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How to Use a Business Aligned

Approach to Accelerate Cloud


Success

“This research provides actionable


advice on structuring a cloud strategy
document and principles to guide you,
while offering guidance on determining
which applications go where. We follow
a “cookbook approach” to building a
cloud strategy, utilizing principles such
as bimodal IT.”

-Gartner, The Cloud Strategy


Cookbook, 2019

Issue 1
2 Introduction
3 Research from Gartner:
The Cloud Strategy Cookbook, 2019
13 About TDS and TransitionManager
2

THE TDS PERSPECTIVE

Over the past several years, we have seen cloud • If you are running out of hosting space in your
adoption evolve from a risky proposition, into current environment, then cloud is a great
an inevitability for most organizations. While option. In this case, you need to decide if you
many of the technical challenges related to cloud want to just use cloud for net new applications.
migrations and operations have been solved - Or you may have some stand-alone applications
organizations struggle with prioritization of their that are ideal candidates to migrate to the
cloud migration efforts. cloud which can free up space in a currently
stressed facility.
Accordingly, the discussion has shifted from “can
we use cloud” to “how should we use cloud.” • Organizations also must consider information
And with this, the realization that cloud adoption security and compliance regulations for your
should align with the business benefits in addition specific industry. If you deal with personal
to any anticipated economic advantages has data regulations such as PCI, GDPR or HIPAA,
become a higher priority with most organizations. then you need to account for this in your cloud
approach. This does not “knock out” cloud, but
At TDS, we believe the The Cloud Strategy it will affect planning and execution of a cloud
Cookbook from Gartner is a good way to add migration.
discipline, consistency and guard rails to assure
successful outcomes in your journey to the cloud. • A recent merger or acquisition may force an
There is no “one size fits all” approach to cloud app rationalization process before a viable
adoption - in fact, it is affected by many factors: cloud strategy can be developed.

• Digital business transformation initiatives All of these scenarios demonstrate the need to
involve a collaboration of infrastructure and begin planning far in advance of any large scale
applications where services are delivered by cloud migration efforts. Invalid assumptions
a federation of related systems. However, regarding cloud readiness, migration speed,
with this robust collaboration also comes workload segmentation and most importantly,
complexity. business impact can lead to delays, restarts and
missed expectations.
• If you have a mixture of legacy and mainframe
based applications, you may need to continue Proper planning for cloud migrations requires
with a data center or colocation approach a cookbook approach. It also requires a
until you eventually migrate to cloud friendly comprehensive inventory of your full application
architectures. portfolio and infrastructure environment. With
a complete view, you can easily identify “cloud
• If you have a long term lease in conventional ready” applications and workloads while working
hosting environments, you may not get ROI on more detailed planning for the more complex
benefits from cloud hosting until your legacy migration initiatives.
environments can be fully retired. An empty
data center or colo space still costs money until We hope you find the Gartner insights helpful
the contract expires. and that they enable you to accelerate your cloud
strategy.

Source: TDS
3

Research from Gartner:

The Cloud Strategy Cookbook, 2019


Every business can benefit from a cookbook • Include an exit strategy that defines how you
approach to developing a cloud strategy. CIOs will get out of a particular cloud decision in the
should focus efforts on a living document that event it doesn’t work out as planned. An exit
connects business strategy to implementation and strategy is very important, even though you
migration plans. may never use it.

Key Findings Analysis


• The top questions in cloud computing today This document was revised on 22 May 2019. The
revolve around cloud strategy. They are document you are viewing is the corrected version.
becoming more urgent and range from “What For more information, see the Corrections page on
is a cloud strategy and why do I need one” gartner.com.
to “How do we build a comprehensive cloud
strategy?” A cloud strategy is a concise viewpoint on the role
of cloud computing in an organization.
• Cloud strategy formulation leads to many
secondary questions around principles and This research, in conjunction with a companion
prioritization. These questions must be aligned document “Formulate a Cloud Strategy in the
with other strategies. Context of Your Overall Strategy,” forms a
comprehensive view of cloud strategy.
• One of the most important, and usually
missing, components of a cloud strategy is an Organizations with a cloud strategy have more
exit strategy. coherent approaches to cloud usage, anticipating
both the benefits and potential downsides of cloud
Recommendations use, attempting to maximize the former while
As a CIO building a cloud computing strategy, you minimizing the latter. We see better outcomes
should: with those that have a strategy than with
those that do not. The various subdisciplines —
• Build a cloud strategy in a short, living procurement, sourcing, coding, infrastructure and
document that should be a concise point of operations (I&O), security, etc. — cannot be fully
view on the role of cloud in your organization. prepared to meet the organization’s needs if they
Cloud strategy does not equate to moving don’t have a common strategy to draw on, and to
everything to the cloud. look to for their priorities.

• Ensure that your cloud strategy aligns with The cloud strategy cookbook is a virtual template.
other strategic plans (for example, data Based on reviews and discussions with hundreds of
center, security and architecture) and provides clients, it is what we would consider best practices
guidance to adoption plans. for building a cloud strategy. A high-level overview
of the main sections starts with an executive
• Plan for the cloud strategy to be the summary. We go through some baselines and
launching point for all the subsequent cloud things that might be considered the “meat,” such
activities: architecture, assessment, migration, as principles and an assessment of where you are
operations, etc. today. Figure 1 represents a high-level outline of
such a document.
4

FIGURE 1 Outline for a Cloud Strategy Cookbook

Source: Gartner (April 2019)

The top questions in cloud computing today Some details on the sections begin with the first
revolve around cloud strategy. While these page of the cookbook (see Figure 2).
questions have evolved, they continue to be top of
mind and are becoming more urgent. They range Executive Summary
from “What is a cloud strategy and why do I need An executive summary is for people who don’t
one” to “How do we build a comprehensive cloud get beyond the first page. So it should summarize
strategy?” Such questions lead to secondary ones what the document says. This is also the place to
around principles and prioritization. Also, they put the names and organizations of the people in
must be aligned with other strategies (for example, your cloud council. If you do the strategy right and
data center, security, architecture). have members from all the different roles, it makes
a very big statement that this is not just an IT
CIOs and IT leaders struggle with prioritization and document. Writing this section last makes sense,
creating a strategy to ensure cloud success. This as it summarizes the entire effort.
research provides actionable advice on structuring
a cloud strategy document and principles to guide Cloud Computing Baseline
you, while offering guidance on determining which
This should be simple. The U.S. National Institute
applications go where. We follow a “cookbook
of Standards and Technology (NIST) has come
approach” to building a cloud strategy, utilizing
up with a set of definitions, as has Gartner (see
principles such as bimodal IT.
5

FIGURE 2 Cloud Strategy Cookbook Template Details

Source: Gartner (April 2019)

“NIST and Gartner Cloud Approaches Are More The output from this effort is to populate a training
Similar Than Different”). While NIST’s definition and communication plan, which is essential to
is not perfect, it is important because with it, broadening the discussions around cloud.
you can eliminate the majority of disagreements
with people so they’re at least on the same page Business Baseline
regarding what the terminology means. There This section should summarize the top-level
are further definitions, including hybrid and business strategy and desired business outcome
multicloud, and pure cloud and cloud-inspired targets, as well as business transformation
(described in Gartner’s Cloud Spectrum; see “Four initiatives. Those should be coming from the
Types of Cloud Computing Define a Spectrum of company’s top-level strategy. The next step is to
Cloud Value”). Leverage, don’t reinvent, here. This look at the potential benefits and potential risks.
section can also point to details in an appendix. These are mostly generic and aligned with bimodal
IT principles (see “Your Cloud Strategy Needs to Be
Note that it is much less important what the Bimodal”).
definitions are than the fact that you have them
and agree to them. The key is to eliminate This means knowing what the goals are (typically
confusion within the organization by agreeing to either cost cutting/cost-efficiency [Mode 1]) or
the definitions and then using them consistently agility/innovation (Mode 2) and considering the
when talking about cloud.
6

potential ways that cloud can help achieve those between use cases for infrastructure as a service
goals. Then examine things that are unique to (IaaS), platform as a service (PaaS) and SaaS should
your organization. What is your business trying to be part of this discussion. This is also where to
accomplish in your industry, in your geography, at address scenarios when you would want to be
this point in time? Is there a data center strategy a broker, and how to have a hybrid IT operating
that you need to make sure that you are aligning model where you are simultaneously consuming
with? Are there extenuating circumstances? services, being the middleman and providing
services yourselves. A question to ask includes,
The action is to map the business goals to the “How do you secure, manage and govern the
potential benefits of cloud and overcome the resulting hybrid environment?” It is important
potential challenges. This section should state to acknowledge that virtually all enterprises are
why the organization is interested in cloud in the hybrid because almost no company of any size
first place. today can afford to do everything itself or put
everything in a public cloud.
The next set of details is shown in Figure 3.
Deciding to build actual cloud services is not a
Service Strategy decision to be made lightly. Trying to do so is a
Determining your service strategy is done by large effort. Most organizations will maintain some
deciding when you would be consuming cloud on-premises capabilities but not try to duplicate
services from a public cloud provider versus when the functionality of hyperscale cloud providers.
you will build (or at least continue to maintain
capabilities on-premises elsewhere). Distinguishing

FIGURE 3 Cloud Strategy Cookbook Template Details (Continued)

Source: Gartner (April 2019)


7

The action here is to examine the applicability of application exercise (workloads are groupings
all potential roles in cloud — consumer, provider of applications). Some other principles, such as
and broker. “Lift-and-shift migrations to public cloud should
be a last resort” are recommended and should be
Financial explicitly stated. You generally don’t get a lot of
It is imperative to understand the financial benefits from doing lift-and-shift migrations. It
implications of cloud at a high level. Its doesn’t mean you don’t ever do it. Sometimes it
importance is why we say involving finance makes a lot of sense to do it; for example, if you
professionals matters, because they understand have a data center strategy for consolidation, you
things that most IT professionals do not spend have to find a home for things. But don’t expect
a lot of time thinking about. Issues regarding to get a lot of cost savings or agility benefits
cost transparency, visibility, budgeting and from lift and shift. It may make sense for other
predictability should be considered. Cloud typically reasons, such as when you don’t want to change
is funded by an operating expense model instead the application (to avoid potential disruptions
of a capital expense model. However, there are in operations) and the application needs to be
companies where owning capital assets is a key colocated with data or applications that have been
part of the corporate strategy; thus, if you change moved to cloud (for all the right reasons). Using
everything to an operating expense, It could lift and shift just to move the application to cloud
change the financial profile of the organization. rarely makes sense.
We have seen many examples of this occurring
unintentionally. There may also be vendor-oriented considerations
that you want to document as well, be they for
Understanding the trends around the pricing positive relationships or investment in skills, etc.
models is important to ensure that expectations
are met. For infrastructure as a service, since it’s Some common principles are:
mostly aligned with hardware costs, the price
tends to go down slowly over time. With IaaS, it’s • Cloud first
primarily a pay-as-you-go model where contracts
• Buy before build (which, in the cloud, is often
are not required, but may be desirable in some
stated as SaaS first)
scenarios (such as for pricing discounts). Contrast
that with the model in SaaS for applications where
• Best of breed
the prevalent model is subscription — typically a
three-year contract, per user per month — and that
There may also be architectural principles such as
price tends to go up over time. It is also critically
cloud-native or multicloud. These issues are also
important to avoid succumbing to myths such as
often addressed in the exit strategy or in aligning
you always save money moving to the cloud (see
with architectural principle documents.
“The Top 10 Cloud Myths”).
Cloud first is a very common principle guiding
The action is to ensure an understanding of
cloud strategies and adoption decisions. Some
the many implications of the financial options
people dismiss it as a slogan. It’s more than that,
available. This is not a business case either for or
but It’s not a whole strategy. Cloud first doesn’t
against cloud.
mean everything goes to the cloud. It means that,
when you ask for an investment (for example,
Principles and Assessment/Inventory of Where
when you want to renew something, enhance
You Are Today
something or build something), the preferred
Principles and assessment/inventory of where approach is to use public cloud. It also means that
you are today are, in many ways, the meat of a any new technology or business initiative should
cloud strategy. They are described in more detail in consider cloud as the first option. It doesn’t mean
Figure 4. that in all cases it will be public cloud, but it’s
the default that you work back from. Start with
Principles the assumption that, unless there’s a reason not
There are many potential principles that to, you go with public cloud, and then you back
can determine a cloud strategy. Some are off as necessary. Cloud first is the recommended
nonnegotiable — for example, a cloud strategy approach in most cases from Gartner. It’s not
is a workload-by-workload or application-by-
8

FIGURE 4 Cloud Strategy Cookbook Template Details (Continued)

Source: Gartner (April 2019)

reasonable when people place enormous burdens on this application? Is the goal to be more agile?
when putting things in the cloud or not putting If the goal is to be more agile, it may cost more,
things in cloud. You want to do the right thing for and that may well be acceptable. Other tools
the particular workload. such as total cost of ownership (TCO) and pace
layering (see “Pace-Layered Application Strategy
Assessment of Where You Are Today — The and Organizational Design: How to Structure the
Inventory Application Team for Success”) can be very helpful.
As a cloud strategy should be applied workload
by workload, an inventory of those workloads The effort of collecting this information is often
is warranted. Simply, a workload is a collection shared between the strategy phase and the
of applications that belong together. For each implementation phase. The strategy phase should
workload, you want to have a set of information at include determining the scope and starting
your fingertips. the effort. Figure 5 shows the elements of an
inventory.
What kinds of information would be useful for
you to capture about each of those workloads to There is some basic information that you need
make decisions about them? Gartner concepts to have. What’s the name of the workload? Who
and tools such as bimodal IT can help here. This owns it? Who authored it (if you wrote it yourself
concept is applicable not just at a high level, but in-house)? Are there dependencies on other
also for each workload. Is the goal to save money applications? Is there a vendor involved? Is it a
packaged application from a vendor? Are there
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things you should know about that (for example, Performance characteristics are an important
you could be on the last on-premises version from factor. This is where you look at whether you have
this vendor and if you want to upgrade, then you something that is a particularly good candidate
have to go to its SaaS version)? for cloud. Utilizing a spectrum is helpful. On one
end of the spectrum, you have an unpredictable
Is it virtualized? What are the security, governance, workload — like a website, a mobile app or an
compliance and data requirements? Does it have API gateway — something that is externally
PII and security requirements? Special integration facing and for which it is difficult or impossible
requirements or location requirements? What’s the to predict what the demand will be. On the other
goal here? What’s driving the decisions? Is this a end of the spectrum, you have well-behaved
cost savings efficiency decision or is this more of applications. This is a typical enterprise application
an agility decision? that is already virtualized and running efficiently
in your data center. It’s a steady-state type of
If you’re like most organizations, you’re going to application that doesn’t vary much and doesn’t
find hundreds, if not thousands, of workloads that have peak workloads. It’s very predictable. That
you have to go through. The actual effort of going is the opposite of an unpredictable workload
through those is often left to the implementation and one that does not benefit from typical cloud
and adoption phase. You may find applications that characteristics.
people might not even be running, in which case
there may be opportunities to turn them off. It is If an application works and it’s cost-effective, it
important to look for the important ones to focus should not be a high priority to change. However,
on — the most critical workloads and those that extenuating circumstances (such as a data
are costing the most. These are the ones to focus center strategy that is to close the data center)
on and understand well before you make a big may force action. In the middle of the spectrum,
decision around any changes. there are shades of gray; for example, you have

FIGURE 5 Inventory Information

Source: Gartner (April 2019)


10

the classic overprovisioned workload (such as a services they provide (for example, Amazon Web
certain baseline) and, at the end of the month or Services [AWS] secures the services — IaaS — that
the holiday season, you have a peak and have to include virtual machines, storage and networking),
overprovision for it. These are decent candidates to they do not secure the applications or data that
consider for going to the cloud. you host there. You are responsible for making
sure that the data you put on IaaS is locked
Security down appropriately. It’s not the provider’s fault
Security warrants a statement or two on its own if you leave your data unprotected. Identifying
because it’s so important. Attitudes toward security responsibilities is critical to secure use of the
vary, but we have seen a big change. Until a few cloud.
years ago, the conventional wisdom was that
public cloud is not secure enough today. Now, Security Is a Great Example of the Importance
we’re in danger of going to the opposite extreme of Alignment With Other Strategies
where organizations sometimes trust public cloud The right way to approach security and all
providers too much. these other supporting elements, such as
technical architecture, infrastructure, staffing
“Clouds Are Secure — Are You Using Them and procurement, is to ensure that they are in
Securely?” recommends focusing on understanding alignment. Figure 6 describes these. If you need to
the roles in security properly. While the top-tier put something about security in the cloud strategy,
cloud providers do an excellent job of securing the make sure it also goes in your security strategy

FIGURE 6 Cloud Strategy Cookbook Template Details (Continued)

Source: Gartner (April 2019)


11

and vice versa, and that it is aligned. Sometimes cloud) is rare. However, awareness and planning
that may mean modifying the overall security regarding possibilities is an important part of
strategy. strategic planning. Several regulators, primarily in
the EU and focused on financial services, are now
The right way to approach security is to have high mandating an exit strategy.
standards and to utilize concepts like tiering of
providers. There is a long tail — top tiers like AWS Those who do look at exit strategies often look
and Salesforce that do an excellent job at security. mostly at contracts — terms and conditions,
But anyone can claim to be a cloud provider and service-level agreements, etc.; basically, how to
may not have anywhere near the same level of get out of a contract. That’s important, but it’s
security capability as a top-tier provider. Also, it is just the beginning when it comes to exit strategy.
very important to identify responsibilities in cloud You also have to look at data ownership, backup,
security. getting your data back, portability, etc. The exit
strategy should include technical factors and
Anything that’s in your existing security business factors. Sometimes the hardest part about
strategy needs to be adhered to or changed to leaving a cloud service is the contract, not the
accommodate the realities of cloud. technology. And don’t forget all the supporting
infrastructure for the cloud service, including
While not security per se, issues such as networking, management tools, integration and
governance and compliance are often grouped third-party services.
in the topic. Alignment with existing strategies,
as well as processes specific to cloud, should be Lock-in is one of the main issues that should be
addressed here as well, although these topics are discussed as part of an exit strategy. There are
often included in implementation plans. many different places you can have lock-in: at the
data level, the application level, the architecture
Supporting Elements — Organizational and level or the skills level. This is often the impetus to
Staffing Issues start you down the path of looking at multicloud
As with the aligning of cloud security issues with strategies. Multicloud is one of the great
an overall security strategy, a similar approach buzzwords today.
should also be taken when it comes to staffing.
Cloud changes staffing requirements, depending Many say they want multicloud but, at the same
on what level of cloud service you’re interacting time, note in their cloud strategy documents that
with. You will need different mixes of skill sets. they also want to be cloud-native. These are not
You will likely need fewer people who manage necessarily completely at odds with each other,
servers directly, but more people who do higher- but if you take them to their logical extremes, they
level tasks like integration, network engineering, can be. If you want to be completely multicloud
business analysis, vendor management, security, and not dependent on a vendor, then you can’t
etc. It’s not just position reduction; there are also take advantage of all of the native capabilities of
growth opportunities for some and it’s important that vendor. There are trade-offs. It’s not a simple
to have the right people involved. That’s why answer, but the cloud strategy is where this should
including HR in this effort makes sense. be handled.

The cloud strategy council and cloud center of A common progression occurs as enterprises get
excellence constructs also warrant discussion from more mature in their use of cloud. They’ll usually
an organizational perspective. start off with a few projects with one provider.
After initial successes, before long they have many
Exit Strategy workloads there and a corresponding large invoice,
and they begin to worry that they’re too dependent
One of the last pieces, but most important, is an
on one vendor. As a result, they’ll start down the
exit strategy. An exit strategy defines how you will
path of a procurement-driven multicloud strategy
get out of a particular cloud decision in the event
looking to encourage competition. After that, they
it doesn’t work out as planned. Even for those that
start looking at a management strategy where
have a cloud strategy, most don’t typically have
they want a single pane of glass for monitoring.
an exit strategy. An exit strategy is very important,
Eventually, some get to the architectural part,
even though you may never use it. Cloud
focusing on portability of applications and the role
repatriation (moving of workloads back from public
12

of technologies such as containers, PaaS and open efficiently migrate hundreds of applications to
source. the cloud, if that makes sense. While data center
and I&O-centric views often drive the extenuating
So don’t forget the exit strategy. It really is circumstances, there are other considerations such
important. as application modernization, M&A, new product
development, business resilience and other
Cloud Strategy In Practice strategies that may trigger mass migrations.
In practice, the cloud strategy works as follows
(see Figure 7). You have established your cloud On to the Implementation/Adoption/Migration
council, produced your cloud strategy and Phase
established your principles. You have also at least
started down the path of producing the inventory. A cloud strategy is a living document. As such, it
feeds the next phase of implementation. Beyond
If you have determined that your strategy will cloud strategy is implementation (also referred to
follow a cloud-first principle, then it works as adoption or migration).
as follows: When a request comes in for an
enhancement to an existing application, you There is a great deal of Gartner research to assist
consult the inventory and you apply the principles with the implementation phase, including:
to each request. It gets more complicated if
there’s a data center strategy that says you’re • “A High-Level Framework for Planning Your
going to close the data centers in two years. If Migration to Public Cloud Services”
that happens, you have to start to build a cloud
• “How to Begin Using Public Cloud Infrastructure
migration plan in which you have to find homes
as a Service”
for everything. Unless you have that kind of an
edict, there is no reason to go through all your
• “2019 Planning Guide for Cloud Computing”
applications and move them.
• “Moving Enterprise Workloads to Public Cloud,
This is where the connection with a data center
Hosting or Colocation — How to Prioritize and
strategy comes in, and where you move from
Execute”
strategy to execution. This is where you look
at best practices, lessons learned and ways to Source: Gartner Research Note G00368780,
David Mitchell Smith, 2 April 2019

FIGURE 7 Cloud Strategy in Practice

Source: Gartner (April 2019)


13

About TDS and TransitionManager

The challenges that confront IT teams today are significant. They


are under pressure to address two seemingly opposite requirements:
They are being asked to become more agile and flexible so they
can support emerging digital business requirements. While, at the
same time, they must address ever-increasing demands to improve
resiliency, availability, security and compliance.

Yet making any type of change in IT requires an awareness of the relationships across assets and
infrastructure. But as hybrid environments become increasingly complex, dynamic, and dispersed, the
assets that an application depends on are often distributed across hosting sites. With new hardware, new
software, and new hosting options continuously emerging, IT is an environment of perpetual change. And
managing change is hard.

TransitionManager is a web-based, collaborative platform built by TDS migration experts to effectively


plan complex cloud migrations, data center consolidations, and other IT initiatives – without the risk of
business disruption. TransitionManager helps keep critical business applications running by enabling IT to
understand their complex, hybrid environments. TransitionManager accelerates and orchestrates IT change
management.

• It integrates with existing tools,


managing the flow of data across
disparate products so they work as
a toolchain

• It orchestrates the sequenced


execution of human and automated
tasks, eliminating risk in the
process.

• It produces a complete picture


of complex relationships and
interdependencies between
applications, infrastructure and
those assets impacted by regulatory
compliance.

• It presents actionable data and


enables IT and business staff to
assess their current environment,
reconcile them against the
organization’s strategic plans, and
move forward with transformation
projects with confidence.
14

TransitionManager is built to address today’s complex IT challenges:

• Workload assessment and placement

• Rapid migration of mobile workloads

• Physical, virtual, cloud and hybrid cloud migrations

• Planning, orchestrating, and executing complex change

• Application rationalization

• Resilience assessment and planning

• Disaster recovery

• Compliance management

• M&A planning and assessment

• Scenario recovery/bypass

To accelerate your cloud journey, it starts with aligning business and IT objectives, then breaking through
silo-based operations, and getting a clear, actionable view of your environment. Let us show you how with
a demonstration of TransitionManager.

Contact Us
For more information, visit www.tdsi.com
Email us at info@tdsi.com
Connect with us

How to Use a Business Aligned Approach to Accelerate Cloud Success is published by TDS. Editorial content supplied by TDS is independent of Gartner analysis. All Gartner research
is used with Gartner’s permission, and was originally published as part of Gartner’s syndicated research service available to all entitled Gartner clients. © 2019 Gartner, Inc. and/or its
affiliates. All rights reserved. The use of Gartner research in this publication does not indicate Gartner’s endorsement of TDS’ products and/or strategies. Reproduction or distribution
of this publication in any form without Gartner’s prior written permission is forbidden. The information contained herein has been obtained from sources believed to be reliable. Gartner
disclaims all warranties as to the accuracy, completeness or adequacy of such information. The opinions expressed herein are subject to change without notice. Although Gartner
research may include a discussion of related legal issues, Gartner does not provide legal advice or services and its research should not be construed or used as such. Gartner is a
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managers of these firms or funds. Gartner research is produced independently by its research organization without input or influence from these firms, funds or their managers. For
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