You probably hear the term Cloud Computing spoken about quite a lot, but what actually is it? What does Cloud Computing mean and why should you be interested in it? Read more to find the answers.
Cloud computing refers to the provision of computing resources and services on demand via a computer network over the internet.
In the 1990′s Local Area Networks or LANs were deployed extensively to deliver a common application and connect devices together within a building, however limitations were soon discovered and so engineers looked to other methods of connecting and distributing data, over a common media. The internet was seen as the obvious choice allowing multiple devices to share both data and CPU power.
Cloud computing fundamentally allows for a functional separation between the resources used and the user’s computer. The computing resources and applications reside outside the local network in a data centre connected via the internet. .
This separation between the resources used and the user has allowed for the development of new business models and applications, particularly in Service based industries that allow flexibility and agility never before experienced. Furthermore, all of the development and maintenance tasks involved in provisioning these application are performed by the service provider and not in-house, thus reducing costs and complexity.
This service is now commonly known as “The Cloud”.
Advantages of Cloud Computing
One of the main advantages is that the user does not need to worry about where the software or application is, how its provided or maintained, they just simply use what the want when they want from where they want. In most cases, they can use any internet enabled PC or device such as smart phones.
The use of this technology gives significantly more flexibility and power to enable organisations to be more flexible and dynamic without high costs, thus increasing profitability in the long term. Other advantages become obvious with things like hardware and software maintenance cost and licensing issues also vanishing. Renting the hardware and software platform for the period of use, then switching it off when not required also reduced operating costs.
From the service providers viewpoint, they are running servers as greater capacity as more users want their service and so realise a faster return on investment – so a win-win situation for all parties.
Where is Cloud Computing going?
Almost all users of the internet will be using some form of Cloud Computing without actually realising it. Applications such as Gmail, Hotmail, Yahoo, Google and Facebook are all cloud based Applications.
Analysts and industry experts are coining the Term PaaS (Platform as a Service) which will deliver basically all the requirements of an organisation, with the flexibility to move and change their business, application and even develop their own services without a single piece of hardware on site – a true virtual organisation.
Many companies are dipping their toes in the water already, using tool like Google Apps for email, calendar and collaboration and Critical Business Apps for providers like SAP and Pulse Business Software. The benefits to the business and to the workforce are giving very clear returns and thus encouraging more applications to go this way. .
This all sounds too good to be true, so is there a downside? There are a few, but providing you choose your Service Partner carefully, the benefits will far out-weigh the potential issues.
This technology is particularly suited to businesses like IT Service Providers, Franchise Businesses, High growth business or mobile and remote businesses where common everyday laptops can use sophisticated applications without having expensive client software loaded and the overhead associated with this.
Find out if Cloud Computing is for you and your business by simply contacting Pulse Business Software for a discussion about your business and the operational challenges you face with your current network infrastructure.

