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Cloud computing is making its way to second decade and as this happens the organizations are expanding their strategies and options to embrace it. We are closely working with Fortune 100 organizations in their Digitalization Journey and observing the factors behind them becoming ‘cloud only’ enterprise. They have common strong motivations in all of them for using cloud. Primary ones are

  • Using cloud technology will provide a competitive advantage in future.
  • This will increase IT operational efficiency – cost saving models are available on cloud.
  • Unprecedented business value-oriented use cases can now be created by leveraging cloud technologies.

Technology leaders prioritize on business outcomes and efficiency from Cloud computing. During the process, they explore the cloud spectrum, performs controlled experimentations, create decision factors and embrace cloud for business use cases. This journey is susceptible to the perils of myth. These myths may distract key stakeholders and C-level executives from getting the real value and outcomes from Cloud. Here we will share our key findings and discuss commonly faced ‘leading’ misleading myths.

Cloud needs controlled experimentation

Cloud is a dynamic resource in nature. Controlled experimentation, adapting to the burst and sandboxing new techniques are important three of the key blessings on the cloud and bound to happen on cloud as team explore new possibilities.

As an instance, Controlled experimentation systematically examine business use cases on how effectively they are utilizing cloud services, then creates a decision factor from the observations. Diligent experimentation captivates stakeholders, eventually improves ROI and derives business value more effectively.

They help business to grow to unprecedented levels from existing data. Consider a scenario, the CIO of a large bank realized that they will be updating their aging in premise infrastructure to cloud based infrastructure.

However, there are multiple factors in of this digitalization journey. For brevity, we will just list the top ones,

  • Identifying appropriate cloud Infrastructure
  • Skills Upgradations
  • Enterprise wide program and,
  • Migration of Business Apps and Data

There is a cost component associated with each of the above. The 1st component of cost is an annually recurring cost, whereas later two components, i.e. 2nd and 3rd will be comparatively higher in the very first year or two and gradually reduce over the years as Cloud program gains maturity. Finally, the last component majorly is a onetime cost.

The overall first year cost inclusive of all 4 major components was estimated to be $5 million. Effective measures and competent skills were employed to make the successful pathways in the first year of this journey. However, when the C suite looked at the overall cost of the first year, it turned out to be $8 million. Marking this additional cost of Cloud as an ‘over price’ can be a trap.

They help business to grow to unprecedented levels from existing data. Consider a scenario, the CIO of a large bank realized that they will be updating their aging in premise infrastructure to cloud based infrastructure.

During this period, there were important controlled experiments and sandbox prototypes created, evaluated which will contribute to the business growth in upcoming years. As in this scenario of bank, cloud-based applications were able to scale and absorb the burst observed during quarter end, which was being compromised in aging In-premise infrastructure.

Cloud Computing should be the aim

Few organizations take the idea of moving to the cloud from their peers, just to accompany the word ‘cloud’ in their journey. These organizations lack the crucial and pure attributes of ‘why to move to cloud’.

It is not important for every organization ‘to be on the cloud is good’ Successful cloud computing organizations have very strong reasons mapped to business imperatives behind such a move.

They have years of isolated cloud prototyping experience in individual business units of their organization. As the next logical step, they create a collaborative think-tank by organizing internal workday(s) listening, discussing about the experiences and needs of each individual department who has evaluated or used cloud for their respective engineering. A coordinated, value optimized approach has a joint decision from multiple business units (departments) and each have shared support for the cloud computing. Outcome of such an activity are pure attributes transforming enterprise from being a “cloud enablement” initiative to a “cloud computing” enterprise. Cloud computing is surely more rewarding than mere enablement.

Cloud computing needs a solid strategy

As a CIO of a healthcare leading organization, migrating to cloud is not just about infrastructure. The CEO and board had concerns about the highly confidentiality of healthcare data and sensitive governmental contracts. They had data, which was strictly abiding to regulatory and compliances of healthcare industry, HIPAA. Security is the topmost concern for adopting the Cloud. CIO explained the need for first placing a strategy, which address security and business growth.

Identified strategy not only involved how Hybrid cloud can immediately preserve the sensitivity of the data but also to utilize security controls available on cloud. In addition, the strategy had experimental sandboxing of cognitive capabilities of using Electronic Healthcare Records (EHR) data to empower research arm of the business.

The key is here not to see cloud as a set of technologies but as a set of mapped services which can embrace more business outcomes and address business concerns. Formulation of a strategy mapping business imperatives makes the whole data game more captivating.

Strategy has proven patterns; watch out for anti-patterns

With so many cloud vendors and service offerings, it is not simple to decide among options. It is very vital to correctly formulate hybrid & multi cloud strategy and select exclusive offerings across cloud vendors.

There are multiple cloud strategies – Hybrid, Multi (public), Single (public), multiple (private), Single (private). Hybrid & Multi (public) cloud are both different cloud strategies and can be used together too. Hybrid is Cloud connecting to in premise components; Multi cloud is using multiple clouds together.

Hybrid dominates Multi (public) which dominates Single (public) and then follows rest of the strategies

What works for each enterprise is entirely a factor of applications, data sensitivity, business constraints and state of legacy infrastructure. Any misalignment of choosing right cloud strategy will cause a good blow to IT budgets.

Half-life of any decision is at least 5 years.

We suggest to segment business capabilities in service spectrums like, Data Engineering, Business Analytics, Advance Analytics & AI, IOT, Enterprise, etc. Choose the vendor providing most business value proposition to these identified spectrums. Do not fall in trap in duplicating services across Cloud vendors; duplication of data is more sensible. Going with a replica set of services across cloud vendors may prove an anti-pattern to both engineering team and digitalization journey plans. We think going forward, customers will be choosing both Hybrid & Multi Cloud.

Finally, Successful patterns need structures

Cost control, performance, continuous monitoring, workflow management, infrastructure control services, optimization techniques, AIOps for Cloud services, business APIs – these structures are very important on cloud for efficient and optimal utilization of cloud services.

Jumbune is offering niche capabilities to instantly embrace cost control, proactive monitoring, and performance optimization on all major public cloud. More details are available at,

http://jumbune.com/cloud-migration.html

Moreover, organization wide standardization of policies, usage guidelines and service consumption behavior are a crucial step during early days of cloud strategy formulation. Cloud providers proactively provide native controls to apply & enforce such standardization. It is very realistic to start with a 70-30 pattern, where 70% of mapped business capabilities utilizing SaaS-PaaS cloud native offerings, whereas 30% utilizing hosted IaaS capabilities. During the half-life of cloud journey of your organization, you will see a higher ratio of utilization of SaaS-PaaS services

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http://jumbune.com/ai-ops.html
http://jumbune.com/cloud-monitoring.html

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Jumbune is a Machine Learning powered APM which helps to optimize and improve performance of Big Data applications running on Data Clouds and On-Premise clusters. It is enterprise-grade built on open source. It is highly scalable to optimize Big Data applications and clusters.