Why business should not ignore cloud computing
Every business manager and journalist I know is talking about the benefits of cloud computing. But what is it, what is the impact on business and what are the economic and physical upsides?
Cloud means Internet. The computing takes place on the Internet – in place of the software you use executing on your desktop pc, it’s hosted on the Internet on a server installed in a data centre usually staffed by people who are adept in managing technology. This type of “cloud” software is sometimes called “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 around $99 per user/month.
There are three key benefits for every business here:
Time, cost savings and reliability
Businesses don’t need a dedicated systems professional to help them identify, install and look after the technology platform thus cutting operating costs and time to deploy. The effort of continuosly backing up data is eradicated as this is usually an inherent function of the “cloud” software. Cloud software “operators” often have redundant systems that can be switched on in instantly should a serious problem occur.
Easier selection and more choice
With just a web browser, businesses now have immediate access to hundreds of business software they can in the majority of cases immediately try and quickly assess if the software meets their needs at zero cost. This makes it straightforward for employees in large enterprises to by pass the standard information technology procurement processes and easily evaluate and justify their business proposal.
Superior user experience
The internet provides instant feedback to application designers and has fuelled amazing progress in user interface design resulting in easier to use software in turn lowering learning times and improving user satisfaction. This of course means quicker adoption and higher productivity.
