Not long ago, the “Cloud” was looked upon with a great deal of trepidation. But in lockstep with technological innovation, the cloud is now everywhere.
The cloud is an Internet-based service that delivers various applications and services, such as data storage, servers, databases, networking and software. Cloud-based storage makes it possible to store files in a remote database, rather than on a proprietary hard drive or local storage device. If a device has access to the Internet, it can access the data and run software programs to manage it from anywher.
Cloud computing is a popular choice for businesses due to its many benefits, including cost savings, improved productivity and more secure data.
1) The cloud saves businesses money
The cloud computing model (also called Software as a Service, or SaaS) allows users to access applications that run on shared resources (e.g., processing power, memory, and storage) via the Internet. Computing resources are hosted in remote data centers, which are dedicated to hosting multiple platforms and applications.
In particular, the cloud is valuable to businesses since it allows them to access full-featured applications at an affordable price without significant upfront costs for software or hardware.
Using the right cloud provider, a commercial real estate (CRE) development company can rapidly scale their business productivity and project budgeting software as business grows or new clients are added.
2) Increased speed and portability yield improved efficiency
Using cloud-based software has a number of benefits, including the ability to access the software from any device, either through a native app or through a browser. In this way, users are able to move their files across devices seamlessly.
Cloud computing has emerged as a superior alternative to the cost and complexity of managing and maintaining expensive information management systems and infrastructure onsite. Companies can replace costly server centers with fast Internet connections, allowing employees to access the cloud online and complete tasks remotely.
3) Data is more secure
Why is cloud storage so safe? First, server racks are typically located in warehouses, which cannot be accessed by workers.
Second, all files stored on cloud servers are encrypted. Thus, they are scrambled, making it far more difficult for cybercriminals to access them.
Finally, the data is backed up and there is a disaster recovery plan. And businesses can avoid attacks on the company’s server because the data is not stored locally, but in the cloud.
Project budgeting software is better in the cloud
In the commercial real estate (CRE) development industry, developers are very dependent on project budgeting software. The best solutions in this space should give the project perspective as much attention as the financial perspective. All the software modules or functionality should be project aware, with each module providing the necessary project perspective to complement the general ledger perspective.
Independent perspectives are the key to addressing the real estate developer’s needs and reducing technical debt. In this way, the project perspective permeates the software design, and the developer gets to see the project from the top-down. Since most developers hire a general contractor and subcontractors to implement projects, top-down financial control is more critical than bottom-up details.
Nearly all job costing software emphasizes the subcontractor or general contractor perspective where the detail level drives the reporting. But success in the developer market comes from its ability to go beyond the details and show management top-level project status and the various detail levels that support it. The software solution must address the complete life cycle of a real estate asset: from project inception to project completion, and from pre-development to property management, in order to minimize budget debt and maximize profit, efficiency and client satisfaction.