Getting past the hurdles to the next 80% cloud opportunity

Johannesburg, 06 May 2021
Read time 2min 40sec

With only around 20% of workloads now in a cloud environment, the next 80% of cloud opportunity lies in shifting core business applications and workloads to the cloud, according to a report by the IBM Institute for Business Value. The report says the next chapter of the cloud will focus on shifting core business applications and workloads to the cloud and optimising everything from supply chains to sales. This chapter will be underpinned by hybrid multicloud platforms and capabilities, it says.

Key drivers for local cloud adoption include business requiring more speed and agility from IT, the need to modernise and replatform, and the functionality or services that are found only in cloud offerings.

Noting that enhanced cloud functionality is a central, strategic pillar enabling an entirely new approach to business, the IBM Institute for Business Value says: “It has been demonstrated that the value derived from a full hybrid, multicloud platform technology and operating model at scale is 2.5 times the value derived from a single platform, single cloud vendor approach.” Unfortunately, it adds, only 26% of businesses in South Africa say that their organisation has a holistic multicloud management strategy in place today in contrast with 64% of advanced cloud companies globally who recognise the need for enterprise transformation and application modernisation to go hand-in-hand.

In its report The hybrid cloud platform advantage–The South Africa point-of-view, IBM says the next chapter of the cloud requires business executives to invest in hybrid multicloud platform strategies and capabilities. The report outlines five key steps to achieving the hybrid cloud platforms advantage:

  • Strategise: Link operating models with business transformation
  • Design: Create your transformation journey with multicloud management
  • Move: Make the move to a hybrid cloud platform
  • Build: Translate cloud management into superior performance
  • Manage: Drive business transformation

However, several hurdles stand in the way of organisations starting this next chapter. According to the recent ITWeb South African Hybrid Cloud Survey, conducted in partnership with IBM, as many as 85% of senior IT leaders across the country are using public or private cloud, but have moved only one-fifth of their workloads to the cloud.

Hindrances to more rapid cloud adoption include concerns around consistent security, compliance, access control and the necessary skills. When asked which technology considerations was impacting their move to cloud, 61% of respondents said security: critical and regulatory workloads; 54% said management: standardisation; 35% cited agility: containers; 24% said portability: open source; and a further 24% said abstraction: platform approach.

To help South African businesses move to next generation business with hybrid multicloud, IBM, in partnership with ITWeb, will stage the online IBM Cloud Forum on 25 May. This event will deep dive into the hurdles facing local organisations, outlining the solutions and best practice approaches to harnessing hybrid cloud for business transformation. For more information and to register for this event, click here.

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