Small And Midsized Enterprises Reducing IT Costs By Transitioning To Cloud Computing
The cloud computing benefit most often cited is the reduced cost of ownership for Information Technology (IT). The reduced cost of ownership is derived from converting fixed IT costs into variable spend for 60-80% of the budget that is used to “keep the lights on.” The total cost of IT as a percent of revenue is reduced, and that savings can be re-invested to grow the business.
While the IT savings is compelling, the strongest benefit of cloud computing is how it enhances business agility ““ especially how the cloud can help launch entirely new businesses with little to no up-front capital. Further, when cloud computing helps launch businesses focused on improving the greater social good””cloud computing can help change the world.
In Silicon Valley where technology innovation and venture capital come together, San Francisco is a pioneer in building collaboration between social entrepreneurs and impact investors to foster global social change. Further, the initiatives to launch socially responsible new businesses are being vastly accelerated by cloud computing.
Impact investing is an emerging asset class in which investors actively apply capital to businesses that generate both social or environmental benefit and profit. Proponents believe that impact investing could add the necessary impetus to philanthropy and government to better address social challenges on a grand scale.
According to JP Morgan’s 29 Nov. 2010 Impact Investments Report, the amount of capital selectively invested in businesses that address housing, rural water delivery, maternal health, primary education and financial services to support those earning less than $3000 per year, could reach $400 billion”“$1 trillion over the next 10 years and yield a profit of $183″“$667 billion.
How does cloud computing benefit impact investing and socially responsible startups?
The Hub in San Francisco is a community meeting place where “purpose-driven people “¦ connect and build solutions for a better world.” Members are social entrepreneurs who work, collaborate, prototype, test new products, refine business plans, access funding and sponsorship, launch marketing campaigns and new ventures “¦ all in a creative, collaborative community. In addition, many of the Hub’s venture companies access cloud computing to launch new businesses that tackle a myriad of social challenges.
As Hub Ventures co-founder Wes Selke explains, “We believe in the power of technology innovation to change the world for the better, and cloud computing is an excellent example. The cloud enables world-changing entrepreneurs to build and scale their companies faster than ever before and to create significant impact with limited resources.”
One Hub startup called MobileWorks is “building a sustainable crowdsourcing platform that lets underemployed individuals throughout the world earn a fair wage completing crowdsourcing jobs.”
Small and Midsized Business (SMB) ERP Systems, Related Software, Services and Tech Support
Since 1983 Cornerstone Consulting has been providing World-class business software systems, as well as related technical support, to small and midsized manufacturing and wholesale distribution enterprises. With the expertise of Cornerstone’s highly-skilled programming staff and SAP’s ERP system specifically designed for SMB, SAP Business One, your enterprise can run better than ever before. The SAP Business One ERP system can be deployed on your in-house server or hosted as a cloud solution.
Why do so many small and midsized businesses rely on Cornerstone to help their organizations out-perform the local, national and/or international competition with ease? Our team has unparalleled strategic consulting abilities, programming talent and training experience. To learn how easily your business can get “head and shoulders ahead of the competition” with an ERP solution, call Cornerstone Consulting at 813-321-1300.
(i) Extracted from this Forbes Article: http://www.forbes.com/sites/sap/2012/01/10/the-social-impact-of-cloud-2/