Business owners guide to the advantages of cloud computing
Every business manager and technology editor I know is talking about the advantages of cloud computing. But what is it, what is the impact on business and what are the monetary and physical upsides?
Cloud means Internet. The computing is done on the Internet – instead of the software you use being installed on your desktop pc, it’s hosted on the Internet on a server located in a data centre commonly staffed by people who are proficient in managing technology. This type of “cloud” software is often referred to as “on demand” or Software as a Service (SaaS).
Some successful examples of well established Software as a Service are:
Web based CRM Software (Customer Relationship Management) – Salesforce.com pricing about $9 per user/month.
Small business management and accounting software (small business ERP) – Salesorder.com pricing $45 per user/month.
Medium sized business ERP software – NetSuite pricing about $99 per user/month.
There are a number of substantial benefits for every business here:
Time, cost savings and reliability
Businesses don’t require a resident information technology expert to help them choose, install and manage the systems platform thus pushing down operating expenses and time to get operational. The task of vigilantly backing up data is eradicated as this is normally an inherent feature of the “cloud” software. Cloud software “operators” normally have stand by systems that can be deployed in seconds should a disruptive issue occur.
Easier selection and wider choice
Using a web browser, businesses now have instant access to a huge range of business software they can in most cases immediately test and rapidly decide if the software fulfils their needs at minimal cost. This makes it straightforward for managers in large businesses to by pass the standard information technology buying processes and easily assess and prove their business case.
Superior user experience
The web provides rapid feedback to application architects and has led to significant progress in user interface design resulting in easier to use software thus lowering learning times and increasing user satisfaction. This of course means quicker adoption and better productivity.
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