Cloud Economics for the Enterprise Architect
Posted in Eric Bruno on June 27th, 2011 by Eric BrunoEric Bruno originally posted this on Smart Architect.
Talk to an enterprise architect about the cloud, and you’re likely to hear him or her say that it’s an opportunity to cut future costs. Think of it this way: The enterprise architect sees architecture as a game of chess, with each move setting up future moves. Longevity of solutions also is desirable, since spreading a project’s costs over an extended lifetime increases cost-effectiveness. Therefore, the cloud represents savings in terms of future growth to the architect.
This is precisely what architects mean when they refer to an “elastic architecture,” or the elastic nature of a virtualized server environment hosted in the cloud. Future growth — and savings as that growth takes place — is assured by access to a virtually unlimited pool of hardware and software resources that are used only as needed, avoiding waste at every turn. (Full-service companies, such as CA Technologies, provide elastic cloud solutions with application management services built in.)
Cloud: Scale of Economy
Wait, the economic benefits don’t end there! To the enterprise architect, the savings value goes beyond elasticity. The cloud adds another layer of abstraction and simplicity to the enterprise application environment. As any good enterprise architect knows, abstraction leads to reward, because it removes an otherwise complex set of components from the equation and replaces it with a single, manageable square on a white board.
This square can then be contained and controlled — and further, it can be labeled as someone else’s problem. That someone else is the cloud provider. The cloud fits this square, and this description, perfectly because with it, the enterprise architect can design solutions that are quicker and easier to develop and deploy. And whenever you see quicker, or easier, think $$.
Cloud vendors can offer an enhanced application environment at a reduced price because of the economies of scale. After all, they’re providing comprehensive hosting solutions to a potentially large number of enterprises, and can pass along the savings that come along with this volume. The architect that taps into the scale of the economic savings this represents will save his or her enterprise money with compound returns in the future.
A Rose by Any Other Name
Here’s the twist: Many architects won’t cite “cost savings” verbatim as their driver toward the cloud. Instead, they may characterize it as a drive toward simplicity, allowing them to focus more on the real business solutions they’re tasked to design. But if you probe a little farther into that statement of simplicity, a good enterprise architect will explain how simplicity results in better security, improved performance and quicker application deployment.
I hear cost savings when I read that, don’t you?
Here’s how this played out in real life for me in a recent project I was involved in where key client components were moved to the cloud:
- The number of components installed on the client side was greatly reduced, which simplified the deployment process and reduced the chance for error during download.
- With the bulk of the business logic that once ran at the client site now up in the cloud, performance was improved and made more consistent; no longer was there a reliance upon varying client hardware capabilities to execute.
- Security was greatly improved, and simplified, since the client components that once had to navigate client proxies and other network security provisions were moved up into the cloud, and accessible over standard, and secure, web protocols.
- Management was simplified and outsourced to the cloud provider, and support staff was no longer required to manage issues with client downloads and server access issues.
Can you hear how that adds up to cost-savings now?
In an upcoming blog, I’ll discuss why the enterprise architect should be focused on efficiency and cost in every decision he or she makes.
In the meantime, you may want to explore the cloud economics issue further by reading this blog written by Smart Enterprise Exchange editor and community manager Paula Klein, as well as this article by Doug Bartholomew.