enterprise cloud stakeholders speak: adoption patterns, barriers & post-adoption 'cloud...
DESCRIPTION
Keynote presentation from Cloud Connect Chicago 2012 summarizing results from a joint Everest Group - Cloud Connect survey on enterprise cloud adoptionTRANSCRIPT
Enterprise Stakeholders Speak:Adoption Patterns, Barriers & Post-Adoption “Cloud Sentiment”Cloud Sentiment
September 12, 2012
Why Do Another Cloud Survey?
•• ‘Peel back the ‘Peel back the onion’ on adoption onion’ on adoption patternspatterns Survey Respondents
100% = 346
•• Assess postAssess post--adoption reality vs adoption reality vs
Cloud Service Providers
Consultants / Advisors
buyer expectationsbuyer expectations
•• Identify cloudIdentify cloud37%
31%
Identify cloud Identify cloud market market ‘disconnects’‘disconnects’
E t i / Cl d
32%
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Enterprise / Cloud Service Buyers
What Did We Look At?
Overall Enterprise Adoption PatternsOverall Enterprise Adoption Patterns• Use case •• PlatformPlatformUse case• Stack layer
Underlying Adoption DriversUnderlying Adoption Drivers
PlatformPlatform•• VerticalizationVerticalization
y g py g p• Business • Technology
DecisionDecision--Making ProcessMaking Process•• Functional involvementFunctional involvement•• Executive roleExecutive role
Adoption ResultsAdoption Results and Satisfactionand Satisfaction•• ITIT
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•• BusinessBusiness
Business Factors are Primary Drivers of Adoption
TOP ENTERPRISECLOUD ADOPTION DRIVERS
TOP ENTERPRISECLOUD ADOPTION DRIVERS
S d1) 1) Reduced time for application / Reduced time for application /
infrastructure provisioninginfrastructure provisioning1) 1) Reduced time for application / Reduced time for application /
infrastructure provisioninginfrastructure provisioning
CLOUD ADOPTION DRIVERSCLOUD ADOPTION DRIVERS
• Speed
• Flexibility
infrastructure provisioninginfrastructure provisioninginfrastructure provisioninginfrastructure provisioning
2)2) FlexibleFlexible capacitycapacity2)2) FlexibleFlexible capacitycapacity
3) 3) LackLack of internal of internal 3) 3) LackLack of internal of internal Flexibility
• Scale
))technical resourcestechnical resources
))technical resourcestechnical resources
4) Desire to “variabilize” cost4) Desire to “variabilize” cost
5) Reduction in TCO(Total Cost of Ownership)
5) Reduction in TCO(Total Cost of Ownership)
6) Industry-specific factors6) Industry-specific factors
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6) Industry-specific factors6) Industry-specific factors
While SaaS has Driven Most Adoption to Date, IaaS is Set to Accelerate
Already adopted Adopt in distant future
Enterprise Cloud Adoption by Cloud Layer Enterprise IAAS Adoption Plans
Adopt in near future No plans to adopt
57%28%
10%5%
Software as a Service (SaaS)
No plans for cloud infrastructure
38%
31%
25%
26%
27%10%
Platform as a Service (PaaS)
48%
18%
30%
26%
36%
26%
23%
18%
11%
Public cloud (IaaS)
Private cloud (IaaS)
34%
Plan toAlready have28%
17%
27%22%
11%
23%
Business Process as a Service (BPaaS)
Plan to implement cloud
infrastructure
Already have cloud
infrastructure
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27%36%
20%Hybrid cloud (IaaS)
Future Adoption Plans Are Primarily Focused on Enabling Business Capabilities
Enterprise Cloud Adoption by Use Case
29% Future migration planned29%
28%
25%
17%
28%
31%
19%
24%
Application development/test environment
Custom business applicationsAlready migrated
Currently migrating
Future migration planned
No migration planned
25%
25%
16%
20%
46%
24%
13%Collaboration / email
Disaster recovery/storage/data
22%
20%
25%
42%
32%
14%
22%
Disaster recovery/storage/data archiving
E-commerce and on-line tools
19%
18%
16%
19%
39%26%
Business intelligence/analytics
ERP
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%25%
37%ERP
Enterprise Cloud Buyers are Satisfied
82%of cloud buyers met their
flexible infrastructure
bj ti71% of cloud buyers met their
time to marketobjectives objectives
64% were satisfied with
the current results from 88%Expect to achieve greater
benefits from cloud 64% the current results from
their cloud initiatives88%benefits from cloud
solutions in the future
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Cloud Vendors Think It’s About Cost. It’s Not.
TOP ADOPTION DRIVERS ACCORDING TO:
1) Reduced time for application /1) Reduced time for application /1) Reduced time for application /1) Reduced time for application /
BUYERS:BUYERS: CLOUD VENDORS:CLOUD VENDORS:
1) Reduction in TCO1) Reduction in TCO1) Reduced time for application / 1) Reduced time for application / infrastructure provisioninginfrastructure provisioning
1) Reduced time for application / 1) Reduced time for application / infrastructure provisioninginfrastructure provisioning
2) Flexible2) Flexible capacitycapacity2) Flexible2) Flexible capacitycapacity
3) L k3) L k f i t lf i t l3) L k3) L k f i t lf i t l
1) Reduction in TCO(Total Cost of Ownership)
1) Reduction in TCO(Total Cost of Ownership)
2) Flexible2) Flexible capacitycapacity2) Flexible2) Flexible capacitycapacity
3) R d d ti f li ti /3) R d d ti f li ti /3) R d d ti f li ti /3) R d d ti f li ti /3) Lack3) Lack of internal of internal technical resourcestechnical resources3) Lack3) Lack of internal of internal technical resourcestechnical resources
4) Desire to “variabilize” cost4) Desire to “variabilize” cost
3) Reduced time for application / 3) Reduced time for application / infrastructure provisioninginfrastructure provisioning
3) Reduced time for application / 3) Reduced time for application / infrastructure provisioninginfrastructure provisioning
4) Desire to “variabilize” cost4) Desire to “variabilize” cost
5) Reduction in TCO(Total Cost of Ownership)
5) Reduction in TCO(Total Cost of Ownership)
6) Industry-specific factors6) Industry-specific factors
5) Lack5) Lack of internal of internal technical resourcestechnical resources5) Lack5) Lack of internal of internal technical resourcestechnical resources
6) Industry-specific factors6) Industry-specific factors
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Vendors Think Management Buy-In is a Problem. Are They Talking to the Right People?
TOP ADOPTION BARRIERS ACCORDING TO:TOP ADOPTION BARRIERS ACCORDING TO:
1) Security concerns1) Security concerns1) Security concerns1) Security concerns
BUYERS:BUYERS: CLOUD VENDORS:CLOUD VENDORS:
1) Security concerns1) Security concerns1) Security concerns1) Security concerns1) Security concerns1) Security concerns1) Security concerns1) Security concerns
2) 2) Cloud service iCloud service integrationntegration2) 2) Cloud service iCloud service integrationntegration
3) Lack3) Lack of budget for of budget for nnew ew iinitiativesnitiatives3) Lack3) Lack of budget for of budget for nnew ew iinitiativesnitiatives
1) Security concerns1) Security concerns1) Security concerns1) Security concerns
2) 2) Cloud service iCloud service integrationntegration2) 2) Cloud service iCloud service integrationntegration
3) Lack of management buy-in3) Lack of management buy-in
4) Lack of suitable cloud solutions4) Lack of suitable cloud solutions
5) Lack of internal cloud expertise5) Lack of internal cloud expertise
) g y) g y
44) Lack) Lack of budget for of budget for nnew ew iinitiativesnitiatives44) Lack) Lack of budget for of budget for nnew ew iinitiativesnitiatives
5) Lack of internal cloud expertise5) Lack of internal cloud expertise
7) Lack of management buy-in7) Lack of management buy-in
5) Lack of internal cloud expertise5) Lack of internal cloud expertise
6) Fear of vendor lock-in6) Fear of vendor lock-in
5) Lack of internal cloud expertise5) Lack of internal cloud expertise
7) Fear of vendor lock-in7) Fear of vendor lock-in
6) Lack of suitable cloud solutions6) Lack of suitable cloud solutions
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7) Lack of management buy-in7) Lack of management buy-in 7) Fear of vendor lock-in7) Fear of vendor lock-in
Many Cloud Vendors are Misaligned with the Market
How the Enterprise How the Enterprise is is BuyingBuying…
sine
ss
‘Innovators’ ‘Transformers’
Leveraging cloud and next generation IT to create new, disruptive business
Deploying SaaS and PaaS solutions to rapidly provide new business capabilities,
Bus
Driv
er
‘‘Opportunists’Opportunists’ ‘Modernizers’
, pmodels and strategic business advantage
new business capabilities, and extend reach, with little or no IT involvement
IT
D OpportunistsOpportunists Modernizers
Selectively deploying PaaS and IaaS (public and private) solutions to drive improvements in agility and
Driving wide-scale IT modernization and transformation efforts through public private and
How Vendors How Vendors areare SellingSelling……
TransformationalIncremental
improvements in agility and cost
through public, private and hybrid cloud platforms
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Adoption Approach
What Did We Learn?
11 B i ( t IT) i th P iB i ( t IT) i th P i1.1. Business (not IT) is the Primary Business (not IT) is the Primary Driver of Enterprise Cloud AdoptionDriver of Enterprise Cloud Adoption
2.2. Enterprise Buyers are Pretty Happy Enterprise Buyers are Pretty Happy -- So Far….So Far….So Far….So Far….
3.3. Service Providers Need to Adapt to Service Providers Need to Adapt to the ‘Next Generation Buying Center’the ‘Next Generation Buying Center’
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How To Get a Copy of the Full Survey
http://www1.everestgrp.com/ccevent.htmlDownload at:1
2 Request a copy:[email protected]@everestgrp.com512-550-0207 (m)214-451-3043 (o)
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