Organizations are conscious that immense changes are happening around them and that they need to continuously and organically reorganize themselves. IT has to be strategically used to cope with the challenges and strengthen operational efficiency and effectiveness. They need to quickly reach out to their customers and competitively structure their customer services, distribution channels and establish links with their stakeholders. They need to make a strategic commitment to cloud technology.
Cloud backup makes enterprise data ubiquitous. Users across the enterprise will suddenly have access to enterprise data and an ability to use technology in numerous ways to serve the ends of the business. Lawyers, doctors, financiers, and all kinds of professionals will have the information they need at their command. Customers, suppliers and other stakeholders can be given appropriate and controlled access to information–inspiring trust and fostering loyalty.
Interestingly, the price of the processing power, data storage and transmission does not escalate. In fact, it reduces cost. The enterprise needs to pay only as much as it uses. This results in optimization of computing resources, including appropriate and well orchestrated use of expensive storage systems.
As a result of the above, the cloud acquires a strategic importance and a well defined cloud backup and recovery policy can be a catalyst to higher levels of performance. The strategy cannot be easily copied by competitors, as each firm can have a unique interpretation of the architecture and infrastructure it harnesses.
A good cloud backup strategy focuses on the service rather than the product. Where is the focus of the company—at the top or bottom of the market? This will determine the kind of strategy they want to adopt with reference to quality, product features and product innovation that must be delivered to the target market. This calls for an alignment between the cloud backup service and the enterprise strategy.
To conclude, cloud backup and associated applications can help them cope with, control and even manipulate the five forces that impact business—namely “the bargaining power of suppliers”, “the bargaining power of the buyer”, “the threat of new entrants”, “the threat of substitute products”, and “the shape of the industry”. Further, organizations who have learnt to ride the cloud with confidence, can exhibit cost leadership by reducing costs, as capital investment in IT infrastructure plummets. They can differentiate themselves from their competitors by working in close alliance with their suppliers, distribution channels, customers and others.