Cloud Business Survey: Businesses are Struggling in Cloud ROI Calculation

cloud roi calculationThe latest survey commissioned by the Open Group, a vendor-neutral and technology-neutral consortium, revealed that – while more businesses are adopting the cloud – companies are having a hard time in determining the return-on-investment (ROI) of a cloud project.

As reported by Network Computing, the Open Group surveyed 307 cloud IT specialists of companies from 200 to over 5,000 employees. The survey results are interesting, indeed.

Cloud survey results: Cloud ROI calculations are neglected

The good news: 24 percent of respondents are in the cloud for less than a year and 25 percent have adopted the cloud for less than one and a half year. Plus, 43 percent are researching whether cloud computing is for them.

The bad news: From all the respondents who have already adopted the cloud, only 35 percent of them have one way or two to measure cloud ROI; 45 percent don’t measure their cloud ROI, and the remaining 20 percent are not sure how to measure cloud ROI.

One more interesting fact from the survey: It seems that the lack of cloud educational resources availability is one of the culprits of cloud ROI calculation negligence: Nearly half of the respondents are dissatisfied with the lack of information about cloud computing today.

The significance of the survey results

As interesting as the survey results might be, it’s a huge concern that businesses are somehow blindly integrating cloud computing into their business without further exploring the risks of losing their investment in the cloud due to cloud integration failures, cloud vendor lock-ins, cloud security and any other issues.

Sure, cloud computing proves to be beneficial for businesses, but adopting such a business-culture-changing and business-operational-transforming IT technology advances requires more than just “because our competitors do so” and other similar motives.

The negligence of cloud ROI calculations is partly caused by the lack of cloud educational resources. Resources, such as Cloud Business Review, play an important role in reminding business owners and decision makers to research, research and research before they make any decisions. The bottom line is, they need to make a well-informed decision – or else, their business will be one of the victims of cloud computing failures caused by poor execution and false expectations.

Measure your cloud ROI – it’s a must!

Regardless of all the upsides cloud computing presents to your business, just like in any business investments you need to have at least an idea or two about the ROI of your investments; otherwise, you are putting your business at risk by neglecting ROI calculations.

To help you do your due diligence, we have a cloud computing integration ROI calculator on this site – be sure to check it out before you make a decision whether you should go cloud or not.

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  • Tomp

    A company called Cloud Cruiser offers a free test drive of their cost optimization software that provides transparency, next gen chargeback, analytics and granularity that can identify cloud-based workload costs down to the end user to provide an extremely accurate ROI. It’s at http://www.cloudcruiser.com/solutions/request_a_demo.asp