CIMA E1 Syllabus B. Technology In A Digital World - Cloud Computing - Notes ^{1 / 12}

Cloud computing is the delivery of different services through the internet.

It allows a single data source to be maintained and shared with multiple users.

Users can simply log into accounts in order to access, manage and process files and software via remote servers hosted on the internet.

If a business adopts cloud based computing, there will be a big switch from fixed costs to variable costs.

Public cloud
The cloud computing service is hosted by a third-party company, with access being sold to any member of the public who wishes to use it.
Private cloud
The cloud computing service is provided over a private infrastructure, typically for the use of a single organization. Management is usually carried out internally.

Flexibility and Scalability
Cloud computing allows simple and frequent upgrades allowing access to latest system developments.
For example, currently if an application is only available for one city, it can be extended to other cities easily using cloud computing.
Cost Efficient
There are limited IT maintenance costs and reduced costs of IT hardware.
Security
Disaster recovery and back ups are built in. Additionally, cloud based service providers are generally experts in security so even though a business might have all its eggs in one basket, overall security concerns should be reduced.
Flexible Working
Allows the worker to access his ‘work’ from any location.
Environment
Cloud computing ensures that there is less waste from disposal of obsolete technology.
Improved agility of decision making
Reduced speed of access to information
Better access via independence
Allows collaboration in real time
Easier integration
Cloud-based accounting software can seamlessly integrate with other cloud-based applications, offering a more comprehensive business solution at a significantly reduced cost