Intelligent CIO Africa Issue 08 | Page 76

EDITOR’S QUESTION KEITH FENNER, VICE PRESIDENT, SAGE ENTERPRISE AFRICA & MIDDLE EAST M id-sized organisations in Africa are facing growing global competition, new regulations and the imperative of digital transformation. To keep pace with the demands of a fast-changing world, they need to modernise their systems and automate their business processes – yet they cannot afford to put their operations on hold as they implement complex enterprise resource planning (ERP) suites. As a result, we are seeing more and more medium-sized companies look beyond on-premises software implementations or large, complex private cloud deployments towards the benefits of leaner, more agile public and hybrid cloud solutions. With a new generation of business management software, they can choose from new alternatives that are powerful, adaptable and quick to pay for themselves. One of the reasons we are seeing some companies steer away from private cloud deployments is the cost. There’s the investment in hardware infrastructure and software licences, plus ongoing support and implementation costs. With public cloud solutions, organisations can benefit from a simple per user, per month cost. These solutions also turn what used to be a capital cost into an operating cost, allowing organisations to access world-class technology without large capex expenditures. They offer traditional ERP benefits such as integration of processes and systems across the enterprise and a 76 INTELLIGENTCIO single view of corporate data; public cloud solutions are architected for an era of social, mobile, cloud, and big data technologies. That means they are well suited to the demands of modern work, for example, allowing mobile workers to collaborate across the cloud or supporting Internet of Things deployments. This is a rapid and powerful way for companies to integrate their businesses with the digital economy and get ready for the digital revolution. “As a result, we are seeing more and more medium- sized companies look beyond on- premises software implementations or large, complex private cloud deployments towards the benefits of leaner, more agile public and hybrid cloud solutions.” Nonetheless, it is important to note that the public cloud is not necessarily the optimal model for every business. The public cloud is secure, but a private cloud offers even more robust security. As such, it’s a good fit for companies in heavily regulated industries – for example, banking, insurance, and the public sector. It is also ideal for companies that want a level of customisability they can’t get from the public cloud. Other organisations may prefer a hybrid cloud approach that mixes and matches private and public cloud services according to need. For example, many businesses use public cloud services for applications such as CRM, testing, and website hosting, while relying on private cloud services for business-critical applications that manage sensitive data. As with a private cloud, the company will need good in-house IT skills to manage a hybrid cloud. A hybrid model may be somewhat more complex and expensive to run than a pure public cloud approach, but the business case is often strong in larger businesses. As IDC’s Worldwide Quarterly Cloud IT Infrastructure Tracker for April 2017 shows, the cloud in its various flavours is growing its share of overall worldwide IT spending. Whether organisations go for private or public, or a hybrid of both, the cloud can provide the dedicated solutions African companies need to take their businesses to the next level. n www.intelligentcio.com