You are convinced that you can run your application more efficiently with the cloud and have already brought your colleagues on board. However, how can you convince your supervisors that the cloud not only has many technical advantages, but is also impressive from a cost perspective?
This blog post shows you four ways the cloud effectively helps you save costs.
1. No fixed costs
When you choose to run your application in the cloud, you only ever pay for the IT resources you actually use. This means there are no fixed costs for hardware or software licenses. The advantage for your company? The long-term commitment of capital is no longer necessary and your company’s liquidity increases significantly.
In general, choosing a cloud solution is considerably less expensive than buying your own hardware. After all, the chosen hardware not only has to meet a certain level of performance, but also requires a secure location and a redundant design for reliability.
2. Pay as you go
Components such as storage space, processing power or processors can be assembled in the cloud to the extent they are actually needed. Automatic scaling allows the adjustment of the cloud instances used to suit the required load. Furthermore, a complete new architecture can be built up in the cloud within a few hours and – if it is not profitable – turned off again within a few minutes.
This flexibility increases your company’s adaptability to the effective market demand, helping you to react quickly to both planned situations (e.g. growth) and unexpected circumstances (e.g. cost savings). This flexibility can benefit companies in all areas. Operators of online shops, for example, benefit when implementing sales campaigns (e.g. Black Friday), just as do companies publishing high-traffic news or sending newsletters to a wide range of customers.
3. Reduction of personnel expenses
Cloud infrastructure can also help you reduce the time and effort required for personnel management. Since infrastructure with its own hardware must constantly be serviced, maintained and monitored, your IT professionals have less or even no capacity for other tasks. You would therefore have to hire additional staff to ensure smooth operation. The cloud relieves you of this responsibility, thus reducing time and effort as well as the associated costs.
4. Everything secured at the same location
The cloud is also interesting for companies with several branches or company locations. As all the data in the cloud is managed at the same location, it is globally accessible. This allows all the employees of a company to work with little effort and low additional cost at multiple locations, on the same platform and with the same system. The cloud also features impressive security. Access by employees can be managed at a single location and a detailed log records all activities transparently and comprehensibly. Please also read our blog post about data protection in the cloud.
Even if you need to invest first in order to take your business into the cloud, these costs are fully compensated during ongoing operations. You can reinvest the capital you save in terms of time and money in your company, e.g. in the development of products or the optimization of processes.
Are you intersted in more information about the cloud? In our latest whitepaper "Companies in the cloud" you will not only learn about the potentials of the cloud, but will also find out about its limits. Furthermore, we reveal the "myth" cloud and explain, what the managed cloud means for you and your company.
Interested? Here you can download the whitepaper for free.
