APPIRIO: NEW VENTURE ON A CLOUD Harvard Case Solution & Analysis


Appirio was founded on the basis of helping companies in getting value for their system and the different software by actually moving the Information Technology systems to the cloud. Along with this, under the current model for delivering the Information Technology services, the companies being a part of Appirio have been able to deliver license software from different vendors and also deal with the issues such as the systems implementation, updates, hardware, support, maintenance and hosting. The concept or the service of the company requires a system and investment in technology, which is not directly related to the core of the company’s business. Along with this, the latest technology cloud computing has provided the opportunity to rather break out the old model where it allows the specialists to completely focus on the technical and other aspects of the software which looks to leave the company to align itself with the business operations. Appirio has also been delivering different products and services, which has helped the companies to accelerate the adoption of the cloud services.

Problem Statement

The major problem that has been identified in the case is that Appirio is basically a cloud computing consulting and service business that has experienced excessive growth where it has been able to successfully develop and form partnerships with players such as Google and Sales Along with this, the company has been practicing the concept of keeping all its systems in the cloud. The senior leadership of the team has been rather convinced with the venture on the cloud and it has been offering an extensive competitive advantage in terms of the ability, agility and the element of employee empowerment to gain the rapid innovations, In the current situation, Appirio is increasing challenges that might affect the company negatively. The company has been rather over dependant on such business model only.


The founders of Appirio have been traditional software companies such as Borland, SAP and WebMethods. The three companies are large companies where each one of them held roles in the Information Technology department, consulting and technical support. The CEO of the company has been Barbin and Glenn Weinstein has been the CIO of the company. Along with this, the agility and competiveness has also been a major aspect of the market. The company has been one of the breakthrough firms where the company has sustained in the market and brought in partnership with players in the market.

Critical Analysis of e-business Strategies and Management

The e-business strategies and the management that has been prevalent at Appirio has been the fact that the company has been able to cater the needs of diverse markets in the indsutry. The company has been offering cloud computing services and products that have made the company one of the most successful and revenue generating firms in the market.The major problem for the firm that has been identified in the case is the fact that the company has been overly dependent upon one single product and service that is the cloud computing services. This has been the major issue for the company because it has made the early success for the company, however moving ahead in the future, the company would face rather stiff competition.

The business model that would serve the need of the firm is to actually introduce diverse products for the company. Therefore, the company needs to bring in products that can compete and reduce the dependency on single products that is cloud computing product. The company should not solely be dependent upon the single business strategy. It should look to focus on retrenchment strategy. This would help the company to bring in new business adventures, which would allow bringing in new business strategies along the way. The company should also follow the focused differentiation strategy. This would allow the management of the company to offer products for the customers that are specifically for the customers who are willing to involve in rather diverse products. It can be said that the element of focused differentiation is one major aspect that needs to be catered rather skillfully. Along with this, the business strategy would help in aligning it with new aspects and elements of business is that the company should involve in the process of introducing its owned website. The company includes Software-as-a-Service and Platform-as-a-Service technologies like Sales, Google App, etc. This has been the major business and the major customers or clients for the company. However, moving ahead in the future, the company would be able to look after the different aspects of business. The different emerging technologies such as the growing social network, cloud computing and mobile technologies should also be seen as the opportunity for the company. Along with this, the competitors for the company such as the over dependency on one single product is also a threat, which needs to be made as an opportunity for the company................

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