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Fiscal Priorities Driving Cloud ITSM Adoption

03/05/2014 by: The SunView Team

Advanced IT service management systems are becoming a priority for many businesses, and plenty of companies are turning to the cloud to gain access to ITSM capabilities while keeping costs under control. Many businesses are beginning to embrace cloud-based ITSM solutions as they work to balance innovation with cost challenges. A recent study from TechNavio predicted that revenues in the cloud-based ITSM sector will rise at a compound annual growth rate of approximately 16.82 percent for the period of 2013 through 2018.

Looking at the Reasons Many Companies are Turning to Cloud ITSM Systems

Expansion across the cloud ITSM sector is driven by a variety of factors, creating a solid foundation for expansion moving forward. According to the study, economic conditions are one of the greatest factors pushing businesses toward the adoption of cloud ITSM solutions.

Economic Challenges: Fiscal challenges are pushing many businesses to invest in strategic technologies that help them get ahead of competitors and generate new revenue opportunities. However, finding the money to invest in and manage these technologies can be difficult. On top of all this, effectively optimizing applications and services is necessary for companies that want to create opportunities for profit.

Because of this, the solutions that manage services and improve the end-user experience are often an important component of revenue generation. ITSM solutions accomplish this, but some ITSM systems can be cost prohibitive. This is where the cloud comes into play, as cloud-based ITSM solutions give organizations the functionality they need to support functions like change and release management without the software and hardware overhead that may come with a non-cloud solution.

Mobile Devices: Widespread mobile device use is also contributing to increased investments into cloud ITSM solutions, the study explained. The bring-your-own-device movement and other mobile-focused trends put more pressure on application architectures because they require services be configured to support diverse hardware configurations and application setups.

Diversity is a major challenge for developers because it forces them to adjust programming code to fit the nuances of different operating systems and the limitations of a wide range of hardware setups. The varied programming foundation necessary for mobile applications running on different devices means that the likelihood of glitches is also extremely high. This means that incident, problem and change requests can increase substantially and advanced service management tools are needed. A cloud-based ITSM solutions delivers this functionality in a cost-efficient package.

Cloud ITSM solutions are also portable, giving IT leaders access to the service management solutions they need on mobile devices. This flexibility can prove invaluable as businesses become more dependent on mobile devices, especially as cloud capabilities enable service desk personnel to respond to incidents more effectively and using any device that can access the network.

Considering Barriers to Cloud ITSM Adoption

While many prevailing business trends are pointing companies to the cloud, the TechNavio study also found that some barriers exist in the sector. Integration, in particular, is among the greatest issues facing organizations considering a cloud ITSM investment. Many businesses with existing ITSM platforms are struggling to figure out the best ways to implement cloud-based solutions that work well beside their current architectures.

Integration is a prominent problem in the cloud segment and something many organizations are working to deal with. One way to combat this problem is to avoid investing in an overly complex ITSM system that adds complications without creating more value. In many cases, simple, focused ITSM solutions that offer full functionality, but do not rely on businesses depending extensively on consultants, can be beneficial in this area. This is especially true as companies turn to the cloud, as elegant simplicity is made even more valuable by flexible cloud service delivery models.