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How does cloud technology transform businesses?

Cloud technology is capable of saving money and time for any business but it can also transform the entire company and the way in which you do business. Small businesses in the US now use cloud data computing at a rate that is higher than expected. It is actually expected that in the following six years we will see around 80% of companies using cloud technology.
Nowadays, cloud technology is linked with reducing operation costs and improving company efficiency. For instance, we often see small businesses outsourcing cloud-based call centres to cut costs. Such actions are important even for the larger companies as they can save cash and increase profits. Technology widespread adoption will transform the entire business, while also being really useful for government organisations and larger companies.

According to Emergent partner, Steve King, efficiency gains will continue but new capabilities start to emerge. New capabilities have huge influences on business operations, as mentioned below.

Plug-in technology

Different companies now already use the services of cloud computing technology in a plug-in way. An example is ZenPayroll, now Gusto. This company handles payroll faxes, forms and fillings automatically. Statistics highlight the fact that there are six million companies in the US that have a payroll system. 40% of them do this by hand and a large percentage of them will be fined when they incorrectly pay the taxes. Cloud-based technology reduces the possibility of making mistakes, thus leading to the situation in which it is so easy to avoid the fines.

Hive operation

A hive is basically a business that will operate with staff that works in various locations. Companies thus have highly flexible employee levels. Such an operation is also referred to as Hollywood model. The idea is that a team is formed with people from various locations. Cloud technology makes it really easy for people to work together as a part of the same team through the use of the internet, no matter where they are physically located. That cuts the business’ operation costs and allows better flexibility, which is always a good thing for a company.

Head-to-head competition

Small businesses now end up in strong competitions with major companies. The cloud actually helps the small company to be able to compete. There are various different examples of this, with Airbnb being a company that was much more successful than what many expected. It is so much easier to compete with the companies that have higher investment and marketing budgets because of the fact that you can easily cut down on many of the operation costs while being able to speed up work through cloud technology.

On the whole, we can say that the evolution of cloud computing is huge in the business world. This is especially the case with the smaller companies since they are now capable of competing with the large firms but even the corporations and government organisations tap into what the cloud is capable of offering. It is 100% sure that we will see a constant increase in cloud use for business purposes.

25 Jul 2016 12:44


About Boris Dzhingarov

Boris Dzhingarov graduated UNWE with a major in marketing. He is the CEO of ESBO ltd brand mentioning agency. He writes for several online sites such as,,, Boris is the founder of and