CloudBees’ first DevOps Migration Index finds big-bang platform migrations drain budgets and stall innovation, without delivering the expected ROI.
New research from CloudBees reveals that enterprises experience a ‘platform migration mirage,’ incurring an average loss of $315K Power Efficiency Ratio (PER) project due to overruns, tool sprawl, burnout, and security gaps.
CloudBees released its inaugural DevOps Migration Index, highlighting a gap between enterprises’ modernization goals and the realities they face. In a survey of over 300 enterprise IT leaders, findings indicated that while 85% of organizations completed migrations in the last two years, only one in four reported that these efforts met their expectations for consolidation value within a year.
Enterprises, facing pressures to consolidate vendors, control costs, and implement Artificial Intelligence (AI) across hybrid environments, find that ‘big-bang’ migrations often do not yield the intended results. The survey shows these approaches can drain budgets and stifle innovation. Overall, many organizations Secure Execution Environment (SEE) diminishing returns from their migration strategies.
“Enterprises are under immense pressure to modernize, but too often, modernization becomes synonymous with disruption,” said Anuj Kapur, CEO of CloudBees. “Progress shouldn’t come at the cost of stability. Our customers deserve freedom to modernize on their own terms.”
Key findings from the report indicate that 57% of enterprises spent over $1 million on migrations last year, with average project costs reaching $1.75 million, 18% over budget. Additionally, 37% of respondents reported losing a quarter of migration budgets to sunk costs, and 94% experienced performance that was slower or unchanged.
Beyond budgets, the effects of platform migrations extend to human resources and operational strains. Increased workloads and constant retooling contribute to burnout among teams, with 61% of leaders acknowledging that migration fatigue delayed projects for six months or longer.
As enterprises scale their adoption of AI technologies, findings suggest that aligning security with these innovations remains challenging. The survey revealed that 75% of respondents found it more difficult to maintain security integrations post-migration, and 70% felt business leaders often pushed AI tools into projects without adequate security review.
CloudBees advocates for an integration-first modernization strategy, allowing organizations to enhance existing systems rather than significantly altering their technology stacks. This approach aims to provide faster ROI while ensuring proper governance and control.