Cloud computing is just one part of a larger digital transformation. It’s an essential component, but if other aspects of the finance operating model aren’t considered, a transition to the cloud would fall well short of expectations.
While CIOs and CTOs are leading the dialogue, given their role the pandemic, CEOs are instrumental in orchestrating collective-actionacross various functions and in enabling the transition to cloud as organizations grapple to accept ‘the new normal’.
Following the outbreak last year, leading organizations across the world struggled to transition their operating models to minimize disruption and sustain the uncertain time. While the transition was crippled with challenges for most, as the dust settled, many organizations realized that their existing investment in cloud-based technologies were not adequate for business resilience.
As the second wave of COVID-19 rises disrupts livelihoods, businesses and governments alike, organizations that are yet to embark on their cloud journey, need to take active steps to embrace it. Here are a few factors that makes cloud a critical business imperative in the current times. In the days to come, I hope CEOs and other C-suite members take into consideration the numerous advantages that cloud can deliver and recognise its role in building business resilience in this rapidly evolving risk landscape.
Cloud Security
The storage and control aspects of hosting business-critical data and software in the cloud tends to be one of the top concerns for businesses to remain sceptical about cloud adoption. However, according to a new global survey of senior IT security professionals conducted by Nominet, the UK domain registry provider, 61 percent of security experts believe cloud-based data and apps are more secure than on-prem data and apps, a significant change from conventional views. Given the abrupt shift to remote working arrangements last year, most companies found that moving to the cloud helped them maintain high productivity.As data, applications & users have increased in number, the emergence of hybrid workplace models & digital transformation is forcing companies to view security differently. Additionally, organizations are now faced with security challenges such as increased attack surface, a complex threat landscape, overburdened security teams and outdated threat detection and remediation practices.
Dependency on IT
Another misconception is that deciding to move to the cloud and timing the transition are logistical problems that the IT department must overcome. While IT is a key stakeholder, the fact is that it is business processes, data, and activities that are moving to the cloud, so how and when this happens is a business decision.Although technology is important in this journey, the most successful approach is to migrate to the cloud, with finance, HR, and operations leading the way and IT supporting them.Over 45% of IT spending on infrastructure, applications will be shifted to cloud by 2024 which is now accelerated by the pandemic.
Transition from legacy systems to cloud
Most large corporations have migrated from legacy data centres to data lakes in recent years more so, post the pandemic. Even though warehouses are still useful for many structured data applications, deploying modernised platforms for a number of new business models can go a long way in helping organizations govern data more efficiently. While data centres, data lakes, and cloud-based platforms offer better performance at a lower cost and high scalability, cloud can enable data modernization practices by automating data pipelines, providing access to advanced tools or resources and higher flexibility.
The broader digital transformation
Cloud computing is just one part of a larger digital transformation. It’s an essential component, but if other aspects of the finance operating model aren’t considered, a transition to the cloud would fall well short of expectations. The cloud is a tool, not a destination. It is crucial for process optimization and allows vital developments such as artificial intelligence and robotics, all of which must be prioritised.
Cloud is now an imperative and not a matter of choice anymore and in today’s demanding yet highly uncertain business environment, only organizations that embrace cloud will be the ones to emerge stronger.
https://cio.economictimes.indiatimes.com/news/cloud-computing/key-value-drivers-for-seamless-cloud-transformation-to-navigate-the-pandemic-hit-era/82994312
