ITaaS: a new way to get the most from the cloud

  • Posted on July 11, 2016

ITaaS and cloud

The chances are that building and maintaining IT is not your company’s core business. So, before you think about building and maintaining more of your IT on your own, think about the companies for which the cloud is their business. The number of companies providing cloud infrastructure, platforms, software and more, continues to grow - and with good reason.

Good News for You

Cloud providers are investing at a scale that far outpaces what most companies can afford to spend. The resulting innovation, in turn, creates new business models for new entrants and traditional players, which drives services and customer expectations ever higher.

That’s good news for you, because consuming services from leading cloud providers lets companies like yours focus their time and talent on differentiating their businesses. And that’s very much what you’re in business for.

Your Roadmap to the Cloud

But which services should you consume—and is more always better? The company that wants to optimize its cloud use has to figure out the balance between IT elements it should consume and those it should create on its own. It needs to identify the control points for this new IT system and create a new operating framework to govern it all.

These are complex challenges. That’s why Avanade has created a roadmap to guide you through the thicket. It’s the Avanade IT-as-a-Service (ITaaS) Conceptual Model (see diagram below) and companies are using it today to identify smarter approaches to providing IT services to their businesses.

ITaaS Conceptual Model

The core theme to Avanade’s ITaaS model is “consume-to-create.” It’s key to enabling IT to deliver strategic value throughout the enterprise. A key takeaway: You’d do well to consume any service—or any part of a service—that doesn’t differentiate your company and deliver competitive advantage. Here are a few examples of what it means in practice:

  • Email: Why build it, or even host it, when you can acquire a highly functional and reliable service in Office 365? Instead, focus on creating the custom administration and collaboration services on top of email that will make your enterprise more agile and innovative.
  • Payroll services: Consume the process from a dedicated provider, and create just the integrations you need with IT and HR.
  • A core differentiator, like online banking for a financial services company: Consume basic infrastructure from an external cloud service, but create the online customer experience—and most of the overall service—yourself.

What This Means for You: It Depends

There’s no simple formula for deciding how much to consume and how much to create. We’ve seen “consume” levels of anywhere from 30% to 70% for most of our clients, depending on their industry, the service they’re considering and its strategic value, and their level of cloud maturity.

In the coming weeks, we’ll give you clear tips in this space to help guide your own cloud journey, with follow up blog posts on the implications of ITaaS for applications, infrastructure, and operations. We’ll describe how you can move from where you are today to where you need to be in each of these areas to achieve the remarkable benefits of IT-as-a-Service.

Nilesh Kulkarni

Great article Heath, well thought. Now that many of the IT services have moved to cloud, companies can realize the benefits of having all their operational data in one place. This data can provide valuable insights once the Analytics and Machine learning features in the Azure/Cloud can be applied to this data.

May 3, 2018

Marie-Claire Latour

Thxs Heath - this is a very useful lens from which to look at this issue. Look forward to your further updates.

July 18, 2016

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