Business Ecology Initiative & Service-Oriented Solution

Michael Poulin

Cloud Process, Part 2: Tips for a business process of hiring Cloud

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IT departments have lost their exceptional right of dealing with technology - nowadays corporate business has figured out that Cloud providers are businesses themselves and, therefore, they may be hired as suppliers directly, with not even informing IT about such engagements. According to Forrester Research, "in last 5 years, IT's spend under control of business leaders (rather than IT) has grown from 25% to 76%".

Aforementioned facts might be considered positive - those who order and pay have to become responsible for their actions at the end - unless a quiet disconnection between business and technology has surfaced as a new threat to the corporate well-being. This threat is about the situation where neither IT nor business really knows what they do when any one of them engage external Cloud. IT departments still do not understand and consider that Clouds are foreign organisations and that the commercial interests prevail over the technological reasoning. Businesses do not understand that Cloud are still immature from both technical and commercial perspectives and that proposed technical solutions might be good for resolving immediate problems and not that good in a long run or in the cases of extensions and acquisitions.

I am starting a 2-part post about a must have business awareness of certain aspects of Clouds when signing a contract with a Cloud provider. The Part 1 is published on my Web Site and describes 7 artefacts that a business or technical decision maker has to consider when planning to hire a Cloud.

The list of the artefacts includes:

1) Principles of relationship that a Cloud consumer has to establish in all negotiations and contracts with a Cloud provider
2) Requirement to invest in an understanding of the difference between Public and Private Clouds, especially for the corporate top management
3) Specificas of the Cloud provider's background checking procedure
4) Concerns related to the Business Continuity of your company
5) Usage of business risk criteria when identifying corporate assets for Cloud deployment
6) Compliance and regulations to be required from the Cloud provider
7) Effect of commodification of Cloud services in long-term contracts.

Additionally, the same Site contains other BLOGs on Cloud usage such as "What is Happening to Clouds and Who is at Fault?" and "Cloud Computing - a "silver b...". Is it a "bullet" or "bomb"?" and an e-Course "How to Save on Security in Clouds: a Gateway service".

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In this blog, Michael Poulin writes about business and technology ideas, concepts, methodologies and solutions leading to service-oriented enterprise, the primary instrument for obtaining business objectives in fast-changing environments.

Michael Poulin

Michael Poulin is an enterprise-level solution architect working in the financial industry in the U.K. and the United States.

He specializes in building bridges between business needs and technology capabilities with emphasis on business and technical efficiency, scalability, robustness and manageability. He writes about service orientation, application security and use of modern technologies for solving business problems. He contributes to OASIS SOA standards as an independent member and is listed in the the international "Who's Who of Information Technology" for 2001. View more

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