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Enterprise Cloud Observability: Choosing the Right Starting Point

Khushboo Nigam
Oracle

Enterprises operate different combinations of workloads across cloud, hybrid and multicloud environments. For business-critical workloads, teams need to consider monitoring and observability early so they can detect health issues, investigate failures, and understand operational impact.

Organizations place workloads on cloud platforms based on a combination of technical requirements, economics, existing dependencies, organizational standards, and business priorities. Their monitoring priorities therefore depend on what they operate and where those systems run. Those priorities will not look the same for every organization.

The Mixed Cloud Estate Reality

In my work with enterprise teams, I have seen this variation show up in the types of systems they need to observe. Some common estate components and the visibility they may require are listed below.

Image
Oracle

These patterns are not mutually exclusive. A single enterprise may operate several of them, and each may create a different observability need. They may also span hybrid or multicloud operating models, where teams need visibility across cloud boundaries, ownership, service dependencies, and operational consistency.

Common Cloud Observability Starting Points

As workloads and operational questions change, the telemetry that teams prioritize may also change.

Image
Oracle

The Starting Point Also Depends on Who Owns the Question

The starting point may also depend on who is asking the operational question. Infrastructure teams may focus first on resource health and capacity; application teams on latency, errors, and user-facing workflows; database teams on query and service performance; and security or compliance teams on access, audit activity, and configuration changes. These responsibilities vary by organization and frequently overlap, which makes shared context and telemetry correlation important.

Maturity Beyond Telemetry Checklists

Teams can easily fall into the habit of collecting as much telemetry as possible. But observability maturity is not simply the presence of metrics, logs, and traces. A team can collect all three and still struggle to answer basic operational questions. Maturity is better reflected in whether teams can detect meaningful changes, investigate issues efficiently and use telemetry to make operational decisions.

In practice, one question I often ask before suggesting an observability approach is: What workloads are you running, which operations are business-critical, and what do you need to understand when something goes wrong? The answer helps determine which telemetry and capabilities will support the team. Collecting data without a clear purpose can add cost, storage, and noise without improving diagnosis or decision-making.

How to Choose the Right Starting Point

The following questions can help an organization identify an appropriate observability starting point:

  • Which cloud services and business operations are most critical?
  • Which systems generate the most incidents or unanswered operational questions?
  • What types of workloads does the organization operate?
  • Which teams use the telemetry, and what decisions do they need to make?
  • What signals already exist, and which are collected but not actionable?
  • Where is diagnosis slow, and what technical or business context needs to be correlated?

Why the Foundation Still Matters for AI-Assisted Operations

AI is increasingly being used to help teams query telemetry, interpret logs, investigate alerts, and suggest next steps. In my own experience, an AI assistant can reduce the time it takes to understand a group of logs and identify likely issues. Capabilities across observability platforms now include generating queries from natural language, creating visualizations, correlating signals, and investigating alerts. More advanced use cases, such as automated investigation or approved response workflows, are also becoming part of the broader AIOps conversation.

AI assistants and agentic workflows depend on the telemetry available to them. To interpret an issue, connect related events, or recommend an action, they need relevant signals and context from the systems being operated. If that data was never collected, or if the signals cannot be correlated, the AI cannot reliably determine what happened or what should happen next.

Start with the Environment and the Question

There is no single observability starting point that fits every enterprise. The right approach depends on the systems being operated, the teams responsible for them, and the operational questions that matter most. Infrastructure metrics, logs, database signals, audit activity, application telemetry, and distributed traces can all be valuable when they help teams understand and act on what is happening. The strongest observability strategies begin with the environment teams actually operate in and the decisions their telemetry needs to support.

Khushboo Nigam is a Principal Cloud Architect at Oracle

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AI is usually talked about as a software tool, but it also depends heavily on the network behind it. Whether a company is using AI for chatbots, automation, monitoring, analytics, or employee support, all of that information has to move across the network in a reliable and secure way. That means AI is not just an application decision. It is also an infrastructure decision. Before organizations rush into AI, they should ask a simple question: Is our network ready to support it? ...

Enterprise AI often lacks governed access to where business processes actually execute. Without that access, AI agents may be able to reason, but they cannot operate reliably across enterprise workflows. For AI agents to effectively carry out workflows, they will require integration-layer context and controls. Organizations can implement these prerequisites by providing AI with managed access to the middleware layer ...

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Website outages get resolved just as fast in August as they do in November. I went looking for the opposite: the summer slowdown everyone assumes is there once the people who fix things are away. It isn't in the data we collected, covering 1.8 million confirmed outages across tens of thousands of websites ...

This year, many of the cloud infrastructure contracts signed in the early days of the AI boom will come up for renewal. As the year goes on, I anticipate we'll see a significant amount of cloud vendor swapouts and multi-cloud adoption, and the reason isn't just GPU depreciation. It's because they're tired of their current cloud providers ...

There's a moment the many observability teams have experienced days into bringing a new service into production: you realize that the vendor's claims of "intelligent" behavior included a large serving of hype. Their dashboards look nice until they don't, the failure modes are a black box, and no one on the team can confidently explain why the system did what it did at 2 am. Agentic AI is about to force every Ops team to relive that moment at web-scale until they start treating these systems as the dependencies they actually are ...

Enterprise Cloud Observability: Choosing the Right Starting Point

Khushboo Nigam
Oracle

Enterprises operate different combinations of workloads across cloud, hybrid and multicloud environments. For business-critical workloads, teams need to consider monitoring and observability early so they can detect health issues, investigate failures, and understand operational impact.

Organizations place workloads on cloud platforms based on a combination of technical requirements, economics, existing dependencies, organizational standards, and business priorities. Their monitoring priorities therefore depend on what they operate and where those systems run. Those priorities will not look the same for every organization.

The Mixed Cloud Estate Reality

In my work with enterprise teams, I have seen this variation show up in the types of systems they need to observe. Some common estate components and the visibility they may require are listed below.

Image
Oracle

These patterns are not mutually exclusive. A single enterprise may operate several of them, and each may create a different observability need. They may also span hybrid or multicloud operating models, where teams need visibility across cloud boundaries, ownership, service dependencies, and operational consistency.

Common Cloud Observability Starting Points

As workloads and operational questions change, the telemetry that teams prioritize may also change.

Image
Oracle

The Starting Point Also Depends on Who Owns the Question

The starting point may also depend on who is asking the operational question. Infrastructure teams may focus first on resource health and capacity; application teams on latency, errors, and user-facing workflows; database teams on query and service performance; and security or compliance teams on access, audit activity, and configuration changes. These responsibilities vary by organization and frequently overlap, which makes shared context and telemetry correlation important.

Maturity Beyond Telemetry Checklists

Teams can easily fall into the habit of collecting as much telemetry as possible. But observability maturity is not simply the presence of metrics, logs, and traces. A team can collect all three and still struggle to answer basic operational questions. Maturity is better reflected in whether teams can detect meaningful changes, investigate issues efficiently and use telemetry to make operational decisions.

In practice, one question I often ask before suggesting an observability approach is: What workloads are you running, which operations are business-critical, and what do you need to understand when something goes wrong? The answer helps determine which telemetry and capabilities will support the team. Collecting data without a clear purpose can add cost, storage, and noise without improving diagnosis or decision-making.

How to Choose the Right Starting Point

The following questions can help an organization identify an appropriate observability starting point:

  • Which cloud services and business operations are most critical?
  • Which systems generate the most incidents or unanswered operational questions?
  • What types of workloads does the organization operate?
  • Which teams use the telemetry, and what decisions do they need to make?
  • What signals already exist, and which are collected but not actionable?
  • Where is diagnosis slow, and what technical or business context needs to be correlated?

Why the Foundation Still Matters for AI-Assisted Operations

AI is increasingly being used to help teams query telemetry, interpret logs, investigate alerts, and suggest next steps. In my own experience, an AI assistant can reduce the time it takes to understand a group of logs and identify likely issues. Capabilities across observability platforms now include generating queries from natural language, creating visualizations, correlating signals, and investigating alerts. More advanced use cases, such as automated investigation or approved response workflows, are also becoming part of the broader AIOps conversation.

AI assistants and agentic workflows depend on the telemetry available to them. To interpret an issue, connect related events, or recommend an action, they need relevant signals and context from the systems being operated. If that data was never collected, or if the signals cannot be correlated, the AI cannot reliably determine what happened or what should happen next.

Start with the Environment and the Question

There is no single observability starting point that fits every enterprise. The right approach depends on the systems being operated, the teams responsible for them, and the operational questions that matter most. Infrastructure metrics, logs, database signals, audit activity, application telemetry, and distributed traces can all be valuable when they help teams understand and act on what is happening. The strongest observability strategies begin with the environment teams actually operate in and the decisions their telemetry needs to support.

Khushboo Nigam is a Principal Cloud Architect at Oracle

The Latest

Rapid AI adoption and the unique ways AI workloads operate is redefining the scope and structure of what these teams must deliver. This shift is forcing organizations to rethink how they manage scale, automation, and control, according to The State of SRE and Platform Engineering 2026, a new report from Dynatrace ...

AI is usually talked about as a software tool, but it also depends heavily on the network behind it. Whether a company is using AI for chatbots, automation, monitoring, analytics, or employee support, all of that information has to move across the network in a reliable and secure way. That means AI is not just an application decision. It is also an infrastructure decision. Before organizations rush into AI, they should ask a simple question: Is our network ready to support it? ...

Enterprise AI often lacks governed access to where business processes actually execute. Without that access, AI agents may be able to reason, but they cannot operate reliably across enterprise workflows. For AI agents to effectively carry out workflows, they will require integration-layer context and controls. Organizations can implement these prerequisites by providing AI with managed access to the middleware layer ...

Enterprise networks rarely behave the same way for very long. A routing adjustment in one region may unexpectedly alter application performance in another. A cloud migration may introduce hidden dependencies that go unnoticed until an outage occurs. All the while, the network is managed by several different teams, each of whom use different tool sets — and as a result, have different views of the network ... There’s usually an engineer who remembers why traffic fails over a certain way between sites, or which transparent firewall was added where. The problem is that human memory cannot scale alongside enterprise-scale networks ...

Ask an infrastructure team how confident they are in their ability to govern AI, and most will tell you they've got it handled. A recent survey of 406 IT decision-makers and platform engineering leaders found 86% expressing exactly that confidence. Ask the same group whether they have a formal written AI governance policy, and the number drops to 30%, according to Spacelift's Infrastructure Automation Report ...

In MEAN TIME TO INSIGHT Episode 27, Shamus McGillicuddy, EMA VP of Research, Network Infrastructure and Operations, and Parker Hathcock, EMA Research Director covering IT Service/Operations (ServiceOps), discuss observability unification in modern IT operations ... 

Virtual Private Networks became a cornerstone of enterprise security at a time when corporate infrastructure looked very different from today ... For years, this model worked well. But the architecture behind VPNs assumed a centralized corporate environment—one where the network itself was the hub of activity. In a cloud — first world, that assumption no longer holds ...

Website outages get resolved just as fast in August as they do in November. I went looking for the opposite: the summer slowdown everyone assumes is there once the people who fix things are away. It isn't in the data we collected, covering 1.8 million confirmed outages across tens of thousands of websites ...

This year, many of the cloud infrastructure contracts signed in the early days of the AI boom will come up for renewal. As the year goes on, I anticipate we'll see a significant amount of cloud vendor swapouts and multi-cloud adoption, and the reason isn't just GPU depreciation. It's because they're tired of their current cloud providers ...

There's a moment the many observability teams have experienced days into bringing a new service into production: you realize that the vendor's claims of "intelligent" behavior included a large serving of hype. Their dashboards look nice until they don't, the failure modes are a black box, and no one on the team can confidently explain why the system did what it did at 2 am. Agentic AI is about to force every Ops team to relive that moment at web-scale until they start treating these systems as the dependencies they actually are ...