One Major Reason Companies Abandon Cloud Projects

Loraine Lawson
Slide Show

Five Questions to Ask Before Choosing a Cloud Platform Solution

One of the main reasons cloud computing is taking off is that it’s just so darn easy. It’s cheap, it’s quick, and you don’t need to go through a lengthy battle to do it. You’ve heard it a hundred times — it only takes a credit card and you’re up and running.

But while that may be what makes cloud popular, it’s not the best way to leverage cloud computing’s real power, writes Rex Wang, vice president of Oracle’s Product Marketing, in a recent Forbes column.

By taking a long-term, strategic approach to cloud computing, you can use cloud computing to drive transformational change, he writes.

“Thinking big and taking a long-term view are critical,” he writes. “Accelerating the pace of business innovation, dramatically simplifying IT, and increasing responsiveness to dynamic business needs are what CEOs demand from their CIOs, and cloud computing can help make this happen if it’s done right.”

As I read Wang’s column, it quickly became clear that integration plays a key role in making that shift from cloud computing as a convenience to cloud computing as a strategic asset.

Let’s look at his example of one way you can use cloud computing for transformation:

“For example, organizations can use cloud computing to transform sales, marketing, and customer service processes by integrating social, mobile, and big data insight if the underlying cloud platform has those capabilities built-in.”

Integration is tricky, though. If you’re smart and think about it as a strategy worth pursuing in its own right, it pays off. But if you neglect it, it can be a major problem for IT and business users.

That’s true on the ground, and it’s true in the cloud, as well, and Wang cites underestimating the difficulty of integration between the two as a common pitfall of cloud computing projects.

Most senior business managers know it, too. Wang cites a global survey that asked 1,355 senior business managers about their cloud experiences. Eighty-one percent cited full integration as an important requirement for achieving the full benefit of cloud computing.

“In many cases, lack of cloud integration is cause to pull the plug entirely,” Wang writes. “The study also revealed that ‘companies have abandoned roughly one cloud application a year due to integration problems.’”

That’s probably because the expense of integration can quickly eat up any financial gains cloud gives you, he adds.

It’s yet more proof of what most of you intuitively knew all along: Cloud with integration is like a pencil without lead - pointless.

It doesn’t have to be this way. For more on how to make sure you’re ready to deal with cloud computing’s integration challenges, check out “Four Ways to Solve Cloud Integration, for Better or Worse” and “Finding Help with Cloud Integration,” which focuses more on SaaS, but includes many recommendations that are applicable.

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Add Comment      Leave a comment on this blog post
Sep 27, 2013 8:06 PM MarkMillerITPro MarkMillerITPro  says:
Did you mean Cloud withOUT integration? Reply
Oct 7, 2013 2:56 PM Shawn Douglass Shawn Douglass  says:
Yes, taking the long-term view is critical. Without it, I also see way too many rip and replace projects, though integration is just a piece of the puzzle. All too often I see businesses selecting vendors based on existing relationship or price, rather than their long-term contribution to the end-goal. IT needs to assess cloud technologies in tandem with their goals, selecting a Sherpa that will provide integrations as a mechanism to increase productivity and lower cost, accelerate the release of new applications and services to market, increase business agility and boost their competitive advantage. For more: http://www.servicemesh.com/cloud-it-resources/cloud-strategy-transform-it-blog/blog/cloud-governance/ - Shawn Douglass, CTO ServiceMesh Reply
Dec 17, 2013 7:10 PM Loraine Lawson Loraine Lawson  says: in response to MarkMillerITPro
That second to last paragraph should be without integration, not with integration. I will ask to have it fixed. Thank you. Reply

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