Empowering MSMEs with News & Insights

Just 2% MSMEs aware of cloud computing; data security remains cause for concern

Updated: Nov 05, 2013 05:42:58pm
image
New Delhi, Nov 5 (KNN) Only 2 per cent of micro small and medium enterprises (MSMEs) are aware of 'Cloud Computing' and only 4 per cent of them have adopted cloud services, according to a study.

The study 'Adoption of Cloud in MSMEs' was conducted recently by IMRB (Indian Market Research Bureau) and the Confederation of Indian Industry (CII).  CII-IMRB research paper documents the adoption of the Cloud services in India by MSMEs, trends observed in this space and the process that MSMEs should follow for selecting the right vendors for Cloud Services.

According to the study, MSMEs look at the cloud as an innovative concept, but have concerns around data security, especially in businesses like IT/ITES and banking, financial services and insurance; and therefore further enabling environment and awareness needs to be built.


This becomes more predominant when we look at the SMEs who work on customer data or have sensitive data that they would not want their competitors to have access to like IT, BFSI, Education or those who may not have dedicated IT personnel.

The study also reveals that the MSMEs in the top 4 cities are more aware about cloud computing due to higher exposures, thus are also more open to adopting technology for their business and do not mind paying a premium to get the best of breed solution for themselves.

It recommends five steps that MSMEs should take for cloud adoption- adopt public cloud based web hosting services; evaluate the Cloud Services for a short period of Time; migrate email and collaboration services; evaluate the services and vendor; and migrate non-mission critical data to Public Cloud.

Technical Operational data which is non-sensitive in nature is the most common operation amongst MSMEs that has moved on the cloud.  HR related data has also been moved on cloud among MSMEs with 1-10 employees.

The CII-IMRB study involved face-to-face interviews with over 8,000 respondents across 22 cities in India. The respondents were primarily IT decision makers or those responsible for the IT function in the organisation.

The research discussed in-depth questions pertaining to Cloud services perception among MSMEs, Adoption of Cloud services, Challenges and Solutions as a part of the study. (KNN/SD)

COMMENTS

    Be first to give your comments.

LEAVE A REPLY

Required fields are marked *