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IT-as-a-Service Brings Much Needed Flexibility in IT Procurement for Middle East Organizations
Published Apr 9, 2014
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IT-as-a-Service (ITaaS) is, in essence, the delivery of technology on a subscription basis, thereby turning Information Technology from a capital to an operational expense.
With ITaaS, technology solutions can be deployed as and when needed and organisations only need to pay for what they use. This allows IT to be a strategic enabler of the business while helping to ensure that the purchase and consumption of IT services is always fully aligned to business requirements.
Moving towards a subscription model can significantly reduce upfront costs, making IT expenditure more regular and predictable and giving organisations greater financial transparency. The fact that organizations are buying a service, rather than the IT equipment itself, should also give businesses greater access to expert technical support and the latest, up-to-date hardware.
Yarob Sakhnini, Regional Director, MEMA at Brocade Communications says, “In the IT networking arena, acquiring network infrastructure on a subscription basis, as opposed to an upfront cost, has big advantages for organizations in the Middle East. In slow periods in the summer months and during Ramadan, businesses in the region slow down and the amount of data being handled by the network decreases. Corresponding, in peak times, traffic volumes can peak. Enterprises can align network capacity with fluctuating business demands, allowing them to scale their subscription up or down according to actual network use, with minimal risk and no capital outlay”.
Demand for this sort of offering has risen in recent years in the Middle East, with businesses increasingly keen to gain more flexibility – both financially and technologically – and take advantage of the fact that they can get the latest network technology without committing to fixed terms or penalties for early termination.
There’s no doubt that moving to an ITaaS model will be a big change for many organizations. Therefore, once the enterprise has made the decision to adopt ITaaS, there are some key organizational shifts and strategic decisions that are necessary for positive integration.
Firstly, when adapting to this change, it is crucial to empower IT teams to reinvent themselves as a flexible and innovative service provider – rather than a cost-centric technology group. It is therefore often helpful to amend the organizational structure and set key performance indicators with a service-orientated delivery company in mind. This ensures the company truly embraces the change but also helps make sure that everyone has a clear understanding of the plans ahead.
Sakhnini says that there are also steps that can be taken to allow organizations to get the best out of the newly adopted delivery method. It is recommended that organizations build a governance framework to support and foster their new ITaaS set-up. Working closely with the vendor is vital to smooth the integration process.
With ITaaS, data centre managers are presented with opportunities to be more nimble and innovative with their technology. If executed effectively, the benefits can be incredibly powerful. However, the planning and adoption of ITaaS can be a complex and challenging task. Once the adoption process has started, managers may face difficulties whilst attempting integration: cultural changes, technology issues and ownership of new responsibilities are often highest on the list.
These challenges can be reduced with support and enforcement from senior management. Reviewing and refining the ITaaS process and developing a governance framework that supports and fosters ITaaS can also be useful steps to ensure that the move to a subscription model is seen as a positive step for data centre managers.
When adopting ITaaS, a variety of best practices can be useful when tackling the integration process to increase the odds for success. Sakhnini recommends:
As a starting point, many companies choose to conduct an internal assessment. This assessment helps them to map out what they need from ITaaS and highlights what resources are required to start building the broader strategy.
Once these parameters have been outlined, the next step is to establish the new ITaaS strategy, built on the internal assessment, and start socialising it. The socialising process will involve regular feedback from stakeholders, at this stage allowing the strategy to be reviewed and refined as per the needs of those involved.
Once the business priorities have been outlined and the strategy has been refined and socialised, the final internal part of the plan involves addressing project ownership and governance. To follow best practice and achieve success, communicating new responsibilities is a must - before and after the adoption process. Employees adopt ITaaS more quickly when clear roles have been established, leaving little room for confusion. However, further down the line, it is also important to review new job responsibilities as people’s skills evolve.
Externally, it is a good idea to reach out for assistance from peers or partners that are experts in ITaaS and have undergone an ITaaS transformation before – including vendors, who should be able to offer expert support throughout the journey.
Posted by
VMD - [Virtual Marketing Department]
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