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CFO Research Report: The Business Value of Cloud Computing

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In May 2012, CFO Research conducted a survey among senior finance executives at large U.S. companies to examine their views on the business value of cloud computing, as well as their plans and priorities for adopting cloud-based systems in the years ahead.  This report presents the findings from interviews with 310 financial executives across 15 industries.

Reading this report, you will learn:

  • Key motivators driving the move to cloud computing
  • How CFOs view the business advantages of cloud computing
  • How real experiences with cloud computing compare with expectations
  • Which factors CFOs see as the greatest barriers to cloud adoption
  • The role of employee performance in cloud computing decisions

Where is Your Cloud Bandwidth Bottleneck?

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When speaking with companies and schools about moving to cloud solutions like Google Apps and Google Cloud Storage, we are often asked about bandwidth demands.  Many organizations worry that their current Internet connections are not sufficient for cloud computing.  While most organizations already have more than enough Internet bandwidth, they may still have performance bottlenecks from their internal network.

Many small and mid-size enterprises make infrastructure decisions, electing to save money with consumer grade and so-called “SMB” products.  In many instances, these products are not designed to handle business traffic.

WiFi Access Points: Low-end WiFi Access Points, or WAPs, are not designed for a large number, or large traffic, connections.  While these devices claim they can support dozens of devices, the reality is that their antennae systems, channel management, and software are not up  to the task.  These devices can bog down with collisions, reducing the effective bandwidth to near zero with as few as 5 or 10 active users.

Switches and Hubs: The same load considerations exist for low-end switches and hubs, particularly those with slower back-planes and less memory.  Traffic bursts can overload these devices, creating “collisions” that slow down your network.

Routers: Many entry level and SMB routers do not have the processor or back-plane speed needed to meet the traffic demands for today’s network.  The router between your network and the Internet needs to be fast, with the ability to buffer traffic, and provide network services.  While changing to cloud solutions may not dramatically alter the amount of traffic, it changes the pattern.  An underpowered router can slow traffic like a broken toll booth gate.

For most small and mid-size businesses, network performance planning for cloud solutions should start at the ends and work towards the middle.  Look at your Direct Internet Access capacity and your WiFi and move inwards to the router, hubs, and switches.  A well planned network will improve performance, reliability, and productivity.

 

 

3 Non-IT Benefits of Google Apps

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When most companies consider moving to cloud computing solutions, in general, and Google Apps, in particular, the decision making process is often IT-centric.  Decision makers focus on the features, cost, and impact of the change.

While not surprising, the decision should really be business-centric.

What value will moving to Google-Apps bring to the business, beyond the direct impact on IT?

In a recent Executive Briefing, we presented answers based on a formal study of more than 100 companies that switched to Google Apps for Business.  Here are three of the highlights:

1) Individual worker productivity gains of 5% to 25%

2) Sales increases of 1% to 4%

3) Travel expenses drop by 5% to 18%

While features, reliability, and cost are all reasons to look at changing technologies, the business benefits should guide the decision process.


Google Drive or Overdrive?

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As more organizations expand their use of Google Apps beyond email into file services, the question of how to best use Google Drive becomes important.  In a previous post, we compared centralized versus distributed use of additional storage.

For many organizations, the question remains as to how best to integrate Google Drive andGoogle Drive Additional Storage with existing, legacy apps on servers and client systems.  Beyond whether or not MS Office stays around, companies often have other systems that run locally using local disk or network drives.

The Google Drive client provides and easy, free, means to sync local data storage with Google Drive and Storage.  The utility, however, has a few limitations:

  • Synchronization of files happens between the My Drive hierarchy in the Google Apps Cloud and a local “Google Drive” folder.  While you can select where the “Google Drive” folder lives, you cannot map existing folders.
  • Users must know where to find and save documents they want synchronized between local disk space and Google Drive.
  • You cannot select specific folders in Google Drive to synchronize down to the client.
  • If a folder is “shared with” a user in Google Drive, the user needs to “move” it under “My Drive” for it to sync to their local disk.

While not a reason to avoid using Google Apps as a file service, using the Google Drive client limits how you deploy your solution and creates some training elements.

Our recommendation is to create a file service using Google Drive that keeps the look and feel of a traditional file service for the end users.   Doing so mitigates training and migration issues and avoids a range of technical issues related to supporting legacy applications.

Look for a solution that offers:

  • A server-specific synchronization tool that does not interfere with existing drive mappings and/or shared network folders.
  • The ability to specify specific folders in Google Drive and/or locally for synchronization.
  • The ability to provide gateway access to cloud-only storage that looks and feels like traditional network disk space.
  • Client applications that run on Windows, Mac, and popular smart phone platforms.
  • That can connect to multiple cloud storage solutions, giving you flexibility in how you configure primary, secondary, and/or archive storage.

While you may spend a few dollars per user per year to get the environment you want, you will see returns.  You should be able to extend the life or retire existing server hardware. With direct access to files, you should be able to reduce (or eliminate) your remote access solutions and/or VPN services, thereby reducing administration, licensing, and support costs.  And best of all, improved collaboration and secure access to information means better productivity for your team and better business results.

 

 

Do Your IT Choices Help or Hurt Your Ability to Hire the Best Talent?

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When you think of your IT decisions, you probably think of features, functions, cost, operations, and, hopefully, how well your IT decisions support your business goals and objectives.

Have you, however, ever considered if your IT decisions impact your ability to hire the best talent? Just like your reputation as an employer, office space, and benefits package make an impression on prospective employees, so does your IT.

Case in Point: Blackberry.  As recently as two years ago, most companies picked a carrier, a few models of phones, and provided them to employees.  Blackberry was on top.  With the rapid expansion of smartphone capabilities, a growing number of employees chose to opt-out of the company option and use their personal device.  Businesses obliged and “Bring Your Own Device” is becoming the norm (as are Android and IOS devices).  After all, why limit your employees to a lesser solution that makes them less productive?

Why would a potential employee want to work at a company where the technology is a step backward?

With the adoption rate of cloud computing solutions, such as Google Apps, at universities, high schools, and even grade and middle schools exploding, your future employees are already used to working in an IT environment that enables communication and collaboration in ways traditional in-house systems cannot.

The people you want to hire already …

  • Use on-line and real-time collaboration.
  • Expect secure access to information from any device they choose, wherever they are working, without the headaches and challenges of VPNs and remote desktop solutions.
  • Take advantage of integrated communication services.
  • Expect constant improvements in the IT services they use.

So when the people you want to hire walk into your business, what do they see?  Do they see the dynamic, responsive, IT infrastructure that they know and love?  Or, do they see reliance on centralized information silos, collaboration via email attachments, limited access to information and their peers, and an environment that only sees improvements every three to five years?

As you plan your next round of IT upgrades and changes, avoid inertia and look beyond the next version of the status quo.  Look at IT solutions that can fundamentally change and improve the ability of your knowledge workers to communicate and collaborate — to use their knowledge.  Look at IT solutions that scale as your business evolves.  Look at IT solutions that give your business the power of continuous innovation.

Look at Cloud Computing.  Look at Google Apps.

Gerry Gross Joins Cumulus Global for North American Cloud Sales

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Boston, MA – June 12, 2012 – Cumulus Global announced today the addition of Gerry Gross to its North American Cloud Sales team. Gerry will help small and mid-size businesses, schools, and local governments move from in-house or hosted technologies to cloud-based solutions.

“We are excited to have Gerry on the team,” noted Allen Falcon, CEO of Cumulus Global. “Gerry’s background delivering wireless services to small businesses gives him a unique understanding of remote and mobile computing — a key factor for many businesses considering cloud computing.”

Prior to joining Cumulus Global, Gerry owned and operated several Verizon Wilress stores in Central Massachusetts and served as a sales and business development executive for a regional B2B Verizon Wireless representative. Moving beyond consumer sales and service, Gerry focused on serving the needs of small and mid-size businesses with an emphasis on solutions and customer service.

Friday Thought: Google Drive – Yield Before Your Leap

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Google (finally) announced and began releasing Google Drive.  For those not in the know, Google Drive is cloud storage available as a stand-alone service or as a component of Google Apps.  The stand-alone version included 5GB of storage for free with affordable plans for more space — a direct competitive threat to services like Dropbox and Box.  Both versions include sync clients for PCs, MACs, and iPhone/iPad that give you standard desktop/folder access to your data in the cloud.

Google Drive for Business

Google Drive for Business is a new component to Google Apps for Business that will roll out to customers over the next several weeks.  While the business version shares the device sync tool with the consumer version, it offers much more to the business customer:

  • Control over which users can use the service and which users can download and use the sync clients.
  • Control over which, if any, users can purchase additional storage independently
  • The ability to centrally purchase storage and allocate storage to users as needed

Benefits

  • You can now more easily use and integrate Google Docs as your file service; users can more easily collaborate and share information.
  • Users can work locally using their current desktop applications and files will be saved and shared in their Google Docs folders.
  • Users can have secure access to files from computers, tablets, and smart phones without the overhead of a VPN service.
  • Storage for uploaded or sync’d files in “native” formats has increased to 5 GB per user.

Challenges

  • Unlike an on-premise file server, Google Drive does not lock open files.  While you have version tracking, if two individuals are locally editing the same file, the most recent copy to sync will be the current version.
  • Users may quickly fill up their 5GB of space; additional storage is affordable.
  • Because sharing is easy, businesses should have policies and processes in place to oversee and manage permissions.

Deployment Strategy

In our experience, your Google Drive deployment strategy will focus on how you decide to manage your storage.  While nice, 5 GB per user will not be sufficient for most businesses, particularly since the space is user-specific.  Adding space is affordable, and will be necessary.

When you add space to Google Docs and Drives, you are actually subscribing to the additional space on a per user basis.  Licenses range in size from 20 GB to 16 TB at a monthly cost of $0.10 per GB or less (with no bandwidth and get/put charges).  While this strategy works, it will require monitoring space usage on a per user basis.

Another approach is to add a user account to serve as your file service.  In doing so, you purchase additional storage only for this “user” and configure the space along the lines of a traditional file server.  You have the freedom to create and share your top level folders and folder trees, and users will be able to see the file service as “Shared with Me”.  Users can then move folders to “My Drive” if they want the information available locally on their PC or Mac.

A central storage strategy also enables additional storage management options.  Tools like CloudLock Vault — a tool to monitor permissions and create tamper-proof and protected folders — run best when the space is owned by a generic file service administration account.

Alternatives

Almost always, there is more than one option.  As an alternative to Google Drive, tools like SyncDocs provide the ability to sync Google Docs (with or without extra storage) to a local file structure.  In some ways, SyncDocs offers a better user experience.  SyncDocs has more options with respect to folder location, the ability to select which Google Doc folders to sync locally, and the ability to specify conversion preferences.

When looking at Google Drive and its alternatives, we recommend walking through a few use cases to see which piece of software best meets your needs.

Conclusion

Google Drive, combined with Google Docs and additional space, provides Google Apps users with more opportunity to simplify file services.  Moving file services to the cloud is a logical next step for many businesses, as it can further reduce and simplify your IT footprint well beyond replacing a file server.  The need for VPN and expensive remote access servers can be greatly reduced or eliminated.

If you want to learn more or join us for a demo, please let us know.

 

Cumulus Global to Host Cloud Solutions Showcase at CT Business Expo

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Cumulus Global announced today their sponsorship of the Cloud Solutions Showcase at the Connecticut Business Expo on June 7th at the Connecticut Convention Center. The showcase will feature two additional educational sessions designed for small and mid-sized businesses considering if, when, or how to take advantage of cloud computing.

The first session, Cloud Strategies and Tactics, running at 3:00 pm, will discuss how, when, and why moving to cloud computing is worthwhile for small and mid-size businesses. The session will discuss strategic versus tactical solutions and will help attendees define a road map.

The second session, Real Business Value from Cloud Computing and Google Apps, running at 4:00 pm, will present research covering tangible benefits of cloud computing that extend beyond the typical hardware and software considerations, including Teamwork, Innovation, Mobility, Acquisitions, and Total Cost of Ownership.

Both sessions will include demonstrations of some of the business-enabling features of Google Apps for Business and related cloud computing solutions..

“I am honored and excited to be part of the Cloud Solutions Showcase,” added Allen Falcon, CEO of Cumulus Global. “I look forward to providing small and mid-size businesses real ideas, options, and plans for cloud computing. We want business owners and IT managers to see beyond the hype, to understand the values and the risks.”

The Cloud Solutions Showcase is hosted by Cumulus Global. Business Expo attendees may register for one or both of the sessions at no cost on the CT Business Expo web site (www.ctbexpo.com) or from the individual event entries on Cumulus Global’s event calendar at http://www.cumulusglobal.com/news-and-events.php.

About Cumulus Global

Cumulus Global (http://www.cumulusglobal.com), formerly Horizon Info Services, is a Google Apps Premier SMB Reseller helping small and mid-size businesses, non-profits, governments, and educational institutions thrive by delivering cloud computing solutions. Serving clients from 1 to more than 1,000 employees across numerous industries, we align technology with our clients’ goals, objectives, and bottom lines. We leverage our expertise, vendor relationships, and a diversified range of best-of-breed cloud services to create custom solutions with tangible value.

As a member of the Google Apps Reseller Program, Cumulus Global leverages training, support, and tools from Google to best serve the needs of its customers.

Allen Falcon Comments on Role of Distributors in Cloud Channel

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Allen Falcon, CEO of Cumulus Global, is quoted in the January 2012 cover story for CRN discussing the role of distributors in Cloud Computing marketplace.

Friday Thought: Building a Cloud File Service

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For many of the companies, non-profits, school systems, and local governments we work with, the desire to use the cloud is expanding beyond email and calendar.  These organizations are looking to move some or all of their file services into the cloud as well.

Motivation:

While the initial motivation is often to improve access to and sharing of information on projects, or in general, the planning process often reveals a greater value proposition. These secondary benefits derive from giving users direct access to data, and include, but are not limited to:

  • Reduced need for SSL VPN services and/or remote access, desktop, or virtual desktop solutions, resulting in lower hardware, software, networking, and support costs.
  • Reduced need for site-to-site links, enabling organizations to replace expensive point-to-point WAN links and MPLS networks with much less costly direct Internet access links.
  • Improved access to information from tablets and smart phones.
  • Reduced backup/restore costs, as physical infrastructure and in-house administration is replaced by cloud-to-cloud data protection services.

In short, cloud file services provide better user access to information, a simpler IT infrastructure, and lower costs.

Ecosystem

Many services exist to provide cloud-based file services and organizations are best off if they  review their needs before making a selection.  Beyond methods of accessing the service, be sure to review your permissions/security requirements with the features and function of the service.

Building a file service also means having the necessary components to ensure a robust ecosystem.

  • Affordable storage purchased as used or in flexible blocks
  • Drive letter access (DLA) or Network Place access from Windows desktops
  • Drive type access from Mac desktops, if needed
  • Access from mobile devices, including smart phones and tablets
  • Ability to integrate user identity with your LDAP, Active Directory, or SSO service
  • Availability of cloud-to-cloud backup/restore services
  • Encryption of data at rest and in transit
  • Ability to set permissions in accordance with your business needs, policies, and procedures

Execution

Moving to a cloud file service starts with understanding your requirements and the impact of the change on your computing environment and your end users.  Which aspects of the ecosystem do you need/want?  How will the change effect the user experience?  How will a new file service fit in with your other cloud solutions?  With an understanding of requirements, you can better match your needs to the available solutions and map out a migration that minimizes risk and enhances the benefits of the move.