Cloud Software for Business: Microsoft 365, Power Platform and Azure

Cloud software for business is software you use over the internet instead of running on your own servers: ready-made services (SaaS) such as Microsoft 365, and applications built for you on a cloud platform such as Power Platform or Azure. Most companies need both. Buy standard software for standard needs, and build custom apps only for the processes that make your business different.

1. What cloud software is

Cloud software runs in a provider's data centres and you reach it through a browser or an app. You do not buy servers, install updates or plan hardware replacements. The provider operates the infrastructure, and you pay for what you use, usually as a subscription. For a company this changes IT from a one-off investment in equipment into an ongoing service, with predictable operation and the ability to grow or shrink as the business does.

There are three common service models, and they differ in how much you manage yourself:

2. SaaS or a custom cloud application?

Ready-made SaaS is the right default. E-mail, documents, meetings and chat are the same in every company, so there is no reason to build them. Custom cloud applications make sense when a process is specific to you and off-the-shelf products force awkward workarounds, when a spreadsheet or an e-mail chain has quietly become a critical system, or when you need to connect several systems into one flow.

Low-code is the bridge between the two. Power Apps and Power Automate let you build custom applications and automation on the same Microsoft cloud you already use for e-mail and documents, with the same sign-in and the same security controls.

3. The Microsoft stack: how the pieces fit

• Microsoft 365 is the everyday layer: Exchange e-mail, SharePoint, OneDrive, Teams and Office applications.
• Entra ID is the identity layer. It decides who signs in, from which device and with what authentication, for every other service.
• Power Platform is the layer for business applications: Power Apps for apps, Power Automate for automation, Power BI for reporting, Copilot Studio for chatbots, all on data in Dataverse.
• Azure is the infrastructure and integration layer: servers, networking, databases, Azure Functions and API Management for what low-code cannot do alone.

The advantage is that these layers share identity, security and administration. A Power Apps application signs users in with the same Entra ID account as Microsoft 365, and the same policies apply. The risk is the reverse: a messy tenant configuration affects everything built on top of it, which is why the foundation deserves as much attention as the applications.

4. Migrating to the cloud step by step

1. Take inventory. List the systems, data, integrations, users and devices you run today, including the ones nobody remembers installing.
2. Decide per system: keep, replace with SaaS, rebuild as a cloud application or retire.
3. Prepare identity and security first. Entra ID, access policies and device management should be in order before data moves.
4. Plan the cut-over. Agree dates, rollback options and who communicates with users, so the business is not disrupted.
5. Migrate in waves. Start with a pilot group or a low-risk system, learn, then continue.
6. Run and optimise. Monitor, report, and review cost and security regularly after the move.

Legacy systems deserve a special mention. Old InfoPath forms and SharePoint workflows should not be copied one to one; assess which are really used and rebuild them to use the platform properly. We describe the approach in migrating legacy InfoPath and SharePoint.

5. Security and GDPR in the cloud

Cloud security is a shared responsibility. The provider secures the data centres and the platform; you are responsible for who has access, how data is classified and what your users are allowed to do. In practice a secure cloud environment rests on a handful of controls:

• Identity and access: consistent policies for every user and application, multi-factor authentication and least privilege.
• Device management: managed devices that meet your requirements before they reach company data.
• Data protection: security roles, row-level and column-level security in Dataverse, and DLP policies that stop data flowing to unapproved connectors.
• Controlled change: separate development, test and production environments with automated deployment.
• Monitoring and reporting: knowing what runs, who changed what and what failed.

For GDPR, three questions matter most: where the data is stored, who can access it and whether you can show it. Design the solution so that personal data is protected by roles and policies, not only by good intentions, and document it. Legal interpretation of GDPR remains a matter for your data protection officer or legal counsel; our role is to build the technical controls.

6. What drives the cost

Cloud cost has more moving parts than a simple per-user price. Rather than quoting figures, we recommend looking at these drivers:

The biggest savings usually come from three places: licences matched to real use, Azure resources sized for what runs, and automation of work that people do by hand.

7. Checklist for choosing and moving to cloud software

• You have a current inventory of systems, data and integrations.
• Each system has a decision: keep, replace, rebuild or retire.
• Identity, access policies and device management are in order.
• Personal data is mapped, and access to it is controlled by roles.
• There is an owner for the tenant configuration and for every custom app.
• Environments for development, test and production are separate.
• Operation, support and reporting are covered by an agreed SLA.
• Cost drivers are known and reviewed regularly.

Common mistakes to avoid

• Lifting everything as it is. Moving an untidy on-premises setup to the cloud only moves the mess; use the migration to clean up.
• Leaving identity for later. Weak sign-in and access rules are the most common way cloud environments are compromised.
• Buying licences by guesswork. Review who actually uses what, and match plans to real needs.
• Building what already exists. If standard software does the job, a custom app only adds maintenance.
• No owner for the tenant. Settings changed over the years by different people end up in a configuration nobody can explain.

A short assessment before any move usually finds the first two or three of these, and fixing them early is the cheapest part of the whole project.

Frequently asked questions

What is cloud software for business?

It is software you use over the internet instead of running on your own servers. It includes ready-made services such as Microsoft 365 and applications built for you on cloud platforms such as Power Platform and Azure.

What is the difference between SaaS and a custom cloud application?

SaaS is a finished product you configure but cannot redesign. A custom cloud application is built around your process. Most companies use SaaS for common needs and custom apps for the processes that differentiate them.

Is Microsoft 365 enough, or do we need Power Platform and Azure too?

Microsoft 365 covers e-mail, documents and collaboration. Power Platform adds business applications, automation, reporting and chatbots on top of it, and Azure provides infrastructure and integration where low-code reaches its limit.

Is data in the cloud safe and GDPR compliant?

It can be, when the environment is configured properly: identity and access policies, device management, security roles, DLP and controlled releases. The provider secures the platform, you control access and data. Legal questions belong to your data protection officer.

How do we migrate without disrupting the business?

Take inventory, decide per system, prepare identity and security first, plan the cut-over and migrate in waves, starting with a pilot. A clear cut-over plan is the part that protects daily operations.

Can you run the cloud environment for us?

Yes. We provide managed IT under an agreed SLA, including Microsoft 365 tenant administration, Entra ID and Azure infrastructure. Our standard SLA response time is 24 hours.