DETERMINING THE MARKET UNCERTAINTY TOWARDS DESKTOP CLOUD SOLUTIONS

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1 DETERMINING THE MARKET UNCERTAINTY TOWARDS DESKTOP CLOUD SOLUTIONS Master Thesis Seminar Supervisor: Professor Heikki Hämmäinen Instructor: Mikael Haglund, M.Sc (Tech.) Thesis completed in Sweden

2 Agenda Concepts Background and research problem Chosen method Personal concrete contribution Key findings Conclusions and possible future research areas 2/11

3 Concepts (page 1/2) Cloud computing Cloud computing is a model for enabling convenient, on-demand network access to a shared pool of configurable computing resources (e.g., networks, servers, storage, applications, and services) that can be rapidly provisioned and released with minimal management effort or service provider interaction. NIST definition on cloud computing i.e. IT functionality sold over a network as a service Desktop cloud Desktop cloud is the virtualization of a PC, where the hardware, OS, and applications are moved from the desktop to a serve. The PC only acts as a shell, depicting an image on its screen. (e.g. thin client / terminals) Advantages Centralized support; heavy and ineffective distrusted support can be eliminated Patch management; better control and security Administration and management is handled by IT personnel Overall control of the PC infrastructure 3/11

4 Concepts (page 2/2) Market uncertainty (MU) When a service with new features becomes available on the market, it may or may not be possible to accurately predict how well its features will meet market demands. Market Uncertainty (MU) is the ability to predict the market for a particular feature set. Mark Gaynor Management structures 1) Distributed: all parts of the network-based service is hosted in-house, within the users own premises 2) Centralized: the infrastructure of the network-based service is hosted by a provider, who sells the service to the users The effect of market uncertainty on the management structure for network-based services High MU, users will choose the distributed model Low MU, users will accept a centralized solution from a provider 4/11

5 Background and research problem Cloud computing What is the current view on cloud computing solutions in the Swedish industry? Both with centralized and distributed management structures Is cloud computing effecting CIO's and IT departments, in their IT decision making? Are they striving to implement more cloud computing solutions? Are these companies including cloud computing solutions in their long-term IT strategies and roadmaps? Desktop cloud solutions What challenges are the CIO's facing today, with their current desktop infrastructure and could some of those issues be solved with a desktop cloud solution? What would trigger these companies in implementing a desktop cloud solutions? What would prevent them? Desktop cloud with a centralized management structure; when will that be a feasible solution model, and for who? 5/11

6 Chosen method (page 1/3) Qualitative multiple case study Two case industries: 1) security solutions and services 2) manufacturing and mining To perform a multiple case study, a researcher needs A conceptual framework A set of research question A sampling strategy Decide the methods and instruments for data collection The conceptual framework Based on the theories by Mark Gaynor from his book Network Service Investment Guide (2003) 6/11

7 Chosen method (page 2/3) Research questions 1. Triggers for a Swedish company to implement a desktop cloud solution, why would these companies implement desktop cloud solutions? 2. What are the barriers for a Swedish companies to implement a desktop cloud solution with a centralized management structure? 3. What actions can a provider take to lower the market uncertainty for the customer around a desktop cloud solution? 4. Market uncertainty for desktop cloud and other cloud computing solutions among companies in Sweden? 7/11

8 Chosen method (page 3/3) The sampling strategy purposeful and with preset criteria's Companies with strong presence in Sweden. The company does not have to be a Swedish company, but preferably have at least some management and control of their own organisation in Sweden. Wide spread to many locations in Sweden. A company with several locations, might well have pains with managing their distributed desktops, and could benefit from some desktop cloud solution. Not a SME, but a large company (measured by employees and/or revenue) The companies should not have IT as their core business or have IT related core competence. Method for data collection One on one interview's with CIO's from the case companies 8/11

9 Personal concrete contribution Five one on one interviews, performed during February and March 2011 Four CIO's and one person responsible for the companies desktop infrastructure Four interviews were completed face to face on the companies premises First interview done over phone, by the request of the interviewee 9/11

10 Key findings 1) Clear market for desktop cloud solutions Current desktop infrastructure causes problems for the CIO's, mostly in the lack of control the CIO/IT department has of the infrastructure Still some technical issues are stopping a full scale implementation Trusted references would be a clear triggering factor 2) Barriers against a solution with a centralized management structure Lack of trust in providers New solution; fear of hidden costs and no interest in experimenting Companies accustomed to IT outsourcing, are willing to look at a solution with a centralized management structure, but must be offered by one of their current outsourcing partners 3) Current view on cloud computing Not in any IT roadmaps/strategy, no strive to implement cloud computing solutions, but they are considered when feasible Public cloud offerings still only for noncritical business functions Companies with an IT outsourcing strategy are asking what can they outsource next and what can be moved into the cloud 10/11

11 Conclusions and possible future research areas Implications For companies with an IT outsourcing strategy, desktop outsourcing might be a possible next step Companies offering IT outsourcing, should get involved in desktop cloud solutions and try to include them in their service catalogue Providers offering desktop cloud solutions have to find reference case and show that the technical issues have been solved, or how they can be overcome A replication logic with the methods in this thesis can be used in two distinct ways 1) Same research questions, but different case industries, to get a better universal understanding 2) Same case industry and methods, but use another cloud computing solutions instead of desktop cloud 11/11

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