NEWSLETTERS
 

CIO.com updates, insights and advice on technology, management and your career.

 CIO BlackBerry News and Tips
 CIO Research and Analysis
 CIO Microsoft
 CIO Insider
 
 
 
SUBSCRIBE TO CIO
 
Are you involved in setting the direction for your company's IT budget or strategy?

Apply today for a FREE subscription to CIO Magazine!

 


Fri, Apr 25, 2008 16:08 EDT

The Challenge Open Source Presents to CIOs

Topic: Infrastructure

Blog: The Open Source

Current Rating: 5 Comments: 2

This week's eWeek contains what should be a wake up call for every CIO regarding the pervasiveness and challenge that open source represents to their jobs and organizations. In the midst of an extensive interview with Jonathan Schwartz and Rich Green, Schwartz cites this anecdote, which provides dramatic evidence of the role open source plays in today's IT landscape. Here is the anecdote in its entirety:

"I was with the CIO of a very traditional financial institution recently. At the end of our meeting, I said, "By the way, we've just announced the closing of our acquisition of MySQL." The CIO looked at me, and she said, "Well, that's nice, but we really don't use MySQL here. We're a proprietary software shop." A very eager Sun sales rep was with me who had checked in with his buddy at MySQL and found out that this organization had downloaded MySQL 1,300 times in the last six months.

"[The CIO] was stunned by that. A couple of their technology folks who were also there said, "Actually, it's the No. 1 database all of us use. It's just that we don't have a commercial license because we've been told we're a proprietary vendor shop."

"So now we're in the midst of negotiating a license, and they'll wind up saving, like everybody else, $5 million or $10 million. And that, in a slowing economy, is a very helpful thing."

Schwartz recounts this incident as an example of how Sun is going to prosper with its open source strategy, and I'm pleased with their happy outcome, but the true meaning of this incident is far more profound and illustrates what a challenge open source represents to IT organizations' business-as-usual.

In this company, open source is being widely deployed; however, none of the existing processes are tuned to address this fact, and are, in fact, completely blind to the presence of open source in a large number of the company's IT projects. Think about the risk exposure this represents. Obviously, there are questions regarding whether the company is complying with the license obligations of the open source software, so the company's attorneys are likely to be concerned.

To my mind, though, legal risk is only a small part of the overall risk this CIO faces. The far larger risk is that there is no visibility into the makeup of a significant portion of the company's IT infrastructure. How can you confidently plan for SLA commitments when you're not sure of what software you're running, its maturity, supportability, and so on? Furthermore, as a CIO, you face the very real potential of being unable to adequately map out your workforce skills planning, since you are unaware of what development and operations commitments accompany these invisible software implementations. Finally, it's hard to attest to important regulatory requirements (if you're subject to regulations like recoverability and so on, as financial institutions are), when you don't know what will need to be recovered.

The initial response by many CIOs is to ban open source, but it's far too late to bar that gate. As Gartner has noted, over 90% of all enterprises will be using open source by 2010. Given that, the critical action item for CIOs is to set up policies and processes to manage the use of open source and ensure that its benefits are retained while risks accompanying its use are reduced. The common term for this is "Open Source Governance." In my

You do not have flash or javascript support.
Average (1 vote)
5
 
 
Thu, Sep 4, 2008 4:25 EDT
Posted by: abu_talal
Rating:

The idea of banning opensource is ludicrous - 4/10 leading global banks and 2/10 leading global investment managers are using Alfresco already - and we all know where FS and Banking leads, the rest follow!
Abu

 
Mon, Sep 8, 2008 11:58 EDT
Anonymous user
Posted by: Abu Talal
Rating:

i've just found a really helpful / interesting discussion group regarding open source and in general the challenges facing the modern CIO. the link is as follows;

http://www.meettheboss.com/index.jsp?buid=FinChannel040920081sn

I hope you all find this as insightful as i did,

Abu

Post new comment

* Subject:
* Username:
* E-mail:
The content of this field is kept private and will not be shown publicly.
Homepage:
* Body:
  • Allowed HTML tags: <a> <em> <strong> <cite> <code> <ul> <ol> <li> <dl> <dt> <dd> <img> <blockquote> <strike> <p> <br>
  • Lines and paragraphs break automatically.
More information about formatting options

* Denotes required field.

About this Blog

News, views and updates from the fast-growing world of enterprise open source software.

Hot Conversations

Ex-Microsofties Look Back in Anger

Posted by Shane ONeill in News | 4 comments

The Price of IT Outsourcing

Posted by Beth Bacheldor in Best Practices | 2 comments

Start a Conversation
Click to post

Got something to say? We want to hear it! Click the Post button to get started. GO»

EXPERT ADVICE
See our roster of experts.

Advice & Opinion from more than 115 of IT's most insightful thinkers.

  PARTNERS       WEBCASTS    
 

Windows 7 Webcast Series

There's a lot of buzz about Windows 7 out there. Each month in our webcast series, listen to analysts and customers discuss how Windows 7 and the Windows Optimized Desktop is impacting large companies around the world. Learn how they evaluated Windows 7, including the cost of deployment, deployment strategies, and tangible benefits.

Sponsored by Microsoft  Listen to on-demand Recordings »

 

A Framework for Better Application Delivery

The complexity of application delivery is driven in part by the evolving applications environment. Instead of approaching application delivery from a siloed fashion, this handbook looks at end-to-end guidance and discusses the impact of ignoring the WAN, Web apps that are chatty, data center consolidation, SaaS, Web 2.0 and virtualization.

Sponsored by Riverbed  Read this White Paper »

 

Microsoft® Exchange 2010 includes archiving - but is it enough?

Microsoft® Exchange 2010 includes basic email archiving. But many organizations will find that it does not meet their requirements. This paper describes why organizations need to archive, what capabilities Exchange 2010 includes and why 3rd party archiving solutions will be necessary for most organizations.

Sponsored by Google, Inc.   Read this White Paper »

Resource Alerts

Get instant email notifications by topic when white papers, webcasts, and case studies are added to our library.

Resource Alerts

Get instant email notification when white papers, webcasts, and case studies are added to our library. Don't just be up-to-date—be up to the minute with our new Resource Alerts.

Enterprise Capture: Your Onramp to Business Process Automation

Today more than ever companies are seeking to reduce costs and...  View Now »

 

The True Cost of Legacy Systems

How well are you maximizing existing software assets? This webcast reveals the results of a commissioned study on top migration and modernization priorities for IT leaders.   View Now »

 

How To Maximize Your Virtualization Strategy and Deployment

Join award-winning technology journalist Stan Gibson in this webcast as he discusses how to enhance your virtualization strategy with the ROI, planning, implementation and platform advice. Exploit the business benefits of virtualization and successfully expand your current deployment.   View Now »

Resource Alerts

Get instant email notification when white papers, webcasts, and case studies are added to our library. Don't just be up-to-date—be up to the minute with our new Resource Alerts.

 
NEWSLETTER

Sign-up for the Blogs & Discussion Newsletter




*Required fields

By clicking the sign-up button, you agree to the Privacy Policy.

View all newsletters »

 
FEATURED SPONSORS
 
 
 
SPONSORED LINKS
 

Manage limitless content todayread EMCs 15-minute guide to ECM.

HP Exstream. Get a Free Document Assessment for Financial Services.

Take the Netezza TwinFin TestDrive!

Webinar: Jump-start your in-house e-discovery with Ringtail QuickCull from FTI Technology

Let Progress Software help your business make progress.

Best Practices to Reduce IT Operational Costs

Real-world testing ranks Trend Micro #1 against malware. See results.

Forrester: The real-world financial impact of Windows 7

Turn your desk phone and mobile phone into one with Sprint Mobile Integration.

Maximizing efficiencies with unified communications.

Stay informed with custom newsletters from Tech Dispenser

Selecting the Right Reporting Technology

An IT Leadership Action Plan for the Economic Recovery

Consolidate data centers and lower IT service costs. Learn How.

WAN optimization techniques significantly improve application performance. Read More.

The Revolution and Evolution of Private Cloud Computing

ROI of Application Delivery Controllers

Cut Costs & Green Your IT Operations with PC Power Management

Enterprise Capture: Your Onramp to Business Process Automation

Adobe® LiveCycle®solutions for intuitive user experience

Unlocking the Mainframe: Modernizing Legacy System to SOA

State of the Data Integration Market

Enhance Customer Loyalty through Higher Responsiveness

Achieving Business Agility with Application Grid

Seven Ways ITIL Can Help You in an Economic Downturn

Does your IDS really work? Find out with a free Endace Audit

Verint Systems. Discover the Power of Intelligence in Action"

CA ARCserve r12.5 is More Than Backup! Download Trial Version Today

Enterprise search helps employees get more done. Get the facts from Google.

See why ShoreTel is named best overall VoIP provider by Nemertes Research

Trend Micro ranked #1 against real-world malware. Read more.

AT&T Application Management & Hosting. Let us help you STRETCH

Microsofts new client operating system helped Pella reduce power consumption.

Efficiency goes up. Costs come down.

Dark Fiber from Sunesys Save on Unlimited Bandwidth with Fixed Costs.

Trend Micro ranked #1 against real-world malware. Read more.

Webcast: Solve Your Data Visualization Needs with Open Source BI

Webcast: Delivering the Enterprise-Ready Cloud

Ensure cost effective application delivery. Learn More.

Cloud Computing: The Impact CIOs See

What's Next for Enterprise Resource Planning?

Gartner Magic Quadrant, Application Delivery Controllers 2009

Global Research: CIOs Weigh In On Virtualization

Adobe® LiveCycle® solutions for business process automation

What's New in SOA Suite 11g?

Unleash the Power of Java with Oracle JRockit Real Time

SOA Best Practices and Design Patterns

Application Grid: Ideal Platform for IT Consolidation

Taking the Service Desk to the Next Level