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When adding Information Technology hardware and software, security, back ups, power, staffing, location, installation, and capacity issues arise. Traditionally, hardware and software was added, lead times of 6 months or more were accepted, and staff was added. Alternatively, a hosted application where the hardware and software are housed securely off site may answer all the needs at a lower capital and operating cost without staff additions. |
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You have a need to fill. It may be an accounting package, e-mail system, an intranet, - or most anything else. You know that your current hardware cannot handle the new burden – yet the need has to be filled. You are faced with adding substantial hardware in addition to the application software. Accompanying this is the installation, and perhaps permanent staff additions in IT. Further complicating this is finding a suitable place to house the equipment, the continual maintenance, and the uncertain manpower needs of the business which makes it more difficult to properly size the equipment – without over sizing and perhaps overspending. Finally, what about security? If the information stored is lost, or falls into inappropriate hands what are the cost ramifications? How do you assure security – without paying substantially? The traditional choice is purchasing the hardware and software in a dedicated application at your facility. This may be the best answer, however sometimes it is just a continuation of the traditional method rather than the best solution. Oftentimes, a hosted application is overlooked when it may be the proper answer. Hosting an application entails renting or leasing the application (software) and hardware (large computers and related maintenance, upkeep, security, etc). The application, your data, and hardware are housed at the host company's site. You pay based upon the degree of use – so you pay as you use it and can add or remove capacity easily as your needs change. The hosting company provides security, back ups, emergency electricity, support personnel, maintenance, etc – and usually at a cost far lower than a dedicated application at your facility. Many times, users can reach the application from anywhere via an Internet connection and thin client (e.g. web browser, pda, etc.). Sometimes a blend of dedicated and hosted applications fit the need best. In these cases, the host or the dedicated site is used more for archive and back up – depending upon how you configure the system. Hosted applications are available for many needs. Before you spend large sums on dedicated applications, be sure to review these critical questions:
A careful review of these questions will likely guide you on the correct path. Contact E Commerce Technology, a Premier IBM Business Partner. We provide both hosted and dedicated applications – and have no internal bias when it comes to hosted vs. dedicated applications. Call today for a no cost, no obligation initial consultation. Gene Bohn |
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