Rise of the Cloud

Benefits and Concerns
In a knowledge-based industry like consulting, improved connectivity and access have made it easier for colleagues based in separate locations to collaborate on a centralized project, as sharing a physical space is not always imperative. Cloud-based products make accessing data quicker and easier, providing real-time updates to all team members and resulting in fewer errors. In addition, access to real-time data helps projects to be completed on-time and within budget.

Allowing for remote access anytime and anywhere, and from a wide range of devices, cloud-based offerings enable projects to be shared across geographies and consultants—ensuring that clients have immediate access to a wide range of experts at all times. Removing the necessity of on-site access, cloud services allow consultants to access information as they need it—not only reducing travel costs for clients, but also ensuring that each team member can constantly access and monitor the current project status.

Not only does this allow consultants to work virtually anywhere, it allows firms to have universal deployment of consultants—allowing a firm to expand easily with little out-of-pocket expenses for expanded infrastructure.

Security is a major concern and a crucial deciding factor for many companies interested in deploying cloud services. Business decision makers are primarily worried that they won't be able to retain control of their own data and information. Some may also question the level of security that prevents outside parties from accessing their data.

"While it has revolutionized collaboration, the cloud can also bring with it potentially serious security ramifications, like intellectual property theft or data breaches," said Barrie Hadfield, CTO of SkyDox.

When it comes to business-sensitive client information, it's important that consulting firms pick the right cloud provider for them. If they do so and if they research the ramifications of the security policy their provider is offering, they can rest assured their concerns will be addressed and alleviated. Some good questions to ask when reviewing potential provider agreements include: What controls are available to secure the cloud? Who is responsible for my data and where is it stored? What happens if there is an outage?

Choosing a Solution
Keeping in mind the benefits and concerns listed above, there are many additional considerations when it comes to choosing a cloud-based software solution. When selecting a solution, it's important to make sure that a disaster recovery plan is in place and data is backed up frequently and securely.

For example: with on-premise servers (as opposed to cloud-based software), firms run the risk of losing data if a disaster strikes. On the other hand, cloud-based software ensures that data is always available and accessible through the cloud, ensuring that consultants never notice any outage or downtime.

As the cloud rises in popularity across industries, solutions are becoming increasingly specialized. Consulting firms need a different solution than retailers or manufacturers to ensure that they have the proper control, flexibility, reliability and cost efficiency to meet their needs. Purpose-built cloud software, software delivered through the cloud that is specific to the consulting industry, can provide highly scalable, cost-effective computing resources.

Putting Your Solution into Place
Though some may think the transition process to cloud services would be daunting, companies that have gone through it are finding that the benefits greatly outweigh their concerns. Analysts expect to see the uptick in cloud-based software implementation continue as they predict adoption rates to keep increasing over the coming years.

"With IDC forecasting very strong growth for cloud applications over the next several years, we believe that adopting cloud services and maintaining a relationship with a strategic provider is key for the consulting industry," said Michael Fauscette, GVP of Software Business Solutions for IDC.

"And we're not the only people who think so—additional research shows that 55 percent of CIOs plan to increase spending on cloud-based software in 2012, and that 84 percent of all new created software will be cloud-based. It is clear that many companies are enjoying the benefits of cloud services."

The cloud is the way of the future; not just for early adopters anymore, the mainstream appeal and rapid growth rate demonstrate that cloud-based solutions are revolutionizing the industry and are here to stay.

Pete Mann is Deltek's Vice President, SaaS