Having everything in “the cloud” is great, until it isn’t. As soon as your internet goes out for a couple of days, it definitely isn’t much fun. Hasn’t happened often since we switched, but very soon after rolling out Office 365 and a bunch of Azure services, our connection went dark for more than a full working day, and stayed spotty for several more days while the fiber carrier brought things back online.
This was in the middle of a semester so it really hindered classes.
We were able to log in, so they still have a local AD server, but you needed to get on your phone (wifi off) to get your email and pretty much everything else.
Yes we do have more than one ISP, but because of the location everything comes in the same cables. We are one drunk driver away from being down again, just a single power pole can cause major grief.
The reverse could be true if all your employees get sent home to wok, then having everything in the cloud can be a big benefit. Our biggest issue was telephones when that happened last year, all phones are on prem., and we don’t have phones that can VPN back into the campus by themselves. Also still many applications that are on campus servers and probably not going to move for a very long time. Databases, internal web based tools, etc. Didn’t have enough html to RDP licenses to really make things work well, some kind of hardware device and it wasn’t powerful enough to just add licenses.