SME Cloud Computing – The Silver Lining
Many businesses live and breathe the digital revolution …
…. and intelligent smaller companies that use web-based tools manage their core business optimally: to reduce costs, reach clients and suppliers, innovate and gain greater control. Many more, however, are lagging behind, according to a new discussion paper from Australia’s Grattan Institute. Although the report focused on Australian businesses the parallels to North America are striking.
SME Cloud Computing Has A Sliver Lining
SMEs are the engine of the economy, employing two-thirds of private sector workers and contributing half of private sector GDP. Yet many SMEs experience low productivity and, lacking access to more capital and consulting services, are slower than larger firms to take up innovations.
Presently, smart mobile devices, e-commerce, cloud computing and other online innovations proffer opportunities for firms of all sizes. Cloud computing – the delivery of on-demand information technology services over the Web– is a case in point for how digital technologies can benefit smaller firms. This paper examines issues raised at a conference run by Grattan and Google on how government and business can accelerate the advance of SME cloud computing.
SME cloud computing allows firms to access sophisticated IT services that were previously out of reach. SME cloud computing services make it easier for small firms with good new ideas to take them to market. Firms that use cloud computing report more growth in revenue and profit than others do.
But a vast number of SMEs do not yet utilize cloud services. Many are not cognizant of the advantages or confident that they possess the skills to capitalize on them. Some are apprehensive about migration costs, data security and privacy. Adding to the challenge, someetworks are too slow or unreliable for SME cloud services in some areas.
Participants at the conference concluded that government and industry can help remove obstacles to the use of SME cloud computing and help smaller businesses enjoy its benefits. The SME cloud computing sector itself could lead the education of business on the commercial case for cloud computing.
