Cloudsourcing: Where Cloud Computing Meets Outsourcing

September 22, 2009 Appirio

Ryan Nichols
Here at Appirio, we spend our days helping enterprises accelerate their adoption of the cloud. We’ve done over 150 projects for enterprises looking for help getting started with cloud computing, implementing a packaged SaaS solution, or developing custom applications on the cloud. Today, as we announce some key executive changes, we wanted to share our vision for where all this is heading.
We love helping CIO’s “think big” about cloud computing. What’s the roadmap to move more and more of your IT infrastructure to the cloud? How do you manage this transition? What types of benefits should you expect? How do you manage the risks? When will you be able to run your business 100% on the cloud?
CIOs don’t want to undertake this journey alone, but struggle to find a partner to help them answer these questions and make the transition to cloud computing. Their traditional partners have too much to lose to move from the status quo, and have expertise in all the wrong areas– it doesn’t matter anymore how good they are at managing a server farm.
Appirio wants to help. We’re increasing our focus on what we call “cloudsourcing“: where cloud computing meets IT outsourcing.
Its the natural combination of two trends that have dominated how enterprises utilize information technology over the last 2 decades. The first is a shift in how IT is architected– from mainframe to client server to cloud-based technology. The second is a shift in how IT is sourced and delivered–from a purely in-house function to a function increasingly delivered by specialized vendors.
Both reflect the natural economies of scale in information technology. Organizations shouldn’t be in the business of managing their own data centers any more than they should be in the business of managing their own power plants. And they probably don’t need to have too many expert electricians on staff either– leave that to the experts. Focusing your resources on your organization’s core competencies results in both better service and lower costs.
Are you spending >5% of your revenue on information technology that doesn’t support your business objectives? Appirio wants to cut that 30-50% by moving your entire IT infrastructure to the cloud, shoulder the risk, and share in the savings. And in the process, we’ll support your business’s growth through the world-class innovation coming from the clouds of Salesforce, Amazon, and Google.
We’ll offer:
  • Migration of on-premise application portfolios and infrastructure to cloud-based, multi-tenant infrastructures, platforms and applications.
  • Managed services to transition and manage support in this cloud environment including support, cloud operations, portfolio management, application development, testing maintenance and continuous improvement.
  • A cohesive business and technical interface to the cloud that abstracts away the complexity of managing multiple SaaS applications and cloud platforms.
Why are we so confident in the cloudsourcing approach? Because this is how we’ve run our own business from the beginning–as a serverless enterprise. We grew our business 400% last year, spent less than 2% of our revenue on IT, and have no capital tied up in IT infrastructure. We’ve experienced the benefits of running our entire business in the cloud, and work with customers every day who are taking steps in that same direction.
Interested in learning more? Click here to download our whitepaper on the topic. Want to participate in research we’re conducting to further quantify the benefits of this approach? We’ve selected an industry we think is ripe for cloudsourcing, and are doing deep dives into the IT cost structure of professional services firms with 500-5000 employees. We’re actively seeking candidates to participate, click here and tell us you’re interested.
It’s exciting to be able to focus our organization on making cloudsourcing a reality…much more on this topic on the weeks ahead!

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