Why Business are Moving to a Cloud-based Solution

Posted on: November 13, 2015 4:38 am

Cloud-based solutions are really starting to gaining traction and have been for few years now. In a simple explanation, a cloud-based solution is one where the software is not owned or hosted by an organization. Instead, companies subscribe to the application from a third-party, typically a software vendor, who then supplies the application’s capabilities as a service more commonly known as software as a service, or SaaS for short.

Reluctance with Cloud Based Services

Cloud-based solutions in the early days gave businesses some concerns about the access to its data. Could you trust the cloud provider not to lose the data or allow unauthorized access? How stable is that provider what if the vendor goes out of business, what happens to the data? How would an organization continue to operate? There were many questions and many concerns, for sales companies forecasts there may not be too much of a concern, but with mid to large enterprise companies strategic plans, operating results, these concerns seem very real.
Some Companies have shown to be slightly hesitant to migrate to cloud-based solutions. I firmly belief at their reluctance is not only misguided but is placing a very heavy and unnecessary load on their businesses. These types of Companies are traditionally slow adopters of new technologies looking for proof and evidence that this type of investment is in line with their competitors. And it is easy to question if there is any real added value in migrating to a cloud based service. History has shown that while these concerns valid with a little more research the realization and benefits of migrating into cloud are far greater.

Adopting cloud-based solutions

Cloud-based solutions are now being accepted at a rapid rate and becoming mainstream. It has become very normal for businesses to handling their financial transactions over the Internet, and cloud-based video conferencing vendors like Lifesize, Starleaf has proven to be extremely secure. Neither vender would jeopardize its reputation, so they have a vested interest to be as secure as possible.
The biggest catalyst for adopting a cloud-based solution is an economic one. Cloud-based technologies are cost effective and justifiable. Cloud-based products like Video Conferencing as dramatically changed the landscape in relation to cost and power. And as this is now putting down would pressue on the costs of ownership the added benefit is that it is now starting open up into other markets.
Added benefits of a Cloud Service
A cloud-based technology allows application grows in real time and takes the headaches out of managing on site infrastructure, automatic upgrade the hardware that is connected to the service, maintain it, place it in a secure facility, or have engineers on standby. The cost savings here alone can be considerable.
The software installation and upgrades are seamless with a cloud-based application, users are always maintained on the latest version of the software usually upgrade fortnightly and while you are sleeping. As operating systems change and mobile devices gain more power. This way, businesses do not have to spend time and effort on this.
The world we now live in is an “anytime, anywhere” and with a cloud-based solutions it does not matter what device a user has or where they are located. Provided one has Internet access, users are able to use a cloud-based application anytime and anywhere on any device including mobile phones and tablets.

A lower total cost of ownership

All of these points result in a substantial lower total cost of ownership. This ownership typically comes without any upfront capital costs and annual maintenance payments. It also means that businesses do not need to be concerned about hardware capability and the subsequent impact on costs that come from increasing CPU power.
As previously mentioned cloud base technologies as dramatically changed the landscape in relation to cost and capacity and is been taken up at a rapid rate. Early adopters have enjoyed trouble free platforms that have expelled and concerns around security

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