Cloud Decison Framework for CIOs
Cloud Computing has become the hottest buzzword in the IT industry, every major company, from Google, Oracle, Microsoft, Amazon to numerous start ups are offering Cloud services of some kind. With the increasing number of services and the economic advantages of moving to the ‘Cloud’ businesses are baffled to decide the right cloud solution that serves best to their organizational and business requirements. What factors must the CIOs weigh, evaluate,what scenarios should CIOs forsee, How to evaluate the ROI of moving to the cloud, Are ROI and other new value derived from moving to the cloud the only factors to be considered ? – What other parameters/factors should be taken into account when moving to the cloud ? The research addresses these critical questions.
The research presented in this report is aimed at cutting through the confusions, concerns businesses face when they evaluate cloud offerings.
A generic decision framework is presented which is intended to assist CIOs to decide on the best cloud offering according to the business requirements and organizational constraints.
Clayton Christen’s Disruptive Innovation theory is applied to identify New value, Incumbent technology values in the context of Cloud solutions. Factors such as Time to market, Elasticity, Transfer of Capex(capital expenditure) to Opex (operational expenditure), Transfer of Risk, Vendor lock in issues, How to asses depreciation of infrastructure over a period of time is presented by taking into consideration Impact on business,organizational processes. The role of IT infrastructure with business success is considered.The decision framework acts as a tool to align IT with long term business strategy.
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