Non-IT roadblocks continue to dominate the large- and midsize-enterprise journey to a cloud-ready infrastructure, with buy-in/resistance to change becoming the most common inhibitor in 2H 2013. Non-IT roadblocks are reported by 71% of enterprises, while IT-related roadblocks were common at only 19% of enterprises in 2H 2013. In addition, 18% of respondents experienced no roadblocks in reaching the next phase of cloud computing initiatives. There have been considerable changes in the composition of top non-IT roadblocks catalyzing the need for change management initiatives.
Concerns over buy-in/resistance to change have ballooned to the top, replacing organization/budgetary inhibitors as a top non-IT roadblock, with citations increasing from 16% in 1H 2013 to 37% in 2H 2013. Organization/budget-related issues dropped to the fourth place, falling from 37% to 15% of respondents between the studies, consistent with more enterprises reporting the shift of cloud-specific budgets into core enterprise IT spending. Issues associated with vendor selection/offerings/cost models gathered the second-most citations and appeared on the list for the first time with 19%, demonstrating difficulties in navigating between different offerings. Fortunately for decision-makers, 451 Research has recently developed a Cloud Pricing Codex that guides readers through different pricing models on the market. People/time-related challenges climbed to the third place, growing from 10% of citations to 18%. Data management/control and internal organizational issues were some of the other notable new entrants to the list of top non-IT roadblocks to cloud adoption, with 6% and 5% of citations, respectively.
As buy-in/resistance to change climbs atop the list of most common non-IT roadblocks at large and midsize enterprises, it is important to have adequate change management mechanisms in place. For example, establishing a proper communication channel to manage employee expectations and cultural changes is often required for integrating cross-functional team structure in a service-oriented IT model. Change management is important not only with internal stakeholders, but also external ones. Monitoring non-IT related roadblocks to cloud adoption is not easy, but doing so can prove to be a key step in transition.
TheInfoPro’s respondents had the following commentary about non-IT roadblocks at their enterprises:
- “Different vendors have different approaches and cost models – we need to sort through these.” – LE, Healthcare/Pharmaceuticals
- “Client buy-in. Does the data belong in the cloud? Some data will never go in the cloud, such as patient information.” – LE, Healthcare/Pharmaceuticals
- “Mostly around education. Business leaders need to be brought more closely to this. To explain how it works, what it does. Lip service paid to it, not really well understood yet.” – LE, Consumer Goods/Retail
- “It’s a change – we went from traditional IT shop managing everything to cloud. We didn’t realize there’s not the talent pool out there for vendor management.” – LE, Consumer Goods/Retail
- “Cultural, that’s a big one. Understanding how roles and what changes within organizational structures.” – LE, Financial Services