Executive Services Firm Tatum Offers Reasons Why Cloud Computing is a Good Business Decision in Today’s Volatile Market

ATLANTA--(BUSINESS WIRE)--IDG reports approximately 90% of all Fortune 1000 companies have adopted some form of cloud computing and Forrester claims the concept has risen from #11 to #3 on the CIO’s agenda for 2011. While according to a recent CFO Magazine survey, it’s not necessarily a top priority for CFOs who are concerned with the overall bottom line.

“CFOs need to understand the positive impact cloud computing has on business”

In today’s volatile market, IT experts from Tatum, the nation’s largest executive services firm, agree cloud computing is a good business decision that should be on the CFO’s agenda as it provides new options to improve profitability and offers the ability and flexibility to scale operations up or down as the business climate fluctuates.

“CFOs need to understand the positive impact cloud computing has on business,” said Bill Jeffery, partner and technology practice leader for Tatum. “It is not uncommon for companies to achieve sixty percent or more in savings on variable costs in their IT budgets by adopting the cloud to provide some of their IT services. Furthermore, having IT expenses vary with business activity and frees up dollars which can be better spent on initiatives that provide for business agility and competitiveness in the marketplace.”

Jeffery says cloud computing is extremely valuable to maintaining a lean IT business and keeping costs at a minimum. Similar to traditional outsourcing, opting for the cloud can be a purely technical decision; however, market leaders position it more as a strategic business decision that allows a shift from fixed IT costs to a variable cost structure—freeing up capital and providing flexibility in uncertain times.

Furthermore, Jeffery offers eight basic reasons why switching to the cloud would be a wise business decision:

1. Substantial savings for startup costs the first year with no upfront cash outlay for hardware and software purchases

2. Implementation timeframe for cloud is shorter by several weeks and upgrades can be done as needed

3. Implementation cost significantly less with less disruption to the business

4. A lower fixed monthly fee to maintain

5. Decreases stress/burden on IT departments that might already be stretched beyond capability

6. No additional IT infrastructure necessary as the solution provider provides all required hardware and software

7. No need to increase IT staff

8. Automatic routine optimization and regular upgrades to system

“’The cloud is a great place to do business if you know how to do it right. There are so many advantages relative to cost savings in terms of less cash outlay for materials and for personnel needed to support and maintain it,” said Jeffery. “The migration to cloud computing must be well thought out. There is no one ‘right’ time to move to cloud; it’s a decision only your organization can make. That decision can significantly impact the bottom line.”

About Tatum

Tatum is the nation's largest executive services firm, with 37 offices nationwide. Tatum helps top executives in the C-suite resolve strategic, financial and technology challenges, with particular focus on supporting the Office of the CFO. For more information, visit www.tatumllc.com. Tatum is a division of SFN Group, Inc. SFN operates a family of specialty businesses providing strategic workforce solutions in professional services and general staffing.