7 advantages of cloud computing to transform your business
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7 advantages of cloud computing to transform your business

Published in September 26th, 2024

Enterprise cloud computing is here to stay: By 2025, 85% of organizations will adopt a cloud-first approach, according to Gartner, a renowned technology consulting firm. These companies are not joking, as the study states that they will not be able to execute their digital strategies without the use of native cloud-based architectures and technologies.

There’s a good reason for this. After all, moving to the cloud allows organizations of all sizes and styles to operate faster, more efficiently, and more innovatively. The shift to cloud computing has transformed the way people work, collaborate, and communicate.

Technology offers greater agility in implementing new applications and business systems, as well as the ability to keep them 100% up to date. According to a Dell survey, companies that invest in cloud computing are rewarded with revenue rates up to 53% higher.

So keep reading to learn all about the advantages of cloud computing and why your company can benefit greatly from this migration. We will also talk about some limitations of the technology and how you can deal with them so that they do not affect your operations.

What is cloud computing

Cloud computing is an on-demand service that delivers information technology (IT) resources over the Internet and is billed as used. Instead of having to purchase a server and maintain it, a company can request a cloud computing solution to access storage, databases, or advanced processing power.

With cloud computing, your company only pays for the services it actually uses, which promises to reduce operating costs. This also allows you to manage your infrastructure more efficiently and makes it easier for your company to adapt as it grows.

There are three main types of cloud service:

  1. Infrastructure as a Service (IaaS): The most basic category of cloud services. Here, the customer rents IT elements such as virtual machines (VMs), storage, networks, or operating systems.
  2. Software as a Service (SaaS): A model for selling software over the Internet, usually as an on-demand subscription service. In SaaS, cloud computing providers host and manage the application and its infrastructure — taking care of updates, maintenance, and patches for the server.
  3. Platform as a Service (PaaS): cloud computing services that offer an on-demand environment for developing, testing, and managing applications. The target audience is developers who need to quickly create apps for the web or mobile devices.
  4. Serverless computing: A model related to PaaS, it focuses on the functionality of creating applications, but without the need for the client to manage the servers and infrastructure. The cloud provider handles the configuration, capacity planning, and server management.

Advantages of Cloud Computing

There are several reasons why so many companies are basing their operations on cloud services, giving them greater priority over on-premise alternatives. The cloud offers services that transform the way organizations work, and that is what we will talk about in this section.

Read more: On-premise vs cloud: what’s the difference and how to choose

Below you can check out the seven main advantages of cloud computing, to better understand what so many companies are seeing in this model:

1. Economy

With cloud computing services, you only pay for the resources you actually use. This is the opposite of working with on-premises servers, where you run the risk of oversizing your data center far beyond your needs.

In addition, you also save time for your IT team, who don’t have to deal with server maintenance. This way, they can focus on projects that are more important to your medium and long-term strategy. 

Your organization also saves time and money by giving your team easy access to your data. This allows you to start new projects faster, allowing your team to have full access to strategic information even when they are on business trips.

2. Flexibility

Cloud computing offers more flexibility than an on-premise option. For example, if you need to increase your bandwidth, a cloud provider can meet that demand almost instantly.

On the other hand, a company that works with an on-premises data center would need to go through an expensive and complex process to expand its IT infrastructure. This greater freedom and flexibility can represent greater efficiency for your organization.

A survey by the digital magazine InformationWeek showed that 65% of the executives interviewed assessed that the main reason for migrating to the cloud is the possibility of responding quickly to corporate demands.

3. Scalability

Cloud computing environments have almost infinite scalability. Contracting companies can increase their storage, processing power, and bandwidth to handle different types of demands.

In other words, the cloud service structure grows along with your business, preventing its growth from being hindered by reforms to the information technology infrastructure.

Good cloud operations offer high availability with virtually zero downtime — the time when services are offline. This is because they are distributed across multiple different facilities, preventing you from relying on just one server or cluster of servers.

4. Data loss prevention

Cloud computing services include backup and recovery sites in case of disasters. This can prevent data loss in the event of an emergency — such as hardware failure, user error, or criminal activity.

RapidScale conducted a survey that found that 20% of cloud storage users can recover their information in less than 4 hours after a disaster. In the case of local storage service users, only 9% can recover their information in the same time frame.

5. Ease of collaboration

Cloud computing means that you have your data available anywhere there is an internet connection. This means you are not tied to specific locations or devices.

This makes it easier to collaborate with people all over the world, regardless of their device or operating system. Teammates can easily and securely view and share information via the cloud.

Some cloud services even offer social collaboration spaces to connect your organization’s employees. These tools make it easier to keep your team interested and engaged with your projects.

6. Advanced security features

Despite what common sense leads you to believe, cloud computing has the potential to improve your company’s digital security. This is because cloud services usually offer extensive protection against vulnerabilities, automated maintenance, and centralized management.

Read more: What is cloud compliance and how to implement it in your organization

The best cloud software providers hire world-class cybersecurity experts who are responsible for implementing cutting-edge technology solutions to provide robust protection against cybercriminals.

One of the main advantages of cloud software security is the encryption of data that is transmitted over the Internet and stored in databases. This protects confidential information even if it is intercepted by malicious parties.

7. Quality control

In a cloud-based system, you can store all your documents in one place and in standardized formats. This allows you to maintain data consistency, avoid human error, and have a clear record of revisions and updates.

Accelerate your digital transformation using SoftExpert Cloud solutions

Cloud computing services make it harder for your employees to accidentally save different versions of documents — which could lead to confusion and data loss.

Limitations of Cloud Computing and How to Overcome Them

No technology is perfect, and this is also true for cloud computing. Despite all its advantages, adopting this modality also brings some drawbacks.

To get you ready to tackle these issues, let’s talk about the main limitations of cloud computing and how to overcome them.

1. Downtime

Because they depend on an internet connection to function, cloud services are especially sensitive to outages. A power outage lasting just a few hours can result in huge losses for large companies. 

How to overcome: Hire services from reliable providers that have dedicated connectivity services. Examples are AWS Direct Connect, Azure ExpressRoute, and Google Cloud Dedicated Interconnect. 

2. Access management

The cloud service provider is responsible for server security, but your company is the one that manages user access. You need to clearly define who has access to which data, as well as the password creation policies and roles for each profile.

Incorrect access management can result in the loss or even the hijacking of important data. Ultimately, this type of problem can result in the leak of sensitive customer data, such as credit card information or the location of their residence.

How to overcome this: Study the shared responsibility model of the provider you are going to hire. Your company will still have responsibilities for its network and its product. Implement security measures such as competent access management and the use of password managers.

3. Lack of control

In this service model, the infrastructure is fully managed and monitored by the provider. This means that, as a customer, your company will have little control over the cloud servers.

This can limit the features you want to implement in your day-to-day operations. Additionally, depending on the industry in which your company operates, you may face difficulties in making changes to the backend of your functionalities. 

How to overcome: Before purchasing any type of cloud computing, confirm that the provider’s level of support will meet your requirements. Evaluate the service contract to see if it meets your needs or if it could impact your relationship with your customers.

4. Difficulty migrating between providers

Another limitation that is often cited is the difficulty in migrating between different providers. This is an area of cloud computing that is still evolving, and switching from one service to another can result in significant costs and configuration difficulties.

How to overcome: Keep your IT teams well-trained and up-to-date, and familiar with multiple different cloud services. If you need to migrate, look for dedicated tools for this — AWS Migration Hub, Azure Migrate, or Google Cloud Migrate.

Conclusion

Cloud computing offers a wide range of benefits that can transform the way your business operates. These include everything from resource savings to flexibility and scalability, to advanced security features and increased collaboration. It’s clear why so many organizations are moving to the cloud.

There are limitations, such as the need for good access management and possible difficulties migrating between providers. However, with proper planning and strategies, your company can overcome these challenges and reap the benefits of this essential technology for digital transformation. Now is the ideal time to take advantage of these advantages and drive innovation in your business.

Looking for more efficiency and compliance in your operations? Our experts can help you identify the best strategies for your company with SoftExpert solutions. Talk to us today!

About the author
Carlos Estrella

Carlos Estrella

Carlos Estrella is a Content Marketing Analyst at SoftExpert. With a degree in journalism, he has dedicated the last few years to mastering the fields of SEO and content marketing. He has experience with blog articles, YouTube videos, podcasts, videocasts, webinars, and creative writing.

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