Jan Brass Takes a Hard Look at the Cloud

The Cloud and Business Agility – How do they Affect Each Other?

The Cloud and Business Agility - How do they Affect Each Other?For many organizations, the main motivation for adopting cloud technology is economics. A business can quickly provision computing resources or storage space on the public cloud, through a vendor, rather than investing substantial capital in its own data center. Cloud vendors are able to combine numerous concepts ranging from multi-tenancy, virtualization, and economies of scale to achieve profit; clients, on the other hand, benefit by not having to maintain extensive IT departments and by only having to paying only for resources as necessary.

As a result, many organizations are investing more resources into transitioning to the cloud. From accounting software to HR systems and CRM applications, every department is taking the opportunity to utilize the cloud. In these cases, cloud preference is not driven by economics but by business agility. In today’s world of social media and mobile dominance, companies must be able to adapt to change quickly if they want to succeed.

When a company adopts cloud technology, changes in the IT department surface quickly and can be seen in resource provisioning for engineers, QA testers, programmers, etc. There is no need for developers to wait in line, fill out requisition forms and wait until they are allotted processing time. It eliminates much of the delay between when a programmer asks for resources and the time he receives them. However, this is just a small part of the overall impact that cloud technology can have on business agility.

Many of the benefits delivered by the cloud such as collaboration, automation, data processing and analytics can shorten the time needed for decision making on every level. For example, the marketing department can use financial information that is available in the company cloud to quickly present price estimates for potential customers. It is possible to run short-term marketing campaigns, collect data regarding outcomes, and make quicker decisions on which strategies are most effective. However long these processes might have taken before, the cloud gives companies a time saving advantage.

Any business presented with a new situation goes through four phases before it can react:
1. Observation
2. Analysis
3. Decision
4. Execution

Cloud technology can be used to target each phase so that employees can respond as quickly as possible. Automated monitoring systems are able to spot changes earlier. Computing resources can analyze important data for managers and assist them in making the best possible decisions for the company. Finally, the required application or software can be created and deployed, shortening response times from weeks to days or even hours.

It is not necessary that a company should only use cloud technology to achieve business agility. It is always possible for them to invest in a large data center or computing resources in advance so that they can be ready at a moment’s notice. However this ties up valuable capital in unused resources which can reduce profitability. Instead, the cloud enables organizations to be agile (which can be expensive) only when it is needed.

An Overview of IBM’s Cloud Strategy

An Overview of IBM's Cloud Strategy

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What do Amazon and VMWare bring to the Cloud Table?

What do Amazon and VMWare bring to the Cloud Table?

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How does Mobile Accounting Help Employees?

How does Mobile Accounting Help Employees?

Professionals and organizations across industries are moving to a cloud computing model for many business processes and accounting is no exception. Many accounting firms have started to adopt cloud accounting software for their own offices to better … [Continue reading]

Dealing with Cloud Outages

Dealing with Cloud Outages

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Cloud Developments from Apple’s Latest WWDC

Cloud Developments from Apple's Latest WWDC

The Apple Worldwide Developer Conference - commonly referred to as WWDC - concluded recently. As expected, the new beta of iOS 8 was announced along with an update to Mac OS X. While some consumers may have been disappointed with the lack of new … [Continue reading]

Are we Ready to Live in a World of Chromebooks?

Are we Ready to Live in a World of Chromebooks?

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How can Cloud Providers Differentiate from Each Other?

How can Cloud Providers Differentiate from Each Other?

Competition among cloud providers has been intensifying and last month saw tech giants  Google, Amazon and Microsoft engage in a price war. Googled sparked it off by announcing a substantial reduction in pricing for both consumer and developer … [Continue reading]

Is there a Future for Microsoft’s Azure Cloud?

Is there a Future for Microsoft's Azure Cloud?

When it comes to cloud computing, AWS is the dominant player. Although Amazon does not reveal comprehensive numbers for its cloud business, industry analysts agree that it is the market leader in the public cloud space. Not that there is a dearth of … [Continue reading]

SAP and Employee Retention – the Cloud Problem

SAP and Employee Retention - the Cloud Problem

Not a day seems to go by without yet another announcement about how some company is moving its enterprise applications to the cloud. It’s not really surprising since the enterprise cloud market is set to grow exponentially over the next few years. … [Continue reading]