There has never been a time in business computing history when companies like yours have been more dependent upon the cloud. But what cloud? What kind of cloud?
Those questions matter.
Gartner’s October 28, 2020 report entitled, “Choose the Best Cloud Operations Delivery Model for Your Organization’s Needs,” highlighted an existing problem among cloud-dependent companies.
“Through 2023, 80% of large enterprise organizations that attempt to scale up cloud operations using traditional I&O (Infrastructure & Operations) silos will fail to meet customer expectations of cloud agility.”
What is at Stake for AEC Organizations?
Gartner points to four “negative impacts” that can result from cloud operations using traditional I&O.
· Slow addition of capabilities
· Challenge of managing costs
· Lower reliability
· Lesser stability
What Course Does the Gartner Report in Addressing This Potential Business Growth Harm?
As you dig into Gartner’s report, two main concepts become clear for the business owner.
1. Cloud operations must evolve on-pace with your organization
2. Speedy cloud implementation must be balanced with its ability to scale with your company.
Let’s take each of these concepts and break them down.
Your Cloud Operations Must Evolve On-pace With Your Organization
One of the irreversible changes that the COVID-19 pandemic has brought to the business world is a new enthusiasm for cloud-based workflow. Although MSPs and Cloud providers had been proclaiming the cloud’s business continuity benefits for years, many had not seen it in action until they had to send their workforce to work from home.
Some had to scramble and make use of less-than-ideal cloud solutions – just to survive the past year.
Others had invested in private cloud infrastructure to handle GPU-heavy workloads and facilitate remote work situations with ease.
Although details of our data centers and cloud designs are beyond the scope of this post, it’s important to know that not all “clouds” are created equal. The IronOrbit private cloud has been built with security baked into the process, using cutting-edge models that provide optimal performance for the heaviest of AEC workloads.
You Must Balance Speedy Cloud Implementation with the Cloud’s Ability to Scale with Your Company
Lightning-fast cloud adoption was one of the business technology decisions that had to be made by many companies under duress of the pandemic.
While not all businesses wanted to – or were able to – move all their processes to a cloud environment during the first COVID wave, the forced cloud adoption required on-the-spot cloud choices that may not have been the best fit for the company’s long-term strategy.
But it’s still happening.
Businesses without high-level IT guidance or a well-defined IT roadmap are jumping into cloud-hosted applications and public cloud solutions before realizing it’s not going to work with a long- term strategy. Use a cloud design not for where your company is at today, but for where your company wants to be tomorrow.
Unfortunately, many AEC companies have made a “giant leap” into cloud environments that were not designed to support the GPU work their firms do every day. Or it’s a cloud solution that doesn’t align with the long-term strategy. As a result, those companies experience frustrations. They don’t have the control they expected, or their remote work is hobbled because their applications are too slow.
The good news is that this leap into the wrong cloud is not irreversible. AEC firms can shift gears and partner with IronOrbit. Our GPU-Accelerated INFINITY Workspaces are purpose-built for the kind of data-heavy resource-hungry apps AEC firms work with daily.
The Cloud is Here to Stay
Gartner predicts that “by 2025, 80 percent of enterprises will migrate entirely away from on-premises data centers with the current trend of moving workloads to colocation, hosting and the cloud leading them to shut down their traditional data center.”
The pandemic put their prediction on fast-forward.
Experts assert that in many areas of society the pandemic has forced us to embrace 10 years of progress (for good or bad) in just one year. The “giant leap” into the cloud by many businesses that were not considering it in January 2020, is not going to be reversed. Nobody’s going back to on-premise servers.
Now that the end of COVID is in sight, your AEC firm can turn its attention to moving to the cloud infrastructure that best supports your work-from-anywhere, graphics-heavy workflow.
Want to know more about IronOrbit’s GPU-Accelerated INFINITY Workspaces? We’d welcome the opportunity to demonstrate its tremendous capabilities.
Discover for yourself why more and more AEC firms are choosing IronOrbit.
Because the world is more fluid, unpredictable, and less stable than ever, the cloud represents a resilient business strategy that is sustainable.
Business optimization is the process of making your operations more efficient and cost-effective. Moving to the cloud enables these improvements to happen easily and with great flexibility.
For enterprise organizations, being in the cloud provides them with the ability to scale up their infrastructure quickly, without setting up an additional in-house hardware. It’s not only fast, but it reduces the cost associated with development.
Employees can access files using Smartphones, laptops, and tablets while you reduce operational costs, boost speed, and improve accuracy.
That’s just the beginning. But still, we’re just scratching the surface of what the transformational “supernova” known as the cloud can do for your business.
Moving to the cloud is not a cure-all solution that is going to solve all your optimization and business continuity challenges. Sure, there will be great benefit in simply migrating your IT infrastructure to the cloud, but to fully benefit from this game-changing technology, leaders have to seek out the cloud solution that is optimized for their unique needs. Not all companies are created equal, and neither are clouds.
Cloud Optimization is about delivering business efficiency to your organization. Leaders need to target objectives, look towards future trends, and make predictions as best they can. These insights help IT operations make better cloud decisions and accelerate business innovations that will impact the future of your company. Remember, it’s not just a matter of surviving the years ahead. The goal is to thrive and, ideally, have the ability and wherewithal to shape your own future.
DID SOMEONE SAY, “BUSINESS CONTINUITY?”
It just so happens that being in the right cloud environment also ensures business continuity!
Let’s face it. There are many ways organizations can be disrupted.
There are natural disasters, service outages, security breaches, industry innovations/competition, and now, add lockdowns caused by pandemics to the list.
Without implementing a business continuity strategy as a part of an overall cybersecurity roadmap, any process optimization changes you make can be taken away from you in a second. By being in the cloud (instead of utilizing on-site servers to back up your data and host your applications), the cybersecurity and business continuity elements are already baked into your solution. This assurance of security and reliability gives you the freedom to customize and tweak your internal, IT-supported processes and innovate more effective ways to develop and deliver your products and services.
The decisions you make about your cloud infrastructure can determine the future of your company.
Imagine for a moment that you’re the CEO of one of the top three travel management companies in the USA. You’ve got more than 1,000 employees and twenty-plus locations scattered across the country.
But you’ve got a BIG problem.
The in-house infrastructure you implemented ten years ago is now out of date, operationally overloaded, and in urgent need of hardware, software, and security upgrades.
What to do?
Well, you could invest hundreds of thousands of dollars in new in-house hardware, software, and security solutions, or, you could start looking at the cloud as a potential game-changer for your growing enterprise.
He chose to use IronOrbit’s cloud infrastructure to help his organization take the next step in business optimization.
Darryl says, “Our success in the travel industry comes down to our ability to leverage technology and put it to work for our customers. IronOrbit helps us keep that competitive edge.”
Harnessing the Cloud for Business Optimization
5 Things You Need to Know
1. Know the Competition
It’s not a surprise that many companies are already using the cloud to house their data and infrastructure. Gartner, one of the industry’s leading think tanks, shows the numbers behind the massive move to a cloud-first infrastructure across all industries.
In an article titled Cloud Shift Impacts All IT Markets Christy Pettey of Gartner notes that “Gartner’s latest IT spending forecast shows that spending on data center systems is forecast to be $195 billion in 2019, but down to $190 billion through 2022. In contrast, spending on cloud system infrastructure services (IaaS) will grow from $39.5 billion in 2019 to $63 billion through 2021.”
What do all these big-dollar forecasts mean for you?
Your competition is either considering a move to the cloud, or they’re already there.
2. Know the Costs
Cost is always a factor. Doing the math and understanding what cloud infrastructure will mean for your business optimization goals, in conjunction with your budgeting, is critical. Here are some factors related to cloud infrastructure costs.
OPEX vs. CAPEX – Cloud-first business optimization strategies allow you to get away from the life cycle (and break/fix cycle) of in-house IT infrastructure and move the IT budgeting from the CAPEX side of the ledger to the OPEX side.
Scaling Cost with Requirements – Although a company with infinite resources can afford to build IT capacity that they won’t use for 3 to 5 years, your company isn’t likely in that position. Cloud infrastructure allows you to utilize economies of scale and level-up your expenses only when your business process growth requires.
Budgeted Expenditures – Predictability is valuable. The cloud simplifies IT budgeting because all maintenance, updates, security, and upgrades are done by the cloud provider within a stable, monthly fee.
Improved Performance Raises Productivity and Lowers Costs – Improved efficiency and increased productivity have to be considered when it comes to the cost/benefit analysis of cloud infrastructure for business optimization. Profitability arises when employees can easily access their work without spending time on keeping their computers functioning and secure.
3. Know the Process
The unknown is everyone’s primary source of worry. When the IronOrbit team explains the cloud migration process to a business leader, he/she then has the clarity and information needed to make a decision about utilizing a cloud environment to improve business optimization.
This is how an enterprise cloud migration/implementation process works.
Consultation – Getting together with the key stakeholders in the client company to explore their goals for the cloud migration or implementation
Exploration – Digging in and getting a firm grasp on the current IT assets of the client company and the processes that those IT assets support
Collaboration – Working with the in-house IT organization of the client company to determine a roadmap for moving data and IT-supported processes into the cloud
Presentation – Submitting completed migration roadmap to client company leadership for review and approval
Implementation – Moving data and workflow in stages into the cloud in accordance with the roadmap that has been established and working in coordination with the client organization’s IT team
Testing and Quality Assurance – Ensuring that each stage of the migration process has been completed successfully and is achieving the desired/expected results, i.e., optimization of business processes
4. Know the Hurdles
Some companies try to tell you that moving enterprise systems from in-house IT assets to cloud infrastructure is a breeze, but they just aren’t telling you the truth. The fact is that enterprise IT assets are complicated. Moving them into the cloud is a complex procedure. That’s why it’s critical to choose the right team to handle the tough stuff and to help you get over the operational hurdles you must face before a cloud-first strategy results in business optimization.
Hurdle #1 – Buy In
Getting key stakeholders to get on board with a cloud implementation to achieve better business optimization is one of the first hurdles you will face. People like infrastructure that they can see and touch. As a result, there is an innate bias against cloud infrastructure – even if it is better on many levels than buying and maintaining in-house IT assets.
Hurdle #2 – Bandwidth
When your entire data and workflow are securely accessed through an internet connection, it’s critical that your business has reliable bandwidth to handle the traffic and a backup IP.
Hurdle #3 – Training
Optimizing business processes through the utilization of cloud assets is a game-changer. It’s important not to leave your staff in the dark. Each step of the process needs to be communicated from the top down. Talk to the employees that are most impacted by the change. Cloud implementation needs to be framed as a positive for the employees. They need to be trained on new aspects of the process that have been impacted by the cloud implementation.
5. Know the Benefits
Using cloud-based data sets, servers, and desktops, your organization can work to drive real-world business advantages. Here are just a few examples of them.
We’ve saved the best for last!
As mentioned in an earlier IronOrbit blog, the cloud has tremendous energy. The information travels up and down. Large amounts of digital information move in every direction. You need to learn to go with the knowledge flow if you’re going to thrive. The flow of knowledge stocks on the cloud will better equip you to look ahead, predict trends, and respond in a timely manner to the ever-changing market. Being in the cloud ensures that you are interconnected globally, where ideas and knowledge are exchanged freely.
It’s not just about knowledge flows, though that’s compelling enough. It’s also about being able to take advantage of leading-edge technology as it becomes available.
Consider the March 1, 2019, Deloitte article, CLOUD-BASED SERVICES ARE MAKING IT EASIER FOR COMPANIES TO USE AI. “These streamlined ways of using AI are coming at the right time as organizations recognize the value of investing in AI to improve their competitiveness. Companies without a great deal of AI expertise can still benefit, as user-friendly cloud services continue to improve and proliferate. The message for companies that want to remain competitive is that they need to jump in – and it’s never been easier or more essential to tap into the power of AI.
Business Optimization is achieved when gaps in process and technology challenges are addressed in relation to the resources available. Today’s business optimization isn’t about a one-time restructuring, but rather an ongoing, dynamic alignment of people, processes, and technology. This kind of strategic agility can only be supported adequately in a cloud infrastructure. The Harvard Business Review article by Nicholas Bloom and Nicola Pierri, from August, 31, 2018, makes the point clear. “Flexible access to computing resources allows firms to scale-up (or down) rapidly and to experiment with new products and features. The operational agility can be particularly valuable when facing uncertain demand or a fast-evolving competitive environment.”
Another strong case for using cloud technology to optimize business is made earlier in the same article. It reports that cloud computing is an unusual technology that “provides high-powered computing without the overhead costs associated with in-house software and hardware provisions.”
THE BIG PICTURE
Here’s the most important question.
If you’re not going to utilize the cloud for continuous collaboration of processes to meet market demand and stay ahead of the competition, what are you going to do – and how much money are you going to have to spend to make it happen?