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Cloud Services versus Physical Services

June 10, 2020
Categories
  • Security
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Whether you have a firm rooted business or you are an emerging one, the question of cloud services verses owning your own servers is always on the table for discussion.

Planning to start a business? This should be phase 1 of planning and implementation. Have a successful multi generational business? Innovation and development are the key to keeping up with success in today’s rapidly changing world.

At first glance this seems fairly self-explanatory. One is virtual space that is hosted by a provider and the other is your physical hardware. What is best for your business?

Let us go through some of the key factors in making this decision.

 
 
 
 

Let’s start with pros and cons.

Physical ServerCloud Services
Pro’s
  • Your team always has full access and control to your servers
  • Your staff can fully customize and configure the server to your specifications and business requirements.
  • Lesser upfront costs as there is no hardware purchase
  • Potential lower lifetime cost for configuration and maintenance
  • Flexible storage space – allows for growth
  • Shared security – ability to leverage the hosts security measures
  • Lesser need for in-house resources
  • Reduced environmental footprint of your organization
Cons’s
  • CAPEX costs and Depreciation model
  • Resources need for setup, configuration and maintenance and ongoing support
  • New tools may require additional services may be required for configuration
  • Hardware and software end of life – Replacement (XP, Windows 7, Windows NT, etc)
  • Storage capacity is limited
  • OPEX cost model
  • Older applications may not be compatible
  • New tools may require additional services may be required for configuration
 
 

Moving to the cloud? – Welcome to the 21st century business! With cloud computing you can expand your business beyond the bricks and mortar. With our business environment changing day by day it is imperative to be adaptable and current in a flash. Once you have your cloud services in in place you will be up for the challenge.

 
 

Key points!

Budget

  • Your cost model will likely change. Consider the shift in your capitol expense to operational expense

Compliance needs

  • Understand what your specific needs are for compliance in your sector and retain experts who fully understand

Risk

  • With current knowledge and expert support your risk is to exposure is minimal

Staffing

  • High level expertise in house requirements may change, consider shifting your workforce to a focus on innovation and development

Storage space

  • This is flexible for your business growth and change

Community need

  • Become accessible to the greater community 24/7

Security

  • Take advantage of all the cloud security services/solutions that are available at an average cost of $10,000 annually
 

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