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Monday, December 6, 2010

Interview: Cloud computing for retail, Microsoft’s Koby Amedume tells Retailspeak

Cloud computing seems to be on everyone’s lips at the moment. Microsoft’s Koby Amedume tells Retailspeak what all the fuss is about.

What is cloud computing?
Cloud computing overlaps some of the concepts of distributed, grid and utility computing, however it does have its own meaning. Cloud computing represents a broad array of Web-based services aimed at allowing users to obtain a wide range of functional capabilities on a ‘pay-as-you-go’ basis that previously required tremendous hardware/ software investments and professional skills to acquire. Cloud computing is the realisation of the earlier ideals of utility computing without the technical complexities or complicated deployment worries.
A common misconception people have about cloud computing is that it has to be an all or nothing decision. Companies can progressively adopt cloud resources without completely abandoning the business processes and applications they’ve already established in their onsite environment.

Can you tell me about Microsoft’s offering in this sector, the Azure Services Platform?
Windows Azure is a cloud services operating system that serves as the development, service hosting and service management environment for the Azure Services Platform. Windows Azure provides developers with on-demand capabilities to host, scale, and manage Web applications on the Internet through Microsoft data centres. To build these applications and services, developers can use their existing Microsoft Visual Studio 2008 expertise. In addition, Windows Azure supports popular standards and protocols including SOAP, REST and XML. Windows Azure is an open platform that will support both Microsoft and non-Microsoft languages and environments allowing for greater integration and interoperability.

Why should retailers be thinking about turning to cloud computing?
Every business needs to think about maximising their technology budgets in order to deliver value to their customers and generate returns. Returns can be made through streamlined processes, increased productivity and better service for customers. Cloud services allow retailers to plan for demand peaks in online services dynamically without worrying about provisioning for high availability whether that is directly in-house or through their suppliers.  There are seasonal demand peaks in any retail calendar, and currently online portals have to be provisioned for that seasonality throughout the year.  Azure allows you to only pay for the online resources you consume when you consume it, rather than paying for expensive hardware to meet these peaks while they are under used for the rest of the year.

How can the Azure Services Platform benefit retailers?
The Azure Services Platform enables businesses to create Web, mobile, or hybrid-applications that use the cloud with on-premises applications with the option of a pay-as-you-go model. Retailers will have the flexibility and interoperability they need to deliver robust, yet cost-effective, solutions to expand their offerings online, deliver great customer experience  and grow revenues through increased reach, without having the  capital expenditure in  the hardware and infrastructure costs needed to achieve this kind of solution.  Combined with Windows Live Services’ ability to reach over 400 million live users, new opportunities exist to interact and reach users in new ways.

How does the Azure Services Platform aid retail employees?
It can mean better, faster and more relational interaction with customers, partners and suppliers as systems can interoperate and are more agile.  The aim is to lead to faster access to customer data, more responsive systems and higher throughput in transactions. This allows greater productivity and happier, more profitable relationships.

Does it have any benefit to customers?
Customers can benefit from more responsive systems and fast turnaround times for transactions as high availability is a critical part of cloud services.  A happy customer is one that returns.  Leading retailers have a strong focus of integrating the customer interactions with online CRM systems that deliver more customisable services to their patrons.

What sort of ROI can retailers expect to see from it?
Measurable ROI comes in many forms, but key is the reduction in operational and infrastructure costs relating to a move to a pay-as-you go service.  Greater agility and resource planning allows retailers to plan for peak periods without paying for the less busy times.  Also being more agile means that they are able to respond to customer movement potentially faster than the competition by turning on seasonal services on and off in a fraction of the time.

What is the future of cloud computing?
The future looks strong for cloud computing and the benefits that it brings to organisations big and small.  With a good strategic focus on the usage of cloud services combined with the power of the client, the future is bright.
Koby Amedume is platform marketing lead for Microsoft’s developer and platform evangelist group. He is responsible for developing and implementing the platform services strategies for the company.

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