Many organizations are increasing cloud spending but are not realizing returns

Companies are investing heavily in cloud technologies. On average, they plan to increase cloud spending by 28% in the next year. Yet, more than half of SMBs and large enterprises are not seeing the return they expected. The reason is straightforward, technology is advancing faster than the teams using it. Without the skills to fully leverage cloud systems, even the best tools sit idle.

Drew Firment, VP of Global Partnerships at Pluralsight, and Faye Ellis, Pluralsight Fellow and AWS Hero, both emphasize that this challenge is less about technology and more about people. The lack of a skilled, confident workforce creates a gap between investment and execution. When teams aren’t fluent in cloud fundamentals, projects slow down, costs rise, and AI initiatives, now deeply dependent on the cloud, fail to reach their potential.

Executives should look at this as a wake-up call. The idea that technology alone drives transformation is outdated. The real driver of ROI is the combination of advanced tools and capable people. If your workforce doesn’t have the skills to build, run, and scale in the cloud, your technology spend turns into unused potential.

Cloud investments don’t fail because of poor technology, they fail when people aren’t ready. Firms that pair cloud adoption with strategic skill development consistently outperform those that focus on technology alone. Today, ROI depends as much on developing human capability as it does on deploying infrastructure.

Assessing current cloud skills and personalizing upskilling are essential steps to closing the cloud ROI gap

Before any organization can extract value from cloud technology, it must know where its people stand. Every team has different levels of cloud understanding, ranging from foundational knowledge to deep technical expertise. Assessing those skills should be the first step. It builds a data-driven view of readiness, showing where strengths exist and where targeted training is needed.

Faye Ellis makes this point directly. She explains that skill assessments help leaders understand the baseline and identify what employees already know. This enables more efficient training programs that focus only on closing gaps. That means less wasted time, better engagement, and faster progress toward workforce readiness.

For decision-makers, the insight here is powerful. The most successful organizations view skill data as a strategic input for workforce planning. When leaders know their team’s capabilities, they can plan migrations with confidence, deploy the right people in the right roles, and align their workforce strategies with business priorities. Drew Firment adds that top companies are using this data-driven approach to benchmark, aggregate, and move talent efficiently into cloud-centric operations.

Executives need to see this as a new form of performance intelligence. Understanding talent readiness at scale allows organizations to anticipate challenges before they slow delivery. Skills data gives leaders visibility, turning workforce planning from guesswork into a deliberate, measurable process that directly affects return on technology investments.

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Structured learning paths and cloud certifications are critical for accelerating workforce readiness during cloud migration

Once a company understands its workforce’s current capabilities, the next step is direction and structure. Without a clear roadmap, even the most motivated teams lose focus. Structured learning paths fill this gap by defining specific skill trajectories based on role and responsibility. Engineers, architects, network administrators, and DevOps professionals each need content that fits the practical needs of their daily work.

Faye Ellis points out that “with skills, it’s use it or lose it.” Learning that connects directly to daily tasks sticks. When a database administrator is trained on the exact tools required for migrating or maintaining databases in the cloud, that knowledge transitions naturally into execution. This role-aligned approach enables faster adoption, minimizes errors, and accelerates project readiness.

Cloud certifications add another layer of value. They provide a shared language for teams and reinforce the technical standards required to operate effectively in the cloud. Drew Firment emphasizes that teams must first understand the language of core cloud services, from EC2 to RDS, before they can fully apply them. Certifications verify that foundation. However, Ellis cautions that credentials alone are not enough. Without practical application, certification knowledge fades quickly. Employees need ongoing opportunities to apply what they learn in meaningful contexts.

For executives, the key takeaway is that both structure and validation matter. Role-specific learning ensures relevance. Certification ensures credibility. Together, they build a workforce capable of executing complex migrations with confidence. But readiness only becomes real when learning and practice happen continuously. That sustained commitment transforms training from an operational expense into a core performance enabler.

Realizing cloud ROI requires that workforce skills translate into hands-on, practical application

Technology delivers value only when people turn learning into results. Cloud ROI doesn’t come from migration plans or completed training modules, it comes from teams applying what they’ve learned in real environments. When employees gain real, hands-on experience by deploying, managing, and troubleshooting cloud systems, they move from learning to capability.

Drew Firment makes this point clear: enterprises don’t gain value just by moving workloads. The value appears when cloud services are actively used to drive outcomes. When teams consume those services effectively, speed of delivery improves, and innovation becomes more consistent. Faye Ellis adds that practical, hands-on experience, working directly with systems, experimenting, failing safely, and fixing issues, is the most important part of the learning process. Safe lab or sandbox environments allow employees to deepen their skills without putting production systems at risk.

For decision-makers, the message here is precise. Investing in technology without building real-world proficiency limits returns. A strong hands-on culture ensures employees not only understand cloud concepts but can apply them to meaningful business objectives. This hands-on execution is what turns technology adoption into measurable performance gains.

Executives should ensure that their training strategies extend beyond theory. Practical labs, guided scenarios, and on-demand experimentation close the gap between understanding and doing. This balance of education and practice is where ROI becomes visible, when people transform instruction into performance.

Cloud readiness is a critical enabler for effective execution of AI strategies, ensuring enterprise-wide ROI

Organizations that succeed with AI are the ones that are already cloud-ready. Cloud is the operational backbone of AI, and without it, even the most advanced algorithms and applications remain underutilized. To extract sustained value, companies must build a workforce that understands how to optimize both infrastructure and intelligence. True readiness depends on three factors: continuous skills assessment, targeted learning, and consistent practical application.

Drew Firment explains that businesses narrowing the gap between strategic intent and execution share one trait, they are cloud-ready. They are not only investing in tools but constantly evaluating the capabilities of their people. A cloud-ready workforce can scale technology rapidly, adapt to new innovations, and support the increasing computational and data demands that AI initiatives require. This readiness ensures that investments in AI go beyond exploration and translate into tangible results.

For executives, the message is straightforward. Becoming cloud-ready is not a one-time achievement; it’s a continuous process of alignment between technology adoption and human capability. Decision-makers who maintain this alignment reduce the friction that typically slows innovation. They gain flexibility, clarity, and a faster return on technological investments. Organizations with cloud-mature teams progress from deploying AI pilots to implementing AI-driven products that directly impact business performance.

This readiness mindset is where business resilience emerges. Companies that keep assessing and refining their workforce skills stay ahead of technological shifts. They remain agile in how they adopt and scale AI solutions. With cloud readiness as the foundation, AI becomes a consistent driver of value.

Key executive takeaways

  • Bridge the cloud skills gap to realize ROI: Most organizations plan to increase cloud spend by 28%, yet over half see little return. Leaders should focus on workforce cloud competency as the biggest lever for turning investment into measurable business outcomes.
  • Use skill assessments to drive smart upskilling: Executives should start by benchmarking workforce capabilities through skill assessments. This data enables personalized learning plans that close the most critical gaps quickly and align training with strategic priorities.
  • Structure learning paths and certifications for readiness: Define clear, role-based learning paths and back them with relevant certifications. This structured approach helps employees develop skills tied directly to business goals and accelerates cloud migration success.
  • Turn learning into impact through hands-on execution: Teams only create value when they apply what they learn. Decision-makers should enable safe, practical environments where employees can practice, fail, and refine skills to build operational confidence and efficiency.
  • Prioritize cloud readiness to power AI and long-term ROI: Cloud readiness is the foundation for effective AI initiatives. Leaders should commit to continuous skill evaluation and development to ensure technology investments convert to sustained innovation and growth.

Alexander Procter

July 21, 2026

7 Min

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