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CLOUD COMPUTING The cloud in 2012 – Where are we now? Where are we going? Cloud, innovations and implications. Victor Garcia Toronto, December 3 rd , 2012 - Lexpert Conference. Cloud and innovation. Innovation demands: Systematics changes in business, processes and technology
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CLOUD COMPUTINGThe cloud in 2012 – Where are we now? Where are we going?Cloud, innovations and implications Victor Garcia Toronto, December 3rd, 2012 - LexpertConference
Cloud and innovation • Innovation demands: • Systematics changes in business, processes and technology • Changes in attitude and behaviour • Changes in the use of resources and capital • Serious commitment • Can’t pretend to be innovative, while still thinking that old ways of doing things will work • Does not make everyone happy • Three types of innovations • Efficiency innovations • Sustaining innovations • Empowering innovations Source: Harvard’s Clayton M. Christensen - New York Times, Nov. 2012 Lexpert Cloud Conference - (c) Victor Garcia
“Efficiency” innovations • Reduce the cost of making and distributing existing products and services • Reduce the number of jobs required to accomplish a result • Streamline processes – do more with less • Improve profits but destroys jobs and does little for growth • Examples: outsourcing Lexpert Cloud Conference - (c) Victor Garcia
"Sustaining” innovations • Replace obsolete products and services • Make available new, improved products and services • Help advance invention and technology • Create few jobs • Example: electric or hybrid cars Lexpert Cloud Conference - (c) Victor Garcia
“Empowering” innovations • Transform complex, costly products and ways of doing things • Create jobs and economic growth • Introduce simpler, cheaper products and methods • Make products and services previously available to a few available to many • Help level playing fields • Example: the automobile Source: Harvard’s Clayton M. Christensen - New York Times, Nov. 2012 Lexpert Cloud Conference - (c) Victor Garcia
The Ford Model T example • Changed the way people thought about, made and used transportation • Introduced new technological, operational and financial models • Made un-available products and methods available to the masses • Changed the game • “Changed how everything was made, officially kick-starting the American Industrial Age” • Did not listen to all, nor did it try to make everyone happy • “If I had asked people what they wanted, they would have said faster horses.” • Did not make “all things” available to “all people” • "You can have any color you want as long as it's black." Source: Henry Ford quotes and Edublogs quote Lexpert Cloud Conference - (c) Victor Garcia
Cloud – an “empowering” innovation • Transforming Information Technology • Direct improvement in the use of capital • Clear and measurable objectives: • Reduce the number of infrastructure components needed to accomplish a result • Reduce the amount of energy required to obtain results • Make complex hardware and software available to many • Reduce the amount of capital required • Provides measurable economic advantages of scale and scope • Lowers costs, improves speed of service, expands operational flexibility, reduces risks in IT deployment • However, it does not make everyone happy Lexpert Cloud Conference - (c) Victor Garcia
A bit of unhappiness for everyone • Democratization of IT systems • Must accept standard products and services • Changing business model not welcomed by many IT companies • Who is happy selling less than what they used to? • Important requirement and pain point: standardization • How many organizations are willing to change their processes to fit standard solutions? • Previous accepted dogma: • Easier and better to customize software than change business processes • New reality: • Easier and cheaper to change processes to take advantage of standard software Lexpert Cloud Conference - (c) Victor Garcia
"The cloud is robin Hood" • Bridging the gap between rich and poor • Products and services that were only available to a few now available to many • Keeping the cost of storing and processing information down • Unlocking new opportunities for Emerging Economies • Countless benefits in increased access to cheap data storage and processors • Enabling low-and middle-income people and entities to compete in the global economy • Quotes: • In the future, cloud computing technologies will be an economic stabilizer • As reported by researchers and authors at Univ. of San Diego • 60% of the world’s server workloads will take place on virtualized cloud servers by 2014 • Predicted by Gartner Lexpert Cloud Conference - (c) Victor Garcia
Benefits, but also complications • New rules, new competitors, new approaches • Major changes to business strategy and tactics required • i.e. data and application location, creation and use of big data, mobility requirement • Cloud deployments are delivering greater investment returns with a shorter payback period • When compared to traditional on-premise delivery option - Delloitte • Speed of execution is key • Cloud allows faster scaling, rapid transformation, more reach • New views regarding risk, security, processes and policies • New policies required to enable people to benefit from the cloud Source: http://venturebeat.com/2012/11/25/ Lexpert Cloud Conference - (c) Victor Garcia
Cloud and the 21st century legal professional • Forecast: a new generation of legal entrepreneurs • Need: novel ways to adapt to the needs of clients • Influencing drivers : • More sophisticated clients armed with more information and greater market power to rein in costs • A globalized economy, which increases the complexity of legal work while exposing U.S. lawyers to greater competition • Powerful information technology that can automate or replace many of the traditional, billable functions performed by lawyers • Cloud, cloud and cloud Source: “The future of the legal profession: expert predictions for 2012 and beyond” - John Grimley, Dec. 21st, 2011 (American Bar Foundation’s Lawyer Statistical Report) Lexpert Cloud Conference - (c) Victor Garcia
Can’t bring a horse and buggy to an automobile race (and expect to win) • New business and governance models for technology, risk, security and capital use • New models for maintenance, ownership, resiliency and redundancy • Practical governance and policy that enable faster reaction times • Need to protect the business while enabling competition and growth • Opportunity to demonstrate value in a new world Lexpert Cloud Conference - (c) Victor Garcia
Thank you victor.garcia@bell.net Lexpert Cloud Conference - (c) Victor Garcia