End of large investment costs for building IT solutions
The cloud has made it possible for Veidekke to build solutions faster and easier than before. For example, the company has built what it calls the "insights factory", a solution for analyzing data in the cloud to provide valuable insights to the business.
“Building this type of solution takes no time when everything runs on a modern cloud platform where you can pick and choose from a large menu of platform services”, says Hellum.
For IT, this is a new way of thinking, as you avoid the large investment costs that were previously involved when new solutions were to be built. Instead, the costs are transferred to the operating budget.
“However, this means that there are several pitfalls, and because of that we have worked closely with Cognizant around this "cloud economy". When you pay for usage, you need to understand how you buy the services – for example, that you can scale services up or down as needed and only pay for what you need”, he says.
In addition to easier construction of new and forward-looking services, business continuity and security were among the most important reasons for Veidekke switching to a cloud-based infrastructure.
Hellum believes that today's threat picture means that the requirements for IT security are at a completely different level now than just a few years ago, and this is also an important reason why Veidekke does not want to run the solutions themselves.
“After performing an assessment together with Cognizant, the choice fell on Microsoft Azure. Microsoft is investing huge sums in Azure, which neither we, nor smaller data centers, can do. I believe it is impossible to deliver the same security in your own center that you get from one of the big cloud providers”.
In total, it will take two to three years before everything has been moved to the cloud.
“The plan is for everything to be done by 2024. It has been a demanding journey of change, and partnerships with heavy technology suppliers such as Cognizant have been very important for us to reach this goal”, concludes Hellum.