CFO Magazine recently published an online article entitled “How Low Cost Is That Low-Cost Cloud?” The article examines how to compare the costs of a cloud-based system vs. traditional software and hardware systems. Choosing the most efficient IT cost-reducing method is often “clouded” by the misconception that Cloud systems are always the lower cost option. However, Rob Livingstone for CFO.com shows that in some cases traditional on-premise computing is less expensive than Cloud systems.
The perception of some business managers, and even some executives, is that Cloud systems have a far more attractive cost proposition than the on-premise alternative –when in fact the scale-up up cost could be anything but cheap. Total Cost of Ownership (TCO) is an important factor when determining which system works best for an organization. Calculating TCO for Cloud applications requires all costs to be factored in.
The main point of Rob’s article is to demonstrate the criteria that should be considered in making an informed decision regarding your systems. Microsoft’s Serenic Navigator provides both a Cloud version and traditional version of its financial management software for nonprofit organizations, allowing you a choice to fit your budget and needs. Attend a Serenic Navigator webinar to see a demonstration of accounting software for nonprofit organizations.
Read the article by Rob Livingstone to see how he arrived at the TCO of a company’s cloud based software versus the TCO of their traditional, on-premise enterprise applications.