Evolution Of The IT Department In The Age Of The Cloud

Evolution Of The IT Department In The Age Of The Cloud

Evolution of the IT Department in the Age of the Cloud

There’s no question that the cloud presents a disruptive technology that inevitably leads to rethinking – and often restructuring – the objectives of internal IT departments.

An internal IT department – once considered critical to the success of the business enterprise – has, in many cases, become obsolete. With cloud-delivered applications eliminating the need for hosting multiple versions of software on servers, testing for compatibility and applying security patches, the need for internal IT staff managing an infrastructure has been diminished. The result is that cloud-based companies function more efficiently, have more secure data and operate more profitably.

Raj Sabhlok recently posted an article titled 7 Reasons Why IT Won’t Disappear Anytime Soon. I prefer to think that internal IT departments are in a transitional phase which will result in more strategic, meaningful work than managing an IT infrastructure. Internal staff can be repositioned to create more value for the company. In fact, we find that internal staff that act as a liaison between our cloud ERP solution and their companies frequently move into higher levels of responsibility due to their comprehensive understanding of workflow, processes and technology.

Inteva Products, a global Tier One supplier of automotive parts, provides an excellent example of the benefits that derive from a company transitioning from an on-premise, legacy ERP platform to a cloud-based alternative. After deploying The Plex Manufacturing Cloud, Inteva Products was not only able to have real-time visibility into its MES functions which improved inventory control, it also developed more efficient, streamlined work flows which improved many processes, including production control & logistics (PC&L), tool tracking and enhanced financial reporting. Now management can view consolidated financials at any time and make accurate, real-time allocations across the company.

Improved operational operations wasn’t the only benefit Inteva Products enjoyed thanks to the cloud – it also reduced its monthly expenditures on IT by a third while transitioning its IT staff from the IT technologist role to business analysts, a much more strategic, challenging and rewarding position.

Plex has brought us more flexibility in staffing and allowed us to avoid the sort of two-tier IT group required by SAP – where most of the team was dedicated to managing the infrastructure, and only a small percentage were involved in business development,” said Inteva Products CIO Dennis Hodges. “In contrast, about 80 percent of our IT team members today are business analysts. They are able to focus on strategic support of our business units. This has improved the overall alignment between the IT department and the rest of the business.”

Particularly with companies embracing the bring your own device (BYOD) trend for its obvious cost benefits and convenience, outsourcing what used to be an internal function and repositioning staff to positively impact business development is proven to be a smarter way to conduct business.

Much like the world has changed into a global economy with competitors not limited by geography, businesses must adapt or gradually lose market share to their more modern and nimble competitors.

The cloud offers companies the opportunity to focus on their mission critical goal of producing a better product at a lower cost and not be concerned with mundane and unnecessary concerns like software version compatibility, server maintenance and security patches.

IT functions can safely and securely be outsourced to outside vendors focused on delivering technology solutions in a cost effective fashion. Existing technology staff can provide more value by transitioning to the business analyst role and provide the intelligence that helps inform decision making at the enterprise.

I maintain that technology has never been more important for a business, and in many ways we can consider this era the golden age for IT.

Jason-Prater

By Jason Prater, Plex Systems

Jason Prater is the vice president of development and leads the product and platform development teams. Jason leads Plex Systems’ cloud development process, design through deployment, providing the vision and day-to-day leadership of product and platform development teams. From previous experience in manufacturing, Prater brings a focus on building meaningful enhancements to the Plex Manufacturing Cloud that support manufacturers’ evolving needs and boost operational performance.

About CloudTweaks

Established in 2009, CloudTweaks is recognized as one of the leading authorities in connected technology information and services.

We embrace and instill thought leadership insights, relevant and timely news related stories, unbiased benchmark reporting as well as offer green/cleantech learning and consultive services around the world.

Our vision is to create awareness and to help find innovative ways to connect our planet in a positive eco-friendly manner.

In the meantime, you may connect with CloudTweaks by following and sharing our resources.

View All Articles

Sorry, comments are closed for this post.

Comic
Fully Autonomous Cars: How’s It REALLY Going To Work?

Fully Autonomous Cars: How’s It REALLY Going To Work?

Pros and Cons and What the Experts Think Science fiction meets reality, and modern civilization is excitedly looking forward to the ubiquity of self-driving cars. However, an omnipresence of fully autonomous cars won’t happen as quickly as even some hopeful experts anticipate. While the autonomous car pros versus the cons race (See infographic discovered via…

The Lighter Side Of The Cloud – Bottlenecking

The Lighter Side Of The Cloud – Bottlenecking

By David Fletcher Please feel free to share our comics via social media networks such as Twitter, Facebook, LinkedIn, Instagram, Pinterest. Clear attribution (Twitter example: via @cloudtweaks) to our original comic sources is greatly appreciated.

Recent Articles - Posted by
Fintech Systems, Advancements and Investments

Fintech Systems, Advancements and Investments

Fintech Growth According to a recent report, global investment in fintech companies including both venture-backed and non-venture-backed businesses reached $9.4 billion in the second quarter of 2016; investment in venture capital-backed fintech startups, however, fell by 49%. Nevertheless, the Pulse of Fintech, published jointly by KPMG International and CB Insights, suggests venture capital investment in…

How Identity Governance Can Secure The Cloud Enterprise

How Identity Governance Can Secure The Cloud Enterprise

Securing The Cloud Enterprise Cloud adoption is accelerating for most enterprises, and cloud computing is becoming an integral part of enterprise IT and security infrastructure. Based on current adoption trends, it’s clear that the vast majority of new applications purchased by organizations will be SaaS applications. The allure is evident, from cost savings to speed…

5% Of Companies Have Embraced The Digital Innovation Fostered By Cloud Computing

5% Of Companies Have Embraced The Digital Innovation Fostered By Cloud Computing

Embracing The Cloud We love the stories of big complacent industry leaders having their positions sledge hammered by nimble cloud-based competitors. Saleforce.com chews up Oracle’s CRM business. Airbnb has a bigger market cap than Marriott. Amazon crushes Walmart (and pretty much every other retailer). We say: “How could they have not seen this coming?” But, more…

The Security Gap: What Is Your Core Strength?

The Security Gap: What Is Your Core Strength?

The Security Gap You’re out of your mind if you think blocking access to file sharing services is filling a security gap. You’re out of your mind if you think making people jump through hoops like Citrix and VPNs to get at content is secure. You’re out of your mind if you think putting your…

Adopting A Cohesive GRC Mindset For Cloud Security

Adopting A Cohesive GRC Mindset For Cloud Security

Cloud Security Mindset Businesses are becoming wise to the compelling benefits of cloud computing. When adopting cloud, they need a high level of confidence in how it will be risk-managed and controlled, to preserve the security of their information and integrity of their operations. Cloud implementation is sometimes built up over time in a business,…

Why Security Practitioners Need To Apply The 80-20 Rules To Data Security

Why Security Practitioners Need To Apply The 80-20 Rules To Data Security

The 80-20 Rule For Security Practitioners  Everyday we learn about yet another egregious data security breach, exposure of customer data or misuse of data. It begs the question why in this 21st century, as a security industry we cannot seem to secure our most valuable data assets when technology has surpassed our expectations in other regards.…

Are Cloud Solutions Secure Enough Out-of-the-box?

Are Cloud Solutions Secure Enough Out-of-the-box?

Out-of-the-box Cloud Solutions Although people may argue that data is not safe in the Cloud because using cloud infrastructure requires trusting another party to look after mission critical data, cloud services actually are more secure than legacy systems. In fact, a recent study on the state of cloud security in the enterprise market revealed that…

Infographic: The Evolving Internet of Things

Infographic: The Evolving Internet of Things

Evolving Internet of Things  The Internet of Things, or IoT, a term devised in 1999 by British entrepreneur Kevin Ashton, represents the connection of physical devices, systems and services via the internet, and Gartner and Lucas Blake’s new infographic (below) explores the evolution of the IoT industry, investigating its potential impact across just about every…

Four Reasons Why CIOs Must Transform IT Into ITaaS To Survive

Four Reasons Why CIOs Must Transform IT Into ITaaS To Survive

CIOs Must Transform IT The emergence of the Cloud and its three delivery models of Infrastructure as a Service (IaaS), Software as a Service (SaaS) and Platform as a Service (PaaS) has dramatically impacted and forever changed the delivery of IT services. Cloud services have pierced the veil of IT by challenging traditional method’s dominance…

The Internet of Things – Redefining The Digital World As We Know It

The Internet of Things – Redefining The Digital World As We Know It

Redefining The Digital World According to Internet World Stats (June 30th, 2015), no fewer than 3.2 billion people across the world now use the internet in one way or another. This means an incredible amount of data sharing through the utilization of API’s, Cloud platforms and inevitably the world of connected Things. The Internet of Things is a…

Protecting Your Web Applications In A Hybrid Cloud Environment

Protecting Your Web Applications In A Hybrid Cloud Environment

Protecting Your Web Applications It’s no secret that organizations are embracing the cloud and all the benefits that it entails. Whether its cost savings, increased flexibility or enhanced productivity – businesses around the world are leveraging the cloud to scale their business and better serve their customers. They are using a variety of cloud solutions…

Cloud Infographic – The Data Scientist

Cloud Infographic – The Data Scientist

Data Scientist Report The amount of data in our world has been exploding in recent years. Managing big data has become an integral part of many businesses, generating billions of dollars of competitive innovations, productivity and job growth. Forecasting where the big data industry is going has become vital to corporate strategy. Enter the Data…

Disaster Recovery – A Thing Of The Past!

Disaster Recovery – A Thing Of The Past!

Disaster Recovery  Ok, ok – I understand most of you are saying disaster recovery (DR) is still a critical aspect of running any type of operations. After all – we need to secure our future operations in case of disaster. Sure – that is still the case but things are changing – fast. There are…