Cloud deployment necessary for cutting costs

Use cloud to centralise spend, which will make tracking it easier.

Cloud deployment and software development is becoming crucial for businesses to drive innovation and cut costs.

Pete Johnson, a former cloud developer and enterprise architect for HP, suggested that using agile software development and deploying cloud was helping business reduce spend in IT while still seeing improvements in efficiency and productivity.

He wrote in the blog GigaOM that during his work at HP he "tackled the largest data center and application consolidation in the history of IT". This was while Randy Mott worked as chief information officer (CIO) at the company. Mr Mott discovered that there was another benefit to cloud and app deployment in terms of controlling costs on IT in that his team were able to centralise spend and standardise processes across the company.

The result is that rather than creating and maintaining IT infrastructure, CIOs can now leave this to the cloud and instead focus on tracking and delegating spend.

Using his own experience as a guide, Mr Johnson said: "What’s happening today to CIOs is similar in that they face pressure to lower costs with cloud approaches. Only now, any impatient business unit with a credit card can go get services for themselves without involving IT at all."

Therefore when business leaders see an opportunity for development in IT they can have it set up quickly and easily without having to go through levels of bureaucracy in-house first.

While this could aid innovation, it makes it more challenging for company spend to be tracked. Yet by encouraging CIOs to deploy the cloud and agile applications, they can communicate IT investment plans very quickly and easily and centralise spend.

Cloud service providers like Dot Net Solutions can provide applications to improve internal systems. These can be integrated with processes in house if a company wishes through a hybrid cloud. Additionally, obtaining such applications using cloud solutions means companies will not have to pay for license and hardware fees, as they are included in the package.