Cloud computing is one of the leading technologies in the corporate world today. It helps reduce the operational cost of doing business as well as makes computing more energy efficient. It also facilitates innovation and unlocks other avenues for doing business. Cloud computing is commercially viable for Turner Organic Chocolates since it utilizes existing infrastructure to upgrade efficiency of our data use.
First, it is cost flexible. A recent joint survey by the Economist and the IBM shows that 31% of the companies in the survey cite cost flexibility as an incentive for shifting to cloud computing. The system allows companies to purchase relevant computing tools per need instead of a company incurring costs for a full package. This means SME’s have access to tools that would otherwise be limited to larger retailers. For example, Etsy is an online retailer that provides a marketplace for buyers and sellers (McKendrick, 2012). It uses cloud computing to analyze data from over a billion viewers and make relevant product recommendations cost effectively.
Another benefit is that it expands the scale of business. By shifting to online retail, Turner Organic Chocolates can meet the spikes in demand. This will enable the company to expand its target market and provide a cost effective platform to market new products. This way, Turner Organic Chocolates can grow and expand without building a new data analysis system. (McKendrick, 2012) Netflix uses a cloud computing to respond to spiking demand by its viewers for internet subscriptions without incurring additional costs of migrating to new servers.
The third is the diverse pool of consumers Turner Organic Chocolates will reach and crate context driven variability. The Economist-IBM survey cites this as an advantage for targeting niche markets (Silver Lining, 2014. The Economist). The cloud employs artificial intelligence to understand the growing knowledge base with regard to consumer preference. This is because cloud computing can store data about consumer taste and presences thereby allowing companies to match their products to customers who appreciate them. Turner Organic Chocolates can use this to customize its variety of chocolate candies to clients who have a natural preference for them.
Another benefit is the ability of cloud computing to exchange information across businesses. This is a vital product for companies that seek to grow and improve service delivery. Through this avenue, Turner Organic Chocolates can target its information sharing and sync with service providers that carry complimentary products to our chocolate candies. This helps build business partnerships and expand the marketing resources available since opportunities for information exchange are limitless. HealthHiway is an example of an information network within the health industry (Silver Lining, 2014. The Economist). It combines health informatics among practitioners, patients, employers and administrators and provides improved care at low cost for emerging markets.
Cloud companies like Microsoft, Google and Amazon (AWS) are constantly working on their encryption services to maintain security over the data they handle (McKendrick, 2012). They also offer incentives in their basic offerings, by enabling uses store additional personal information making the cloud a viable source of information for companies. However, this does not mean that this company should abandon its existing software, merely expand its reach via cloud computing. Adopting cloud computing will enable Turner Organic Chocolates without the need for large capital investments.
Digital Agenda: how cloud computing can boost Europe's competitiveness. (2011, March 2). EUROPA. Retrieved October 23, 2014, from http://europa.eu/rapid/press-release_MEMO-11-128_en.htm
McKendrick, J. (2012, February 22). 6 Shining Examples of Cloud Computing in Action. Forbes. Retrieved October 23, 2014, from http://www.forbes.com/sites/joemckendrick/2012/02/22/6-shining-examples-of-cloud-computing-in-action/
Silver lining. (2014, August 30). The Economist. Retrieved October 23, 2014, from http://www.economist.com/news/business/21614186-tech-giants-are-waging-price-war-win-other-firms-computing-business-silver-lining