Navigating the Potholes On the Journey to Cloud Addressing the Cloud Leadership Gap in Agencies
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1 Navigating the Potholes On the Journey to Cloud Addressing the Cloud Leadership Gap in Agencies Aidan Tudehope Managing Director of Macquarie Hosting Navigating the Potholes On the Journey to Cloud Addressing the Cloud Leadership Gap in Agencies
2 Trusted by Australian Government years proven track record strong service culture (NPS+56). 100% Australian owned and operated. First Australian ASD (Department of Defence) certified cloud provider on CCSL. Cyber security leadership - member of Australian Cyber Security Centre. of Australian agencies use our services. 2
3 Changing Business Demands in Government = New Challenges Changing business demands in Government Agencies have to deliver while not getting new funding $ Agencies need to do the value for money assessment Cloud is the Government s preferred way to do this Major issues are security, lack of skills, cost savings, agility Success comes from avoiding these potholes 3
4 Ovum Survey: Cloud Challenges in Australian Government 36% 46% 36% 66% Agencies not using cloud due to SECURITY concerns Agencies had lack of Cloud strategy and governance. Agencies agreed they had a lack of leadership & skills to extract full Cloud potential. Agencies agree that using Cloud to improve Business Agility is important Early apprehension of use of Cloud services gone BUT still early days...cloud strategies generally not well formed. How to get there and what is important is inconsistent across agencies. Emerging clarity on strong business drivers for change: 1. Cut business and IT costs; 2. Increased efficiencies within IT areas of agencies increase strategic value add activities; 3. Resolving capacity planning issues; 4 **Ovum Survey commissioned by MT: August 2015; Total agencies surveyed = 30 (73% Tier 2 & 3 agencies);
5 Navigating the potholes... SECURITY Two options available for Government: 1. On my head...agency signs-off on security risks. 2. Externally validated standards met (ASD, ISM...). Private sector option 1 only. Mitigation: Evaluate ASD certified Cloud providers (on CCSL). SKILL SETS Private sector has embraced Cloud technology quicker and further down adoption path. Government needs to development Cloud leadership + skills to maximise Cloud benefits. Mitigation: Leverage Cloud providers with vendor aligned application stacks to maximise existing skill sets and minimise training requirements. SURPRISES Bill shock due to unpredictable workload costs not supported in the IT budget. Not as easy as expected moving workloads and data in and out of some public Clouds. Uncertainty about where data is kept and what jurisdiction applies. Mitigation: Evaluate Australian owned and operated Cloud providers with predictable billing models and drag and drop automation tools. 5
6 STRATEGIC PLAN IMPLEMENTATION REVIEW Dept of Finance - Cloud Checklist Assess business needs. Identify triggers and timing. Financial impact. Organisational capability. Manage change. Review governance. Build business model. Assess risks + mitigations. Capture requirements (performance, security...) Build business case. Prepare exit strategy (BC plan). Go To Market. Plan implementation. Prepare ongoing operations. Conduct periodic risk assessments. Confirm benefits realised. Lesson learnt captured for future. Prioritise new business changes. 6 Reference:
7 References Aidan Tudehope Managing Director of Macquarie Hosting Group Mobile: Peter Jones Key Partner Account Manager Mobile:
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