As more organizations embrace digital transformation, one term continues to come up again and again: cloud migration. But for many business leaders and IT professionals, the concept still feels complex, technical, or overwhelming.
So, what is cloud migration, and why are so many companies making the move?
In this beginner friendly guide, we’ll break down everything you need to know about cloud migration-what it is, why it matters, how it works, and what a typical cloud migration process looks like. Whether you’re just starting to explore the idea or project planning a migration to cloud, this guide will help you understand the fundamentals with confidence.
What Is Cloud Migration?
At its core, cloud migration is the process of moving digital assets-such as applications, data, workloads, and IT resources—from on premises infrastructure or legacy systems to a cloud environment.
In simpler terms, cloud migration means shifting from owning and managing physical servers in your own data center to using cloud based platforms like Microsoft Azure, Amazon Web Services (AWS), or Google Cloud.
A migration to cloud can involve:
- Moving a single application or database
- Migrating an entire IT environment
- Modernizing systems to take advantage of cloud erp solutions
The goal of cloud migration is not just to change where systems are hosted, but to improve scalability, performance, security, and cost efficiency.
Why Do Businesses Move to the Cloud?
Understanding what is cloud migration also means understanding why organizations choose to migrate in the first place. Here are some of the most common reasons businesses pursue a migration to cloud:
Cost Efficiency
Traditional on premises infrastructure requires large upfront investments, ongoing maintenance, and hardware refresh cycles. Cloud platforms operate on a pay as you go model, helping organizations reduce capital expenses and only pay for what they use.
Scalability and Flexibility
Cloud environments allow businesses to scale resources up or down based on demand. This flexibility is especially valuable for growing organizations or those with seasonal workloads.
Improved Security and Resilience
Major cloud providers invest heavily in security, compliance, and disaster recovery. When implemented correctly, cloud migration can improve data protection, system availability, and business central continuity.
Faster Innovation
Cloud platforms offer access to advanced tools like analytics, automation, AI, and DevOps services, enabling organizations to innovate faster than traditional infrastructure allows.
Types of Cloud Migration
Not all cloud migrations look the same. The right approach depends on your business goals, technical complexity, and budget. Common migration strategies include:
Rehosting (Lift and Shift)
This approach moves applications to the cloud with minimal changes. It’s often the fastest way to migrate but may not fully leverage cloud native benefits.
Re platforming
Applications are slightly modified to improve performance or reduce costs while still keeping the core architecture intact.
Refactoring
Applications are redesigned or rebuilt to take full advantage of cloud native features. This offers the most long term value but requires more time and effort.
Replacing
In some cases, legacy applications are replaced entirely with cloud based SaaS solutions.
Each strategy plays a role in a successful cloud migration process, and many organizations use a mix of approaches.
The Cloud Migration Process: Step by Step
A structured cloud migration process is essential for minimizing risk and ensuring success. While every organization is different, most migrations follow these key steps:
1. Assessment and Discovery
The first step is understanding your current environment. This includes evaluating applications, data, infrastructure, dependencies, performance, and security requirements. A thorough assessment helps identify what should move to the cloud and how.
2. Defining the Cloud Strategy
Next, organizations define their migration goals and select the appropriate cloud platform. This stage determines the migration approach, timeline, and success criteria.
3. Architecture and Planning
Cloud architecture is designed to support security, scalability, compliance, and performance. This includes networking, identity management, access controls, and backup strategies.
4. Migration Execution
During this phase, applications, workloads, and data are migrated according to the plan. Testing is performed throughout to ensure systems function correctly.
5. Testing and Validation
Before going live, migrated systems are tested for performance, security, and reliability. Any issues are resolved before full production use.
6. Optimization and Ongoing Management
After migration, environments are optimized for cost, performance, and governance. Continuous monitoring ensures long term success.
Common Challenges in Cloud Migration
While cloud migration offers many benefits, it also comes with challenges—especially for beginners.
Downtime and Business Disruption
Without proper planning, migration can disrupt business operations. A structured cloud migration process helps minimize downtime.
Security and Compliance Concerns
Data protection and regulatory compliance must be carefully managed throughout the migration to cloud.
Application Complexity
Legacy applications may have dependencies or limitations that make migration more complex.
Cost Management
Without proper governance, cloud costs can increase unexpectedly. Postmigration optimization is critical.
Working with experienced cloud professionals can help address these challenges early.
Is Cloud Migration Right for Your Business?
Cloud migration is not a one size fits all solution, but it can benefit organizations of nearly any size or industry. If your business is struggling with aging infrastructure, limited scalability, or high IT costs, a migration to cloud may be the right next step.
The key is approaching cloud migration as a strategic initiative—not just a technical task. Clear goals, a well defined cloud migration process, and the right expertise make all the difference.
Final Thoughts: Getting Started with Cloud Migration
So, what is cloud migration really about? At its heart, cloud migration is about enabling your business to be more agile, resilient, and future ready.
By understanding the basics of cloud migration, the reasons behind a migration to cloud, and the steps involved in the cloud migration process, you can make informed decisions and move forward with confidence.
Whether you’re migrating a single application or transforming your entire IT landscape, cloud migration is a powerful step toward modernizing your business-and it all starts with understanding the journey ahead.
Arwin Singh is a Functional Consultant – SCM and Customer Success Manager (CSM) at AXSource, a leading Microsoft Dynamics 365 partner. With 7+ years supporting Dynamics 365 Finance & Operations implementations, Arwin helps organisations drive measurable value—bridging process design with user adoption, training, and ongoing optimisation. He has guided clients across manufacturing, automotive, pharmaceuticals, hospitality, and more, aligning ERP capabilities to business goals and ensuring long-term success. He is very passionate about driving business success and ensuring businesses are empowered using new Microsoft tools.
