Inside Unilever’s Cloud Migration

Inside Unilever’s Cloud Migration: Why the Consumer Goods Giant Went All-In on the Cloud

For global enterprises navigating the shift from legacy IT systems, the cloud migration debate is no longer about if, but when and how. In 2023, Unilever made a defining move: it completed a full-scale cloud migration, becoming a cloud-only enterprise. It was one of the fastest, boldest migrations ever attempted by a company of its size and complexity. 

With operations in over 190 countries and a portfolio of over 400 brands, Unilever is a giant in the consumer goods sector. Yet, even for a company of its size and legacy, the decision to leave behind on-premise infrastructure was not just technical—it was deeply strategic. Their journey, achieved in collaboration with HCLTech and powered by Microsoft Azure, has become a case study in what modern enterprise cloud transformation looks like when done boldly and with purpose. 

Why Unilever chose the Cloud? 

The decision to migrate entirely to the cloud wasn’t made overnight. Unilever faced growing demands for speed, efficiency, and global consistency. The old on-premise data centres, while once state-of-the-art, had become complex and costly to maintain. Each region operated semi-independently, which made global alignment difficult and innovation slower. 

The cloud offered something more: flexibility, standardisation, and an opportunity to future-proof the business. By becoming a cloud-only enterprise, Unilever aimed to reduce operational costs, increase resilience, and support its sustainability goals—all while improving global collaboration and data access. 

Moreover, the shift reflected a broader industry trend. The on-premise vs cloud debate is nearing its tipping point, and Unilever decided it would rather lead the charge than lag behind. 

The 18-month journey with HCLTech 

Executing a global cloud migration of this scale required both precision and urgency. Unilever partnered with HCLTech, a digital engineering and IT services firm with proven expertise in large-scale transformations. The target was clear: complete a full migration to Microsoft Azure in just 18 months. Here’s what they achieved during this ambitious journey: 

  • Migration scope: Over 1,700 servers, 380 critical business applications, and more than 2,000 databases were successfully migrated. 
  • Systems transformed: This included key systems such as supply chain, finance platforms, product lifecycle tools, and analytics engines. 
  • Cloud smart framework: HCLTech deployed its “Cloud Smart” framework to guide the process. The framework combines automation, AI-driven planning, and real-time analytics to ensure a smooth and efficient migration. 
  • Reduced risk & streamlined process: The framework helped de-risk the migration while ensuring the process was efficient and minimally disruptive to business operations. 
  • Global standardisation: The Microsoft Azure migration enabled Unilever to simplify and standardise its IT architecture globally, replacing fragmented systems with a unified platform. 
  • Real-time decision-making: The new cloud infrastructure supports real-time decision-making, improving agility and operational efficiency. 

Cost savings and business efficiency 

One of the most immediate benefits of Unilever’s cloud migration was cost optimisation. On-premise infrastructure comes with recurring capital and operational expenses—hardware, cooling systems, physical security, and maintenance, to name a few. By migrating to Microsoft Azure, Unilever eliminated the need for much of this overhead. 

They adopted a pay-as-you-go model, which aligns cost with usage. During high-demand periods, resources scale automatically. When demand drops, so do costs. This flexibility allows for leaner operations and better financial planning. 

But the gains weren’t only financial. System performance improved significantly, allowing teams to work more efficiently. Processes that used to take hours now complete in minutes. Data availability also improved, which is crucial for a business that relies on accurate forecasting and agile supply chain management. 

With faster access to insights, Unilever can innovate faster, respond to market changes swiftly, and deliver products that meet consumer expectations globally. 

Supporting sustainability through the Cloud 

Unilever has long positioned itself as a sustainability leader in the corporate world. Their enterprise cloud transformation dovetailed naturally with this ethos. 

On-premise data centres are energy-intensive. Beyond running servers, they require extensive cooling and backup systems. Unilever’s move to Microsoft Azure, which is committed to running 100% on renewable energy by 2026, has already contributed to reducing the company’s carbon footprint. 

The cloud also gives Unilever better tools to measure and manage environmental impact. They now use analytics and real-time data to track emissions, optimise supply routes, and refine product packaging—all key to meeting their ambitious goal of net-zero emissions by 2039. 

In this sense, the cloud migration wasn’t just a digital transformation. It was also a step forward in corporate responsibility and climate action. 

A platform for innovation 

One of the quieter but perhaps most powerful impacts of Unilever’s cloud-only approach is the platform it provides for innovation. In the past, launching a new app or digital service involved long development cycles, approvals, and regional variations. Now, things move faster. 

Unilever’s teams can experiment with AI, machine learning, and advanced analytics in a secure, scalable environment. Data scientists can access unified global datasets to identify trends, forecast demand, and personalise customer experiences. 

For example, predictive analytics now help Unilever anticipate product shortages before they occur. Marketing teams can A/B test campaigns in real time. Supply chains become smarter and more adaptive. The cloud isn’t just keeping the lights on—it’s fuelling the future. 

Can other global enterprises follow? 

Unilever’s success raises an important question: Is a cloud-only strategy feasible for other multinational enterprises? 

The short answer is—it depends. Some industries face strict data residency laws or have legacy systems that can’t easily move to the cloud. Others may lack the leadership alignment or technical maturity needed to make such a shift. 

That said, Unilever’s journey offers valuable lessons. First, leadership buy-in is critical. This wasn’t just a CIO decision—it had backing from the top. Second, the right partner matters. HCLTech brought the technical muscle and strategic insight to make things happen on time and on budget. Lastly, it’s not just about technology. Training, change management, and clear communication were essential to making the shift work for employees. 

Even if companies aren’t ready for a full cloud-only enterprise model, hybrid strategies can still offer many benefits. Moving key workloads to the cloud while maintaining some systems on-premise can act as a stepping stone toward a larger transformation. 

Distilled 

Unilever’s cloud migration is a standout example of bold leadership and smart execution. It shows that even century-old, complex organisations can evolve rapidly when the vision is clear and the strategy is sound. 

The on-premise vs cloud debate may continue for a while, but the tide is turning. Unilever’s journey with HCLTech and Microsoft Azure is not just a milestone for the company—it’s a signal to the industry. 

The future of enterprise IT is in the cloud. The question now is: who’s ready to follow? 

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Meera Nair

Drawing from her diverse experience in journalism, media marketing, and digital advertising, Meera is proficient in crafting engaging tech narratives. As a trusted voice in the tech landscape and a published author, she shares insightful perspectives on the latest IT trends and workplace dynamics in Digital Digest.