Lights in your office, gas in your car, heat during the winter to keep your home toasty – for many, these are essentials to everyday life. But isn’t it frustrating when you experience a power outage, or get a bill for utilities that’s more expensive than you were expecting?

In the energy and utilities industry, lowering costs while improving efficiencies is key to success – but how do companies do it?

The easiest way to meet these goals is to digitize. And the shift to cloud is a major step in the digitalization of the industry. However, utilities companies are just beginning to fathom the business-changing benefits of cloud- and hybrid cloud-based architectures, and how they can solve some of the most widespread problems this sector faces.

Common Challenges in the Energy and Utilities Industry

The biggest pain points for the energy industry are:

  • Security – the ability to recover from and guard against attacks is critical in this industry, thus security requirements are heavily regulated
  • Reliability – the guarantee a system is reliable and highly resilient with any type of disaster
  • Efficiency – the ability to maximize energy load predictability and accurately forecast all types of generation for infrastructure and maintenance optimization
The way companies are addressing these security and reliability challenges requires them to have on-premises IT infrastructure – which is pricey, hard to maintain and comes with efficiency and reliability issues. These infrastructures require constant management, have frequent downtime and don’t use their systems efficiently, adding hefty costs. Businesses with on-prem systems can look forward to:

  • Low control over IT infrastructure and IT services
  • A complex, unique architecture that requires specialized, expensive workforce to support it
  • Insufficient metrics
  • Procurement complexity
  • And last but certainly not least…low infrastructure agility, flexibility and velocity.
Having complex infrastructures and strict security requirements also leads to an expensive and very time-consuming process when it comes to deploying new software, integrating new systems, validation and real-data testing. In some cases, it takes up to 6 months to complete! Business agility is just too important if you want to survive in this fast-paced age, and luckily there is a way to keep up.

The Necessary Shift to a Hybrid Cloud Architecture

Thankfully, now organizations can make the move to the cloud, which helps alleviate these pains.

The hybrid cloud architecture is highly secure and meets industrial standards and regulations compliance. Businesses can use edge-to-cloud capabilities without any concerns, opening up opportunities to deliver secure data-driven insight through data science and IoT.

The hybrid cloud architecture also gives users more transparency and control, with built-in utilization dashboards and cost optimizers. This way, you know what you’re paying, and it’s not nearly as much as before. Speaking of costs, the cloud cuts costs in monumental ways, by offering:

  • Additional cloud-native layers of security, industrial standards & regulations compliance offered by IaaS providers
  • Direct cost savings
    • for software & hardware licensing, as you only need one
    • for not needing overhead management and requiring less manpower overall
    • for avoiding underutilization – you only use what you need
  • Built-in fault tolerance & high availability
  • Transparency & control over expenses
    • Built-in utilization dashboards
    • Built-in cost optimizers
  • The ability to autoscale services

Successfully Embracing Digital

Truthfully, any industry can benefit from moving to the cloud environment. But most companies across industries can’t do it on their own.

Luxoft has advanced skills in digital strategy development, architectural consulting, engineering, software development, and cutting-edge technologies adoption – such as artificial intelligence, machine learning and business intelligence over big data lakes – with all this meeting industry regulations. With our 14 years of experience in custom software development for the electricity transmission and distribution industry, we know exactly what and how to optimize operations and level up efficiency. Moving to the cloud can set off alarms for some, but we know how to lift and shift your data without disrupting your day-to-day business processes.


Our multi-layered approach makes your move easy, fast and secure. During every stage of this transformation, your business operations are uninterrupted and you start saving immediately. You can rest assured your digital transformation is in good hands.

What to chat and learn more? Start a conversation by clicking here.