Large companies discover benefits of logistics Cloud Computing as credit crunch hits IT budgets

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It comes as no surprise to discover that companies in most sectors and of most sizes are cutting their IT budgets in the face of the current financial crisis.  But many are stealing a march on their competitors by achieving the seemingly impossible achieving higher quality and standards in their IT systems at the same time as reducing budgets!

A major report produced this month by Ernst & Young, Opportunities in Adversity,  says that more than half of companies surveyed had reduced their IT spend and more than half were reducing supply chain costs.

Piyush Shah, CEO of Deltion said This confirms what we have been witnessing, but smart companies realise that information technology in their supply chains is absolutely critical.  They simply cannot afford to fall behind the competition.

Software as a Service`(SaaS), also referred to as Cloud Computing, allows organisations to get the best of both worlds. Really interesting is the fact that large companies, who have been sitting on the fence when it comes to deploying SaaS solutions are now seeing the benefits of maximising their reduced IT budgets by implementing web based solutions.

CarrierNetOnline (CNO), Deltions SaaS logistics management solution, offers not only a no capital expenditure, pay as you use service but also enables companies to reduce overall operating costs, increase efficiency and improve customer service Mr Shah added. CNO allows you to manage and compare logistics sub-contractors costs and performance and by giving 24 x 7 visibility of any problems which arise, real time event management means customer service is significantly improved.

We are currently implementing CarrierNetOnline in several of the largest companies in Britain, including fmcg and food manufacturing; 3PL logistics, parcels and building products. This is in addition to our base of middle market users.

One of the major benefits which the current financial crisis has brought home to CarrierNetOnline users is the fact that as logistics transactions fall due to market conditions, the cost of using the system falls in line with the market impact.  This is a feature which is exclusive to Cloud Computing applications Mr. Shah said.

 

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