This strategic use of Information Technology and Cloud Computing requires, first of all, a distinct business strategy that indicates what the organization is aiming at in terms of customers, suppliers, competitors, shareholders and authorities, and what role IT is playing in all this. On the basis of the business strategy, the specific use of IT can be established, in terms of an architecture and an infrastructure. As a result, a company is able to indicate where and how IT supports the business and the market position. Information technology plays an important role in delivering value for a business and supporting organizational transformation.
Organizations that want to improve their innovation capabilities and develop new products or services for the market can use cloud computing to speed up the process. Cloud computing enables organizations to rent additional IT resources on a pay-as-you-go basis, rather than investing in fixed resources. This provides an important strategic advantage by enabling the organization to get respond to changes in demand, increase revenue and maintain customer satisfaction.
Organizations can use Cloud Computing to make strategic changes to their business models. A company that traditionally sold products through retail outlets might use IT to develop an e-commerce model that enables it to reach a wider market, reduce its distribution costs and offer a more convenient service to customers. If Business expansion is one of your business goals, an IT infrastructure can help you to manage your business activities more effectively. Secure networks enable your branches or distributors to communicate effectively and share market, production and logistics data easily.