Cloud First Strategy: Why Incumbent Industries Are Implementing It in 2022



In the past two years, the cloud-first strategy has been promoted in almost every industry. For companies looking to thrive in the pandemic, moving to a cloud environment has become a necessity as they increasingly work remotely and lack access to data centers.

With the new trend, more companies than ever have adopted a cloud-first strategy. These include many companies from established industries such as manufacturing, retail and healthcare. This approach gives them greater flexibility and efficiency at a time that has been extremely uncertain for the world and, by extension, for the economy. But how exactly did companies in these established industries make this remarkable change? And what is the impact of the cloud-first strategy on your operations and your customers?

Cloud-first strategy promotes regulated industries

Healthcare is a great example of an industry capable of transforming society. At the same time, however, it is often hampered in its efforts, in part because of the sensitivity of the data it processes. This is where the cloud comes into play. It can help healthcare leaders balance progress and change with efficiency and safety.

In India, for example, the government has launched a new project, eHealth Infra, to provide the country’s underprivileged with access to public health insurance. In the past, regulatory and privacy concerns would have hindered such efforts. However, private cloud services have overshadowed many of these concerns. As a result, 26 states have now joined the project, covering 45 to 47 percent of India’s population, allowing citizens to reliably register for the service.

The financial sector is another industry that often struggles with strict regulations and outdated technology due to the sensitive data it handles. However, since digital fintechs began using cloud-born speed to offer their customers next-generation services, established financial institutions have been forced to rethink their cloud-first strategies. This allowed them to work with a higher level of efficiency and safety. And they offer their customers the same high-quality experience that the new generation fintechs born in the cloud offer.

Physical companies go virtual for more efficiency

Even in the highly physical world of manufacturing, companies are finding new ways to adopt a cloud-first strategy. Manufacturers must track a multitude of moving parts, from assembly on the factory floor to the on-time delivery of raw materials. And while some operations are offsite, in the case of manufacturing execution, workloads need to be closer to the factory floor.

Thus, in these cases, a distributed channel of technology platforms is required to leverage edge computing. And at the same time bringing cloud technology closer to on-premise use. By using cloud tools to streamline operations and aggregate all of these disparate measures into a single view, a manufacturer can dramatically improve the efficiency of their operations and reduce production times, helping both businesses scale sustainably.

Put your cloud-first strategy into action

The advantages of a cloud-first strategy are many. But it’s also important to look at how companies work with the cloud to reap those benefits. A good example is the case of a large retailer specializing in designer fashion, accessories and furniture. The company was looking for a solution for the growing number of data and applications. These occurred both physically and digitally during the company’s rapid expansion.

The company also wanted flexibility to handle spikes in traffic during sales, festivals and holiday periods. At the same time, system security should be maintained and operation and maintenance costs kept under control. By moving the majority of its processes, including critical workloads, to a private cloud, the retailer was able to satisfy all of these requirements and achieve increased performance, security and immediate scalability.

Tailor the cloud solution to specific requirements

Additionally, with the help of a partner who customized the cloud solution to the company’s specific needs, secure IP and high-speed VPN connections were established between the retailer’s various locations, enabling fast data archiving, billing and real-time backup. Enable services to protect against data loss.

Since the implementation, the retailer now has a high-performance, secure, private environment with a 99.9 percent uptime guarantee. If needed, it can immediately provide additional resources to open new branches in a short period of time. And so you better deal with the relative exponential growth of data. And thanks to the cloud provider’s 24/7 maintenance and support 365 days a year, another benefit of this service, additional resources can easily be found to handle seasonal traffic peaks when needed.

Apply the example of a cloud-first strategy

One of the most powerful agents driving organizations to change is their customers. Today we live in a world where the Internet must come first for accessibility reasons. And this affects all companies and institutions with which the public interacts in any way. However, companies looking to make this transition should be aware that there is no one-size-fits-all strategy for established industries. That’s why it’s important for every business to look inward first to see how it can benefit from a cloud-first approach. And look outside to find a partner to help make the transition as seamless as possible.

We all know that cloud technology will be part of the future of every business. However, the real winners of the coming years will be those companies that not only understand how to optimize their current operations with a cloud-first strategy, but also begin to lay the foundation for exponential growth in the future.

About the Author: Rajesh Awasthi, vice president and global head of Managed Hosting and Cloud Services at Tata Communications. Tata Communications, part of the Tata Group, is a digital ecosystem provider in more than 190 countries and territories. With collaboration and connectivity solutions, core and next-generation connectivity, cloud hosting and security solutions and multimedia services, Tata Communications creates a reliable foundation for companies’ digital transformation. (sg)

Also read: Cloud-First: 6 Tips for an Optimal Post-Pandemic Tech Stack

Image credit: Sergey Nivens – Adobe Stock

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