If you’re a member of the C-suite at a large enterprise—perhaps a Fortune 500 company—you probably don’t spend much time thinking about your counterpart in the world of small business. After all, while you both might be the heads of your organizations, the similarities almost always end there. However, as the CEO or head of an enterprise that is trying to cut cost and expand efficiently, you might want to take a moment and start to think like a small business owner.

There’s no doubt that in today’s economy, small businesses have their work cut out for them. After securing business loans and going through the necessary steps to get from concept to grand opening, there usually isn’t much room left in the budget for almost anything. However, small businesses have found a way to make it work; in fact this year 51 percent of small businesses believe they will grow revenues by at least 20 percent.

How are they doing it, you might ask? There are a number of factors involved—as any CEO will tell you—to a business becoming more efficient and garnering success. In part, the success can be accredited to an emerging business strategy, supported by Software as a Service (SaaS).

For those who are unfamiliar with the technology, SaaS is an agreement a business enters into with a service provider, such as Microsoft, to use one of its systems on a subscription basis. One of the most powerful SaaS solutions for business is Microsoft’s SharePoint Online, a cloud-based version of their formally in-house intranet portal.

For CEOs and top level executives who are looking for ways to cut costs, SharePoint Online is a great option that can boost employee efficiency and while helping your enterprise lower its infrastructure footprint like a budding startup.

There are a number of reasons why enterprises should make the migration to SharePoint Online (and you can read our list of ten  ) but here are three ways it helps cut costs, just to give you a taste:

  • Lower infrastructure footprint: SharePoint is a robust business system that requires a lot of hardware/infrastructure. While adding SharePoint to your business is almost always a wise  move that will help streamline processes, increase collaboration and overall business function efficiency, it does—like any product or service—come with a minor setback. Your data center is now packed with servers and other equipment necessary to operate the intranet portal, and as you can imagine it can be a bit costly. With SharePoint online, the entire infrastructure is housed by Microsoft and your enterprise is given full access over it through the cloud, eliminating that cost.
  • No maintenance required: Another cost associated with housing SharePoint on-premises is maintenance cost. As with any major technology infrastructure in your enterprise, your IT department will now be charged with keeping it up and running, constantly updating it and making sure everyone in the organization that uses it, has it set to their liking. While your IT department will still have a hand in the control and function of SharePoint online, since the physical portion of the service is housed by Microsoft off-premises, your IT department’s workload will be decreased dramatically and that time can be reallocated to other important matters in your enterprise.
  • Scalability: Because SharePoint Online is a subscription based service, your enterprise can scale up when needed, and back down when appropriate. For instance, if your enterprise experiences a spike in workload during the holiday season, you can always scale your system up to meet the requirements, however with SharePoint Online you won’t be stuck with the excess when business dies down again during the slow months. That means you pay for what you need when you need it, and never have to worry about having too much or too little capacity.

SharePoint is a powerful business tool that is quickly becoming essential to any industry leader’s ability to stay on top of the heap, but it also comes with a price. However, once top level executives at enterprises begin to don the hat of a small business owner when examining the possibility of migrating to the SharePoint cloud, the decision becomes a no brainer.

To learn more about SharePoint, and the services offered here at AAJ, click here.