Driving operational excellence with your cloud vendors

Once, there was a pin factory. It employed ten workers – each of whom performed a different task. This organizational structure allowed them to generate 48,000 pins every day. If the people working at the plant were working independently, the output of each would have been limited to 20 pins at most – totaling 200 pins. This story describing division of labor was used in Adam Smith’s 1776 book The Wealth of Nations, as an example of operational excellence (OE).

If your company is to survive in a competitive market, OE must be sought, explained Faisal Hoque in Fast Company. In other words, the enterprise must “identify, understand and create the capabilities, behaviors and focuses necessary for repeatable, continuous and measurable operational improvement,” said Hoque.

True. However, multi-vendor cloud hosted environments can make achieving OE feel particularly complicated and challenging to accomplish, especially because this technology is growing so quickly. Over two-thirds of firms in the United States are budgeting more for cloud systems in 2017 than they did in 2016, according to a poll of 300 IT professionals from B2B research company Clutch. To specifically look at infrastructure as a service (i.e., cloud hosting), it is actually the fastest growing segment; skyrocketing at 36.8 percent per Gartner, IaaS is expanding more rapidly than either cloud platforms (PaaS) or software (SaaS).

Cloud’s rapid growth should not be an excuse to set operational excellence aside, but a call to action to ensure that you have instituted OE strategies into the way that you partner with cloud services. Let’s explore this topic by answering five critical questions.

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