The Lighter Side Of The Cloud – iPhone Anticipation
The Lighter Side Of The Cloud – Data Breach
The Lighter Side Of The Cloud: Disaster Recovery Plan

TMNG Global Introduces New Cloud Value Model

TMNG Global Introduces New Cloud Value Model

Hidden cloud migration costs are still a concern for smart corporate executives

TMNG Global introduced a new proprietary financial model called the Cloud Value Model(SM) that allows corporations and executives to measure actual costs and benefits originating from migration to the Cloud. The product is able to provide thorough analysis on potential cost savings before, during, and after migration to the Cloud, allowing corporate executives to work out more precise strategic plans and adopt cloud-based solutions based on carefully estimated return on investment, according to Rich Nespola, TMNG Global’s Chairman and CEO.

For many companies, the inability to accurately determine costs is a significant barrier to Cloud adoption. This is particularly true as it pertains to the comparison of legacy IT costs to the costs of new Cloud services,” Nespola said in a press release. “Our Cloud Value Model(SM)performs a comprehensive five-year end-to-end lifecycle analysis of IT operations, systems and applications, thereby quantifying both the hard and soft costs and benefits of moving to the Cloud for our clients,” he added.

The Overland Park, Kansas-based company has developed a product, enabling enterprise customers to measure all expected benefits from cloud migration in real financial terms, based on assessment of current overall IT costs that are gauged against those costs during migration to the Cloud and afterwards.

Corporate executives would be glad to use such a tool in taking decisions on cloud solutions adoption after a growing number of managers realize there are hidden costs of deployment of cloud-based solutions that are able to hamper overall positive effect of cloud solutions adoption. When migrating to the public cloud, a company should be ready to face significant costs related to tweaking existing applications to be able to run flawlessly in the Cloud. Actually, most relatively older but widespread business applications are not completely cloud-ready, requiring significant investment in additional software development if a company wants to move existing business applications to the Cloud.

Another aspect of the same problem is related to integration between traditional on-premise systems and cloud-based solutions that often requires specific interface and protocols to achieve full compatibility. Thus, an enterprise would be forced to invest heavily in integration software to take utmost advantage of cloud-based systems that usually utilize latest protocol versions and rely on most recent technology. In fact, this scenario brings benefits in the long run for companies are forced to shift to the most modern solutions available but can be burdening from a budgetary point of view.

If a company is adopting an exit plan scenario that envisages return of backed up data and services back on-premises in case of cloud provider failure to deliver, those additional costs are to be planned in advance and included in the overall assessment of cloud adoption costs. A clever approach to cloud migration, however, requires never relying on a sole solution and be prepared for emergencies that occur in the cloud. Taken as a whole, the Cloud is more secure in terms of protection against power failures and subsequent loss of data and provides reliable backup options. Nonetheless, recent inability of cloud giant Google to restore diminished content of numerous users of its Gmail web email service shows that even leading cloud providers can experience serious troubles restoring data and information regardless of what actually triggered the problem.

A company might incur further hidden expenditures if its managers are not aware that the process of migrating large volumes of corporate data to the Cloud is similar, in theory, to using Appple’s iCloud web service to store music online but can be very costly in practice due to specifics of price determination in the Cloud. Imagine a scenario where a cloud provider charges only 1 cent per GB uploaded to its remote storage servers but the cost of download is set at 10 cents per GB. A simple calculation shows that if your day-to-day business process requires the download of vast data volumes from a remote server it would not be very advantageous to use such service. We are yet to see whether the Cloud Value Model(SM) is able to evaluate such expenses in a usable and proper manner but executives should be aware that many of the obvious advantages of cloud-based solutions could be wiped out if adopted without proper and thorough costs analysis.

By Kiril Kirilov

Sorry, comments are closed for this post.

Support

Recent

The E-Learning Market – Cloud Computing Adoption

The E-Learning Market – Cloud Computing Adoption

The E-Learning Market  We’ve talked a fair bit about e-Learning and MOOCs (Massive Open Online Courses) technologies here on CloudTweaks over the past number of years. The industry is expected to continue to grow at a brisk pace as more and more firms and educational institutions start to adopt cloud based services.  Docebo has an excellent…

Big Data, Business Intelligence And The Programming Language “R”

Big Data, Business Intelligence And The Programming Language “R”

Why Your Next Business Intelligence Hire Will Use R As anyone working in the field knows, business intelligence is an evolving landscape. New technologies, combined with a rapidly expanding marketplace, are disrupting legacy solutions and established platforms. Despite such growth, however, there have been a few constants, such as the R programming language. As other…

Beyond Gaming: Three Practical Applications For Oculus Rift

Beyond Gaming: Three Practical Applications For Oculus Rift

Three Practical Applications For Oculus Rift  Since the announcement of the Oculus Rift in 2012 gamers and game developers alike have been frenzied trying to both get their hands on the unit or build their own proprietary VR machine. The VR gold rush has since lead to the announcement of Project Morpheus from Sony and…

Popular

Forrester Releases Its “15 Emerging Technologies To Watch Before 2020” Report

Forrester Releases Its “15 Emerging Technologies To Watch Before 2020” Report

15 Emerging Technologies To Watch Before 2020 The cloud, big data, the internet of things, and wearable technology have all featured heavily in Forrester’s latest list of fifteen technologies to watch before 2020. It is becoming a reality for businesses that they need to adapt and change to an increasingly technologically-minded customer base. Traditional marketing…

5 Ways The Internet of Things Will Drive Cloud Growth

5 Ways The Internet of Things Will Drive Cloud Growth

5 Ways The Internet of Things Will Drive Cloud Growth The Internet of Things is the latest term to describe the interconnectivity of all our devices and home appliances. The goal of the internet of things is to create universal applications that are connected to all of the lights, TVs, door locks, air conditioning, and…

Cloud Infographic: Corporate IT Security Stats

Cloud Infographic: Corporate IT Security Stats

Cloud Infographic: Corporate IT Security Stats Each week on CloudTweaks we provide a few shoutouts to companies who provide engaging and interesting infographics that reflect our readers interests.  In this case, we have an excellent infographic provided by the team at arellia.com which takes a closer look at cyber-security and some of the biggest malware threats…

Three Factors for Choosing Your Long-term Cloud Strategy

Three Factors for Choosing Your Long-term Cloud Strategy

Choosing Your Long-term Cloud Strategy A few weeks ago I visited the global headquarters of a large multi-national company to discuss cloud strategy with the CIO. I arrived 30 minutes early and took a tour of the area where the marketing team showcased their award winning brands. I was impressed by the digital marketing strategy…

Cloud Infographic – Monetizing Internet Of Things

Cloud Infographic – Monetizing Internet Of Things

Monetizing Internet Of Things There are many interesting ways in which companies are looking to connect devices to the cloud. From the vehicles to kitchen appliances the internet of things is already a $1.9 trillion dollar market based on research estimates from IDC. Included is a fascinating infographic provided by AriaSystems which shows us some of the exciting…

Sponsored Posts

From C:\Prompt To CYOD – The Timely Shift To Desktop as a Service

From C:\Prompt To CYOD – The Timely Shift To Desktop as a Service

The Timely Shift to Desktop as a Service There may be some colleagues lurking within any given workforce who remember what a C:\> prompt meant. Much like the ring from Middle Earth, it had the power to make things happen. Desktop computers at that time were large grey beasts, with their only wired connection being…

Cloud Logo Sponsors

hp Logo CityCloud-PoweredByOpenstack-Bluesquare_logo_100x100-01
cisco_logo_100x100 vmware citrix100
Site 24x7


Contributor Spotlight

Established in 2009, CloudTweaks is recognized as one of the leading influencers in cloud computing, big data and internet of things (IoT) information. Our goal is to continue to build our growing information portal, by providing the best in-depth articles, interviews, event listings, whitepapers, infographics and much more.

Branded Content Programs

Advertising