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Companies leverage public, private clouds to improve efficiency

While both the public and private cloud promise to offer unique benefits to the business user, decision-makers sometimes find it challenging to choose between the two. While managing a private cloud provides enterprises with more control over the cloud, outsourcing to a third-party data center could introduce significant financial and scalability benefits.

This dilemma has led to an increased focus on hybrid technologies that incorporate both premise-based and off-site cloud environments. A recent SAP survey conducted by Wakefield Research highlighted this trend, noting that 87 percent of respondents said the cloud was an important piece of technology for their business. Many of these firms have implemented a hybrid approach, utilizing both types of clouds to experience greater levels of flexibility and less complexity.

The study found that many companies are moving enterprise resource planning projects to the cloud because of its scalability.

"The allure of the cloud means many organizations are adopting cloud-based applications that augment on-premises ERP and are increasingly moving core elements of ERP to the cloud," said Nigel Rayner, research analyst at Gartner. "CIOs and ERP leaders need to be prepared with an integration strategy that anticipates this world of hybrid ERP."

In other cases, organizations are deploying public and private cloud tools to enhance efficiency.

Achieving new levels of productivity
The survey revealed that 67 percent of companies already using the cloud are leveraging some form of hybrid technology. Approximately 75 percent of these organizations believe managing their IT infrastructure is less complex after deploying the cloud services.

A separate TechTarget report said that while many companies are deploying multiple Infrastructure as a Service offerings, the trend has yet to reach global adoption, though it may in the future.

"Nobody really moves their stuff around in between various IaaS services - not more than once, anyway," said Carl Brooks, analyst at 451 Research, according to TechTarget. "To me it says more about the increasing maturity of IaaS - users have a lot of options and technologies right now."

As cloud technologies continue to mature and offer enterprises more innovative ways to carry out mission-critical operations, business decision-makers will continue making their way toward the hosted environment. Although companies in the past had to choose between the public and private cloud, organizations today can select a combination of the two to optimize performance.

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