1 The study upon which this report is based was designed, executed and interpreted
on an independent and objective basis by Freeform Dynamics Ltd. Data was gathered via in-depth telephone interviews with 501 business and iT professionals in a european smB environment. all respondents were either responsible for, or intimately involved in, iT policy, planning and decision-making.
The latest research from symantec dispels myths about
cloud computing and talks common sense about the value
of cloud computing for small businesses.
We all feel perfectly at home tapping on our smartphones, picking up email on our tablets, skyping friends and family, organising our social life on Facebook and uploading pictures to Flickr.
Take this discussion into the office and suddenly it’s all about security, servers, data management and cost. The technology that enriches our personal life seems out of reach at work.
How are businesses getting past these roadblocks and taking the road to the cloud and all the business benefits that it promises?
Myths and Missing out
small and medium businesses (smBs) in particular are suffering because of a lack of knowledge about cloud technology. unfortunately it’s often seen as just another type of costly, cumbersome iT system, and companies who have never tried cloud software-as-a-service regularly underestimate the benefits it can bring.
Held back by misconceptions and faced with the all-too-familiar time constraints that come from building a business, many smBs are simply ‘making do’ with outdated and uncompetitive systems.
a recent study of 501 smBs1 by Freeform Dynamics and sponsored by symantec
highlights just how big the disparity in understanding is between those who actually use cloud technology and the rest.
Knowledge is power
small businesses that embrace cloud technology find it powerful and useful. Rather than replacing existing on-premise back-office systems, these companies are using the flexible and cost-effective model of cloud services to try out new, more productive ways of working. it gives them the flexibility to change, it enables remote and flexible working and it lets small business owners focus on their business rather than the technology that drives it.
Their understanding of the cloud’s benefits comes from direct experience. There is real value to be found in understanding what cloud computing is, why it’s different from the expensive iT systems you are used to, and just what exactly it is doing for small businesses right now.
you don’t have to be a geeK
For smBs, software-as-a-service (saas) is the most common form of cloud technology. Typical uses include file storage, customer relationship management, email and collaboration tools, cloud-managed anti-virus or spam filtering and web-based applications for word processing, finance or HR.
With saas, the vendor takes care of the hardware and software in their own data centre. so there’s nothing to buy, install or manage. Typically, you pay per user per month so that it is more of an operational cost than an upfront capital expense.
existing saas users Non-users
perception of value
how many people do you have on staff that are dedicated to running and supporting it systems and services?
This is where cloud computing steps in: it takes the complexity and maintenance of iT systems and deals with it for you, freeing you up to innovate and manage rather than maintain.
the headache traditional it cause Cloud computing painkiller
upfront costs
Traditional iT systems require significant capital expenditure on hardware and specialists to configure the software.
Cloud computing means no need for on-premise hardware. saas is sold as ready-to-use, so set-up costs are minimal.
maintenance onsite hardware and individually set-up software require regular and complex maintenance. With infrastructure and software outsourced to the cloud, someone else is taking care of the complexity behind the scenes for you.
expensive to scale
When you buy an onsite system you have to make it robust enough to handle growth, but not so big that you are paying for something you’ll never use. good business growth usually means expensive expansion of your infrastructure.
With cloud computing you pay for what you use. if you need more, you pay for more and it’s available to you, usually with the click of a button. No configuration or hardware costs. your iT becomes a utility that grows with you, rather than holding you back.
Capital and cash flow
iT traditionally means a big capital expenditure. Cash flow is not readily available in smBs, so any iT system represents a big investment and a big risk.
The cloud removes this hurdle and iT becomes an operating cost: a monthly fee based on usage, or number or users or capacity taken up.
Flexibility
Because traditional onsite systems are capital-intensive and time-consuming to set up, it can be difficult for small business to change their iT to match changing circumstances.
Cloud technology is much more flexible. you can get going with new services in days, scale up or down as needs change and pay for what you need.
the painKiller for business headaChes
implementing complex, on-site iT systems traditionally requires cash, time and technical expertise: all things that are in short supply in a growing business.
putting it to worK
around one in five respondents to our recent smB survey say they are already using saas in their business, and they are using it to enhance their existing iT functions rather than just replace them.
By its very nature, cloud technology lends itself to enabling remote and flexible working and increased document sharing, so it’s no wonder that the following three types of cloud services are proving the most popular amongst smBs.
•
Cloud-based email and collaboration. Rolling your emails, calendars, messaging and contacts all into one cloud-based service means working on the road, pushing out updates from the office and sharing key documents is made simple and affordable.•
Cloud-based customer relationship management tools. smBs usually rely on someone’s memory, another’s post-it note and various email contact lists to maintain customer relationships. Cloud services allow smBs to co-ordinate marketing and sales plans in a way they simply couldn’t do before and they prevent hero-syndrome where a key client relationship becomes reliant on a single person.•
Hosted security and information management. With a shift to collaboration and remote access to data, risk management and security need to follow suit. Cloud-based anti-virus, back-up and archiving help to automate and centralise iT security so that your employees benefit from the freedom of the cloud without your business being put at risk.breakdown of Cloud use and intentions among early adopters
perceived impact of handing key aspects of it-related risk management to the service provider
existing saas users Non-users
the Cloud and seCurity
Data security is often discussed as a deal-breaker when it comes to cloud computing. Well over half of the smBs we surveyed were concerned that it was a potential pitfall of using saas. Perception and reality are very different. For non-users, the cloud can feel like a security risk. However, according to users, cloud feels much safer.
Figure 4 Those with experience see the benefit of passing elements of IT risk management to providers.
you might feel safer having all your data on-premise where you can go and physically touch the box it lives in,
but an on-premise approach means putting all your eggs in one basket where they are vulnerable to natural disasters, hacks and hardware failures.
The core function of a cloud provider is to manage and maintain iT systems. They have the benefits of scale, specialism and a vested interest in implementing comprehensive security measures. in the final analysis, no small business can compete with a credible cloud provider when it comes to data security.
doing your hoMeworK
of course, as with any service or product, you need to take a little time to research who is out there, what they offer and how credible they really are. There are plenty of well-established cloud providers, so there is no need to risk going with the boundary-breakers straight away. There are, however, some key questions you should always consider when shopping around the cloud:
•
What service level agreements (sLa) do they offer?•
How do you get your data back if you decide to leave?•
How much configuration will be needed to get you up and running?•
Will the service integrate with other systems that you already have? Does it need to?•
Who is the service designed for? (Business-specific is best, and small business-specific is even better. going for a bells and whistles system could leave you paying for a lot of functionality that you’ll never use).•
What kind of relationship and on-going support do they provide?•
Where and how is your data stored (this is particularly relevant if you’re in a business that is subject to industry regulations)?syManteC and the Cloud
When it comes to iT, a lot of small businesses are simply waiting nervously in the wings and getting by with what they’ve got. Cloud computing offers them the opportunity to take centre stage, enhance their performance and really shine. The key is to understand exactly what role cloud can play, and then to choose the right providers to work behind the scenes.
symantec is a global leader in security, back-up and availability solutions. our innovative products and services protect people and information in any environment – from the smallest mobile device, to the enterprise data centre, to cloud-based systems. symantec has developed small business-specific anti-virus protection and data back-up systems that are available as cloud services. When you’re ready to move to the cloud, symantec can help you do it with confidence.
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