IT Brief Australia logo
Technology news for Australia's largest enterprises
Story image

Assessing why the A/NZ cloud market is still ‘cloudy’

By Patrick Martlew
Wed 28 Feb 2018
FYI, this story is more than a year old

Article written by Unit4 A/NZ director Daniel Ussher.

The rate of cloud adoption in the A/NZ market has been rising exponentially. Recent research found that the majority of A/NZ IT decision-makers expected the budget for cloud services to increase comparing 2016 and 2017. Moreover, according to a Telsyte survey, more than a third of Australian businesses now have a ‘cloud-first’ policy; this effectively removes various restrictions on cloud use and drives further uptake.

Yet despite the optimism demonstrated by many CIOs, the actual process of cloud adoption among large organisations, in particular, is slow.

How the market has changed in favour of the customer

Today we have entered a new reality where the customer expects and should get more than what they pay for. In today's service economy, world-class technology and platforms are no longer the exclusive domain of a handful of large corporations. The playing field of software and technology has largely been levelled, also giving way to micro-service based applications that are specialised in doing one thing very well, and we will continue on that path.

This means that a company's success will hinge far less on its access to software and technology, and far more on the most effective use and execution of the features that technology provides. In other words, companies that deploy technology in a way that helps their customers succeed will win in the long term.  

This increasingly dramatic shift is also being defined by a revolution in customer knowledge. In many cases, customers are as knowledgeable, or even more knowledgeable about the specific technologies that will deliver the industry value they need.

Companies and developers that are able to produce the deepest understanding of customer needs and expectations -- and subsequently execute on those needs and expectations -- will fare well in the coming years. Moreover, those who are able to quickly and efficiently replicate this process over and over again for multiple customers will lead their respective industries and sectors.

Cloud could free you from your ERP shackles

As an industry, ERP traditionally has a reputation for letting customers down. While the old legacy ERP business model was attractive for vendors, it did not always serve the customer well. They typically bore most of the risk and sometimes waited years for real results to be delivered. Since a handful of very large vendors dominated the ERP market, there wasn’t much competition, which meant that customer service was not their first focus.

In fact, the sentiment from some of these vendors has been more or less, "Take it, or leave it." As more choice becomes available to organisations thanks to cloud, that approach will not be accepted by customers for much longer.

Those days when vendors could make money from customers by resolving complexity they have created in their systems are over. But the problem for a lot of large organisations today is that they are heavily invested in their ERP solutions. ERP is a complex system often consisting of hundreds of thousands of interdependent database tables.

Organisations that rely on complex ERP implementations that meet very specific business requirements need to find a balance between the sector-specific functionality that they need, and the ease of implementation and ongoing access to new innovation the supplier is offering.

Where to from here?

When it comes to ERP systems, cloud has become the go-to for most decision-makers. However, with so many options available in the market, partnering with the right provider can be a daunting task. With an abundance of overhauled projects exposed in the A/NZ media recently, this only reinforces the importance for CIOs to consider carefully what they should look for and avoid when selecting their ERP provider.

It is crucial that CIOs have full visibility of the project they’re aiming to undertake before selecting providers and that they work to reasonable timelines. When it comes to moving ERP to the cloud, a company’s worst nightmare would be to waste thousands (if not millions) of dollars on a project because their IT decision makers took the wrong route.

Unfortunately, this is something that is too familiar in A/NZ. We’ve seen numerous upgrade failures, Proof of Concept’s gone wrong and implementation write-offs in Australia alone.

ERP today is moving away from the one-size-fits-all approach that companies used to accept, and we are seeing a move back to a best-in-class approach to application infrastructures, and the emergence of packaged end-to-end industry-specific cloud solutions.

While there are many benefits to moving applications and data to the cloud, a one-size-fits-all approach to cloud doesn’t exist either. Traditional on-premises ERP systems are not always the most suitable to move to a cloud deployment model, as the architecture may be prohibitive no matter how it is deployed.

If the system can’t adapt to meet changing business requirements easily, and upgradability isn’t significantly improved by moving to the cloud, organisations risk wasting millions of dollars related to business disruption and the cost of change over time. For companies that don’t consider their real present and future needs, the chances of failure are high.

Related stories
Top stories
Story image
Thales on recruitment hunt for next disruptive innovations
"Recruiting new talent is part of Thales's belief in the power of innovation and technological progress to build a safer, greener and more inclusive world."
Story image
Palo Alto Networks' cloud security platform receives IRAP assessment
"We provide help protect all forms of compute, cloud native services and access to data within public and private sectors."
Story image
Jamf introduces new content filtering solution for education providers
Jamf has announced the launch of Jamf Safe Internet, a new offering that looks to deliver a safe online experience to students while offering better management options for admins.
Story image
Video: 10 Minute IT Jams - An update from Paessler
Sebastian Krüger joins us today to discuss how unified infrastructure monitoring enables MSPs to seamlessly deliver services to their clients.
Story image
Tech job moves
Tech job moves - Bitdefender, Cohesity, Fortinet & MODIFI
We round up all job appointments from June 27-30, 2022, in one place to keep you updated with the latest from across the tech industries.
Story image
SentinelOne integrates with Torq to empower security teams
"With Torq, security teams can extend the power of SentinelOne to systems across the organisation to benefit from a proactive security posture.”
Story image
Artificial Intelligence
Siemens expands NVIDIA partnership for industrial metaverse
Siemens is expanding its partnership with NVIDIA to enable the industrial metaverse and increase the use of AI-driven digital twin technology.
Story image
Digital Fingerprint
Decline in counterfeit cherries after digital fingerprinting
Reid Fruits says there’s been a dramatic decline in counterfeit products for its cherries over the past three export seasons to Asia because of digital fingerprinting.
Discover the 5 ways your ERP may be letting you down. Is your current system outdated, difficult to manage, and costing you a fortune?
Link image
Story image
Artificial Intelligence
Eight top DevSecOps trends to support IT innovation in 2022
The use of DevSecOps practices is growing, as it is increasingly seen as the best way to produce high-quality and secure code. So what are the current trends?
Story image
Without trust, your security team is dead in the water
The rise of cyberattacks has increased the need for sound security that works across any type of business, but with any change, buy-in is essential. Airwallex explains why.
Story image
How the metaverse will change the future of the supply chain
The metaverse is set to significantly change the way we live and work, so what problems can it solve in supply chain management?
Story image
Progress launches latest version of network visibility solution
In Flowmon 12 network solution, Progress has expanded its support for public cloud provider flow log monitoring and launched new features.
Story image
Enterprise Resource Planning / ERP
Five ways your ERP is letting you down and why its time for a change
Wiise explains while moving to a new system may seem daunting, the truth is that legacy systems could be holding your business back.
Story image
New VMware offerings improve cloud infrastructure management
VMware has unveiled VMware vSphere+ and VMware vSAN+ to help organisations bring benefits of the cloud to existing on-prem infrastructure.
Story image
Tech and data’s role in the changing face of compliance
Accenture's study found that 93% of respondents agree or strongly agree new technologies such as AI and cloud make compliance easier.
Story image
How Airwallex helps businesses achieve globalisation success
As markets continue to shift, businesses need to be able to provide the same quality of service for customers regardless of where they are located around the world.
Story image
State Library of Victoria
State Library of Victoria entrusts Oracle support and security to Rimini Street
“Our finance team are very happy with the support and security that Rimini Street provides, which keeps our assets and our customers secure."
Story image
Four things wholesale distributors need to consider for FY2023
In a post-pandemic world, there are many things for a distribution business to juggle. ERP solutions company Wiise narrows down what companies should focus on.
Project management
Discover the 4 crucial factors for choosing the right job-costing solution. Is your team struggling to cost jobs and keep projects running on budget?
Link image
Story image
Dicker Data
EXCLUSIVE: Why women in IT makes good business sense - Dicker Data
The Federal government wants to bolster female participation in the tech industry to at least 40% by 2030. Here's how one homegrown Australian company has already reached that goal.
Story image
How New South Wales state departments achieved cloud migration success
State departments in New South Wales are heading to the cloud to achieve better workflow solutions, and one company is paving the way for their success.
Story image
Industry-first comprehensive risk-based API security enhances protection
Application Programming Interfaces (APIs) have become a crucial part of operating web and mobile application businesses and are causing significant economic growth in the digital sector.
Story image
Appian unveils low-code certification program in Australia
Appian has announced a program to provide the next generation of low-code developers with access to education on the subject and certification to foster career opportunities.
Story image
Artificial Intelligence
Salesforce announces new innovations for financial services
Salesforce has launched expanded financial services that offer more targeted and trusted automation to help teams unlock insights, deliver better customer service, and drive operational efficiencies.
WSLHD and PwC’s Consulting Business came together to solve through the challenges of COVID-19. A model of care was developed to the NSW Health Agency for Clinical Innovation guidelines with new technology platforms and an entirely new workforce.
Link image
Story image
Intel Labs unveils integrated photonics research advancement
"This new research demonstrates that its possible to achieve well-matched output power with uniform and densely spaced wavelengths."
Story image
Businesses unprepared to defend against ransomware attacks
Ransomware attacks continue to impact organisations worldwide with high costs, but businesses are still largely unprepared.
Story image
Artificial Intelligence
Vectra AI named as AWS security competency partner
Threat detection and response company Vectra AI has announced that it has become an Amazon Web Services Security Competency Partner.
Story image
Artificial Intelligence
Juniper study reveals top AI trends in APAC region
Juniper's research shows an increase in enterprise artificial intelligence adoption over the last 12 months is yielding tangible benefits to organisations.
Story image
Four factors to consider when choosing the right job accounting solution
Progressive job-based businesses can achieve success by strengthening their ability to quantify every cost attributable to the delivery of an outcome for a customer.
Story image
Delinea’s Joseph Carson recognised with OnCon Icon Award
Delinea chief security scientist and advisory CISO Joseph Carson has been recognised as a Top 50 Information Security Professional in the 2022 OnCon Icon Awards.
Story image
Online shopping
Consumers want speed, visibility in return for brand loyalty
72% of Australian shoppers want complete online order visibility and 63% are loyal to retailers who deliver goods the fastest.
Story image
BT builds on Equinix partnership with new cloud offering
BT has launched a next-generation cloud connectivity offering extending its global network into strategic carrier-neutral facilities (CNFs) and building on its existing partnership with Equinix.
Story image
Monitors are an excellent incentive for getting employees back
The pandemic has taught us that hybrid working is a lot easier than we would’ve thought, so how can the office be made to feel as comfortable as home? The answer could be staring you in the face right now.
Story image
Identity and Access Management
Ping Identity named a Leader in Access Management
Ping Identity has been named a leader in the 2022 KuppingerCole Leadership Compass report for Access Management. 
Supply chain
Discover the 4 critical priorities for wholesale distribution businesses in FY23. Are you worried about how supply chain issues may affect your business in 2023?
Link image
Story image
Voice recognition
Renesas and Cyberon expand services with voice recognition
“We are honoured to collaborate with Renesas to simplify the development of embedded voice recognition functions."
Digital Transformation
Discover the 5 signs your business is ready for a cloud-based ERP. Is your business being left behind as more of your competitors switch to the cloud?
Link image
Story image
What brands can expect from Amazon Prime Day in Australia
Amazon Prime Day is the annual two-day shopping event, kicking off this year from July 12-13 and is the global online shopping platform's biggest sales event. 
PwC's Consulting Business and PwC's Indigenous Consulting are proud to play an important role in helping Australian Indigenous Mentoring Experience build IMAGI-NATION, a free online university for marginalised communities around the world.
Link image
Story image
Data Protection
Five signs your business is ready to move to the cloud
Many organisations are thinking about moving to the cloud. But what are the signs you are ready, and what are the reasons to move?
Story image
The next stage for 5G in thermal materials - IDTechEx
IDTechEx says higher frequency deployments, such as mmWave devices and very different station types such as small cells, present their own technological evolution and, with it, thermal challenges. 
Story image
Artificial Intelligence
Accenture shares the benefits of supply chain visibility
It's clear that gaining better visibility into the supply chain will help organisations avoid excess costs, inefficiencies, and complexity to ultimately improve their bottom line.