Oracle report examines impact of bad cloud deployments on business results

Oracle report examines impact of bad cloud deployments on business results

Summary: Oracle's latest survey attempts to reveal "the good, the bad, and the ugly" sides of the cloud for business managers.

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The cloud comes with plenty of promises of improved productivity for fewer costs. But those dreams aren't realized half as often if the deployment and management is bad to begin with, based on a new report published by Oracle on Tuesday.

According to the report, dubbed "Cloud for Business Managers: the Good, the Bad, and the Ugly," more than half (54 percent) of businesses included in the global survey admitted that their companies have experienced downtimes over the last six months due to cloud application integration problems.

Furthermore, 54 percent of these respondents added that project deadlines were missed at the same time due to similar problems around the lack of application integration.

Operational siloes were pinpointed by researchers as a major hindrance to the effectiveness of cloud-based applications.

Approximately 83 percent of businesses said they were "prevented from getting the best out of their departmental cloud applications."

One in two respondents (53 percent) also pointed toward a lack of integration as a problem. Legacy infrastructures continue to be a hurdle as 36 percent said they couldn't integrate new cloud apps with software already owned by their companies.

The silver lining, according to the report, is that at least the vast majority of these companies have acknowledged the need for smoother integrations to actually achieve the promises of cloud computing.

The pitfall there is that nearly half them reiterated that current departmental business apps still prevent this from happening.

For reference, Oracle commissioned independent market research consultancy firm Dynamic Markets to conduct the survey.

The report is based upon 1,355 responses from companies with revenues of $65 million or more in the following markets: Australia, Brazil, China, France, Germany, Hungary, India, Italy, Nordics, Russia, Singapore, South Africa, Spain, Turkey, the United Arab Emirates, the United Kingdom, and the United States.

The full report is available online to download now.

Topics: Cloud, Apps, Enterprise Software, Oracle, Enterprise 2.0

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2 comments
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  • Bumps in the Road

    I think these things are to be expected along the way. Everyone can see the great potential in the cloud and already have big plans for it. However, it will take time for companies and users to fully understand it and to be able to harness its power. Right now there may be more efficient ways to do things but in the near future I think the cloud will be as powerful as we think it should be now.

    This is some great research to help move in that direction as well. You have to identify some problems before you can fix them!
    TechIan16
  • Interesting, Mr. TechIan16,

    You take a report that says over fifty percent of users have cloud problems and put a positive spin on it by saying it's okay, you have find problems before you can fix them.

    Every wonder why there are problems? Could it be that the cloud providers are fooling people into believing the cloud is 100% secure, never goes down, and will solve all their problems and save money at the same time?

    You state that the cloud will be "...as powerful as we think it should be now." How do you expect the major problems with the cloud to be solved? Downtime? It has happened and will continue to happen. Security? How can putting your data on a third party's machines make it more secure? Hacking? Hackers get into highly protected government sites. Government grabbing of your data? Has happened already. Increased bandwidth costs? Slower response when Internet traffic increases? Lock in to a software vendor? Etc.

    I can only shake my head in wonder that you say: "Everyone can see the great potential in the cloud..."

    Doc
    Doc.Savage