For many the following video will be unsurprising – it’s just a tour of another data-centre (albeit a famous one). Yet it demonstrates the sheer physicality of the cloud. We can pretend the internet is something “out there” but these industrial buildings hidden around the world, with their pipework and power distribution systems are reminiscent of any factory producing any physical product.
Author: Dr Will Venters
Book Chapter Out: The Participatory Cultures Handbook
I co-authored (with Sarah Pearce) a chapter in this book focusing on the culture of particle physicist at CERN as they developed the world’s largest Grid Computing infrastructure for the LHC. The chapter considers the different collaborative and management practices involved in such a large endeavour and offers lessons for others building information infrastructure in a global collaboration.
Pre-Order a copy now!!!
Wednesday: Catch me on BrightTalk: It’s not private, public or hybrid: it’s service constellation and the cloud corporation
At 11am (GMT) on the WEDNESDAY I will be giving a webinar for BrightTalk.com…. The topic is listed below so book your place now!
To book see: http://www.brighttalk.com/webcast/499/44765
—- (Description of my talk)
Will Venters will focus on the strategic use of cloud computing, questioning whether our focus on private and public sets too great an emphasis on the organisational boundary. By adopting a view that we should instead look at firms as service-constellations and challenge this boundary, he will look at how future organisations may capitalise on a move to cloud. This is not however a utopian picture, with significant challenges and risks of such a move highlighted and explored.
Clouds and Coffee: User affordance and information infrastructure

Some desktop coffee machines (e.g. figure 1) are now connected to the Internet (Pritchard, 2012). Such devices are enrolled within increasingly complex information infrastructures involving cloud services. This form of entanglement creates mazes of unexpected heterogeneous opportunities and risks (Latour, 2003), yet users ability to perceive such opportunity and risk is limited their lack of visceral understanding of such entanglement. It is this understanding of the cloud by the user which is the focus of blog posting. Such a coffee maker “calls out” (Gibson, 1979) to users’ with a simple offering – its ability to make coffee. Its form attests to this function with buttons for espresso and latte, nozzles for dispensing drinks, and trays to catch the drips. To any user experienced in modern coffee this machine affords (Norman, 1990; Norman, 1999) the provision of coffee in its form and function keeping its information infrastructure hidden from view – only an engineer can understand that this machine is communicating.
Yet such assemblages of plastic, metal and information technology are a “quasi-object” (Latour, 2003)– complicated cases requiring political assemblies and no longer “matters of fact” but instead “states of affairs” (Latour, 2003). Such a coffee maker is a drinks dispensing service (representing a service-dominant logic (Vargo & Lusch, 2004; Vargo, 2012)), provided through an assembly of material and immaterial objects whose boundary and ultimate purpose remain unclear. While the device above only communicates about its maintenance, other machines may go further. Such machines’ users, hankering for an espresso to get them through a boring conference, may be kept unaware that the infrastructure is monitoring his choices to influence global coffee production, to ensure the output is sufficiently tepid and dull to damage his economic productivity, or that the device is recording and transmitting his every word. He may be annoyed to discover his coffee is stronger than his female colleagues as gender profiling based on image recognition decides the “right” coffee for him. He may be horrified that the device ceases to work at the very moment of need because of a fault in contract payments within the accounts department – perhaps caused by their tepid weak coffee.
Similarly companies involved in providing the coffee and milk for such machines might become enrolled in this reconfiguration (Normann, 2001) of coffee service, an enrolment which could reconfigure the knowledge asymmetries within the existing market. Suddenly an engineering company who previously made plastic and metal coffee machines is now in a position to better understand coffee demand than coffee growers or retailers. The machine itself could negotiate automatically on local markets for its milk provision, or compare material prices with similar machines in other markets, and even alter prices of coffee for consumers based on local demand. Through the enrolment of information infrastructures within a coffee service the knowledge of the coffee market shifts.
All this has happened already to the market for music (increasingly controlled by a purveyor of sophisticated walkmen using a cloud service) and more recently ebooks (increasingly controlled by a book retailer and their sophisticated book readers). Now imagine the emergence of the smart-city with huge numbers of devices from street-lights to refrigerators connected to the cloud. How will the user of such smart-cities understand what they are interacting with – the quasi-objects they used to consider objects? How will such objects afford their informational uses alongside their more usual functions?
At the centre of this reconfiguration of material objects is a computer system residing in the cloud aggregating information. It is the aggregation of data from devices which may be central to the lessons of the cloud for SmartCities.
(© Will Venters 2012).
Gibson JJ (1979) The Ecological Approach to Perception. Houghton Mifflin, London.
Latour B (2003) Is Re-modernization Occurring-And If So, How to Prove It? Theory, Culture & Society 20(2), 35-48.
Norman D (1990) The Design of Everyday Things. The MIT Press, London.
Norman D (1999) Affordance, Conventions, and Design. Interactions ACM 6(3), 38-43.
Normann R (2001) Reframing Business: When the map changes the landscape. John Wiley & Sons Ltd, Chichester.
Pritchard S (2012) Mobile Comms: Coffee and TV. IT Pro, Dennis Publishing Ltd, London.
Vargo S and Lusch R (2004) Evolving to a New Dominant Logic for Marketing. The Journal of Marketing 68(1), 1-17.
Vargo SL (2012) Service-Dominant Logic: Reflections and Directions. Unpublished Powerpoint, Warwick,UK.
Virtualizing Networking and the Cloud Corporation
“The truth is, in 10 years, you’re not going to have highly skilled, highly paid people working with networking hardware.”.
via Mavericks Invent Future Internet Where Cisco Is Meaningless | Wired Enterprise | Wired.com.
In a fascinating article (sent to me by Ayesha Khanna – thanks) Wired’s Cade Metz explores the growth of a company which abstracts and virtualises networks through software.
Why is this interesting to me? Because I have argued that as cloud computing moves the data-centre from inside organisations to the cloud we are likely to see cloud ecosystems emerge in which companies integrate cloud provided services to create new forms of potentially more collaborative organisations – something I termed “the cloud corporation”. For example a drinks company and ice-cream company might integrate element of their cloud based EPR systems to develop and sell a new type of iced drink. But achieving this would require relaxations in their security and networking – the cloud based ERP sits in the public internet, and users must leave the corporate network to interact with the ERP.
However virtualising the network suggests the opportunity to dynamically create a new type of network, flexibly created in software, which integrates elements of the ice-cream, drinks and EPR companies networks into a wholly private -albeit virtualised – network shared between them all. Significantly achieving this would be a simple reconfiguration of the network software of these companies – rather than involving the installation and messy configuraiton of VPN appliances, and various routers etc. Creating new types of collaborative businesses is thus all about the configuration of cloud-based software… no hardware involved. One step on the way to a kind of plug-and-play corporate collaborative arrangements.
Globalization Today “Cloud as Technology – What Kind of Transformation”
Read our latest article on Cloud Technology (based on our earlier Accenture reports) in Globalization Today – http://globalizationtoday.com/february-2012/
(pages 26-33)
Our new Grant – Creativity Greenhouse: SeRTES
I’ve been very quiet on the blog for the last few months. In part this is because I am preparing a detailed academic paper on Cloud Computing (details will follow in a month or so ) and in part because teaching and life bogged me down.
In any case you might like to see details of a grant I have just won with colleagues around the UK. Creativity Greenhouse: SeRTES. My interest is in how value-networks emerge, and how we can better understand the networks of value and service which emerge through the increasing integration of companies through their development of distributed systems using architectures such as cloud computing.
——
The SeRTES project aims to provide a set of requirements/specification of a visualisation to show scenarios, ‘the whole’ rather than ‘the parts’, how issues in a technological enabled society are dynamically related i.e. how entities, individuals, institutions, laws, and risks dynamically interact within the virtual realm. The research would also abstract key constructs (of entities, links and flows) for the visualisation that allow ‘non-obvious’ representation that is parsimonious and powerful. We will develop a skeletal representation and demonstrator that could have richness and layers added over time, beyond the current project scope. The project will also devise ways of extracting (queries), from the visualisation, ways it can be used, e.g. value risk, how to value stewardship, security, privacy, contingent values, trust and if there are useful inter-, intra-layer notions of ‘trust domain’ that can help us organize the architecture of the ecosystem to enable interactions, transactions, and ecosystem development. This queries would help support decisions, resulting in a tool that can be used by the policy makers, business leaders, and law enforcement officers to make intelligent decisions. The SeRTES project proposes to represent a ‘tool of tools’ that is truly trans-disciplinary and cross-cultural. Finally, the project sees its research as a seed-corn project and expects to seek more funding to add to the richness of the representation and develop a network of studies complementing this project.
Our Fifth Report is out – Management implications of the Cloud
The fifth report in our Cloud Computing series for Accenture has just been published. This report looks at the impact Cloud Computing will have on the management of the IT function, and thus the skills needed by all involved in the IT industry. The report begins by analysing the impact Cloud might have in comparison to existing outsourcing project. It considers the core-capabilities which must be retained in a “cloud future”, considering how these capabilities might be managed, and the role of systems integrators in managing the Cloud.
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Executive Training in Enterprise Outsourcing and Cloud Computing
I am teaching again on our one-week executive education course on Enterprise Outsourcing at the LSE, contributing my Cloud Computing expertise into a wider course on Enterprise Outsourcing and Innovation. Join us if you are able! http://bit.ly/eRIlxZ
Managing the Outsourcing Enterprise: From Cost to Innovation and Cloud Services
Professor Leslie P. Willcocks
Dr Edgar Whitley
Dr Will Venters
Professor Mary Lacity
Dates: 25 June – 29 June 2012
Fee: £4,650
Course Objectives
This course offers in-depth coverage of the key issues, developments and management challenges in today’s global sourcing marketplace. It provides a learning vehicle and tools , in terms of key frameworks, principles and practices, for those preparing themselves for general management in major organizational functions or for more specific global sourcing roles, and also for experienced managers who wish to move to the next level. It focuses on the needs of managers and senior executives working in client companies and service suppliers. It covers global sourcing, strategy, Information Technology outsourcing (ITO) and Business Process Outsourcing (BPO) including the most recent developments in sourcing and offshoring for such major areas as HR, Finance and Accounting, Procurement, Legal and Knowledge (KPO) functions.
Benefits
- Gain a thorough knowledge of effective management lessons and techniques to develop and implement sourcing strategy, operate as an informed buyer, select suppliers, and manage and deliver outsourcing services from both client and supplier perspectives
- Develop in-depth understanding of global trends in the sourcing marketplace and how sourcing fits with corporate competitive and collaborative strategies.
- Draw on an unrivalled LSE Outsourcing Unit research base of over 1500 outsourcing arrangements in Asia Pacific, USA and Europe, and 20 years of publications and working papers on global sourcing trends, country and IT industry analyses, together with case histories of effective client and supplier practices.
- Learn from up-to-the-minute case studies, negotiating exercises, guest executives and cutting edge research projects, including on bundled services, cloud computing, selective sourcing strategy, offshore locations..
- Improve your ability to analyse sourcing challenges and questions and make more effective assessments and decisions
- Develop your skills and marketability in increasingly key areas for contemporary organizations in a global context.
This course will address the following key topics
- Global context and trends –offshoring, country attractiveness, key decisions
- Moving To The Strategic Agenda – alignment, configuration, distinctive capabilities
- Preparing For Outsourcing – 9-phase life-cycle, negotiation, selection, requisite supplier capabilties
- Making The Transition – Contracts, HR and service challenges, change management, SLA and scorecards,
- Managing Outsourcing – control, relationships, leveraging suppliers
- Regeneration and Outsourcing Futures – options decisions case histories, trends to harness.
The course reader, especially prepared for this executive practitioner module is: Leslie Willcocks, Sara Cullen and Andrew Craig (2011) The Outsourcing Enterprise: From Cost Management To Collaborative Innovation (Palgrave, London
Google persuades Spanish bank BBVA to use the cloud
BBC News – Google persuades Spanish bank BBVA to use the cloud.
So a bank finally “goes Google” for its enterprise software (albeit for desktop productivity applications only).