CIOs deploying critical projects in the cloud are 'brave or blind' says Centiq boss

Better understanding of limitations of cloud are necessary for correct implementation, says CEO

CEO of cloud solutions firm Centiq, Glyn Heath, has told Computing that any organisation deploying a mission-critical ERP (enterprise resource planning) system in the cloud today is either "very brave or blind".

Heath's view is rooted in his suspicion of an industry that has grown rapidly around cloud solutions over the past couple of years. He said the "inevitable hype" generated by vendors and their unrealistic promises have created "a really good recipe for a lot of confusion", which has led to some companies deploying unsuitable systems into the cloud.

He said companies should plan carefully before "taking the plunge", and advised CIOs to "have some foundations in place if you hope to execute it successfully".

Heath cited a Centiq client that had to stall a major project for three months because it was failing to live up to the expectations of a finance department that had "read about cloud in the Sunday papers". It turned out that the company, which cannot be named, was attempting to place a SAP ERP system into a public cloud.

"We explained that you would never consider putting SAP in a public cloud," Heath told Computing.

"Notwithstanding the security issues around data, the technical limitations around bandwidth and availability - and reliability - of systems are enough to preclude that being a sensible option."

As well as marketing hype, Heath also blamed a lack of industry standards for allowing widespread misunderstanding of the "real world executability" of the cloud to persist.

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CIOs deploying critical projects in the cloud are 'brave or blind' says Centiq boss

Better understanding of limitations of cloud are necessary for correct implementation, says CEO

Heath said the "lack of standards" in the cloud today is "a real indicator of the lack of maturity in the overall offering". He warned that the industry is still a long way from establishing the necessary standards, adding that meanwhile getting into cloud is "a relatively easy thing - the providers desperately need customers, and it can be quite easily sold," whether or not CIOs understand the intricacies of the systems they're adopting.

Heath told Computing that a particular risk for companies getting into the cloud is disconnection costs, which many companies looking at "headline pricing" and special offers may fail to take into account.

"So your ability to move from one cloud provider to the other is actually quite difficult, let alone bringing it back in-house, which some organisations might eventually want to do," said Heath. "That could be a real ‘gotcha', that's not immediately apparent, for some organisations.

"There's an inevitability that cloud will eventually become the de facto platform of choice, but how you get there will vary in terms of time and pace.

"But one thing is for sure - you might as well take advantage of all your in-house efficiencies on that journey. There is a minimum level of this you need before even thinking of moving to the cloud."