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Why small business has its head in the cloud

If you’re dubious that this is the case, consider Telstra’s own figures for uptake of cloud computing.

More than half the user subscriptions (or seats) established through our platform, T-suite, have been for businesses with five or fewer employees.

They are using services as diverse as customer relationship management tools, human resources contract software, data storage, security software and shared email platforms for dramatically lower overheads than if they’d bought them outright.

Sydney-based screw and bolt supplier General Fasteners is a prime example of a small business achieving big things by going to the cloud.

With just seven employees but expanding to Perth and Brisbane in a six-month period of growth, General Fasteners saw cloud computing as the way to cost-effectively manage its burgeoning I.T. requirements.

Using Telstra’s T-Suite service to automatically back-up data and manage its workforce has saved the company about 10 hours and at least $500 a month, according to managing director Anthony Rosier.  General Fasteners now has a growth strategy of adding three staff a year and moving from number-three in their market to top position.

There are good reasons why Australian small businesses are heading to the cloud faster than their bigger counterparts.

Small business is more nimble and not so set in its ways. It’s quick to seize an opportunity if it sees benefits like improved cash flow, time-saving, better work-life balance or access to expertise or systems it doesn’t have.

It just needs to know that adopting change won’t be time-consuming or complicated.

While many large companies need to be convinced that cloud computing won’t compromise control or security of their data, most also have established software contracts or in-house I.T. departments whose existence at least partly depends on them developing solutions rather than buying “off the shelf”.

Of course buying in bulk doesn’t guarantee a lower unit price or more efficiency, but smaller vendors can be much more responsive to a business’ needs.

The cloud creates a marketplace for those vendors to thrive – and for companies of any size to seek them out.

Telstra’s research shows mobility and choice of when to do business are strong drivers of cloud computing uptake.

The lesson for providers is that they need to think like social media and make accessing the products in the cloud as simple as joining Facebook or Flickr.

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Comments from the community

  • Mark says:

    Ther are some great Australian SaaS providers bgrian, & many are servicing the top-end of town.

    One that recently launched was VendorPanel.com which provides a preferred supplier access platform for enterprises. They recently launched with Local Government Procurement in NSW, and are turning heads in the procurement space.

    Would love to hear of other Australian SaaS providers that you know of.

    Cheers,
    Mark