Alfredo Saad
IT Sourcing Consultant
https://br.linkedin.com/in/alfredosaad
https://br.linkedin.com/in/alfredosaad
 A surprising statement ?
 Facts that justify it
 Lessons learned … in chapters
...
https://br.linkedin.com/in/alfredosaad
 It may sound surprising to some people that
the probability of success in a cloud...
https://br.linkedin.com/in/alfredosaad
 Under an IT services outsourcing perspective,
cloud adoption is merely one of the...
https://br.linkedin.com/in/alfredosaad
 Such matured and learned lessons are normally
identified during each step of the ...
https://br.linkedin.com/in/alfredosaad
 Many of the activities performed in each of
these steps are similar, no matter if...
https://br.linkedin.com/in/alfredosaad
 It should be emphasized that, on the
contrary, if lessons learned are not
adequat...
https://br.linkedin.com/in/alfredosaad
 Naturally, a cloud adoption project can be
successful even if no previous outsour...
https://br.linkedin.com/in/alfredosaad
 The decisions to be taken along the cloud adoption
journey and whose hit rate can...
https://br.linkedin.com/in/alfredosaad
 Typical traditional outsourcing business drivers are
 cost reduction,
 focus on...
https://br.linkedin.com/in/alfredosaad
 Which “new” business drivers, typically aimed at in a
cloud project, must be adde...
https://br.linkedin.com/in/alfredosaad
 How the current scenario (which can be a mix of
traditional outsourcing - ITO and...
https://br.linkedin.com/in/alfredosaad
 Which typical selection criteria on traditional
outsourcing stay relevant on clou...
https://br.linkedin.com/in/alfredosaad
 Which “new” typical selection criteria on cloud
scenario (sometimes associated to...
https://br.linkedin.com/in/alfredosaad
 Which previous critical negotiation factors became
irrelevant on cloud scenario?
...
https://br.linkedin.com/in/alfredosaad
 Which negotiation factors keep critical, although they
should be negotiated in li...
https://br.linkedin.com/in/alfredosaad
 Which “old” negotiation factors became especially
critical on cloud scenario?
 S...
https://br.linkedin.com/in/alfredosaad
 Which previous factors remain relevant on cloud
scenario?
 Some of them can be n...
https://br.linkedin.com/in/alfredosaad
 Which factors became critical on cloud scenario?
 Some of them are:
 the integr...
https://br.linkedin.com/in/alfredosaad
 Which “old” elements keep critical on cloud scenario?
 We could name a few:
 st...
https://br.linkedin.com/in/alfredosaad
 Which additional elements appear as critical on a
cloud scenario?
 Among them we...
https://br.linkedin.com/in/alfredosaad
 As shown, a previous experience on a traditional
outsourcing project lets organiz...
of 22

Previous experience with traditional outsourcing may ease cloud adoption

It may sound surprising to some people that the probability of success in a cloud adoption project can be increased if the buyer organization has had a previous experience in the traditional outsourcing area. More surprising yet: this may be true even if such previous experience was not completely successful. Which facts support such conclusions?
Published on: Mar 4, 2016
Published in: Business      
Source: www.slideshare.net


Transcripts - Previous experience with traditional outsourcing may ease cloud adoption

  • 1. Alfredo Saad IT Sourcing Consultant https://br.linkedin.com/in/alfredosaad
  • 2. https://br.linkedin.com/in/alfredosaad  A surprising statement ?  Facts that justify it  Lessons learned … in chapters  Identification of business drivers linked to the outsourcing decision  Definition of implementation strategy  Provider(s) selection  Negotiation of contractual terms and conditions  Planning and implementation of services transition  Definition of governance process and relationship with and between providers  Final remarks
  • 3. https://br.linkedin.com/in/alfredosaad  It may sound surprising to some people that the probability of success in a cloud adoption project can be increased if the buyer organization has had a previous experience in the traditional outsourcing area.  More surprising yet: this may be true even if such previous experience was not completely successful. Which facts support such conclusions?
  • 4. https://br.linkedin.com/in/alfredosaad  Under an IT services outsourcing perspective, cloud adoption is merely one of the possible (and surely promising) options for the external contracting of IT services by an organization.  Many aspects are common to all existing alternatives, and the long matured and learned lessons during a previous exercise may be a relevant facilitator for the exploration of such innovative option.  This will avoid the same mistakes be made and will bring more effectiveness to the decisions taken along the cloud journey.
  • 5. https://br.linkedin.com/in/alfredosaad  Such matured and learned lessons are normally identified during each step of the previous experience:  Identification of business drivers that motivated the decision to outsource  Definition of the implementation strategy  Definition of the operational model to be deployed  Provider(s) selection  Contract terms and conditions negotiation  Services transition planning and deployment  Contract governance and relationship among all stakeholders
  • 6. https://br.linkedin.com/in/alfredosaad  Many of the activities performed in each of these steps are similar, no matter if we consider the traditional outsourcing or the cloud scenario.  To these similarities, be sure to add the applicable cloud specific components
  • 7. https://br.linkedin.com/in/alfredosaad  It should be emphasized that, on the contrary, if lessons learned are not adequately considered, success probability of a cloud project can be significantly decreased.  More surprising yet, this trend can be perceived long before cloud specificities are added to the discussion.
  • 8. https://br.linkedin.com/in/alfredosaad  Naturally, a cloud adoption project can be successful even if no previous outsourcing experience existed, but ...  ... there is no doubt that the task will be harder because lessons will have to be learned in-flight, frequently in a trial-and- error process that will confront many unknown and/or unexpected hurdles.
  • 9. https://br.linkedin.com/in/alfredosaad  The decisions to be taken along the cloud adoption journey and whose hit rate can be significantly increased as a consequence of the accumulated previous experience, for each step of the process, will be presented in the next slides
  • 10. https://br.linkedin.com/in/alfredosaad  Typical traditional outsourcing business drivers are  cost reduction,  focus on core business,  access to specialized skills,  business processes transformation and standardization,  regulatory and compliance requirements  Which of the above business drivers are still relevant in the cloud scenario for your organization?
  • 11. https://br.linkedin.com/in/alfredosaad  Which “new” business drivers, typically aimed at in a cloud project, must be added and with which priority relative to the “old” ones still considered relevant?  “New” business drivers, typically prioritized in the cloud scenario are market-share increase, time-to- market decrease, customer experience improvement, apps innovation and workforce mobility, among others.
  • 12. https://br.linkedin.com/in/alfredosaad  How the current scenario (which can be a mix of traditional outsourcing - ITO and/or BPO - and workloads still kept on-premises) will be modified as a consequence of the cloud adoption?  Which workloads will be moved to the cloud environment and with which progression rate? Which workloads will be kept, temporarily or permanently, in their current environments (ITO, BPO, on- premises)?
  • 13. https://br.linkedin.com/in/alfredosaad  Which typical selection criteria on traditional outsourcing stay relevant on cloud scenario?  Among them, we can name:  proven provider capacity,  robustness and innovation of solution proposed,  up-to-date technological infrastructure,  available skills,  delivery experience,  list of customers and  customers satisfaction.
  • 14. https://br.linkedin.com/in/alfredosaad  Which “new” typical selection criteria on cloud scenario (sometimes associated to a certain cloud market immaturity) should be added and which is their relative priority to the “old” relevant selection criteria?  Some we could name are:  finance and structural robustness,  available infrastructure geo dispersion,  ability to integrate with competitors’ solutions,  security and compliance infrastructure and procedures.
  • 15. https://br.linkedin.com/in/alfredosaad  Which previous critical negotiation factors became irrelevant on cloud scenario?  Among them, we can name:  assets management and  the transfer of human resources from the buyer to the provider
  • 16. https://br.linkedin.com/in/alfredosaad  Which negotiation factors keep critical, although they should be negotiated in light of the cloud specificities?  We can name:  service level agreements and associated penalties,  services charging metrics,  volume consumption verification,  contract cancellation and  conflict resolution procedures.
  • 17. https://br.linkedin.com/in/alfredosaad  Which “old” negotiation factors became especially critical on cloud scenario?  Some of them would be:  legal contract jurisdiction,  responsibility concerning security and compliance issues,  consequences concerning service failure,  data integrity and recovery
  • 18. https://br.linkedin.com/in/alfredosaad  Which previous factors remain relevant on cloud scenario?  Some of them can be named:  joint planning and limits of responsibility between buyer and provider during transition,  transition team definition and  communication procedures between parties during transition
  • 19. https://br.linkedin.com/in/alfredosaad  Which factors became critical on cloud scenario?  Some of them are:  the integration of services provided by a big number of providers and  the dissemination among users of information concerning charging and additional services request
  • 20. https://br.linkedin.com/in/alfredosaad  Which “old” elements keep critical on cloud scenario?  We could name a few:  structuring of buyer governance function,  selection of skilled governance team components and  definition of executive and operational meetings periodicity and agenda
  • 21. https://br.linkedin.com/in/alfredosaad  Which additional elements appear as critical on a cloud scenario?  Among them we could name:  definition of tools,  skills and procedures needed for a cloud management function, aiming at  agility, effectiveness and automation during new deployments,  additional services request,  cost control and  performance monitoring
  • 22. https://br.linkedin.com/in/alfredosaad  As shown, a previous experience on a traditional outsourcing project lets organizations anticipate how to deal with many of the aspects involved in each step of the adoption of the cloud alternative.  The lessons learned along this previous experience permits a solid base be built for cloud deployment, over which all specific issues of the cloud scenario must be mandatorily and adequately considered.

Related Documents