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multiple access issues. People who object to cloud security should look at their own arrangements in a comparative way.”
not dissimilar to the business process re- engineering of the 1990s – “getting people to thinks of ways to operate more efficiently.”
Brown and Paul Hughes saw cloud servicing as analogous with today’s use of outsourcing.
Brown: “Two decades ago when outsourcing hit the market place, people queried it: ‘You want to take my IT stuff away where I can’t see it, photograph it and stroke it?’ Eventually the economic argument overturned those personal issues and regulatory compliance matters. Outsourcing has now become the norm, and we anticipate the same will happen with cloud computing. The good news is, second time around it might be quicker.”
Eric Healing
Freeman said sensationalism in the media was not helping cloud computing’s image and reputation in the risk and security field. “Things are being blown up out of all proportion in the press.”
Taylor’s company often secures data by keeping it within national boundaries. “We tend to roll out platforms into the geographic locations where customers need them.” But, foreign companies are also requesting secure UK storage because they don’t trust their local arrangements. “Our higher UK security standards (ISO 27001 minimum) can thus be used to our competitive advantage.”
Lovell confirmed the global recognition of UK security, exampling the data storage of Far East businesses through Pulsant’s Hong Kong hub. “An increasing number of companies are using the data bounce from Hong Kong into the UK in terms of read- only access. The financial services sector has actually been doing that with trading data for over 20 years, so for them private cloud is just an evolution of that process.
“In smaller enterprises where you have capital constraints, you can demonstrate higher more cost-effective security through cloud, and going into the cloud offers immediate benefits.”
Atkinson said his company, Prisym ID, worked in a high validation environment where cloud security was essential, “We have seen several customers using cloud applications which then become private cloud-based. We are excited to see more validated hosting providers coming into the cloud network, which would suggest there is a market demand.”
Evolution or revolution? And, can we break down the barriers?
Murray suggested the cloud scenario was
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Hughes: “Many organisations are now striving to improve their overall agility, by leveraging new technologies and as a major benefit
gain significant competitive advantage. Agility, as it applies to organisations in general, is simply the capability of a business to adapt and react quickly to change in the market, and has arisen as a concept thanks to the constant disruptions we now see in the business world. It’s those agile companies that will be ahead of the game, that will deliver superior shareholder value and will be the players of the future. But, cloud is a journey and we are only at the start of it.”
Atkinson: “The barrier to cloud adoption is the investment by companies in the last 15-20 years in building their individual IT structures and solutions.” But, with continuing pressure on IT budgets, we are seeing a changing IT spend-trend and an industry move towards a dispassionate portfolio assessment of existing business technology.”
Lovell: “We need a mindset change to cloud adoption in some areas.” But, there were encouraging signs. Despite its compliance and regulation requirements, the financial trading sector, with its an ‘ebb and flow, peaks and troughs’ business nature, was already recognising the cost-efficiency of cloud services. Even the legal sector was now storing its paper-based signatures electronically.
upgrades and feared upheaval again. “They are letting their baggage constrain their thought process to the upside benefits of cloud.”
Also the audit mindset was still a prevalent barrier suggested Atkinson. The virtual operation of cloud provided some difficulty for those who needed tangible answers.
Brown suggested that from HP research there were two disparate drivers in the cloud market:
• The level of regulatory compliance required by a business.
• Whether the company makes its money from physical or virtual assets.
“If you are digital and poorly regulated then you have tremendous pressure to move to the cloud – most of your competitors are already doing it, because it’s easy.
If you are
heavily regulated and use physical assets, you have a lot of thinking time before you have to pitch up with your competitors.”
Navigating the learning journey through the cloud
Pulsant’s cloud customers come from all industry sectors, but Lovell queried whether customers simply needed generic usage case examples to help them understand cloud benefits, or specific individualised support in order to start the cloud journey with strategic aims?
Paul Hughes
Companies are using cloud where they don’t have to introduce radical change, said Atkinson. “If they took an overview of their entire IT structure, they would realise the true savings and wider benefits of the cloud. It’s a message that our industry has not got over to customers yet. We need to urge them to rethink; not to see cloud as just another local IT solution, but an entirely different way of approaching their global company requirements."
Too frequently, businesses recalled painful experiences when implementing previous IT
He accepted that ‘cloud services’ could be a relatively faceless offering and wondered if the cloud industry should provide more consultancy support for its customers. “Having made the initial foray, companies tend to ask how they exploit the cloud offering to the full benefit of their business, and I think there is a large gap appearing in terms of that sort of advice and support.”
On the other hand, said Clark, there was a corporate comfort issue in handing over IT processes to external consultants. While it could be a relief for the workload to be handled by someone else, “if I was an SME owner-manager, I would be worried that my consultant might suddenly not be there
THE BUSINESS MAGAZINE – SOLENT & SOUTH CENTRAL – NOVEMBER 2012
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