Click here to close now.

Welcome!

SOA & WOA Authors: Marty Puranik, Elizabeth White, Max Katz, Liz McMillan, Pat Romanski

Related Topics: Cloud Expo, SOA & WOA

Cloud Expo: Blog Post

The PaaS Supply Chain

What kind of supply chain approach will win in PaaS?

In many cases, the end of the year gives you time to step back and take stock of the last 12 months. This is when many of us take a hard look at what worked and what did not, complete performance reviews, and formulate plans for the coming year. For me, it is all of those things plus a time when I usually get to catch up on my sadly neglected reading list. First up on my reading list this year: Clockspeed : Winning Industry Control in the Age of Temporary Advantage by Thomas Fine.

I am sure many of you have either read Clockspeed yourself or heard it mentioned in various circles. I am fast approaching the end, and while the book itself is not new (originally published in 1999), it seems, based on my own impressions and several other notable reviews, that the lessons of this piece are timeless.

I'm not going to do much justice to the book in just a couple of sentences, but for those of you not familiar with this work, here is a bit of background. The main premise put forward by Fine is that any competitive advantage a business holds is temporary. How temporary depends on the clockspeed of the particular industry in which the business competes, and as you might imagine these speeds vary widely across industries. In light of all advantage being temporary, Fine contends that a company's supply chain is the single most important competency it holds.

Fine provides ample reasoning behind his theory that a company's supply chain is their golden nugget. More interestingly, Fine backs his beliefs with concrete case study data from business history. For me, the most interesting case study is that of the IBM personal computer -- I am an IBMer after all. Fine recounts the events that lead up to IBM competing in the personal computer market, and then focuses on IBM's decisions regarding how to compete in that market.

Specifically, he notes IBM's seemingly conscious decision to take a modularized approach to delivering the PC. The supply chain included parts built within IBM, but importantly, not every part came from within IBM. Most notably, IBM chose to go with processors from Intel and operating systems from Microsoft. In choosing this horizontally integrated approach to building the PC, IBM opened the door for a larger number of competitors to enter the market. These competitors came in, built IBM compatible PCs, and eventually eroded IBM's dominance in this market. Why? Fine argues that consumers evolved to care more about what was on the inside of the PC (specifically the Microsoft operating system and Intel processors), and less about who built the box to house these components.

While this is an interesting bit of history, I believe we are coming upon a point of time when this may repeat itself all over again. This time the subject of interest will not be the PC, but instead, PaaS solutions. Last week, I talked about different approaches for delivering PaaS solutions. Looking back at those different models in the context of supply chain management, I suppose I could characterize them as being vertical (depth in deployment/management capabilities), horizontal (breadth in deployment/management capabilities), and hybrid (depth & breadth in deployment/management capabilities).

The question is which of these approaches will be the first winner in the PaaS market? As I said last week, in a perfect world, the hybrid approach would win out, but I believe we are far off from anyone being able to deliver something viable in this mold.  So, will it be horizontally or vertically composed PaaS solutions that become the first dominators?

The story above may seem to argue against the horizontal approach, but the fact is, this is just one anecdote from a book packed with them. Fine is careful to point out that supply chains with a vertical orientation are appropriate in some cases, while in other cases the horizontal approach wins out. Even then, the orientation chosen by the industry is not a decision made once and never revisited. Fine explains that a vertically oriented industry is under constant pressure to reorganize horizontally, while the inverse holds true for horizontally oriented industries.

That said, the PaaS industry has some interesting decisions to make. No one in the industry wants to risk becoming simply ‘the box' that manages the crucial components, nor would they want to deliver a solution lacking critical capability because no one company can develop all capabilities in-house. While the answers here are not easy, the current state of the market seems to be leaning heavily towards a vertical orientation.

Most of the PaaS solutions we see now concentrate on providing operational depth for application platforms at the expense of providing breadth. In my opinion, this seems like the right approach for this largely nascent market. In trying to gain traction and attract a community of users, PaaS solutions need to provide clear and ‘instant' value for those users. It is hard to do this if you cannot narrow in on a specific subset of use cases.

As PaaS works into the mainstream over the coming years, the supply chain approach taken by these solutions providers will be interesting to watch. Will vertical orientation continue to dominate the early PaaS years? Who will be the first leader to shift towards horizontal orientation, and what will the ramifications be? All of these are interesting questions and ones that only time will tell.

More Stories By Dustin Amrhein

Dustin Amrhein joined IBM as a member of the development team for WebSphere Application Server. While in that position, he worked on the development of Web services infrastructure and Web services programming models. In his current role, Dustin is a technical specialist for cloud, mobile, and data grid technology in IBM's WebSphere portfolio. He blogs at http://dustinamrhein.ulitzer.com. You can follow him on Twitter at http://twitter.com/damrhein.

@ThingsExpo Stories
One of the biggest impacts of the Internet of Things is and will continue to be on data; specifically data volume, management and usage. Companies are scrambling to adapt to this new and unpredictable data reality with legacy infrastructure that cannot handle the speed and volume of data. In his session at @ThingsExpo, Don DeLoach, CEO and president of Infobright, will discuss how companies need to rethink their data infrastructure to participate in the IoT, including: Data storage: Understanding the kinds of data: structured, unstructured, big/small? Analytics: What kinds and how responsiv...
The Workspace-as-a-Service (WaaS) market will grow to $6.4B by 2018. In his session at 16th Cloud Expo, Seth Bostock, CEO of IndependenceIT, will begin by walking the audience through the evolution of Workspace as-a-Service, where it is now vs. where it going. To look beyond the desktop we must understand exactly what WaaS is, who the users are, and where it is going in the future. IT departments, ISVs and service providers must look to workflow and automation capabilities to adapt to growing demand and the rapidly changing workspace model.
Since 2008 and for the first time in history, more than half of humans live in urban areas, urging cities to become “smart.” Today, cities can leverage the wide availability of smartphones combined with new technologies such as Beacons or NFC to connect their urban furniture and environment to create citizen-first services that improve transportation, way-finding and information delivery. In her session at @ThingsExpo, Laetitia Gazel-Anthoine, CEO of Connecthings, will focus on successful use cases.
Sensor-enabled things are becoming more commonplace, precursors to a larger and more complex framework that most consider the ultimate promise of the IoT: things connecting, interacting, sharing, storing, and over time perhaps learning and predicting based on habits, behaviors, location, preferences, purchases and more. In his session at @ThingsExpo, Tom Wesselman, Director of Communications Ecosystem Architecture at Plantronics, will examine the still nascent IoT as it is coalescing, including what it is today, what it might ultimately be, the role of wearable tech, and technology gaps stil...
Almost everyone sees the potential of Internet of Things but how can businesses truly unlock that potential. The key will be in the ability to discover business insight in the midst of an ocean of Big Data generated from billions of embedded devices via Systems of Discover. Businesses will also need to ensure that they can sustain that insight by leveraging the cloud for global reach, scale and elasticity.
The Internet of Things (IoT) promises to evolve the way the world does business; however, understanding how to apply it to your company can be a mystery. Most people struggle with understanding the potential business uses or tend to get caught up in the technology, resulting in solutions that fail to meet even minimum business goals. In his session at @ThingsExpo, Jesse Shiah, CEO / President / Co-Founder of AgilePoint Inc., showed what is needed to leverage the IoT to transform your business. He discussed opportunities and challenges ahead for the IoT from a market and technical point of vie...
IoT is still a vague buzzword for many people. In his session at @ThingsExpo, Mike Kavis, Vice President & Principal Cloud Architect at Cloud Technology Partners, discussed the business value of IoT that goes far beyond the general public's perception that IoT is all about wearables and home consumer services. He also discussed how IoT is perceived by investors and how venture capitalist access this space. Other topics discussed were barriers to success, what is new, what is old, and what the future may hold. Mike Kavis is Vice President & Principal Cloud Architect at Cloud Technology Pa...
Hadoop as a Service (as offered by handful of niche vendors now) is a cloud computing solution that makes medium and large-scale data processing accessible, easy, fast and inexpensive. In his session at Big Data Expo, Kumar Ramamurthy, Vice President and Chief Technologist, EIM & Big Data, at Virtusa, will discuss how this is achieved by eliminating the operational challenges of running Hadoop, so one can focus on business growth. The fragmented Hadoop distribution world and various PaaS solutions that provide a Hadoop flavor either make choices for customers very flexible in the name of opti...
The true value of the Internet of Things (IoT) lies not just in the data, but through the services that protect the data, perform the analysis and present findings in a usable way. With many IoT elements rooted in traditional IT components, Big Data and IoT isn’t just a play for enterprise. In fact, the IoT presents SMBs with the prospect of launching entirely new activities and exploring innovative areas. CompTIA research identifies several areas where IoT is expected to have the greatest impact.
Advanced Persistent Threats (APTs) are increasing at an unprecedented rate. The threat landscape of today is drastically different than just a few years ago. Attacks are much more organized and sophisticated. They are harder to detect and even harder to anticipate. In the foreseeable future it's going to get a whole lot harder. Everything you know today will change. Keeping up with this changing landscape is already a daunting task. Your organization needs to use the latest tools, methods and expertise to guard against those threats. But will that be enough? In the foreseeable future attacks w...
Disruptive macro trends in technology are impacting and dramatically changing the "art of the possible" relative to supply chain management practices through the innovative use of IoT, cloud, machine learning and Big Data to enable connected ecosystems of engagement. Enterprise informatics can now move beyond point solutions that merely monitor the past and implement integrated enterprise fabrics that enable end-to-end supply chain visibility to improve customer service delivery and optimize supplier management. Learn about enterprise architecture strategies for designing connected systems tha...
Dale Kim is the Director of Industry Solutions at MapR. His background includes a variety of technical and management roles at information technology companies. While his experience includes work with relational databases, much of his career pertains to non-relational data in the areas of search, content management, and NoSQL, and includes senior roles in technical marketing, sales engineering, and support engineering. Dale holds an MBA from Santa Clara University, and a BA in Computer Science from the University of California, Berkeley.
Wearable devices have come of age. The primary applications of wearables so far have been "the Quantified Self" or the tracking of one's fitness and health status. We propose the evolution of wearables into social and emotional communication devices. Our BE(tm) sensor uses light to visualize the skin conductance response. Our sensors are very inexpensive and can be massively distributed to audiences or groups of any size, in order to gauge reactions to performances, video, or any kind of presentation. In her session at @ThingsExpo, Jocelyn Scheirer, CEO & Founder of Bionolux, will discuss ho...
The cloud is now a fact of life but generating recurring revenues that are driven by solutions and services on a consumption model have been hard to implement, until now. In their session at 16th Cloud Expo, Ermanno Bonifazi, CEO & Founder of Solgenia, and Ian Khan, Global Strategic Positioning & Brand Manager at Solgenia, will discuss how a top European telco has leveraged the innovative recurring revenue generating capability of the consumption cloud to enable a unique cloud monetization model to drive results.
As organizations shift toward IT-as-a-service models, the need for managing and protecting data residing across physical, virtual, and now cloud environments grows with it. CommVault can ensure protection &E-Discovery of your data – whether in a private cloud, a Service Provider delivered public cloud, or a hybrid cloud environment – across the heterogeneous enterprise. In his session at 16th Cloud Expo, Randy De Meno, Chief Technologist - Windows Products and Microsoft Partnerships, will discuss how to cut costs, scale easily, and unleash insight with CommVault Simpana software, the only si...
Analytics is the foundation of smart data and now, with the ability to run Hadoop directly on smart storage systems like Cloudian HyperStore, enterprises will gain huge business advantages in terms of scalability, efficiency and cost savings as they move closer to realizing the potential of the Internet of Things. In his session at 16th Cloud Expo, Paul Turner, technology evangelist and CMO at Cloudian, Inc., will discuss the revolutionary notion that the storage world is transitioning from mere Big Data to smart data. He will argue that today’s hybrid cloud storage solutions, with commodity...
Cloud data governance was previously an avoided function when cloud deployments were relatively small. With the rapid adoption in public cloud – both rogue and sanctioned, it’s not uncommon to find regulated data dumped into public cloud and unprotected. This is why enterprises and cloud providers alike need to embrace a cloud data governance function and map policies, processes and technology controls accordingly. In her session at 15th Cloud Expo, Evelyn de Souza, Data Privacy and Compliance Strategy Leader at Cisco Systems, will focus on how to set up a cloud data governance program and s...
Every innovation or invention was originally a daydream. You like to imagine a “what-if” scenario. And with all the attention being paid to the so-called Internet of Things (IoT) you don’t have to stretch the imagination too much to see how this may impact commercial and homeowners insurance. We’re beyond the point of accepting this as a leap of faith. The groundwork is laid. Now it’s just a matter of time. We can thank the inventors of smart thermostats for developing a practical business application that everyone can relate to. Gone are the salad days of smart home apps, the early chalkb...
Roberto Medrano, Executive Vice President at SOA Software, had reached 30,000 page views on his home page - http://RobertoMedrano.SYS-CON.com/ - on the SYS-CON family of online magazines, which includes Cloud Computing Journal, Internet of Things Journal, Big Data Journal, and SOA World Magazine. He is a recognized executive in the information technology fields of SOA, internet security, governance, and compliance. He has extensive experience with both start-ups and large companies, having been involved at the beginning of four IT industries: EDA, Open Systems, Computer Security and now SOA.
The industrial software market has treated data with the mentality of “collect everything now, worry about how to use it later.” We now find ourselves buried in data, with the pervasive connectivity of the (Industrial) Internet of Things only piling on more numbers. There’s too much data and not enough information. In his session at @ThingsExpo, Bob Gates, Global Marketing Director, GE’s Intelligent Platforms business, to discuss how realizing the power of IoT, software developers are now focused on understanding how industrial data can create intelligence for industrial operations. Imagine ...