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Cloud Computing: Most New Manufacturing Apps are On-Premise with “Cloud Also” Hooks
Two-thirds of global manufacturing are using the cloud for at least two of their applications. 66 percent are making some use of the public cloud and 68 percent are using a private cloud, according to a report from IDC.
IDC identifies two approaches for new application architectures today. A ‘cloud first’ approach assumes that as much as possible of an application will be built in the cloud. Only when there is some clear reason that a particular capability of the application is determined to not be suitable for the cloud. The opposing approach is called ‘cloud also’ where an application is built to work primarily on-premise but can be enhanced by adding hooks that allow access to some cloud capabilities.
The report finds that the predominant thinking for all new manufacturing apps is ‘cloud also’. Not all groups within engineering businesses see the advantages of a cloud architecture. Only about a third of manufacturing businesses say that the benefits of using the cloud will apply to operations, supply chain and logistics, sales, or engineering functionality.
Kimberly Knickle, research director of IDC Manufacturing Insights, said that “manufacturers are in the midst of a digital transformation, in which 3rd platform technologies are absolutely essential to the way they do business and in the products and services they provide to their customers. Consequently, a strategic approach to adopting cloud is absolutely essential. Because of cloud’s tremendous value in making IT resources available to the business based on business terms –speed, cost, and accessibility- manufacturers must ensure that the line of business and IT management work together in defining their requirements.”
One area like to result in more interest in the cloud by manufacturers is the use of IP-based connectivity for manufacturing operations and to enable use of Internet of Things.
