Azure PaaS TEI FINAL 070716

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© 2016 Forrester Research, Inc. All rights reserved. Forrester is a registered trademark of Forrester Research, Inc. This document is an abridged version of a case study commissioned by Microsoft titled: The Total Economic Impact Of Microsoft Azure PaaS, June, 2016. Results are in US dollars. The full study, including a complete list of disclosures, can be found at azure.com/azure-paas-benefits. SUMMARY OF BENEFITS NPV $ 5.91M 466% ROI $0 $1 $2 $3 $4 $5 $6 $7 Benefits $7.18M Costs $1.27M Azure-app-enabled process benefits App dev and test savings IT admin time savings Added profit from Azure apps Service deployment savings with Azure PaaS Reallocated headcount and avoided new hire costs In millions. 5-year risk-adjusted present value Azure PaaS implementation and ramp-up costs Azure licensing costs ........................ .............. ...................... $ 375 K to $ 865 K per year New profit of: from faster customer solution delivery Improvement in project or transac- tion revenue Time saved per customer solution deployment (2 wks) Improvement in IT application management time MICROSOFT AZURE PAAS BY THE NUMBERS We [had] to set up dev environments, QA systems, and a complete infrastructure [before Azure PaaS]. It wasn’t a stretch to spend 50 days on that. -Partner, Eurpoean Consultancy 80% 15% 50% VOICE OF THE CUSTOMER We don’t have large IT, IT ops and dev ops teams; [with Azure PaaS] we’re going to do everything as efficiently as possible. -Chief architect, BI solution provider Developing our app without [Azure] PaaS? Well, we wouldn’t have done it. Frankly, the extra time and resources required would have wiped out any profit that we have generated. -Strategist and founder of a US IT services firm The Forrester Total Economic Impactof Microsoft Azure PaaS Forrester conducted a Total Economic Impact (TEI) study summarizing the business benefits, cost savings, and five-year financial results from interviews with eight enterprise customers who had adopted Microsoft Azure Infrastructure as a Service (IaaS) and recently moved to Microsoft’s Azure Platform as a Service (PaaS).

Transcript of Azure PaaS TEI FINAL 070716

Page 1: Azure PaaS TEI FINAL 070716

© 2016 Forrester Research, Inc. All rights reserved. Forrester is a registered trademark of Forrester Research, Inc.

This document is an abridged version of a case study commissioned by Microsoft titled: The Total Economic Impact Of Microsoft Azure PaaS, June, 2016.Results are in US dollars. The full study, including a complete list of disclosures, can be found at azure.com/azure-paas-bene�ts.

SUMMARY OF BENEFITS

PAYBACK PERIODM

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ns

Year 1

BENEFIT

COST

NPV$---M

---%ROI

Year 2 Year 3Initial

--months

SUMMARY OF BENEFITS

NPV$5.91M

466%ROI

$0

$1

$2

$3

$4

$5

$6

$7

Bene�ts$7.18M

Costs$1.27M

Azure-app-enabled process bene�ts

App dev and test savings

IT admin time savings

Added pro�t from Azure apps

Service deployment savings with Azure PaaS

Reallocated headcount and avoided new hire costs

In m

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ns.

5-ye

arris

k-ad

just

ed p

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nt v

alue

Azure PaaS implementation and ramp-up costs

Azure licensing costs

<CLIENT> <PRODUCT> BY THE NUMBERS

. . . . . . . . . . . . . . . . . . . . . . . .

. . . . . . . . . . . . . .

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Space for quote. -Interviewee industry

Short description

Short description

Space for quote. -Interviewee industry

. . . . . . . . . . . . . . . . . . . . . . . .

. . . . . . . . . . . . . .

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$375K to $865K per yearNew pro�t of:

from faster customer solution delivery

Improvement inproject or transac-tion revenue

Time saved percustomer solutiondeployment (2 wks)

Improvement in ITapplication management time

MICROSOFT AZURE PAAS BY THE NUMBERS

We [had] to set up dev environments, QA systems, and a complete infrastructure [before Azure PaaS]. It wasn’t a stretch to spend 50 days on that.-Partner, Eurpoean Consultancy

80%15% 50%

AFTERBEFOREShort description

--%

--%

Short description

Space for quote. -Interviewee industry

<NAME OF KEY BENEFIT>

VOICE OF THE CUSTOMER

We don’t have largeIT, IT ops and dev opsteams; [with Azure PaaS]we’re going to doeverything as efficientlyas possible. -Chief architect,BI solution provider

Developing our app without [Azure] PaaS? Well, we wouldn’t have done it. Frankly, the extra time and resources required would have wiped out any profit that we have generated.

-Strategist and founder of a US IT services firm

The Forrester Total Economic Impact™of Microsoft Azure PaaS

Forrester conducted a Total Economic Impact (TEI) study summarizing the business bene�ts, cost savings, and �ve-year �nancial results from interviews with eight enterprise customers who had adopted Microsoft Azure Infrastructure as a Service (IaaS) and recently moved to Microsoft’s Azure Platform as a Service (PaaS).