Analyzing the idg enterprise cloud computing study cloud adoption
Post on 17-Jul-2015
Analyzing the IDG Enterprise Cloud Computing Study: Cloud Adoption
In the previously discussed part 1 and part 2, we tried understanding the current state of cloud
and why should you plan to invest in cloud. In this weeks blog we will try to understand the adoption of cloud and how many enterprises are planning to move their applications and
processes to the cloud.
Adoption of cloud services entails investments and it is not easy always to convince the decision
makers to move their application to the cloud. However, there has been a significant shift in how
top executives are viewing cloud services year-on-year. According to the survey, it was
relatively tougher to convince decision makers such as CFOs, board of directors, CEOs to adopt
cloud services in 2013 than it was in 2014. The survey sheds an interesting pattern in which it
was showcased that among the various top level executives who had to be convinced about the
benefits of cloud, 27% voted that CFOs were the toughest to be convinced. However, in 2013,
35% of the respondents felt that CFOs were the toughest. Similar pattern is observed across the
organization with respondents feeling that it is getting easier to convince the decision makers
about investing in the cloud. This trend buttresses an invaluable underlying trend which is that
everyone including the top-level management in the organization have begun understand the
value of cloud computing.
Now that enterprises have decided on moving applications to the cloud, it is worth analyzing
what are the various types of applications that are being migrated. Among the various
applications email/messaging are the prominent applications with 49% of the respondents
answering that their organization is currently using or migrating. Closely following is the
collaboration/conferencing solutions that 43% of the organizations are currently using or
migrating. Other important applications that is either being migrated or being planned to migrate
over the next 12 months include customer relationship management, sales force automation, data
storage/data management, content management systems, business/data analytics among others.
One important thing to be noted is that majority of the enterprises are still reluctant to migrate
security and management related applications. The apprehension regarding the security in cloud
is playing a significant role in influencing the decision of enterprises to move these critical
applications to the cloud. The recent attacks by hackers on the sensitive cloud data is only
increasing the insecurity among the enterprises to migrate to the cloud. Cloud providers are also
addressing the issue effectively by upgrading the security systems in the cloud to ensure
maximum security to the mission critical enterprise data. Applications such as ERP, security
management, supply chain management, product lifecycle management and compliance
management are among the few that have less than 20% of enterprises are operating in the cloud
and more than 50% of the enterprises feel that they wouldn't plan migration of these applications
in the next 3 years.
Among the various cloud computing tools, IaaS and PaaS are most preferred by the enterprises.
Larger enterprises with over 1000 employees lead the adoption than the companies with less than
1000 employees. As of 2014, 35% of the surveyed companies are currently using IaaS services
and 26% are using PaaS while only 22% and 15% of the smaller companies are using IaaS and
PaaS respectively as of 2014. At the same time, close to 25% of the large enterprises plan to
implement cloud computing services over the next 12 months while nearly 20% of the smaller
companies plan to invest in the cloud over the next 12 months.
In the next blog, we will analyze the organizational impacts from the cloud.
DoubleHorn is a leading cloud based Managed Services Provider, founded in January 2005 and
based in Austin, TX. We specialize in delivering Cloud Services, Managed Communications
and Consulting to the Enterprise, Government and SME (Small and Medium Enterprise)
sectors. If you are new to the cloud and not sure how to get started, contact us for a
complimentary initial assessment at firstname.lastname@example.org or (855) 61-VOICE.