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Slide 1: HOW CAN SMALL AND MID-SIZED BUSINESSES TAKE ADVANTAGE OF CLOUD COMPUTING? Page 1 300 W. Route 38, Moorestown, NJ 08057 800-496-8001 | www.milestechnologies.com This white paper was written by and is the property of Miles Technologies, Inc.
Slide 2: HOW CAN SMALL AND MID-SIZED BUSINESSES TAKE ADVANTAGE OF CLOUD COMPUTING? Page 2 I t’s challenging to read any technical or business related publication without seeing a reference to Cloud Computing. It sounds compelling, but to appreciate Cloud Computing, businesses must understand the value and the potential benefits. The challenge that exists for small and mid-market businesses is finding someone that understands all of this Cloud Computing language. Small businesses in particular are too busy with day to day operations to dedicate staff members to understanding trends in computing technology. After all, businesses will run most effectively when they focus on what they do best. In order to explain Cloud Computing, let’s start with an analogy to electricity. A long time ago, businesses that required electricity purchased, maintained and managed their own electricity generators. Substantial capital expenditures were required to acquire this equipment, and significant ongoing expenses were necessary to maintain the equipment. In the early 20th century, along came electricity grids, which enabled utility companies to generate electricity from central locations and distribute the electricity to businesses and residents. It was a much more efficient process because utility companies could invest in the power generation equipment and charge reasonable fees to provide electricity because it was being distributed to many end users. Therefore, the equipment, the power and the costs are shared. Additionally, the end users of the electricity only paid for what they consumed, and that is still the case today. Similarly, Cloud Computing incorporates many technology functions into centralized hosting facilities. This includes the processing power of servers, data storage, backup and disaster recovery, redundancy in power and broadband internet connections, both physical and information security, as well as application functionality and database processing. Like the utility company generating and distributing electricity, these hosting facilities provide all the computing processing power and application functionality, and distribute it among many businesses. It is primarily about pooling resources in a cooperative effort and sharing those resources with many end users. 69% of online Americans use Cloud Computing—services whose functionality is located on the web—such as webmail, data storage, or online software programs Source: John B. Horrigan, Associate Director, Pew Internet and American Life Project (published September 12, 2008) We’ll address these 3 key questions in detail: 1. Can small and mid-sized businesses take advantage of Cloud Computing? 2. What are the benefits of Cloud Computing? 3. Is my information secure in a Cloud Computing environment? 300 W. Route 38, Moorestown, NJ 08057 | 800-496-8001 | www.milestechnologies.com This white paper was written by and is the property of Miles Technologies, Inc.
Slide 3: HOW CAN SMALL AND MID-SIZED BUSINESSES TAKE ADVANTAGE OF CLOUD COMPUTING? Page 3 1. Can small and mid-sized business take advantage of Cloud Computing? The key benefits of Cloud Computing are: The answer is a resounding YES! Cloud Computing is helpful for businesses of all sizes. If anything, this model of shared, centralized computing is even more beneficial for small to mid-market businesses. Cost according to use and savings because of lack of wasted resources Immediate availability Round-the-clock availability Scalability Efficiency – enterprises can focus on innovation and R&D Resiliency – sustainability through natural disasters or heavy traffic. Source: Net-Security.org (published September 25, 2009) 2. What Are The Benefits of Cloud Computing? Reduce Capital Expenditures In a Cloud Computing environment, you will not need to invest in the purchase of expensive servers and all of the software licensing costs associated with enabling your servers to function. Additionally, the need for capital expenses for onsite data center facilities, physical security for the data center, redundant power, climate control, and backup systems, is eliminated. Reduced Power Consumption By utilizing Cloud Computing, high energy-consuming equipment like always-on servers and climate control are no longer needed. These systems will typically work overtime to keep a room full of electrical equipment at the correct temperature. Save Physical Space The need for less office space is a result of not having a physical space or room dedicated to data center/server room operations. This can provide cost savings and/or added efficiency. This can also provide the opportunity for a business to expand without purchasing or leasing a larger space. Reduced Ongoing Support & Maintenance Costs With less software, computer and network equipment under your roof, you will spend significantly less time and money supporting and maintaining a simplified network infrastructure. Whether a business has internal IT staff or outsourced network administration and support, this translates into ongoing cost savings. 300 W. Route 38, Moorestown, NJ 08057 | 800-496-8001 | www.milestechnologies.com This white paper was written by and is the property of Miles Technologies, Inc.
Slide 4: HOW CAN SMALL AND MID-SIZED BUSINESSES TAKE ADVANTAGE OF CLOUD COMPUTING? Page 4 2. What Are The Benefits of Cloud Computing? cont’d Take Advantage of the Latest Technologies A top-notch Cloud Computing service provider will continue to invest in updated server technologies, network technology, power redundancy, data redundancy, and software. These ongoing investments by the service provider enable end users to benefit from utilizing the latest technologies without having to incur the associated expenses. Ability to Access Applications and Data from Anywhere Cloud Computing can make it easy for businesses to access their applications and data from any computing device (to include handhelds, tablets and thin clients) that is connected to the internet. This portability in use of the company’s applications and data enable the mobile workers, remote office workers, home office workers and even the vacationing executive to easily and quickly access the systems they need. Consider the productivity boost this benefit could provide to your business. More Time to Focus on Running Your Business! Unless a business is providing IT services, its mission and objectives most likely never included focusing on servers, backup systems and data centers. The value in any business is directly related to its ability to deliver its products and services to its customers. The value in the personnel of small and mid-sized businesses is their ability to deliver the products and services. By utilizing Cloud Computing, any business can free up the valuable time of their personnel to do what they do best! 1. Ease of use 2. Convenience The two major reasons why internet users that have performed a Cloud Computing activity use Cloud Services Source: John B. Horrigan, Associate Director, Pew Internet and American Life Project (published September 12, 2008) 300 W. Route 38, Moorestown, NJ 08057 | 800-496-8001 | www.milestechnologies.com This white paper was written by and is the property of Miles Technologies, Inc.
Slide 5: HOW CAN SMALL AND MID-SIZED BUSINESSES TAKE ADVANTAGE OF CLOUD COMPUTING? Positive insights to the increased use and implementation of Cloud Computing services in businesses Provide business continuity Provide competitive Increase computing capacity Reduce IT CAPEX in favor of Control/improve profit Solution can be accessed… Limited requirement for… Reduce implementation time Offload Enable flexibility/scalability Add redundancy Customer lack of knowledge Page 5 Diversify IT systems 57.3% 51.8% 51.4% 50.9% 50.5% 49.5% 48.2% 47.3% 40.9% 35.5% 35.5% 31.8% 25.0% Forty-one percent of Cloud users like being able to access their information from whatever computer they’re using Source: John B. Horrigan, Associate Director, Pew Internet and American Life Project (published September 12, 2008) Source: Institute for Partner Education & Development (published 2010) 3. Is my information secure in a Cloud Computing environment? The simple answer is yes. Cloud Computing is structured in segmented environments. Essentially, it’s like having multiple, separate networks running within the hosting facility. Each network has secured access just as the network in an office does. Cloud service providers can have varying levels of servicing offerings and of physical and network security. Thoroughly researching potential Cloud service providers is essential to finding a suite of services and security that best satisfies the needs of your business. 300 W. Route 38, Moorestown, NJ 08057 | 800-496-8001 | www.milestechnologies.com This white paper was written by and is the property of Miles Technologies, Inc.
Slide 6: HOW CAN SMALL AND MID-SIZED BUSINESSES TAKE ADVANTAGE OF CLOUD COMPUTING? When interviewing potential Cloud Computing service providers, be sure to ask the following questions: Page 6 • Do you guarantee a certain level of uptime in your SLA (Service Level Agreement)? • What type of recourse or remedy do I have if that guarantee is not met? • Are my applications and data stored in a secure facility? • What types of network security measures are utilized in your Cloud environment? • What types of backup are included with the service? • Are the backups stored off-site? • Does your facility have redundancy in internet connectivity and electrical power as well as servers and network equipment, such as switches and routers? • What are the details of your disaster recovery plan? IT execs cited three core benefits of using a Cloud Computing activity: The ability to pay for just what you need, the option to pay as you go, and the potential to shift IT headcount and expenses to the Cloudservice provider. Source: Lance Whitney, Journalist, IT Consultant, Web Developer (published January 21, 2010) By gathering the information above from potential Cloud service providers, you put yourself in a position to make a wise decision in utilizing Cloud Computing services. The increased use of cloud computing technologies has created a new era of business computing. Fortunately, this era brings with it many advantages, specifically in the efficiencies it provides, which are particularly poignant given today’s economic struggles. Cloud computing allows businesses of all sizes to harness computing power that was previously available only to very large, wealthy corporations. Small and mid-size businesses are now able to save money and narrow the playing field between themselves and their larger competitors with regard to technological capabilities. By seizing Cloud Computing opportunities,businesses give themselves an edge in a highly competitive marketplace where customers are demanding better products and services, faster delivery and lower prices. 300 W. Route 38, Moorestown, NJ 08057 | 800-496-8001 | www.milestechnologies.com This white paper was written by and is the property of Miles Technologies, Inc.
Slide 7: HOW CAN SMALL AND MID-SIZED BUSINESSES TAKE ADVANTAGE OF CLOUD COMPUTING? Page 7 About Miles Technologies Founded in 1997 and headquartered in Moorestown, New Jersey, Miles Technologies is the leader in providing technology-based business solutions to small and medium-sized businesses. Miles Technologies has additional offices throughout New Jersey, New York, Pennsylvania, Maryland, Washington, D.C. and Northern Virginia. Miles Technologies provides solutions for information technology, custom software development, software selection and implementation, computer forensics, information security, online marketing and public relations, and website development. Miles Technologies houses a full-service hosting facility providing a comprehensive suite of Cloud-based services. For more information on Miles Technologies, please visit http://www.milestechnologies.com. 300 W. Route 38, Moorestown, NJ 08057 | 800-496-8001 | www.milestechnologies.com This white paper was written by and is the property of Miles Technologies, Inc.