The cloud is quickly becoming the enterprise norm and is being used by companies to drive dramatic improvements beyond cost and scalability, including increased innovation, faster time to market and insights, and improved cybersecurity.

That’s according to a global cloud services study recently completed by The Hackett Group.

The study, which looked at the results of more than 1,000 organizations and looked at more than 4,000 migrated applications across 15 different categories, found that 70 percent of all technology infrastructure will be cloud-based within two to three years. Typical companies see a 12% reduction in technology infrastructure costs after migration. Other significant benefits include:

  • 36% increase in developer time dedicated to innovation
  • 45% reduction in time to market for new product features and functionality
  • 53% reduction in time to actionable insights from data
  • Overall 44% fewer security and other critical infrastructure incidents
  • And a 52% average reduction in dwell time

Top performers in the study saw even more dramatic benefits, including a 37% reduction in technology infrastructure costs (more than 3x what typical companies achieved) and an average of 15 percentage points greater improvement across nearly a dozen objectives tracked in the survey.

Hackett Group director, Michael Fuller, said: “This study is designed to look beyond the hype and really quantify the benefits of both moving to the cloud and maximizing the benefits of cloud infrastructure. And the results clearly show that companies are using the cloud to deliver broad strategic value. It’s about better security, improved speed, quality and flexibility. At its best, cloud migration can be the foundation that allows companies to rapidly improve their products and services.”

Richard Pastore, senior director of research at the Hackett Group, added: “We also drew conclusions about the differences between typical companies and top performers. To truly achieve maximum benefit, top performers are making the cloud part of their operational DNA and treating it as a core competitive strategy. They reject the easier “pick up and move” approach of cloud migration application. Instead, they evaluate their workloads to determine the right migration methodology and focus on cloud optimization, which often means restructuring or redesigning their systems and processes to best take advantage of what the cloud has to offer. .”

Hackett Group published the study as part of the launch of its new cloud value assessment services offering, a service designed to help companies understand how to optimize the management of current cloud applications and future cloud migration. The assessment uses Hackett Group’s detailed performance indicators and benchmark taxonomy and takes just four weeks, just a third of the time required to perform a full benchmark assessment.

A public preview of the results of the State of Cloud Perception by the Numbers survey is available for free with registration at

Hackett Group’s cloud services study was completed in December 2021. The study was designed as the first step in a five-year study designed to help companies understand cloud migration and ongoing management of costs, value, performance and experience.

Tags: Infrastructure

70% of tech infrastructure will be cloud-based within three years

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