So you’ve removed the obstacles to implementing cloud apps and have migrated onto the cloud — you want to know how it’s going. How can you tell if the benefits outweigh the costs?
Generally speaking, migrating into cloud-based technologies gives you a platform to grow with technology and seek previously unattainable opportunities.
If you want to track and benchmark your successes with your cloud adoption, here are some key performance indicators (KPIs) that demonstrate the value of your choice. With the right KPIs, you can use these measurements to support the change and justify future changes as well.
Costs to operate the cloud
By using the cloud, companies hope that their operational expenses will decrease. It’s important to monitor a few aspects of cloud operations and review what you spent.
Monthly cloud bills – Does your forecasted bill match your actually monthly cloud bill? If it’s mismatched, look at what areas you need to address to lower your costs. Do you need to use a different provider? Are the rates steady or fluctuating?
IT staff – When you adopt something like a cloud-based online inventory management software, it’s going to come with questions and necessary support at first. Look at your IT staff costs to see how it’s changing.
Power costs – A cloud-based online inventory management system is great, but a lower power bill is even better! If you’re not paying energy costs of running and cooling servers internally, you might be saving your business some money.
Seeing if your customers are satisfied is a good way to benchmark your journey into the cloud. By bringing on board this new technology, you can provide customers with a better overall customer experience.
Check out your conversion rate – Has your new adoption into the cloud turned more of your website traffic into real sales and paying customers? This new way of operating can attract new customers.
Repeat customers – Perhaps your stock is better accounted for with your cloud-based online inventory management. Happier customers keep coming back for more; check to see if you have more repeat customers.
Responsiveness to the market – With real-time information about your products, you’ll be able to tell what the market is doing right away. This cloud data is a powerful tool for responding to demand and acting on it quickly to keep customers satisfied.
The cloud can shave down excess time spent on warehouse processes. Your manual workload will decrease and you’ll notice changes in your warehouse operations.
Efficiency – Are employees able to fulfil orders quicker with a cloud-based online inventory management system? Efficiency is one of the key changes a cloud system can bring.
Inventory stock health – With real-time inventory updates, the cloud can show you what’s happening on your inventory shelves. The cloud will be able to automate the re-ordering process when stocks are low. This prevents stockouts, as well as overordering.
Article by Melanie Chan in collaboration with our team of Unleashed Software inventory and business specialists. Melanie has been writing about inventory management for the past three years. When not writing about inventory management, you can find her eating her way through Auckland.