
“The Cloud.” Once it only meant a single wispy meteorological element up in the sky. Now, “the cloud” also has a much more down-to-earth, digital meaning.
Today, when someone refers to “the cloud” (a.k.a. cloud computing or cloud services), they are referring to the multitude of internet servers your computer or smartphone can access to run applications without being downloaded onto your physical device.
By using the cloud, a person (or user) can access applications or files from almost any device because data storage is handled through remote, highly secured networks using an internet connection to access equally secured data centers.
COVID-19 not only quickly spread around the world, but it also proliferated the business advantages (and disadvantages) of cloud computing—aside from telling someone, “You’re on mute!” In 2020, 61% of companies migrated some or all their processes to the cloud. By the end of 2021, an estimated 94% of all company workloads were processed through cloud data centers.
Most companies use business cloud solutions much like a person accesses data with a smartphone, tablet, or laptop. Here are eight advantages to using a business cloud service:
For all the advantages of using cloud services for businesses, there are a few drawbacks to be aware of:
Before you skydive into the cloud, there are a few things you should know (including some terminology).
The digital world changes as frequently as the weather, but there three types of cloud services that are here to stay, and you should be aware of them:
If you have a smartphone, you are most likely using Software as a Service (abbreviated SaaS, pronounced ‘sass’) to surf the internet, look up directions, play music, and even check the weather forecast. Instead of software installed on your device, you use an app to access the internet back to the SaaS provider’s servers. SaaS offers ready-to-use, out-of-the-box solutions for most business needs. The SaaS provider manages the data and security for you.
Almost all businesses have some mix of SaaS applications with almost 75% planning to switch to all SaaS systems. Zoom, Dropbox, Salesforce, Hubspot, Survey Monkey, and Mailchimp are business application examples of SaaS.
Platform as a Service (abbreviated PaaS, pronounced ‘pass’) offers a cloud platform for software developers to build upon and create customized applications and special functionality. The biggest advantage to PaaS is that a cloud provider maintains the servers, data storage, and network while the company’s software developers build, customize and maintain their applications.
Examples of PaaS are Windows Azure, AWS Elastic Beanstalk, Google App Engine, and OpenShift.
Infrastructure as a Service (abbreviated IaaS, pronounced ‘eye-as’) takes the PaaS concept even further. Businesses using an IaaS manage their applications, data storage, and platform with the third-party cloud service providing the servers and networking. Clients in need of IaaS have specific security concerns and need control over their infrastructure and may require the ability to scale resources quickly.
Examples of IaaS include AWS EC2, Google Compute Engine, Microsoft Azure, and Rackspace.
The biggest difference among SaaS, PaaS, and IaaS is not only cost, but the level of resource control the client business requires. For most businesses without specialized needs, a SaaS model is the logical choice.
Before you procure a service, your procurement team should work closely with your IT department or consultant to determine which cloud solution is best for your business. Unless you are a professional Magic 8-Ball user, no one can predict the future. Take the time to understand the process of “building” your cloud service to achieve long-term goals and the costs involved to get you there.
Here are three things you should do before procuring a cloud service provider:
You probably have a business plan with short- and long-term goals. Work with your key stakeholders, including your head of IT (or consultant), to have a clear understanding of what resources are needed to accomplish the business’s goals. Record what technology resources are needed to accomplish these goals and what steps are needed.
Once you have detailed your needs, here are a few things to consider when procuring a business cloud solution:
Again, no one can predict the future. However, a cloud service provider should allow its client company the ability to be flexible and open to future growth, and necessary contraction, if needed. Many cloud providers have free trial periods for you to check into. Take advantage of them. Evaluate not only what works more efficiently, but the flexibility to change processes and applications if your business dictates it.
Almost 60 years ago, the Rolling Stones had a hit single called “Get Off Of My Cloud,” penned as a reaction to their sudden popularity and media scrutiny. Today, Mick Jagger and Keith Richards could tweak the lyrics slightly and have another hit to herald the future of business.
The need for on-premises hosting, storing files, and backing them up is diminishing as quickly as a Midwest thunderstorm. But, as businesses and technology become more and more integrated, migrating to a cloud service is essential for businesses to stay competitive, no matter what size they are. A cloud solution will help ensure a business stays technologically current and flexible, plus allow for cost savings in operating expenses.
And speaking of savings, that’s our specialty at Una. As a group purchasing organization, we have access to thousands of technology vendors and IT solutions.
Request a complimentary spend analysis to learn how you could save up to 35% on cloud services for your business.