Specialist advice

Does cloud computing really have a silver lining?

Does cloud computing really have a silver lining?

 

There's no escaping it. The new buzz word in business is ‘Cloud Computing', but what does it really mean and, more importantly, can this new technology help your franchise develop?

The concept of cloud computing has been around for a number of years and we have all had some, if not regular, experience of it. The internet has allowed us to gather information with ease and immediacy from multiple sources, access data from any location at any time across a large network and share thoughts and ideas wilth other individuals across the world. YouTube, LinkedIn, Facebook, Twitter are all examples of cloud computing. So could this be something we can apply to our franchises?

In essence, cloud computing takes the principle of the internet and provides companies with the ability to transform the way they make data available to their network. Rather than running business management systems, email applications and document shares on internal servers, the new technology behind cloud computing allows these systems to be placed on servers accessible from any location and any time.

Consider the key areas of business improvement commonly discussed; the immediate availability of key business data and statistics, the formalisation of key business processes and procedures across the network, the management of data in a secure and centralised system. Whilst we may have regular CRM or management systems in place to help us with this, they have frequently commanded a high price tag in implementation and maintenance. With the ability to access key business software tools on a platform similar to the internet, the possibility to look at the performance of each franchisee whenever required becomes closer.

But what explains the recent popularity of this technology? Quite simply - cost. With developments in technology, hosting companies are now being able to offer applications, tailored to delivery through the internet, at a fraction of the cost of a full software license. Microsoft itself is starting to make its once enterprise level applications available through the internet for as little as £10 per user per month.

In a variant economy, this manageable, flexible cost model is becoming increasingly attractive to companies across sectors and sizes as they try to deliver first class business tools without the risk of large on-going investment.

Often rejected as an insecure means of sharing data, improvements in data encryption, server security and the speed of internet lines supporting access are beginning to make hosting a more attractive option.

Cloud computing is based around the principals of immediacy of data, flexibility of set up, reduction in maintenance costs and growth. It enables organisations to add, remove and change licenses and product suites as required. With quick installation times, often less than 48 hours, new sites and staff can be equipped with standardised, ready-to-use business applications at a rate not seen before.

Of course, transferring applications to the cloud can present its own issues, especially considering the fact that costs, however small, are on-going, but it is certainly a development that is gaining pace.

With key partners such as Microsoft and Google estimating a revenue stream of around $150 billion dollars by 2013, it is unlikely that this cloud is going to drift away.

Author's note
Melissa Latham, Director at Splash Solutions has more than 10 years' experience in delivering business solutions that improve business management and growth across sectors.

Splash Solutions is an experienced business solutions provider that specialises in the application of technology to improve performance, productivity and growth. Splash Solutions can offer you a suite of business application tools, in a hosted environment, that will help your franchise increase in profitability and value, become more efficient and streamlined and help each part of your network function as part of one unique organisation.

Request more info from Splash Solutions.