Timing is everything. Last week we released a new whitepaper, Why the Billion Dollar Club is Headed to the Cloud, and shared an excerpt here on Hedge IT about why hedge funds are making this move. Today, to entice you to download the full paper, we'll share WHEN firms are making the cloud move.
For newly emerging investment firms, the choice to adopt a cloud-based architecture is an easy one. Few firms have a business model where an in-house Comm. Room makes strategic or economic sense. But what about established firms that have been in business for several years and have invested millions of dollars in infrastructure? When is the right time to make a move?
Opportunities and timing will vary, but generally speaking, the following three scenarios represent ideal inflection points for moving to the cloud:
This is an ideal time to switch to the cloud. Many companies are understandably reluctant to take on the expense of moving a massive, expensive, and often outdated infrastructure to a new location – particularly if the company expects to phase out certain portions or components in the following 24-36 months. In such cases, migrating to the cloud before relocating offices can be a smart move.
Larger firms with larger application portfolios often find that a transitional strategy is best. Abrupt migrations to the cloud can be disruptive. In those instances, financial firms find that new applications can start in the cloud – no subsequent migration needed. And those deployments are faster. While few IT portfolios will see 100 percent turnover in the short term, this strategy can simplify any migration of on-premise apps to the cloud by minimizing the work required when the company finally makes its move.
Similarly, many firms find that when the time comes to update infrastructure or upgrade applications, that inflection point represents an excellent opportunity to perform a cost-benefit analysis. In most cases, firms find that initiating a cloud migration for that particular component of the IT portfolio is the best choice. And since either choice introduces change, there’s no added burden to making that transition. What’s important to note is that, for an established firm, migrating to the cloud is not an “all or nothing” decision. The pace and scope of the transition to the cloud can be custom-fit to the firm’s business/strategic needs.