Mark Drasutis’ Post

A topic that has become in focus for lots of organizations is "cloud economics." The term is relevant for CIOs and IT leaders as organizations try to "control" and understand their cloud spend. CIOs are struggling with cloud spending, software licensing, and subscriptions that an organization has "accrued" for years. I ran into an interesting article on CIO.com with the title "CIOs sharpen cloud cost strategies - just as gen AI spikes loom. According to a study by Foundry, an IDG company, enterprise cloud budgets continue to increase. IT decision-makers report that 31% of their overall technology budget will go toward cloud computing, and two-thirds expect their cloud budget to increase in the next 12 months. The study also concludes that controlling cloud costs remains the top challenge IT leaders face in making the most of their cloud strategies. My eye caught this article because of the referral to Gen AI and the potential impact on cloud spending. Generative AI is still relatively new, and based on the research in AI that TELLUS International and A-CX have made in the space, we believe that organizations that want to apply any type of AI to their operations or into their software will have to consider multiple aspects and many of these go to the architectural model that the solution has. Bad architecture, bad cost model. I have run software pricing/packaging workshops through my company, TELLUS International, for large ISVs. One of the key revelations is that cost-plus pricing (we suggest value-based pricing) on a solution might lead an ISV into trouble as they realize that the architectural model of the solution consumed by the public cloud is not optimized. When we add the potential use of LLMs, RAG architectures, and other AI-related things, organizations will really have to understand the consumption patterns of the cloud and the solution. How is your organization viewing this? Mikko Peltola and I would like to hear more about how you see this trend. #generativeai #tellusint #tellusworkshops #ai #cloudarchitecture #cloudeconomics #cio #ciochallenges https://lnkd.in/dd7u2Xj4

A topic that has become in focus for lots of organizations is "cloud economics." The term is relevant for CIOs and IT leaders as organizations try to "control" and understand their cloud spend. CIOs are struggling with cloud spending, software licensing, and subscriptions that an organization has "accrued" for years. I ran into an interesting article on CIO.com with the title "CIOs sharpen cloud cost strategies - just as gen AI spikes loom. According to a study by Foundry, an IDG company, enterprise cloud budgets continue to increase. IT decision-makers report that 31% of their overall technology budget will go toward cloud computing, and two-thirds expect their cloud budget to increase in the next 12 months. The study also concludes that controlling cloud costs remains the top challenge IT leaders face in making the most of their cloud strategies. My eye caught this article because of the referral to Gen AI and the potential impact on cloud spending. Generative AI is still relatively new, and based on the research in AI that TELLUS International and A-CX have made in the space, we believe that organizations that want to apply any type of AI to their operations or into their software will have to consider multiple aspects and many of these go to the architectural model that the solution has. Bad architecture, bad cost model. I have run software pricing/packaging workshops through my company, TELLUS International, for large ISVs. One of the key revelations is that cost-plus pricing (we suggest value-based pricing) on a solution might lead an ISV into trouble as they realize that the architectural model of the solution consumed by the public cloud is not optimized. When we add the potential use of LLMs, RAG architectures, and other AI-related things, organizations will really have to understand the consumption patterns of the cloud and the solution. How is your organization viewing this? Mikko Peltola and I would like to hear more about how you see this trend. #generativeai #tellusint #tellusworkshops #ai #cloudarchitecture #cloudeconomics #cio #ciochallenges https://lnkd.in/dF9nUA3V

I just wrapped up the Digitial Transformation Course on LinkedIn Learning via my IT Strategy course and here are my three key takeaways! 1. Aligning IT with Business Goals: IT strategies should always be closely aligned with overarching business objectives to drive growth and innovation. 2. Risk Management: You can’t stop all cyberattacks, but at least you can plan for them and feel less panicked when the “Oh no!” moment happens 3. Digital Transformation: Embracing digital tools is essential for businesses to stay competitive. This involves adopting cloud solutions, data analytics, and automation. It’s like upgrading from a paper map to GPS—you could still get there the old way, but why make it harder on yourself? "work smarter not harder" 🗺️➡️📍  🌍💻 #ITStrategy #DigitalTransformation #LinkedInLearning #UpgradeYourTech

𝗡𝗮𝘃𝗶𝗴𝗮𝘁𝗶𝗻𝗴 𝗨𝗻𝗰𝗲𝗿𝘁𝗮𝗶𝗻𝘁𝘆 𝗮𝘀 𝗮 𝗖𝗹𝗼𝘂𝗱 𝗟𝗲𝗮𝗱𝗲𝗿: 𝗕𝘂𝗶𝗹𝗱𝗶𝗻𝗴 𝗗𝗲𝗰𝗶𝘀𝗶𝘃𝗲 𝗟𝗲𝗮𝗱𝗲𝗿𝘀𝗵𝗶𝗽 𝗶𝗻 𝗔𝗺𝗯𝗶𝗴𝘂𝗼𝘂𝘀 𝗦𝗶𝘁𝘂𝗮𝘁𝗶𝗼𝗻𝘀 Picture this: You're staring at your monitor at 3 AM, drowning in cloud architecture diagrams, trying to find that mythical "perfect solution." Sounds familiar? Let me save you some sleep... Here's a mind-blowing truth I learned after coaching countless tech executives: In cloud leadership, being DECISIVE is 10x more valuable than having all the details figured out. Let me share a quick story that'll blow your mind... I worked with the lead architect for an international company. He was struggling with uncertainty around a major cloud migration. Every day of delay was costing $. Ouch! But here's what changed everything... Instead of chasing perfect information (which doesn't exist - sorry, let's be real), he learned to make bold moves with 70% confidence. The result? The team completed the migration and saved extraordinary $ in operational costs. Want to know the secret sauce? Here it is: - 𝗦𝗧𝗢𝗣 trying to eliminate uncertainty (it's impossible anyway!) - 𝗦𝗧𝗔𝗥𝗧 making strategic moves with the info you have - 𝗕𝗨𝗜𝗟𝗗 a flexible roadmap that can adapt as things change - 𝗧𝗥𝗨𝗦𝗧 your experience and instincts. Look, I get it. The cloud landscape is like trying to build a house during an earthquake. But here's the thing - the most successful leaders I've worked with don't wait for perfect clarity - they create clarity through decisive action. Think about it: Every second you spend waiting for "more data" is a second your competition is moving forward. Ready to transform from a hesitant manager into a decisive cloud leader? Hit that follow button and stay tuned... #TechLeadership #TechnologyLeadership #Technology #Leadership #Innovation

The sudden decline in the investment in enterprise agility at large companies is telling, but it's not telling executive management the right things.  As I contemplate why enterprise agility at large companies, with shareholders of some kind, is lagging at the team level or if we’re lucky the multi-team level has nothing to do with agility and everything to do with how executives budget and communicate strategic intent.  Agility in itself is only a tool that executives see as a way to be more efficient, and is therefore seen as a cost cutting lever to pull, but not a thing for the executives to practice “at their level”.  I have seen executives make similar mistakes around cloud adoption.  The cloud automatically cuts cost is a harsh untruth when you rely on a lift and shift model and don’t utilize cloud native services on their solution design.  In my observation at a couple of successful transformations, the executives were a part of the change through adjusting their behaviors to be focused on outcomes, they changed how they allocated funding (away from zero based-budgeting cost centers and towards, you guessed it…outcomes) and most importantly, their communication style to shareholders and other stakeholders to be focused on outcomes.  In the many more abundant failed or stalled transformations, the executives continued to be above the change, and still promised a list of stuff on a timeline to the shareholders and other stakeholders. I am apprehensive to even consider the couple small transformations I mentioned as successes to be successful because even those successes were in pockets.  I’d be interested in people’s honest assessment of their transformational success stories to hear the real depth and breadth they go, versus how we perceive the wins in the moment.  #agilecoach #agiletransformation #agility #transforamtion #leadership

CIOs are transforming their tech organizations to deliver business value and new revenue streams by reshaping culture, processes, and team constructions — all while instilling a business-first mindset in all things IT. #business #IT #Leadership #businessITalignment #ITStratgey

Sunil Bhargava recent article on why many #DigitalTransformation fail is a must-read for any business leader navigating this complex journey! The takeaway? Successful digital transformation is not just about sweeping changes, it’s about a strategic balance between running and transforming your business simultaneously.   By embracing this dual approach, organizations can effectively manage the scale of change while ensuring continuous improvement and aligning efforts with business readiness. At Kyndryl, we’ve seen firsthand how this approach works. In particular, cloud modernization done in an agile, iterative way - such as leveraging Skytap solutions - enables organizations to modernize legacy applications without disrupting existing operations.   Transformation doesn’t happen overnight. It requires careful orchestration between innovation and business-as-usual processes. By adopting this mindset, you can drive sustainable growth while minimizing disruption.   #CloudModernization #AgileTransformation #Kyndryl #Skytap #Innovation #BusinessTransformation

🎉 Exciting news! Our CEO, Jennifer Tejada, will be a featured speaker at AWS re:invent🌟 As a leader who consistently champions innovation, resilience, and customer impact, Jennifer embodies what it means to drive digital transformation in today’s rapidly evolving world. Her insights at re:Invent will undoubtedly inspire IT and business leaders alike to embrace the power of real-time operations for building customer trust and achieving operational excellence. This is a fantastic opportunity to hear from one of the most visionary leaders in tech. If you're attending re:Invent, be sure to catch her session! 💡 Let’s connect at re:Invent—I’d love to chat about how PagerDuty is partnering with AWS to empower businesses across industries. 🚀 #Leadership #AWSreInvent #DigitalOperations #PagerDuty #Innovation

"CIOs are transforming their tech organizations to deliver business value and new revenue streams by reshaping culture, processes, and team constructions — all while instilling a business-first mindset in all things IT." Instilling a business-first mindset in all things IT requires a fundamental shift in perspective—from viewing technology as an end in itself to recognizing it as a means to drive business success. By integrating IT seamlessly into the broader business strategy and focusing on delivering tangible value, organizations can leverage technology as a strategic enabler for growth and innovation. Be sure to check out this great and informative piece from Mary Pratt. #Leadership #CIO #Transformation #BusinessValue #Culture #IT

Attention technology leaders and innovators! 🎯 Are you looking for a comprehensive resource to guide you through the challenges of modern enterprise IT? Look no further than the Enterprise Technology Leadership Journal, published biannually by IT Revolution. This open-access journal offers: ▪️In-depth articles from industry experts ▪️Cutting-edge insights on technology leadership ▪️Practical strategies for digital transformation ▪️Real-world examples and case studies Whether you're tackling AI implementation, cloud migration, or organizational change, the Enterprise Technology Leadership Journal provides the knowledge you need to succeed. Stay ahead of the curve and drive your organization's success. Access the latest issue now! #TechLeadership #EnterpriseIT #DigitalTransformation #InnovationStrategy https://itrev.io/4dFz4ik