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Study Reveals the ‘Hidden Costs’ Fear of Cloud Computing

  • By Allie Philpin 
  • Category: Cloud 
  • Comments (0) 

Over the next few years, a major priority for many organisations is migrating to the cloud, but not without worrying about the risks involved in such a move, according to new research carried out.  At the request of Compuware, Research In Action surveyed 468 IT decision-makers as to their experiences with cloud computing and whether they’re planning on further investment in the future.

Organisations from a range of industries across America, Asia and Europe took part in the study which revealed that more and more companies are starting to rely on cloud to deliver their critical business applications, as well as support their infrastructures, but they are becoming increasingly complex.  The main findings from the study include:

•    A top priority over the next 5 years for 25% of the companies surveyed was full cloud integration.
•    79% of companies surveyed are worried about the hidden costs of cloud services.
•    81% of CIOs are using, or planning to use, cloud-based eCommerce platforms within 12 months.
•    64% of IT professionals claim that their biggest concern with cloud computing is poor end-user experience.
•    73% of companies surveyed are currently using out-of-date methods to track and manage the performance of their applications.

There is little doubt that cloud computing can provide companies with more flexibility, scalability, mobility and cost-effectiveness when it comes running their businesses, but with the advent of greater technology and increased demand in cloud’s capabilities, cloud solutions have also become more complex which, according to the study, has led to increased risk to business applications, particularly eCommerce platforms and other external applications.

Research In Action’s survey concluded that: “With the introduction of ever-more sophisticated infrastructure, integrating hybrid, private and public, as well as third party applications, such as social media, eCommerce and ads, there is no doubt that cloud, and IT environment overall, is growing in complexity.  As such, the opportunities for performance issues are increased and resolution is complicated as companies struggle to find the root cause of issues when they occur.  Such issues have a direct impact on the business, increasing the overall operational costs of cloud services that may initially remain hidden.”

What the report does make clear is that many companies are not dotting the ‘I’s and crossing the ‘T’s when it comes to their SLAs (Service Level Agreements) with cloud providers, and they’re not following them should they experience any issues that need to be resolved quickly.  If you have implemented, or are planning to implement, a cloud computing solution, it is important to monitor performance levels across all business applications, thereby being able to quickly spot and correct and problems, but also to prevent any issues from occurring.

Implementing a cloud computing solution is not a simple task; it takes planning, forethought, corporate adjustment and often re-structuring, and there are risks that need to be assessed and constantly monitored to prevent any problems or issues that may arise from damaging your business, a loss of revenue or reputation.  But if integrated successfully, the rewards are worth it!

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