Hot on the heels of Aberdeen Group’s report on ‘next generation’ expense management, the IDG Enterprise Cloud Computing Study, a survey by the world’s leading technology media, research and event company, examines the shift to cloud computing in larger businesses.
The findings show that enterprises are allocating 34% of IT budgets to cloud computing. Much of the investment is going into private cloud projects that are owned, controlled and housed for use within the enterprise. This signals that larger businesses are exploiting cloud technology in-house in the same way that smaller organisations outsource specific business systems such as Expense On Demand, a cloud based T&E expense management system.
Critical to the success of the cloud is the concept of resource sharing, which enables a cloud application provider to provide outstanding value to the many SMB/SME organisations across its client base. A key element of this is that clients do not carry the cost of ownership.
In building private clouds, larger enterprises do not exploit the economy of scale that resource sharing provides. Ownership costs such as admin and maintenance still need to be carried and private cloud applications do not deliver the same level of cost benefit as outsourced cloud applications like Expense On Demand.
The reduced cost of a cloud based application is only part of the business case supporting the adoption of Expense On Demand. See what we bring to T&E (Travel & Entertainment) expense management by following this link.
