Survey: Executives' organizations moving to Cloud-based services within two years

Business and government executives expect their organizations to use Cloud computing within the next two years, according to results of a recent survey.

The survey of 174 respondents found that 90 percent of the executives and 68 percent of the middle managers said they are using or plan to use Cloud-based services within two years. The survey by KPMG LLP, the audit, tax, and advisory firm, was Taken at the recent Oracle OpenWorld 2010 trade show in San Francisco.
 
"The survey results reflect wide acceptance of Cloud-based services among executives who are increasingly recognizing the Cloud's strategic business value," said Steve Hill, KPMG's national innovation leader. "Those surveyed also said that experimentation will be required to fully understand the value of Cloud-based operations, and this approach, they noted, will bring challenges that need to be addressed."
 
Specifically, 82 percent of all the respondents, which consisted of executives, middle managers, and staff, said that migration to the Cloud raises a broad set of issues around business transformation that should be understood and managed across the entire organization.
 
When asked to rate the importance of four factors driving a company or organization to pursue Cloud-based activities, 84 percent of those surveyed rated technical (scalability, security) as important or extremely important, while 78 percent viewed economics (cost savings, shifting capital expenditures to operational expenditures) as important or extremely important, and 76 percent placed functional (capabilities, accessibility) in that category, with 66 percent rating strategic factors (business process transformation, speed to market) as important or extremely important.
 
In addition, 79 percent of respondents said that Cloud is a viable option for enterprises to be more agile and cost competitive, and 74 percent said that organizations adopting Cloud can experience long-term competitive advantages.
 
"Those surveyed clearly recognize that in the migration to Cloud computing, strategic business considerations today decisively trump yesterday's technology discussion," Hill said. "Cloud-enabled environments, particularly community models, may facilitate paradigm changes in business models and in the core drivers of competitive differentiation."
 

Related articles:

You may like these other stories...

If you're thinking that bitcoin and digital currency generally are merely some one-off flash in the pan, the new Digital Currency Council would argue otherwise. The council launched in September and already had 400...
Sponsored Content from Confirmation.com: AccountingWEB takes a look at confirmations in audit engagements, how they can serve as a doorway to fraud, and what you can do about it. Today, auditors have to fight fire with...
If your small-business clients are on the fence about cloud accounting, they've got plenty of company. A recent survey by market researcher and consultant Software Advice indicates a decidedly mixed view by respondents...

Already a member? log in here.

Upcoming CPE Webinars

Oct 22This webinar will include discussions of important issues in AU-C 800, Audits of Financial Statements Prepared in Accordance with Special Purpose Frameworks.
Oct 23Amber Setter will show the value of leadership assessments as tools for individual and organizational leadership development initiatives.
Oct 30Many Excel users have a love-hate relationship with workbook links.
Nov 5Join CPA thought leader and peer reviewer Rob Cameron and learn ways to improve the outcome of your peer reviews while maximizing the value of your engagement workflow.