Updated October 2026.

Some years ago we built a cloud strategy for a client, and what we learned surprised us. Cloud is discussed everywhere, in industry media, forums and conferences, so we assumed the basics were clear to every IT team. They weren’t. The organisation was struggling to define a cloud strategy, and its IT people were so busy solving day-to-day problems in their own area that they had no time to build expertise around it.

Today almost every company uses the cloud: Microsoft 365 or Google Workspace, a CRM, accounting software, perhaps some servers on AWS or Azure. But using the cloud is not the same as having a cloud strategy. Many organisations still have cloud spending rather than a cloud strategy, and the gap shows up in rising bills, scattered data and projects that never seem to finish.

Signs you don’t have a cloud strategy

  • The monthly cloud bill keeps growing, and nobody can explain exactly why.
  • Every department signs up for its own software, and IT finds out later.
  • Nobody can say with confidence where customer data is stored, or who can reach it.
  • Projects drag on without a clear finish line, and management can’t see the benefit.
  • Security and backup are added after something moves, not planned before.
  • Vendors are driving the decisions, each pushing their own product.

Five questions a cloud strategy must answer

1. Why: what does the business need?

Start with business goals, not technology: growth plans, new markets, faster customer service, lower running costs, more resilience. The people building the strategy must understand those goals, or spend time with the right people until they do. If the strategy isn’t aligned with the business, it is very hard for the CIO to sell it to the CFO and CEO.

2. What: which systems move, and how?

Build an inventory of your applications and data, and decide what happens to each. Some stay where they are, some move as they are, some are rebuilt for the cloud, some are replaced with a ready-made cloud service, and some are simply retired. Base these decisions on an assessment and data, not on what a vendor is selling this quarter.

3. Where: which kind of cloud?

Decide what fits each workload: SaaS (software as a service, such as e-mail or CRM), PaaS (platform as a service, for applications you build) or IaaS (infrastructure as a service, virtual servers you manage). Then decide between public cloud, private cloud or a hybrid of the two. For most small and mid-sized businesses, SaaS first and public cloud for the rest is the simplest path, but regulated data or older systems may need a hybrid approach for a while.

4. How: security, data and governance

Plan identity and access (one login with multi-factor authentication), where data is stored and for how long, backup and recovery, and who approves new services. In India, the DPDP Act makes this a legal requirement for personal data, not just good practice; our post on what the DPDP Act means for small businesses explains why.

5. How much: cost and value

Cloud turns IT spending into a monthly bill that grows quietly. Agree budgets, tag resources by project or department, review usage every month, and switch off what isn’t used. Then measure value in business terms: time saved, faster delivery, less downtime, fewer incidents.

Turn the strategy into a roadmap

A strategy is only useful if it can be carried out, step by step, at a cost the company can afford. We usually plan in four phases:

  1. Foundations: identity and multi-factor authentication, backup, security baselines, cost tagging and budgets.
  2. Quick wins: e-mail and collaboration, replacing ageing on-site software with cloud services, retiring old servers.
  3. Core systems: moving or rebuilding the business applications that matter most, one at a time, with testing and a fall-back plan.
  4. Optimise: tune costs and performance, automate, and use the data now in one place, including for AI tools.

For each phase, set clear expectations: the base outcome on day one, and the improvements that follow over time. That is how you avoid “never-ending IT projects” and the frustration they cause on both sides.

A quick checklist for your current plan

  • Does the person building the strategy understand the business goals, and the company’s real cloud needs?
  • Is it based on an assessment and data about your systems and needs?
  • Does it say which part of IT moves first, and why?
  • Does it choose deliberately between SaaS, PaaS and IaaS, and between public, private and hybrid cloud?
  • Is it executable: phased, with steps, owners and a budget the company can afford?
  • Does it show the business benefits clearly enough for management to decide?
  • Are the IT team and systems ready to carry it out, or is training needed first?

How CATEYE can help

Our CIO on demand service gives you a senior technology leader who can build your cloud strategy and roadmap with your team and sell it to your management, without a full-time hire. Our digital transformation work then helps you carry it out. Talk to us about where your cloud should go next.