One of the most compelling arguments for a transition to the cloud is transparency of pricing. The move from complicated internal charges for costs ranging from hardware depreciation to software license shares to the time of system admins all makes the simplicity of buying compute time direct off the network very compelling to a business consumer. The definition of a true cloud service being pay-as-you-go (PAYG in mobile phone industry jargon), buy what you need when you need it, gives the consumer scalability and choice at the best price…..at least in theory.
My inspiration for this blog comes from speaking with a contact of mine who is working with the finance area of a medium-sized services company in London. What he told me provides an enlightening view on the craziness that one can so easily find in smaller enterprises when it comes to managing IT solutions.
The company is fairly sizeable with over a hundred people and so has its own financial management software and runs its own email. Like many companies of a similar size, it has, for all sorts of reasons, its own IT hardware sitting in a small rack in a separate area of their office. Ask a few simple questions, and it becomes pretty clear that here is a disaster waiting to happen!