Cloud Computing = No More Corporate IT?

DodoTechnology evolves at the speed of Moore’s Law but IT staffs evolve at the speed of Darwin’s Law.

Each of us knows that complexity is the enemy of corporate IT. Business units find it harder and harder to ignore IT’s cost and complexity – hardware, software, security, maintenance, training, disaster recovery, and all the other things that must be done to support modern information technology. We practitioners in corporate IT just think we have to explain it better.

While we are trying to explain IT to our business colleagues they are getting pitched by vendors who already know that the business heads want to buy a tangible service, not servers and storage. Like you, we have been using ASP/SaaS/Cloud Computing for years. However a dirty little secret is that many of these implementations are started completely outside of corporate IT. Increasingly, with on-demand services, they don’t need to go through their IT departments, they can just “sign up”.

Imagine this for a moment – some of today’s start-up companies may never have any in-house systems – email, CRM, ERP, payroll – at all. They will exclusively use the cloud, even for information that existing organizations would never even consider moving to the cloud. Deciding to keep something in-house or move it to a cloud provider will be simple because they won’t have the capability to run things in house. Their IT staffs will be a tiny fraction of their competitors and what we are used to seeing.

Cloud computing may do to corporate IT departments what the Internet did to travel agencies and book sellers. Now, a lot of people are saying that companies will never trust their precious data to cloud providers. But they will. Cost always wins in the end.

- The Wandering CIO