THE BOTTOM LINE

Cloud payback comes in less than 8 months

Nucleus’s analyses of the return on investment (ROI) of modern cloud solutions replacing old, legacy systems in human capital management (HCM) show that payback on average comes in less than eight months. Moreover, most cloud deployments achieve positive net benefits by the end of the deployment’s first year. The reason boils down to legacy system inefficiencies and hard costs, which go away. After a short-lived increase in spending to implement the cloud solution, most labor expenditure related to IT’s involvement is eliminated as lasting gains in productivity take hold for the deploying company.