Building a Successful Cloud Migration for Your Credit Union
In the first of a two-part series, learn how to execute a cloud migration with reduced risk, on time and on budget.
Editor’s note: This is part one in a two-part series. In part two, ServerCentral Turing Group will present a four-step guide to defining a credit union’s cloud needs.
For credit unions, cloud migrations are no longer a matter of if. They are only a question of when.
Investment in the cloud and digital-first experiences are leading 2021 requirements. They are also among the biggest risks credit unions will face this year.
Moving to the cloud offers a laundry list of benefits and advantages. However, you need a strategy to realize them. Without a defined strategy, you’ll end up in the “cloud-washing” trap we see so many credit unions fall into – the trap where applications, data and processes are lifted and shifted into the cloud with no considerations for best practices or long-term cost implications.
According to research from Gartner, Forrester, IDC and 451 Research, more than 50% of cloud migrations exceed budget, exceed the migration window and/or result in unexpected business disruption. With the right plan and the right partners, you can reduce risk and execute a cloud migration on time and on budget.
A cloud migration approach should account for three things:
1. Defined, tangible ROI goals;
2. The assets you’re moving to the cloud and their individual requirements; and
3. How much support your cloud partner can provide.
The best cloud migration process is always personal. The individual challenges and requirements of your credit union should be the only thing shaping your cloud migration strategy. You’d rightly raise your eyebrows at a one-size-fits-all marketing plan or financial model. That same healthy skepticism must also apply to a one-size-fits-all cloud migration strategy.
Why Your Cloud Migration Checklist Should Be Completely Unique
All credit unions should begin assessing a cloud migration with a similar set of questions. Will it be more cost effective? Is it more reliable? Is it easier? Does it scale more efficiently? Will I get my IT resources back when it’s finished? Will I have the foundations in place to power digital-first experiences? All of these smaller questions add up to one big question: Is the business case of a cloud migration strong enough to outweigh its cost?
To find the honest answers for your credit union, you first need a strategy for how you’re going to move to the cloud.
The truth is that the key to a cloud project’s success lies in the operational details. Public, private and hybrid cloud solutions are abundant. The most complex and important part is understanding your business, your risks and your opportunities.
An Overview of the Most Important Cloud Migration Questions
We recommend starting every cloud migration plan by drafting a clear definition of your credit union’s cloud migration goals. This includes ranking your priorities. A migration to the cloud offers a laundry list of positive benefits. Migrations can be an opportunities to clear out capital expenses in favor of operational expenses and free up your tech team to work on other projects. They can deliver better, more scalable system performance and tighter security. They can enable you to begin the intelligent retirement of legacy systems. They can provide the foundation for brand new digital-first experiences. Knowing which outcomes are most important to your credit union will help you structure a migration plan that prioritizes those outcomes.
Before you make any tactical decisions, set your strategy with the following questions:
1. Why are you migrating?
2. What do you want to accomplish?
3. What metrics will you use to measure success?
Before you get started, get buy-in on the answers to these three questions from each and every project stakeholder and address any concerns that they have. This is going to save you countless headaches and sleepless nights as you go forward.
How to Build a Cloud Migration Roadmap Everyone Can Follow
A successful cloud migration plan is comprehensive. It is also simple. When everyone’s working from the same methodology and the project has clear objectives and clear milestones, you won’t get mired in discussions over which path is correct. To make sure things keep moving according to the agreed-upon plan, follow these steps:
1. Establish a clear leader. Assign a project owner, ideally an impartial party who has the authority to demand execution and can keep everyone on the same page.
2. Build a runbook. Outline the tools and methods, then get a copy into the hands of everyone involved in the migration, so they’re all working from the same page.
3. Schedule check-ins. Whether they take the form of meetings, calls or emails, set up a systematic way to keep everyone informed and a space for people to voice potential issues as they arise.
If you are not ready, willing or able to address these steps, find a trusted advisor who is – an organization that will help you manage the process and guarantee success.
Chris Rechtsteiner is a Vice President at ServerCentral Turing Group, a provider of cloud-native software development, AWS consulting, cloud infrastructure and global data center services.