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ANALYSIS | Cloud Computing W


ithout a doubt, the internet has changed the way companies work. It has opened


new markets and removed barriers to business. It has also changed the way businesses are managed and has introduced new capabilities and increased access to data like never before. The cloud in the simplest term allows


a user to access computer services over the internet. These powerful remote computers, or ‘servers’, store your data and run your business applications. You usually access these servers via a website, where you log in, then send and receive data through a secure, encrypted connection. However, a move to the cloud is still


a big step for companies that are used to managing their business using a suite of desktop solutions. So, why should companies move to the cloud and what should they look out for? Companies want solutions which


accelerate their business; a solution that empowers them to do great things, bigger and better than they could have imagined. They want solutions which take away onerous tasks, help save business owners and managers time and money, enabling them to concentrate on what they do best – building their business. Liam Watson, founder of Canny Milk, is


delighted to have moved into the cloud. “At Canny we love being paperless,” he said. “Before the cloud, it was more labour intensive and the pressure to keep everything documented and organised is a stress you just don’t need when trying to run a business. “We travel a lot, so being on the cloud allows us to make the best use of tech. Whether that is using our laptop on the train or sending an invoice from our phone on a Sunday aſternoon out in Newcastle. It can be accessed anytime, anywhere and by anyone. Our accountant has access, which makes any problem solving super easy.” So, for us, the cloud is a fantastic solution for those businesses that want access to real time data, anytime and anywhere. It enables everyone in a business to work more responsively and intuitively. At Sage, we’ve analysed six main areas that a business needs to consider when thinking about a move to the cloud.


dofonline.co.uk


“Being on the cloud allows us to make the best use of tech,” says Liam Watson, leſt, founder of Canny Milk, with business partner Simon Bishop


❶ Costs – Building IT systems in- house means a big capital spend on hardware whereas cloud soſtware requires no hardware, just an internet connection. This means you can use your resources more effectively and have greater control and predictability than with desktop soſtware. If you move from running your own datacentre to the cloud you will also benefit from the economies of scale that the large providers can achieve.


❷ Remote working – 4.2m people across the UK now work from home (according to the TUC, 2015). We have seen a radical shiſt in the way people work as they integrate their work lives with their personal lives. Cloud computing is fuelling and facilitating this change. It lets you work anywhere, anytime and still say in touch and up-to-date with your team and your business. It’s a powerful way to rebalance your work and personal life and can be a fantastic way to offer additional benefits to your staff.


➌ Location, location, location – No on- premise hardware means no geographic restrictions for your business. This can increase your potential customer base and dramatically reduce operational running costs. Cloud computing also enables real-time collaboration and messaging, so some small businesses can even go office-free, further cutting overheads.


➍ Scalability – As you are no longer reliant on the limits of your own hardware (or hardware budget), it is also easier to expand your IT at the same rate as your business needs it to, with no lag or investment risk.


➎ Stay compliant – All businesses are subject to various forms of compliance, such as data protection regulations, employment law and, of course, tax returns. Regular changes in legislation make it hard to stay up-to-date and oſten impose painful changes in working practises. With cloud computing, any changes that are required by law can be built into the soſtware in real time by the service provider, so they are ready for you to use the next time you log in to the application. It’s one less thing to worry about.


➏ Quick fix of issues – With a traditional soſtware licence, you can wait up to a year for any upgrades or fixes and have to make do in the meantime. When the new version is released you have to pay for it, go through the pain of installing it and learn what’s new. When you log on to a cloud application through your browser you are always accessing the most up-to-date version of that soſtware. This means you don’t have to do anything to access the latest improvements and upgrades from your service provider.


So, whether you’re going through a business model transition, looking to improve efficiency and reduce cost, need greater insight or perhaps you want to collaborate with colleagues to a greater extent, the cloud can make a significant difference to how your business operates. It can be a gateway to a more efficient operation and be the competitive advantage you need.


Chris Wade is Product Marketing Director at Sage, sage.co.uk


DIRECTOR OF FINANCE 45


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