Research: Outsourced Data Center, Key To Business Profitability

With the current downturn in the economy, it has been observed that one of the sure ways of

keeping afloat, and ensuring future profitability by companies, is to master the delicate balance

between cutting costs to survive today and investing to grow tomorrow. Multi-pronged strategy is

believed to be the best approach to surviving a recession and growing stronger into the future.

According to a survey by the Harvard Business Review (HBR), companies that deploy a specific

combination of conservative and progressive strategies have the highest probability of about 37

percent of breaking away from the pack. These companies reduce costs selectively by focusing more

on operational efficiency than their rivals do, even as they invest comprehensively in the future by

spending on marketing, Research and Development (R&D), and new assets.

Data Center

Highlighting some of the proactive approaches, West Africa’s leading connectivity and Data Center

services company, MainOne notes that managers must aim at achieving the right balance between

the technologies they want and the ones they need.

MainOne has outlined some of the ways outsourced data center and cloud services have helped

their clients to maintain long term profitability, noting that adopting digital technologies is a cost

effective strategy to optimize processes and drive new and improved measurable business results.

It points to outsourced Data Center and Cloud services avenues to speeds up a company’s time to

market and improves service delivery.

“Companies can be reassured that their data is protected according to the highest standards thus

minimizing their risk. Leading enterprise businesses in Nigeria have confirmed how MainOne’s data

center service has helped reduce their operational and capital expenses while enhancing flexibility

and agility.”

The Harvard Business Review survey further pointed out that for companies in Nigeria currently

battling the recession, the challenges are slowing sales and reducing earnings due to spiralling costs

from high inflation and forex rates. It noted that businesses may have had to reduce or halt spending

totally to manage cash flows. The HBR survey however, recommended that companies should

seriously look into outsourcing their Data Centers and Cloud solutions to come out of the recession

stronger.

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