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Top 10 Facts Every Tech Management Leader Should Know About Private Cloud

Laura Nelson and James Staten, Forrester analysts | July 15, 2014
Sourced from a new Forrester report

1. Cloudwashing Is Rampant, And You're Probably Doing It Too
Just because an environment carries the cloud label doesn't mean it actually delivers cloud value. 

2. Private Cloud Labels Are Applied To A Range Of Environments
From surveys, interviews, and inquiry calls, Forrester sees an emergence of four private cloud approaches that are being driven by very different strategies and thus have variant scope and outcomes.

3. Operational Efficiency Is Good, But Developer Enablement Is Better
A large focus for tech management investment over the past 10 years has been improving tech management's operational efficiency, but today's leading enterprises have shifted their engagement focus onto the business to help differentiate themselves from their competition by leveraging new technologies. 

4. Transformational Hybrid Cloud Strategies Move Slowly
Fixing the old and aligning the new isn't easy - and doing both at the same time can be a long and arduous process. Can developers wait that long?

5. Top Time-Intensive Steps: Integration And The Road To Process Automation
It's not net-new resources that slow private cloud adoption but connecting these environments to your legacy systems of record, operational processes, and help desk systems that slow it all down.

6. One Environment Does Not Fit All Workloads
Enterprises are no longer asking whether they should leverage public or private cloud as an all-or-nothing proposition. Instead, enterprises are asking when they should leverage public versus private cloud on an application/workload level where specific application characteristics align to certain deployment models. 

7. Cloud Economics Is Tied To Public Cloud, Not Private
The promise of cloud-related cost savings is dependent on specific use cases and is largely connected to public cloud, not private. Achieving cloud economics within a private cloud environment requires a large, diverse usage base, highly standardized costs, a pervasive chargeback system, and aggressive capacity planning and consolidation practices. 

8. Private Cloud ROI Is A Struggle Without Tracking Employee Efficiency
Achieving ROI with a private cloud isn't straightforward and should not be your primary justification for the effort. There are countless published case studies that boast significant private cloud hard cost savings. The greater potential value lies with the full automation of resource provisioning to provide greater enterprise agility.

9. Private Cloud Must Start With Org Structure Change And Effective Incentives
Automation, outsourcing, and cloud are all threatening changes to your infrastructure, operations, and security teams. Designing and implementing incentives that reward change while showing a promising career path is essential for a successful private cloud strategy.

10. PaaS Or IaaS?
The reality is that you probably need a blend of both, and looking at the public clouds as a proof point, IaaS and PaaS are blending. Today, these layers continue to merge, especially as service providers look to provide multiple levels for developers to access their services.


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