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What are the benefits of cloud based system?

Published on December 22, 2021
Last modified on March 22, 2022
benefits of cloud based system

Cloud telephony plays an important role in retaining customers. It resolves most of the problems related to communication, both to the employee and the customer, with its numerous benefits. 

Its benefits span multiple aspects, all of which have been discussed here. So, keep reading to know more about how a cloud based system can benefit businesses and how to get the most out of such systems.


What is a cloud-based system?

A cloud based system or cloud computing refers to the delivery of computing services such as servers, databases, storage, networking, software, etc., over the internet. This provides the advantage of faster, flexible usage of available resources and economies of scale as you pay only for the services you use. 

Thus, a cloud based system helps run your infrastructure with high efficiency with reduced cost and provides the flexibility of scaling the resources per the business’s needs.


How to use a cloud telephony in your business?

Cloud telephony refers to the phone system connected through the internet. If you are looking to reduce the phone system cost and expect it to do more in terms of other services, then cloud telephony is the answer. The usage of cloud telephony in your business offers several advantages.

It is also termed a VOIP-based hosted PBX solution. If you are looking to expand your business, open new offices, increase the staff, cloud telephony helps make the expansion cost-effective and effortless. 

Cloud telephony works via a VOIP service provider, and you will be provided with a VOIP desk phone connected to an existing network. Alternatively, you can also use a softphone, an application installed on your phone or laptop. Thus, you are provided with a user-friendly, modern interface to establish a call within seconds. 

The business phone numbers can be controlled via an online dashboard. Call forwarding, adding new users, etc., can be done with ease compared to a traditional PBX phone.


Benefits of cloud based system

The cloud based system has created a revolution in the IT industry. It allows the creation of virtual offices, which offers the flexibility to work from anywhere and anytime. 

Below mentioned are some of the benefits of cloud based system regardless of the industry they are used in:


Reduced cost:

Budget plays a major role in start-ups and large IT companies. Implementation of a cloud based system reduces cost in several ways compared to the traditional method of operating with data.


Flexibility and speed:

Cloud based system has changed the traditional work desk policy to work from anywhere. They are also known for lightning-fast speed and better system management.


Simplified management of data:

There is no requirement for an in-house data manager to manage the data and systems as managing records is simple in a cloud based system, which also helps reduce cost and time.


Easier coordination:

Cloud based system allows experts and professionals from different time zones to work together as data is accessed and processed at run-time. Thus, the efficiency, speed, and quality of work are improved. The cloud service provider manages the complete system, including servers, databases, and network connections.


Increase in competition:

Due to reduced cost and high speed provided by implementing a cloud based system, even smaller firms can compete with larger organizations. Thus, enabling equal growth opportunities.


Information security:

Data is safe and secure in a cloud based system. Even if the machine is stolen, lost, or broken, a backup always ensures that data is always accessible online. This feature is very important as the data is very valuable for any company, resulting from a lot of time and effort.


Easy and quick implementation:

There is no usage of physical phone lines, so there is no need to wait for a technician. The cloud service provider takes the complete implementation process, who instantaneously provides you access to the online dashboard and the phone system.



As per the study, 65 percent of the bill can be saved using Cloud telephony compared to traditional phone bills. Cloud telephony does not involve restricted toll-free numbers, separate SMS service, maintenance contracts, limited calls, etc. Usage of the softphone app further reduces the money spent on physical phones.


High-end features:

The robust calling features are highly beneficial for remote teams. They come with high-definition audio and video calling quality.


Scalability and flexibility:

With the expansion in business, adding more users to the VOIP solution can be done at a click of a button and seamlessly.


High mobility:

As remote working options have increased, employees can connect easily as long as they have a good internet connection.


Resilience and reliability:

Cloud telephony comes with 99.9 percent resiliency and backup.


Simplified work with integrated communications:

Work is simplified due to a single user interface. There is no requirement to make notes on spreadsheets, post-it, or notebooks.



Best cloud-based system examples

There are many examples around us where we use a cloud based system, ranging from social media to the way we receive healthcare. 

The following are some common examples of cloud based system in usage:


  1. Gmail, Facebook, Dropbox: Data is stored in real-time, enabling easy backup. Dropbox allows accessing and storage of 1 terabyte of data. The instant messaging system is a capability of the cloud based system used by social networking sites.
  2. Financial systems and Banking: Online backup services are used by financial organizations to store important tax-related data.
  3. Healthcare: Doctors can access medical information and updates in real-time. Cloud based system in healthcare includes e-health service, personal and public health care, telemedicine, etc.
  4. Education: Several educational apps offer free-of-charge services to students and staff. E-learning is possible from anywhere and anytime at the click of a button.
  5. Government: e-Governance uses cloud-based IT services to citizens who have considerably reduced network congestion.
  6. Big data Analytics: Data scientists use a cloud based system to study data patterns, correlate, and predict, which contributes to decision making and future prediction. Hadoop is an example of this.


Above are just a few examples of cloud based system. Several other systems are using the cloud to develop their organization and keep up with the trends and needs of the times.

Related: Example of Cloud Computing



Implementing a cloud based system allows organizations to focus on their business instead of the data center. It is becoming popular day by day due to its numerous benefits. Various sectors adopt cloud systems to be on par with the rising technology and reduce costs. 

Thus, incorporating cloud in your business is an investment that allows your company to grow.

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