The terms ‘cloud computing’ and ‘digital transformation’ are often used in the same sentence. And often are claimed that they are the same thing or at least cloud computing is the latest in digital transformations. But is that true? Is cloud computing THE digital transformation? What is Digital Transformation? Generally speaking, there are two ways […]
The terms ‘cloud computing’ and ‘digital transformation’ are often used in the same sentence. And often are claimed that they are the same thing or at least cloud computing is the latest in digital transformations.
But is that true? Is cloud computing THE digital transformation?
Generally speaking, there are two ways you can think about digital transformation:
1 Applying technology to a field that used to be manually managed is one example of digital transformation. Introducing IT into a non-IT subject area, such as, online banking and online newspapers.
2 Digital transformation is a new way for companies to connect with their customers, employees and partners. This has to do with touch points between companies and their stakeholders becoming increasingly digital. Examples include websites, social media and apps.
With interfaces becoming more and more IT-based, the second way of thinking is more useful when speaking about cloud computing.
With this definition in mind, it becomes obvious that cloud computing and digital transformation go hand in hand. Cloud computing offers the agility needed to keep up with the user requirements connected to IT-based interfaces.
However, the connection between cloud computing and digital transformation is not automatic. Businesses usually move to the cloud because of the promise of saving costs. Cloud migration becomes a simple accounting task, where capex and opex are compared and a money-based, outsourcing decision is made. But that is not where the benefit of cloud computing lies. The real benefit of moving to the cloud is agility.
Whilst business are starting to recognise this, they often fail to adapt a strategy of cloud computing that takes advantage of the agility benefits. When that happens, cloud computing is digital, but not transformative.
Don’t miss out on the benefits of cloud computing. Connect with us to make sure your shift to the cloud is also a digital transformation of your business.