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In: Operations Management

What are the common operational drivers that cause companies to migrate to the cloud? example?

What are the common operational drivers that cause companies to migrate to the cloud? example?

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Expert Solution

The common operational drivers that cause companies to migrate to the cloud are created, the more drivers will be identified. Over time, these leaders may come into conflict with one another.

For example, if a business wants to reduce costs, it can hinder growth or affect the customer experience. As it defines cloud drivers, it also has to prioritize them to have a clear answer as to who has the previous model in case of conflict. This priority not only facilitates the decision-making process in these cases, but also ensures consistency.

With this in mind, what does an organization’s cloud driver look like? When you download it, there are six drivers for cloud hosting: three business-focused drivers (business growth, efficiency and experience) and three technology-oriented drivers (agility, cost and security). Here is what you need to know about each of them.

Business growth

Business growth is one of the best benefits the organization recognizes as a result of cloud adoption, with 52% of companies reporting growth after moving to the cloud. If you define business growth as a cloud machine for your organization, you also need to decide how you will define growth. For example, will sales increase or gain market share? The answer should depend on the maturity of your business. Based on this answer, you should outline your plans to achieve this goal and determine how cloud technology will help in this search.

Efficiency

Efficiency is a typical cloud machine that 71% of organizations worldwide classify as one of the top areas they hope to support through cloud technology. Its effectiveness is the elimination of unnecessary process optimization steps to increase productivity or meet customer needs faster. As a result, efficiency growth also supports business growth and initiatives for experience.

Experience

Next among the business machines is improving the quality of the customer experience, with 45% of companies in the world ranked as the top machine in the cloud.

The two simplest ways organizations achieve this goal with cloud technology are by introducing new networks for engagement and increasing productivity in the workplace.

However, experienced leaders may be in direct conflict with cost and efficiency goals. For example, if you introduce the automation tree of customer service telephony, you can reduce costs and increase efficiency, but your customer experience will suffer.

Agility

Improving IT flexibility or enabling IT to better meet business needs and respond more quickly to market changes is a leading technology driver for 66% of organizations worldwide.

This goal can be achieved in a cloud environment because SaaS technology means that IT technology is no longer used with traditional software management functions. Cloud technology is also easy to improve and replace to meet changing business needs.

However, it is important to recognize that the cloud environment requires new IT skills around the management and coordination of these products. In addition, while increased flexibility can benefit customers' internal experiences by facilitating the introduction of new technologies that customers want, it can also be detrimental to IT capabilities, providing support.

Cost

The cost machine has two parts: reducing IT costs and structuring those costs over time thanks to the SaaS technology licensing model. While 39% of organizations consider reducing the cost of information technology to become the main cloud, the cost is usually replaced by other cloud drivers, because organizations usually choose to save money to help achieve other goals, such as increasing Improved agility and experience. .

Confidence

Finally, there is confidence, which is the idea that data will be more secure in the cloud and the user will get a better time because his decision is supported by the service providers who have built their business around both capabilities.

As a result, it is not surprising that 73% of organizations report that IT has benefited the most from the use of cloud technology. Although organizations in highly regulated industries need to pay more attention to ensuring that they maintain compliance with data housing laws, the cloud is still a viable option. All in all, the benefits of trust can also help further IT initiatives.


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