ISG Research with HCL: Targeted, Discrete Cloud Initiatives Most Effective
Analyses of client engagements identify key success factors and objectives
Cost reduction remains top priority as buyers become more skeptical of market
STAMFORD, Conn., March 26, 2013
STAMFORD, Conn., March 26, 2013 /PRNewswire/ --Information Services Group
(ISG) (NASDAQ: III), a leading technology insights, market intelligence and
advisory services company, today released a joint white paper showing that a
step-by-step approach to cloud adoption focused on specific service areas or
functions is most effective for large organizations.
The analysis, jointly authored by ISG and HCL Technologies, examines how
organizations are integrating cloud-based services into traditional
operational environments, assesses industry- and company-specific objectives,
and employs case studies to illustrate various cloud scenarios and client
"As enterprises take a gradual approach to cloud adoption, traditional IT
delivery models remain highly relevant," said Stanton Jones, Analyst, Emerging
Technology at ISG, and one of the report's authors. "The most effective cloud
deployments tend to be discrete initiatives focused on specific business
requirements and workloads."
The analysis also found that clients are becoming savvier about cloud
offerings – and more leery of vendor claims.
"Market hyperventilation regarding the potential benefits of cloud computing
is giving way to a more reasoned approach," said Kalyan Kumar, VP & Chief
Technology Architect, HCL Technologies – ISD, and the report's co-author.
"Clients perceive correctly that implementing cloud solutions is not as easy
as cloud suppliers suggest, and are picking and choosing specific business
problems, then identifying the appropriate cloud service and deployment model
The analysis includes the findings of a survey conducted by HCL of over 40 of
its global clients during the past 12 months. Clients were asked to
prioritize from among four potential outcomes from a cloud initiative: cost
reduction; scalability; consolidation; and service improvement. The results
are shown below, by geography.
"Cost reduction – always an imperative – remains the dominant objective
driving cloud adoption globally," said Kumar. "In addition, cloud platforms
provide the option to cost efficiently pilot new processes and applications,
freeing up critical capital to invest in growth areas."
Case studies included in the analysis detail how both ISG and HCL have worked
with clients to define objectives and achieve results from cloud initiatives.
In many instances, the projects delivered a range of benefits, such as, for
example, significant cost savings coupled with process improvement and
increased agility through moving to a standardized environment.
The analysis also examined the constraining impact that business requirements,
industry regulations and poorly defined standards have had one cloud
"Cloud options and benefits are limited for customers requiring hardware-based
separation of critical data," said Jones. "Moreover, in many industries
regulatory requirements have failed to keep up with technology advances. As a
result, many IT organizations seeking to adopt cloud-based services are
currently constrained by outdated regulations."
The complete white paper, titled "Adding Cloud to the Service Delivery Mix:
Business Drivers and Organizational Considerations," can be downloaded at
About Information Services Group
Information Services Group (ISG) (NASDAQ: III) is a leading technology
insights, market intelligence and advisory services company, serving more than
500 clients around the world to help them achieve operational excellence. ISG
supports private and public sector organizations to transform and optimize
their operational environments through research, benchmarking, consulting and
managed services, with a focus on information technology, business process
transformation, program management services and enterprise resource planning.
Clients look to ISG for unique insights and innovative solutions for
leveraging technology, the deepest data source in the industry, and more than
five decades of experience of global leadership in information and advisory
services. Based in Stamford, Conn., the company has more than 800 employees
and operates in 21 countries.
For additional information, visit www.isg-one.com.
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