Public cloud implementation is often perceived as complex by many companies, especially those transitioning from traditional IT infrastructure. Based on direct research experience and discussions with multiple organizations, this study explores the key factors that influence the adoption of public cloud services. These factors include perceived usefulness, perceived ease of use, security, cost, reliability, agility, attitude toward using, and actual system usage.
From this research, six new managerial factors emerged. Five factors: Adaptive, Performance, Economical, Flexible, and Speed have a positive impact on public cloud implementation. Meanwhile, Disruption has a negative influence. These findings offer practical guidance for decision-makers planning a cloud computing strategy.
Managerial Implications of Public Cloud Implementation
Adaptive: Supporting Business Change
Adaptability refers to how easily a system adjusts to changing conditions. In today’s competitive market, companies must continuously innovate and adjust strategies. Therefore, they need information technology that can evolve quickly.
Public cloud services support business adaptability by enabling rapid changes in infrastructure and applications. As a result, companies can align IT capabilities with business strategy more effectively. This makes public cloud implementation a strong foundation for long-term growth.
Performance: Improving Productivity
Performance reflects how public cloud services improve organizational productivity. When companies choose a cloud provider with high availability, standardized security, and strong network infrastructure, system performance increases.
In addition, cloud platforms simplify system usage and isolate failures. Consequently, disruptions can be minimized and operational efficiency improves. This makes performance a critical factor in successful public cloud implementation.
Cost Efficiency: A Strategic Advantage
Cost efficiency is often the first question raised by IT managers. Common concerns include total cost, comparison with on-premises systems, and value compared to other providers. These concerns are valid and must be addressed clearly.
Total Cost of Ownership (TCO)
According to Gartner, IT Total Cost of Ownership consists of capital costs, administration, technical support, and end-user operations. However, many companies only consider hardware and software purchase costs. This approach is incomplete.
A comprehensive TCO calculation should include:
- Present value of investment, based on the company’s cost of capital
- Training costs for internal teams
- Operating costs, including upgrades and security
- Maintenance and disaster recovery costs
In traditional IT environments, companies often overprovision servers. In reality, only 30–50% of capacity is used. Meanwhile, public cloud services allow companies to pay only for actual usage. As a result, public cloud implementation significantly reduces TCO.
Return on Investment (ROI)
ROI measures the financial benefit of technology adoption. In Indonesia, many organizations still rely on traditional IT models with large upfront investments.
Public cloud implementation enables companies to compare long-term cost savings between on-premises systems and cloud services. If cloud adoption delivers higher savings over time, it becomes a strong basis for strategic decisions.
CAPEX to OPEX Transformation
In IT finance, CAPEX refers to upfront hardware and software investment, while OPEX covers ongoing operational costs. Public cloud services shift IT spending from CAPEX to OPEX.
Instead of large initial investments, companies pay monthly based on usage. Therefore, budgets can be redirected to core business activities such as expansion or production growth. This financial flexibility strengthens the business case for public cloud implementation.
Flexibility: Easier System Integration
Flexibility enables seamless system integration across the organization. Most public cloud infrastructures are compatible with enterprise applications.
As a result, companies can run existing systems without purchasing additional hardware. This simplifies IT management and supports faster innovation.
Speed: Faster Deployment
Speed refers to how quickly systems can be implemented. While adaptability focuses on change, speed focuses on execution.
Public cloud implementation allows rapid deployment of applications and infrastructure. Consequently, companies can respond to business needs faster and more efficiently.
Disruption: Managing Risk in Cloud Adoption
Despite high Service Level Agreement (SLA) promises, disruption remains a risk. Many cloud providers offer availability guarantees above 99%. However, these claims must be evaluated carefully.
Before choosing a provider, companies should assess:
- Infrastructure design and implementation
- Hardware reliability
- Expertise of the cloud operations team
- Alignment between cloud solutions and business needs
- Strength of the security architecture
By conducting thorough evaluations, companies can reduce disruption risks and ensure stable public cloud implementation.
Conclusion
Public cloud implementation offers strategic benefits when managed correctly. Factors such as adaptability, performance, cost efficiency, flexibility, and speed positively influence adoption. However, companies must address disruption risks by carefully selecting the right cloud provider.
With the right strategy, public cloud services can become a reliable foundation for business transformation.
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