Cloud migration is top of mind for most companies with SAP applications. While the advantages of the cloud for SAP customers is generally understood, the move itself can be complicated and disruptive. So what actually are the business benefits and cost savings? How long will it take to recoup such an investment? Two recently published reports from Forrester and IDC can help to quantify the benefits and ROI. 

Getting answers to the million-dollar questions
Forrester and IDC bring different methodologies to the table; they asked somewhat different questions and used different models to calculate their financial KPIs. This allows you to get two different points of view on the same basic questions about value, risk, and ROI.

As it turns out, both reports found that customers who migrate their SAP environments to Google Cloud see an impressive return on their investments. From uptime and infrastructure to efficiency and productivity—both Forrester and IDC identified major benefits to companies that have made the move to Google Cloud.

Let’s walk through some of the highlights from both reports.

Forrester’s TEI model spotlights the power of uptime improvements
Based on in-depth conversations and quantitative research with six companies, here are the key findings from the Forrester Total Economic Impact (TEI) study for companies running SAP systems on Google Cloud: 

• Direct cost savings. When they compare cloud subscription and related costs to what they spent on legacy systems and infrastructure, most IT leaders expect a cloud migration to deliver up-front savings. But according to Forrester, the companies interviewed reported average savings of more than $3 million a year, including eliminated hardware purchases, right-sized software licensing, staffing efficiencies, and other operational cost savings.

• Dramatically improved uptime. Customers told Forrester that migrating SAP to Google Cloud pretty much eliminates downtime—planned or unplanned—as a significant IT concern. According to Forrester, companies realized an average of $1.5 million in savings per year by avoiding the revenue and user productivity losses that had once been a fact of life for their IT teams.
• Significant efficiency gains. Because Google Cloud works to mitigate performance bottlenecks, infrastructure mishaps, network delays and more, the companies Forrester interviewed reported a yearly average of $500,000 in productivity gains for SAP business users and frontline workers.

Companies also reported an annual average of $500,000 in additional IT efficiency gains after migrating SAP to Google Cloud. This quantifies what happens when IT practitioners no longer have to deal with the bottlenecks that come with legacy systems, and are able to spend their time on tasks that actually build value and help the business. Based on the Forrester analysis, the companies interviewed could expect average three-year net benefits of about $15.4 million.

“We benefit from any technical innovation in the infrastructure area because Google Cloud is doing that for us,” one customer told Forrester. “So, whenever there’s new hardware available or new processes or whatever, I don’t have to run the specific project to migrate from A to B.” 

IDC finds that good things happen when SAP downtime is reduced 
The IDC report highlights four areas where Google Cloud generates the most value for customers:

1. Cutting infrastructure costs. According to IDC, customers running SAP on Google Cloud spent 31% less on infrastructure each year, or an average of $233,000 less per company. The ability to scale SAP environments dynamically and to keep them right-sized was a major factor; so were the advantages of automated infrastructure monitoring and savings on software licenses once these companies could stop overprovisioning.

2. Giving a team better things to do. IDC found that the infrastructure, database, and security teams of the companies they interviewed reduced the time they need to maintain and manage SAP environments by an average of 66% per year, for a savings of $443,000, per company. As a result, these companies got the equivalent of a major staff expansion from their SAP migrations—giving them both the staff time and the expertise to focus on far more valuable activities.

3. Limiting unplanned downtime. These companies reported to IDC an average 98% reduction in unplanned downtime. Migrating SAP to Google Cloud significantly reduces the threat of downtime and saves the business an average of nearly $770,000 per year in lost revenue and user productivity. For some firms, the downtime savings topped $1 million per year.

4. Making users more productive. The companies interviewed told IDC that by avoiding downtime and disruptions associated with upgrade and maintenance tasks for their legacy SAP systems, they saved an average of $363,000 annually in user productivity. But there’s an even more interesting under-the-hood stat contributing to these gains: These companies reduced the time required to deploy new SAP compute and storage resources from an average of 8.8 days to 1 hour.

When IDC added up these and other savings associated with running SAP on Google Cloud, it found an average three-year savings of more than $3.5 million and a five-month payback period. 

“We acquired another company, so basically overnight we needed to be able to deal with that increase,” said one customer IDC spoke with. “We doubled our footprint overnight, and we had to take on hundreds of additional employees. We needed a platform that we could easily scale up if we required, and that’s the benefit of running SAP on Google Cloud for us.” 

Explore the reports
There is a lot to think about when considering a move of SAP systems to the cloud. The cloud has many advantages, but migration can seem complicated and tricky; we appreciate that you are looking to understand the full picture. These papers are a great place to start. 

Download the reports—Forrester’s “Total Economic Impact of SAP on Google Cloud” and IDC’s “Business Value of SAP for Google Cloud Environments.” Then, get in touch.

Startups need to move quickly and focus their limited resources on areas where they can differentiate. If infrastructure isn’t your differentiator, don’t put a lot of energy into your infrastructure when someone else can do it for you. What’s more, time-to-market matters to startups more now than ever. Successful early stage companies know this, and leverage existing tools, libraries, frameworks and innovations whenever possible.  

Next week Google Cloud will be featured at TechCrunch Disrupt, the iconic annual event where “founders and investors shaping the future of disruptive technology” come together to share stories, network, and learn from each other. Google Cloud will host a session and Google Cloud engineers will be available in a virtual booth to answer startup questions. 

The session, “Demo Derby – How startups are disrupting the status quo with innovative data analytics, AI and modern app development” will be a fun, fast-paced set of presentations showing short demos of startups and startup projects built with Google Cloud. 

Demo Derby Presenters

• Andrea Le Vot, Chief Data Protection Officer with startup BlueZoo will deliver a demo showing how they are revolutionizing the property insurance industry with AI and Cloud – and doing so while actually protecting people’s privacy.
• Dale Markowitz and Zack Akil, Applied AI Engineers, will show how easy it is to use AI for everything from video search to editing to automated translation.
• Vidya Nagarajan, Group Product Manager from Google Cloud will deliver a fast paced demo that shows how startups can drive developer productivity with serverless innovations.

“Disrupt is iconic for its engagement with founders, investors, and the broad community of early stage companies,” said Andrea Le Vot, Chief Data Protection Officer at BlueZoo. “We are thrilled to share our insights with others in our community, and to show how we have partnered with Google Cloud to innovate faster than most of the larger, well funded insurance companies in our market.”

The series of snippet sized demos will be followed by a roundtable discussion with the demo developers focused on lessons learned, best practices, how to reduce time-to-market, and how to focus on where you can most effectively differentiate.

The session will air on Day One of the event: Tuesday September 21, 2021 at 1pm PT and will be available on demand after the event for all Disrupt attendees.

Enterprises are increasingly seeking out technologies that help them create unique experiences for customers with speed and at scale. At the same time, customers want flexibility when deciding where to manage their enterprise data, particularly when it comes to business-critical applications.

That’s why I’m thrilled that Sprinklr, the unified customer experience management (Unified-CXM) platform for modern enterprises, has partnered with Google Cloud to accelerate its go-to-market strategy and grow awareness among our joint customers. Sprinklr will work closely with our global salesforce, benefitting from our deep relationships with enterprises that have chosen to build on Google Cloud. 

Akin to Google Cloud’s mission to accelerate every organization’s ability to digitally transform their business through data-powered innovation, Sprinklr’s primary objective is to empower the world’s largest and most loved brands to make their customers happier by listening, learning, and taking action through insights. With this strategic partnership now in place, Sprinklr and Google Cloud will go-to-market together with the end-customer as our sole focus.

Traditionally, brands have adopted point solutions to manage segments of the customer journey. In isolation, these may work — but they rarely work collaboratively, even when vendors build “Frankenstacks” of disconnected products. These solutions can’t deliver a 360° view of the customer, and often reinforce departmental silos. All of which creates point-solution chaos.

Sprinklr’s approach is fundamentally different and is the way out of the aforementioned point-solution chaos. As the first platform purpose-built for unified customer experience management (Unified-CXM) and trusted by the enterprise, Sprinklr’s industry-leading AI and powerful Care, Marketing, Research, and Engagement solutions enable the world’s top brands to learn about their customers, understand the marketplace, and reach, engage, and serve customers on all channels to drive business growth. 

Sprinklr was built from the ground up as a platform-first solution, designed to evolve and grow with the rapid expansion of digital channels and applications. The results? Faster innovation. Stronger performance. And a future-proof strategy for customer engagement on an enterprise scale.

“Sprinklr works with large, global companies that want flexibility when deciding where to manage their enterprise data and consider our platform a business-critical application,” said Doug Balut, Senior Vice President of Global Alliances, Sprinklr. “Giving our customers the opportunity to manage Sprinklr on Google Cloud empowers them to create engaging customer experiences while maintaining the high security, scalability, and performance they need to run their business.”

To learn more about this exciting partnership and the challenges we jointly solve for customers, check out the recent conversation between Google Cloud’s VP of Marketing, Sarah Kennedy, and Sprinklr’s Chief Experience Officer, Grad Conn. Or read the press release on the partnership.

Whether they were ready for it or not, the COVID-19 pandemic transformed many retailers into digital businesses. Retailers made huge investments into commerce technologies, customer experience tools, sales and fulfillment technology, and improving digital experiences to continue providing their goods and services to their customers. Now, more than a year into the COVID-19 pandemic, digital retail is the new normal. In fact, many retailers are planning on expanding their digital investments. However, as their digital footprint expands, so do their threats and security concerns. 

As a digital-focused retailer, your website is the most visible part of your attack surface. Your website is where your customers search for goods or services, make payments, or learn more about your brand. However, your website does not operate in isolation. There is an underlying infrastructure as well as the services that run on top of it that need protection from a wide array of attacks that may seek to compromise your data, internal employees, business, and customers. During this week’s Google Cloud Retail Summit, we’ve shared why Google Cloud is built to be the most trusted cloud for retailers. From providing you with control over your data as you move from your own data centers to the public cloud to giving you built-in technology to protect your applications all the way to your end users, Google Cloud helps you safely migrate to and operate in our Trusted Cloud.

Trusted Cloud Gives You Control, Transparency, and Sovereignty

• Access Transparency: We offer the ability to monitor and approve access to your data or configurations by Google Cloud support and engineering based on specific justifications and context, so you have visibility and control over insider access. 
• Certificate Authority Service (CAS): CAS is a highly scalable and available service that simplifies and automates the management and deployment of private CAs while meeting the needs of modern developers and applications. With CAS, you can offload to the cloud time-consuming tasks associated with operating a private CA, like hardware provisioning, infrastructure security, software deployment, high-availability configuration, disaster recovery, backups, and more, allowing you to stand up a private CA in minutes, rather than the months it might normally take to deploy.

• Confidential Computing: We already encrypt data at-rest and in-transit, but customer data needs to be decrypted for processing. Confidential Computing is a breakthrough technology which encrypts data in-use—while it’s being processed. Confidential VMs take this technology to the next level by offering memory encryption so that you can further isolate your workloads in the cloud. With the beta launch of Confidential VMs, we’re the first major cloud provider to offer this level of security and isolation while giving you a simple, easy-to-use option for your newly built and “lift and shift” applications.

• Cloud Key Management: We allow you to configure the locations where your data is stored, where your encryption keys are stored, and where your data can be accessed from. We give you the ability to manage your own encryption keys, even storing them outside Google’s infrastructure. Using our External Key Management service, you have the ability to deny any request by Google to access encryption keys necessary to decrypt customer data at rest for any reason.

Trusted cloud Helps You Prevent, Detect, and Respond to Threats

• BeyondCorp Enterprise is Google’s comprehensive zero trust product offering. Google has over a decade of experience managing and securing cloud applications at a global scale, and this offering was developed based on learnings from our experience managing our own enterprise, feedback from customers and partners, as well as informed by leading engineering and security research. We understand that most customers host resources across different cloud providers. With this in mind, BeyondCorp Enterprise was purpose-built as a multicloud solution, enabling customers to securely access resources hosted not only on Google Cloud or on-premises, but also across other clouds such as Azure and Amazon Web Services (AWS).

• Cloud Armor: We’re simplifying how you can use Cloud Armor to help protect your websites and applications from exploit attempts, as well as Distributed Denial of Service (DDoS) attacks. With Cloud Armor Managed Protection Plus, you will get access to DDoS and WAF services, curated rule sets, and other services for a predictable monthly price.

• Chronicle: Chronicle is a threat detection solution that identifies threats, including ransomware, at unparalleled speed and scale. Google Cloud Threat Intelligence for Chronicle surfaces highly actionable threats based on Google’s collective insight and research into Internet-based threats. Threat Intel for Chronicle allows you to focus on real threats in the environment and accelerate your response time.
• Google Workspace Security: Used by more than five million organizations worldwide, from large banks and retailers with hundreds of thousands of people to fast-growing startups, Google Workspace and Google Workspace for Education include the collaboration and productivity tools found here. Google Workspace and Google Workspace for Education are designed to help teams work together securely in new, more efficient ways, no matter where members are located or what device they use. For instance, Gmail scans over 300 billion attachments for malware every week and prevents more than 99.9% of spam, phishing, and malware from reaching users. We’re committed to protecting against security 1 threats of all kinds, innovating new security tools for users and admins, and providing our customers with a secure cloud service.
• Identity & Access Management IAM: Identity and Access Management (IAM) lets administrators authorize who can take action on specific resources, giving you full control and visibility to manage Google Cloud resources centrally. For enterprises with complex organizational structures, hundreds of workgroups, and many projects, IAM provides a unified view into security policy across your entire organization, with built-in auditing to ease compliance processes.
• reCAPTCHA Enterprise: reCAPTCHA has over a decade of experience defending the internet and data for its network of more than 5 million sites. reCAPTCHA Enterprise builds on this technology with capabilities, such as two-factor authentication and mobile application support, designed specifically for enterprise security concerns. With reCAPTCHA Enterprise, you can defend your website against common web-based attacks like credential stuffing, account takeovers, and scraping and help prevent costly exploits from malicious human and automated actors. And, just like reCAPTCHA v3, reCAPTCHA Enterprise will never interrupt your users with a challenge, so you can run it on all webpages where your customers interact with your services.

• Security Command Center: With Security Command Center (SCC), our native posture management platform, you can prevent and detect abuse of your cloud resources, centralize security findings from Google Cloud services and partner products, and detect common misconfigurations, all in one easy-to-use platform. We have Premium tier for Security Command Center to provide even more tools to protect your cloud resources. It adds new capabilities that let you spot threats using Google intelligence for events in Google Cloud Platform (GCP) logs and containers, surface large sets of misconfigurations, perform automated compliance scanning and reporting. These features help you understand your risks on Google Cloud, verify that you’ve configured your resources properly and safely, and document it for anyone who asks.

• VirusTotal: VirusTotal inspects items with over 70 antivirus scanners and URL/domain blocklisting services, in addition to a myriad of tools to extract signals from the studied content. Any user can select a file from their computer using their browser and send it to VirusTotal.
• Web Risk API: With Web Risk, you can quickly identify known bad sites, warn users before they click infected links, and prevent users from posting links to known infected pages from your site. Web Risk includes data on more than a million unsafe URLs and stays up to date by examining billions of URLs each day.

Trusted cloud Plays an Active Role in Our Shared Fate 

Our trusted cloud provides a shared-fate model for risk management. We stand with retailers from day one, helping them implement best practices for safely migrating to and operating in our trusted cloud.

We hope you enjoy the sessions we’ve created for you with Google Cloud Retail Summit and that they help you understand the ways our trusted cloud can help secure retailers all over the world.

When moving to the cloud, many organizations concentrate their focus on the change in technology, and overlook an area just as complex: cultural change. 

At Google, we’ve spent years nurturing our culture and workforce to best operate in the cloud, and the Google Cloud Professional Services team leverages the lessons we’ve learned for the benefit of enterprise customers embarking on their own cloud journeys. 

While it can be tempting to believe in a universally ‘correct’ strategy for change management, there is no one-size-fits-all answer. Every organization will have its own unique considerations. But with that said, there are some core strategies we’ve found to be relevant and useful across a broad range of businesses. 

1. Define your purpose for moving to Cloud
While pockets of cloud use and experimentation can evolve independently and in parallel across an organization, it’s important to make some deliberate decisions before starting a larger migration. At this stage, we recommend having a detailed answer to two key questions to ensure a successful cloud migration:

• Where do you want to go? (Or “What’s your cloud vision?”) 
• How do you plan to get there?

Start by having a conversation with leaders and those who will be key to the journey about how far you want to push your cloud vision. This alignment ensures everyone is on the same page—and will provide greater direction, allowing more deliberate action. 

2. Find the change path which is right for you 
Whether a ‘lift and shift’ approach to the cloud is right for you, or a more transformative approach with a lot of re-architecting—the most important thing is to find the flavor of change which is appropriate to your context and level of ambition.This will both shape your key migration activities, but also the level of impact to be managed within your organization.  

There are many ways to embark on a change journey for cloud migration (which one can find in the chart below). It is important to deeply understand the needs of your business and its people and determine what strategy makes the most sense.

3. Learn from best practices
Based on the lessons we’ve learned along our own journey, and the work we’ve done with customers, there are a number of recommendations we can share that can make a cloud migration more successful. We go into these in more detail in our new whitepaper, but below you can find the ones we think are most relevant: 

• Share the vision—and measure, measure, measure. Once you’ve crystallised your cloud vision with leadership and key stakeholders, share that vision widely. Set success goals and communicate them to hold yourself accountable.  
• Be clear about the capabilities you will need in the future—and where you’ll get them. For example, if your vision is to become a cloud-first, data and AI-led organization, ensuring you have the right data science skills and machine learning capabilities in your organization to achieve that vision becomes a critical step—be they home-grown or bought-in.
• Find the right balance between capabilities that should be under central control, and capabilities that should be decentralized, or agile. For example, should machine learning be something that sits centrally, or should it be spread across your organization? For every business, the solution will be a little different, and there’s no “one true answer.” There’ll be lots of different opinions about this, so the sooner the conversation starts, the better.  
• Start thinking about the needed tech and non-tech skills now, and how you’ll fill the gaps. Building the tech skills will take time, and not everyone will feel comfortable with the future picture of collaboration, innovation, and agility. 

To help businesses navigate their own cloud journeys, Google Cloud Professional Services has released a new whitepaper that can help guide organizations. “Managing Change in the Cloud” is closely aligned with the Google Cloud Adoption Framework and is a practical guide for organizations looking to maintain momentum in their cloud adoption. You can download the whitepaper here.