How to reduce risk by aligning business strategy and IT strategy

IT strategy - How strategy alignment reduces your business' risk

On the ‘business’ side you have the long term business strategy and plans or business requirements. On the other side lies the IT function.

This visible gap is where misalignment begins, but it’s often compounded by the negative preconceptions each side holds of the other.

What business executives think of the IT department What IT departments think of business executives
The IT department takes a long time to get anything done The business constantly changes its mind about what they want/need
The IT department takes up too much budget and doesn’t deliver results The business chooses non-optimal IT solutions without our input
IT is a ‘necessary evil’ The business doesn’t understand the purpose of IT
The IT department doesn’t understand our needs The business dictates to us without giving us any say

Why does disconnect matter?

IT is an essential component of every business operation today. It is critical to the success of the business and so a lack of alignment between business and IT strategies can deal a heavy blow to the bottom line.

All too often, IT strategy is an afterthought – something bolted onto the wider business plan. This can result in overly complex infrastructures or systems that are difficult to change – making it a struggle to maintain and enhance business operations later on.

However, and perhaps more critically, misalignment can leave the business vulnerable.

The way IT interconnects with almost every business operation naturally results in an increased risk profile. Previously when talking about IT, we simply meant hardware and networks – things for providing a means to process, backup and safely store data. Now our expectations are much greater. We demand more information, more complex analytical reporting, greater integration, and increased data storage capabilities. Then on top of that, we demand that everything is kept easily accessible and highly secure.

What problems does disconnect cause?

The evolving dependence of the business on IT means IT events – data loss, corruption, security breaches and infrastructure failures – can no longer be confined to the department in which they occurred. When one of these IT events occurs now, the whole organisation’s productivity, reputation and ability to achieve strategic goals are hampered.

Yet despite this, many business leaders still aren’t considering aligning IT risk management with strategic business initiatives. Instead, they choose to rely on a traditional approach combining a cost-based analysis of ‘what may go wrong’ with metrics based on historic KPIs.

Such an approach can be unreliable as it’s too narrow to effectively identify and manage risk. Risks that fall outside the conventional realm – like fires, floods and power failures – can be easily overlooked. Furthermore, it fails to demonstrate how risks can affect the likelihood of achieving strategic objectives because it does not establish links between them. This contravenes ISO 31000 which emphasises risk management as a strategic function to enable businesses to make risk-adjusted decisions, rather than a compliance-orientated one.

Now, this isn’t to say that the act of quantifying and qualifying factors is not useful, as it most certainly is. Instead, the key takeaway is that to effectively identify the risk of IT, the use of a broader view is required. One which goes beyond traditional standards and aligns IT use with the strategic aims of the business.

How can I counter disconnect?

Instead of only looking at the financial impact of physical and natural threats to IT service delivery, you must broaden the spectrum and consider the impact or contribution each one will have to the achievement of strategic goals.

The positives of this approach are numerous. Firstly, by aligning risk techniques to strategic business initiatives, organisations can better document key performance indicators (KPIs) and key risk indicators (KRIs). These metrics are vital to continually monitor risk, providing an early warning system for a potential risk before it occurs.

Secondly, with a greater understanding of the business’ tolerance to risk, it is easier to implement a more realistic and balanced strategy and distribute clear communication plans. This helps protect your brand and shield against potential reputational/financial damage which can arise from IT events – for example, a poorly planned cloud migration resulting in significant disruption to customers.

This approach also delivers a significant competitive advantage by helping businesses to make calculated responses to risk that others in their industry may lack the insight to make. However, this does rely on KRIs being implemented and used properly. These indicators must provide an alert of emerging risk in good time, so the business has time to react and make appropriate decisions. Thereby reducing the potential negative impact on achieving strategic goals.

Another task you will need to undertake is addressing the original cause of disconnect on an employee level by cutting out the stereotypes executives and the IT department have of one another. Ensuring that each group sees value in each other is often a task that falls onto the shoulders of the CIO who acts as a bridge between the IT and business aspects of your organisation. But the responsibility also lies with every individual to ensure that they are working towards a common goal in the business.

IT risk will always exist in some form, but by improving alignment this can be continually monitored and communicated meaningfully to stakeholders. A proactive risk approach will enable the business to operate more cost-effectively, become more agile and respond to change with more informed, measured decisions.

Get more from your IT with a strategy, on-demand CIO-level Consultant: We help businesses to us IT to gain security, stability and a competitive advantage in a rapidly developing marketplace. Click here to find out more.

The Cloud Migration Guide – Part 4: How to achieve a successful cloud migration

Cloud - How to achieve success in your cloud migration

Welcome to the final instalment of the Cloud Migration Guide. If you’ve missed an earlier part or would like a recap, click here to view: Part 1: What is a cloud migration | Part 2: The risks and rewards of migration | Part 3: Factors which influence cloud readiness.

Cloud migration has a lot to offer businesses.

  • Enables increased efficiency, collaboration and productivity with cloud-based software like Office 365.
  • Establishes a disaster recovery system that restores data and IT systems in minutes.
  • Lets you create online backups and live replicas of your IT environment to minimise data loss and increase reliability.
  • Boosts business flexibility and performance with hosted infrastructure and hosted desktops.

But many businesses don’t find success when undertaking their migration. Here are the most common pitfalls and traps that stop businesses from experiencing cloud migration success and how you can avoid them.

1. Trying to do it alone

Cloud migration is much more complicated than it seems. Going it alone means the project can easily become mismanaged. There are hundreds of different variables to consider, each of which must be mapped out to identify interdependencies. Some applications may need some development work to become cloud-ready and everything must be timed perfectly to prevent major disruptions to your operations.

Creating a thorough, comprehensive cloud implementation plan is no easy feat but fortunately, specialists are available who can give consultancy advice to ensure your migration is successful.

Getting a consultant on-board for your cloud migration can help you draw up a plan that carries you through your migration and ensures the end solution delivers on your business objectives. All without embarrassing and costly mistakes on the journey.

Choosing an experienced consultant de-risks the project and enables you to get assistance beyond just preliminary advice. This can include setting out the business case and getting stakeholder buy-in, through to the actual implementation of your solution. Experienced consultants are there to take responsibility for your business outcomes.

Even for businesses with an internal IT team in place, it’s often not feasible to have them perform the migration. They may have the technical capabilities, but the experience of delivering multiple cloud migrations will typically allow a consultant to deliver a better business result faster, at a reduced cost and without the levels of risk.

An internal IT team can certainly be involved in the whole migration process, but by working alongside a vastly experienced cloud architect they can deliver truly impactful results and grow themselves at the same time.

2. Choosing a supplier based solely on price

As one benefit of the cloud is how it can deliver an enterprise-class IT solution whilst saving money on infrastructure and running costs, it’s tempting to just choose the absolute cheapest supplier and call it a deal.

However, the cheapest suppliers often struggle with project delivery and lack the knowledge for important areas such as troubleshooting and capacity planning. These failings can easily mount up and ultimately jeopardise the migration, reduce the performance of the solution or eliminate any cost savings.

Ultimately, IT should be seen as an investment, as it is an investment at the core of your business. If you’re migrating your entire IT environment, you want to ensure that you’re getting value in terms of support, resilience, flexibility and advice beyond the initial sale. Otherwise poor performance, downtime and redundant spend can quickly overtake any initial savings.

Along with price, you should also be checking the service level agreement (SLA) a provider is offering. A 99% uptime guarantee sounds good but is actually on the lower end of the spectrum for quality. You don’t want to be suffering outage after outage without any come-back against your supplier.

3. Lacking a concrete goal

Undertaking a cloud migration is not in itself a strategic business objective. Migration must be done to achieve a business outcome. Failing to have a concrete case for why you are choosing cloud can easily lead to a failed project in terms of tangible results.

Being unclear on the true drivers of change can actually leave you in a more restricted state with increased costs. So you need to know why you are migrating to the cloud and whether there’s a better alternative far before you begin considering implementing a solution.

We covered how your strategic objectives can influence what you should migrate in the third part of our cloud migration series which you can find here.

But in short, if you want to reduce costs and improve flexibility you could utilise cloud-hosted servers or desktops instead of building, supporting, maintaining and securing traditional on-premise solutions. If you want to increase efficiency and collaboration you can consider migrating to Office 365 to take advantage of applications such as Teams and Yammer. To improve reliability, you could deploy cloud-based replicas of key systems. And to improve performance you can migrate desktops or servers to a powerful cloud platform.

4. Underestimating storage requirements

Knowing exactly how much data your business has which needs to be transferred over in migration is an important factor needing consideration. It’s very easy to underestimate the quantities a typical business has and failing to factor in growth patterns is an equally common mistake. Although the cloud is highly scalable in its storage ability, needing to resize early on can lead to unanticipated costs and reduce the efficacy of your migration.

But size isn’t the only factor to consider. The speed of the storage is an equally, if not more, important factor to look at. As it’s directly tied to the performance of your applications and files stored in the cloud. This is an area where an inexperienced consulting firm will typically let you down as they’re unable to ensure their cloud platform delivers the performance you require at the cost you expect.

5. Not checking the provider’s security

Your cyber-security is only as strong as your weakest supplier. If you choose a cloud provider who can’t prove that they have taken their security seriously then you’re putting your data at risk, probably your customers data and certainly your reputation.

To avoid choosing a provider with poor security, at the bare minimum ensure that they’re ISO 27001 certified. ISO 27001 is the world-leading industry standard for information security management. It’s no small undertaking so indicates that the provider takes security seriously.

Do be aware though that some providers will state that they “use an ISO 27001 certified cloud platform”. This does not mean that they are certified themselves, just that the platform they are using is certified. It’s a big difference. Ideally, the whole chain should be compliant, otherwise, much of the benefit is negated. So make sure the provider themselves have achieved the certification and not just the platform they are using.

6. Being unprepared

It’s important to check your business is ready for a cloud migration before undertaking one. There are several factors influencing how ready your business is for migration including business size, company culture and Internet connection. You can read more about this in part #3 of the Cloud Migration Guide.

Once you’ve determined which area you want to migrate, based on the business case, you’ll need an implementation plan. This should document exactly what, how, when and in what order you’re going to migrate.

Additionally, flexible roll back and testing plans are imperative to ensure you can get back to a stable state quickly, should things go awry.

7. Taking things too fast

Most industry experts agree that it’s not a case of “if” your business should move to the cloud, but “when”. But, you still shouldn’t rush to migrate everything at once or have unrealistic time goals.

Migrating to an entirely new platform is a big undertaking and rushing in can get you into trouble. You need to have an implementation plan, based on experience and specifically tailored for your organisation.

Doing an all-at-once forklift migration without proper planning can lead to horrendous issues for your business. Businesses try to go to the cloud in one jump and regret it – typically because they’ve rushed testing. Failing to test the environment under load and not ensuring every aspect of the workflows continue to function can destroy the performance, creating further productivity problems.

In the main, being lax on testing is the biggest cause of failure of IT projects. You need a full testing plan, buy-in and sign-off from all departments to ensure a smooth and orderly transition.

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The Cloud Migration Guide – Part 3: Is your business ready for cloud?

Cloud - How to know your business is ready for the cloud?

There are very few businesses that would see zero benefits from the cloud.

In fact, it’s expected that the clear majority of businesses will use cloud services in the next few years. With a considerable proportion of them having a 100% cloud-based environment. However, like all projects, there’s the best time to undertake a migration.

There are four main factors determining if your business is ready for cloud migration. These are:

  • Internet connection
  • Business size
  • Company growth goals

How much they influence the cloud-readiness is roughly in the order they appear.

1. How Internet connection affects cloud readiness

Cloud is reliant on the Internet or a leased private network connection (we’ll just refer to it as an Internet connection for simplicity). If your Internet connection fails, then whatever is being stored or hosted on a cloud platform will become inaccessible until the connection is restored. Therefore, you should only consider a cloud migration if your current Internet connection can support the increased load it’ll bear.

If you’re a large firm with an Internet connection which is good but already under heavy load, you should consider upgrading. The added burden of cloud traffic could cause your connection speed to slow down due to all available bandwidth being used up.

As well as certifying you have a suitable Internet connection, you need to ensure your connection won’t have issues. Assuming leased Internet connections are immune to outages is a dangerous mistake. Leased lines go down. And when they do, they’ll typically be down for a long time.

Installing a backup Internet connection with another provider to your main one is vital to ensure constant connectivity to your cloud.  Ideally, it will also come into your building from a physically separate direction. If you don’t yet have two Internet connections, you can still undertake a migration. But getting a backup line should become a high priority.

2. How business size affects cloud readiness

Generally, the smaller the businesses, the more suitable it is to migrate into the cloud and the readier it is. This is for two main reasons.

Firstly, a large business needs to do more preparation before undertaking a migration. There are more workstations, more files, more hardware, complex applications and workloads which all need to be migrated. This needs precise planning and testing.

A small business comparably may only have a single server, less than 50 workstations, a few applications and 2 or 3 terabytes of data between all their users. This can be migrated much easier and has a much lower cost and risk overhead associated with it.

Secondly, the positive impact of the cloud being a subscription is more pertinent for smaller businesses than bigger ones. Large firms may have the heavyweight IT teams already in place and can run their own private clouds within their own data centres, or at least manage them in others. And if the cloud platform charges per user, access to the cloud service can become expensive after factoring in several thousand users.

For small and mid-sized businesses though, the subscription specifically means they can gain access to all of the same applications and benefits that the big firms have but they don’t pay any of the associated costs. They simply reap the benefits of economies of scale without any of the complexities and overheads, including ongoing management and support.

This doesn’t mean large businesses can’t gain benefits from the cloud. Large businesses can very easily reap great rewards from a cloud migration but it’s a much larger undertaking, in terms of planning and the migration process itself.  The ROI timescales may also be longer.

3. How business growth goals affect cloud readiness

The broad applicability of cloud means that regardless of what specific areas you want to foster growth in, cloud migration is likely able to help. However, depending on your goals, what parts of your current infrastructure or systems should be migrated first can change. Here are a few examples to consider:

Increase flexibility

To achieve a goal of improved flexibility, you should consider hosted desktop or migrating servers over to cloud hosting. This gives you access to an enterprise-grade IT platform that you can scale up, down or out with ease. You can open a new office anywhere in the world or add a new employee with all their applications in minutes.

Save money

If you aim to save money with cloud migration, any type of migration can help. But for a large impact, you should consider moving expensive-to-buy and run hardware and applications such as central servers (file, mail, web, backup, ERP, CRM) to a replica hosted in the cloud. This cuts down on the operating costs and can save money on the costs of buying, running supporting and managing the environment in your own business.

Increase productivity

To increase business productivity and boost efficiency, you might consider migrating from the standard Office suite to Office 365. It comes with a range of benefits for any business such as added functionality, security and greatly improved internal and external collaboration features that all promote better workflows and improved business processes.

Improve reliability

If you intend to improve the reliability of your business, Disaster Recovery as a Service (DRaaS) can help in that regard. You can have a full replica of your IT environment sitting in the cloud-ready to go should disaster strike at a fraction of the historical costs.

What else should you consider?

It’s important to understand that the cloud is not a golden chalice, nor the only way to run your IT infrastructure and systems.

Too often businesses state that they have a strategic objective to move to the cloud. This is not a business objective. Perhaps the business wants to prepare for expansion and needs greater flexibility, but don’t just move to the cloud for the sake of it.

Typically, except for small businesses, the greatest business results can be gained from working in a hybrid environment. This is in effect a mix of cloud and on-premise solutions.

It’s also important to note that cloud migration is not a single leap. It’s a process where different applications and workloads are moved over one at a time. Rushing migrations for the sake of moving to the cloud can be disastrous.

The final part of the Cloud Migration Guide looks at the biggest pitfalls businesses face when trying to migrate. Learn how to prevent your migration from falling into these same traps.

See also:

The Cloud Migration Guide – Part 2: Risks and rewards of a cloud migration

Cloud - Risks and rewards of a cloud migration

Choosing to migrate some or all your business systems to the cloud can provide a significant return on investment. However, as it is with all significant IT projects, cloud migration is not without its risks, whether moving into a private cloud or a public cloud, such as Microsoft Azure

But just because there are risks doesn’t mean that you should shun the idea of cloud migration. Gartner predicts that by 2020, businesses with a no cloud policy will be as rare as businesses with a no Internet policy. So avoiding the cloud will almost certainly leave you behind your competitors.

Instead of focusing solely on the risks, an equal amount of emphasis needs to be put on the benefits of cloud migration and the ways in which the risks can easily be mitigated.

Reward: Reduces upfront costs

The CapEx requirements for the infrastructure which supports standard IT – disaster recovery, live backup, central file, mail and web servers, not to mention security – can be significant.

As a result, growing businesses may find it difficult to make the investments required to compete in their field. The high costs can also lead to sweating assets beyond their usable life, causing productivity and potentially business continuity issues. Fortunately, though, the cloud has brought enterprise-class IT solutions to the masses.

Cloud is sold as a service, meaning instead of an uncompromising upfront fee, monthly usage fees are paid instead. A subscription is much more manageable for expanding businesses as it allows them to budget their IT requirements simply, as a monthly expense, rather than getting into chunky and changing investment cycles.

The scalability of the cloud also means that you simply pay for what you use, rather than over purchasing and having expensive resources sat idle. It also saves businesses from underinvesting now and having to catch up later. In essence, spending twice.

reduces the cost of IT

Risk: Reliant on a third party’s security

The most common and long-held fear about the cloud is security. When your data is under the protection of someone else, how do you ensure they uphold the strict security policies, frameworks and management policies as you?

This is a genuine concern and it’s unfortunate that there are cloud providers who don’t take security seriously. There are several ways to assess the security of a provider though. Ranging from inspecting the premises to asking them to provide certifications. You should expect ISO 27001 as a minimum.

Testimonials are another way of gauging how good a provider is. You’ll never be shown a negative testimonial though, so ask some further questions to find out more. Ask to what security standards they operate, what their SLA is and what backs it up, where their data centres are, what the exit policy is, who has access to the stored data and what happens in the event of a breach. If you’re unsure, ask. A good provider will give you a straight answer as it should be considered standard information.

If a provider can’t prove they will protect your data, even if they’re half the price of the competition, don’t risk it. The money you ‘save’ is likely to be outstripped by the financial and reputational damage incurred following a data breach.

open padlock

Reward: Improved performance

The hardware which cloud providers use to power their cloud service tends to be high-performance. For example, using fast-access flash storage over much slower magnetic storage to increase file access speed and having modern generation processors to speed up nearly every operation done by the machine.

This means that switching to a cloud service, such as a hosted desktop setup, can deliver increased workstation performance without a hardware upgrade and should thus also enhance productivity.

Furthermore, the scalable nature of the cloud means that even when more load is added (for example, more users logging in as the morning progresses), performance will not decrease because resources will flex to accommodate this.

This lets systems constantly run at peak performance, whilst you are only paying for what you’re using.

speedometer showing a high speed

Risk: Migration can be mismanaged

Choosing to undertake a cloud migration without fully understanding why you’re doing it causes all sorts of problems.

Firstly, you need to establish what the end goal for the project is. It’s important that you think long-term here and don’t let short-term factors, such as upfront costs, cloud your thoughts. Once you have your goals in mind, you can work out what needs to be done at each stage of the project to achieve it. Use this to map out a cloud strategy – a vital piece of documentation for navigating the complexity of migration.

Secondly, you need to make sure the whole business is on board. Cloud migrations will affect many areas, so it’s vital that you’re fully invested in the process and that you obtain buy-in for the initiative from department heads and the board. Drive, direction and support from the most senior level of the business will give those in charge of the project the necessary authority to make changes. Whilst keeping employees informed throughout the project will make them feel involved and give a much more positive outlook on any associated changes to processes.

Finally, once you have a clear vision and buy-in from across the business, the next step is engaging with the right cloud services provider. For a smooth transition, you’ll be looking for a provider with the required experience and capabilities to not only deliver the technical aspects of the solution but to help you achieve your desired business goals.

To achieve this, you’ll want to look for a cloud services provider with a significant and positive experience with cloud migrations. However, your business also has a responsibility to communicate clearly with the provider in terms of your end goals. Providing a clear brief and engaging in a two-way transparent conversation increases the chance of successful migration and one which runs as close to time and budget as possible.

broken arrow between physical infrastructure and cloud. A failed cloud migration

Reward: Enables agile working

Agile working is dismissed by some as a passing trend and has been banned outright by some firms. But even if you aren’t keen on working from home, agile working is a much wider area and has the potential to deliver a greatly enhanced and productive working environment

Migrating applications and services to the cloud can help employees to remain productive whether they’re at a client site, travelling, attending a meeting or working from home. It’s particularly beneficial for multi-site businesses with remote workers, as cloud deployments can streamline access to applications and data, ensuring consistency across all channels.

For example, using cloud-based Office 365 you could have Sales and Procurement simultaneously working on a proposal and pricing document together or you could use Microsoft Teams to host a virtual meeting with the Heads of Departments from each office.

remote working or agile working is possible through the use of cloud

Risk: Added latency

Have you ever had trouble loading a web-based application? Or found aeons passing as you waited for a file to upload to storage? Perhaps your screen has frozen for a few seconds when working on an application? These problems can arise because the back-end IT cloud platform doesn’t have enough grunt, resources in essence. It can also be caused by not having enough bandwidth on your local Internet connection. These delays (also known as latency) causes frustration for end-users and ultimately costs the enterprise.

Latency, when it’s severe and persistent, dramatically reduces productivity and can quite quickly destroy morale. If you’re pressing a key, then waiting for several seconds for that keystroke to register (the result of high latency) then that’s a lot of time being lost over the course of a day.

The solution to this problem is to ensure that the cloud platform has been designed and built correctly before you perform a full migration to the cloud. Your new environment should be rigorously tested under load to ensure it can and will perform when things get busy, both now and in the future. Also, make sure you have sufficient and reliable Internet connections in place prior to a move.

buffering loading icon

Reward: Enables business continuity

Business Continuity and Disaster recovery were once significant investments for any firm, in terms of time as well as money. The ongoing management of the system was heavy and expensive, continually updating policies and procedures was a nightmare and soon led to the whole DR and/or Business Recovery Plan becoming redundant.

Cloud-based disaster recovery and continuity have slashed the cost and past hassles of ensuring a business can respond to incidents or complete disasters. It’s also brought down the time-to-recover from days down to minutes. This is possible through creating a cloud-hosted copy of all or core parts of a business’s IT environment, which is always up-to-date and can be failed over and back with ease.

The true beauty of cloud-based solutions to continuity and disaster recovery is that they are always available and can be isolated and tested at any time. You can also automate testing, daily if you like, to ensure you are protected.

an office surviving a catastrophic event thanks to business continuity

Reward: Reduced operating costs

Not only are the upfront costs reduced when undertaking a cloud migration but so are operating costs. It’s estimated that a single server uses 500 – 1,200 watts per hour to run. Extrapolated over a day, a month, a year, these basic running costs grow rapidly. But they are a cost that can be transferred to increase the ROI of moving to a cloud environment.

By hosting server environments in the cloud instead, the cloud provider will be the one covering all the costs of power, cooling, security and other areas. Whilst that is incorporated into the monthly fee, it will be just a fraction of the cost of delivering the same function internally. You are gaining the benefit of economies of scale, shared between you, others and the cloud provider.

Furthermore, with the cloud, there’s no need to have the IT team focus on just ‘keeping the lights on’. They can focus back on the business, working on enhancement projects, rather than being concerned about the day to day of running the back-end of an IT environment.

cloud reduces the running cost of IT

Are you ready to begin your cloud migration?

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Part 3 of the Cloud Migration Guide goes into depth on the main factors determining if your business is ready for the cloud. As well as how your business objectives influence what type of cloud migration you should undertake. Read part 3 here.

See also:

The Cloud Migration Guide – Part 1: What is a cloud migration?

Cloud - What is a cloud migration?

A cloud migration is the process of moving files, software, desktops or infrastructure to a cloud-hosted environment. Cloud migrations are often undertaken by businesses who are seeking to expand beyond their current hardware, storage or space limits. Or alternatively, a cloud migration may be the first step on a digital transformation for the business, opening the ability to undertake new IT projects which may not have been feasible before.

What types of cloud migration are there?

Cloud migrations will typically fall into one of the following categories:

  • Migrating from physical infrastructure to cloud infrastructure
  • Migrating from one cloud platform to another platform from a different supplier

However, we can break these down into further subcategories:

Lift-and-Shift

In-house applications are replicated in the cloud without redesign. This is typically the fastest method for migrating applications and the one which causes the least disruption. However, without a redesign, the migrated applications may not be taking full advantage of the speed, scalability and versatility the cloud offers. This is sometimes known as a “forklift approach” or “rehosting”.

Software as a Service (SaaS) migration

Some applications are moved to the cloud whilst others remain on-premise. Email and payroll are two functions often moved to a SaaS solution as it reduces hardware requirements and maintenance costs.

Replatforming

A small amount of upversioning is done whilst moving applications to the cloud, allowing them to take greater advantage of cloud architecture. While slightly slower, this method allows businesses to take better advantage of cloud functionality without draining their resources.

Application Modernisation

Instead of moving the application, it is remade (known as refactoring) to be optimised for a cloud environment. The result is a refactored application that fully utilises every benefit cloud architecture has to offer. This approach is particularly beneficial for the migration of legacy applications but it takes far longer than any of the other methods.

Choosing which type of migration is best suited for your business is a strategic decision. And to get optimal results, you need to consider your migration goals, your timescale and the importance of the application itself.

How can a cloud migration help?

Depending on your specific business goals, a cloud migration helps you in a range of different ways.

  • If you’re aiming to reduce the upfront costs of IT infrastructure then transferring your backups, disaster recovery and general file storage over to the cloud is an advisable course of action.
  • To get increased workstation performance you should consider hosted desktop or if you want all-round performance increases then you should look at cloud hosting for your servers.
  • For streamlined business processes and increased efficiency, you could migrate to cloud-based Office 365.

How can businesses move to the cloud?

Migrating to the cloud is not a singular activity and there are many ways your business can do it. It can be done with Infrastructure as a Service (IaaS), Platform as a Service (PaaS), or Software as a Service (SaaS). Below are some examples of ways you can migrate to the cloud.

1. Office 365 migration

Migrating from the old, license-based versions of the Office suite to an Office 365 subscription that is cloud-based can lead to a range of business efficiency improvements.

Not only is the software regularly updated with additional security and bug fixes, but new features are often added, and performance increases are made. This further boosts the efficiency of the programs and can increase productivity and collaboration.

Because Office 365 can save files in the cloud, this also lets you access your important documents from anywhere with an Internet connection on any device that has the relevant app installed. This allows for a much more agile approach to work as you can access the files you need, wherever you are.

2. Backup as a service

Migrating to the cloud enables more than performance upgrades. It can also offer security and resiliency improvements such as Backup as a Service (BaaS).

Also known as cloud backup or online backup, BaaS is a method of offsite data storage, where a third party regularly backs ups files, folders or hard drives to a secure cloud-based repository. This protects the data and enables it to be restored should it be lost, damaged or destroyed.

Businesses using Software as a Service (SaaS) applications are common users of BaaS, as SaaS vendor’s backup policies often don’t guarantee the swift and complete restoration of lost data that BaaS does.

With BaaS it’s also possible to take live backups. Instead of taking backups every night or every week (you should be really backing up at least once every day) a backup can instead be made every time a file is saved or changed. This means that instead of losing a whole day’s work, a few minutes’ worth, or potentially no data is lost.

Furthermore, migrating your backup to the cloud removes the worry of rotating and managing tapes or hard disks and ensuring they are taken offsite at regular intervals.

cloud file backup

3. Hosted desktop

Hosted Desktop is a relatively old use of cloud technologies – but is still popular. Having hosted desktops means that rather than the workstation located in the business office doing the processing, a copy of the workstation hosted in the cloud does it instead. Mouse clicks and key presses are transmitted to the hosted machine and a live feed of the screen is sent back to the physical machine to be displayed.

By migrating desktops to the cloud, businesses can increase the performance whilst simultaneously decreasing the cost of hardware.

This has the benefit of reducing the overall processing power required for each individual workstation (and thus the price of the workstation) as the cloud hardware (which has superior performance to the workstation hardware) is doing all the processing already.

Hosted desktop also means that you can access the hosted machine from nearly anywhere. If the machine you are using has the software that allows you to connect to the hosted machine, you can work on the go and access the files stored on the hosted machine from anywhere.

cloud hosted desktop or cloud hosted infrastructure

4. Disaster recovery as a service

DRaaS is where a copy of the core server infrastructure, including critical data and applications, is hosted in the cloud. In the event of an emergency where the IT environment is down, i.e. through hardware failure, natural disaster, or cyber-attack, everything can switch over to the hosted version and the business can continue as normal with minimal downtime.

Compared to legacy disaster recovery systems, DRaaS is significantly easier, less expensive and more accessible for businesses. It also doesn’t accrue the costs of having duplicate hardware constantly running in case of an outage.

The failover process can additionally be set up to occur automatically, letting access be restored in minutes. This significantly reduces downtime and avoids the crippling financial losses caused by an outage.

Why should I undertake a cloud migration?

Moving to the cloud allows you to experience a range of benefits. Reduced infrastructure costs, increased performance, scalable storage and improved cyber-security are just a few examples.

Part 2 of the Cloud Migration Guide looks at the rewards of a cloud migration along with the potential risks and how to mitigate them. Read part 2 here.

See also:

How to calculate the financial cost of downtime

Business continuity - How much downtime is costing your business

It’s concerning how few businesses understand how much downtime costs, be it for an hour, a week or a day.

Fortunately, understanding these costs at a notepad level is easy and having the figures on hand allows you to make measured business decisions about how much to spend to improve your operations and to mitigate risks.

Many businesses assume they could survive with a day’s worth of downtime. However, they don’t factor in the true cost in terms of lost revenue and fixed costs, such as salaries and utilities.

Here are some basic calculations to help you work out how much downtime would actually cost your business.

How to calculate lost revenue to downtime

Often, when calculating the cost of an IT outage or other disaster, businesses will just look at their fixed costs such as the cost per hour of staff. However, the real cost comes from the lost earnings and revenue. The calculation is simple at a basic level:

Lost Revenue = (Weekly Revenue / Weekly Work Hours) * Hours of Downtime

As an example, if your business usually makes £200,000 per week over 40 working hours, a single hour’s outage will result in a loss of £5,000. That would be £40,000 a day.

Of course, the type of business is a factor. If it’s a law firm, you’re likely looking at the flat calculation above. If you’re an estate agency you may still be able to operate for a few days as your diary and contacts have been synchronised to local devices. However, you will be losing money regardless of if you can scrape by.

How to calculate fixed costs

During an outage you can’t send your employees home without pay, nor can you just skip the building’s rent for that day. In many business sectors, a serious IT outage will impact a large percentage of the workforce. A few will be fighting fires, but many will be idle and this is where the bulk of fixed costs will come from.

A simple calculation for fixed costs is:

Fixed Costs = Number of Employees * Hourly Wage * Hours of Downtime

As an example, if you have 50 staff and on average they are paid £20 an hour you’d be losing £1,000 an hour. That would be £8,000 for a day’s outage.

In short…

If you use the figures above, you’d be losing £6,000 an hour for a business turning over ~£10 million. Although the calculations are basic, they give insight into the fundamental costs which is enough to start informing your decision-making process regarding business continuity and disaster recovery.

You’d also need to look at other areas where you’d lose money – you could have reputational damage, recovery costs, etc. But it’s unlikely that you’d need to go into such detail to make measured decisions on how you’re going to control the areas of risks within your business.

You can certainly dive deeper and look at the cost per individual IT system, as these calculations are a good starting point to understand what you need to – and should be – doing to protect your business.

Thanks to the rapid development in technology and the ever-decreasing costs, controlling these risks for a sensible cost is a reality. A £10 million business should be able to protect their IT systems for the cost of a few hours downtime or less.

Find out what the risks are to your business, where you stand in best practice and how you can reduce your downtime. Register for your business continuity plan review today.

In the press: The future of cloud computing

Originally published on Mail Online.

cloud environment for business

While the ‘cloud’ is not new, it is big business. Providers such as Amazon, Microsoft and Google are spending billions on their cloud infrastructure, and some commentators believe the cloud computing market could be worth more than £312 billion by 2020.

Cloud services offer greater flexibility to businesses of all sizes. When a firm wants to upgrade its software, it can simply run it online. If its local network runs out of storage, it doesn’t need to buy new servers it can rent space from an infrastructure provider. However, the question for investors is how they can get in on this boom.

In this article from the Mail Online, Robert Rutherford, CEO of tech consultancy QuoStar, comments on the future of cloud computing and why the service is beneficial for businesses.

According to Rutherford, there are strong opportunities. “Cloud is now the main method for delivering IT. It’s not some fad such as cryptocurrency. The benefits are proven and helping drive business growth.”

Read the article in full on the Mail Online.

Why should you invest in your IT systems?

IT strategy - Why should you invest in your IT systems?

You may dread hearing “infrastructure refresh” or “systems update”, but if you want to remain competitive then you need to invest in your IT systems.

As your business grows, your needs and priorities will change. An increased headcount, technical advancements or market pressures could put pressure on systems that may have been perfect when starting out, but are now starting to restrict the business and hamper operations, agility and growth.

If you aren’t running a rolling IT upgrade program within the business then you will be building up technical debt that will often cost you more in the long run. You may think it’s okay to sweat an asset for another year, but often it brings with it a number of issues:

  • Increases the risk profile as aged systems are more prone to failure.
  • You miss out on technological advances that deliver greater value and returns versus the legacy asset.
  • Greater disruption when a delayed change happens versus a steady and rolling investment and upgrade cycle.

If you’re holding back on investing in your IT systems, then you could be missing out on increased efficiency, productivity and often a competitive advantage. In today’s blog, we’ll show you the benefits you will achieve if you regularly invest in your IT systems.

What are the benefits of investing in your IT systems?

1. Competitive advantage

IT is now the beating heart of most businesses, both in terms of driving internal efficiencies and enhancing productivity, right through to improving customer and supplier engagements on the front-end of the business.

The pace of change is so significant that gains are always there for the taking. Of course, that doesn’t mean to say you upgrade every year. But too many businesses are sat on dated systems that are holding back business growth. It’s clear to see and proven in most sectors that those at the top are those who invest wisely in IT. Not those who sweat their IT assets, specifically in terms of their business systems, i.e. ERP, CRM, case management systems and the like.

It’s also important to note that technology and systems is a key differentiator and certainly an area which potential customers look at when choosing between companies. It could be as simple as one business has a better web portal than another.

2. Business agility

The ability to respond to changing business needs in an ever-complex world is key to success, and technology plays a key role in this. It goes hand in hand with collaboration, which leads to streamlined processes and more efficient projects. From unified communications through to CRM systems, technology must be a key part of your strategy, if you want an agile business. Other areas to consider are IT platforms built around mobility, cloud, big data, artificial intelligence, block-chain and social networking which can play a transformational role in a growing business.

3. Employee morale

The level of technology within a business certainly affects morale. It’s crude, yet true that staff include the IT environment when evaluating their position within a business. The IT environment is where the majority of office-based workers spend their days. If the equipment or systems are dated then when comparing their role to their peers. it does play a factor, in terms of morale. It’s as simple as one employee in one business drives a new company car whilst another sits in a 5-year-old, high mileage one. It matters to people.

4. Greater efficiency and productivity

New technology, where there is a clear business case along with the right technology, delivers efficiency and productivity. It’s what IT and computing, in general, was created to do – automate and improve manual processes and operations. Businesses should regularly measure where they are and what a new system could deliver compared to sitting still. You don’t always have to change – but first you should understand if there is an advantage to be gained.

5. Security

You wouldn’t leave your office unlocked, so why would you leave your IT environment open to security violations? It’s important that you regularly undertake a risk analysis to identify new issues and continually invest to mitigate them. The security landscape is changing rapidly now, the threat landscape from one quarter to the next can be dramatically different.

It could be as simple as the need for multi-factor authentication. Passwords alone are really not secure enough, but requiring staff to use a key fob when logging in or accessing certain areas is an easy way to add an extra layer of security. Depending on your business, you may also need to look at secure communications to protect your voice, video, email and text conversations. The rise of GDPR obviously brings in other areas to address, particularly around encryption and control. Failure to invest can cost a business on many fronts.

Conclusion

If you actively invest in your IT systems, it will help increase productivity, enhance data security and expand storage capacity. All of these elements will naturally contribute to higher revenue and profits as your business becomes more efficient and streamlined.

However, remember the key is making the right investments. Technology trends come and go, so do seek out the advice of an experienced technology consultant when considering an investment.

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What are your options for upgrading IT infrastructure?

IT strategy - What are your options for an IT infrastructure upgrade?

An IT infrastructure refresh can result in mixed feelings from IT managers. On one hand, you have the cost, complexity and risk of migrating systems but on the other, you have a great opportunity to significantly enhance your environment.

Given that a typical refresh cycle is now 4-5 years – due to the financial climate and the increased reliability of hardware – it is likely that you can greatly increase value when refresh time comes around.

Server Virtualisation

One option is a like-for-like deployment. Server virtualisation makes the transition to new platforms fairly straightforward. This is because workloads are portable, utilisation is visible and IT Managers are typically familiar – and confident – with the underlying technology.

However, there are limitations to consider, particularly around the agility of this model. It is difficult to efficiently accommodate changes in capacity, whether that’s an increase or decrease, compared to traditional infrastructure.

Hyper-Converged Platforms or HCI

A second option is to go for new technology, like HCI. While hyper-converged platforms are still relative newcomers, the market is definitely developing and maturing.

HCI is a modular approach to IT infrastructure and allows rapid, vast scaling through small form factor nodes that provide integrated RAM, CPU and Storage without complexity. This type of efficiency simply isn’t possible with traditional infrastructure. This option also offers advanced functionality and integrated services, such as deduplication, backup and disaster recovery.

Yet this doesn’t mean this approach is without its limitations. Relying on platform efficiencies can making sizing complicated and implementations more intricate. Furthermore adopting a platform over hardware could mean you end up locked into a specific vendor – something which some would view as a risk. Finally, HCI also represents a CapEx approach to IT infrastructure refresh which, given the financial climate, may not be desirable.

Cloud Services

An alternative approach could be to opt for cloud services. There are certainly many benefits and it does address some of the shortfalls of traditional infrastructure. As a utility-based, OpEx approach to IT, the cloud offers greater agility, greater elasticity and relieves the pressure of “keeping the lights on”.

Despite this, it doesn’t mean it’s suited to all opportunities. While moving to the cloud can relieve the pressure on networking or application delivery, it does not guarantee cost saving. Furthermore migrating to the cloud can be complex and time-consuming, so you need to ensure you have the resources on hand. At QuoStar our team specialise in zero downtime migrations and can manage your migration project from end-to-end.

What option should you choose?

There’s no one right answer here. You need to weigh up your available options and see which one aligns best with your business objectives. While the variety of options may seem daunting, it doesn’t need to be. Prior to undertaking an infrastructure refresh is often a good idea to seek out an independent consultant who has experience in this area and can offer an unbiased perspective.

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How to create an effective IT strategy

how to create an IT strategy

What is a traditional IT strategy?

This is usually a structured and ordered process which produces a long-term view of the business’s technology requirements and a plan for meeting these needs. A traditional IT strategy will usually plan ahead for the next three to five years and begin by identifying what business capabilities will be required over this time period to achieve the business’s vision. This is then followed by a gap analysis to assess the difference between the business’s current maturity and the level required to realise the vision.

The focus then shifts to technology; identifying how it can be used to address the gaps highlighted by analysis, and designing the target technology architecture to support the required capabilities. An assessment will need to be carried out see if there any gaps between the current technology architecture and the target one, and then a roadmap can be created to address these gaps. The roadmap should be prioritised in terms of what technology architecture is most vital for achieving the business’s vision.

An example of a traditional IT strategy

With this approach, the IT Director and CIO may not be as involved with the initial steps, but this depends on the business’s approach to IT. Ideally, though, you want to have IT personnel involved at every stage of the strategic planning to prevent potentially disastrous misalignment.

The downside to the traditional approach is that because its focus on the long-term can actually be limiting because it does not allow the business to respond to changes in the marketplace. This is especially true if the technology roadmap is too strictly adhered to, as you run the risk of the technology strategy deviating from the business’s needs, which will naturally evolve over time.

What is an agile IT strategy?

An agile strategy is similar to a traditional strategy in the sense of the steps it follows. However, rather than planning for years ahead it focuses on the “short-term”, laying out the technology strategy for the next 6-24 months. The time period the strategy will cover depends on how stable the market the company operate in, for example, those operating in fast-changing markets may need to work on a 6-12 month horizon whereas those who are in more stable markets may select as 12-24 month planning period.

An example of an agile IT strategy

Once the planning period has been agreed upon, then the leadership team must agree on which business capabilities will take priority and identify the technology initiatives required to bridge the gap between the current and required level of each capability.

A roadmap should layout which initiatives will be delivered during the planning period, at the end of which the business can evaluate and adjust. Identifying new business priorities and the technology initiatives required to support them.

This cycle should continue until the original strategy and vision for the business are updated, at which point the strategic planning should start from the very beginning.

This approach is often preferred because it suits the fast-changing nature of the digital world and provides businesses with the flexibility to adapt to new challenges and opportunities. It may particularly suit those businesses whose strategy and technology needs change rapidly and, therefore, require a technology strategy which can flex with these changes.

Do you need to have an IT strategy?

In some circumstances, it may not make sense to have a separate IT strategy. This is usually where technology forms the basis of a new technology model or is used as the starting point to develop completely new products and/or services.

In these cases, because the business strategy will be based on technology, some argue there is no need for a separate IT strategy. The CIO and IT Director will have key roles in defining the strategy, something which does not always happen with a traditional approach.

For this approach to be successful it depends on the IT function maintaining and developing the key architecture to support the business strategy and to shape and guide technology decisions.

What is the right IT strategy for my business?

Just as IT support does not have to be 100% in-house or a 100% outsourced, these three approaches to IT strategy are not mutually exclusive. A combination of approaches may be required to best meet the needs of your business, this usually depends on the role technology plays within your organisation and the level of agility you require to remain competitive in your market.

Whichever approach you decide it is vital that IT personnel are involved with every step, as technology will certainly play an important role in building and shaping the required capabilities.

The right approach may also change over time as your priorities change, your vision develops and you find yourself facing new challenges within the marketplace.

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