The Insider's Guide to Next-Generation BPM
By Chet Kapoor, CEO, Sonoa Systems , 03/16/2009
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Today's economy creates a "survival of the fittest" mindset. Every company is getting more aggressive in squeezing the most from every dollar. Resourceful companies see opportunities to change the competitive landscape and come out swinging on the other end with new revenue and market share.
Cloud computing is a powerful weapon for both the revenue and expense sides of this coin. From inside IT organizations, technology executives are using more SaaS services to rework costs. Business executives looking outside at new markets realize that cloud services and APIs offer ways to breathe new life into old data and services, offering new awareness, distribution and revenue models. The convergence of these two forces -- the "outside-in" revenue view and the "inside-out" cost view -- are accelerating an economy of cloud services and enterprise APIs that are creating new markets and transforming IT environments.
But cloud computing does come with new consideration risks to be managed. Frankly, most APIs and services today are immature and are launched as raw, exposed features without many operational safeguards. This presents several issues that can be rectified when viewed through the lens of either the business or IT constituencies. If you intend to create a success story in helping an enterprise open its raw services to the cloud, take a comprehensive look at how the convergence of requirements from both the "outside-in" and the "inside-out" views will shape your specifications.
For example, a business-level executive offering a new service or API to partners will certainly expect the same business-level metrics he or she gets with Web site analytics: i.e. who is using a new cloud service, who are potential partners and customers to upsell, what parts of the service are most and least used? It may not be enough to offer a one-size fits all API. The business will likely need to segment customers and support premium or custom services. Product managers need the capability to enforce service quality and offer and verify SLAs. Business partners expect some flexibility in terms and to build ongoing trust with verifiable service levels and SLAs. All parties involved in a commercial relationship must be assured that data is secure and enterprise-level compliance and auditing requirements are met. From the "outside-in" the business will likely demand capabilities to manage change in business requirements in a fast and flexible manner.
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