economies of scale daniel cheah of power skill group nov-2013

Economies of Scale:The Issues of your Industry in the Cloud

- Is efficiency or security more important? - Who has successfully met the challenge?

Daniel CheahDirector, Technology, PowerSkill GroupEmail: [email protected]: @danielcheahLinkedin: hk.linkedin.com/in/danielcheah

27 November 2013

What Cloud should provide:- Business Transformation process:identify changes to your business process ("what is" and "to be")migrate your data from existing systems to the cloud in a structured manner. - Utility computing (pre-defined costing, no surprises) - consistent quality of service (99.999% uptime)- proven backups, rollback service, disaster recovery site - exit-plan (how easy is it to export and remove my data?)- Data security / legal compliance / IM rules / corp policy

Cloud Myths: (from 'cloud computing myths explained' 2012)•SME focus: Cloud is good for SMEs only•PERFORMANCE: Cloud does not match in-house performance•OWNERSHIP: Cloud would make me lose control and ownership over my data•MIGRATION: Cloud migration is complex•VIRTUALIZATION: I have a virtualized IT, so I don’t need Cloud Computing

"Disruptive Innovation" case study:

SQUARE (est. 2009)https://squareup.com

Partners - VISA, MasterCard, etc

Industry: SME and Retail 2009 zero customers2012 75,000 Merchants, 1 Mil users2013 250,000 Merchants, 3 Mil users

Bills/Transactions processed:2011 US$ 2 Bil2013 US$10 Bil

Biggest client: 70,000 STARBUCKSstores in USA

Number of Cloud Software Users

Oracle 25 millionSAP 25 millionIntuit 16 millionCornerStone OnDemand 11 millionSalesforce.com 10.8 millionUltimate Software 10 millionWorkday 1.45 millionBox 180,000 companiesDropBox 200Mil usersNetSuite ERP 16,000 companies

Source: Apps Run The World, June 2013

Scale up to the CLOUD

GLOBALNetflix has more than 36 million subscribers. They watch about 4 billion hours of programs every quarter on more than 1,000 different devices.

Google made $50 billion annual revenue from adverts (with $4 billion from YouTube adverts)

211.6 million new ANDROID smartphone units sold in 3 months (Q3 of 2013)

14.1Million new IPAD sold in Q3 2013

CHINA - Mobile phone market in China•Total = 1.095 billion phones(October 2012)•Connected to high speed 3G networks = 212 million (nearly 19%) •Mobile Device users = 388 million •Use mobile device for mobile videos = 100 million users

Thank you for your time.Any questions?

27 November 2013

Daniel CheahDirector, Technology, PowerSkill GroupEmail: [email protected]: @danielcheahLinkedin: hk.linkedin.com/in/danielcheah