Page 100 - How Cloud Computing Is Transforming Business and Why You Cant Afford to Be Left Behind

MANA GEMENT STRATEGIES F O R THE CL OUD R EV OL UTION

complete the migration to a private cloud. The better the eco-
nomics of the cloud portion of the data center look internally,
the more likely it is that the rest of the data center will be con-
verted into the private cloud.
There’s a second set of economics pushing the corporate
data center toward a private cloud as well. Whether the CEO,

the CFO, or the CIO likes it or not, there is going to be an ex-
plosion of computer power and sophisticated services on the
Web, both in large public clouds and among smaller entre-
preneurial providers of services that run in the public cloud.
They will have much in common in that they will follow the
standards of Web services, distribute their wares over the In-
ternet, and keep their cost of operation as low as possible.

Even if top management in enterprises can live with higher
costs in its own data centers, and there are good data security
reasons for why it will, that still leaves the problem of coordi-
nating everything that could be done for the company by new
and increasingly specialized business services in the external
cloud.
Such services already exist, but they remain at an early
stage of development compared to their potential. If you’re
dealing with a new customer and he places a large order with

your firm, your order capture system goes out on the Web and
checks his credit rating before you begin to process the order.
If a $500,000 order comes in from a recognized customer in
good standing, but the address is different from the one you
normally ship to, the order fulfillment system automatically
goes out on the Web, enlists an address checking system to see
whether the customer has a facility at the address listed, and

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