Businesses moving to hybrid IT will gain faster, says study

by CXOtoday News Desk    Nov 05, 2013

hybrid cloud

Businesses looking to invest in hybrid IT infrastructures will reap much faster benefits than their counterparts, according to a recent report from Accenture. The report states that companies that have moved to the cloud and invested especially in a hybrid environment were found to have benefited substantially in terms of productivity and ROI at a faster rate than others.

As per the study, one-third of executives in these companies said they are replacing legacy components with private and public cloud alternatives, and 15% already centrally managed a fully virtualized, dynamically provisioned hybrid infrastructure.

The survey also found that companies expect to operate in a hybrid IT environment for the foreseeable future. The top performers predict that a sizeable part of their IT footprint – whether infrastructure, middleware or applications – will remain “traditional,” both hosted and on-premise. In fact, these leaders believe that they will still maintain nearly six in 10 of their applications in a traditional license model by 2020.

 It is clear that high performers are more effective in taking advantage of hybrid cloud technology considering that 40% see measurable improvements in IT agility. Nearly 43% declared strong results in aligning between project portfolios and IT business goals, a 23% advantage over other organizations. The study also revealed that 33% see direct cost reductions deriving from the cloud investments to deliver strategic capabilities that support growth and business performance.

Speaking about the benefits of hybrid IT environment in enterprises, Paul Daugherty, chief technology officer, Accenture comments, “Companies that understand how new digital capabilities can be applied and set their sights beyond operational effectiveness and IT productivity, and invest more in technologies to drive future growth.” In this context, he believes the future of enterprises lie in a hybrid IT infrastructure.

In another report released last month, Gartner predicts that almost half of large enterprises will be engaged in a hybrid cloud model by 2017. Gartner analyst Thomas Bittman says that to achieve greater agility requires “investment in technologies without a significant reduction in operational cost,” and therefore, after having converted IT and end users to automated private cloud processes, an organization then has the option of gaining additional agility through hybrid operations.

Companies such as VMware, IBM and Microsoft have all launched technology initiatives on the strength of the future prospects of hybrid cloud computing. A Microsoft study had also found that over half of the organisations believe that the cloud adoption will help in their business growth, with 68% turning to hybrid cloud consumption model in the next two years.

Despite that, Bittman noted that the actual hybrid cloud computing deployments are rare because the tools are only beginning to arrive. However, once it picks up momentum, hybrid IT will become the de facto for business.