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Cloud adoption on the rise

Cloud adoption continues to accelerate, driven by cloudnative applications such as security and the Internet of Things (IoT). Even so, few organisations are maximising the value that cloud can offer, warns Cisco.

A new IDC study sponsored by Cisco, Cloud Going Mainstream: All Are Trying, Some Are Benefiting; Few Are Maximising Value, shows that more than two thirds (68%) of organisations are now using cloud to help drive business outcomes, an increase of 61% on last year’s figure.

Despite greater cloud adoption, most organisations (69%) don’t have mature* cloud strategies and only 3% have ones that are generating superior business outcomes.

On average, the most ‘cloud advanced’ organisations see an annual benefit per cloudbased application of $1 million in cost savings and $3 million in additional revenues from sales of new products and services, faster customer acquisition and the ability to sell into new markets.

Almost all leading organisations with optimised cloud strategies (95%) have built a hybrid IT environment that uses multiple private and public clouds.

The report identifies fivelevels of cloud maturity – ad hoc, opportunistic, repeatable, managed and optimised – and pinpoints a number of obstacles that stop organisations from achieving greater cloud maturity. These include skills gaps; lack of a well-defined strategy and roadmap; legacy, siloed organisational structures; and Information Technology/ Line of Business (IT/LOB) misalignment.
Following publication of the IDC study, Cisco has launched a new set of cloud services and the Cisco Business Cloud Advisor Adoption Report, with which organisations can determine their own cloud maturity status.

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