Lack of cloud governance model complicates adoption story
June 14, 2016
Grazed from TechTarget. Author: John Moore.
As the story of cloud computing continues to unfold, channel partners are encountering some interesting and perhaps unexpected plot twists. Recent research suggests organizations continue to push decisively to the cloud. Survey results released last week by Insight Enterprises, a hardware, software, cloud and service provider based in Tempe, Ariz., revealed that more than 80% of organizations plan to invest in cloud services in 2016.
Large and medium-sized organizations are poised to be the biggest adopters, but 72% of small companies are also ready to invest in cloud technology. The Insight-commissioned research is based on a survey of 403 IT professionals. But while adoption continues, many organizations lack a coherent cloud governance model and financial management strategy for successful deployment…
The result is cost overruns, which undercut the cloud’s reputation as being less expensive than on-premises technology. In addition, enterprises watching the earnings before interest, taxes, depreciation and amortization (EBITDA) line may balk at cloud adoption because it contributes to operational costs. The ability to treat IT as an operational versus a capital expense has been frequently cited as an important plus for cloud computing…
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