Clouds have always been a fascinating facet of nature, no wonder the increasing use of cloud based technologies or cloud computing is equally fascinating for techies and laymen alike. It is essential at this juncture to realise that cloud computing or cloud based technologies have nothing to do with the clouds we learnt in our geography classes that hover up above in the sky. It is rather, the practice of using a network of remote servers hosted on the Internet to store, manage, and process data, rather than a local server or a personal computer.
The increasing acceptance of cloud computing can be associated to the many advantages it provides enterprises some which are lined below:
Not contained or curtailed by geography
The present day world is often referred to as a global economy where barriers and boundaries of nations do not restrict companies from taking their offering to faraway places around the world. One prime advantage cloud computing gives businesses today is to work from anywhere in the internet connected world. With work related files stored in a distant server any one with the credentials for access can easily log onto a network retrieve the files to work on and do his bit from anywhere in the internet connected world. Unlike in the past when work was stored at a single location and employees had to reach out to the location to access files and folders, cloud computing provides the organisation with the liberty to authorise their personnel to work from home or a holiday spot in Hawaii. Cloud computing is also aiding the increasing culture of ‘Bring your own device’ as employees show an inclination towards using their handheld internet connected devices to work on the move. Organisations to keep their employees motivated and to restrict productivity levels from dipping have adopted to the cloud as it enables the employees to use their devices to complete their tasks.
Pay as per use model
What has garnered immense interest from businesses is the quite essential cost factor that restricts most plan and programs of a business. Cloud computing negates the need for businesses to set up expensive infrastructure to store data, software and other files. Cloud service providers take the onus for most of the worries a business would have in regards to its data and its management. As in the example of customer identity management, a customer registration solution helping customers register through emails or using their existing social network ids, through social login. The solution relieves businesses of concerns about the registration process and related concerns of forgotten passwords, password resets etc taken care by the service provider at his end. It gathers and stores valuable customer related data in a safe and secure environment, complying to the myriad regulations different nations have imposed on handling of personal data of their citizens. It is a win-win for both the business and the service provider as the business paying a monthly or yearly fee not just gets to use software as a service, all its additional concerns associated with migrating to the cloud, storage of data, complying with regulations are handled by the service provider.
Collaboration and engaging quality human resource from the global talent pool
Cloud computing has made collaboration between individuals, departments across industries seamless in a virtual environment. The virtual connectivity ensures that the best human resources no matter where they reside in the internet connected world can share their talent and skills towards the growth of the business. Complementing exceptional talent is the availability of different softwares that can make activities of a business more proficient.
Buoyed by the above mentioned major factors cloud computing is rapidly evolving from a niche to an everyday business imperative. According to a survey by Rightscale: 2016 State of the cloud, 95 percent businesses are using cloud technology in some form or another. The survey also pointed out to a few challenges, like identifying cloud cost management that has increased 18 percent year on year since 2013 and addressed by 26 percent respondents to be a concern. In case of Europe, Eurostats revealed that 57 percent enterprises and 38 percent small and medium enterprises stated data breaches as a major limiting factor. Followed by the lack of know about cloud cited by 37 percent SME’s and 17 percent large enterprises as the reason withholding their business from migrating to the cloud.
Though challenges persist and the industry tries to resolve concerns, it has not had a major impact on the growth of cloud computing or cloud based technologies which is on track to grow by 20 percent as per Forrester. As per Goldman Sachs the spending on cloud computing infrastructure and platforms will grow at a 30% compound annual growth rate (CAGR) from 2013 through 2018 compared with 5 percent growth for overall enterprise IT. What should also aid the growth of cloud based industry are regulations such as the Digital Single Market that the European Union has planned to connect the digital space in all of Europe and the efforts of the United Kingdom to migrate all public services to the cloud through their G-Cloud program. The adoption of cloud services will also be boosted by the connect and resourcefulness it provides businesses in managing their customer base and addressing their needs. With customer relationship management capabilities becoming cheaper and customer service touching new avenues cloud is set to change the business-customer relation. The increasing use of internet of things already experiencing an upsurge will also require cloud capabilities to serve their purpose.