Find Resources and Connect with members on topics that interest you.

AI - Acquire and Implement

PO - Plan and Organize

DS - Deliver and Support

Please sign in to see your topics.

Subscribe to this discussion

Week 2 Cloud Governance and Strategy

This week we want to get a more refined look at governance and cloud computing by examining organization strategy, strategy alignment, and cloud computing.

Week 2 question: Will the adoption of cloud computing by organizations positively or negatively impact the ability of organizations to achieve their strategy? WIll it impact the relationship between organization business units, IT, and governance professions in aligning IT, risk management, compliance with the organization strategy?
You must sign in to rate content.
(Unrated)

Comments

RE: Week 2 Cloud Governance and Strategy


In my opinion the strategic impact of cloud computing on organizations is strongly dependent on their current IT Governance maturity. All IT organizations must navigate an ever changing sea of user priorities, vendor offerings, business needs, regulatory requirements and changing technologies while at the same time, delivering the systems and applications required to support the operations of the business. Those IT organizations that have the ability to manage increasingly complex environments are the one's that are better suited to leverage new technologies, such as cloud computing. As company's determine how to best use cloud technology those organizations with mature IT governance functions and clear IT architectural strategies will be better suited to take advantage of cloud computing and to integrate its capabilities into their existing technology infrastructures.

Any potentially disruptive technology, such as cloud computing, can have a significant impact on how IT designs, creates, and delivers applications and systems to the enterprise. This impact can be either positive or negative depending on how receptive the IT organization is to change and its ability to formulate plans to leverage new technologies and incorporate them into its project portfolio.

Efficiently integrating any new technology requires strong and forward looking leadership that is willing to seek out and evaluate new potentially valuable technologies. Strong IT leadership will help to drive the creation of a cohesive strategy for adopting cloud and to ensure that all areas within the IT group are on board with the direction the organization is taking.

Incorporating any new technology into an existing technology base carries inherent risk that must be effectively managed and dealt with. The IT group needs to have in place effective  risk management practices required to ensure that risks to existing operations and to project success are identified and mitigated.

The IT group needs to have a thorough understanding of the services it provides and the associated costs to deliver those services both for internal and external needs. Without an understanding of the IT groups own "cost of goods," there is no rational way to determine if a cloud approach for a particular project is more economical than using only internal resources.

The IT group needs to have in place a clear set of policies and standards to govern the operation of  system environments and services it will provide and support, This will allow organizations to have effective monitoring, measurement and improvement mechanism to improve overall IT service quality at the same time reduce the cost and complexity of the operations.

Thus I believe all these factors (and may be several others) determine how mature any IT dept in an organization and that will eventually determine how that organization could leverage cloud computing to fulfill strategic goals.

Will continue to add my thoughts to this thread later this week as well.

Regards,
Subodh




SubodhLively at 5/24/2011 1:10:51 PM Quote
You must sign in to rate content.
(Unrated)

RE: Week 2 Cloud Governance and Strategy

Dear colleagues,
I think the discussion heavily depends on the strategic importance of the business process you are looking at. Generic business processes that bring no competitive advantage (such as office support, collaboration and payroll) can be supported by generic (low development cost, off-the-shelf) applications packages or easily "outsourced" in the cloud (eg. email). Business processes, which have the potential to create competitive advantage (such as CRM, revenue management), should maybe rather be supported by in-house (higher development cost) custom-built applications.
Steven
Steven De HaesLively at 5/24/2011 1:46:40 PM Quote
You must sign in to rate content.
(1 ratings)

RE: Week 2 Cloud Governance and Strategy

I agree with Steven. I see two types of services; those of "low" value that are (more) easily provided within Cloud Computing, and those others, core to the business / strategy that are going to be rarely provided with CC services.

But, besides this, it should be true that CC must simplify the organizations to meet their objectives, based on its characteristics (flexibility, scalability, etc.), perhaps only because it provides the infrastructure in a very efficient way where, afterwards the internal IT team builds their very high value applications.

And, regarding the relationships between professionals in business units, IT and governance for aligning IT, risk and compliance with strategy are going to change for sure... Business units are going to gain importance in the IT field, so IT professionals should have a more consultive role analyzing and showing the risks involved in the decisions. The same apply to governance professionals that are going to have a lot of work helping business units to choose the CC service that better fits their needs in function of the strategy and the business objectives.

Regards,
Antonio.
Antonio RamosEnergizer at 5/24/2011 2:19:19 PM Quote
You must sign in to rate content.
(Unrated)

RE: Week 2 Cloud Governance and Strategy

Some good points. We are seeing some business  units bypassing IT altogether seeking to deploy cloud-based applications and services quickly and cheaply (at least they think cloud deployment is faster and cheaper).This fundamentally changes the traditional command and control model that IT units have used for many years. I think one big challenge is to redefine the role of IT somewhat to that of a facilitating, advising service that will  help with decision-making around appropriate use of cloud services, particularly in safe-guarding privacy and confidentiality, while ensuring that the physical networks upon which all of this depends are robust and reliable. Once cloud-computing is embraced as a method for obtaining specific ends, it is essential that IT support it intelligently. Cloud computing should be perceived as enhancing business strategy, rather than restraining or preventing it.

Terry
tnikkelLively at 5/25/2011 6:03:40 AM Quote
You must sign in to rate content.
(Unrated)

RE: Week 2 Cloud Governance and Strategy

In regards to the first question I agree that the likelihood of a positive or negative impact on strategy achievement by an organisation will be directed by how mature and effective their existing IT governance is.  Where an organisation is more mature in their IT governance with clear links to the business and the business/organisation’s strategic imperatives, I believe that there is greater chance of success of a positive outcome. The organisation would be more likely to have clarity over their strategy and how IT enables that.  There would be better links with IT being able to be part of the decision process, making decisions to adopt cloud computing rationally together with comparisons against what their current IT capabilities are and costs to achieve through either route. 

Where there is less mature IT governance, the links to business/organisation strategy will be less closely matched, together with the risks that decisions to adopt cloud computing will not be taken on a considered, rational basis.  The success of a positive impact on the ability to achieve an organisational strategy would be more left to chance. 

In terms of how it impacts relationships within an organisation, this will be largely dependent on the relationships already in place, the rationale for adopting cloud, and the maturity of both the IT governance and wider governance within an organisation.  If a cloud adoption project is rushed into by a business unit, with little input from the governance professions, IT, there is less likelihood of achieving alignment.

However, in my view, adoption of cloud project is little different from other strategic or tactical decisions taken by an organisation.  Where there is less mature governance, success of any strategy, tactical step or project is more risky.

John LloydLively at 5/25/2011 9:45:29 AM Quote
You must sign in to rate content.
(Unrated)

RE: Week 2 Cloud Governance and Strategy

Will the adoption of cloud computing by organizations positively or negatively impact the ability of organizations to achieve their strategy?
I don't think the adoption of cloud computing affects the ability of organizations to achieve their strategy either positively or negatively. Like anything else, as long as the organization performs appropriate due diligence, business impact analysis and ROI calculations, the method of delivery should be immaterial to the strategy.

WIll it impact the relationship between organization business units, IT, and governance professions in aligning IT, risk management, compliance with the organization strategy?
Depending on the maturity level of the governance function in the organization, there may or may not be an impact. If the governance maturity level is low, then there will be an impact as the business units and/or IT may not appreciate the need for appropriate controls for the cloud environment. There can be a thought process that the cloud vendor does this as a core competency so they know what they are doing and we don't need to manage or audit it. That couldn't be farther from the truth. An organization with a high level of maturity won't have that as an issue and so there would be no impact on them.
Mary SieroLively at 5/25/2011 5:20:26 PM Quote
You must sign in to rate content.
(Unrated)

RE: Week 2 Cloud Governance and Strategy

Will the adoption of cloud computing by organizations positively or negatively impact the ability of organizations to achieve their strategy?
The apparent ease of adoption can have a significant impact on the ability of a company to achieve its objectives. If they get it right it may deliver performance, reliability, efficiency and security having a positive impact on their bottom line. If they get it wrong it could lead to significant financial and reputational damage and an inability to achieve their strategy. This is no different to the developmental risks businesses take today as Mary has mentioned above, what I would say is that the potential impact could arise significantly quicker from either a positive or negative perspective.

Will it impact the relationship between organization business units, IT, and governance professions in aligning IT, risk management, compliance with the organization strategy?
I believe it will have an impact on interdepartmental relationships and particularly between those departments delivering the sales, service etc and those responsible for identifying, assessing and working across the business to mitigate risk.
The speed in which new deployments can be made combined with the potential cost savings will increase the pressure on the governance functions to react quicker and undertake quicker assessments and due diligence if that is they have been appropriately engaged in the first place.
In the spirit of speed to implementation, inappropriate reliance may be placed on the service vendor to be reliable and act with integrity, but we know that not all cloud service providers are equal and the global nature of the cloud makes this even more difficult to manage. This increases the potential risks which will require longer to assess and this will impact those internal relationships. It will be the strength or maturity of the company’s governance structures to manage these relationship changes that will then determine whether the impact of these relationships is positive or divisive.
MaconMacLively at 5/26/2011 7:53:11 AM Quote
You must sign in to rate content.
(1 ratings)

RE: Week 2 Cloud Governance and Strategy

Answering abovequestions will depend on understanding following basic thoughts and changing paradigms

 

Asorganizations undergo the transformation from information technology (IT) tobusiness technology

(BT),they will have to make many important decisions in the process of moving fromthe current “as-is

state” tothe “to-be state.” Complicating matters are two powerful and related trends: 1)rapidly emerging

anddisruptive technology paradigms such as cloud computing that are changing theeconomics of

sourcingand empowered BT, and 2) tech-savvy business managers and staff provisioningtheir own

technologysolutions. A next-generation BT environment requires re-architecting andorchestrating the

multipletechnology portfolios including the service portfolio, applications portfolio,project portfolio,

and assetportfolio. Successful transformation strategies will require a stronggovernance framework and

a CIO capable of informing the decision-making in the roleof portfolio strategist.

 

IT organizationshave faced mounting pressures to cut the cost of operations while at the sametime influencing business outcomes by delivering new IT-enabled business change initiatives in ever-quickeningcycle times. If these challenges weren't enough, two major and related trendsare further complicating the CIO's efforts.

 

The costs of providing IT-enabledbusiness solutions have fallen significantly as a result of emerging technologiesthat have led to new paradigms for sourcing IT-enabled business changeinitiatives.

The ability to use these disruptivetechnologies to reduce costs, increase business benefits, and speed time-to-valueincreases the number of potential initiatives under consideration atforward-looking organizations. These new technologies include:

· Cloud computing. Cloud computing, a form ofstandardized IT-based capability, is potentially

the greatest disruptive change. Theability to incorporate Internet-based services, software, or

IT infrastructure from an externalservice provider accessible via Internet protocols from any

computer can reduce costs, simultaneouslyincrease flexibility, and reduce the time to provision

solutions.

· Virtualization. Virtual servers, disks, or firewallsthat exist only in software can be created at

the click of a button. Applicationsthat use them can’t tell the difference between the physical

and the virtual because they provideall the same services and respond just like the real thing.

IT organizations can usevirtualization to reduce IT operating costs while at the same time

providing higher levels ofavailability and reduced provisioning times.

· Hosted solutions orsoftware-as-a-service (SaaS). This approach enables organizations to deploy solutions muchfaster and at a lower cost than traditional methods.

· Mobile platforms. The rapid development and adoptionof mobile platforms has created the

expectation of information andapplications available anywhere and anytime. Currently, mobile

is mainly seen as a way to increasecustomer engagement, satisfaction, and loyalty. For IT, the

challenge lies in the proliferationof diverse mobile devices including smartphones and tablets

and their software environmentsincluding Apple’s iOS, Google’s Android, RIM’s BlackBerry,

and Windows Phone 7 to name a few.

At its simplest, IT governance is about the decision rights around IT investments. It includes the structures, processes,and communications that describe who makes IT investmentdecisions, how those decisions are made, how the outcomes of those decisionsare measured and communicated to stakeholders, and who is held accountable forthose decisions.

The challenge for organizations is that empowered BTrequires a mature and robust governance framework that is integrated with enterprise governance and driven by the executive andbusiness leadership. Furthermore, this governance framework must balance the need toensure that decisions maximize value, are compliant withthe enterprise architecture, and fall within risk guidelines without becoming a barrier to flexibility and speed. Unfortunately, in manyorganizations today, IT governance remains immature, fragmented, andstill driven primarily within IT.

 

Will continue to addmy thoughts to this thread later this week as well. 

 

 

Regards

Madhav

Madhav ChablaniSocial at 5/27/2011 10:59:56 PM Quote
You must sign in to rate content.
(Unrated)

RE: Week 2 Cloud Governance and Strategy

Cloud computing effectiveness in achieving an organization’s strategy depends on the enterprise size and kind of business. Enterprises reliance on technology varies from one to another and this is where cloud computing will be a factor. According to surveys, cloud computing is currently mostly adopted by: less regulated firms (like financial institutions) or SMEs (Small-Medium size enterprises). From this perspective, I see SMEs closer to achieve their strategic objectives with Cloud Computing than large regulated firms. However, even if CC is adopted it should be carefully considered. IT objectives should still be developed and documented and kept aligned with business objectives. CC should not be a replacement for the internal IT function. Considering CC as a new form of outsourcing should ensure that at the time that operations are outsourced, responsibility is not. Otherwise, sever issues and complications are expected to take place. Fines, legal cases are some to mention.  

GRC efforts are typically worked in silos. However, the need for merging these efforts is being increasingly realized. CC service providers are expected to offer Risk Management and Compliance Services besides their IT ones. This will be an area for providers to compete in. It is worth noting that even when IT operations are moved to the Cloud the IT governance structure for the enterprise should be maintained but clearly indicates what\where jobs were moved into the cloud. On the other side, if CC service providers started to offer GRC services, segregation of duties and interests conflicts should be addressed.
Bassil MohammadSocial at 5/29/2011 5:43:00 AM Quote
You must sign in to rate content.
(Unrated)

RE: Week 2 Cloud Governance and Strategy

Without any doubt cloud computing as a "new" tool will provide oportunities which increase certain IT capabilities. If these IT capabilities are needed to implement a strategy then cloud computing is of course beneficial. But there will be still a wide range of demands which do not need capabilties which are supported by cloud computing.

From my point of view there is unfortunately a general answer with a big but. In general the relationship to the business should not change because in a healthy business / IT relationship the business is concentrating on its demands (the what) and IT is concentrating on delivery (the how). But on the otherside cloud computing with clear and accessible services might offer the business an oportunity to bypass IT which definitely would change the traditional relationship between business and IT. In contrast to this cloud computing comes with a different risk profile than traditional IT delivery concepts. So IT should engage with the business before they use cloud services in their delivery portfolio. Only the business can answer the question if they are willing to accept the different risk profile.
Michael.SemrauLively at 5/29/2011 3:36:32 PM Quote
You must sign in to rate content.
(Unrated)

RE: Week 2 Cloud Governance and Strategy

Q1: Will the adoption of cloud computing by organizations positively or negatively impact the ability of organizations to achieve their strategy?

There are both impacts. (depend on Cloud style (SaaS, IaaS, PaaS), utilization style (Public, Hybrid, Private)

Positive Aspect
1. Agility, flexibility, and so on,
2. readiness for entering new business area & withdrawing from it 

Negative Aspect
1. New risk (e.g. trouble of Amazon EC2)
2. Without new Risk Management process, It will be difficult to carry out appropriate corporate Accountability.

Q2: Will it impact the relationship between organization business units, IT, and governance professions in aligning IT, risk management, compliance with the organization strategy?

1. Communications between these business units become more & more important.
2. Legal issues must be communicated between these business units. Data locations, Data transfer, Data protection, Lawsuits issue, and so on
3. Especially for global companies, role & responsibilities may be changed between the parent company and subsidiaries.

Masatoshi Kajimoto,CISA, CRISCEnergizer at 5/29/2011 8:22:29 PM Quote
You must sign in to rate content.
(Unrated)

RE: Week 2 Cloud Governance and Strategy

I consider Cloud Computing may have a positive impact on an organization if it is accurately aligned to the objectives of its business strategy, but this decision should be supported and complemented by a strict risk analysis, certainly considering compliance. These activities should be inseparable, otherwise Cloud Computing increases the likelihood of a negative effect on the organization.

Best regards,

Romulo Lomparte, CISA, CGEIT, CRISC, IRCA
Romulo LomparteSocial at 5/29/2011 11:28:29 PM Quote
You must sign in to rate content.
(Unrated)

RE: Week 2 Cloud Governance and Strategy

Well, The Cloud Computing strategy always will be a high risk to the Organization.
The high problem is to assure its availability to their legal owners.
The personal data must be availabilty to its owner and the Cloud (Public, Hybrid, Private) DPO (Data Protection Officer), guard the quality of integrity, authenticity, confidentiality, accounting and non-repudiation of access to the owner or the supervisory authority.
ramoncodLively at 6/13/2011 6:02:35 AM Quote
You must sign in to rate content.
(Unrated)

RE: Week 2 Cloud Governance and Strategy

Q1....  I believe overall impact on corporate strategy will be an ability to positively impact a company strategy.  The implicit assumption here is the strategy is sufficently articulated and the 'match' in the cc solution achieves the strategy objective. That said, the prinicple advantage in cc will be simplified solution identification and implementation.

Q2...  I would tend to agree with several previous comments..  The implied 'simplicity' provides an enticing opportunity for vendors to 'sell around' IT and for business executives to shortcut governance processes.  In theory a 'standard' service could be implemented without involving IT in solution selection and implementation.  However,  'standard' also has to include inter-operability requirements, exit details, control adherence, and some level of governance conformance.  Without these 'standards' as part of the cc offering  IT/Audit/etc is more likely than not to get involved down the road...
Austin HuttonLively at 6/14/2011 2:00:28 PM Quote
You must sign in to rate content.
(Unrated)

RE: Week 2 Cloud Governance and Strategy

Q1....  I believe overall impact on corporate strategy will be an ability to positively impact a company strategy.  The implicit assumption here is the strategy is sufficently articulated and the 'match' in the cc solution achieves the strategy objective. That said, the prinicple advantage in cc will be simplified solution identification and implementation.

Q2...  I would tend to agree with several previous comments..  The implied 'simplicity' provides an enticing opportunity for vendors to 'sell around' IT and for business executives to shortcut governance processes.  In theory a 'standard' service could be implemented without involving IT in solution selection and implementation.  However,  'standard' also has to include inter-operability requirements, exit details, control adherence, and some level of governance conformance.  Without these 'standards' as part of the cc offering  IT/Audit/etc is more likely than not to get involved down the road...
Austin HuttonLively at 6/14/2011 2:00:28 PM Quote
You must sign in to rate content.
(Unrated)

RE: Week 2 Cloud Governance and Strategy

Well, The Cloud Computing strategy always will be a high risk to the Organization.
The high problem is to assure its availability to their legal owners.
The personal data must be availabilty to its owner and the Cloud (Public, Hybrid, Private) DPO (Data Protection Officer), guard the quality of integrity, authenticity, confidentiality, accounting and non-repudiation of access to the owner or the supervisory authority.
ramoncodLively at 6/13/2011 6:02:35 AM Quote
You must sign in to rate content.
(Unrated)

RE: Week 2 Cloud Governance and Strategy

I consider Cloud Computing may have a positive impact on an organization if it is accurately aligned to the objectives of its business strategy, but this decision should be supported and complemented by a strict risk analysis, certainly considering compliance. These activities should be inseparable, otherwise Cloud Computing increases the likelihood of a negative effect on the organization.

Best regards,

Romulo Lomparte, CISA, CGEIT, CRISC, IRCA
Romulo LomparteSocial at 5/29/2011 11:28:29 PM Quote
You must sign in to rate content.
(Unrated)

RE: Week 2 Cloud Governance and Strategy

Q1: Will the adoption of cloud computing by organizations positively or negatively impact the ability of organizations to achieve their strategy?

There are both impacts. (depend on Cloud style (SaaS, IaaS, PaaS), utilization style (Public, Hybrid, Private)

Positive Aspect
1. Agility, flexibility, and so on,
2. readiness for entering new business area & withdrawing from it 

Negative Aspect
1. New risk (e.g. trouble of Amazon EC2)
2. Without new Risk Management process, It will be difficult to carry out appropriate corporate Accountability.

Q2: Will it impact the relationship between organization business units, IT, and governance professions in aligning IT, risk management, compliance with the organization strategy?

1. Communications between these business units become more & more important.
2. Legal issues must be communicated between these business units. Data locations, Data transfer, Data protection, Lawsuits issue, and so on
3. Especially for global companies, role & responsibilities may be changed between the parent company and subsidiaries.

Masatoshi Kajimoto,CISA, CRISCEnergizer at 5/29/2011 8:22:29 PM Quote
You must sign in to rate content.
(Unrated)

RE: Week 2 Cloud Governance and Strategy

Without any doubt cloud computing as a "new" tool will provide oportunities which increase certain IT capabilities. If these IT capabilities are needed to implement a strategy then cloud computing is of course beneficial. But there will be still a wide range of demands which do not need capabilties which are supported by cloud computing.

From my point of view there is unfortunately a general answer with a big but. In general the relationship to the business should not change because in a healthy business / IT relationship the business is concentrating on its demands (the what) and IT is concentrating on delivery (the how). But on the otherside cloud computing with clear and accessible services might offer the business an oportunity to bypass IT which definitely would change the traditional relationship between business and IT. In contrast to this cloud computing comes with a different risk profile than traditional IT delivery concepts. So IT should engage with the business before they use cloud services in their delivery portfolio. Only the business can answer the question if they are willing to accept the different risk profile.
Michael.SemrauLively at 5/29/2011 3:36:32 PM Quote
You must sign in to rate content.
(Unrated)

RE: Week 2 Cloud Governance and Strategy

Cloud computing effectiveness in achieving an organization’s strategy depends on the enterprise size and kind of business. Enterprises reliance on technology varies from one to another and this is where cloud computing will be a factor. According to surveys, cloud computing is currently mostly adopted by: less regulated firms (like financial institutions) or SMEs (Small-Medium size enterprises). From this perspective, I see SMEs closer to achieve their strategic objectives with Cloud Computing than large regulated firms. However, even if CC is adopted it should be carefully considered. IT objectives should still be developed and documented and kept aligned with business objectives. CC should not be a replacement for the internal IT function. Considering CC as a new form of outsourcing should ensure that at the time that operations are outsourced, responsibility is not. Otherwise, sever issues and complications are expected to take place. Fines, legal cases are some to mention.  

GRC efforts are typically worked in silos. However, the need for merging these efforts is being increasingly realized. CC service providers are expected to offer Risk Management and Compliance Services besides their IT ones. This will be an area for providers to compete in. It is worth noting that even when IT operations are moved to the Cloud the IT governance structure for the enterprise should be maintained but clearly indicates what\where jobs were moved into the cloud. On the other side, if CC service providers started to offer GRC services, segregation of duties and interests conflicts should be addressed.
Bassil MohammadSocial at 5/29/2011 5:43:00 AM Quote
You must sign in to rate content.
(Unrated)

RE: Week 2 Cloud Governance and Strategy

Answering abovequestions will depend on understanding following basic thoughts and changing paradigms

 

Asorganizations undergo the transformation from information technology (IT) tobusiness technology

(BT),they will have to make many important decisions in the process of moving fromthe current “as-is

state” tothe “to-be state.” Complicating matters are two powerful and related trends: 1)rapidly emerging

anddisruptive technology paradigms such as cloud computing that are changing theeconomics of

sourcingand empowered BT, and 2) tech-savvy business managers and staff provisioningtheir own

technologysolutions. A next-generation BT environment requires re-architecting andorchestrating the

multipletechnology portfolios including the service portfolio, applications portfolio,project portfolio,

and assetportfolio. Successful transformation strategies will require a stronggovernance framework and

a CIO capable of informing the decision-making in the roleof portfolio strategist.

 

IT organizationshave faced mounting pressures to cut the cost of operations while at the sametime influencing business outcomes by delivering new IT-enabled business change initiatives in ever-quickeningcycle times. If these challenges weren't enough, two major and related trendsare further complicating the CIO's efforts.

 

The costs of providing IT-enabledbusiness solutions have fallen significantly as a result of emerging technologiesthat have led to new paradigms for sourcing IT-enabled business changeinitiatives.

The ability to use these disruptivetechnologies to reduce costs, increase business benefits, and speed time-to-valueincreases the number of potential initiatives under consideration atforward-looking organizations. These new technologies include:

· Cloud computing. Cloud computing, a form ofstandardized IT-based capability, is potentially

the greatest disruptive change. Theability to incorporate Internet-based services, software, or

IT infrastructure from an externalservice provider accessible via Internet protocols from any

computer can reduce costs, simultaneouslyincrease flexibility, and reduce the time to provision

solutions.

· Virtualization. Virtual servers, disks, or firewallsthat exist only in software can be created at

the click of a button. Applicationsthat use them can’t tell the difference between the physical

and the virtual because they provideall the same services and respond just like the real thing.

IT organizations can usevirtualization to reduce IT operating costs while at the same time

providing higher levels ofavailability and reduced provisioning times.

· Hosted solutions orsoftware-as-a-service (SaaS). This approach enables organizations to deploy solutions muchfaster and at a lower cost than traditional methods.

· Mobile platforms. The rapid development and adoptionof mobile platforms has created the

expectation of information andapplications available anywhere and anytime. Currently, mobile

is mainly seen as a way to increasecustomer engagement, satisfaction, and loyalty. For IT, the

challenge lies in the proliferationof diverse mobile devices including smartphones and tablets

and their software environmentsincluding Apple’s iOS, Google’s Android, RIM’s BlackBerry,

and Windows Phone 7 to name a few.

At its simplest, IT governance is about the decision rights around IT investments. It includes the structures, processes,and communications that describe who makes IT investmentdecisions, how those decisions are made, how the outcomes of those decisionsare measured and communicated to stakeholders, and who is held accountable forthose decisions.

The challenge for organizations is that empowered BTrequires a mature and robust governance framework that is integrated with enterprise governance and driven by the executive andbusiness leadership. Furthermore, this governance framework must balance the need toensure that decisions maximize value, are compliant withthe enterprise architecture, and fall within risk guidelines without becoming a barrier to flexibility and speed. Unfortunately, in manyorganizations today, IT governance remains immature, fragmented, andstill driven primarily within IT.

 

Will continue to addmy thoughts to this thread later this week as well. 

 

 

Regards

Madhav

Madhav ChablaniSocial at 5/27/2011 10:59:56 PM Quote
You must sign in to rate content.
(Unrated)

RE: Week 2 Cloud Governance and Strategy

Will the adoption of cloud computing by organizations positively or negatively impact the ability of organizations to achieve their strategy?
The apparent ease of adoption can have a significant impact on the ability of a company to achieve its objectives. If they get it right it may deliver performance, reliability, efficiency and security having a positive impact on their bottom line. If they get it wrong it could lead to significant financial and reputational damage and an inability to achieve their strategy. This is no different to the developmental risks businesses take today as Mary has mentioned above, what I would say is that the potential impact could arise significantly quicker from either a positive or negative perspective.

Will it impact the relationship between organization business units, IT, and governance professions in aligning IT, risk management, compliance with the organization strategy?
I believe it will have an impact on interdepartmental relationships and particularly between those departments delivering the sales, service etc and those responsible for identifying, assessing and working across the business to mitigate risk.
The speed in which new deployments can be made combined with the potential cost savings will increase the pressure on the governance functions to react quicker and undertake quicker assessments and due diligence if that is they have been appropriately engaged in the first place.
In the spirit of speed to implementation, inappropriate reliance may be placed on the service vendor to be reliable and act with integrity, but we know that not all cloud service providers are equal and the global nature of the cloud makes this even more difficult to manage. This increases the potential risks which will require longer to assess and this will impact those internal relationships. It will be the strength or maturity of the company’s governance structures to manage these relationship changes that will then determine whether the impact of these relationships is positive or divisive.
MaconMacLively at 5/26/2011 7:53:11 AM Quote
You must sign in to rate content.
(1 ratings)

RE: Week 2 Cloud Governance and Strategy

Will the adoption of cloud computing by organizations positively or negatively impact the ability of organizations to achieve their strategy?
I don't think the adoption of cloud computing affects the ability of organizations to achieve their strategy either positively or negatively. Like anything else, as long as the organization performs appropriate due diligence, business impact analysis and ROI calculations, the method of delivery should be immaterial to the strategy.

WIll it impact the relationship between organization business units, IT, and governance professions in aligning IT, risk management, compliance with the organization strategy?
Depending on the maturity level of the governance function in the organization, there may or may not be an impact. If the governance maturity level is low, then there will be an impact as the business units and/or IT may not appreciate the need for appropriate controls for the cloud environment. There can be a thought process that the cloud vendor does this as a core competency so they know what they are doing and we don't need to manage or audit it. That couldn't be farther from the truth. An organization with a high level of maturity won't have that as an issue and so there would be no impact on them.
Mary SieroLively at 5/25/2011 5:20:26 PM Quote
You must sign in to rate content.
(Unrated)

RE: Week 2 Cloud Governance and Strategy

In regards to the first question I agree that the likelihood of a positive or negative impact on strategy achievement by an organisation will be directed by how mature and effective their existing IT governance is.  Where an organisation is more mature in their IT governance with clear links to the business and the business/organisation’s strategic imperatives, I believe that there is greater chance of success of a positive outcome. The organisation would be more likely to have clarity over their strategy and how IT enables that.  There would be better links with IT being able to be part of the decision process, making decisions to adopt cloud computing rationally together with comparisons against what their current IT capabilities are and costs to achieve through either route. 

Where there is less mature IT governance, the links to business/organisation strategy will be less closely matched, together with the risks that decisions to adopt cloud computing will not be taken on a considered, rational basis.  The success of a positive impact on the ability to achieve an organisational strategy would be more left to chance. 

In terms of how it impacts relationships within an organisation, this will be largely dependent on the relationships already in place, the rationale for adopting cloud, and the maturity of both the IT governance and wider governance within an organisation.  If a cloud adoption project is rushed into by a business unit, with little input from the governance professions, IT, there is less likelihood of achieving alignment.

However, in my view, adoption of cloud project is little different from other strategic or tactical decisions taken by an organisation.  Where there is less mature governance, success of any strategy, tactical step or project is more risky.

John LloydLively at 5/25/2011 9:45:29 AM Quote
You must sign in to rate content.
(Unrated)

RE: Week 2 Cloud Governance and Strategy

Some good points. We are seeing some business  units bypassing IT altogether seeking to deploy cloud-based applications and services quickly and cheaply (at least they think cloud deployment is faster and cheaper).This fundamentally changes the traditional command and control model that IT units have used for many years. I think one big challenge is to redefine the role of IT somewhat to that of a facilitating, advising service that will  help with decision-making around appropriate use of cloud services, particularly in safe-guarding privacy and confidentiality, while ensuring that the physical networks upon which all of this depends are robust and reliable. Once cloud-computing is embraced as a method for obtaining specific ends, it is essential that IT support it intelligently. Cloud computing should be perceived as enhancing business strategy, rather than restraining or preventing it.

Terry
tnikkelLively at 5/25/2011 6:03:40 AM Quote
You must sign in to rate content.
(Unrated)

RE: Week 2 Cloud Governance and Strategy

I agree with Steven. I see two types of services; those of "low" value that are (more) easily provided within Cloud Computing, and those others, core to the business / strategy that are going to be rarely provided with CC services.

But, besides this, it should be true that CC must simplify the organizations to meet their objectives, based on its characteristics (flexibility, scalability, etc.), perhaps only because it provides the infrastructure in a very efficient way where, afterwards the internal IT team builds their very high value applications.

And, regarding the relationships between professionals in business units, IT and governance for aligning IT, risk and compliance with strategy are going to change for sure... Business units are going to gain importance in the IT field, so IT professionals should have a more consultive role analyzing and showing the risks involved in the decisions. The same apply to governance professionals that are going to have a lot of work helping business units to choose the CC service that better fits their needs in function of the strategy and the business objectives.

Regards,
Antonio.
Antonio RamosEnergizer at 5/24/2011 2:19:19 PM Quote
You must sign in to rate content.
(Unrated)

RE: Week 2 Cloud Governance and Strategy

Dear colleagues,
I think the discussion heavily depends on the strategic importance of the business process you are looking at. Generic business processes that bring no competitive advantage (such as office support, collaboration and payroll) can be supported by generic (low development cost, off-the-shelf) applications packages or easily "outsourced" in the cloud (eg. email). Business processes, which have the potential to create competitive advantage (such as CRM, revenue management), should maybe rather be supported by in-house (higher development cost) custom-built applications.
Steven
Steven De HaesLively at 5/24/2011 1:46:40 PM Quote
You must sign in to rate content.
(1 ratings)

RE: Week 2 Cloud Governance and Strategy


In my opinion the strategic impact of cloud computing on organizations is strongly dependent on their current IT Governance maturity. All IT organizations must navigate an ever changing sea of user priorities, vendor offerings, business needs, regulatory requirements and changing technologies while at the same time, delivering the systems and applications required to support the operations of the business. Those IT organizations that have the ability to manage increasingly complex environments are the one's that are better suited to leverage new technologies, such as cloud computing. As company's determine how to best use cloud technology those organizations with mature IT governance functions and clear IT architectural strategies will be better suited to take advantage of cloud computing and to integrate its capabilities into their existing technology infrastructures.

Any potentially disruptive technology, such as cloud computing, can have a significant impact on how IT designs, creates, and delivers applications and systems to the enterprise. This impact can be either positive or negative depending on how receptive the IT organization is to change and its ability to formulate plans to leverage new technologies and incorporate them into its project portfolio.

Efficiently integrating any new technology requires strong and forward looking leadership that is willing to seek out and evaluate new potentially valuable technologies. Strong IT leadership will help to drive the creation of a cohesive strategy for adopting cloud and to ensure that all areas within the IT group are on board with the direction the organization is taking.

Incorporating any new technology into an existing technology base carries inherent risk that must be effectively managed and dealt with. The IT group needs to have in place effective  risk management practices required to ensure that risks to existing operations and to project success are identified and mitigated.

The IT group needs to have a thorough understanding of the services it provides and the associated costs to deliver those services both for internal and external needs. Without an understanding of the IT groups own "cost of goods," there is no rational way to determine if a cloud approach for a particular project is more economical than using only internal resources.

The IT group needs to have in place a clear set of policies and standards to govern the operation of  system environments and services it will provide and support, This will allow organizations to have effective monitoring, measurement and improvement mechanism to improve overall IT service quality at the same time reduce the cost and complexity of the operations.

Thus I believe all these factors (and may be several others) determine how mature any IT dept in an organization and that will eventually determine how that organization could leverage cloud computing to fulfill strategic goals.

Will continue to add my thoughts to this thread later this week as well.

Regards,
Subodh




SubodhLively at 5/24/2011 1:10:51 PM Quote
You must sign in to rate content.
(Unrated)

RE: Week 2 Cloud Governance and Strategy

Dear colleagues,
I think the discussion heavily depends on the strategic importance of the business process you are looking at. Generic business processes that bring no competitive advantage (such as office support, collaboration and payroll) can be supported by generic (low development cost, off-the-shelf) applications packages or easily "outsourced" in the cloud (eg. email). Business processes, which have the potential to create competitive advantage (such as CRM, revenue management), should maybe rather be supported by in-house (higher development cost) custom-built applications.
Steven
Steven De HaesLively at 5/24/2011 1:46:40 PM Quote
You must sign in to rate content.
(1 ratings)

RE: Week 2 Cloud Governance and Strategy

Will the adoption of cloud computing by organizations positively or negatively impact the ability of organizations to achieve their strategy?
The apparent ease of adoption can have a significant impact on the ability of a company to achieve its objectives. If they get it right it may deliver performance, reliability, efficiency and security having a positive impact on their bottom line. If they get it wrong it could lead to significant financial and reputational damage and an inability to achieve their strategy. This is no different to the developmental risks businesses take today as Mary has mentioned above, what I would say is that the potential impact could arise significantly quicker from either a positive or negative perspective.

Will it impact the relationship between organization business units, IT, and governance professions in aligning IT, risk management, compliance with the organization strategy?
I believe it will have an impact on interdepartmental relationships and particularly between those departments delivering the sales, service etc and those responsible for identifying, assessing and working across the business to mitigate risk.
The speed in which new deployments can be made combined with the potential cost savings will increase the pressure on the governance functions to react quicker and undertake quicker assessments and due diligence if that is they have been appropriately engaged in the first place.
In the spirit of speed to implementation, inappropriate reliance may be placed on the service vendor to be reliable and act with integrity, but we know that not all cloud service providers are equal and the global nature of the cloud makes this even more difficult to manage. This increases the potential risks which will require longer to assess and this will impact those internal relationships. It will be the strength or maturity of the company’s governance structures to manage these relationship changes that will then determine whether the impact of these relationships is positive or divisive.
MaconMacLively at 5/26/2011 7:53:11 AM Quote
You must sign in to rate content.
(1 ratings)

RE: Week 2 Cloud Governance and Strategy


In my opinion the strategic impact of cloud computing on organizations is strongly dependent on their current IT Governance maturity. All IT organizations must navigate an ever changing sea of user priorities, vendor offerings, business needs, regulatory requirements and changing technologies while at the same time, delivering the systems and applications required to support the operations of the business. Those IT organizations that have the ability to manage increasingly complex environments are the one's that are better suited to leverage new technologies, such as cloud computing. As company's determine how to best use cloud technology those organizations with mature IT governance functions and clear IT architectural strategies will be better suited to take advantage of cloud computing and to integrate its capabilities into their existing technology infrastructures.

Any potentially disruptive technology, such as cloud computing, can have a significant impact on how IT designs, creates, and delivers applications and systems to the enterprise. This impact can be either positive or negative depending on how receptive the IT organization is to change and its ability to formulate plans to leverage new technologies and incorporate them into its project portfolio.

Efficiently integrating any new technology requires strong and forward looking leadership that is willing to seek out and evaluate new potentially valuable technologies. Strong IT leadership will help to drive the creation of a cohesive strategy for adopting cloud and to ensure that all areas within the IT group are on board with the direction the organization is taking.

Incorporating any new technology into an existing technology base carries inherent risk that must be effectively managed and dealt with. The IT group needs to have in place effective  risk management practices required to ensure that risks to existing operations and to project success are identified and mitigated.

The IT group needs to have a thorough understanding of the services it provides and the associated costs to deliver those services both for internal and external needs. Without an understanding of the IT groups own "cost of goods," there is no rational way to determine if a cloud approach for a particular project is more economical than using only internal resources.

The IT group needs to have in place a clear set of policies and standards to govern the operation of  system environments and services it will provide and support, This will allow organizations to have effective monitoring, measurement and improvement mechanism to improve overall IT service quality at the same time reduce the cost and complexity of the operations.

Thus I believe all these factors (and may be several others) determine how mature any IT dept in an organization and that will eventually determine how that organization could leverage cloud computing to fulfill strategic goals.

Will continue to add my thoughts to this thread later this week as well.

Regards,
Subodh




SubodhLively at 5/24/2011 1:10:51 PM Quote
You must sign in to rate content.
(Unrated)

RE: Week 2 Cloud Governance and Strategy

I agree with Steven. I see two types of services; those of "low" value that are (more) easily provided within Cloud Computing, and those others, core to the business / strategy that are going to be rarely provided with CC services.

But, besides this, it should be true that CC must simplify the organizations to meet their objectives, based on its characteristics (flexibility, scalability, etc.), perhaps only because it provides the infrastructure in a very efficient way where, afterwards the internal IT team builds their very high value applications.

And, regarding the relationships between professionals in business units, IT and governance for aligning IT, risk and compliance with strategy are going to change for sure... Business units are going to gain importance in the IT field, so IT professionals should have a more consultive role analyzing and showing the risks involved in the decisions. The same apply to governance professionals that are going to have a lot of work helping business units to choose the CC service that better fits their needs in function of the strategy and the business objectives.

Regards,
Antonio.
Antonio RamosEnergizer at 5/24/2011 2:19:19 PM Quote
You must sign in to rate content.
(Unrated)

RE: Week 2 Cloud Governance and Strategy

Some good points. We are seeing some business  units bypassing IT altogether seeking to deploy cloud-based applications and services quickly and cheaply (at least they think cloud deployment is faster and cheaper).This fundamentally changes the traditional command and control model that IT units have used for many years. I think one big challenge is to redefine the role of IT somewhat to that of a facilitating, advising service that will  help with decision-making around appropriate use of cloud services, particularly in safe-guarding privacy and confidentiality, while ensuring that the physical networks upon which all of this depends are robust and reliable. Once cloud-computing is embraced as a method for obtaining specific ends, it is essential that IT support it intelligently. Cloud computing should be perceived as enhancing business strategy, rather than restraining or preventing it.

Terry
tnikkelLively at 5/25/2011 6:03:40 AM Quote
You must sign in to rate content.
(Unrated)

RE: Week 2 Cloud Governance and Strategy

In regards to the first question I agree that the likelihood of a positive or negative impact on strategy achievement by an organisation will be directed by how mature and effective their existing IT governance is.  Where an organisation is more mature in their IT governance with clear links to the business and the business/organisation’s strategic imperatives, I believe that there is greater chance of success of a positive outcome. The organisation would be more likely to have clarity over their strategy and how IT enables that.  There would be better links with IT being able to be part of the decision process, making decisions to adopt cloud computing rationally together with comparisons against what their current IT capabilities are and costs to achieve through either route. 

Where there is less mature IT governance, the links to business/organisation strategy will be less closely matched, together with the risks that decisions to adopt cloud computing will not be taken on a considered, rational basis.  The success of a positive impact on the ability to achieve an organisational strategy would be more left to chance. 

In terms of how it impacts relationships within an organisation, this will be largely dependent on the relationships already in place, the rationale for adopting cloud, and the maturity of both the IT governance and wider governance within an organisation.  If a cloud adoption project is rushed into by a business unit, with little input from the governance professions, IT, there is less likelihood of achieving alignment.

However, in my view, adoption of cloud project is little different from other strategic or tactical decisions taken by an organisation.  Where there is less mature governance, success of any strategy, tactical step or project is more risky.

John LloydLively at 5/25/2011 9:45:29 AM Quote
You must sign in to rate content.
(Unrated)

RE: Week 2 Cloud Governance and Strategy

Will the adoption of cloud computing by organizations positively or negatively impact the ability of organizations to achieve their strategy?
I don't think the adoption of cloud computing affects the ability of organizations to achieve their strategy either positively or negatively. Like anything else, as long as the organization performs appropriate due diligence, business impact analysis and ROI calculations, the method of delivery should be immaterial to the strategy.

WIll it impact the relationship between organization business units, IT, and governance professions in aligning IT, risk management, compliance with the organization strategy?
Depending on the maturity level of the governance function in the organization, there may or may not be an impact. If the governance maturity level is low, then there will be an impact as the business units and/or IT may not appreciate the need for appropriate controls for the cloud environment. There can be a thought process that the cloud vendor does this as a core competency so they know what they are doing and we don't need to manage or audit it. That couldn't be farther from the truth. An organization with a high level of maturity won't have that as an issue and so there would be no impact on them.
Mary SieroLively at 5/25/2011 5:20:26 PM Quote
You must sign in to rate content.
(Unrated)

RE: Week 2 Cloud Governance and Strategy

Answering abovequestions will depend on understanding following basic thoughts and changing paradigms

 

Asorganizations undergo the transformation from information technology (IT) tobusiness technology

(BT),they will have to make many important decisions in the process of moving fromthe current “as-is

state” tothe “to-be state.” Complicating matters are two powerful and related trends: 1)rapidly emerging

anddisruptive technology paradigms such as cloud computing that are changing theeconomics of

sourcingand empowered BT, and 2) tech-savvy business managers and staff provisioningtheir own

technologysolutions. A next-generation BT environment requires re-architecting andorchestrating the

multipletechnology portfolios including the service portfolio, applications portfolio,project portfolio,

and assetportfolio. Successful transformation strategies will require a stronggovernance framework and

a CIO capable of informing the decision-making in the roleof portfolio strategist.

 

IT organizationshave faced mounting pressures to cut the cost of operations while at the sametime influencing business outcomes by delivering new IT-enabled business change initiatives in ever-quickeningcycle times. If these challenges weren't enough, two major and related trendsare further complicating the CIO's efforts.

 

The costs of providing IT-enabledbusiness solutions have fallen significantly as a result of emerging technologiesthat have led to new paradigms for sourcing IT-enabled business changeinitiatives.

The ability to use these disruptivetechnologies to reduce costs, increase business benefits, and speed time-to-valueincreases the number of potential initiatives under consideration atforward-looking organizations. These new technologies include:

· Cloud computing. Cloud computing, a form ofstandardized IT-based capability, is potentially

the greatest disruptive change. Theability to incorporate Internet-based services, software, or

IT infrastructure from an externalservice provider accessible via Internet protocols from any

computer can reduce costs, simultaneouslyincrease flexibility, and reduce the time to provision

solutions.

· Virtualization. Virtual servers, disks, or firewallsthat exist only in software can be created at

the click of a button. Applicationsthat use them can’t tell the difference between the physical

and the virtual because they provideall the same services and respond just like the real thing.

IT organizations can usevirtualization to reduce IT operating costs while at the same time

providing higher levels ofavailability and reduced provisioning times.

· Hosted solutions orsoftware-as-a-service (SaaS). This approach enables organizations to deploy solutions muchfaster and at a lower cost than traditional methods.

· Mobile platforms. The rapid development and adoptionof mobile platforms has created the

expectation of information andapplications available anywhere and anytime. Currently, mobile

is mainly seen as a way to increasecustomer engagement, satisfaction, and loyalty. For IT, the

challenge lies in the proliferationof diverse mobile devices including smartphones and tablets

and their software environmentsincluding Apple’s iOS, Google’s Android, RIM’s BlackBerry,

and Windows Phone 7 to name a few.

At its simplest, IT governance is about the decision rights around IT investments. It includes the structures, processes,and communications that describe who makes IT investmentdecisions, how those decisions are made, how the outcomes of those decisionsare measured and communicated to stakeholders, and who is held accountable forthose decisions.

The challenge for organizations is that empowered BTrequires a mature and robust governance framework that is integrated with enterprise governance and driven by the executive andbusiness leadership. Furthermore, this governance framework must balance the need toensure that decisions maximize value, are compliant withthe enterprise architecture, and fall within risk guidelines without becoming a barrier to flexibility and speed. Unfortunately, in manyorganizations today, IT governance remains immature, fragmented, andstill driven primarily within IT.

 

Will continue to addmy thoughts to this thread later this week as well. 

 

 

Regards

Madhav

Madhav ChablaniSocial at 5/27/2011 10:59:56 PM Quote
You must sign in to rate content.
(Unrated)

RE: Week 2 Cloud Governance and Strategy

Cloud computing effectiveness in achieving an organization’s strategy depends on the enterprise size and kind of business. Enterprises reliance on technology varies from one to another and this is where cloud computing will be a factor. According to surveys, cloud computing is currently mostly adopted by: less regulated firms (like financial institutions) or SMEs (Small-Medium size enterprises). From this perspective, I see SMEs closer to achieve their strategic objectives with Cloud Computing than large regulated firms. However, even if CC is adopted it should be carefully considered. IT objectives should still be developed and documented and kept aligned with business objectives. CC should not be a replacement for the internal IT function. Considering CC as a new form of outsourcing should ensure that at the time that operations are outsourced, responsibility is not. Otherwise, sever issues and complications are expected to take place. Fines, legal cases are some to mention.  

GRC efforts are typically worked in silos. However, the need for merging these efforts is being increasingly realized. CC service providers are expected to offer Risk Management and Compliance Services besides their IT ones. This will be an area for providers to compete in. It is worth noting that even when IT operations are moved to the Cloud the IT governance structure for the enterprise should be maintained but clearly indicates what\where jobs were moved into the cloud. On the other side, if CC service providers started to offer GRC services, segregation of duties and interests conflicts should be addressed.
Bassil MohammadSocial at 5/29/2011 5:43:00 AM Quote
You must sign in to rate content.
(Unrated)

RE: Week 2 Cloud Governance and Strategy

Without any doubt cloud computing as a "new" tool will provide oportunities which increase certain IT capabilities. If these IT capabilities are needed to implement a strategy then cloud computing is of course beneficial. But there will be still a wide range of demands which do not need capabilties which are supported by cloud computing.

From my point of view there is unfortunately a general answer with a big but. In general the relationship to the business should not change because in a healthy business / IT relationship the business is concentrating on its demands (the what) and IT is concentrating on delivery (the how). But on the otherside cloud computing with clear and accessible services might offer the business an oportunity to bypass IT which definitely would change the traditional relationship between business and IT. In contrast to this cloud computing comes with a different risk profile than traditional IT delivery concepts. So IT should engage with the business before they use cloud services in their delivery portfolio. Only the business can answer the question if they are willing to accept the different risk profile.
Michael.SemrauLively at 5/29/2011 3:36:32 PM Quote
You must sign in to rate content.
(Unrated)

RE: Week 2 Cloud Governance and Strategy

Q1: Will the adoption of cloud computing by organizations positively or negatively impact the ability of organizations to achieve their strategy?

There are both impacts. (depend on Cloud style (SaaS, IaaS, PaaS), utilization style (Public, Hybrid, Private)

Positive Aspect
1. Agility, flexibility, and so on,
2. readiness for entering new business area & withdrawing from it 

Negative Aspect
1. New risk (e.g. trouble of Amazon EC2)
2. Without new Risk Management process, It will be difficult to carry out appropriate corporate Accountability.

Q2: Will it impact the relationship between organization business units, IT, and governance professions in aligning IT, risk management, compliance with the organization strategy?

1. Communications between these business units become more & more important.
2. Legal issues must be communicated between these business units. Data locations, Data transfer, Data protection, Lawsuits issue, and so on
3. Especially for global companies, role & responsibilities may be changed between the parent company and subsidiaries.

Masatoshi Kajimoto,CISA, CRISCEnergizer at 5/29/2011 8:22:29 PM Quote
You must sign in to rate content.
(Unrated)

RE: Week 2 Cloud Governance and Strategy

I consider Cloud Computing may have a positive impact on an organization if it is accurately aligned to the objectives of its business strategy, but this decision should be supported and complemented by a strict risk analysis, certainly considering compliance. These activities should be inseparable, otherwise Cloud Computing increases the likelihood of a negative effect on the organization.

Best regards,

Romulo Lomparte, CISA, CGEIT, CRISC, IRCA
Romulo LomparteSocial at 5/29/2011 11:28:29 PM Quote
You must sign in to rate content.
(Unrated)

RE: Week 2 Cloud Governance and Strategy

Well, The Cloud Computing strategy always will be a high risk to the Organization.
The high problem is to assure its availability to their legal owners.
The personal data must be availabilty to its owner and the Cloud (Public, Hybrid, Private) DPO (Data Protection Officer), guard the quality of integrity, authenticity, confidentiality, accounting and non-repudiation of access to the owner or the supervisory authority.
ramoncodLively at 6/13/2011 6:02:35 AM Quote
You must sign in to rate content.
(Unrated)

RE: Week 2 Cloud Governance and Strategy

Q1....  I believe overall impact on corporate strategy will be an ability to positively impact a company strategy.  The implicit assumption here is the strategy is sufficently articulated and the 'match' in the cc solution achieves the strategy objective. That said, the prinicple advantage in cc will be simplified solution identification and implementation.

Q2...  I would tend to agree with several previous comments..  The implied 'simplicity' provides an enticing opportunity for vendors to 'sell around' IT and for business executives to shortcut governance processes.  In theory a 'standard' service could be implemented without involving IT in solution selection and implementation.  However,  'standard' also has to include inter-operability requirements, exit details, control adherence, and some level of governance conformance.  Without these 'standards' as part of the cc offering  IT/Audit/etc is more likely than not to get involved down the road...
Austin HuttonLively at 6/14/2011 2:00:28 PM Quote
You must sign in to rate content.
(Unrated)

Leave a Comment

* required

You must login to leave a comment.