Can Cloud Computing Make IT More Strategic?
Posted by Bill Ives on Wed, Apr 06, 2011
Here is an interesting study by IDG that found that cloud computing is enabling a more central role for IT in shaping business strategy and driving innovation. The research polled 200 IT managers in the U.S. and Europe. The vast majority (96 percent) believes that the primary role of IT has changed over the past five years, and 71 percent feel the trend to continue over the next two years. While 54 percent of the survey participants acknowledge the current value of IT is largely defined by its role as owner and operator of IT infrastructure, they believe within two years, the primary value of IT will become managing the IT supply chain. Half feel that the cloud is contributing to this change.
Looking further into the results, IT professionals believe cloud computing can accelerate agility (63 percent), innovation (58 percent) and collaboration with the enterprise (57 percent). Respondents also anticipate cloud computing will boost IT productivity (55 percent) and decrease the resources dedicated to IT support (40 percent). These changes will likely trigger a demand for more business and management experience in senior IT professionals. Nearly 70 percent of respondents feel an increasing number of CIOs and senior IT staff will have a business (as opposed to a technology) background in the future.
The nimble nature of cloud based IT coupled with the reduction in maintenance needs, should allow CIOs to focus more on business issues. However this transition will set up challenges. At last year's MIT CIO Symposium, panelists talked about the CIO Paradox. They have to drive innovation, manage risk, and control costs and these goals can be at cross purposes. They often inherit costly legacy systems and then are told to go forth and innovate. I wonder what the talk will be at the 2011 session. I am planning to attend and will be reporting on it here.
We are a big believer in cloud based services are at Darwin Ecosystem. It has certainly allowed us, as a software developer, to be more strategic and focus more on the capabilities of our offering and less on the the bits and bytes of creating it. It also allows us to offer a low maintenance service to our clients.