What drives IT in your organization – cost or agility? Within the IT organization, most discussions are currently focused on cost controls rather than the greater potential benefit – business agility. More often, we hear “How much capital and operational expense can I cut with cloud?” Yet, business leaders outside of the IT function are beginning to change that conversation to “How will cloud improve revenue or my company’s competitiveness?”
Beyond cost reduction, demonstrating the true value of cloud computing has its challenges. In a newly released business-agility survey, corporate decision makers linked cloud computing directly to business agility. It shows that the hype around cloud computing is maturing into facts that cloud can really support both IT and business transformation.
Business leaders link cloud computing directly to significant business improvement
According to a joint survey by VMware and AbsolutData of 600 corporate leaders from around the world, the majority of respondents believe that cloud computing can help:
- Make the entire organization more “business agile” and “responsive”
- Achieve 10% greater business agility outcomes such as key revenue growth, cost reduction, and risk mitigation
- Drive business agility that is three times more likely to be “much better than the competition”
- Accelerate the execution and maintenance of an architecture that supports business process changes
As you can see, many forward-thinking CIOs view cloud computing as a strategic weapon – and not just for IT. Many believe that it can also enable full business transformation that can eventually change how their business operates. According to McKinsey & Company, a global management consulting firm, the benefits of agility include faster revenue growth, greater and more lasting cost reduction, and more effective management of risks and reputational threats. And by delivering these advantages to the boardroom, CIOs can ensure that IT will garner the attention it deserves.
In a couple of years, we will most likely hear companies talk about how cloud technology helped them create a much tighter connection between IT transformation and business transformation. And that will be a significant win for IT.
Want to learn more about the link between cloud computing and agility?
Take at a moment to read “Business Agility and the True Economics of Cloud Computing” to explore more insights and findings from this research.