The business value case for cloud

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Companies must better understand the value of cloud software and how it can ultimately save them money, while offering security and future-proofing investments.

With worsening trading conditions, inflation and the general economic backdrop, not just in South Africa but around the world, the burden falls squarely on businesses to economise their cloud spending. It is in these circumstances that companies struggle to connect cloud costs to business value.

The answer is yes, quantifying it is more difficult than people think. Return on investment versus total cost of ownership needs to be assessed. Companies that are moving to the cloud are reducing their level of operational ownership − this is transferred to the cloud provider with the hope that they can do it better and at greater scale than the company can.

The entire goal of cloud ownership is to allow the business to focus on delivery. Let's look at some example use cases:Allows caregivers to focus on patient care.Technology is not business − it is an enabler of it, a means to an end. Tech needs to support a strategic move towards a gathering of resources to focus on an organisation's core business mission.

Capital expenditure cost avoidance by eliminating the need to purchase and maintain servers on-premises.End-user productivity improvement due to cloud-based workflow solutions.

 

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