How Small Businesses Can Leverage Cloud Computing To Save Money

How Small Businesses Can Leverage Cloud Computing To Save Money

Most small businesses spend a lot on energy bills, even as much as $20,000 per year. This is extremely expensive. According to energy experts, small businesses that are struggling with such exorbitant bills need to rethink their energy policies. Saving on electricity costs can help these businesses lower their expenses. This will boost their overall revenues and efficiency for growth. But even in the face of these realities, what energy-saving models can small businesses use to lower their energy costs? The adoption of cloud computing is one of them.

IT businesses especially stand to gain a lot by adopting cloud computing. For many small businesses where manufacturing is not involved, electricity costs are mainly attributed to their IT departments. In fact, from a recent survey carried out by the CDW Corporation, 52 percent of all companies have asked their IT departments to cut down on electricity consumption-costs. Cloud computing (using work applications stored on remote servers) is a valid alternative that brings energy savings to these businesses.

Cloud computing can help businesses reduce energy-consumption costs through virtualization of essential IT functions and servers. This entails consolidating data centers virtualized through an external provider at much lower costs. According to a similar study, this helps an organization to directly cut energy consumption by as much as 28 percent. Considering small businesses spend a lot of their revenue on electricity costs, these savings can be significant, depending on the size of the organization.

The following factors are the results of virtualization and can help an organization save money by reducing its electricity costs.

  • A small business does not have to host a local server. The server needs are met by a central provider that maintains it. As a result, the small business does not have to keep the server room running at all times as is often the case. Instead, they can enjoy efficient, cost effective electricity consumption.
  • Committing work applications in the cloud encourages employees to telecommute. If your business’ work applications are hosted in the cloud, your employees can work off your business premises. This not only helps your business save on space costs, but also on energy bills.
  • Integrating cloud solutions can also help businesses reduce energy expenses they would otherwise incur if their maintained their servers. Naturally, by having all server hardware off site, cooling, conditioning, and general maintenance energy consumption are cut. Overall, this enables your businesses save costs.

Considering all these, if a small business adopts cloud solutions for their daily IT functions, they can save energy.  Therefore, if your business is struggling with huge energy expenses, its time you reconsidered your IT service functions status on the site. If it was on the cloud, you could save a lot of money and fasten your growth.

By Walter Bailey

About CloudTweaks

Established in 2009, CloudTweaks is recognized as one of the leading authorities in connected technology information and services.

We embrace and instill thought leadership insights, relevant and timely news related stories, unbiased benchmark reporting as well as offer green/cleantech learning and consultive services around the world.

Our vision is to create awareness and to help find innovative ways to connect our planet in a positive eco-friendly manner.

In the meantime, you may connect with CloudTweaks by following and sharing our resources.

View All Articles

Sorry, comments are closed for this post.

How Data Privacy Reform Is Wreaking Havoc In The Cloud

How Data Privacy Reform Is Wreaking Havoc In The Cloud

Data Privacy Reform Is Wreaking Havoc Nations around the globe are stepping up efforts to better protect the personal data of private citizens. In particular, cross-border data security regulations and legislative reform is on the rise. The laws must evolve in order to mitigate theft, abuse and misappropriation of personally identifiable information (PII), better guard…

Bimodal IT Is Not The Death of Traditional IT

Bimodal IT Is Not The Death of Traditional IT

Not The Death of Traditional IT If you are a CIO, no doubt you are getting pressure from your line of business managers to provide a more agile IT environment so they can take advantage of faster, easier to use cloud applications. If you’re not providing those services, they are probably using them anyway and…

Global Cloud Development An Open Question

Global Cloud Development An Open Question

Global Cloud Development Statistics and projections from Cisco’s Global Cloud Index show that the world’s data centers are already processing 4.7 zettabytes (4.7 million petabytes) per year. Cisco research says this amount will continue to grow by 23% annually for the next few years. (Inforgraphic Source: https://visual.ly/how-much-petabyte) If we project these numbers over the next 25…

Cloud Computing – The Real Story Is About Business Strategy, Not Technology

Cloud Computing – The Real Story Is About Business Strategy, Not Technology

Enabling Business Strategies The cloud is not really the final destination: It’s mid-2015, and it’s clear that the cloud paradigm is here to stay. Its services are growing exponentially and, at this time, it’s a fluid model with no steady state on the horizon. As such, adopting cloud computing has been surprisingly slow and seen more…

How To Overcome Data Insecurity In The Cloud

How To Overcome Data Insecurity In The Cloud

Data Insecurity In The Cloud Today’s escalating attacks, vulnerabilities, breaches, and losses have cut deeply across organizations and captured the attention of, regulators, investors and most importantly customers. In many cases such incidents have completely eroded customer trust in a company, its services and its employees. The challenge of ensuring data security is far more…

How To Choose The Right Cloud Security Package For Your Business

How To Choose The Right Cloud Security Package For Your Business

How To Choose The Right Cloud Security Package The questions you need to ask yourself when deciding on the right cloud security solution for a growing organisation Not sure which cloud security package will be the best fit for your business? Check out our guide to choosing a service that’s going to meet your needs…

What Technology Can Displace The Password?

What Technology Can Displace The Password?

The Future Password Many people shout that the password is dead or should be killed dead. The password could be killed, however, only when there is an alternative to the password. Let us think about what technology can displace the password. Some people might say that multi-factor authentications or ID federations will do it. It is not…

CloudTweaks is recognized as one of the leading influencers in cloud computing, infosec, big data and the internet of things (IoT) information. Our goal is to continue to build our growing information portal by providing the best in-depth articles, interviews, event listings, whitepapers, infographics and much more.

Sponsor