Most businesses today have heard of cloud computing, and many enterprise IT developers have already transitioned to cloud technology ‐ whether it’s public, private or a hybrid cloud model.
It isn’t that these businesses are jumping on some kind of technology bandwagon; they understand – to an extent – that the return on investment (ROI) of moving to the cloud can be significant.
To help you understand the specific ROI of cloud computing, we want to take this opportunity to discuss some of the key drivers that can make the change worth it. After all, 80 percent of companies say they are highly to somewhat likely to calculate ROI for cloud projects (InformationWeek).
If you have done any type of research on cloud computing, then you have likely come across the buzzword “agility.” The truth is, agility is not just a buzzword; it is very much the essence of cloud-based technology. It means that users have a highly adaptable technology that allows them to easily and quickly access company resources from any device, at any time, from anywhere with an Internet connection – and request more storage, processing power, and memory as needed. With a cloud-based strategy, enterprise IT can quickly scale up or scale down as business needs change, all without interruption and long delays. Agility is a supreme ROI driver because it makes doing business easier, faster, and cost-efficient.
Due to its agility, cloud computing can help businesses speed organizational operations as well as innovation. Where it once took weeks or months to finalize business applications, cloud-based computing resources can now shorten this development cycle to just days. That means organizations have the opportunity to bring state-of-the-art, cloud-enabled applications to market faster and ahead of competitors. The speed of cloud technology presents a distinct advantage over legacy environments in the form of measurable return on IT or line-of-business investments.
In addition to agility and speed, taking enterprise IT to the cloud also means access to critical data that can improve business operations and performance. By deploying Data as a Service (DaaS) and Analytics as a Service (AaaS), companies can gain actionable insights from business intelligence to stay ahead of the competition, respond to threats, and gain market share.
Due to the cloud’s ability to control costs by making operations faster and more intelligent, businesses can take advantage of revenue growth opportunities with new customers and markets. Oftentimes, these organizations can expand service capabilities to improve the end user experience with a product or service, which feeds back to future business growth from satisfied, loyal customers.
One of the greatest benefits of working in the cloud is the flexibility it affords. Businesses can determine the ideal setup in private, public or hybrid models, depending on the levels of responsiveness, security and scalability they need – and how much they want to spend on it. Vendor lock-in need not be an issue either; with open source technology, enterprise IT can operate in the environment best suited for their business specifications and endeavors.
What other types of ROI drivers make the cloud a viable option for the enterprise?