Survey Finds Op Siloes is the Key Hindering Effectiveness of Cloud Apps

Oracle Corporation, the world's leading IT solution provider, today shares the findings on a research survey report titled “Cloud for Business Managers: the Good, the Bad, and the Ugly”.

The independent market research report by Dynamic Markets details interviews with 1,355 senior decision makers from businesses globally. Respondents were selected from a wide range of business functions including R&D, Sales/Commerce/E-commerce, Marketing, CRM, Finance and HR. The results showed that operational silos are often preventing organizations from realizing the promise of improved business performance. Businesses have not yet adequately integrated their cloud applications across their business functions. Due to this, many have reported operational inefficiencies and challenges around innovation.

Key results:-
  • 54 percent of respondents say their department has experienced staff downtime in the last six months due to cloud integration problems.
  • 52 percent of businesses have suffered from missed deadlines and 75 percent have had their ability to innovate impaired by poor integration of their cloud applications, which has left applications isolated from the rest of their business functions.

Other findings

i) Application siloes proving a challenge for innovation: The vast majority of businesses have been prevented from getting the best out of their departmental cloud applications due to the poor integration with other applications.

ii) Promise of cloud failing to materialize due to business process siloes: Businesses stated that their motivation behind deploying cloud applications was to get quick access to software, while only less than half of the respondents get access to more appropriate software for their department. This contrasts dramatically with the reality of their experience and highlights the importance of getting business processes and applications out of organizational siloes.

iii) Businesses aiming for better application integration: Majority of businesses have recognized the need to better integrate business functions and applications.

Rex Wang, VP of Product Marketing, Oracle

Organizations are looking to the cloud to change not only how they buy and consume IT, but also how cloud actually impacts the business. In fact, one of the main drivers for organizations deploying cloud applications is to improve operational agility and effectiveness. “Cloud applications have the power to dramatically improve business performance while reducing costs, but only if they can work across the business. Subscribing to a cloud service may be relatively straightforward, but how this application fits in with the rest of the enterprise, including on-premise systems and other cloud applications must be thought through,” said Rex Wang, vice president of product marketing, Oracle.