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Moving to the Cloud – External Business Considerations

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In our previous posts we looked at some technical and internal business considerations when moving to the cloud. This time we’re going to look into some of the external business considerations that organizations need to think about.

What To Do About Sunk Costs?

Sunk costs are the blocker of a plethora of projects within an organization. While I understand that people need to think about capital investments that have already been made in technology, it seems counter intuitive to me to be so concerned about wasting the investment in an old clunky piece of hardware that the organization would risk future agility simply to eek out a few more cycles of depreciation on the kit. It’s well understood that people don’t like to “throw good money away” but if that good money went into buying sub-optimal solutions, the money is already lost.

Economic theory says that sunk costs should not impact decision making – human beings however are far from rational and it will often be a topic for conversation.

To learn more and to read the entire article at its source, please refer to the following page, Moving to the Cloud – External Business Considerations- CloudAve .com

 

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