Mix and match
Running things on someone else's hardware doesn't necessarily save you anything, the cloud provider will always want to make a profit from you.
Automation is good but doesn't have anything to do with running things in a cloud.
I'm sure there have been previous attempts to save money and improve efficiency, what happened to them? Why should it work this time? I'm pretty certain any previous failures had very little to do with technology and more to do with poor management.....
Perhaps only a really wise person can see the benefits on offer this time and to everyone else Lloyd's will appear naked?