As businesses increasingly migrate their operations to cloud platforms, many still struggle to fully leverage the potential benefits of cloud computing.
Let me elaborate with couple of examples.
One organization migrated their critical applications on two public clouds as per their multi-cloud strategy. After a few months of heavy investment, they reported issues like huge cloud cost compared to on-premises cost, Security and governance started eating their huge bandwidth adding lot of stress on teams to ensure compliance. They started facing frequent outage and time to fix downtime was significant.
Another example, where in database intensive applications were migrated to a public cloud. The cloud infrastructure was almost as-is replication of their on-premises architecture. The problems reported include huge cost spike, reduced agility as time to market significantly increased.
These organizations are market leaders and invested heavily into their cloud adoption journeys. Then what went wrong?
Let’s explore some of the key reasons behind these and other failure:
1. Lack of Clear Roadmap
Following any technology trend without clearly defined objectives is a formula for failure. Additionally, it will impose unnecessary budget burden. Many organizations move to the cloud without understanding business needs driving this decision, their objectives or desired outcomes.
Without a defined strategy, enterprises may end up with a haphazard cloud presence that doesn’t align with their business goals.
Solution: Envisage a Comprehensive Cloud Roadmap
Enterprises should start by assessing their business needs, determining what workloads to migrate, and establishing measurable goals. A well-defined strategy which clearly lays out the business needs, milestones and objectives, execution plan, expected benefits and how would they be measured, sets the stage for successful cloud adoption and ensures that the migration aligns with overall business objectives.
2. Lack of Cloud Mindset
In a hurried transformation, many organizations do “lift and shift” from on-premises to cloud. This leads to a mismatch kind of situation where application that was working well on premises stops working as expected on cloud. Additionally, as the way of working stays same as before, cost increases, compliance and governance become challenging.
Solution: Adopt cloud mindset
We can realize true benefits of cloud if we leverage cloud native technologies to solve business problems. Migrating to cloud involves a long learning curve, it includes change in way of working, business processes and technology. Encouraging a culture of innovation and collaboration is crucial for successful cloud adoption.
3. Unpredictable Costs
Another significant issue is the underestimation of costs associated with cloud services. While cloud platforms often promise cost savings, many organizations fail to account for ongoing operational wastages, data transfer, redundant capacity. This can lead to budget overruns and financial strain.
For example, as it’s easy to increase capacity of underlying infrastructure to boost application performance, more often a discipline is missed to optimize this capacity or to address the application root cause.
Solution: Due Diligence
To mitigate this risk, companies need to perform a due diligence on business objectives, budget targets and cost. A detailed cost benefit analysis at LOB level is needed before migrating to the cloud. Utilizing capacity and cost management tools can help track capacity and expenses, forecast future costs, and optimize resource usage. Cloud adoption with right mindset is the key.
4. Skill Gaps and Talent Shortages
The rapid evolution of cloud technologies has created a significant skills gap. Many companies lack the necessary expertise to manage cloud environments effectively, leading to misconfigurations, security vulnerabilities, and inefficient resource use.
Solution: Invest in Training and Talent Acquisition
Organizations should prioritize training for existing staff and consider hiring cloud experts. Investing in skill development ensures that teams are equipped to manage and optimize cloud resources effectively.
5. Siloed Data and Applications
In many organizations, data and applications remain siloed, making it difficult to gain insights and achieve a holistic view of operations. This lack of integration hinders collaboration and can lead to missed opportunities for innovation.
Solution: Embrace a Cloud-Native Architecture
Companies should adopt a cloud-native approach that encourages the integration of applications and data. This includes utilizing cloud native architecture, APIs and microservices to foster collaboration and streamline workflows.
6. Ignoring Security and Compliance
Security and compliance are critical concerns in cloud adoption. Many organizations overlook these aspects, leading to data breaches and regulatory issues. A reactive approach to security can result in significant financial and reputational damage.
Solution: Implement a Holistic Security Strategy
Establishing a robust security framework from the outset is essential. Companies should integrate security into their cloud strategy, need to set up stringent governance model, conduct regular internal audits, and ensure compliance with relevant regulations to protect sensitive data. Many governance tasks can be automated to avoid manual errors and save significant time.
7. Failure to Optimize
Once companies migrate to the cloud, they sometimes take a “set it and forget it” approach. This mindset can lead to wasted resources and increased costs as workloads are not continuously optimized.
Solution: Detailed monitoring and Optimization Of Cloud Resources
Organizations should implement regular reviews of their cloud environments to identify underutilized resources, implement automation, and optimize performance. Utilizing cloud management tools can streamline this process and enhance efficiency.
Conclusion
In conclusion, while the cloud offers immense potential for businesses, many organizations are struggling to realize its full value. By addressing the challenges of strategy, cost management, skills gaps, data silos, security, mindset, and optimization, companies can unlock the true benefits of cloud computing.
Embracing a comprehensive and proactive approach to cloud adoption will not only enhance operational efficiency but also drive innovation and growth. Cloud adoption is a journey, continuous transformation and optimization are key to leverage true potential of cloud.
