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Enterprise Cloud Adoption: Key Drivers

Jun 3rd 2015 at 12:07 AM

From SMBs to large enterprises, what is making them to adopt cloud storage and computing options for their business? Cloud adoption is in rise because of three factors: cost, agility and scalability. A large number of companies are seizing opportunities around the cloud for increasing operational efficiencies and providing innovative new services to customers. Cloud enthusiasts believe that cloud provides their business agility that leads to improved productivity and improved responsiveness to customers.

Cloud services such as Infrastructure-as-a-Service (IaaS), Software-as-a-Service (SasS), and Platform-as-a-Service (PaaS) are more than technology delivery paradigms for businesses. From cost savings to flexibility, companies have developed an appetite for cloud migration due to:

  • Move from Capex to Opex

If the goal of a company is to increase profits then costs must be reduced without compromising with the business revenue. Cloud adoption helps companies to lower capital expenditure. With cloud services, IT departments can now use managed services to deliver IT requirements of the company. They can move from capex to opex so as to focus on core competencies.

  • Responsiveness to customers

Businesses are leveraging the cloud to achieve new levels of the “Connected Experience” across customer and clients. SMBs have found that cloud computing has improved their ability to provide an enterprise-grade customer service experience.

  • Operational Business Intelligence

Keeping up with the pace of technology innovation is essential for business growth and success. Applications, tools or IT infrastructure being deployed in the cloud are playing an increasingly important role in driving up the business productivity along with top and bottom line. Businesses are now able to make faster and better business decisions. This is called Operational Business Intelligence.

  • Cloud agility

Moving to hosted applications IT solutions makes internal IT processes more agile. Cloud agility helps in rapid provisioning of computer resources and provides new compute instances in minutes, which may otherwise take weeks if being deployed by on-premise IT department.

  • Scalability

Cloud migration enables companies to gain competitive advantage, which is the ability to do business in a better, faster and at lower price than competitors. All businesses want the ability to ‘scale’. Cloud computing makes upscale or downscale of the IT infrastructure easy. This is what makes the cloud valuable to growing companies.

The most important thing is that cloud is retooling the way businesses can use IT. Other key drivers behind the adoption of cloud are latency to existing systems, improved performance, business expansion, and collaboration & innovation. Though different drivers impact companies at varying degrees, but cloud storage or services have long-term benefits in reserve for enterprises considering cloud move.

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