How SMEs can build a new home in the clouds

Garnett: Now is the ideal time for UK SMEs to switch to cloud computing

The advent of cloud computing has been a boon to UK SMEs. The first wave focused on cost savings and business efficiencies. Unlike traditional IT systems, cloud applications need no more infrastructure than an internet connection and even work wirelessly on mobile devices, allowing companies to reduce upfront capital expense and slash maintenance costs.

Equally, in contrast to traditional client-server approaches, cloud computing does not consume an SME’s internal resources. In-house IT teams can focus on deploying more applications or delivering new projects; cloud-based applications can be operational in a few days and users can scale up and down immediately.

Today, a second wave of cloud technology, Cloud 2, is building real-time business collaboration into the basic cloud computing model. Benefits include the ability for each user to "know it now" – to have instant access to key information, more streamlined project management, reduced search time and the ability to deliver dynamic alerts to keep the extended team on track.

Migrating to the cloud offers SMEs extensive benefits, but how can they maximise their potential gains as they do so? Here are some tips.

Cloud computing is scaleable. Users can select their level of engagement and upgrade at their own pace. New businesses may choose to use all their applications in the cloud while more established organisations might opt to develop new projects in the cloud and integrate seamlessly with existing on-premises systems in a batch or in real time as needed.

Take a long-term view. Traditional on-premises software is expensive to install, manage and maintain, which rapidly becomes a drain on resources. In contrast, by reducing upfront capital expenditure and management overheads, cloud computing allows SMEs to make IT investment plans which deliver long-term value and success.

Think strategically. Organisations should decide which cloud applications will deliver the best ROI and prioritise these. Cloud computing delivers the power and flexibility to meet and overcome specific business challenges, as and when they arise.

Make use of the subscription model. The lack of a licence fee eliminates front-loaded costs. This approach also allows users to benefit from predictable technology budgeting and simpler administration. When applications run in the cloud, services are rolled up into a predictable monthly subscription. Customers only pay for what they use.

Closer engagement. Once they have moved to the cloud, SMEs can look to build on these benefits by adding the real-time business collaboration represented by Cloud 2. Its arrival means that companies will be smarter as content, applications and people join the real-time conversation through a secure, private social network within the enterprise. With their focus on growth and with intensive demands on time and resources, SMEs are particularly receptive to this exciting new business environment.

Foundation for success. Now is the ideal time for SMEs across the UK to switch to cloud computing. Today, these businesses are focused on boosting productivity, driving innovation and finding a recession exit strategy. They have no need to be saddled with IT costs and problems, which are peripheral to their core business. Instead, they want flexible systems that free them to concentrate on delivering value, not running to stand still. In cloud computing, they have finally found the solution to their needs.