Organizations increasingly depend on distributed workforces and information (data) sharing. When designing the right collaboration ecosystem for a unique organization, the two (2) basic models are on-premise versus cloud systems.
Each system has strengths and weaknesses. Key issues include: security, integration, compliance, content management and IT management.
Traditional on-premises deployment models are usually well designed, secure and easy to manage. On the other hand, they rely on three- to five-year refresh cycles, prevent frequent software updates that make collaboration easier and more efficient from reaching employees.
Online collaboration tools, which sit outside the firewall and are easily delivered to PCs and smart mobile devices, allow information to flow freely between those behind and those outside of the organization firewall. On the other hand, this provides serious security and legal compliance challenges. Cloud models update frequently providing greater agility and flexibility.
Cloud collaboration systems provide:
■ Tools that make the business more agile and responsive. Organizations need tools that allow employees to easily share information among themselves, as well as with partners and customers. Online collaboration tools, which sit outside of the corporate firewall, provide a centralized workspace that allows all participants in an organization’s ecosystem — suppliers, partners and customers — to work collectively.
■ Features and functions that evolve as the world changes. Cloud deployments provide faster delivery of new features and functions.
■ Technology that easily supports a mobile and remote workforce. Employees working outside of the organization physical office is the new norm. This means providing employees with tools that keep them connected and that are accessible from a wide range of devices — PCs, smartphones, and tablets — enabling workers to be productive. Online collaboration service vendors serve these mobile and remote workers with browser-based tools and mobile apps — both native and HTML5 — that facilitate anywhere access.
The following tables - from Gartner's "Forecast Overview: Public Cloud Services, Worldwide, 2011-2016, 4Q12 Update Published: 8 February 2013" - provide insights into each category of public cloud computing spending throughout the forecast period.
Gartner recently released "Forecast Overview: Public Cloud Services, Worldwide, 2011-2016, 4Q12 Update Published: 8 February 2013." The following is a brief summary:
Global spending on public cloud services is expected to grow 18.6% in 2012 to $110.3B, achieving a CAGR of 17.7% from 2011 through 2016. The total market is expected to grow from $76.9B in 2010 to $210B in 2016. The following is an analysis of the public cloud services market size and annual growth rates:
Gartner predicts that Infrastructure-as-a-Service (IaaS) will achieve a compound annual growth rate (CAGR) of 41.3% through 2016, the fastest growing area of public cloud computing the research firm tracks. The following graphic provides insights into relative market size by each public cloud services market segment:
Platform-as-a-Service (PaaS) will achieve a 27.7% CAGR through 2016, with Cloud Management and Security Services attaining 26.7% in the same forecast period. Software-as-a-Service’s CAGR through 2016 is projected to be 19.5%. The following graphic illustrates the differences in CAGR in the forecast period of 2011 – 2016:
Gartner is projecting the SaaS market will grow at a steady CAGR of 19.5% through 2016, having increased the forecast slightly (.4%) since its latest published report. Global SaaS spending is projected to grow from $13.5B in 2011 to $32.8B in 2016.
CRM will continue to be the largest global market within SaaS, forecast to grow beyond $5B in 2012 to $9B in 2016, achieving a 16.3% CAGR through 2016. The highest growth segments of the SaaS market continue to be office suites (49.1%), followed by digital content creation (34.0%). The following graphic rank orders CAGRs across all public cloud services segments from the forecast period:
59% of all new spending on cloud computing services originates from North American enterprises, a trend projected to accelerate through 2016. Western Europe is projected to be 24% of all spending. A graphic comparing total spending by geography and corresponding growth rates is provided below:
Dimensional Research conducted a survey of business and IT leaders on the drivers of cloud adoption. Key findings include:
• Cloud adoption is driven by multiple factors
- CIOs report a wide range of reasons for adopting cloud applications, including compliance requirements
(58%), better value (53%), and competitive advantage (51%)
- Business executives cite one key driver for choosing cloud applications, better value (80%)
• Employees like using cloud applications
- 79% of all participants report that employees believe experience with cloud applications is beneficial
- 95% of CIOs say that IT employees want to gain expertise with cloud applications
- 83% of CIOs have no problem finding technical help for cloud applications
• Outdated on-premise software is common
- 61% report critical applications that have not been updated recently
- 14% have business critical software that has not been updated in over four years
- 28% of CIOs with current maintenance requirements for business-critical software lack confidence that they
are in compliance
The Cloud has come a long way in a few short years. Below is a survey, based on 460 interviews with IT executives and business decision-makers, across 7 sectors, and selected countries in key regions, carried out by independent research company Coleman Parkes.
The result: there’s clear evidence that the business, rather than purely IT, is becoming involved in driving Cloud strategy, and pioneering its use for ‘edge’ growth initiatives.
Simply put, we are observing the evolution of what we call Business Cloud.
Outlined are five key findings and recommendations to create a successful roadmap to cloud adoption.