When Clouds Collide

In the hybrid cloud, the risks that arise from Shadow IT become systemic. That means they affect every aspect of the business. So CFOs better know how to keep those risks manageable.

As the cloud carnival slowly makes its way through town, organizations (fortunately) are becoming increasingly aware of many of the pitfalls associated with the adoption of non-trivial, enterprise cloud-computing solutions. Oft-cited risks include data privacy, uptime reliability, security, total cost of ownership, vendor lock-in, and jurisdictional jeopardy (the potential violation of rules and regulations that apply when your data, especially customer data, crosses borders).

Well, there’s another risk.

Under cover of darkness, and most likely already thriving in your organization, are Shadow IT departments.  These arise when users and department heads go it alone, provisioning and deploying IT systems (most often cloud services) that are sourced externally and funded from local discretionary budgets without the involvement of the IT department or even the knowledge of the CFO.

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