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Why cloud is imperative for cross-border business

Local businesses in Asia-Pacific (APAC) countries are increasingly setting their sights on regional expansion. It is easy to see why: to reach more consumers and increase sales. According to Visa, by 2027, cross-border e-commerce in Southeast Asia, South Korea, and Japan is projected to reach a combined value of US$148.1 billion.

As businesses digitalise and run cross-border operations, they need to adopt digital transformation and use cloud applications to mitigate challenges such as tariffs. Cloud-based enterprise resource planning (ERP) and business applications can help integrate operations and enable faster decision-making, while also supporting compliance with different regulatory requirements across multiple markets.

Cloud adoption across APAC

The numbers are encouraging. Almost 90% of APAC enterprises now have meaningful workload deployments on multiple public clouds. In addition, 52% of businesses have deployed at least one edge-to-cloud use case, reflecting greater comfort with distributed cloud architectures for more complex applications.

The push to adopt cloud is also driving digital transformation in some of the region’s biggest economies. Singapore’s Digital Connectivity Blueprint highlights the importance of multi-cloud strategies, and interoperable platforms to support seamless operations and public-private data sharing. Malaysia’s National Cloud Computing Policy focuses on public service innovation and efficiency, economic competitiveness and growth, user trust and data security, and digital inclusivity. As an indicator of increasing adoption, Amazon Web Services launched its Malaysian cloud region in August 2024, with plans to invest US$6.89 billion through 2038.

But when is the right time? Determining the timing and method for moving an organisation’s ERP to the cloud is a challenge. Businesses must consider industry dynamics, business objectives, talent requirements, and customer demands. At the same time, many organisations in the region remain constrained by outdated systems that limit their ability to adapt quickly to shifting market trends and local digital regulations.

Key considerations before moving to the cloud

Switching to the cloud is not as daunting as it may appear. However, key questions need to be addressed before taking action. Here are some points to consider.

  1. Cybersecurity
    It is crucial for businesses to prioritise cybersecurity as threats continue to grow in intensity and complexity. Establishing strong protections is as important as being aware of possible risks. Organisations can strengthen cyber resilience by investing in reliable security solutions, frequently updating and backing up software, and training employees on industry best practices.
  1. Growth strategy
    To stay competitive, streamline operations, and improve customer experience, businesses must integrate advanced technology into their operations. Whether by using e-commerce to reach global audiences, applying big data for insights, or deploying robotics to automate tasks, enterprises need to keep pace in the digital age. Meeting these demands requires modern technology platforms that meet current needs while also providing the flexibility to adapt for future growth.
  1. Cost containment
    Adopting cloud-based solutions helps companies lower hardware costs and reduce the risks associated with ageing infrastructure such as on-premises servers. Moving operations to the cloud provides the benefits of a flexible platform without the need for significant and ongoing hardware investments.
  1. Business continuity
    For businesses in areas prone to risks such as hurricanes, earthquakes, or fires, it is essential to have a robust disaster recovery plan. Being prepared ensures business continuity. Organisations should regularly review and update their recovery plans to reflect changes in operations or the surrounding environment. Cloud systems can play a critical role here. Cloud-based storage and off-site backups help protect businesses by reducing the impact of natural disasters and strengthening resilience.
  1. Expansion goals
    Adopting cloud technology can accelerate growth initiatives and optimise processes. Cloud storage enables collaboration across departments and locations, including newly merged operations. This supports smoother transitions during expansion while ensuring consistency and data protection. Sensitive information remains secure and accessible whenever and wherever it is needed.

Transitioning to the cloud represents a strategic shift that can influence a company’s regional and global competitiveness. Cloud offers the flexibility, scalability, and resilience needed to succeed in a rapidly changing environment. With the right strategy, businesses can leverage the cloud to survive and thrive in one of the world’s most dynamic regions.