How to Overcome Cultural Challenges When Moving to the Cloud

Original Article from Wall Street Journal by Thomas Loftus on Sept. 20, 2019.





Cultural challenges can emerge when a company makes the shift to cloud-based applications and processes. Finding and cultivating the right technology talent can lead a company to look beyond their own IT teams, and a lack of clarity around what the shift means for a company can lead to misunderstandings.


Cloud infrastructure services such as Amazon.com Inc. ’s Amazon Web Services and Microsoft Corp. ’s Azure use their own data centers to provide companies with the raw computing components that have traditionally been run in-house.


Moving to the cloud is a journey, not flipping a switch, Mr. Murphy said.


Some personnel will need to adopt a different culture and get on board with new processes associated with the cloud.


“How do you wrap your head around it and get your own people to actually change?” asked panelist Alla Whitson, chief technology officer at lender CIT Group Inc. “I think the challenge is for the organization to commit to it, to really, really commit to it and actually drive it through.”


Banks have been slower to shift to the cloud, remaining particularly cautious when it comes to moving consumer data. The recent Capital One Corp. hack, which exposed information about roughly 106 million past, present and prospective customers that was stored on Amazon Web Services, illustrates some of their reasons for hesitation.


Security is the top obstacle to cloud adoption, Mr. Mercone said. Securing numerous devices is difficult but important. “Better be able to map your endpoints,” he said.


By 2023, banks are forecast to spend more than $53 billion on public cloud infrastructure and data services, up from $24.3 billion this year, according to market-research firm International Data Corp.


Aside from security concerns, the decision of whether or not to adopt cloud processes could be determined by more pragmatic considerations.


Companies should start by defining the business problem and take it from there.


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