Cloud Computing: Why we should watch Cisco’s perilous reinvention

Grazed from BusinessSpectator.  Author: Robert Gottliebsen.

What is happening at Cisco should be an alert not only to those in the information technology industry but to all companies and governments.  Frankly, how companies adapt to cloud computing will determine whether they succeed or fail in the current environment.  In Australia we have bloated government costs and cloud computing represents a rare opportunity to reduce those costs and improve services – but you have to get it right.

As we saw with the Virgin breakdown, new systems can cause chaos if they get into trouble.  For IT companies like Cisco this is make or break time. Get it wrong and you head on a rapid road down. Earlier this month I described how vital cloud computing would be to banks and how SAP was attempting to transform itself as part of that revolution (A dividend danger is clouding bank fortunes, August 8)…

Now at Cisco, the 64-year-old chief executive, John Chambers, who has been Cisco’s chief executive for 18 years, is faced with the task of once again re-inventing the giant computer company.  Cloud computing changes the rules for Cisco just as it does for its customers. Chambers has re-invented the company several times over his 18 years but this task will be his hardest…

Read more from the source @ http://www.businessspectator.com.au/article/2013/8/16/information-technology/why-we-should-watch-ciscos-perilous-reinvention