2013 ERP predictions: The customer takes control

From the obvious to the outrageous, enterprise software predictions often span a wide spectrum at the beginning of every year.

In enterprise software in general and ERP specifically, there are many safe harbours to dock predictions in, from broad industry consolidation to Oracle buying more companies. Or the inexorable advances of cloud computing and SaaS platforms in ERP today, which is often cited in enterprise software predictions.

Too often predictions gravitate too much towards theoretical economics, overly-simplified industry dynamics and technologies, leaving out the most critical element: customers as people, not just transactions. 

So instead of repeating what many other industry analysts, observers and pundits have said, I am predicting only the customer side of ERP advances in the next twelve months.

The following are my predictions for ERP systems and enterprise computing in 2013:

1) The accelerating, chaotic pace of change driven by customers will force the majority of …

Cloud Computing: EMC Buys iWave

Storage titan EMC has quietly acquired Texas-based iWave Software, whose Automator suite streamlines the provisioning and management of storage systems, data centers and private clouds. No price was mentioned.
It will be another Storage-as-a-Service ornament for EMC’s Advanced Storage Division.
EMC uses iWave widgetry in its VMAX Service Provider Platform. Users can provision, remove and extend block storage for Linux, VMware ESX servers and VMware clusters.
The news got out through a posting by iWave Brent Rhymes, who’s of course “thrilled” with the acquisition.

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2013: A Take-Off Year for Enterprise Transformations

As 2013 gets off the ground and we look at the year ahead, there can no longer be any doubts that cloud computing has caused a paradigm shift in computing. Cloud computing has fundamentally changed the Internet world – and is having an impact on every form of business. Not only is it helping organizations to fast-track revenue generation, but it’s also creating new business and growth opportunities as well.
Cloud adoption is gaining ground and ready to take a center stage. However, many organizations are still bogged down with worry as to how they can create or maintain differentiating business value for various stakeholders. This has a profound impact on the future of their businesses – from their ability to compete and even their very existence.

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How VMware Could Beat Amazon in the Cloud

This is part of a series of blog posts on the emergence of hybrid cloud and how it will impact enterprise IT, solutions and public cloud service providers.
Over the last four years Archimedius has tracked the evolution of VMware from server virtualization leader to private cloud leader and the rise of Amazon as a public cloud leader. Earlier in December I predicted the rise of the hybrid cloud in 2012, and later discussed the implications in greater detail in Top Five Cloud Predictions. In short, I think that hybrid cloud promises to transform the way that enterprises and service providers deliver IT services, and the way that vendors develop and bring to market their products and services.
Over the next five years we will watch IT move from a feudalistic, hardware-bound model to a service and software-driven model, thanks in large part to the transformation of public and private clouds into hybrid clouds. That will shift enterprise investment into cloud computing and shift tech market valuations from the stable and hardware-enabled to the nimble, service and software-driven. Trillions in market capitalizations are at stake, based on the timing and breadth of this transformation.

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Cloud Conversations: Gaining Cloud Confidence | Part 2

There is good information, insight and lessons to be learned from cloud outages and other incidents.
Sorry cynics no that does not mean an end to clouds, as they are here to stay. However when and where to use them, along with what best practices, how to be ready and configure for use are part of the discussion. This means that clouds may not be for everybody or all applications, or at least today. For those who are into clouds for the long haul (either all in or partially) including current skeptics, there are many lessons to be learned and leveraged.

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Amazon Fields High Storage Instances

Amazon Web Service has fielded what it calls High Storage instances, a new EC2 instance family for applications requiring fast access to large amounts of data.
These new instances are currently available as a single instance type, Eight Extra Large (hs1.8xlarge) and provide customers with 35 EC2 Compute Units (ECUs) of compute capacity, 117GiB (gibibytes) of RAM and 48TB of storage across 24 hard disk drives.
The widgetry is capable of delivering more than 2.4GB a second of sequential I/O performance.
With large amounts of direct-attached storage per instance, these High Storage instances are good for data-intensive apps like Hadoop workloads, log processing, data warehousing and parallel file systems to process and analyze large data sets in the AWS cloud.

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Telcares Blood Glucose Meter Calls Home via Verizon

Telcare’s next-generation wireless blood glucose meter – the Telcare BGM has now been certified to operate on Verizon’s nationwide cellular network. The product was developed in collaboration with both Verizon and Qualcomm, Inc., and is the first medical device to utilize Qualcomm’s new Internet of Everything module. Telcare’s product is the first technology to make CDMA connectivity affordable for consumer-focused medical devices. The product will be exhibited in Telcare’s booth, located inside the Qualcomm Life Pavilion #26715 at the 2013 Consumer Electronics Show.

The Telcare product will operate with both Telcare’s FDA-cleared diabetes management portal and with other soon-to-be released mHealth care management platforms. By integrating Telcare’s FDA-cleared blood glucose meter and cloud server to the Verizon network, people with diabetes, their families, and their health professionals will now be able to integrate real-time measurement of blood glucose levels with other physiologic parameters, such as weight and blood pressure.

“Telcare is excited to establish this collaboration as it will enable us to better support Americans with diabetes, their loved ones, and their medical caregivers. Moreover, the outstanding cellular coverage afforded nationwide by Verizon wireless will be particularly valuable in continuously connecting people with diabetes to their care system,” said Jonathan C. Javitt, M.D., M.P.H., Telcare’s CEO and co-founder.

Diabetes mellitus affects 32 million Americans and the Centers for Disease Control (CDC) estimates that one in three Americans born after 2000 will have the condition. Although the complications of diabetes can be prevented through daily monitoring and control of blood sugar, diabetes today accounts for one in ten healthcare dollars spent in the U.S. and results in needless strokes, heart attacks, amputations and cases of blindness.

Telcare BGM is a registered trademark of Telcare, Inc.

Virtustream Adds Cloud Database Encryption, Key Management

Virtustream today added software-based “data at rest” encryption to its cloud services portfolio through a partnership with Vormetric, a leader in enterprise encryption and key management. With this extra protection, Virtustream’s xStream cloud management software and Virtustream cloud IaaS services provide highly secure and compliant solutions that enable enterprises, governments and service providers to safely run mission-critical applications in private, public and hybrid clouds.

The company will now offer Vormetric’s database and file encryption solution to customers needing an additional layer of security to satisfy internal sensitive data policies and compliance mandates regarding business data. For enterprises required to comply with regulatory guidelines and compliance frameworks such as NIST 800-53, DIACAP, FedRAMP, FISMA, ICD503, G-Cloud, CSA Recommendations, ISO27001, HIPAA/HITECH, PCI, SSAE16/SAS70 and other industry standards, this new service provides a sophisticated approach to protecting highly sensitive data in the cloud. Virtustream’s new data encryption offering allows enterprises mandating full data life cycle encryption to take advantage of the cloud.

The addition of Vormetric Data Security adds to the enhanced security measures in Virtustream clouds which include layered physical/virtual security, cloud-to-cloud encryption, core servers equipped with new Intel CPUs that support Advanced Encryption Standard New Instruction Set (AES-NI) for optimal encryption efficiency, hardware-level authentication (Intel TXT), encrypted VPN (IPSEC and SSL), Key Escrow using Data Security Modules (DSMs), encryption in archive, GRC tools, two-factor authentication, and various additional security and compliance measures and reporting.

“File-level encryption is the most effective and flexible approach to cloud data security for enterprises concerned with regulatory compliance, protecting their IP and meeting contractual obligations around customer data,” said Bruce Johnson, vice president for worldwide sales and service operations at Vormetric. “By offering Vormetric Encryption through a pay-as-you-go model, Virtustream is providing comprehensive, built-in and transparent security for any database, that can follow customer data—whether it is in the cloud or a datacenter.”

As the Virtustream team evaluated security and encryption software to pair with its cloud solution, it found that many of the larger vendors focus primarily on end-user computing and encrypting whole drives, which only protects against specific threats and could not support a variety of deployment modes. Vormetric’s solution quickly emerged as the leader in enterprise class security, as it emphasized encryption at the file/folder level, transparently across all major database platforms. It also enables very granular separation of duties to allow for a variety of support models from zero client touch, to co-managed operations, to full key management by clients. Vormetric encryption ensures that there is no unauthorized data access from inside or outside an organization. In stress testing, Vormetric exceeded Virtustream’s performance expectations with a virtually indiscernible impact on application response time, excellent manageability and detailed logging of file access for Database Access Monitoring requirements (DAM) and Data Leakage Prevention (DLP) reporting.

Virtustream now stands as the first cloud provider to offer the Vormetric solution in a SaaS model with elastic, consumption-based pricing—services are priced per virtual CPU of each database server, as opposed to traditional perpetual licensing models.

“It can be challenging to get large enterprises to trust the cloud, so this partnership with Vormetric provides a significant security measure required to overcome that concern,” said Pete Nicoletti, director of security and compliance at Virtustream. “With Vormetric’s solution, we now have a database encryption security option suitable for customers who are required to comply with executive mandates or compliance frameworks but have not yet deployed encryption at their database or application layer. Adding this capability will make moving mission-critical data to the cloud a more feasible option for any enterprise looking for immediate risk reduction and cost savings.”

With this encryption service, Virtustream also offers and manages encryption of client databases at their location in the client’s datacenter before they even move the workload to the Virtustream cloud. This is a unique capability and allows customers that are concerned with protecting personally identifiable information (PII) and other sensitive information to achieve regulatory compliance and avoid potential data breach costs.

“By partnering with Vormetric, we are able to combine its nimble and powerful security solution with our cloud solution for increased data protection with high performance and low overhead,” said Mike Olson, vice president of operations and service delivery for Virtustream. “Together we offer customers a more secure, compliant cloud environment with reduced infrastructure costs, and increased performance and uptime.”

Is Cloud Computing Ready for Prime Time?

By John Dixon, Senior Solutions Architect

 

A few weeks ago, I took part in another engaging tweetchat on Cloud Computing. The topic: is cloud computing ready for enterprise adoption? You can find the transcript here.

 

As usual with tweetchats hosted by CloudCommons, five questions are presented a few days in advance of the event. This time around, the questions were:

  1. Is Public Cloud mature enough for enterprise adoption?
  2. Should Public Cloud be a part of every business’s IT strategy?
  3. How big of a barrier are legacy applications and hardware to public cloud adoption?
  4. What’s the best way to deal with cloud security?
  5. What’s the best way to get started with public cloud?

 

As far as Question #1, the position of most people in the chat session this time was that Public Cloud is mature enough for certain applications in enterprises today. The technology certainly exists to run applications “in the cloud” but regulations and policies may not be ready to handle an application’s cloud deployment. Another interesting observation from the tweetchat was that most enterprises are indeed running applications “in the cloud” right now. GreenPages considers applications such as Concur and Salesforce.com as running “in the cloud.” And of course, many organizations large and small run these applications successfully. I’d also consider ADP as a cloud application. And of course, many organizations make use of ADP for payroll processing.

Are enterprises mature enough for cloud computing?

Much of the discussion during question #1 turned the question on end – the technology is there, but enterprises are not ready to deploy applications there. GreenPages’ position is that, even if we assume that cloud computing is not yet ready for prime time, then it certainly will be soon. Organizations should prepare for this eventuality by gaining a deep understanding of the IT services they provide, and how much a particular IT service costs. When one or more of your IT services can be substituted for one that runs (reliably and inexpensively) in the cloud, will your company be able to make the right decision to take advantage of that condition? Also, another interesting observation: some public cloud offerings may be enterprise-ready, but not all public cloud vendors are enterprise-grade. We agree.

Should every business have a public cloud strategy?

Most of the discussion here pointed to a “yes” answer. Or that an organization’s strategy will eventually, by default, include consideration for public cloud. We think of cloud computing as a sourcing strategy in and of itself – especially when thinking of IaaS and PaaS. Even now, IaaS vendors are essentially providers of commodity IT services. Most commonly, IaaS vendors can provide you with an operating system instance: Windows or Linux. For IaaS, the degree of abstraction is very high, as an operating system instance can be deployed on a wide range of systems – physical, virtual, paravirtual, etc. The consumer of these services doesn’t mind where the OS instance is running, as long as it is performing to the agreed SLA. Think of Amazon Web Services here. Depending on the application that I’m deploying, there is little difference whether I’m using infrastructure that is running physically in Northern Virginia or in Southern California. At GreenPages, we think that this degree of abstraction will move in to the enterprise as corporate IT departments evolve to behave more like service providers… and probably evolve in to brokers of IT services – supported by a public cloud strategy.

Security and legacy applications

Two questions revolved around legacy applications and security as barriers to adoption. Every organization has a particular application that will not be considered for cloud computing. The arguments are similar for the reasons why we never (or, are just beginning to) virtualize legacy applications. Sometimes, virtualizing specialized hardware is, well, really hard and just not worth the effort.

What’s the best way to get started with public cloud?

“Just go out and use Amazon,” was a common response to this question, both in this particular tweetchat and in other discussions. Indeed, trying Amazon for some development activities is not a bad way to evaluate the features of public cloud. In our view, the best way to get started with cloud is to begin managing your datacenter as if it were a cloud environment, with some tool that can manage traditional and cloud environments the same way. Even legacy applications. Even applications with specialized hardware. Virtual, physical, paravirtual, etc. Begin to monitor and measure your applications in a consistent manner. This way, when an application is deployed to a cloud provider, your organization can continue to monitor, measure, and manage that application using the same method. For those of us who are risk-averse, this is the easiest way to get started with cloud! How is this done? We think you’ll see that Cloud Management as a Service (CMaaS) is the best way.

Would you like to learn more about our new CMaaS offering? Click here to receive some more information.