First of all, you would not be alone nor considered ignorant if you had no idea what the "cloud" is. The concept of putting mission critical applications / technologies in a secure, centralized data center is nothing new. What has changed however is the approach that providers are taking and the "as a service" model has revolutionized the way companies procure the technology they need to stay competitive. For now, let us examine the "old" way of doing things vs. the "new" way to help gain clarity on what this whole "cloud" thing is really about:
The Old Way
- Servers are kept on-premise, usually in a company's server or telco room
- Company server rooms typically lack redundant power, proper climate control or sophisticated security measures
- Servers are managed by internal staff or a third-party that is off-site.
- PCs have software and operating systems that are local to the machine
- PC problems are usually require IT staff to fix them on-site which can be inefficient and create a loss of employee productivity
- PBX (phone system) is kept on-premise, usually in a company's server or telco room
- PBX requires a vendor contract and either an internal staff member or a third-party is required to perform adds / moves / changes
- Loss of phone service or power means downtime resulting in incoming calls hearing a busy signal
- New hardware needs to be purchased every 3 years (servers) and 5-7 years (phone)
- Technology obsolescence begins the day of purchase
- Costs are typically CAPEX and harder to budget
The New Way (using "the cloud")
- Servers are moved into a data center or "virtualized" in a data center, which has redundant power, proper climate control and physical security measures
- Server resources are provided "as a service" and resources are scalable to meet current needs
- Company's cede control of hardware maintenance to the cloud provider but can retain control of their proprietary data / software environment.
- Company's employees can utilize a "virtual desktop" environment, whereby they greatly reduce the dependence on their PC which leads to less downtime
- Virtual desktop is still managed by the company's IT professionals but can be done so in a centralized way that leads to more proactive efforts and less "break/fix" activity
- PBX functionality is moved into the data center and provided on a "hosted" basis
- Loss of local power or connectivity does not lead to incoming busy signals. Calls can be routed anywhere from the hosted provider leading to better disaster recovery planning / continuity options
- Technology obsolescence is non-existent in the cloud, as features improve the provider pushes those improvements to their customers.
- Costs are moved from CAPEX to OPEX
If it hasn't struck you already, it would appear that the new way improves up-time, performance and is ultimately a lower total cost, especially when considering the reduction in lost business from downtime. So what's the catch? The new way puts a lot more control in the hands of the cloud provider. They're responsible for so much of what you depend upon to conduct business. Not all cloud providers are created equal and the devil is truly in the details.
It may also surprise you to learn that bigger companies have been creating their own "cloud" for decades which is why this is not truly a new concept. The recent cloud revolution is really a result of making the benefits of centralized computing / communications available to businesses in the mid-market category. This helps level the playing field and gives the companies that aren't Fortune 100 a competitive advantage that is otherwise reserved for those who have the economy of scale to afford the infrastructure.
There are some reasons why the cloud might not make sense for you. You may have concerns about how your data is stored and the security that surrounds that data. You may need to continue to keep your servers at your premise because of connectivity issues. Cloud computing works for most, but not all PC users and you may have a few unique situations that need to be examined. When it comes to cloud communications, there are so many reasons to put that into the cloud (and so very few not to) and that is a topic we'll explore in great detail in future posts.
Our message to you is a simple one,it is definitely worth your time to take a look at the "cloud," The improvements it can offer your business are transformative and we've only scratched the surface on that in this post. On the flip side, it requires a cautious examination and is not something to jump head first into without going through a proper evaluation. Your business is unique so let someone who understands the technology help you figure out if it is right for you.