internal ITmore flexible IT services. The resources which could be delayed and be out of date by the time theymajority of the Global Fortune are operational.500 relies on CA Technologies tomanage evolving IT ecosystems Furthermore, cloud technologies are helping organisations to be in ahttp://www.ca.com position to profit from innovation and growth without also having to put too heavy a bet on improving market conditions. Organisations wary of committing savings towards speculative growth can instead be in the market and able to flex capacity up and down as sluggish economies across the globe start to revitalise.

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