It’s no secret that businesses of all shapes and sizes are constantly looking for ways to save money and increase their profit margins while still maintaining their customer service standards. In many cases these days, one of the biggest draws on the company budget is computing hardware and software. That’s why we see so many companies put off upgrading their IT systems or simply patching their existing systems and making do with what they have. It simply costs too much to invest in costly upgrades all the time. But there is a better way: cloud computing.
Operating “in the cloud” offers all the benefits of new and updated software with very few of the often cost-prohibitive drawbacks. This affordability evens the playing field between big budget companies and their smaller competitors and is the prime reason why cloud computing is here to stay.
How Cloud Computing Works
Cloud Computing is internet- based computing. Google Drive and Dropbox are two examples of this for personal use, but it transfers easily to professional use as well. Salesforce, SAP and Netsuite resellers all provide business programs that operate via the cloud.
In these systems, all hardware, software, data and technical infrastructure needs are stored remotely and delivered via a network by cloud providers. Users dial in via the program they’ve purchased to access their data. Access may be via an internet web browser or a mobile network, making it accessible from any location and any hardware with network access. Also called ‘’software as a service’’ or ‘’on-demand software’’ it is usually paid for on a per-use basis or via a subscription fee.
This style of business management eliminates the need for business to maintain standalone servers, software, hardware and database across the organization. There is no system upkeep or maintenance to worry about, since all updates are handled by the third party provider and are included in the subscription fee. It has become a popular and effective way to access the latest software without high upfront costs. It is also extremely popular with organizations that have limited IT staff or IT budgets.
Where Cloud Computing Saves Organizations Money
Aside from the obvious IT cost savings, software as a service programs save organizations money in several other ways as well. It is these additional cost savings that have made the business model so widely used.
- Data Storage and Integrity. Since data is stored online there is no need to invest in external hard drives or USB files. Piles and piles of paper are a thing of the past. All employees who have access to the software will have access to all of the same data. There’s no need to update multiple databases every time a file is changed.
- Travel Costs. There may be less need to travel to remote offices or to meet with clients face-to-face with online software systems. All of the information that used to be conveyed in person can be shared remotely. Simply provide those who need to access the data with a login ID and discuss the project via a conference call. Online services also eliminate the need for couriers in some cases. Rather than paying a courier to deliver documents, send the files electronically via your secure personal server.
- Increased Efficiency. Since all of the data is stored online to one shared database, it’s always current. There is no more comparing paper files trying to determine which is the most current. All users with access can see and edit the files at the same time, greatly improving efficiency. Sales personnel who are out in the field can upload orders immediately, cutting down on the time to order fulfillment.
- Physical Office Space. Companies can save on office space costs by using internet-based programs. The ability of employees to dial in remotely offers greater flexibility in where the office is located or even if you have a main office at all. Adding new staff doesn’t necessarily mean adding new office space. Netsuite resellers often point out that data-heavy professions such as accounting might normally have hundreds of filling cabinets full of data to house. If the data is stored securely online, there’s no need to maintain all those filing cabinets in the office.
It’s no longer a matter of when software as a service programs will take off. They are already widely used and accepted throughout the world as an economical solution to an increasingly global economy. As customers demand faster service and require that service via mobile channels, cloud computing is the best way to meet the demand. If you are looking for cloud computing consultation in Toronto, please contact us for a free one to one consultation services. We promise to save your time and money!
