Cloud Computing Benefits

One of the biggest buzzwords being used right now is “the cloud.”  So, what is the cloud?

There are many different definitions you can find, but for the small business owner it means essentially outsourcing your IT infrastructure (possibly including applications, servers, data storage, etc) remotely.  Why would you move to the cloud?  The most commonly cited reasons for migrating some or all of their systems to the cloud environments are focused upon the core business and cost savings.

Cloud computing is now evolving like never before, with companies of all shapes and sizes adapting to this new technology. Industry experts believe that this trend will only continue to grow and develop even further in the coming few years. While cloud computing is undoubtedly beneficial for mid-size to large companies, it is not without its downsides, especially for smaller businesses. We now bring you a list of advantages of cloud computing, with a view to helping such establishments fully understand the concept of cloud computing.

Categories of Cloud Computing

There are mainly four models of cloud computing:

    Infrastructure as a Service (IaaS)
    Platform as a Service (PaaS)
    Software as a Service (SaaS)
    Network as a Service (Naas)

Infrastructure as a Service (IaaS): This is the most basic cloud-service model, which provides the user with virtual infrastructure, for example servers and data storage space. Virtualization plays a major role in this mode, by allowing IaaS-cloud providers to supply resources on-demand extracting them from their large pools installed in data centers.

Platform as a Service (PaaS): In this model, cloud providers deliver to the user development environment services where the user can develop and run in-house built applications. The services might include an operating system, a programming language execution environment, databases and web servers.

Software as a Service (SaaS): In this model, the cloud provides the user with access to already developer applications that are running in the cloud. The access is achieved by cloud clients and the cloud users do not manage the infrastructure where the application resides, eliminating with this the way the need to install and run the application on the cloud user’s own computers.

Network as a Service (Naas): The least common model, where the user is provided with network connectivity services, such as VPN and bandwidth on demand.



Benefits of Cloud Computing


Cost Efficient
Achieve economies of scale – increase volume output or productivity with fewer people. Your cost per unit, project or product plummets.

Reduce spending on technology infrastructure. Maintain easy access to your information with minimal upfront spending. Pay as you go (weekly, quarterly or yearly), based on demand.
Reduce capital costs. There’s no need to spend big money on hardware, software or licensing fees.

Globalize your workforce on the cheap. People worldwide can access the cloud, provided they have an Internet connection.
Streamline processes. Get more work done in less time with less people.
Less personnel training is needed. It takes fewer people to do more work on a cloud, with a minimal learning curve on hardware and software issues.
Improve accessibility. You have access anytime, anywhere, making your life so much easier!

Monitor projects more effectively. Stay within budget and ahead of completion cycle times.
Minimize licensing new software. Stretch and grow without the need to buy expensive software licenses or programs.
Improve flexibility. You can change direction without serious “people” or “financial” issues at stake.

Cloud computing is probably the most cost efficient method to use, maintain and upgrade. Traditional desktop software costs companies a lot in terms of finance. Adding up the licensing fees for multiple users can prove to be very expensive for the establishment concerned. The cloud, on the other hand, is available at much cheaper rates and hence, can significantly lower the company’s IT expenses. Besides, there are many one-time-payment, pay-as-you-go and other scalable options available, which makes it very reasonable for the company in question.

Almost Unlimited Storage
Storing information in the cloud gives you almost unlimited storage capacity. Hence, you no more need to worry about running out of storage space or increasing your current storage space availability.

Backup and Recovery
Since all your data is stored in the cloud, backing it up and restoring the same is relatively much easier than storing the same on a physical device. Furthermore, most cloud service providers are usually competent enough to handle recovery of information. Hence, this makes the entire process of backup and recovery much simpler than other traditional methods of data storage.

Automatic Software Integration
In the cloud, software integration is usually something that occurs automatically. This means that you do not need to take additional efforts to customize and integrate your applications as per your preferences. This aspect usually takes care of itself. Not only that, cloud computing allows you to customize your options with great ease. Hence, you can handpick just those services and software applications that you think will best suit your particular enterprise.

Easy Access to Information
Once you register yourself in the cloud, you can access the information from anywhere, where there is an Internet connection. This convenient feature lets you move beyond time zone and geographic location issues.

Quick Deployment
Lastly and most importantly, cloud computing gives you the advantage of quick deployment. Once you opt for this method of functioning, your entire system can be fully functional in a matter of a few minutes. Of course, the amount of time taken here will depend on the exact kind of technology that you need for your business.

Decreased Costs: The Cloud eliminates the need for each user to invest in stand-alone servers or software that is capital intensive, but under-utilized most of the time. As technological innovations take place, these resources become obsolete and must be replaced with the latest in order to ensure operational efficiency – requiring more capital investment – and the cycle repeats. The Cloud eliminates the need for such ‘replacement’ capital expenditure.

Many users share a Cloud leading to distributed costs and economies of scale as resources including real estate, bandwidth, and power, are centralized. The enterprise also saves on overheads such as management costs, data storage costs, costs of software updates, and quality control and is able to use Cloud services at economical rates.

Scalability and Speed: Enterprises no longer have to invest time in buying and setting up the hardware, software and other resources necessary for a new application. They can quickly scale up or scale down their usage of services on the Cloud as per market demands, during hours of maximum activity, while launching sales campaigns, etc. Cloud services are most usually reliable, since many service providers have data centers in multiple locations for keeping the processing near users.

Innovation: Enterprises can focus on innovation, as they do not have to own or manage resources. Cloud computing facilitates faster prototype development, testing and validation. Research and development projects or activities where users have to collaborate for a task/project are especially benefited.

Convenience: Sharing of infrastructure and costs ensures low overheads and immediate availability of services. Payments are billed on the basis of actual consumption only. Details of billing are made available by the service provider also serves to check costs.

Other than an Internet-connected device, special equipment or specially-trained manpower is not needed. One-off tasks can be performed on the Cloud. High-speed bandwidth ensures real-time response from infrastructure located at different sites.

Location Independence: Service providers can set up infrastructure in areas with lower overheads and pass on the benefit. They can set up multiple redundant sites to facilitate business continuity and disaster recovery. This helps the enterprise cut costs further.

Optimal Resource Utilization: Servers, storage and network resources are better utilized as the Cloud is shared by multiple users, thus cutting down on waste at a global level. Cloud computing is more environment-friendly and energy efficient. Down-time is cut and optimization of resources across enterprises on the Cloud is achieved.