Peter Radizeski is Founder and President of RAD-INFO INC. He is an accomplished blogalyst, speaker, author and consultant. He has helped many service providers with sales training, marketing, channel development and business strategy. He is a trusted source of knowledge about the telecom sector. His honest and direct approach make him a refreshing speaker.

Look for his innovative ideas and analysis of current technology on his blogs.

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Collision of Titans

As the hype would have you believe, the world is moving to the cloud. Well, it is happening, just not as fast as many say (or hope). For one thing, migrating software to the cloud is not as simple as some make it out to be. It takes planning, testing and executing. Not all software can be jammed in the cloud.

The move to the cloud is about being agile and competitive. Good things. However, it doesn’t happen in silos.

Gartner writes, “Organizations are undergoing major transformations – to shift to digital business, become more customer-centric, and keep pace with regulatory changes. Any transformation impacts business processes, often requiring dramatic changes to how people work. Yet over 70% of transformation initiatives fail. Process management practitioners can change that and directly contribute to the success of their organization’s initiative by applying the latest process thinking, techniques and technologies to innovate and drive change.”

You see, you don’t get competitive and productive by moving the software from a server in the back room to AWS. It doesn’t work that way. Certainly, moving your email to Office365 or Hosted Exchange or Google for Work means less headache and your IT department gets a break. But the productivity comes from time saved.

Email and shared calendar are one thing; but what about an EMR system or HRIS system or a practice management system? In telecom, service providers are looking for a softswitch based on features and integration into existing billing systems. Everything touches everything, right?

Packaged software is long gone. Businesses making decisions about the cloud have to consider a number of options: private, public, hybrid, PAAS, IAAS. Most likely a combination of these will be adopted in most environments. This leads to other issues – like Integration.

Integration is the Bane of software deployment. It is one thing to have all of the latest applications, but quite another for these apps to share information. Quite another for these apps to improve workflow.

Many service providers build out CRM, billing and provisioning systems themselves. They want it customized. They don’t want to pay a million for it. The shrink wrapped versions need too much customization. That customization is integration, work flow, user experience. Those 3 factors are what make the business agile and competitive.

After SAAS in the string of services comes BPaaS – business process as a service. This is a service oriented delivery of not just an application but a system or work flow. For example, there are a couple of companies that offer provisioning systems to overlay on your Broadsoft softswitch to allow for a single data entry point to flow through to billing and CRM. That is a business process as a service.

For years, you have seen the ads for UPS as Big Brown, the logistics experts. It is BPaaS. UPS and its army of experts are not just doing the shipping, but the logistics, the transportation and the efficiency studies for companies like COSTCO, Ford, Frito-Lay.

As Adweek explains, “UPS went public at $50 per share–the biggest IPO Wall Street had ever seen. Its corporate pockets suddenly bulging with $5.47 billion, the company went shopping, snapping up a slew of finance, brokerage and international trading firms. Eventually 40 companies melted into UPS, a consolidation that transformed the corporation from a package-delivery brand into a behemoth of logistics (a fancy term for moving both goods and information through a supply chain).”

BPaaS doesn’t have to be that extensive (or outsourced). Broadsoft is trying to deliver on more than just a hosted softswitch with BroadCloud. IDEA2 is deploying more than a SugarCRM replica with its Sasquatch.

The next step isn’t to just jam your software in a cloud computing environment and call it done. The move to cloud should be the opportunity to improve on the business, getting efficient, re-imagine, digitize and innovate the customer experience and the employee experience. What do you think about that?

The clash of titans we are seeing is the one side (A) replace what we have with a cheaper version in a cloud clashing with (B) most software deployments fail to delivery desired outcomes. Disruption in every industry is happening while companies deal with talent (human resources) acquisition/retention, technology (deployment, skills, training), sales, price/revenue compression, Wall Street demands, and much more.

You are doing yourself a disservice if you simply take your current software and jam it into a container in a data center. This is the time to examine your processes, work flow, systems to see what can be done differently, better, efficiently while matching business goals with user experience (customers and employees). Tall order. A Collision of Titans.

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    Apex Technology Services
    Sponsored by Apex Technology Services, a leading IT Services company

    Collision of Titans

    As the hype would have you believe, the world is moving to the cloud. Well, it is happening, just not as fast as many say (or hope). For one thing, migrating software to the cloud is not as simple as some make it out to be. It takes planning, testing and executing. Not all software can be jammed in the cloud.

    The move to the cloud is about being agile and competitive. Good things. However, it doesn’t happen in silos.

    Gartner writes, “Organizations are undergoing major transformations – to shift to digital business, become more customer-centric, and keep pace with regulatory changes. Any transformation impacts business processes, often requiring dramatic changes to how people work. Yet over 70% of transformation initiatives fail. Process management practitioners can change that and directly contribute to the success of their organization’s initiative by applying the latest process thinking, techniques and technologies to innovate and drive change.”

    You see, you don’t get competitive and productive by moving the software from a server in the back room to AWS. It doesn’t work that way. Certainly, moving your email to Office365 or Hosted Exchange or Google for Work means less headache and your IT department gets a break. But the productivity comes from time saved.

    Email and shared calendar are one thing; but what about an EMR system or HRIS system or a practice management system? In telecom, service providers are looking for a softswitch based on features and integration into existing billing systems. Everything touches everything, right?

    Packaged software is long gone. Businesses making decisions about the cloud have to consider a number of options: private, public, hybrid, PAAS, IAAS. Most likely a combination of these will be adopted in most environments. This leads to other issues – like Integration.

    Integration is the Bane of software deployment. It is one thing to have all of the latest applications, but quite another for these apps to share information. Quite another for these apps to improve workflow.

    Many service providers build out CRM, billing and provisioning systems themselves. They want it customized. They don’t want to pay a million for it. The shrink wrapped versions need too much customization. That customization is integration, work flow, user experience. Those 3 factors are what make the business agile and competitive.

    After SAAS in the string of services comes BPaaS – business process as a service. This is a service oriented delivery of not just an application but a system or work flow. For example, there are a couple of companies that offer provisioning systems to overlay on your Broadsoft softswitch to allow for a single data entry point to flow through to billing and CRM. That is a business process as a service.

    For years, you have seen the ads for UPS as Big Brown, the logistics experts. It is BPaaS. UPS and its army of experts are not just doing the shipping, but the logistics, the transportation and the efficiency studies for companies like COSTCO, Ford, Frito-Lay.

    As Adweek explains, “UPS went public at $50 per share–the biggest IPO Wall Street had ever seen. Its corporate pockets suddenly bulging with $5.47 billion, the company went shopping, snapping up a slew of finance, brokerage and international trading firms. Eventually 40 companies melted into UPS, a consolidation that transformed the corporation from a package-delivery brand into a behemoth of logistics (a fancy term for moving both goods and information through a supply chain).”

    BPaaS doesn’t have to be that extensive (or outsourced). Broadsoft is trying to deliver on more than just a hosted softswitch with BroadCloud. IDEA2 is deploying more than a SugarCRM replica with its Sasquatch.

    The next step isn’t to just jam your software in a cloud computing environment and call it done. The move to cloud should be the opportunity to improve on the business, getting efficient, re-imagine, digitize and innovate the customer experience and the employee experience. What do you think about that?

    The clash of titans we are seeing is the one side (A) replace what we have with a cheaper version in a cloud clashing with (B) most software deployments fail to delivery desired outcomes. Disruption in every industry is happening while companies deal with talent (human resources) acquisition/retention, technology (deployment, skills, training), sales, price/revenue compression, Wall Street demands, and much more.

    You are doing yourself a disservice if you simply take your current software and jam it into a container in a data center. This is the time to examine your processes, work flow, systems to see what can be done differently, better, efficiently while matching business goals with user experience (customers and employees). Tall order. A Collision of Titans.

    Tags: , , , , , ,
    Related tags: , , , , ,

    Related Entries

  • The Dip for Channel PartnersJul 08, 2015
  • Merger Noise in JuneJun 09, 2015
  • Broadsoft Buys LeonidJan 13, 2015
    bsft-portal.jpg
  • Cloud Should Transform BusinessJun 05, 2014
  • Easing into Cloud ServicesJun 05, 2014
    tdsmb.jpg
  • Savvis and Verizon Go Head to HeadOct 10, 2013
  • How Many VARs Are There AnywayJul 31, 2013
  • Channel Conflict on the RiseJun 04, 2013
  • 14 Words on CloudNov 02, 2012
  • Cloud Will Be About IntegrationSep 21, 2012
    parallels_ecosystem.jpg
  • TrackBacks
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    Apex Technology Services
    Sponsored by Apex Technology Services, a leading IT Services company

    The Monitoring Master Move

    This week marks the second master agency that has decided to get into monitoring. It seems like a bold move to go from back office sales support to resemble a NOC (network operations center).

    In the case of Telarus, they bought the company and are pushing it out to their partners. Telarus has some IT skills in the software space – building and running GeoQuote.

    In the case of Sandler Partners, they are white-labeling ZeroOutages.

    It is interesting to me that masters have been chasing the VARs for the last five years, pretty aggressively – and now choose to compete with them.

    VARs have been offering RMM (remote monitoring and management of PCs and servers, switches, firewalls and other devices) for years. The big names in RMM – Kaseya, Level Platforms and N-able – have all been acquired by companies that realize an integrated approach to managed IT services is needed. SolarWinds (which bought N-able) offers a platform to automate this for VARs.

    Carriers offered managed routers, which provide passive, automated monitoring of the circuit. (Also, passive, automated ticketing with this service. I won’t rant about it today.) It is an inexpensive upgrade that provides the router (CPE) for the customer.

    If you are chasing VARs and now offer a service that they offer – one probably integrated into the system that they use for running their business – you might find that the VAR goes elsewhere. In the hyper-competitive marketplace we exist in, everyone is trying to resemble an MSP.

    Master Agencies are struggling to figure out what the sub-agents want from them. (I don’t know why they don’t ask instead of guess.)

    Some masters are going direct with call centers and national sales teams to drive revenue with higher margin (and to help alleviate the pressure of humongous quota.) Some are adding monitoring. It’s fluid right now. Be interesting to see what shakes out.

    Interesting to see how the monitoring affects circuit sales and managed services sales of the carriers – and how that ripples into a struggle at quota – and a scuffle with the carrier becoming a dumber pipe, something they are fighting, kicking and screaming.

    Resources:

    Good explanation between PSA and RMM tools.

    A list of free network monitoring tools from GFI.

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    Open Source in the Service Provider

    At ITEXPO in Anaheim in October, I moderated two panels on Open Source in the Service Provider. The content was so good (read Alan Percy’s summary here) that we got back together to record it as a podcast that you listen to now (or download here).

    The conversation centers around a study that Dialogic commissioned about service providers and their attitude towards open source software. The panelists are Alan Percy from Dialogic; Netsapiens CEO Anand Buch; and XO’s Matt Bateman. I moderated. Take a listen.

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    Fuze Joins ThinkingPhones

    Announced on twitter probably before anywhere else: ThinkingPhones buys Fuze.

    Formerly known as Thinking Phone Networks, ThinkingPhones is a Hosted UC company with $88 million in venture money. They used some of those funds to buy a video conferencing company, Fuze, to add video to their portfolio.

    “Based in San Francisco with additional offices in Palo Alto and Seattle, Fuze helps distributed teams work across distances through HD-quality voice and video conferencing and content sharing across devices, desktops, and meeting rooms. More than 100,000 companies use Fuze to make meetings more meaningful, including Groupon, Starbucks, Macys.com, and Thoughtworks.” [Y!]

    “Prior to the acquisition, San Francisco-based Fuze raised $68.5 million!” Lot of combined VC money there. Let’s hope the bet to add Fuze to the UC bundle will pay off in ThPh’s “vision for unifying communication in the enterprise”.

    Apparently, it is a scale-able platform. “The Fuze team has built a powerful video conferencing platform utilized by more than 6.5 million users,” added Derek Yoo, co-founder and CTO of ThinkingPhones. [pr]

    This is ThPh’s third acquisition in the past year. They bought Whaleback and Contactive.

    “Within the first half of 2015, ThinkingPhones saw a 150 percent increase in net new customer sales over the first half of 2014. The company grew its physical presence, with new office locations in New York City; London; Paris; Copenhagen; Zurich; and Aveiro, Portugal as part of its continued global expansion strategy. With 300 new hires joining the company between January and September, the company also raised its total headcount to more than 550 employees globally.” [pr]
    That is a lot of people!! 550 at $100K in rev per employee is at least $55M in annual revenue for ThPh.

    Always nice to see M&A in the sector.

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