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What is Cloud Computing?

This is another post in our ‘enxoo essentials’ series, a collection of posts that can hold your hand through the perplexing world of CRM, Cloud Computing and the Salesforce industry.

- What is “The Cloud”?
- Cloud computing, AKA “The Cloud” is the term given to internet-based computing, but this can appear understandably elusive.

- Where is “The Cloud”?
- you don’t really need to know.

A quick example:
A well-known example is Gmail. When you use Gmail, you do not care how many discs you have to use to store your data, or that the server processing it all isn’t located in your vicinity; in fact, in this day and age, it’s almost laughable to even have these considerations.
… taking a step back in time.

Without sounding incredibly ageist, I’m sure some readers will remember the golden age of the Mainframe. Mainframes are huge, high-speed computers that are used for bulk processing of data and transactions, feeding into ERPs and other enterprise applications. They were kept on-site in store rooms, humming away tirelessly. Mainframes are still used, but have been superseded by cloud computing - and here’s 3 key reasons why:

1. On-demand

2. Outsourcing

3. Security


On Demand

Most cloud computing services are on-demand, typically usage- or subscription-based. There are countless B2B and B2C services that have gone through this shift - or were even born in the cloud from day 1, for example, Netflix, Spotify, Salesforce, Netsuite. It’s no coincidence that these cloud pioneers are leaders in their space.

As part of the shift to a “Subscription Economy”, the idea of being tied down to a long term commitment is unappealing for businesses in the dynamically evolving world we operate in. Having the option to cast away a product/service monthly or annually is reassuring, with relatively little financial impact. Plus, it means you are likely to receive better customer service, as these vendors fret about churn 24-7.

Cloud computing software, platforms and services are available to you wherever you are, providing you have a network connection. This is the true beauty of on-demand.


Outsourcing

When you invest in cloud computing, essentially you are outsourcing. You are outsourcing the maintenance that’s involved with keeping up in the ever-changing IT space.

You will see this tangibly as:

  • No more long, drawn-out software updates
  • No disrupted data (due to system changes)
  • No need to hire a server technician full-time
  • To illustrate this, we will be comparing the structure of Cloud CRMs, and compare them to an apartment building in our full ebook coming soon.


    Security

    Understandably, storing your data “somewhere in the cloud”, being transacted back and forth by magical data waves, may cause concern. This was a concern for organisations in certain industries, particularly the Public Sector, Healthcare Lifesciences and Financial Services; but now, even these industries have made significant moves to the cloud.

    Cloud security has come a long way, and if some of the largest corporations trust their data to the cloud, then you should be assured.

    ... think about it this way:

    You have a wad of cash. Are you going to keep it in a drawer between your socks, or trust it to a bank? The bank is clearly a better option, a professional institution that is dedicated to storing money, immeasurably greater than what we can do ourselves.

    Data security is cloud computing companies’ priority, as they know full well a breach would break them.

    Plus - have you ever heard about those tragic stories where floods wiped out entire company records?
    A complementary benefit to entrusting your data to the cloud, is that it’s backed up automatically, moving the accountability away from your business. Fantastic!


    About enxoo

    enxoo were born in the cloud, and we can fuel your business.

    We empower our clients by combining business instinct and technical knowledge deliver exceptional results - but not just limited to information systems. As a Salesforce.com Gold Partner, we offer a full business transformation package from business analysis and consultation, through to Salesforce implementation, as well as offering nearshore development resource for our partners across Europe.

    Check out the rest of our website for more information on our completed projects and customer stories.