The Role of Cloud Computing in Addressing SME Challenges in South Africa

Abstract

Cloud Computing may be viewed as a utility-based service, similar to the use of (e.g.) Electricity. The setting up of the service, management thereof, support and subsequent upgrades are performed by the CSP (Cloud Service Provider) on behalf of the user. The user subscribes to the service and pays for the computing resources that were used during the specified period. Service subscription may be across the whole technology stack from Applications, Infrastructure and Platform, and with options of how it should be deployed i.e. Privately (in-house), Community (for limited number of users), Public (consumed via internet with no dedicated firewalls) or hybrid (with both in-house and public deployments). In this paper the researchers argue that Cloud Computing can alleviate the negative impact of poor management, lack of skill, lack of funding, etc. On the success of a small or medium business. Following a literature survey on the challenges experienced by Small and Medium-sized Enterprises (SMEs), with specific focus on the most recent South African SBP, SME Growth index, 2013, we suggest how Cloud Computing may facilitate SME business growth.