03 Dec How can boards effectively engage with cloud?
“Cloud can become an important source of strategic advantage for businesses. It’s time for boards to get involved.” (McKinsey)
The cloud has the ability to drive a huge amount of business value and more “companies are considering cloud’s role in fundamentally reshaping the competitive posture of their business”.
According to McKinsey, following interviews with almost 40 different boards, only 13% were actively engaging in conversations on the topic.
There are a number of challenges but “..in general, directors voiced a desire to become more fluent in making cloud a core part of corporate strategy discussion and development.”
How can boards effectively engage with cloud?
1. Link cloud to the overall strategy discussion
Go beyond discussing “should we…” to “how can we…”
2. Incorporate cloud into risk and compliance discussions
Incorporate cloud into risk-assessment frameworks & decision making on risk.
3. Support the development of cloud capabilities throughout the organization
Upgrade the IT operating model to become faster, more agile, and more collaborative.
4. Oversee and communicate cloud’s financial impact
Understand and develop a clear cloud based business model including trade-offs against future value/up-front investments and expenditure from the very beginning.
Read full McKinsey article