Cloud and “As-A-Service”: Transforming Commercial and Contract Models

Cloud

28 Sep Cloud and “As-A-Service”: Transforming Commercial and Contract Models

Cloud is starting to shake up procurement models and the mindset for large corporations like never before.

Cloud is starting to shake up procurement models and the mindset for large corporations like never before. It is changing the pricing models, the performance metrics, the risk allocation, and the way in which services are “procured” – and the very nature of the relationship between large corporations and their vendors. Most importantly, it is changing our view of “what does success look like?”

Cloud services are starting to replace some of the functions that have traditionally been performed “on premises”.  Going to the end game, cloud is turning all kinds of business functions into “As-A-Service” –  back-office functions, production processes, supply chain management and customer-facing operations. It is driving the growth of the “As-A-Service” economy.

We can’t dismiss cloud and the “As-A-Service” economy as just being “commodity”. Cheaper IT infrastructure, platforms and storage are just one part of it.  Cloud is providing us with new tools to drive far greater innovation and differentiation than ever before.

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