Public Cloud requires IT procurement paradigm shift
Conclusion: With the migration to complex hybrid sourcing strategies, traditional IT organisations based on ‘plan/build/run’ models won’t be suitable for acquiring public cloud services in an increasingly changing market. This is due to vague understanding of service total cost of ownership and limited contract negotiation skills. IT organisations wishing to rely on external services must evolve to ‘plan/procure/govern’ structure to emphasise strategic service planning and hire specialised service procurement skills. This paradigm shift requires CIOs to restructure IT procurement with a view to run it as-a-service to other IT groups and business lines.