10 Benefits of Cloud Computing and Its Advantages
Despite the data pointing to the business efficiencies, cost-benefits, and competitive advantages that cloud computing holds, a large portion of the business community continues to operate without it. According to an International Data Group survey, 69 percent of businesses are already using cloud technology in some capacity, and 18 percent intend to implement cloud computing solutions at some point. At the same time, Dell reports that companies that invest in big data, cloud, mobility, and security grow revenue up to 53% faster than their competitors. As evidenced by this data, an increasing number of tech-savvy businesses and industry leaders are recognizing the numerous advantages of the cloud-computing trend. More importantly, they are using this technology to run their businesses more efficiently, provide better service to their customers, and significantly increase their overall profit margins.
After switching to the cloud, 94 percent of businesses reported an improvement in security. The cloud, according to 91% of respondents, makes meeting government compliance requirements easier.
All of this appears to indicate that, given the industry’s apparent direction, there has never been a better time to get your head in the cloud.
Cloud computing is a term that has gained popularity in recent years. With the exponential increase in data use that has accompanied society’s transition into the digital 21st century, individuals and organizations are finding it increasingly difficult to keep all of their critical information, programs, and systems up and running on in-house computer servers. The solution to this problem has been around almost as long as the internet, but it has only recently gained widespread application for businesses.
Cloud computing works on the same principle as web-based email clients, allowing users to access all of the system’s features and files without having to keep the majority of that system on their own computers. In fact, most people are already using cloud computing services without even realizing it. Cloud-based applications include Gmail, Google Drive, TurboTax, and even Facebook and Instagram. For all of these services, users send their personal information to a cloud-hosted server, which stores it for later access. As useful as these apps are for personal use, they’re even more useful for businesses that need to access large amounts of data over a secure, online network connection.
There are still some leaders who are hesitant to commit to cloud computing solutions for their organizations. So, please allow us a few minutes to share the 10 business benefits of cloud computing.
- Cost Savings
- Increased Collaboration
- Quality Control
- Disaster Recovery
- Loss Prevention
- Competitive Edge
1. Cost Savings: If you’re concerned about the cost of switching to cloud computing, you’re not alone. The initial cost of implementing a cloud-based server concerns 20% of organizations. However, those attempting to weigh the benefits and drawbacks of using the cloud must consider more than just the initial cost; they must also consider ROI.
Once you’re on the cloud, having easy access to your company’s data will save you time and money when starting new projects. And, for those who are concerned about paying for features they don’t need or want, most cloud-computing services are pay as you go. This means that if you don’t take advantage of what the cloud has to offer, you’ll be left behind.
2. Flexibility: Your company has a limited amount of focus to distribute among all of its responsibilities. If your current IT solutions require you to devote too much of your time and energy to computer and data-storage issues, you won’t be able to focus on meeting business objectives and satisfying customers. On the other hand, by delegating all IT hosting and infrastructure to an outside organization, you’ll have more time to devote to aspects of your business that directly affect your bottom line.
In general, the cloud provides more flexibility to businesses than hosting on a local server. Furthermore, if you require additional bandwidth, a cloud-based service can meet that demand immediately rather than requiring a complex (and costly) update to your IT infrastructure. This increased freedom and flexibility can have a significant impact on your organization’s overall efficiency. According to a 65 percent majority of respondents in an Information Week survey, one of the most important reasons a business should migrate to a cloud environment is “the ability to quickly meet business demands.”
3. Security: When it comes to adopting a cloud-computing solution, many organizations are concerned about security. After all, if files, programs, and other data aren’t kept securely on-site, how can you be sure they’re safe? How to stop a cybercriminal from doing the same thing if you can remotely access your data? Well, quite a bit, to be honest.
For one thing, a cloud host’s full-time job is to carefully monitor security, which is far more efficient than a traditional in-house system, in which an organization must divide its efforts among a plethora of IT concerns, security is only one of them. While most businesses are hesitant to openly discuss the possibility of internal data theft, the truth is that an alarmingly high percentage of data thefts occur internally and are committed by employees. When this is the case, storing sensitive data offsite can be much safer.
4. Mobility: Cloud computing enables mobile access to corporate data via smartphones and devices, which, given that over 2.6 billion smartphones are in use worldwide today, is an excellent way to ensure that no one is ever left behind. Staff who have a busy schedule or live a long distance away from the corporate office can use this feature to stay in touch with clients and coworkers.
You can provide easily accessible information to sales staff who travel, freelance employees, or remote employees via the cloud, allowing for a better work-life balance. As a result, it’s not surprising that organizations that prioritize employee satisfaction are up to 24 percent more likely to expand cloud usage.
5. Insight: As we progress further into the digital age, it becomes clear that the old age “knowledge is power” has taken on a more modern and accurate form: “Data is money.” There are nuggets of invaluable, actionable information hidden among the millions of bits of data that surround your customer transactions and business processes, just waiting to be identified and acted upon. Of course, unless you have access to the right cloud-computing solution, sifting through that data to find these kernels can be extremely difficult.
Many cloud-based storage solutions include cloud analytics to provide a bird’s-eye view of your data. With your data in the cloud, you can easily implement tracking mechanisms and create customized reports to analyze data across the organization. You can increase efficiencies and create action plans to meet organizational goals based on these insights. For example, using cloud-based business insights, A renowned company was able to increase profits by about $2 million per year while reducing staffing costs by $195,000 per year.
6. Increased Collaboration: If your company has two or more employees, you should make collaboration a top priority. After all, having a team that is unable to work as a team is pointless. Collaboration is made simple by cloud computing. Team members can easily and securely view and share information across a cloud-based platform. Some cloud-based services even offer collaborative social spaces to connect employees throughout your organization, increasing interest, and engagement.
7. Quality Control: Few things are as damaging to a company’s success as poor quality and inconsistent reporting. In a cloud-based system, all documents are stored in a single location and format. With everyone having access to the same information, you can maintain data consistency, avoid human error, and keep a record of any revisions or updates. Managing information in silos, on the other hand, can result in employees accidentally saving different versions of documents, resulting in confusion and diluted data.
8. Disaster Recovery: Control is one of the factors that contribute to a company’s success. Unfortunately, no matter how in control your organization is over its own processes, there will always be things beyond your control, and in today’s market, even a small amount of unproductive downtime can have a significant negative impact. Service outages result in lost productivity, revenue, and brand reputation.
While there is no way to prevent or even predict disasters that could harm your organization, there is something you can do to help speed up your data recovery. Cloud-based services enable rapid data recovery in a variety of emergency situations, ranging from natural disasters to power outages.
While 20% of cloud users claim disaster recovery in four hours or less, only 9% of non-cloud users can make the same claim. According to a recent survey, 43% of IT executives intend to invest in or improve cloud-based disaster recovery solutions.
9. Loss Prevention: If your company does not invest in a cloud-computing solution, all of your valuable data is inextricably linked to the office computers on which it is stored. This may not appear to be a problem, but the reality is that if your local hardware fails, you may end up permanently losing your data. This is a more common issue than you might think. Computers can fail for a variety of reasons, ranging from viral infections to age-related hardware deterioration to simple user error. Alternatively, despite the best intentions, they can be misplaced or stolen (over 10,000 laptops are reported lost every week at major airports).
f you aren’t using the cloud, you risk losing all of the data you’ve saved locally. However, with a cloud-based server, all of the information you’ve uploaded to the cloud is safe and easily accessible from any computer with an internet connection, even if the computer you normally use is down.
10. Competitive Edge: While cloud computing is becoming more popular, some people still prefer to keep everything local. That is their choice, but doing so puts them at a distinct disadvantage when competing with those who have access to the cloud’s benefits. If you implement a cloud-based solution ahead of your competitors, you will be further along the learning curve when they catch up. According to a recent Verizon survey, 77 percent of businesses believe cloud technology gives them a competitive advantage, with 16 percent believing this advantage is significant.
Sustainability: Given the current state of the environment, it is no longer sufficient for businesses to place a recycling bin in the breakroom and claim that they are helping the planet. True sustainability necessitates solutions that address wastefulness at every level of a company. Cloud hosting is more environmentally friendly and has a lower carbon footprint.