Vanson Bourne Study: Organizations Struggling to Align Hybrid Cloud Deployments with Business Needs

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A survey conducted by Vandon Bourne and commissioned by The Bunker, a UK provider of managed hosting, colocation, and cloud, provides compelling insight into current hybrid cloud adoption. 90% of organizations are currently implementing some kind of Hybrid cloud infrastructure, yet 54% are still to identify the optimum technical solution to address their business requirement.

The report ‘Completing the Hybrid Cloud puzzle’ is based on research carried out by Vanson Bourne, which interviewed 100 IT decision-makers from private enterprise organizations (1,000+ employees) in the UK. Key findings of the study include:

  • 90% of organizations are currently implementing some kind of hybrid cloud infrastructure; while 96% expect to migrate applications or data to cloud Infrastructure within the next 5 years.
  • Almost 60% of organizations implementing hybrid cloud are doing so to realize greater cost efficiency, flexibility and scalability; with 40% looking to lower total cost of ownership (TCO); and 38% transitioning from a CAPEX to OPEX model.
  • 55% identify a mixture of in-house and outsourced IT infrastructure using private and/or public cloud, either on-premise and/or off-premise where appropriate as their ideal model for future IT service delivery.

However, of the 94% of organizations that had already migrated applications or data to Cloud Infrastructure, 70% had experienced some kind of failure – whether in terms of a failed or stalled project, or a failure to realize the business benefits anticipated.

vanson-bourneMoreover, despite confirming a good level of engagement both internally and externally for decisions concerning IT strategy, planning and execution, just over half of respondents (54%) are yet to identify the optimum technical solution to address their business requirement.

“The business benefits of cloud technologies may be compelling, but organizations continue to struggle when it comes to delivering on them,” said Phil Bindley, Chief Technology Officer (CTO) at The Bunker. “Whilst it is clear CIOs and IT decision-makers recognize the importance of aligning IT and business strategy, our research shows that many are unable to translate into technology what the business is trying to achieve.”

IT Vision

According to the report, only a fifth of respondents (21%) rated their organization’s ability to execute on their vision for IT service delivery as ‘excellent’, while just under a third (29%) rated it as ‘fair’, with some external assistance required to address gaps in knowledge. Overall the top three factors contributing to a failed or stalled cloud migration were identified as: a lack of in-house skills (49%); confusing, biased or incorrect advice (44%); and lack of integration of cloud Infrastructure and non-cloud resources (41%).

phil_bindley_the_bunker
“The business benefits of cloud technologies may be compelling, but organizations continue to struggle when it comes to delivering on them,” said Phil Bindley, Chief Technology Officer (CTO), The Bunker.

“CIOs and IT decision-makers do not appear to be getting the advice or support they need,” added Mr. Bindley. “The disconnect that exists between the skills and knowledge available internally and the advice received externally from consultancies and key suppliers demonstrates the importance of working with the right partners to develop a hybrid cloud strategy that is both deliverable and properly aligned with the needs of the business.”

The Bunker commissioned Vanson Bourne to interview mid-market (1,000-3,000 employees) and large organizations (more than 3,000 employees) in the financial services; manufacturing; retail, distribution and transport; and ‘other commercial’ sectors. A copy of the report is available for download here.