Accelerating to the cloud

Breaking through the cloud-adoption plateau  

We surveyed more than 200 cloud decision-makers from across Canada to learn more about their current progress and aspirations, as well as the challenges they’re experiencing in migrating to the cloud.

We believe the cloud is a competitive necessity in today’s increasingly challenging, disruptive operating environment. Do Canadian leaders agree?

Beginning in March 2020, the overnight shift to remote work and the immediate disruption to physical channels for customer-service and supply-chain networks exposed the limits of legacy technology and the vulnerabilities of traditional infrastructure.

To help illuminate changing attitudes toward the cloud and spotlight first-hand accounts of transformation, we surveyed more than 200 cloud decision-makers across the country. Our resulting report, Accelerating to the cloud, found that the desire for migration is clear. Canadian leaders understand the technology’s strategic importance and, as such, most organizations plan to increase spend. Yet, when asked about how much of their environment they expect to move to the cloud over the next three years, most leaders forecast only modest, incremental amounts.

The report aims to understand this gap: Are Canadian organizations plateauing in their cloud adoption? What are the large barriers to progress? And how can companies overcome them?

Findings from our research: The importance of the cloud for Canadian leaders is clear

Our survey respondents understand the strategic value of the cloud and see its inherent relationship to digital technology, virtual work, and broader business-model transformation:

Are Canadian organizations facing a cloud-adoption plateau?

Most Canadian cloud leaders (74%) plan to increase their cloud spends. But how does this growth translate to business impact and change? Surprisingly, our respondents expected to shift just 5% more of their total workloads to the cloud (both public and private) over the next three years.

We propose that Canadian organizations could be experiencing a cloud-adoption plateau—a stall in cloud migration and, thus, true organizational transformation—that limits what companies can achieve with the cloud.

Breaking through the cloud: What’s holding organizations back?

So, what’s slowing the progress of cloud migration for Canadian businesses? From our research, it’s clear there’s no single barrier.

How much do you agree or disagree that each of the following statements serves as a barrier to your cloud progress? (%)

Source: Deloitte, Accelerating to the cloud: Breaking through the cloud-adoption plateau, 2021.

Broadly speaking, there are hurdles to:

  • Perceived security in the cloud: According to 85% of survey respondents, it’s been a challenge to convince other decision-makers that the cloud is secure, given data-privacy and hybrid cloud-complexity concerns.
  • Skills and talent: Training/reskilling current staff and changing the ways they worked were cited as the top two factors most critical to success where the workforce was concerned.
  • Governance and funding: Intermittent funding, lack of cloud road maps, minimal executive sponsorship, and poorly quantified business cases and benefits touch on some of the barriers polled organizations faced in planning, funding, and governing their cloud expansion.

Time to accelerate
Canadian businesses are clearly committed to moving processes into the cloud. They’re starting to grasp the wide range of benefits and value propositions that the platform can deliver and they’re feeling the urgency of accelerating this process. So, what will it take to overcome the barriers that currently exist and start fast-tracking their cloud-adoption journeys?

10 conditions for migrating to the cloud

Based on our research, we offer 10 factors that organizations can consider to successfully accelerate cloud adoption—and ascend beyond the cloud-adoption plateau.

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