The essay is a critical examination of benefits associated with cloud computing in businesses. The term cloud computing simply refers to a situation whereby resources for computation are provided to users based on their demands usually through computer networks. It is worth noting that the approach can be seen through what happens in provision of services search s gas and electricity, mailing services in terms of postal, telephones among others (O’Brien, 2009). The services are provided to consumers in a simple manner that make them understand how to use search services with necessarily knowing how they are provided with the same.
Although the cutting edge technology promise a number of benefits such as businesses meeting increased requirements at a lower cost, higher rates of return on investment, higher efficiency to mention but a few, some individuals are worried of the higher risks associated with believing in information originating from clouds.
Benefits of cloud computing
According to O’Brien, 2009 despite the fact that there are concerns with regards to cloud computing in businesses in deed there are benefits associated with the phenomenon. It is worth noting that recently, the United State’s government places a request for proposal for the cutting edge technology. For this reason, it was predicted that various business organization will follow suit and embrace the innovation. There is need to critically evaluate advantages associated with such computing technology.
One of the major characteristic and indeed a benefit to business organization of cloud computing is that it is highly automated. With such a scenario, businesses will not be in need to have employees or extra individuals in a team to be closely monitoring the system, keeping back ups and updating it. For that matter there is no waste of resources such as time and money. Similarly, the process is a time saver to organizations.
Considering the process of set up, the technology begins operation within a shorter time as compared to other kind of systems. When carrying out recovery of data, it is cheap and also very fast. All these add in cutting down time wastage hence serving customers in the best way which translates to being competitive (Lesem, 2010). On the same line of reasoning cloud computing has helped organizations tremendously cut down costs of running their day to day activities. It is worth noting that organization expenditure is proportional to its requirement. Additionally, the initial cost of installing the system when compared to installing a real system within the organization is much less.
Cloud computing installation requires less from the organization and it is an easy process. There are no additional softwares as well as hardwares that organization needs to install. This is because the whole process is done tenuously. More importantly, cloud computing brings with it the advantage of employees working from anywhere. They do not need to be in the office each and every day to carryout their task, duties and responsibilities. Consequently, it has been noted that the whole initiative has helped businesses be able to be operational even if their systems crash. It is unimaginable how dangerous it could be for a well known organization such as the American Bank to loss its vital information. Such kind of worries and associated losses has been offset by existence of cloud computing (O’Brien, 2009).
Organizations are able with only a click of a button to access vital information when the internal sources have been crushed or have been harked. It has also been seen that cloud computing help businesses increase their storage capacities. One can store as large volume of data as possible while using this technique. On the other hand, using computers even with largest hard disk will eventually get filled up. Interestingly, although previously states, the whole idea help organizations have reduced issues relating to maintenance of IT. This ultimately translates to reduced operational costs hence increased profits for the business organization.
Lastly, the technology has been hailed to promoting businesses especially in the international market. With the innovation customers can just click or press a key and lots of information regarding a given organization is displayed. For instance the products, services offered the prices and even how to place and monitor orders already placed. This is attributed to the synchronizing ability of the servers which makes information accessible throughout the world.
Issues relating to cloud computing
Despite the above mentioned benefits, there are a number of concerns that need to be considered which opt to be addressed to help organization get out of the fears related to cloud computing. As suggested by Lesem, 2010 the biggest worry attributed to the current scenario in which most business organization are seating and watching is the transfer of ownership of their Information Technology department and all sort of information that the organization intend to share as well as those to be kept as secret. Bearing in mind the organizations will not be having full control of their information; the issue of privacy then arises.
It has been deemed that the company contracted to provide cloud computing services can either legally or illegally monitor the sharing of information between consumers and business entity in question as well as the stored information. This can be exemplified by the tapping of phone calls Americans made; this caused uncertainty among American citizen. In terms of business competitors can easy access vital information which can be used to bring down the other organizations deemed to be stiff competitors.
Another serious issues relating to cloud computing is that it relies on internet connection. This means that whenever the connection is down, individuals who sought information are not in a position to do that. With the current trend and shift towards e-commerce, it is thus apparent that if internet connection fails then most business organization will run into losses (Lesem, 2010). However, it is advisable to first consider the company’s security needs, ensure that before adopting the technology enough internal resources are amassed, point out a use case, adequate research on the technologies or models that best suit the organization and integrate cloud storage and the general strategies of cloud computing.
From the review of the usefulness of cloud computing to businesses, it is apparent that there are indeed a number of advantages that organization can enjoy from the technological innovation. Among them is reduced operational cost, fewer cases of maintenance, increased storage capacity, availability of back up, universal sharing of information, bring the idea of employees working from whatever location they are among others.
Just like any other thing in the world, the concept is associated with some draw backs which can negative impact on organization. For instance, privacy and surrendering the absolute control of the information may make organization prone to losing vital information to their competitors. Similarly, cloud computing heavily relies on internet connection once this is done then doing business can be a challenge. However caution needs to be taken before embarking on adopting the innovation.
O’Brien, M. (2009). Introduction to Information Systems. 15th Edition. New York: Mcgraw Hill Higher Education.
Lesem, S. (2010). “Recently in Business Models Category: 5 Tips for Enterprises Considering a Private Storage Cloud”. Web.