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Why companies need cloud transformation and what is it
Post pandemic, increasing competition, unicorn start-ups reshaping traditional industries, technological giants diversifying into new areas of business - all of it drives digital transformation.
Most companies reshape and grow inside their own tech organizations, change traditional IT enterprise approach from buying everything turn-key from vendors and consultants to creating new digital products and services themselves. After all, you cannot buy a competitive advantage, you can only create one yourself.
Internal IT organizations turn into software development factories, but what happens to company's infrastructure? Typically it stays unchanged, with old legacy virtualization, on-request based processes invented back in 00s, inefficient HW usage, absolute financial black box, total isolation from financial and project management world, information security based on formalized architectural design approvals, inherited problems (like "flat" networks for example) and etc.
Modern software development and operations are much quicker and a lot more complicated than before. In order to do it right and efficient, IT organization needs to standardize development principles, stacks and patterns, focus on reusability and centralization of common building blocks like - Identity/authentication, DBs, containers, monitoring/logging, S3 and etc. Infrastructure should comply and provide it as a service.
From "raise ticket -> wait for its fulfilment -> raise next one" paradigm comes self-service and infrastructure as a code. From Excel spreadsheets with dozens of questions and weeks in fulfilment come self-service sizing calculators and standard flavors with attached pricing and billing. From "give me server or VM I'll do the rest myself" comes a set of managed infrastructure and platform services everyone is using focusing only on unique application design and coding.
It looks basic, but it's not when you deep dive into it. We did. We've learned it ourselves being on the side of the large enterprise and we have changed it. Now you can change it in your company at a faction of effort and cost using Nexorra Private Cloud, our process and design best practices and migration service.
But this is just beginning ... Hard part is to grow and spread around experience that you teams gain working with cloud in correct design and development of cloud native applications. Designing, delivering and operating a hi load application - one that uses containers, full automation, that is build with elasticity and horizontal scaling, uses full power of Kubernetes and cloud tech to work in more than one data center, using cloud for DR, resilient to failure of any piece of infrastructure.
All of the above is cloud transformation. Another term is cloud native transformation.
Financial benefits
Enterprise will gain at least 20% price advantage in IaaS services, and x00% advantage in PaaS services over any public cloud. It’s xx millions of USD per year in savings for large enterprise depending on usage scale.
At least 30% gain in HW utilization over legacy virtualization.
Clean up of junk in legacy will bring 15-50% savings in unused infrastructure.
Savings of XX of millions of USD from migration to Nexorra from legacy virtualization or clouds (license costs)
Savings of XX of millions (cost of licenses) from migration from legacy DBs i.e., Microsoft and Oracle to PostgreSQL and other Opensource based services.
Increased time to market due to self-service and automated processes. Minutes vs. days.
Granular financials – pay-as-you-go with dedicated budgets for each project/product.
Transparency of usage.
Unopinionated SW development, no vendor lock.
Full control over everything – pricing, flavors, integrations, way processes work, services provided.
Balance between information security and ease of use, templated approach and standardization of all development processes.
Ability to add any customer specific service as PaaS even if it’s delivered by a separate IT team outside of cloud.