In order for an SME to flourish, managing directors in the 21st century no longer have to take on management tasks and survive in highly competitive markets, but also have to build a dedicated team. They also need to improve team performance from year to year and ensure that the company is always at the cutting edge of technological innovation.
It is often beyond the budget of SMEs to set up their own IT department in order to keep track of software solutions suitable for the company and then spend considerable sums on updates. A sensible option is Cloud computing for SMEs.
Reasons for a cloud migration
In the past, most companies had their computers and servers with all necessary software solutions on site. Today companies can choose from a wide range of Cloud computing solutions for businesses of all sizes. According to an investigation by Gartner two-thirds of all businesses (including SMEs) will rely on cloud hosting in 2022 - that's twice as much as in 2018. if you're not sure whether cloud computing is right for your business, answer the following questions
- Is there a peak season in your business? Is the potential of the hardware not fully exploited outside of these peak times?
- Is your IT team especially challenged in certain situations and otherwise underutilized?
- Does it give you a headache to ensure the correct conditions for your data center?
- Is scaling your business applications not an option at the moment because the additional server costs would be too high for an SMB?
If you have answered one or more of these questions in the affirmative, you should Cloud services into consideration. If you're dealing with a Cloud service provider works together, the expenses for your IT infrastructure will decrease, maintenance will be eliminated and specialists will take care of all operational issues.
Types of cloud infrastructure
Cloud Infrastructure Provider usually offer two services:
On-premise cloud infrastructure describes hardware connected to a cloud that resides at the customer site. In most cases, data that is accessed frequently is stored in this way and the majority of services and applications are outsourced to the cloud.
However, it is more often the case that Cloud service company have hardware facilities in which all the customers' software solutions are hosted. There are public and private IT infrastructures. Public infrastructures are used by all of the provider's customers, while private infrastructures are shielded by a firewall so that only one organization can use them. The hybrid form of public and private infrastructure is called hybrid cloud. This model combines the advantages of the two Cloud Infrastructure Options: the scalability of the public cloud with the security of the private cloud.
Reservations about cloud migrations
Some organizations are still hesitant about outsourcing to the cloud and express Cloud Computing Concerns:
- worry about loss of control over data as it leaves your premises and is stored elsewhere
- cyberphobia
- potentially high spending on cloud hosting
While the first two points are understandable (but not true), the last reservation is pure myth. On the contrary, spending on IT staff and software maintenance is significantly higher than on renting cloud facilities. This can reduce hosting costs by up to 90 percent. Another myth is that private clouds are significantly more expensive than public cloud infrastructure services. With the purchase of services of the virtual data center from Xelon you pay a fair monthly price with no hidden costs.
Get rid of your reservations and let us convince you of the advantages of cloud computing.
Advantages of cloud solutions
Many companies are primarily eager to save resources with cloud migrations. Below is an example of how small businesses can save money with cloud computing:
Monthly billing: Cloud storage space is often billed monthly, making it the best option for start-ups and growing businesses that cannot or do not want to make huge upfront payments.
Billing according to effective use: Own servers are expensive and in most SMEs not permanently used to capacity. The Purchase of cloud server services with an external partner and the monthly billing after effective use allow flexibility and save the budget.
Reduce labour costs: By working with a cloud server provider, you no longer have to struggle with the difficult task of recruiting new IT talent. This saves on labor costs and time. The external partner now takes care of maintaining and servicing the software, performing backups and keeping the facilities up and running.
Scalability: As your small business grows into a medium sized business, you don't have to buy new servers and software at every milestone. Cloud facilities give you access to more processing power in minutes.
Licenses: Since all updates of your applications in the cloud are done by the provider, you save time and can always use the latest licensed versions of the apps.
Disaster RecoveryIn the event of an IT disaster, you won't lose valuable data because it is stored off-site. As a result, your business will not suffer any system failures.
More spaceThis point does not only refer to the physical space in your premises, but also to the storage space on the computers. Your computer network is not cluttered with data, as only the most important information is stored on site. This makes your computers work faster.
Freedom for your employees: Access to the rented facilities is possible from anywhere in the world, the only requirement is an Internet connection. This gives your employees more flexibility and can help them find the right work-life balance.
Outsourcing of security responsibility: The provider takes care of possible security problems and takes preventive measures. Outsourcing of security responsibility.
Last but not least, make sure your provider is a reliable and reputable partner that protects your data from cyber-attacks, protects your business interests at all times and offers a fair price. Choose a local cloud service providerwho has your back in case of problems and always listens to your concerns.
Conclusion
Cloud computing is the ideal solution for cost-conscious SMBs that want to reduce IT expenditure and increase efficiency at the same time. With cloud computing, SMEs can get high quality services at a reasonable price.
Ueli Schwegler