Cloud-based Software-as-a-Service has quickly become a compelling and credible delivery model for business applications. If you aren’t converted yet, then realize how you already take part in on-line banking, share your medical records with healthcare providers, and access your retirement investments.
All very personal information that you may think should be equally or more sensitive than the production database of commodity trading companies. Further consider how much your business relies on communicating via the internet.
On-premise installed C/ETRM software would be as equally ‘out-of-service’ as a cloud-based solution when the internet isn’t available. Therefore, for the educated trading professional looking for proven solutions that lower cost and improve operations, there is something Between Heaven and Earth: The Cloud.
Software delivered over the internet is seeing high adoption rates. Just ask big system vendors, such as Oracle and SAP, whose ERP systems are like a C/ETRM system.
Whether deploying on-site or hosting remotely, C/ETRM systems need to be designed for web-delivery. Otherwise, you have to Frankenstein it to make it work, as many legacy vendors do.
Also, all user interactions within the system will be encrypted. Users will be authenticated by the use of non-proprietary client certificates. Finally, considering C/ETRM systems interface with various external sources, the architecture must have embedded middle-ware technology that supports ease-of-integration.
What About My Data
With enterprise applications moving to the cloud, so is the data that is created within them. With this data growing rapidly and involving multiple sources, cloud adopters recognize the scalability of cloud storage as well as the data processing power.
Demands for data protection are driving innovations in cloud security that are now setting the standard for data security and governance. As a result, concerns about security (and availability) are getting muted. Users are recognizing that many other critical and sensitive functions involve relying on communications and data storage that also use the internet infrastructure.
Do the Math
Energy and Commodity Trading companies can benefit from cloud-computing as their environment changes. With cloud-based solutions, all of the cost and risk of the upgrade is the responsibility of the vendor.
The vendor therefore has an incentive to make the cost of upgrading as small as possible. When putting all of the costs of ownership on the table: hardware, software, maintenance, upgrades and innovation, real “Cloud Computing” wins out every time.
Consequently, remotely hosted solutions are overtaking traditional delivery software. This is a result of it being fundamentally a better business model for the company and the vendor.
Here is why cloud based software minimizes cost and complexity:
- Fast deployment and implementation: Speed to mark, speed to value
- Software as a service: Anywhere, anytime access
- Painless upgrades: System is always up to date
- No on premise equipment (software/hardware): Reduced IT maintenance and complexity
- SaaS total lower cost of ownership advantage: Predictable capital and operation cost
- Financial industry grade security: Your data is protected
- Faster incident resolution: Minimize impact on operations
Unfuzzying the Fuzzy
As your environment changes, web-enabled, true cloud-ready systems offer your business the opportunity to make it easier and more cost-effective to take advantage of modern and innovative C/ETRM solutions. Those who ‘pioneered’ the Cloud dramatically simplified their IT infrastructure and reduced their total cost of ownership.
Furthermore, they are now leveraging a C/ETRM system with the flexibility and scalability to equip their business for future success. Nothing fuzzy about it that cannot be explained.