Thinking of migrating to the cloud? You are not the only one. With a compound annual growth rate (CAGR) of 17.5%, global cloud markets are expected to reach 832.1 billion by 2021.1 But these figures do not mean much to understand the benefits and role of cloud technologies in digitalization and business improvement. How does the cloud simplify the adoption of new business tools? Is there a tried and tested migration path that can be applied to all scenarios? What does the application of the cloud concept mean for end users?
Using the experience of companies that have recognized the potential of cloud technologies, we will try to answer these questions.
1. Cloud is the driver of innovation
In addition to migrating existing infrastructure and applications, cloud technologies open up opportunities to use advanced tools such as artificial intelligence and machine learning, which require large infrastructure capacities. In this regard, many companies see the cloud as an opportunity: to experiment and try new tools without capital (often financially unsustainable) investments in physical infrastructure. According to Ivan Karlović, Data Analytics and Master Data Director in Norwegian:
“Technologies like the cloud allow us to be more flexible. We don’t have to count on big investments in advance, we can try the tool – is it good or not? We used to run like a freight train, thanks to the cloud it’s getting easier today, today we can solve problems in a targeted way and dynamically change plans.”
One of the significant advantages of the cloud is the possibility of implementing business analytics. For Norwegian, it is a matter of value creation and overall business strategy. As Karlović pointed out, the crisis does not have to slow down investments in solutions such as analytics, on the contrary – “when it is most difficult, then we should invest”.
2. Assessing digital maturity is often the first step towards the cloud
For companies using traditional on-premise solutions, the transition to a cloud environment is a challenging project. Like any major implementation, this process requires careful consideration of existing systems, processes, and weaknesses. Ultimately, the transition to the cloud requires a change of mentality – a way of managing change in the organization as a basic paradigm on the road to digitalization. To take a step forward, you must first define where you are currently and in which direction you want to go.
That was the goal of Nelt when, with the support of Mainstream and Microsoft experts, it performed an assessment of digital maturity. Speaking about the challenges of digitalization, Milan Bukorović, CEO of Nelt, pointed out: “It is easy to write on paper: we will define the strategy, and then the realization of what you have, what you want, what you lack begins.…”
Nelt uses cloud technologies today, and the assessment of digital maturity was the first stage of the transformation process, which is still ongoing. Bukorović believes that everyone must find their own way, and that the implementation of a structured process, with the support of an adequate partner, is extremely important. In the case of Nelt, that path was a hybrid approach to the cloud – a gradual transition with a focus on strategically important initiatives.
3. Migration is an opportunity for optimization
Companies often opt for cloud migration to respond to a specific need such as business continuity. But efficient migration does not mean moving existing systems to a new environment, but developing a new system that, in addition to meeting the initial requirements (eg business continuity), opens up additional opportunities for improvement.
When AIK Bank, one of the leading banks in Serbia, decided to modernize the Disaster Recovery solution, the main goal was to make the business even more resilient. With the appropriate expertise, planning and strategy, the bank has achieved numerous advantages by switching to cloud DR – in the field of business continuity, but also efficiency.
In addition to lower risk of IT operations, the transition to Mainstream Enterprise Cloud brought the bank 40% less infrastructure costs compared to the on-premise solution.
In other words, it ensured the preservation of business continuity and data security, and at the same time served as a training ground for raising profitability. And not only that. The cloud model of implementation has enabled more relaxed budget planning due to the transition from CAPEX to OPEX, but also more efficient communication with “single point of contact”.
4. The effect of shared responsibility makes life easier for IT teams, but also for end users
If your infrastructure is not stable and performing enough, it will affect the quality of delivery of digital services. This is especially important for industries such as retailers that “juggle” various business and retail applications, for which customer satisfaction is imperative.
As a retail leader dedicated to innovation, Gomex uses an ecosystem of technologies, including a developed loyalty program. Wanting to eliminate application problems caused by outdated equipment, as well as to relieve its IT team of daily care about infrastructure, Gomex moved the entire production environment to the Mainstream Enterprise Cloud.
The support element has proven to be important – for internal IT teams that can focus on planning new and innovative solutions, but also for users of Gomex applications, who enjoy faster and more reliable services. Dragan Ranisavljević, Gomex’s Director of Financial and General Affairs, describes this as “the effect of leaving part of the responsibility to a professional company”.
Let’s talk about the cloud
Examples of companies that have already started their cloud travel show that these technologies can be a powerful engine of technological development. The bottom line is that when it comes to planning cloud migration, you don’t have to go into this process alone. Share your experience with us, ask questions or schedule a personalized consultation with our experts.