Wednesday, November 4, 2015

Role of Cloud Computing in Business Organizations


Cloud computing has brought a lot of promises and benefits to organizations. It has proved to more than just a simple technology and has being able to transform organizations.  Cloud computing plays a very vital role in bringing agility. It delivers improved agility due to its rapid elasticity and it’s on demand self-service. The IT resources required in the organization can now be deployed easily and can be improved to meet the needs of the different situation s in the organization (Leimeister, Böhm, Riedl, & Krcmar, 2010, June)
Cloud computing has led to increased productivity. This is because it provides a good environment and enables participants in the organization structure to share logic. The capability of cloud computing to provide shared logic in an organization leads to improvement in productivity capacity of the organization. Another role of cloud computing in a business organization is that it brings about better quality. This can be attributed to the better usage of information, manageability, quality provision of IT solution, and the business continuity which comes as a result of cloud computing (Leimeister, Böhm, Riedl, & Krcmar, 2010, June)
There minimization of cost when you use the concept of cloud computing.  Agility, quality, and increased productivity are often associated with cost increment but this is not the case when you employ the use of cloud computing. Contrarily to the notion that it is expensive, cloud computing helps an organization achieve cost reduction through some products such as thin clients, server consolidation, and community sharing. Another role that cloud computing plays in a business organization is creation of new business opportunities. This is achieved through added service provision, and cloud service provision (Leimeister, Böhm, Riedl, & Krcmar, 2010, June)
References:

1.      Leimeister, S., Böhm, M., Riedl, C., & Krcmar, H. (2010, June). The Business Perspective of Cloud Computing: Actors, Roles and Value Networks. In ECIS.

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