What kinds of skills and experience are most important when executing cloud transformation projects?
To ensure organizations are properly equipped to plan, execute and manage cloud transformation, leadership on these projects must consider the right balance between technical and strategic skillsets.
It starts with a simple question: “What does success look like?”
If the answer to that question is not simple, clear and easy to articulate, then the planning and execution will remain elusive. Once the goal is well defined, the following acumen should be among the ranks of those involved in the transformation:
- Architecture and design will help future-proof your investment with respect to having a secure, scalable and well balanced/aligned solution that can keep pace and serve as the backbone to the organization’s most important business objectives.
- Automation will enhance organizational efficiency by enabling teams to stay aligned and allocate their time and resources effectively. Having DevOps and CI/CD dedicated to your cloud transformation will optimize software delivery and infrastructure changes; inevitable changes that will come quickly and often.
- Data management and governance is essential to building a complete understanding of how to properly store and configure databases or warehouses and will be critical in optimizing the approach to sufficient governance, especially when dealing with extremely large, complex, or sensitive data sets. As security is almost always a top priority for cloud transformations, managing data in the right way will ensure that proper access controls are in place and compliance is maintained at all times.
- Organizational Change Management (OCM) helps leaders of every cloud transformation project answer two basic questions: “How will we know the solution is adopted?” and “How can we ensure the solution is sustainable?” No cloud transformation investment can be optimized without the proper attention to training, communication, resistance management, and the overall culture of an organization to help predict the resistance or acceptance of the change/transformation.
Which skills should be outsourced to a partner organization?
Investing the time to make a sound decision about a cloud transformation partner should never be taken lightly. The right partner is an invaluable asset and an extension of your organization.
Selecting a partner who specializes in skills that complement your in-house expertise is critical. And it goes beyond technical capabilities—the most productive partnerships thrive on trust and rapport. Prioritize evaluating a partner’s cultural fit as much, if not more, than their technical skills.
The skills that I see outsourced most often are:
- Data migration Successful planning and execution of migrating complex or large amounts of data will help prevent downtime and data loss. Depending on your business and industry, the margin of error and impact here could disrupt operations and become a compliance nightmare.
- Performance and cost optimization Setting standards to ensure regular review of cloud resources will help manage costs and optimize performance. The system should work harmoniously, like a well-conducted orchestra. Inadequate standards not only hinder progress but can also prevent the orchestra from even getting to the tuning stage, let alone deliver a stellar performance.
- Customized development Assuming that specific cloud-native applications and integrations are in scope, outsourcing this work to experts who specialize in cloud-native development as part of the risk and cost mitigation strategy is a sure bet. The ‘been there, done that’ advantage of these specialized resources is typically proven to be invaluable.
What are some common challenges you see when implementing Azure, and how can organizations prepare to avoid them?
The list of challenges is vast. Luckily, most organizations, have invested in the resources to ensure a proactive approach is taken. This is often accomplished by bringing in a seasoned partner specializing in cloud transformations. It’s a valuable investment to enlist their services and tap into their repository of ‘lessons learned’ and insights, which can save businesses from potential pitfalls.
Over the past 12 months, I’ve seen a few issues arise with our clients, which we’ve helped them navigate:
Integration with the broader ecosystem
Most cloud transformations require the integration of existing on-premise systems and other cloud services. This often requires custom development and extensive testing. Many cloud providers have resources dedicated to helping organizations with this. For example, with Azure there are integration services like Azure Logic Apps, Service Bus, and Azure Functions which may require sophisticated integrations.
Identity and Access Management (IAM)
Although it seems like a simple requirement with a simple solution, managing who should access what, when, where, and how can be complex. Azure Active Directory is a solid solution, but it comes with its own set of complexities. Depending on the need, organizations may want to consider Azure ADS Premium which has features to support advanced identity management. At a minimum, a strategy must be developed to make sure access is being constantly monitored. The IAM strategy should include role-based access control (RBAC) and a plan for how frequent monitoring will be integrated into the operation plan of the cloud strategy.
Hosting and networking
Proper configuration of Azure is absolutely critical, and establishing a secure and reliable connection to all resources should be a paramount concern. When architecting the network (VPN, VM, Gateways, Subnets, etc.) solicit a second, and possibly a third, opinion from experts. Once decisions are made, identify someone who can be held accountable for documenting configurations and ongoing monitoring—network or connectivity issues should be detected near real-time with a clear remediation plan for getting the system back online.
What’s the best tip you could give to organizations implementing Azure to help them get the most out of it?
Governance. Governance. Governance. A cloud solution can never reach its full potential without a well-defined Governance Framework. Some of the most critical components of this framework should include monitoring, alerts, RBAC, resource organization, tagging, disaster recovery, and regular assessments and review.
In most organizations, this concept is captured within what the industry refers to as a Governance Strategy or Governance Policy. These encompass a wide array of crucial aspects, including but not limited to cost management, resource allocation, security measures, compliance protocols, and more.
Planning and Organizational Change Management will help ensure that the policy is front and center, or in other words, well documented, available, articulated to the right people at the right time, and enforced.
Once Azure has been implemented, what kind of skills should organizations look to add to their team to manage and maintain new platforms and processes?
Deciding which skills to add and when depends on your organization’s near and long-term strategy, considering things like current and future state Azure workloads that will be required.
If your strategy is like most, you have already started planning and building with the future in mind, to include Artificial Intelligence (AI) and Machine Learning (ML). Although used interchangeably, AI and ML differ with uses and data sets, therefore having resources with Azure AI/ML Engineering skills will be imperative.
Other skills organizations are quickly adding include Cloud Administrators who can handle the day-to-day operational needs (maintenance, provisioning, performance) based on their deep knowledge of Azure services, security, compliance, and networking.
Lastly, organizations should consider adding Azure Developers who are proficient in building cloud-native applications. These developers don’t necessarily need to be “full stack”, however they should be skilled in one or more programming languages such as SQL/NoSQL, C#, Java, Python, etc.
What are the pros and cons of having perm/contract Azure professionals carrying out this kind of work for an organization?
Each organization is different given their unique needs, project constraints, business model, and culture. Deciding the ratio of full-time employees to temp or contract can be a delicate dance.
When making this decision, I often consider the following:
FTE (permanent employees)
PROS: Perhaps the biggest advantage of hiring permanent staff is the “commitment factor.” Happy and fulfilled FTE are likely to stay engaged and help create a level of stability that contractors may not be able to do. Every organization needs the glue to create continuity for processes and systems management while keeping a certain culture alive and well; FTE are best positioned to do this.
CONS: Costs. FTEs typically require a greater investment with respect to an overall compensation package (benefits, long-term incentives, etc.). With higher cycle times for recruiting and onboarding, FTEs have an indirect cost from an operational standpoint (cost per hire = internal recruiting costs + external recruiting costs/total number of hires). The current benchmark for cost per hire is $3K – $5K per hire, which is often largely avoidable when hiring contractors.
Contract Azure Professionals
PROS: A major advantage of hiring contractors is being able to quickly get a highly specialized individual when needed. The skillset and speed at which these resources can be deployed is ultimately a cost vs. risk consideration. These resources offer a valuable degree of flexibility that is highly appreciated by most organizations.
Even more beneficial is the opportunity they provide for skill acquisition through shadowing, which essentially equips teams with the ability to independently handle in-house tasks. I like to refer to this as the “teaching them how to fish” approach, where the organization not only benefits from external resources but also gains the value of cultivating internal expertise.
CONS: Having a revolving door of contractors can be disruptive, which is why organizations typically consider a hybrid approach, mixing perm employees and contractors. Managing this disruption can be challenging and could even strain a company’s culture.
Promoting the concept of “teaching them how to fish” is undoubtedly valuable. However, there are significant challenges associated with ensuring effective and formalized knowledge transfer (KT) when working with contractors. The urgency and pressure to transition quickly to their next assignment often take precedence over the thorough KT for their current project.
This challenge can be addressed by integrating knowledge transfer into the Professional Services Agreement (SOW) as a fundamental component. However, it’s crucial to recognize that, despite this inclusion, the execution of proper KT remains a challenge and is sometimes treated as an afterthought. This oversight not only leads to uncertainty and dissatisfaction among FTEs but also impacts leadership.
Do you feel there’s still a significant skills gap in the Microsoft space?
I believe the skills gap has been an issue and will continue to be a challenge for years to come. Demand for cloud continues to increase with approximately 75% of technology leaders building ALL new products and features in the cloud.
Despite the best intentions and aspirations of many tech leaders, less than 10% of technologists have significant/sufficient cloud-related skills and experience to achieve their lofty goals. Microsoft does an excellent job at providing resources to assist with closing this gap but is it enough to level the playing field of leaders and laggers?
The primary driver should not come as a surprise – technology moves fast. The ongoing technological progress continually builds upon previous innovations, ultimately resulting in increasingly rapid and enhanced advancements in technology. If you are not continuously learning, the skills gap will increase exponentially by the day.
Lastly, the skills gap is further perpetuated by the fact that even technologists have yet to fully understand and/or accept the latest advancements/trends (like ML and Azure Cognitive Services) e.g., how to get comfortable with integrating AI and the “co-pilot” model into your business or day to day operations. In addition, ever-present global events such as volatile financial markets, the COVID pandemic, and conflicts that strain the foundation of established, trusted technological progress and the disparities faced by many are poised to persist and even grow wider.
To initiate the process of narrowing these gaps and fully embracing this technological transformation, it’s important to recognize that more than just technology needs to evolve. Cultures must adapt, the way people engage with technology must undergo a transformation, and this shift must extend to how you interact with stakeholders, partners, employees, and customers alike.
How do you suggest organizations bridge the gap when skills are scarce in the market?
As a change management professional, I often rely on a simple but proven approach: envision the future state, assess current state, plan and execute the transition state to close the gap and sustain outcomes. If the scarcity of certain skills in the market is not obvious, there are resources available to assist (for example, Society for HR Management or SHRM publishes studies on the topic).
Regardless of how large the skills gap is, there is no doubt that additional training, to some extent, will be required. If you do not have an L&D department focused on planning and executing a training strategy, don’t be afraid to go “grassroots.” Encourage employees to explore Microsoft’s online training and certificates, LinkedIn Learning, workshops and seminars, and third party vendors or consultants who offer fantastic resources to upskill.
One particularly important aspect that’s often overlooked is caring for the “why” when asking your team to upskill. Be sure to carefully articulate why this is critical to the business and their overall satisfaction as a valued employee; don’t assume this makes sense for all. If you can explain the why and give those needing extra help a clear path forward, the road to upskilling becomes more straightforward and resistance fades. Finally, be sure to underscore the importance of staying nimble and agile.
To effectively address the challenge of closing skills gaps, both employees and leadership must grasp and embrace the unceasing pace of technological advancement. This entails recognizing the need for adaptability and a readiness to evolve one’s skills in tandem with the ever-changing landscape of tech trends and the specific needs of their organization. Success hinges on this shared understanding and proactive commitment to staying current.
About Steven
Steven Brown is Director of Client Success at Microsoft Azure Consultancy 3Cloud, where he delivers the ultimate Azure experience for clients looking to leverage cloud technologies in their businesses. As well as running delivery, he also chairs 3Cloud’s Diversity, Equity, and Inclusion initiative.
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