Industries all over the globe are experiencing a shift in operations. Instead of traditional methods, many companies have incorporated technological tools into their systems. This includes experimenting with cloud adaptation frameworks.

As a leader, you must decide if cloud adoption is right for your business. The key to making informed decisions is to learn the pros and cons of cloud adoption.

Why Consider Cloud Computing?

Cloud computing is one of the IT services that has continued to gain traction over the years. According to data published by Statista, worldwide spending on cloud services has drastically increased from 145 billion dollars in 2017 to around 678 billion in 2024.¹

This increase proves that cloud computing services are continuously considered and chosen by many leaders around the globe. From data storage to cloud data analytics, cloud technologies create opportunities for professionals to utilize the internet or online space.

Cloud computing usually falls under three general categories. These are Infrastructure as a Service (IaaS), Software as a Service (SaaS), and Platform as a Service (PaaS). Whichever category you’re eyeing, there are cloud computing pros and cons for businesses that you should first be aware of.

Potential Challenges of Cloud Adoption

Although cloud adoption is an option being chosen by many leaders, there are still some potential challenges during its implementation. So, when planning for your company, consider the following cons to cloud adoption as a business strategy:

1. Potential Skill Gaps

Bringing in new equipment can be beneficial to your overall operations, but they can also create a challenge for your professionals. Specifically, adopting cloud-related technology can possibly create skill gaps within your workforce.

Employees who aren’t familiar with private or public clouds may struggle to effectively use your new systems. This would force you to go out of your way to conduct upskilling opportunities. In the worst-case scenario, you may even need to hire new people to replace those who can’t adjust within the given time.

2. Internet and Service Reliability

Cloud computing relies on the internet. It requires a high-speed connection to receive and store data from anywhere around the world. Unfortunately, this suggests that disruptions in internet connectivity can prevent people from accessing critical applications and data.

This scenario can affect all stakeholders of your business. Whether you’re a C-suite employee or a temporary worker, internet outages can block your access to stored data. This halts the progress and productivity of your people and entire operations.

3. Cost Management Challenges

The pay-as-you-go model is cost-effective since you’re only purchasing the services you used. But, without proper monitoring and management, you may be surprised with the amount you owe your service provider. This is more likely to happen if you’re unfamiliar with cloud pricing frameworks and pricing models.

Factors like data transfer fees and overage storage are some examples of costs that are easily unnoticeable. Some providers may even charge premium support costs whenever they answer your questions. This is why it’s very important to stay ahead with costs and pricing. Avoid following through with a company that gives you vague details.

Read More: Focus on What Matters: How Managed Services Free Up Your Resources for Value Delivery

4. Threats to Data Security

One major cons of cloud computing is the potential threat to your data’s security. Since information is usually stored and processed in remote servers, it experiences an increased risk of cyber threats and data breaches when being transferred online. Third-party individuals may go out of their way to attack any vulnerabilities in your data security.

Although some companies opt to use hybrid cloud adoption where they use both public and private clouds, they can’t fully prevent possible threats to your cloud security.

Read More: Cybersecurity Challenges in the Age of Generative AI and Cloud – Insights from Wipro’s 2023 Report

5. Compliance and Legal Issues

Cloud providers experience having clients from different states. In every state or geographical location, one of their main responsibilities is to comply with laws and regulations. If your chosen partner is not knowledgeable in the laws of your location, they can create compliance issues for your organization.

When not implemented properly, cloud adoption can also create other legal challenges. For example, data sovereignty concerns can happen when your data is stored in a country with conflicting regulations compared to your own. Some industries may also be stricter regarding their data privacy rules.

Advantages of Using Cloud Computing

Cloud migrations offer businesses multiple advantages. Some of the most notable benefits you may enjoy are:

1. Increased Cost-Effectiveness

Unlike traditional services, most cloud solutions follow a pay-as-you-go model. This means you need to pay only for the resources your organization consumes. In the long run, this can prove to be more cost-efficient since you won’t have to invest in expensive hardware upfront.

Moreover, less equipment equates to a smaller budget needed for maintenance. You won’t need to maintain physical servers and storage devices to keep your business running. This saves you money that could go to other aspects of your business.

2. Improved Scalability and Flexibility

One of the most significant advantages you can gain from choosing a cloud adoption framework is the scalability and flexibility it offers. Even if you experience seasonal demands for your products or services, you can simply adjust your resources to meet your needs.

If you need to scale up or down, your service providers can assist you in real time. Connected through the public cloud, they can help you make changes with little to no delay.

Another advantage of cloud adoption is its ability to meet your unique demands. For example, you can support different types of employment arrangements thanks to its flexibility and global reach. You’ll be able to communicate and provide information to both your onsite and offsite employees.

3. Drives Collaboration

Cloud adoption strategy is beneficial to any business because of its ability to drive collaboration among teams. It offers real-time document sharing which gives your people the chance to work on the same project simultaneously. It also serves as a medium to communicate, share their ideas, and exchange feedback regarding their work.

Other cloud adoption frameworks include project management platforms that store all your data in one convenient location. This makes it easier for your professionals to locate necessary information quickly and easily.

4. Consistent Updates and Patches

When you purchase a service from the right provider, you automatically receive access to up-to-date tools and equipment. You won’t need to dedicate time to researching the latest versions or spend more money to replace old systems.

By having consistent updates and patches, your company can lower the risk of vulnerabilities. With this, you can focus your attention on more strategic tasks.

5. Ensured Business Continuity

If you’re running a company with diverse professionals from around the world, cloud technology can be useful for more than just communication. It can ensure that the right people will still have access to data files even when your physical office is closed.

In the event of disasters, off-site data storage allows quick data disaster recovery. Having the ability to restore information even after calamities or cyberattacks can help your business minimize downtime. This leads to uninterrupted delivery of your services and products.

LET STRATEGIC SYSTEMS BE YOUR GUIDE IN ADOPTING CLOUD COMPUTING

We at Strategic Systems have the expertise to help you grow your business operations with cloud solutions. If you want to improve performance and security by adopting cloud computing into your systems, allow us to be your effective guide. Contact us today to learn more!

References

1. Vailshery, Lionel. “Public Cloud Services End-user Spending Worldwide from 2017 to 2024.” Statista, 6 Jun. 2024, www.statista.com/statistics/273818/global-revenue-generated-with-cloud-computing-since-2009/.

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