What started out as a buzzword—"the cloud" was typically unheard of by those outside of IT circles—has proven itself to be a sustainable and integral part of successful business models. When a company would push to implement changes in their IT infrastructure, the cloud's main supporters were previously only IT managers. In recent years however, cloud computing has finally gained the support of CFOs in organizations worldwide.
The technology that evolved from a misunderstood tool in its early stages has now become a business changing asset in the IT world. CFOs are starting to praise cloud computing in New York, Boston and Philadelphia and are intrigued by the ROI associated with the hosted model. The financial savings can be considerable; however, moving into the cloud is more than a justifiable expense. It creates numerous benefits for companies of all sizes:
Excellent Cost Savings
CFOs are noticing a higher potential ROI when the cost of purchasing and maintaining new technology drops. A vast majority of cloud adopters realize unexpected savings—freed up capital to be used in other business endeavors. For many companies, Cloud computing saves money by:
- Minimizing the cost of purchasing and renewing software licenses. When companies grow and add more staff, salary and licensing costs can skyrocket; the cloud alleviates this problem by providing hosted access to applications at a substantially lower cost than traditional software.
- Reducing the need for hiring more personnel for certain job functions. A large portion of the responsibility to maintain a network and its applications are shifted to the cloud provider, thus allowing companies to function more productively--with less staff.
- Reducing the need for physical data centers and excessive office space. Since the cloud provides off-premise hosting, companies do not have to allocate a large budget for physical storage space. The hosted model allows employees access to company resources from any location, which increases efficiency, productivity and capital savings.
Robust Security Protocols
Reputable cloud vendors provide hosted services from data centers with very strict security protocols in place. These facilities have the physical technology, certifications and safeguards in place to provide a level of security and compliance that many companies cannot obtain independently. Cloud computing provides companies with shields to protect against malicious attacks and other unscrupulous, downtime-causing behaviors.
Protecting critical and sensitive data is a large concern for CFOs looking to invest in the cloud. Good cloud providers have a key focus on secure hosting and risk management; identifying threats and eliminating them before the user is affected or alarmed. Moving sensitive data over to a cloud on a securely located server provides security against common physical damage from natural disasters, theft, vandalism and other unforeseen events.
CFOs are finally realizing the potential benefits of cloud computing. Think your company is ready to take the next step into the cloud? Before discussing with upper management, check out whitepaper below.