It’s clear that many organizations with managed infrastructure service agreements are taking a long, hard look at new vendor-hosted cloud Infrastructure as a Service (IaaS) offerings. Promises of faster, cheaper and more flexible are hard to ignore. In fact, when TPI surveyed its clients about which cloud-related services they were evaluating, four of the top five areas were related to IaaS, including virtualization, storage and computing services.

TPI believes that the mid-market is taking the lead in adopting cloud-based infrastructures; however, we also have found that as companies begin to investigate the available offerings they quickly find themselves overwhelmed with the options, which can include private, private-managed and public cloud IaaS services.

The IaaS space is growing and maturing very quickly and TPI views these services as a spectrum of possible solutions, not a “one size fits all” market. Here’s why:

The small- to middle-market is currently leading the way in the adoption of public cloud services for collaboration and customer relationship management (CRM). As more mission critical lines of business and back office applications migrate to the cloud, understanding the key checkpoints along the managed service-to-public cloud spectrum will continue to grow in importance as well.

The Managed Service-to-Public Cloud Spectrum

Managed Service-to-Public Cloud Spectrum- blog image



Based on current trends, TPI believes that many mid-market clients will begin to adopt a “hybrid” approach to the cloud, using services along the spectrum, based on technology fit and appetite for risk. Moving further up the spectrum creates significant opportunities to reduce cost and increase speed, but comes at a price: a more standardized technology stack and increased reliance on shared technology infrastructures.

These services can be sourced from multiple providers to maximize flexibility, or can be purchased from a single provider, in order to leverage buying power. Either way, viewing managed services, private cloud and public cloud as a spectrum of available options will allow you to find the right fit based on your business and technology requirements.

Originally posted by Stanton Jones, Vice President and Chief Information Officer, TPI, on Consider the Source


Middle Market Focus: The Journey from Managed Service to the Public Cloud

It’s clear that many organizations with managed infrastructure service agreements are taking a long, hard look at new vendor-hosted cloud Infrastructure as a Service (IaaS) offerings. Promises of faster, cheaper and more flexible are hard to ignore.

In fact, when TPI surveyed its clients about which cloud-related services they were evaluating, four of the top five areas were related to IaaS, including virtualization, storage and computing services.

TPI believes that the mid-market is taking the lead in adopting cloud-based infrastructures; however, we also have found that as companies begin to investigate the available offerings they quickly find themselves overwhelmed with the options, which can include private, private-managed and public cloud IaaS services.

The IaaS space is growing and maturing very quickly and TPI views these services as a spectrum of possible solutions, not a “one size fits all” market. Here’s why:

  • Making the leap from a traditional, non-virtualized managed service to a vendor-hosted private cloud is typically most influenced by technology considerations: will my applications work in a fully virtualized environment? For most modern applications, the answer is yes; however, for legacy applications or large, transaction-intensive databases, virtualization may not be the right approach and may need to stay where they are in a managed service.
  • The considerations for moving from a vendor-hosted private cloud to a public cloud offering usually coalesce around business risk: am I comfortable having my data reside on the same physical hardware as other customers? For most data, a multi-tenant environment is appropriate, but there are some categories of data that require more scrutiny (e.g., intellectual property, personal data). In addition, it’s important to understand your clients’ requirements with their data. While it may be totally acceptable to have your data in a shared environment, your clients may feel otherwise. These applications may need to stay within a private cloud environment.

The small- to middle-market is currently leading the way in the adoption of public cloud services for collaboration and customer relationship management (CRM). As more mission critical lines of business and back office applications migrate to the cloud, understanding the key checkpoints along the managed service-to-public cloud spectrum will continue to grow in importance as well.

The Managed Service-to-Public Cloud Spectrum

Managed Service-to-Public Cloud Spectrum- blog image



Based on current trends, TPI believes that many mid-market clients will begin to adopt a “hybrid” approach to the cloud, using services along the spectrum, based on technology fit and appetite for risk. Moving further up the spectrum creates significant opportunities to reduce cost and increase speed, but comes at a price: a more standardized technology stack and increased reliance on shared technology infrastructures.

These services can be sourced from multiple providers to maximize flexibility, or can be purchased from a single provider, in order to leverage buying power. Either way, viewing managed services, private cloud and public cloud as a spectrum of available options will allow you to find the right fit based on your business and technology requirements.

Originally posted by Stanton Jones, Vice President and Chief Information Officer, TPI, on Consider the Source

Blogger Profile: Consider the Source
TPI is the leader in guiding organizations through effective, lasting transformation of their business support operations. Around the globe we have helped hundreds of clients reduce operating risks, streamline complex operations, improve the cost of support functions, achieve sustainable improvements and make competitive gains. Decisions to change and successful transition of existing operations to new service delivery models is hard — and replete with risks. While the decisions are never formulaic, the hard-earned lessons of hundreds of prior evaluations are invaluable.

Posted by Sue Ansell at January 25, 2011 11:45 AM

Categories: Cloud computing Trends

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