Archive for the ‘managed services’ Category

With adoption of IT as a service on the rise, it’s time to plan for the cloud computing inevitability

Monday, February 1st, 2010

CompTIA, the well-known IT channel industry association, released some research a few weeks ago that points to a strong upswing in adoption of managed services and software as a service during 2010.

Their survey of more than 400 U.S.-based SMBs finds that close to 30 percent plan to start using software as a service (SaaS) in an attempt to reduce costs; that’s up from 22 percent one year ago. Moreover, about the same number expect to flip the switch on managed services in 2010. Here’s some insight from Tim Herbert, who is CompTIA’s vice president of research:

“Technology providers may be well advised to approach SMBs with either new IT solutions that represent low perceived risk or replacement solutions that positively impact productivity and efficiency. There’s also an opportunity to provide ongoing maintenance services to help SMBs better manage their IT systems under current business conditions.”

So what does this have to do with the cloud? In a word, everything.

In the rush to come up with a sexy term for every new IT movement, those that evangelize cloud computing are, quite simply, advocating the push to more efficient IT infrastructure. SaaS and managed services are, if you will, part of the cloud evolution and they are laying the groundwork for broader adoption of IT as a service.

According to research firm IDC, worldwide IT spending on cloud services will triple over the next two years to reach $42 billion worldwide by 2012.  More than 50 percent of the organizations that plan to embrace cloud infrastructure or application options are looking to cut costs, according to the IDC data.

Businesses are interested in “the cloud” for three big reasons:

  1. They can get new applications up and running more quickly (at least in theory).
  2. They can let their IT staff worry about more strategic concerns, such as customer service applications instead of e-mail administration.
  3. They can switch some IT expenses from capital expenditures into ongoing operational expenses, charged on a recurring basis.

Most of the time, when someone uses the term “cloud computing,” they are referring to the idea of using infrastructure hosted externally by a large service provider, such as Amazon.com or Savvis or Salesforce.com. But it’s important the cloud computing concept—and all virtualization skills and management services it requires—will also apply to internal data centers, where it will allow businesses more flexibility about applications and services they can deploy inside their firewall.

So, what does the push to the cloud mean for the high-tech channel?

  1. The chances a midsize or larger enterprise will host ALL applications or infrastructure in the cloud are slim. E-mail and databases are the first things likely to shift in that direction. That means oodles of opportunity for VARs and IT solution providers with application integration skills. Knowledge of security, compliance and identity management will also be critical.
  2. Larger service providers cannot touch every customer prospect, so they will seek technology experts who can represent and recommend the advantages of their particular infrastructures.
  3. IT solution providers will need to adjust their operational models to accommodate a very different payment and revenue stream than in the past.
  4. At a minimum, IT solution providers must be familiar with which cloud computing options are at their disposal, so they can discuss both pros and cons with their prospects.

We suggest all elements of the high-tech channel spend time putting some substance about what the cloud will mean for their business a year from now – and three years from now.

  1. Perform a SWOT (Strengths, Weaknesses, Opportunities, Threats) analysis to unearth investment requirements and sales potential for a cloud practice
  2. Understand whether you should build your own cloud infrastructure or recommend someone else’s
  3. Define acceptable service levels and procedures for evaluating the technical and business merits of emerging cloud infrastructure options
  4. Develop a unique service and solution proposition that builds upon your existing sales efforts and that recognizes potential areas of conflict
  5. Engage all members of your channel in the cloud dialogue for feedback

Year-ahead Prediction 1: Managed print will be bigger in 2010

Friday, November 20th, 2009

I’ve been hearing about managed print services since before I left my post at CRN back in the middle of 2007, but I think the next 12 months will bring a breakthrough for this sector of the IT infrastructure.

Since I like to look ahead of me rather than behind me (the view is better), I thought I would update this blog from now until the end of the year with observations about things that are likely to dominate dialogues during the next 12 months. I have no particular order for these random bursts of opinion, other than the fact that it may have risen to the top of my notes and (therefore) my writing list.

First up is managed print services (MPS), not to be confused with managed service providers (MSPs).

I know many journalists like to make fun of the printer market, because for the longest time it was so decidely unsexy. But this is one of those topics that will seduce everyone next year.

The fact is, printers are sort of like the last mile in your IT infrastructure. IT departments and managers have been focused on driving costs out of their data centers or their desktop maintenance line items. But printers have kind of escaped this same scrutiny, partly because the procurement of them has been so decentralized in the past. Admit it, it’s a status symbol to have your OWN printer snugged away in your office.

Actually, not anymore.

What with the corporate sustainability movement and widespread corporate cost-cutting, printer contracts and all the related workflow applications associated with them — think archiving, collaboration applications, enterprise content management — these is an area RIPE for services.

If you’re in the printer business, you already know this of course. But if you are not, maybe it’s time to start considering how your own product might fit into the managed print mix. Or, whether or not there’s a managed service opportunity that could be built around your technology.

Here’s more information on managed print services strategy from an article I posted on TechTarget’s ChannelMarker blog.

Trying to make sense of the cloud? Project Nimbus could help.

Tuesday, September 15th, 2009

Is the so-called “cloud computing” phenomenon just another word for outsourcing? Or, for that matter, just another permutation of managed services?

I have no idea, but you can bet I’m going to be spending more time in coming months trying to figure out its potential impact on the IT distribution channel. Because, when it comes down to it, both cloud computing AND managed services are about how information technology capabilities and applications are DELIVERED to the ultimate end-user.

One of my new resources in this quest will doubtless be a new research service called “Project Nimbus” that has been launched by Heartland Tech Groups (an alliance of technology solution and service providers that I highly respect) and Channel Insider, the channel intelligence arm of the Ziff Davis enterprise technology publishing group.

Here’s a link to more information about Project Nimbus. The first “guidance” report out of the project will be delivered in early November. Among other things, it will cover the following: Developing go-to-market models, management issues and how to add value onto what is, essentially, a commodity service.