Traditionally, businesses have been relying on expensive and complicated software and hardware to run their operation, often requiring a whole separate department (I.T. department) to install, configure, test, run, secure, and update them. These business application that are supposed to improve data storage and security, sharing information, and communication, does not always prove to be efficient and worth the cost. A lot of money goes into budgeting for I.T necessities, whether the company has it done in-house or has it outsourced. For small to mid-size businesses, these technologies are out of reach, as they are too expensive and therefore fall behind competition. Even the biggest companies with the best I.T. departments are still struggling to maximize their efficiency and gain competitive advantage with their current technologies. When cloud computing was introduced, business operation changed for the better, in many ways and will continue to improve over the years.
What is cloud computing? Cloud Computing is a term used to describe hosted services that are delivered over the internet. The name is derived from the cloud-like shape that illustrate the internet in a flowchart or diagram. What cloud computing have done for businesses has been an exciting experiment. Cloud computing allows the shift from traditional software to the easily more accessible network, the internet. All shared resources and accessible communication systems can be done through the internet on real-time and at any location. Multinational corporations can gain access to various amount of information at any one of their offices in the around the world. While software or hardware would require more time and money to implement and run, cloud-based business applications can be up and running within a few days or weeks, costing less overtime. It also allows business applications to run faster with improved manageability and less maintenance. Business owners have more control in what I.T. they need, and if necessary, they have the ability to scale down without complications. Some key business operations that improved due to cloud computing include communication, customer and supplier relationship management, human resource, accounting, and more.