Part 1 of 8: An Introduction to Shadow OT
Transitioning to a shared risk operating model is difficult, but not new. We’ve seen this story before. Within the last 15 to 20 years, we have all experienced some sort of transition of common IT Services moving from specialized inhouse delivery to external “as a service” providers.
Not so long ago, email, document storage, collaboration and video conferencing were all highly specialized Information Technology (IT) services usually delivered by internal IT staff. For example, the loaded operational cost of owning and operating a Lotus Notes environment for even 100 staff in 2001 could easily exceed $150,000 per year. Today, a far superior service is available for 100 staff from hyperscalers for around $1,500 per year.
VMWare also changed the game around 2005 with wide adoption of server virtualization. This allowed a $15,000 server to be virtualized into 5 or 10 units. The AWS EC2 m1.small was released a year later. Now paying more than only $0.04 (yes, cents) per compute hour seems insane.
This transition is known as “Shadow IT”. And as companies automate and digitize their operations, the same trend is now happening in mission critical systems. However, service interruptions or failures could put Enterprise stakeholders at serious risk through loss of economic outcomes, loss of assets or even loss of life. As operators of mission critical services and systems move toward an inevitable shared risk model, governance can not be outsourced. So, what is “Shadow OT” and why should you care?
This 8 part blog series will explore the foundations of an emerging Shadow OT trend each week. Six industry verticals will be explored, including :
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- Telecommunications
- Utilities
- Sports & Entertainment
- Retail & Camps
- Ports
- Agriculture
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The final blog post will summarize findings and provide a roadmap for navigating the transition to Shadow OT. So join us on the journey. Subscribe to make sure you don’t miss out. Be part of the conversation with your comments. I look forward to exploring Shadow OT with you.
To read more in Brian Baird’s Shadow OT series, click below!
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