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Wednesday 11 May 2011

Job creation in the cloud

Cloud computing is a hot topic at the moment. The media suggest it will be integral to the whole IT industry in the future but what does this mean for job creation in Ireland?

Over the last few months I’ve read a number of articles and reports and attended a number of industry events on cloud computing. Since I recruit in the IT sector, I want to know – How many jobs will cloud computing create in Ireland? What type of jobs? And how do we train our current and future workforce for them?

Globally, cloud computing is still in its infancy.  We have cloud based organisations and talent based in Ireland and there is an opportunity for us to be global leaders in the cloud. The recent Goodbody report, concludes that by 2014 cloud computing sales by Irish firms could reach €9.5 billion per annum and provide 8,600 jobs as current IT activities migrate to the cloud, with a further 2,000 jobs being created in SME’s in the supply chain.

Alan Cooney from EMC recently spoke on their company’s journey into the private cloud. Alan shared his view on the roles that will still be important as we immerse ourselves into the cloud, these include: Systems, Storage, Backup and Recovery, Data Center Networks and Security. However there will be a large number of new positions to serve the Virtual Infrastructure Management and Virtual Infrastructure Architecture areas, these will include: Cloud Architect, Cloud Administrator, Capacity Planner and IT Automation Engineer.

So, in the next three years over 8,000 jobs will be created, including roles that don’t even exist at the moment. How do we make sure that we have the people to fill these new roles? We have over 440,000 people on the live register, many of whom are educated to degree level, but are out of work due to the downturn in their chosen sector. What about a government initiative to re-train out-of-work engineers and other professionals for IT jobs?
 I recently heard a pre-dinner speech from Gerard Kilcommins, President of the American Chamber of Commerce Ireland which summed up how the future generation should be thinking- “It is all about education and encouraging the next generation to pursue degrees that lead in to the jobs of the future and in turn give Ireland a future in this exciting area.”

Equally important is the upskilling of the current IT professionals. Are they considering how they will transition their experience and training to enhance their own potential in this evolving process? They would need to, or they may get left behind.

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10 Comments :

Anonymous Si Woods said:

This is great jobs news for Ireland. Ireland can and hopefully will become an industry leader in the IT sector.

I am currently undertaking a MSc in Interactive Media, not exactly IT but we cover a lot of things from social media, Human Computer Interaction to politics of iMedia, I could be of use somewhere? In Cloud Computing?

I am based in the Computer Science building in the University, we haven't covered anything to do with Cloud Computing and while I have heard of it and got the idea of it I am not exactly sure what the finer details incur? For professionals and people retraining in a new area like myself education is vital.

Technology changes so fast and new ones like Cloud Computing spring up over night that new training courses and on going training courses for those in the IT sector must prevail. In today's technology we never stop learning, never a dull moment!

What new job titles and roles will emerge? Well how long is a piece of string? Technology is creating new roles/jobs all the time. We shouldn't wait for Government to stumble upon training and job opportunities or allow them to miss them! Industry needs to communicate its needs and requirements with Government and get people trained and ready for Irish jobs and not emigration.

I hope to be one of the 8,000 who will gain employment over the next few years or earlier if possible as I'm finished University at the end of September.

11 May 2011 at 13:59  
Blogger Unknown said:

Excellent blog! With all the acronyms flying around from paas iaas faas et al. It is the eaas or expert as a service which i think is not focused on enough. The subject matter expert in the cloud has the biggest opportunity for ireland and all its bright sparks. As the p.i.f aas are merely enablers for businesses to carry out effecient and more profitable business. However the ghodt is still needed in the machine. We the people are the soul of the cloud. What use the machinr without the user whatever the form. Accountant, marketeer,sales exec you name it the clouf is only the tool and/or playing field in which commerce will be carried out. We all kust need to learn the new tools of the trade and the cloud lounges where business deals are now being done.

11 May 2011 at 20:50  
Blogger Unknown said:

Excuse the spelling of my last post. Big man hands trying to get used to a new phone keypad.

11 May 2011 at 20:54  
Anonymous Joe Haugh said:

James,

Like your post it is good that the cloud is now becoming more of a reality for business people here in Ireland, though there is plenty to do regards its education and benefits. As a business startup our capital expenditure is nothing really, we can concentrate on the web development and business model. As a result the cloud offers an opportunity to get to market quickly, at a minimal cost. Saas ( software as a service) operate mainly on a pay as you go service, usually monthly, so the opportunity to cost better IT services becomes easier.

As a result if any of those people out there looking to get back on the ladder regards their career and have an idea that could work online, operating through the cloud could be the cheapest enabler regards quickness and minimum technology expenditure. Obviously when up and running the ongoing costs are there to pay, but as the revenue model is defined from the outset, it could if managed properly pay for itself and become profitable over time.

I was glad to hear the in their jobs initative the government mentioned cloud computing and its benefits to the economy, lets hope it is followed through with actions.

One last thing, contractual obligations aside, exiting the cloud can be as easy as logging into your account with your service provider, and deleting your account. The exit costs are low as no servers, licence agreements, any fixed term contract payments to be made. This should encourage people to take a punt, the downside effects can be minimal as you have not invested too much it getting all the systems in place to get you off the ground.

11 May 2011 at 21:24  
Blogger James Milligan said:

Hi Si,

In response to your post, I attended the National Recruitment Federation Conference today where Minister for State John Perry was speaking. He said that the government will be creating a "Springboard Training Programme" focusing on developing markets including cloud computing. I have had a look online but can't see anything yet. But it would be worth keeping an eye out for information over the forthcoming months.

12 May 2011 at 17:20  
Anonymous Enda said:

Good artical but i think the job creation figures are bit misleading. Yes, there will be new jobs created but wont there be jobs lost aswell. New startups aside, if existing companies move to cloud computing, it means there is a lower requirement for inhouse Sys Admins and Infrastructure IT expertise. They may eventually move to work for cloud companies so they will be OK, but its a job role shift not a new extra job. So what is the net job figure when that is taken into account.

13 May 2011 at 19:55  
Blogger James Milligan said:

Hi Si,

Thanks for your comments. I attended the National Recruitment Federation conference last Thursday where the Minister for State John Perry was speaking. He announced that there would be a new initiative - The Springboard training programme, focused on training graduates for roles in emerging job markets. I have had a look at the web and can't find any detail about this, but it would be worth listening out for this in the media over the next few months.

16 May 2011 at 11:56  
Blogger James Milligan said:

I attended the Smart Futures Seminar yesterday at Engineers Ireland and got some additional information for those coming out of third level education or looking at retraining. It sounds like the "Springboard" programme will be officially launched next Wednesday and there should be plenty of information in the media then.

ICT Ireland is also running a programme in association with Skillnets. It is also worth looking at the fast track to IT programme at www.fit.ie

It's good to see so many initiatives all running concurrently. It shows that the government and IT industry are committed to providing training on skills for the future.

20 May 2011 at 09:25  
Anonymous Bryan Hickson said:

The Goodbody Microsoft report has it's merits in promoting how Cloud could potentially relate to jobs and the Irish economy in general but it is by no means a plan. Cloud is a once in 20 year game changer, like the PC and then Mainframe before it. It will unequivocally change how companies across the globe will transact from the smallest SME to the Largest Enterprise.

Start-ups and growing businesses have never had it so good, they can now have access to environments that they could simply not afford previously. The flexibility and adaptability that this will offer to these organisations will allow them to capitalise on many more opportunities by simply ensuring they can change, on demand, to meet the situation.

As an example the area of social analytics's has been opened up via SaaS (see coremetrics) allowing companies who did not have the skills or the resources, in what has been traditionally an expensive undertaking, to diversify from being, lets say, an online retailer, to a data warehouse. This is what Cloud offers.

They key is indeed education or re-skilling, the landscape has changed and administrators will need to be even more diverse than before. Cloud providers will handle the traditional systems admin (feeding and watering of systems) just like a managed service provider will. System admins will now have to become more focused on strategy. This will mean they will need a greater understanding of how business and economics interact with IT. An IT grad today would do well to consider a Masters of Business going forard.

The gap here is the relationship between IT and the business, the former being a service provider and latter the financier. Those who will be successful will straddle that gap and define how proactive a business can be in defining their place in the market place. Clearly we are only at the start, cloud is only gaining momentum in the last 24 months, despite it's principles being around for the past 30 years. It will be 5 years before the market is mature and clients are comfortable enough migrating large amounts of their resources to a pure cloud model. But make no mistake, Cloud is here and it will only get better.

feel free to drop me a line: hicksonb@ie.ibm.com

20 May 2011 at 11:08  
Blogger Unknown said:

it,s really nice blog and it,s help stimulate the development and adoption of cloud computing and information technology cloud computing ireland

27 September 2013 at 08:07  

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