In addition to reduced on-going expenses, the cloud offers multiple benefits over on-premise systems including enhanced data security, reduced maintenance costs and easier workforce management.
1. Enhanced data security: Keeping sensitive financial data safe is paramount to any operation. Because a cloud-based system resides in a managed data center, the data are significantly more secure and stable that comparable on-site solutions. Offering 24-hour security, multiple redundancy and other forms of continuity, cloud-based systems significantly reduce the risk of theft, damage or other issues when compared to on-site, on-premise PCs within a central office.
2. Reduced maintenance costs: Cloud-based systems provide software upgrades that are automatically installed, which reduces the need to expend IT resources to install, reinstall or upgrade software programs. Additionally, because cloud-based software is monitored at a data center, any incompatibility issues have already been addressed and resolved before a new program is implemented. Cost savings are also realized due to reduced system downtime.
3. Easier workforce management: Cloud-based solutions enable software access from any computer. This makes it easier for business partners, such as auditing firms and outsourcing companies, to access relevant data more quickly. Companies also enjoy a greater degree of immediate control over data access when employees leave the company.
4. Flexibility and Scalability: cloud-based systems offer anytime data access from any computer, which optimizes the systems’ flexibility. Providing real-time data, reporting is more flexible with up to 13 dimensions and visibility for consolidated or multiple entities. Able to expand when needed, cloud-based systems are extremely scalable to suit the needs of an operation. Instead of having to procure user licenses and suitable hardware that is needed in traditional on-site installations, the cloud easily accommodates new users and multiple entities, as well as multiple currencies through its central data center.
Want to learn more about the total cost of ownership and return on investment of cloud accounting solutions? Our recent webcast, The Economics of Cloud Financial Systems, is now available for on-demand viewing. View here.