24Jul•Aug•Sep 2012InnovationsShooting forthe CloudsSMEs have the most to gain from cloud computing,a virtual IT delivery service that allows firms tofocus on what they do best, says Webvisions GroupCEO Poh Mui Hoon. Francis Kan reports.When a local companyselling media contentonline faced anunexpected spike in demand forits products, it easily ramped upits computing capacity to dealwith the additional load using avirtual technology known as cloudcomputing.More importantly, it was ableto scale down again when demandreturned to normal, saving theneed to invest in a costly physicalserver that would becomeredundant once the temporarysurge in activity subsided, said MsPoh Mui Hoon, Group CEO ofWebvisions Pte Ltd, a <strong>Singapore</strong>basedcompany that provides cloudcomputing services.“Cloud computing gives you theflexibility to stretch or contractyour compute or storage servicesas demand for your business goesup or down,” she said in aninterview with BiZQ.“If you have a big project andrequire an increase in computepower only for six months, with thecloud, you don’t have to make a bigcapital investment to cater to that.”In an increasingly erraticbusiness environment wheredemand becomes harder to predict,having an information technologyinfrastructure that tracks the ebband flow of your company’sactivity is critical.That explains the appeal of cloudcomputing, a highly scalable andcost-efficient service that deliverscomputing and storage capacityvirtually to end users, and whichhas caught on like wildfire in thecorporate world in recent years.Webvisions, a leader inproviding web-hosting servicesMs Poh Mui Hoon, GroupCEO of Webvisions“Cloudcomputing givesyou the flexibility tostretch or contractyour compute orstorage services.If you have a bigproject and requirean increase incompute power onlyfor six months, withthe cloud, you don’thave to make a bigcapital investment tocater to that.”
to companies in the region, is nowtaking the lead in offering cloudservices to its base of customersthroughout the Asia-Pacific.Focus on core businessWhile many multinationals andlarge local companies have adoptedthe cloud concept, the challengenow is to convince smaller firmsof the technology’s benefits, saidMs Poh, who took over the reinsof Webvisions in January after aneight-year stint as CEO of electronicpaymentfirm NETS.Small and medium enterprises(SMEs) would be better servedoutsourcing their IT functionsthrough the cloud to a third party,freeing up valuable resources toconcentrate on their core businessactivities.What can cloudcomputing do foryour business?Cloud computing involvesdelivering computing and storageservices virtually to businesses.The nature of the service meansbusinesses can save on investingin costly physical IT infrastructure,while capacity is easily scalableaccording to a user’s needs.For example, an e-commercebusiness which consists of twoservers may require an additionaltwo servers to handle the load of anew product launch in a particularmonth.Using the cloud, the companycan purchase CPU, RAM and otherresources equivalent to thoseadditional two servers for the monthof the product launch.Cloud computing offers SMEsthe availability of enterprise-classinfrastructure – including servers,routers and firewalls – without theneed to fund the required capitalexpenditure. You pay only for theadditional resources when youneed it, thus reducing your totaloperational costs.“Mid-tier companiescan derive a lot ofbenefits from thecloud, because theirfinances don’t allowthem to make bigcapital expenditureson IT infrastructure ormanpower. They alsohave a harder timeattracting IT talent,”said Ms Poh.“Cloud computingallows them to focuson their core business,which is where their competitiveadvantage is.”She related the story of a clientwho had decided to develop itsown human resource (HR) systemin-house, a decision which meantit was spending less time selling itsown services.“My question to the client was:What’s so unique about your HRportal that you can’t outsource to apartner? Doing so would makethings easier for the firm,” she said.Education is keyMs Poh’s aim now is to spread theword to a larger segment of SMEswho have yet to experience thebenefits of doing business throughthe cloud. The key is to changemindsets among less tech-savvyCEOs through more education– something Webvisions is wellplaced to do.While the company’s diverseclient base includes multinationalslike DHL, Microsoft and Johnson &Johnson, it has also been providingits web-hosting and related servicesto SMEs in the region since itsinception two decades ago.Currently, it operatesin seven markets in the Asia-Pacific: <strong>Singapore</strong>, India, Malaysia,Hong Kong, New Zealand,Australia and China.“The challenge is to make(SMEs) understand what thetechnology can do for them. Theconcept of the cloud is not veryclear to them. There is also the issueof overcoming concerns regardingsecurity,” she said.Ironically, the company’s physicalWEBVISIONSLeader in providing webhostingservices to companiesin the following markets:SINGAPOREINDIACHINAHONG KONGAUSTRALIANEW ZEALANDMALAYSIAMultinational clients include:MICROSOFTDHLJOHNSON & JOHNSONThe company plans toboost its cloud offering by makingmore applications availableto its customers through itsvirtual platform.presence in these markets gives it anedge over rivals in a business thatthrives on being virtual.Webvisions’ proximity to itscustomers means being able torespond to their needs quicklyas well as in a manner they arecomfortable with.“We are regional but we alsounderstand the nuances of eachcountry we operate in. You aretalking to staff who are culturallydiverse enough to be able to handleclients’ needs,” she said.In the longer term, the companyis looking to boost its cloud offeringby making more applicationsavailable to its customers throughthis virtual platform. This involvesbringing more partners on boardto develop applications, such as HRsystems and productivity suitesthat would continue to extendWebvisions’ value offerings.“Cloud computing is anevolution from our hosting-servicesbackground. It gives us a newcapability of helping and supportingour clients,” said Ms Poh. •25