Oct. 16, 2023

This paid piece is sponsored by Eide Bailly LLP.

A version of this article first appeared on EideBailly.com.

The force driving many organizations to execute a digital business model is competition. Getting ahead — and staying ahead — depends on an organization’s ability to scale and innovate with speed and agility. Cloud technology is a core component of powering digital business operations.

According to Flexera’s 2023 State of the Cloud Report, the top cloud initiatives for organizations of all sizes are:

• Migrating more workloads to the cloud.
• Optimizing existing use of the cloud.
• Moving from on-premise to SaaS versions of software applications.
• Progressing on a cloud-first strategy.

Prioritizing these initiatives will be the differentiator between organizations that get ahead and those that fall behind.

4 key benefits of cloud technology

1. Accessibility 

The ability to access information from anywhere across all devices is a non-negotiable for organizations operating in the current business landscape — especially those looking to capitalize on work-from-anywhere talent.

Cloud technology is built inherently with productivity in mind. Cloud-based business management systems and customer relationship management tools boast user-friendly platforms that allow teams to work faster and smarter from anywhere on any device.

The benefits of accessibility also extend to traditional systems that rely on on-premise servers. By migrating to the cloud, businesses can enjoy the reliability and convenience of modern solutions without the complexity of a full migration. This is particularly advantageous for organizations that aren’t ready for a complete shift or that leverage industry-specific tools tied to on-premise servers.

2. Regular updates

Incorporating cloud-native applications into your business model reduces the complexity of software upgrades for your entire organization. The cloud makes the process seamless for your IT team and your business users, offering a hands-off, streamlined approach that reduces disruption and downtime.

This means that as technology continues to change, your business software is able to change too. Most cloud business systems push out multiple releases every year — and some tech giants even push weekly updates — ensuring you have the latest, most secure version of your system.

On-premise systems, however, require substantial hardware investments, larger IT budgets and scheduled on-site upgrades. Because these systems are physically installed on-site, they require on-site servicing when maintenance is needed. Every update, every administrative change and any integration require a visit from the solution provider specialist.

3. Reduced risk

The perception of risk associated with cloud computing remains high. However, the biggest security risk actually comes from operating on dated on-premise systems. It takes a team of IT professionals constantly maintaining, monitoring and manually updating and configuring the security framework to keep your systems and data secure.

Malicious actors continuously are discovering new ways to infiltrate systems. If you’re running dated software, there is no way to thwart these constantly evolving attacks, leaving your data vulnerable.

In contrast, the cloud’s ability to push regular updates affords real-time security and network patches for each new vulnerability discovered. Additionally, when you’re operating in the cloud, you can take advantage of threat management tools that continuously monitor malicious and unauthorized activity.

4. Lower IT costs

The perceived cost of operating in the cloud is often a deterrent for organizations that typically budget and plan for technology purchases in a regular cycle. But transitioning to a recurring subscription software model means the vendor owns IT maintenance and includes patches and updates.

Because of the time and hardware involved, maintenance accounts for an estimated 18 percent of the total cost of on-premise systems. A business with a $300,000 licensing fee can expect to spend $53,550 on annual maintenance.

Additionally, there is often cost savings when it comes to moving an on-premise server to the cloud. Whether it’s a large organization moving 1,500 servers or a small organization moving one server, a consumption-based cloud service cost model provides long-term cost savings. Not only do you no longer have to purchase and maintain servers, but also cloud service providers offer consumption incentives to make access affordable to organizations of all sizes.

The path to a secure cloud

Traveling the path to a secure cloud environment is imperative for organizations that want to get ahead and stay ahead. Whether you’re moving to the cloud from on-premise systems or trying to optimize your existing cloud strategy, it’s essential to have a strategic plan. At Eide Bailly, we can help you create, manage and secure your modern workplace.