Managing directors and IT decision-makers in German medium-sized businesses have one thing in common: They need the right information to make sound decisions – both for the IT department they run and for the entire company. How well are IT investments aligned with the company’s strategy? How can IT save costs and make operations more effective, but at the same time provide optimal support for operational processes and contribute to profitability? How do I convert the IT department from a cost center to a profit center?
IT decision-makers typically face challenges like these:
- Achieving maximum returns on capital employed (ROI)
- Significant cost reduction
- Transformation of the IT department from cost center to profit center
- Keeping pace with fast technological changes
- Achieve broad acceptance and use of the tools within the company
- Ensuring high usability and availability for employees
- Maintaining high service levels for employees
- Achieve greater integration of business applications and data with tools
In this article, we present the advantages of cloud-based solutions (Software as a Service) over on-premise solutions. Virtual collaboration is becoming an increasingly important topic in many German SMEs and is being used successfully. We would like to illustrate this with the example of cloud-based video conferencing.
49% of IT decision-makers have already decided to use video conferencing in their companies today, and a further 25% of IT decision-makers plan to use video conferencing in the next 24 months. In this article you can read in detail the reasons behind the general decision for each video conference and which goals they pursue with it.
We will introduce you to the 5 main benefits of cloud-based video conferencing:
1. Software scalability
Compared to traditional on-premise solutions, cloud-based video conferencing systems have flexibly scalable capacities. There is (almost) no technical limit and/or a technically limited maximum number of video conferences. You can flexibly book or unsubscribe monthly additions for your employees. In this way, the system adapts to your company’s requirements and not the other way round.
2. Technical requirements and entry barriers
Entry barriers to cloud-based video conferencing are much lower, as there is no need to make initial investments to acquire an infrastructure, but rather a service provider. In addition, there are very few technical requirements for cloud-based video conferencing that must be met: The most important thing is a high-speed Internet connection and a video camera on the PC.
3. State-of-the-art technology
The service provider develops and carries out regular product updates for cloud-based video conferencing without incurring any costs (OPEX). This means that the technology is always up to date and offers optimal support for operational processes.
4. Total cost of ownership of cloud-based video conferencing
Managers and IT decision makers know: Costs are incurred not only for the investment, but also considerable operating costs (OPEX) during the time of use in the company, for example for maintenance, repairs, consumables during use, training for employees, disposal and many other possible costs.
In the case of cloud-based video conferencing, the total cost of ownership is very low compared to on-premise solutions and is absolutely calculable due to the transparent cost structure. The investment costs (capex) are almost eliminated as no purchase or technical infrastructure is necessary. In addition, operating costs are significantly reduced because there is no longer any physical equipment that needs to be maintained.
5. Personnel planning
Cloud-based video conferencing eliminates the need for installation, system maintenance and service personnel. The staff is therefore available to IT for other projects.