Traditional values feature highly in CIO’s cloud decision making

In our first blog post for the Fujitsu Australia and New Zealand Blog, Craig Baty – our Chief Technology and Innovation Officer provides an insight into what CIOs look for in selecting a Cloud provider.

It is timely that I was given the opportunity to write this post given that Fujitsu has recently announced a Cloud contract with one of Australia’s largest port operators – Asciano Ltd.  Asciano is in the process of transforming its ICT infrastructure and to them the Cloud with the assistance of Fujitsu – is a way to change  the way the company works, its service delivery and the way it interfaces with its customers.

So what decisions do companies such as Asciano and others face when embarking on a Cloud journey? The latest edition of Insights Quarterly, a joint research initiative commissioned by Fujitsu and Microsoft  conducted by independent firm Connection Research, provides a deep dive into the minds of almost 200 Australian CIOs.

From the research there is no doubt that CIOs view Cloud Computing as the future of ICT. As my peer at Microsoft, Greg Stone (Microsoft CTO) says “cloud computing has arrived, and will continue to grow in functionality and popularity. The idea of an ‘information utility’, where generic computing power is available on demand like water or electricity, is a much closer reality.”

Cloud has reached a certain level of maturity in the enterprise, to a point where almost every CIO is more than familiar with the traditional benefits of cloud. The research shows that lower operational costs, scalability, lower capital expenditure on ICT, and flexibility and elasticity were the qualities that CIOs rated highly as the ‘Advantages of Cloud Computing’.

 

Interestingly, when CIOs were asked about how they select a cloud platform, the above factors did not rate as highly as the support from the supplier, security of data, privacy and the reputation of the supplier.

 

From a supplier’s perspective it is no longer just ok to speak about the reasons to embark on a cloud journey because CIOs are clearly already there in their thinking. The challenge for providers is now to continue to differentiate themselves in the values that have traditionally played a role in ICT decision making over the last few decades such as the reputation and service provided by the supplier.

It is also clear that while the drivers for cloud adoption are consistent, each organisation’s individual needs are very different. For example financial institutions and government departments value data sovereignty, security and privacy above all else. Other organisations may value scalability, ease of use or cost as highly important. The main take away from this is that one cloud clearly does not fit all and it is vital for CIOs to look at the choices of platform and service available to them.

If you are interested in reading the research, which covers this topic and many more in relation to cloud, I encourage you to download the report from the Insights Quarterly website.  At the website you will also find a video and PowerPoint presentation that summarise the findings.

Craig Baty
Exec. GM, Chief Technology and Innovation Officer
Fujitsu Australia and New Zealand

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About Craig Baty

Craig Baty is the Chief Technology and Innovation Officer for Fujitsu Australia and New Zealand. Craig has more than 30 years of international ICT experience and is a well known technology industry adviser, having been a senior executive in the ICT advisory arms of Gartner Asia/Pacific and Japan and other research and advisory firms including Dataquest and Frost & Sullivan for 14 years prior to Fujitsu. Craig is an active contributor to Fujitsu’s Global CTO and Marketing Communities, which together drive thought leadership and the development of innovative and leading edge solutions for customers across the globe. These offerings include Fujitsu’s Australian based Trusted Cloud, ICT sustainability, end user computing, data centres, managed services, and a comprehensive range of consulting and integration services. Craig holds an MBA in International Business and Marketing (SGSM), is a Fellow of the Australian Institute of Management, and has commenced an ‘IT in Japan’ focused Doctor of Business Administration. He is also an active member of the Australian Information Industry Association NSW Committee, regular chair and speaker at the AIIA Marketing Forum, member of the Cloud Taskforce and Digital Economy Council(which Fujitsu Chairs), and part of NICTA’s newly formed E-Gov Cluster steering committee.