Cobalt, Pascal, FORTRAN, LISP, Floppy Disks, Dot Matrix Printers, Flip Phones, Buggy Whips... What do these things have in common? We have moved past all of them and in an incredibly short period of time. How are we to keep up with the rate of change and still provide value, security, and agility to our businesses? Daily, IT and business resources are bombarded with requests and demands that distract them from their core roles.
IT departments are no longer viewed solely as cost centers but are now a key revenue-generating and operationally crucial part of the business. Business requirements and technology are changing faster than these IT departments can accommodate. Legacy systems although operationally valuable, offer little to no transformational benefit. Incorporating those legacy systems into a business's cloud strategy provides for an even bigger sticking point. The new landscape offered from best in breed Managed Service Providers, VARs and System Integrators have revolutionized the way our customers operate their businesses and are leading the way in a new generation of digital transformation, automation, efficiency, and scale.
The rise of XaaS and the hybrid approach to IT
When we first started hearing about XaaS (“Anything as a Service”) solutions, the positioning was almost exclusively in the context of OpEx versus CapEx. Although that is a concern for many and a valid selling point of utilizing the as-a-service model, it fails to fully illustrate the true value. When engaging an Managed Service Provider (MSP) for a service such as Infrastructure as a Service (IaaS), Disaster Recovery as a Service (DRaaS), Software-Defined Wide Area Network (SD-WAN), and many others, the design, acquisition, and implementation of physical infrastructure becomes a thing of the past. XaaS allows a business to focus on what's important: the data, the user experience, and adding value back to the core business. In many circumstances, we now see that a hybrid approach (hyperscalers + MSP + Professional Services) revolutionizes the way organizations operate.
As we help our customers select, deploy, and manage their technology, we see the increasing demands put on already slim IT departments. Taking your legacy gear to a hosted model such as hosted iSeries or AS400 will remove the constant upkeep and offer the ever-popular single throat to choke. Why are highly paid, highly skilled IT professionals still dealing with Tier1 issues? You don't hire a heart surgeon to stitch up a papercut. The rapid speed of change allows for these daily chores to be taken off one's crowded plate. One question we often ask customers is "what project was abandoned last year because other more pressing projects got in the way?" Most responded with a long list of items. What if that long list could be taken care of so you could focus on the larger tasks at hand? What if both could be handled and allow you to make your department focus on core revenue-generating processes and applications?
All of these items would have been cost-prohibitive 10 years ago. Remember the pricing of flash storage when it first came out? When you add up all of the costs around these chores and/or infrastructure, the savings are substantial. XaaS offerings have created more operational and financial efficiency, allow organizations to rapidly adopt new and innovative technologies, and most importantly start to keep up with the rate of change. With the new technology being revenue-generating, the consumption model has offered more efficient financial performance versus depreciation, cost of cash, warranty burn, and faster time to market with products, solutions, and productivity. Field services have "Uber-ified" feet on the street. Don't pay for what you don't need. Again, it bears being repeating that the cost savings when looking at the total value of the solution far outweighs the old way of consuming infrastructure.
Lastly, another common discussion we have goes something like "we have 2 million dollars already sunk into this project we can't turn back now" Don't let the sunk cost fallacy stand in the way any longer. The fact is that better products will come out tomorrow. How many iPhones have you had in the last 5 years? Our modern-day Shakespeare, Klaus Meine, (lead singer of 80's mega group Scorpions) said "The future's in the air…. Blowing with the winds of change…" With the options available today, your company will, and must, become more agile. The reward of a more financially sound and operationally efficient organization far outweighs any perceived risks.
BraveIT Spotlights are guest blog posts from our 2019 BraveIT sponsors. Joseph Elder is a Business Sales Executive for Data Center Managed Services at SHI International. SHI International is a leading corporate reseller of software, hardware, and related services.
See More at BraveIT 2019
TierPoint’s BraveIT conference is an interactive, thought leadership and networking event designed for the modern IT professional. The 2019 BraveIT conference will take place September 19 in New York City, with a variety of events, activities and speakers. You can see the full agenda, as well as register for BraveIT at BraveIT 2019.