Businesses Turn to the Cloud

New research released today by enterprise ICT solutions and services provider Damovo UK & Ireland has revealed that nearly three quarters (72%) of IT directors think their on-premise applications are becoming too bloated. Many find that some functionality of on-premise applications is unnecessary for their needs and only adds to the cost of upgrading to the latest version. As a result, they are turning to the cloud in order to regain control over the make-up of the software packages they deploy; with 62% of IT directors saying that cost reduction is the main driver behind cloud adoption. However, despite these benefits, over three quarters (77%) of IT directors believe that public cloud services can be ‘vanilla’ and don’t offer as much flexibility as they’d like for customising applications.

“Organisations are increasingly finding they have a whole host of application functionality that goes unused,” said Alex Williams, Operations Director, Damovo UK & Ireland. “Unfortunately, businesses end up paying for this functionality when they upgrade to the latest version, whether they want it or not. Cloud services are the natural remedy, giving businesses back control over which functions they buy and cutting down the bloat in on-premise applications. However, whilst they do offer cost savings and greater flexibility in some respects, the limited ability to customise public cloud services can make them unsuitable for businesses with more specific requirements; leaving them in a position where they’re trying to force a square peg into a round hole.”

Integrating cloud services with existing on-premise applications can also create a challenge, with 60% of IT directors claiming that such concerns have delayed their decision to move to the cloud. When asked about which applications they feel most comfortable putting in the cloud, 78% of IT directors pointed to basic office applications such as Microsoft Office and Google Apps; whilst 72% indicated email. The second most highly ranked option was telephony and contact centres, indicated by 73% of IT directors; businesses are beginning to feel more comfortable using this deployment model following recent improvements in cloud-based telephony and contact centre technology. However, it would appear that there are lingering concerns over security; 60% of IT directors indicate payroll as the application they feel least comfortable putting in the cloud.

“Many businesses have customised their on-premise applications around specific processes, so the challenge of integrating them with standardised public cloud services is understandably a concern,” said Alex Williams. “Private cloud solutions can offer the best of both worlds, enabling businesses to build a cloud around their specific requirements and integrate it seamlessly with existing IT; whilst also benefiting from the cost and innovation benefits of public cloud. Looking at the applications that businesses feel most comfortable deploying in the cloud, there’s a clear indication towards lower risk, higher maintenance solutions such as office apps, email, telephony and contact centres. Deploying these services in the cloud helps businesses to stay at the forefront of leading-edge technology with rapid deployment capabilities and regular updates; whilst significantly reducing the management burden.”

The survey of 100 IT directors at UK organisations across multiple business sectors, and with more than 1,000 employees, was commissioned by Damovo UK & Ireland and conducted by independent research company Vanson Bourne.

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David Dungay

Editor - Comms Business Magazine
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