Impasses are common with cloud investments
Microsoft contracts are typically three years long – and if you went on a hike for three years, you could expect a lot of the world to change during that time. In the context of Microsoft investments, organizational and technological changes will be the most common and significant.
For instance, just think about companies that signed a contract with Microsoft back in 2019. Throughout 2020, their technological and organizational needs fundamentally changed as remote work became the standard, rendering some previous investments less valuable. It’s true that 2020 has been an especially unusual year – but change is inevitable, and the next disruptor is always right around the corner.
Even without drastic change, many organizations eventually experience significant challenges over the course of their Microsoft contract. Here are just a few common challenges that your business might experience while optimizing your Microsoft and cloud investments.
- Poor return on investment – Microsoft spend may seem ever-increasing, and the benefits may seem to be ever-vanishing. This can be due to numerous factors that are difficult to pin down, causing frustration.
- Lack of expertise – Many organizations are unfamiliar with intricacies like the publisher incentive model or potential cost savings at your contract‘s anniversary. To compound the issue, a lack of insight into the solution’s total value makes negotiations difficult.
- License non-compliance – It’s difficult to identify and validate the data and information required to use licenses properly and stay compliant. Additionally, many IT teams don’t allot enough time to prepare for an audit.
- Unfavorable contract negotiations – Many organizations don’t realize how unfavorable their initial contract was until they realize what contract they could have had. Teams need to understand the long-term effects of their contracts and learn how to best renegotiate them.
- Lack of unbiased information – Ask Microsoft for help and you’ll get a biased answer, but search online and you’ll find private businesses who want you to download their software. A lack of guidance can make the path forward more unclear than it should be.
These challenges can create gaps that organizations will scramble to patch as soon as possible. However, this often results in unwise technological investments. By partnering with an expert guide, you’ll be able to calmly decide the best way to overcome the challenge – whether it’s reworking your contract during the term or providing your employees with more helpful resources.