Cloud Migration: Cost Reduction and Time to Return
Corporate IT departments are often charged with transforming organization-wide operations. They’re pressured to implement and maintain the latest and greatest technology. But at the same time, they’re forced to cut costs and adapt to ever-shrinking IT budgets. Learn how your organization could save money by migrating to the cloud.
Corporate IT departments are often charged with transforming organization-wide operations. They’re pressured to implement and maintain the latest and greatest technology. But at the same time, they’re forced to cut costs and adapt to ever-shrinking IT budgets.
That’s why technology leaders are looking to cloud migration as a potential solution. It’s a way to enhance productivity while reducing costs and eliminating capital expenses.
In a recent independent cost-analysis study commissioned by mindSHIFT, most companies with 75-500 employees reported savings when moving to a cloud environment. Of the 56% that reported savings, the average saved was over $75,000 annually.
ROI and Business Benefits
IT leaders understand their technology costs upfront well enough to determine whether it makes sense financially to move to the cloud – or which computing resources make the most sense to move. The ability to measure return on investment (ROI) is important for businesses in the market for a new cloud provider, but there are other resources available that provide broad insight into the on-the-ground reality of cloud migration.
According to the independent cost-analysis study commissioned by mindSHIFT, most respondents were highly optimistic about their likelihood to use ROI calculators and other available resources to assess the effectiveness of cloud solutions and their cost savings.
Traditionally speaking, when IT leaders discussed the ROI of a technology investment, mostly the financial benefits were considered. But today, other business benefits—those not necessarily measurable with an ROI tool—are just as important.
The independent cost-analysis study commissioned by mindSHIFT showed the top three factors considered when purchasing cloud solution technology are security, TCO and functional capabilities. And the business benefit of 24/7 service and support ranked number four. Also high on the list was purchase price, as well as time and effort required for technology deployment.
Time is Money
Clearly, organizations expect costs to decrease by migrating their workloads to the cloud. But they want to see the financial savings of cloud implementation faster than ever before. In fact, most say the time to return on the investment is just as important as the cost savings itself.
The independent cost-analysis study commissioned by mindSHIFT showed that 78% of respondents who saved money in the cloud realized those savings within the first 12 months. And 56% of those that have migrated are saving an average of 16%—an average annual savings equivalent to more than $75,000 per year.
The time to migrate to the cloud is now
Migrating to the cloud has proven to save organizations thousands of dollars in the first year of implementation. And it’s difficult to put a price tag on the added business benefits that come with cloud migration—enhanced productivity for your in-house technology team, system reliability and instant access to a dedicated service and support team at any time.
Could your business benefit from an extra 16% added to your IT budget? Would your technology team appreciate the ability to focus on strategy, while letting us handle the everyday support tasks?
Contact one of our mindSHIFT representatives today to get started with your company's cloud migration.