How to avoid unintended complexity when streamlining operations with the cloud
Like many technologies, the cloud has become virtually essential to our daily lives. There aren't many people that don't use the cloud every day, in a work or personal capacity. In fact, Australian expenditure on public cloud services was forecast to exceed $23 billion last year.
While the cloud is no longer an ethereal subject for most people nowadays, many organisations find themselves entangled in a web of operational complexities that undermine their efforts to simplify.
The shift to the cloud demands more than migration—it requires strategic planning, robust infrastructure and the right team to embrace this new norm where traditional IT responsibilities are often outsourced. There are common missteps to avoid, such as treating cloud environments like on-premises infrastructure and the unchecked use of artificial intelligence (AI) tools which can lead to ballooning costs.
This article will take a closer look at how organisations can streamline operations in the cloud, optimise monetisation strategies and sidestep costly pitfalls to maximise their cloud investments.
Avoiding sticker shock
Moving to the cloud eliminates the need for on-premise systems, providing benefits such as automatic software updates, scalability and reduced IT infrastructure overhead. However, the cost dynamics of cloud infrastructure can be misleading, especially for organisations new to the model. Initial discounts, free usage periods, or promotional offers often lure businesses into the cloud, but these incentives quickly expire as workloads scale.
It can be easy to fall into the trap of treating cloud systems like traditional infrastructure, running resource-intensive programs 24/7. This approach can lead to unexpected expenses that far exceed expectations.
Implementing the right tools to track resource usage and predict spending patterns is crucial. AI and machine learning can provide powerful insights, analysing historical data to identify spending trends and seasonal fluctuations. These technologies can help organisations identify inefficiencies and adjust resource allocation accordingly.
Break the broken
When migrating on-premises systems to the cloud, many organisations fail to do a deep dive into legacy systems, leading to incompatibility issues post-migration. Directly transferring applications with a "lift and shift" approach without modernisation often results in failures and costly rework.
When compatibility issues arise post-migration organisations are forced into a reactive mode – identifying and addressing problems after they've already disrupted operations. This can lead to a complex patchwork system, or an extensive rework, particularly when legacy systems are involved. For instance, software that has been in use for a decade or more may rely on outdated configurations that fail in the cloud environment. The result is an unexpected and costly cycle of debugging and retrofitting. In some cases, companies may need to temporarily revert to their on-premises setups to maintain functionality while resolving cloud-related issues.
While modernisation efforts may reveal that some older applications are not suited for cloud migration, addressing these challenges upfront can prevent costly disruptions and ensure a more seamless transition. A forward-thinking approach allows for a structured migration plan that takes into account the unique demands of the cloud environment.
The human factor
Outsourcing cloud infrastructure can bring expertise and scalability, but the right people—both internally and externally—can ensure decisions are strategic, sustainable and aligned with the organisation's broader objectives.
Cloud migration often raises concerns within IT departments about downsizing. It is crucial to communicate clearly and involve the internal team in the process. By using existing talent and retraining staff where necessary, organisations can alleviate fears and promote a sense of inclusion. Assessing whether outsourcing certain functions to cloud service providers is more cost-effective than maintaining them in-house is a key consideration.
Key steps to streamlining operations and avoiding overcomplication
- Plan with precision: Conduct a comprehensive audit of existing systems, software versions and networking setups to identify gaps and ensure compatibility. This process helps determine which components need updates or replacements before migration. Proper planning also ensures the migration aligns with the organisation's overall goals and sets a foundation for a smoother transition to the cloud.
- Optimise infrastructure: use machine learning and AI for predictive analytics to model project costs accurately and analyse historical usage patterns. These tools can identify idle resources and allow businesses to reduce waste.
- Use cloud monetisation tools: Centralised platforms provide visibility into cloud spending, making it easier to allocate costs across departments. Automation also plays a vital role, particularly during periods of fluctuating demand. For example, organisations can scale resources during peak periods, such as accounting firms during tax season, and throttle them down afterward, ensuring optimal resource usage without overspending.
- Focus on ROI: Balancing the upfront costs of migration with potential long-term savings is critical. This includes savings on staffing, infrastructure upgrades and ongoing operations. For instance, conducting a three-year cost-benefit analysis helps organisations model potential savings and justify the investment in cloud migration, offering a comprehensive view of the financial benefits over time.
Planning, planning, planning
The power of planning cannot be overstated when it comes to managing a complex cloud landscape. Cloud management should be seen as an ongoing strategy requiring strong infrastructure, combined with the right team and the right tools. By tackling challenges—like keeping costs in check, updating old systems or giving your team clear direction—businesses can avoid common pitfalls.
Good planning aligns each step with long-term goals to help organisations stay nimble and competitive. It can turn complexity into opportunity, uncertainty into innovation and investments into measurable returns.