Migrating to the cloud can reduce your carbon footprint and your organization immediately benefits from a sustainability perspective. The cloud can help unlock better DevOps processes, resulting in faster time to market, increased revenue, increased employee productivity, and the ability to deploy products more quickly. How can the cloud help your team be more productive? It's critical to consider how DevOps the cloud can improve and drive efficiency in your organization. Increased productivity and service delivery Amortized facilities or co-lo or hosting agreements that you that you have in place are no longer required. Azure operates in many different geographic regions, giving you flexibility to choose where to build your applications. In the cloud, you can spin up resources quickly with the flexibility of scalability, where you can scale up and down as needed. On-premises data centers are frequently overbuilt for peaks, resulting in excess capacity and excess spend. Reduced data center footprintĪ reduced data center footprint is another benefit of a shift to the cloud. Your organization will realize meaningful improvements in financial statements, with improved cash flow timing and a reduced need to acquire assets that result in a fixed cost structure. Your overall budget allocation moves from a CAPEX investment to OPEX pricing models that can fluctuate based on capacity or utilization of the cloud environment. One benefit of moving to the cloud is that it shifts how you pay for capacity, from CAPEX to OPEX. The cloud allows you to take advantage of a variable cost model instead of a fixed cost model.
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The cloud uses a pay-for-what-you-consume model versus the up-front server infrastructure and software licensing costs that you would typically pay on-premises in your data center.
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This guidance will help you learn how to use the cloud to make your IT cost structure more flexible and help you build a business case to migrate to the cloud. Your organization's motivations and business outcomes will help determine how you look at your financials. When you're making the shift to the cloud, there are financial considerations around how the cloud will impact your financial position, accounting KPIs, and processes that Chief Financial Officers (CFO) and finance teams need to understand. A digital transformation goes hand-in-hand with a financial transformation.
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