What is Cloud Migration? Everything You Need to Know

Cloud migration is like upgrading from a traditional toolbox to a state-of-the-art workshop, where every tool is optimized for performance and efficiency. Transitioning to the cloud means that your organization can streamline its processes and focus on crafting innovative solutions.

Continue reading to find out:

• What exactly cloud migration is.
• How to assess your business's readiness for cloud migration.
• The main benefits and challenges of transitioning to the cloud.
• Effective cloud migration strategies for your organization.
• Key phases of a successful cloud migration.
• Real-life cloud migration success stories.

What is Cloud Migration?

Cloud migration is the process of moving an organization’s digital assets, applications, data, and IT resources from on-premises infrastructure to a cloud-based ecosystem.

63% of IT decision-makers believe their organizations have accelerated their cloud migration efforts over the past year.

Organizations can choose from several options when it comes to the type of cloud environments, each offering specific advantages:

1. Public Cloud: Services are delivered over the public internet by third-party providers. This model offers scalability and cost-effectiveness, making it suitable for businesses looking to minimize infrastructure costs.
2. Private Cloud: A dedicated infrastructure accessible only to a single organization. It provides enhanced security and control, making it ideal for businesses that need to comply with strict data privacy regulations.
3. Hybrid Cloud: Combines public and private clouds, allowing organizations to keep sensitive workloads in a private environment while leveraging public cloud scalability for less critical applications. This flexibility supports efficient workload management and cost savings.
4. Multi-Cloud: Involves using services from multiple public cloud providers, enhancing resilience and avoiding vendor lock-in. Multi-cloud strategy allows access to the best services from each provider and requires effective central management to optimize resources across platforms.

When to Consider Cloud Migration

Over 90% of European companies consider their cloud programs a priority, with more than a third regularly discussing progress at the executive-committee level.

Business Drivers for Cloud Migration

Organizations often migrate to the cloud to support business goals such as improving operational efficiency, enhancing customer experience, and enabling greater scalability. Factors like the need for remote work solutions, the desire for more agile business processes, and competitive pressures can drive the decision to adopt cloud technology.

Technological Triggers

Technological advancements can also prompt cloud migration. These may include the end of support for legacy systems, the need for improved data analytics capabilities, or the desire to leverage emerging technologies like artificial intelligence and machine learning. Recognizing the limitations of existing infrastructure can help identify opportunities for migration.

Organizational Readiness

Assessing organizational readiness includes evaluating current IT skills, infrastructure capabilities, and the willingness of teams to embrace change. Companies must ensure they have the necessary resources and support in place to facilitate a smooth transition to the cloud. Additionally, businesses should consider outsourcing migration to specialized companies like Comarch. This can help reduce your IT resource demands – one of the benefits of moving to the cloud.

Cost Considerations

Cost is a significant factor in cloud migration decisions. Analyze the total cost of ownership, including potential savings on hardware and maintenance, versus the investment required for cloud services. Understanding both immediate and long-term financial implications can help your business make an informed decision about its migration strategy.

5 Cloud Migration Benefits

1. Scalability and Flexibility: Cloud-based infrastructure allows businesses to easily scale their IT resources up or down based on demand, eliminating the need for significant upfront investments in physical hardware. This elasticity ensures organizations can respond quickly to changing business needs without incurring unnecessary costs.
2. Cost Efficiency: With a pay-as-you-go model, companies can subscribe to cloud services based on time-varying workload requirements, reducing the need for costly on-premises infrastructure. This approach lowers capital expenses related to hardware and utilities while allowing businesses to allocate funds more effectively.
3. Enhanced Security: Cloud service providers implement robust security measures to protect sensitive data and comply with industry regulations. Regular software and security updates can be automated, reducing vulnerabilities. Additionally, cloud infrastructure supports data recovery and business continuity in the event of a disaster, minimizing downtime and data loss.
4. Improved Performance and Accessibility: Cloud environments provide fast access to resources, enabling businesses to adopt new technologies swiftly and enhance application performance. With self-service provisioning, teams can deploy and test applications in minutes.
5. Innovation and Agility: Migrating to the cloud fosters a culture of innovation by providing access to the latest tools and technologies. Organizations can quickly implement new features or solutions, such as AI-driven applications, without the need for extensive hardware investments or long deployment times.

5 Cloud Migration Challenges

90% of IT decision-makers have faced challenges in their cloud adoption efforts over the past year, with budget and cost issues impacting 48% of organizations.

1. Data Security and Compliance: Organizations must conduct thorough audits and assessments to identify vulnerabilities and compliance risks associated with their data. This is particularly critical when migrating to hybrid cloud environments, where data flows between private cloud infrastructure and cloud providers.
2. Downtime and Business Continuity: Migration can lead to potential downtime, which may disrupt business operations. Organizations must plan migration phases carefully to minimize interruptions. Strategies such as testing and validating the migration process can help ensure a smooth transition while maintaining business continuity.
3. Complexity of Migration: For organizations with extensive databases and applications, migrating to the cloud can be a complex task. It requires comprehensive planning, discovery, and execution. Large-scale migrations often involve multiple phases, necessitating meticulous coordination among teams.
4. Cost Management and Optimization: While cloud migration can lead to cost savings, organizations must also consider the ongoing costs of cloud services. Without proper management and optimization strategies, businesses may face unexpected expenses.
5. Skills and Expertise Development: Cloud migration often requires new skills and expertise that may not be present within the current workforce. Organizations may need to invest in training or hire new talent to effectively manage cloud infrastructure and services.

Cloud Migration Strategy

Companies migrate to the cloud for various reasons and at different scales, from small testing platforms to extensive migrations. A comprehensive strategy anticipates challenges and sets clear migration goals. It should address which workloads will move to the cloud, which will remain on-premises, and any new capabilities needed post-migration. Additionally, the plan must outline timelines, project metrics, and communication strategies for keeping team leaders, cloud vendors, and stakeholders informed.

To guide companies in their cloud migration strategies, the 7 R model can be used. It categorizes various approaches to migrating applications and data to the cloud, helping businesses determine the best method for each workload.

1. Rehosting (Lift and Shift): Moving applications and data to the cloud with minimal changes. It allows for quick migrations, but may not fully utilize cloud-native features.
2. Replatforming (Lift, Tinker, and Shift): Modifying applications during migration to leverage some cloud benefits. This may involve making small changes, such as optimizing for cloud performance, while keeping the core architecture intact.
3. Refactoring (Re-architecting): Redesigning applications to fully utilize cloud-native capabilities. Significant changes allow for improved scalability, performance, and cost-efficiency but require more time and resources.
4. Repurchasing: Switching from on-premises applications to cloud-based alternatives, typically adopting a Software-as-a-Service (SaaS) model. This approach may involve buying new software solutions rather than migrating existing ones.
5. Retiring: Identifying and decommissioning applications that are no longer necessary or relevant during the migration process. This helps reduce costs and complexity by eliminating redundant systems.
6. Retaining: Keeping certain applications on-premises due to regulatory, security, or performance requirements. This strategy is often part of a hybrid cloud approach, where some workloads remain on traditional infrastructure while others move to the cloud.
7. Relocating (Hypervisor-Level Lift and Shift): Moving entire workloads, including virtual machines, to the cloud without significant changes. This method preserves the original virtualized environment and configuration, making it a quick migration option.

Cloud Migration Process

75% of organizations are expected to adopt a digital transformation model based on cloud as the foundational platform by 2026.

Assessment and Planning

The cloud migration process starts with a thorough assessment and planning phase, where the primary goal is to establish a clear business case and strategy for the migration. It involves evaluating the current IT infrastructure, applications, and data to determine which assets are suitable for migration and identifying any dependencies that need attention.

Main steps:

• List and categorize applications and data.
• Analyze application dependencies and interdependencies.
• Evaluate security and compliance requirements.
• Assess performance and scalability needs.
• Establish migration goals and priorities.
• Identify potential migration challenges.

Application Discovery and Dependency Mapping

In this phase, organizations focus on understanding the relationships between applications, data, and infrastructure.

Key steps:

• Identify application dependencies and interdependencies.
• Map data flows and communication channels.
• Document infrastructure requirements.
• Determine integration points with other systems.
• Highlight critical applications that need priority handling.

Designing the Target Cloud Architecture

Designing the target cloud architecture is about defining how applications, data, and infrastructure will be organized in the cloud environment.

Main steps:

• Design scalable and resilient cloud architectures.
• Define networking and security configurations.
• Select appropriate cloud services and features.
• Optimize cost-efficiency and performance.
• Ensure data backup and disaster recovery mechanisms.

Proof of Concept and Pilot Testing

Before the full migration, organizations should conduct proof of concept and pilot testing to validate the chosen migration approach. This step helps identify potential issues, refine strategies, and gain confidence in the migration plan.

Main steps:

• Identify a small set of applications for pilot testing.
• Set up a PoC environment in the cloud.
• Test application functionality and performance.
• Address any issues or challenges identified.
• Gather feedback to adjust the migration strategy.

Migration Execution

The migration execution phase involves the actual transfer of data, applications, and infrastructure to the cloud environment. Depending on the chosen migration strategy, this stage requires careful coordination to ensure minimal disruption to business operations.

Main steps:

• Set up the target cloud environment.
• Provision virtual machines, storage, and network resources.
• Migrate data to the cloud.
• Deploy and configure applications in the cloud infrastructure.
• Perform comprehensive tests covering functionality, performance, and security (e.g., penetration tests, vulnerability assessment).
• Monitor progress and resolve any issues.

Post-Migration Optimization

Once the migration is complete, the focus shifts to optimizing the cloud environment for performance, security, and cost-efficiency. This ongoing process ensures the cloud infrastructure remains aligned with business goals and operates efficiently.

Main steps:

• Fine-tune applications and configurations.
• Implement security measures and access controls.
• Set up monitoring and alerting mechanisms.
• Optimize resource usage and cloud costs.
• Establish governance and management processes.

Cloud Migration with Comarch: Real-World Examples

Renault: Cost Savings and Flexibility

Renault Group moved its Dealership Management System to Comarch's PowerCloud, achieving significant cost savings and enhanced flexibility. This change replaced their inflexible, costly IBM Power setup with a scalable, pay-as-you-go cloud solution that met Renault's strict demands.

Discover the full case study for more insights into Renault's cloud migration.

DZI: Streamlining IT Systems

Facing the challenge of migrating its legacy IBM i-based insurance applications, DZI turned to Comarch’s IBM Power Cloud solution to build a new environment without the costs and risks of traditional infrastructure. By leveraging our scalable, fully managed cloud setup across two regions, DZI gained a flexible, secure, and cost-effective platform, ensuring smooth data migration and 24/7 support.

Explore the full case study to learn more about DZI's smooth transition.

ZUS: Transforming IT Infrastructure

After 20 years with a single technology provider, ZUS faced challenges with outdated IT processes, budget constraints, and hardware limitations. By partnering with Comarch, ZUS transitioned to a modern, vendor-agnostic private cloud platform, migrating 90 virtual servers and improving operational efficiency. This project resulted in scalable infrastructure, significant cost savings, and enhanced system availability.

Read the full case study to get inspired by ZUS’ success story.

Cloud Migration Managed Services

Benefits of Using Managed Services

Even with a comprehensive cloud migration guide, completing this process and managing your own cloud can be tricky. By partnering with Comarch, you can eliminate the burden of transitioning and managing your cloud infrastructure, allowing your team to focus on other initiatives that drive growth.

What are the benefits of using a cloud migration managed services provider?

• Predictable Costs: Enjoy predictable, recurring monthly costs that provide full financial control.
• Quick Time-to-Market: Focus on critical activities, speeding up your time to market.
• Reduced Total Cost of Ownership: All investments are made by the provider, minimizing your financial outlay.
• Focus on Core Business: Concentrate on your core operations without worrying about infrastructure complexities.
• Simplified Management: Decrease the complexity of managing your cloud environment.
• Agility: Enhance the speed of development and deployment of IT solutions.
• Access to Advanced Technologies: Benefit from continuous access to the latest technologies at lower costs.
• Dedicated Support: Have a dedicated point of contact for any issues or changes, guiding you throughout the process. 

How to Choose a Managed Service Provider

1. Expertise and Experience: Look for a provider with a proven track record in managing cloud infrastructures.
2. Service Offerings: Ensure the provider offers a comprehensive range of services tailored to your specific needs, from cloud design to ongoing management and optimization.
3. Scalability: Choose a provider that can easily scale their services to match your growing business demands.
4. Security and Compliance: Confirm that the provider has robust security measures in place and can help you comply with industry regulations.
5. Customer Support: Assess the level of support provided, including response times and the availability of dedicated account management.
6. Cost Structure: Evaluate their pricing models to ensure flexibility and alignment with your budget.

Trends in Cloud Migration

Hybrid and Multi-Cloud Strategies

As of 2024, 73% of enterprises have adopted hybrid cloud strategies, with an additional 14% utilizing multiple public clouds, signaling a transition away from relying solely on single private or public cloud infrastructures. Businesses can maintain control over sensitive data by storing it in a private cloud while leveraging the scalability and resources of public clouds for enterprise applications.

Serverless Computing and Cloud-Native Applications

In serverless computing, automatic scaling and resource allocation are based on demand, which reduces operational costs and improves efficiency. It’s no surprise that 31% of IT decision-makers plan to adopt serverless computing in the coming year, as it lets developers focus on building and deploying code without the complexities of managing infrastructure.

AI and Machine Learning in Cloud Migration

The integration of AI and machine learning into cloud migration processes has a big impact on how organizations approach application remediation and migration. AI can streamline and speed up the migration process and minimize risks associated with the project. 40% reductions in time and investment have been observed in early efforts to apply generative AI to application remediation and migration.

Cloud Migration: Key Takeaways

In summary, migration to the cloud and its many benefits are changing how global businesses operate. Hybrid and multi-cloud strategies are becoming prevalent, with many enterprises opting for a combination of public and private clouds to meet their diverse needs. Additionally, trends like serverless computing and the incorporation of AI and machine learning are streamlining processes, driving innovation and agility even further.

For businesses considering cloud migration, it is crucial to assess their specific needs and challenges to select the most suitable strategy and solutions. Engaging with a reliable managed service provider can simplify this transition, ensuring that resources are optimally allocated and operational risks minimized.

Explore how Comarch solutions can help your company maximize its cloud migration efforts: contact us today and discover the potential of cloud technology for your business.

FAQ

1. What are the 6 phases of cloud migration?

The phases of cloud migration typically include assessment and planning, application discovery and dependency mapping, designing the cloud architecture, testing, and optimization.

2. What are the 7 cloud migration strategies?

The 7 R cloud migration strategies encompass several approaches: lift-and-shift, replatforming, refactoring, repurchasing, retiring, retaining, and relocating. Each strategy aligns with specific business goals and resource capabilities.

3. What are the main benefits of cloud migration?

Main benefits of cloud migration include cost reduction, improved scalability, enhanced flexibility, and increased operational efficiency. Organizations can also access advanced technologies and reduce the burden of infrastructure management.

4. How do I know if my business is ready for cloud migration?

To determine readiness, assess your current IT infrastructure, evaluate your team’s expertise, and identify your business objectives. Additionally, consider your data security needs and whether your applications can effectively operate in a cloud environment.

5. How can managed services help with cloud migration?

Managed services can streamline cloud migration by providing expertise, infrastructure management, and ongoing support throughout the process. This way, businesses can focus on core operations while minimizing risks and reducing operational overheads.