The cloud has changed the way of consuming and operating computing resources. More and more companies are using the cloud strategy to improve business performance and accelerate digital transformation.
The cloud driving innovation within companies
91% of business and IT decision-makers say they have already implemented innovative projects based on cloud computing solutions. Decision-makers working for operators (telecoms, energy, etc.) and the distribution sector are the first to have taken the plunge to innovate with the cloud.
These solutions allow them to accelerate access to the resources and technological environments necessary to implement advanced digital projects and improve them over time.
The promise of the cloud: cheaper, easier, and more agile
From the outset, cloud security presents a strong economic tropism that echoes the performance ambitions of CIOs. With the enrichment of the service catalogs of cloud service providers and the expectations of businesses in terms of digital transformation, the cloud has built its promise around several invariants:
Digital transformation and cost reduction
If done right - Cloud innovations ignite an overall reduction in costs and improved investment capacity enabled by new business capabilities. However, the economic assessment of cloud transformation, "all other things being equal," is complex to draw up and must be interpreted with caution and depends on cost efficiency measures getting implemented from the on-set.
The appeal of agility
Cloud innovations support the growth goals of businesses with a better time to market and a fluidity of the ATAWADAC (Any Time, Anywhere, Any Device, Any Content) experience for end-users.
The promise of cloud service providers thus perfectly echoes the challenges of CIOs. They also say that the primary triggers of their cloud transformation are economic performance and project acceleration. Behind the relatively monolithic promise lies an assortment of different suppliers and technologies. It is up to CIOs to choose which path to lead the digital transformation.
There have been many disruptions and problems due to the pandemic, including issues in the enterprise. The constant challenges that businesses face have caused them to increase the pace of their digital transformation, resulting in an unprecedented demand for new business models, remote working solutions, and collaboration services.
In a context where digital transformation is emerging as a decisive competitive advantage and a factor of resilience in times of crisis, CIOs find hope in the possibilities of the cloud. Cloud transformation makes rapid strategic changes, extensive integrations, and boundless automaton leveraging ML and AI – possible.
For businesses focusing on process optimization for operational performance, the cloud gives CIOs a new state-of-the-art perspective. It also offers them an opportunity to rethink the activity in a transversal way to initiate transformations.
First, they can rethink their operation in the light of the expectations of the businesses to meet the need for responsiveness and flexibility. That means breaking down the silos of traditional hyper-specialized activities for performance purposes. This enables the implementation of DevOps and, more broadly, a redefinition of all development, integration, deployment, and operations in integrated multidisciplinary teams.
While the digital transformation of companies initially represents a significant financial, organizational and technical investment, it is truly one of the levers for future growth. It quickly leads to savings and gains in growth and competitiveness, therefore in a return on investment and an increase in market share.
A McKenzie study shows that the most mature companies in their digital transformation have grown six times higher than the most backward companies. “A company that succeeds in its digital transformation could potentially see a 40 % gross increase in operating income while those that fail to adapt risk a 20 % reduction in operating income".
The goal of digital transformation is to go beyond the initial investment. It should not be approached as a necessary constraint that does not bring much to the company in the end. Cloud technology can be the springboard for the creation of new capabilities and new services.
Currently, the health crisis has put the continuity of economic activity to the test by forcing everyone to implement teleworking. In the long term, the tense economic context will require IT departments to find new approaches to efficiency and growth. Workflow automation by cloud migration is a sure bet for cost savings, efficiency, and the unlocking of new business opportunities.
You can depend on Cloudride for experienced help in cloud migration and workflow modernization. We specialize in public and private cloud migration and cost and performance optimization. Click here to schedule a meeting!