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How To Mess Up IT Budgeting In 2015
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yalanand
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yalanand,
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1/24/2015 | 10:18:49 PM
Re: Why services? Because on-premises installations become 'legacy systems'
@SunitaT0: We've had such problems in the past, the problem you call "stagnant fund" problem, but then management was quick to think on its footsteps and redesigned the entire stage by stage development and testing parts so that lag cannot be seen. Companies should improve their development but they must do so without having to destroy what they have built in the past.
yalanand
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yalanand,
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1/24/2015 | 10:15:40 PM
Re: Rent versus Buy
@SachinEE: Mostly it is that, but also more sometimes. Regular updates come with nothing new, however updates that come after a healthy period means serious update and you cannot overlook that.
SunitaT0
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SunitaT0,
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1/23/2015 | 1:15:06 PM
Re: Why services? Because on-premises installations become 'legacy systems'
@Charlie: The conditions are bad enough. Development stages are so clustered up and create so much work traffic that management has no choice but to delay them until tests are done. This creates the "stagnant fund" problem. Suppose a project has been posted for development, it has its funds cleared, but its not advancing towards the next stage because some other project is taking it place on the testing assembly line. If development and testing is done side by side then your legacy system won't have a problem after being installed.
SunitaT0
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SunitaT0,
User Rank: Ninja
1/23/2015 | 12:55:15 PM
Re: Rent versus Buy
@SachinEE: Not just the security updates, but sometimes the entire code structure is updated with new GUI designs. A software that is repeatedly updated is not a good software, because the company's IT spends too much time supporting the software for recent updates, and that is not good. A software should be atleast 2 years future proof.
TerryB
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TerryB,
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1/19/2015 | 1:41:47 PM
Re: Why services? Because on-premises installations become 'legacy systems'
Charlie, I respectfully submit you could not be more wrong when you look at business holistically. You are correct, to some degree, if you look at an individual SaaS offering in a standalone fashion. Assuming they maintain backwards compatibility in functions/features they offer, then yeah, they keep the core code updated for you to latest technical standards. But if you are running your business from it, who do you want making decision whether a particular feature/function is changed/removed in future. Your company or the vendor?

When you look at integration, which any truly successful business has to be good at to be World Class, these individual SaaS applications have to talk. And in the no source code world of SaaS, that means APIs. So now you are being jerked around by any one of a number of SaaS vendors who might want to change their APIs. If that's the world you want to live in, more power to you. I'll hold onto my source code, and complete end to end business integration, until they pull it from my cold dead hands.

That is a legacy I can live with. Legacy isn't necessarily a bad thing, means you have something that has proven it works. 
SachinEE
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SachinEE,
User Rank: Ninja
1/19/2015 | 1:15:14 PM
Re: Rent versus Buy
@TerryB: interesting perspective. True, that IT is moving more towards management that towards using technical skills because basically all the core functionalities an application uses (which will be used by the business) can be found in the archive of every IT department. It only takes some makeover to correspond to the application of the present time, however even the smallest updates count because mostly security designs are re-evaluated for the software after every update.
SachinEE
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SachinEE,
User Rank: Ninja
1/19/2015 | 1:11:32 PM
Re: Why services? Because on-premises installations become 'legacy systems'
"There's a reason why so many things are moving to "as a service" status. A service is centralized and can be frequently updated by its owner. A dozen changes can occur to a service in the time span that it takes to convince an IT manager to make a capital expense. Once the IT manager has made the purchase, the first thing the business want to do is customize what he's purchased. "

@charlie: Letting the customers uniquely customize their applications corresponding to their database and file structures comes with a lot of troubles for IT. There has to be endless point to point support from the IT for the business to understand anything that theapplication has to offer.
SachinEE
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SachinEE,
User Rank: Ninja
1/19/2015 | 1:03:51 PM
Re: How To Mess Up IT Budgeting In 2015
"Another interesting way I've heard this put is that no matter who you are, your business is digital now. No matter what you sell, where you are, digital is a concern for you - that's why IT is pulling double duty these days."

I really think that even with the double duty, IT is not compensated enough for their new and updated technology and technical support. Zerox203 is right. People expect a lot from IT. "Oh you work in IT? Could you please check the computer for me?" is the request no IT guy wants to hear.
zerox203
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zerox203,
User Rank: Ninja
1/17/2015 | 5:23:34 AM
Re: How To Mess Up IT Budgeting In 2015
I think we have a strange dichotomy when it comes to this kind of thinking in IT. There's the hype train that marches on endlessly, and then there's the reality. Where it gets weird is that many businesses very well do march right alongside the hype train, but many others do not, and we'd be remiss to leave them out of the equation. Maybe it's because 'IT' is a broad moniker to begin with. If you're the one guy who fixes desktops for a small furniture company, you still might be called 'IT'. Therefore, we end up with  a broad spectrum - from DevOps-addicted startups for whom this article was 2013's wakeup call, not 2015's, to companies that need to get themselves on the ball (you have unique insigt into this coming from the public setor, Johnathan), to plenty of diverse 'niche' (they're actually pretty big) cases like TerryB describes for whom the reality is quite different.

Another interesting way I've heard this put is that no matter who you are, your business is digital now. No matter what you sell, where you are, digital is a concern for you - that's why IT is pulling double duty these days. They have to 'keep the lights on' (but better, faster, and cheaper) while also delivering innovation and being apart of new pushes. Users who used to only turn on their PC to check e-mail now expect to have all kinds of cloud-facing apps work flawlessly (from devices other than PCs) - which means you have to support them. This spills from the top all the way down to the bottom of the business, and creates endless problems to solve - Security, mission creep, you name it. All that ties back into budgeting. It's definitely fair to say this is a wheel that's due for reinventing.
Charlie Babcock
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Charlie Babcock,
User Rank: Author
1/16/2015 | 3:03:59 PM
Why services? Because on-premises installations become 'legacy systems'
There's a reason why so many things are moving to "as a service" status. A service is centralized and can be frequently updated by its owner. A dozen changes can occur to a service in the time span that it takes to convince an IT manager to make a capital expense. Once the IT manager has made the purchase, the first thing the business want to do is customize what he's purchased. That means it's a struggle for him to update the system, when the vendor gets around to issuing the new version. David Linthicum once remarked to me, when I asked when does a new, on-premises application become a legacy system: "Three minutes after it's installed." These issues don't arise with services, which come from a source under the control of the vendor.
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