What is cloud technology?
Gone are the days of being limited by a hard drive. The digital revolution means we can manage data and access software over the internet. This is known as cloud computing.
Whereas businesses were previously limited by storage limits, expensive upgrades and inflexible infrastructures, cloud technology enables companies to easily expand as they grow. It can also contribute directly to this transformation by helping to streamline everyday business practices.
Top 3 benefits to businesses
Data storage
One of the main ways that cloud technology is used by businesses is to store data. The amount of data that can be stored online is limitless, and it can be accessed at any time from anywhere.
However, there are risks to be considered with keeping data in the cloud. As Simone Segnalini, partner of expert business advice network RSM Global, explains:
“With the increased reliance on digital technologies, the volume of data being collected and processed also rises. Ensuring robust cybersecurity measures […] is critical to mitigate the risk of data breaches.”
Thankfully, the major cloud storage providers have built-in security measures to protect data. These include private connections that block public access, automatic backup and advanced encryption to protect against attacks.
These measures are often more sophisticated than companies are capable of achieving, so using cloud computing enables businesses to benefit from the robust security of the major suppliers.
Daniel Hasslund at RSM Sweden confirms, “Embracing the ‘Cloud’ within IT departments presents opportunities to optimise, reducing the need for in-house data centre maintenance.”
Productivity and protection
Embracing digital technology in your business model will also help to boost productivity. Using cloud-based software to complete repetitive tasks such as data analysis significantly speeds up the process, leaving employees free to do other tasks that will advance the company.
Relying on cloud computing also avoids the risk of human error and can help to keep companies compliant. For example, online tax management software improves accuracy in the legal aspects of money management, mitigating the chance of costly fines.
Scalability
Operating within the cloud is vital to preserving the scalability of your business. Whereas it was once a long and costly process to upgrade to larger data packages and the latest software, cloud computing enables you to instantly grow or shrink your company as needed.
There can be a temptation to try a hybrid model when introducing digital aids into business operations with digital solutions supplementing rather than replacing existing systems. However, as Segnalini explains, “managing these technologies cohesively can be challenging [and] lead to compatibility issues, data silos, and difficulties in implementing a unified digital strategy.”
Committing to cloud technology now will help to ensure a comprehensive and flexible digital future which allows your business to bloom unimpeded. A failure to plan for scalability now ‘may result in system inefficiencies and a need for costly reconfigurations’ further down the line.