Tech alley is abuzz with the news that Oracle may announce a new service at its upcoming customer conference in San Francisco. The service is expected to be a blend of old-school outsourcing and advanced cloud computing, enabling companies to hire ‘Services as a Service’.
The concept behind Oracle’s ‘Services as a Service’ is precisely the same as the ‘Cloud as a Service’ offering of Virtual Employee.
Oracle will allow clients to hire IT staff who will work on the Oracle premises for them. Clients from all over the world may hire Oracle professionals for positions such as business analysts, database administrators, and such.
Regardless of what you call the model – ‘Services as a Service’, or ‘Cloud as a Service’ – it is going to change the way we have been doing business. Ability to hire people in the cloud will eliminate the need to have ones own IT department, along with all the heavy accompanying overheads.
Demand for trained professionals in database, applications and online marketing is high. The cloud allows you to hire the best of talent without the associated costs. You can get workforce of the same skillset in the cloud at a fraction of what you would pay in the US or Europe.
Cost efficiency while maintaining productivity is the single largest driver of the businesses interest in the cloud based services. At zero IT related cost, you are there up and running. No more spending months and thousands of dollars procuring the expensive equipment only to find out a few months later that it has become outdated and you need to upgrade it. In the cloud model, the service provider would be taking care of IT infrastructure, while you focus on team management.
Experts are unsure about the cost efficacy factor in the Oracle cloud and its ability to provide the best of services to SMEs (small and medium enterprises). A California-based MNC (multi-national corporation), it may falter in providing customized ”Services as a Service’ to smaller clients. When it comes to cloud-based services, Oracle has always focused on conglomerates. In India, its key accounts include Reliance, LIC (Life Insurance Corporation of India) and SBI (State Bank of India). Where will the SMEs fit? Will the cost difference be big enough to draw smaller companies to hire people in the Oracle cloud? This is something that will be keenly watched.
As traditional companies are realizing the change the cloud is bringing in, they have begun rolling out strategies to rope in the cloud for their growth. They would generally begin hiring an employee, or two, and if the experience convinces them, the team is expanded. Managers who have spent their lives working at a regular office with full strength may need some time to adjust and work with virtual employees, before the results become evident. There is no such legacy baggage with start-ups and e-commerce companies that can begin their business journey straightaway with the cloud.
Cloud companies such as Virtual Employee that are based in India and have a model structured for SMEs come across as a better fit to reap the advantages of the cloud.
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