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Cloud in a mid-sized company: benefits, costs, and scalability

@mindbox

Zespół Mindbox

6 minutes


In this article, you will learn:

  • Why it is worth implementing cloud solutions in a mid-sized company
  • How cloud migration helps reduce operating costs
  • Why the cloud opens the door to new technologies
  • What data security looks like in the cloud

Mid-sized enterprises are at a business crossroads—they are no longer small family businesses, but they are not yet international corporations. How can they improve their position? One option is to implement cloud computing in the work environment.    

Benefits of cloud implementation for mid-sized companies

It is widely accepted that there are many benefits to implementing cloud solutions—they are used by both small businesses and international organizations alike, but they offer particular value to mid-sized companies. Because these enterprises are at a business crossroads—no longer operating on a small scale, but often not yet having gained the capacity for national or global operations—cloud operations in a mid-sized enterprise offer many opportunities for growth. One of the most important benefits (as seen, for example, in marketing agencies acquiring new clients) is the scalability of cloud platforms. Resource consumption and application usage can be increased as the company grows, and in the event of difficulties or slower periods, operations can be scaled down just as easily. This translates into savings, as it removes the burden of owning and maintaining one’s own architecture. Clouds also allow you to effectively manage resources and facilitate daily tasks. This is evident in IT operations—thanks to the cloud, the most routine tasks can be automated, allowing the team to focus on things like developing new products. At the same time, there is no need to fear a drop in performance. Clouds can be used at any time and from any place (provided there is a network connection), which allows the company to grow continuously and can give employees, for example, the freedom to choose their work model.

Cost optimization and increased efficiency

When moving your operations to the cloud, it is worth asking, what should be the priority and what are the goals of such an action. Cloud computing is most often implemented to increase efficiency, both for the company as a whole and for individual employees. But how can this be achieved? The easiest way is to start by regularly monitoring resource consumption—this refers to computing power, memory, or disk space. This allows you to measure the performance of individual processes and determine the company’s actual needs. Efficiency is also improved through the automation of business processes. For this purpose, tools for infrastructure-as-code configuration and management, virtual machines, or containers are used. Managing their lifecycle and choosing instance types and cloud services tailored to the company’s needs and data requirements are also important. The above factors affect not only operational efficiency but also costs—the more space and applications a company uses in the cloud, the higher the costs will be. How, then, can they be optimized? It is worth starting by defining a cost policy and setting budget limits for projects or teams. Choosing flexible billing methods, such as paying only for consumed resources, will also help.

Scalability and IT infrastructure flexibility

Every provider praises their cloud, and most often they praise its scaling capabilities. This is not surprising, as this technology has flexibility built into its core, which is particularly important in the context of mid-sized, and therefore growing, companies. When we talk about the flexibility of cloud computing, we are not just talking about the ability to dynamically increase or decrease computing resources on demand—many cloud platforms offer auto-scaling features, which allow resources to be automatically adjusted based on, for example, CPU load or network traffic intensity. Imagine the following situation: a mid-sized company has won a contract from a large corporation, but it requires not only increased computing power but also integration with existing solutions, which may have been a bargaining chip in the offer. What should be done in such a situation? The answer is again cloud computing—platforms such as Microsoft Azure or Amazon Web Services not only allow for integration with existing systems and applications but also provide the ability to quickly increase computing power. In addition, thanks to the cloud, you can quickly implement new solutions without the need for expensive infrastructure investments—in the case of the company mentioned in the example, this can pave the way for innovation and, consequently, for winning offers from other large organizations.

Access to the latest technologies

Speaking of innovation, it is worth mentioning that it often requires access to the latest technologies. Let’s assume that the company mentioned in the previous example has an idea for accelerating production for its client. However, it cannot achieve this without access to computing power. Again, cloud computing can help. Clouds offer users a wide range of managed services, i.e., IT outsourcing. They also provide access to many applications (e.g., artificial intelligence and machine learning, data analysis software, or Internet of Things solutions), through which the company can accelerate the process of developing its solution. It is also worth remembering that cloud providers offer partner programs and support for developers, which can translate into faster project completion and expanded employee knowledge. Let’s assume that the company in the example has already implemented its idea for improving production but has nowhere to test it. In this case, too, the answer can be cloud computing—thanks to it, you can quickly and efficiently test new solutions in an isolated environment without having to invest in infrastructure. It may also be helpful that cloud platforms often use open standards and interoperability, so the developed solution can be easily integrated with other systems and tools.

Data security and availability

It seems that cloud computing offers almost exclusively benefits, and its drawbacks pale in comparison to its advantages. This does not change the fact that migration to the cloud can cause certain problems – one of the most common is the issue of data security and availability. However, even in this case, clouds show many advantages over in-house infrastructure. One of them is the fact that providers use advanced security features, such as encryption of data in transit and at rest, role-based access controls, and constant monitoring of failures and security events. To operate, they must also meet data security and privacy requirements (e.g., GDPR). If you have any doubts, it is worth checking whether the provider operates in accordance with ISO standards and holds compliance certifications. It is also worth remembering that cloud data centers themselves are designed with the intention of maximum protection against failures, both physical and virtual. In the case of virtual threats, various redundancy techniques are used (e.g., data replication or backup power), and physical threats are eliminated, for example, through access via key cards or simple, heavy doors. Platforms regularly and automatically create backups of data, which they store in different geographical locations, providing additional protection. The above arguments clearly show that cloud operations in a mid-sized enterprise mean not only a high level of security but also increased efficiency and lower costs. This, in turn, allows for the development of business operations and can make a mid-sized company become a large enterprise one day.

@mindbox

Zespół Mindbox

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