“The cloud computing debate is over…First of all it’s over in the public sector and government, what we focus on here, because there is no vendor, there is no integrator, there is no consultant out there who says the cloud is not the way to go. So everyone realizes that it is inevitable that the federal government, just like state and local governments, will shift to cloud platforms, cloud infrastructures, cloud applications, and that that train has left the station.”

Those quotes, from a recent CIO article, are echoing the opinions of dozens of cloud analysts. The cloud has come to government, and some states are already putting it to good use. California, for example, has switched over to cloud-based VOIP systems when they were desperate to reduce budget costs.

But we’re not here to tell you how effective the cloud is. A far more interesting story lies in how they did it.

Adopting cloud processes on a state level required a four-step strategy, and it is a plan that can ease any business into virtualization, no matter how small.

1. Create a strategy for cloud deployment

Don’t go in blind! This is something we’ve spoken about before, and something we’ll speak about again. Many companies that claim the cloud is too expensive or faulty came to that conclusion from a lack of strategy. Plan ahead, and reap the rewards.

2. Inventory what needs to be moved to the cloud

This falls in line with our ‘slow evolution’ method of cloud adoption. Rather than thrust your entire company into a virtual space in one move, first determine what needs to be moved, and when the move needs to happen.

3. Analyze process gaps, inefficiencies, and financial holes

Just because you’ve moved things onto our servers, doesn’t mean the process is over. The real rewards of cloud computing build up as we continue to monitor and adjust your needs, fine-tuning the process until gaps are closed.

4. Determine how the cloud will impact existing architecture and tech operations

When virtualizing, it is easy to overlook operations at home. Even if your cloud components are saving money in one area, you may be causing harm in others. Ensure that your overall business strategy is making the best possible use of your cloud efforts.

Does all of this sound familiar? It should. State governments are approaching the cloud the same way that Mom & Pop businesses are. We can’t think of a better example of the scalability of the cloud; can you?

While the surge in Cloud computing has generated a perception of it as technology’s latest big trend, Nelson pointed out that it’s been a long time coming. “In the past 50 years we’ve been going through revolutions in telephony and computing. When those two revolutions come together, we’re going to get a sea change in how we run our lives and operate our businesses.

“We’re just at the beginning of a new phase of Cloud; there will be more mobility, more social activity within business applications. There’s a lot going on in the Cloud. There’s a lot to talk about.”

In the attached video, Nelson describes the myriad ways that cloud computing has streamlined and democratized finance data.

These are benefits that trickle down through numerous industry verticals. The most obvious of these advantages being that any approved user can gain access to financial reports that once had to be copied and handed from department to department. This adds simplicity and security to finance operations, ensuring that fewer copies of sensitive data are created.

HALOTEQ founder Mike Goff entered cloud computing after working in financial services for 25 years, so our products were designed from the ground up with that compliance background in mind. Finance professionals can partner comfortably with HALOTEQ, knowing that our experience and professionalism in the field are working toward the safety and convenience that a financial firm needs.

Possibly the greatest oversight a business owner makes, when considering outsourcing to another country, is the fact that IT workers in China, India, or Africa are not held to the same laws and requirements that control those in the US. “Different hacking and identity theft laws apply to different countries,” explains Helium writer Eileen Eva. “This means that what can send a person to federal prison in the US might not be applicable in China. After Google, McAfee and Adobe systems lost millions in intellectual property to Chinese hackers; the US government could not hunt the hackers.”

There is also a massive risk based in the loss of your ability to easily track and monitor the standards of an outsourcing partner. Like so many other IT issues, this is a problem that business owners would rather not think about. As an owner, you ensure that all of your company’s employees meet certain standards. You would expect that any company would do the same. The reality is, many offshore IT solutions will not be held to your standards, or even standards close to what you would expect. The potential for catastrophe is high, and you may soon find that your quick cost-saving move has now left you with lost customers, government fines, and worse.

Haloteq can bring better solutions to the table. By turning to a local IT resource, you gain some perks beyond the obvious cost savings and floor space. Are you nervous about putting your data in an off-site location? A domestic provider allows you the chance to pop in for a visit. Worried about compliance? Cloud providers within the US are held to much higher standards than those in off-shore countries. There are also heavier legal liabilities for a cloud provider responsible for data breaches, meaning US providers are more conscientious and protective of sensitive data.

We also have access to some of the newest high-security technology, before it becomes available in cheap outsourcing destinations. Our iQloud instances are fault tolerant and reside in our state-of-the-art, SAS70 Type II certified data centers, which include dedicated private IP space with managed WatchGuard firewalls, threat management tools, and real-time 24/7 security alerts.

The National Institute of Standards and Technology (NIST) has finally answered the call of early cloud adopters everywhere by providing the first official set of guidelines for privacy and security on the cloud. Released as Special Publication 800-144, “Guidelines on Security and Privacy in Public Cloud Computing,” the best practices serve to instruct business owners and cloud providers on setting up and maintaining public clouds. Government Computer News has chosen a selection of highlights from the guidelines that help paint a feel for the entire document.

1. Carefully plan the security and privacy aspects of cloud computing solutions before implementing them.
2. Understand the public cloud computing environment offered by the cloud provider.
3. Ensure that a cloud computing solution — both cloud resources and cloud-based applications — satisfies organizational security and privacy requirements.
4. Maintain accountability over the privacy and security of data and applications implemented and deployed in public cloud computing environments.

For businesses relying on a public cloud for data storage or information sharing, these guidelines could not have better timing.

In a recent, highly-publicized legal case, cloud hosting site Megaupload was forcefully shut down by the US government. The owners and operators of the site are being prosecuted on a lengthy list of charges, most prominent of which being conspiracy to commit piracy of copyright-protected media. In short, some users were utilizing the Megaupload cloud to share pirated content, so federal enforcers stepped in. The unfortunate side effect of this takedown was a handful of businesses left without access to files stored on the cloud.

The controversial shutdown led many analysts to draw negative conclusions about public clouds, warning that businesses should switch to private clouds, or revert to hardware storage, in case the worst should happen again. Now, NIST hopes that businesses and cloud providers can work together to make public clouds a more useful, more secure, form of data storage.

Many IT decision-makers worry that transitioning to cloud systems requires an immediate shift of a company’s entire IT systems onto the cloud platform, and that simply isn’t true. After years of experience in the field, we’ve put together a sound strategy to give your company a seamless transition into the future of IT, without causing huge shifts in your processes.

First, you can test the waters with non-essential systems and data. You’ll be able to measure the benefits you gain from cloud storage, and determine if the cloud environment is right for your business.

As you continue to move systems onto the cloud, monitor the performance and efficiency of your day-to-day routine. Your IT staff will become increasingly unburdened, and you’ll soon be able to see where the sweet spot for your IT needs is. At this point, you have a few options. Do you want to move your remaining mission-critical applications to the cloud? Do you need to store data in multiple locations for certain data-intensive applications? Do you want to use the cloud for storage and user-end purposes, while retaining the remainder of your IT needs on site?

HALOTEQ’s cloud solutions have answers to each of these problems, and a dozen more. That very flexibility is one of the highlights of our services, and a key feature to avoiding the all-or-nothing approach that some vendors offer.

Even the smallest amount of cloud-based services can add value and efficiency to your day-to-day business, so don’t waste your time on risky gambles when you can test out a sure thing with HALOTEQ.

CBR Online interviewed Quest Software Vice President Kevin Nolan about the lack of effort some businesses put into disaster recovery plans.

“Events over the past year, including cyber-attacks and natural disasters, have highlighted the importance of having a robust disaster recovery process in place so organizations can quickly respond and remain operational should a major interruption impact your business,” he says. “Planning for failure shouldn’t be an afterthought or overlooked by any organization, regardless of size. Information is integral to the success of every organization and companies should do more to keep their most important asset protected.”

Virtualization and redundant phone systems are two ways businesses are improving their disaster recovery efforts. “[It] takes just a fraction of the original hardware equipment to host an entire infrastructure using virtualization,” says CIO Paul Mah. “In the event of a disaster, these servers could then be relocated as necessary, loaded with the latest [virtual machines] and put into action faster than the lead times offered by most IT vendors.”

Operating without a disaster recovery plan is risky, and with the simplicity and affordability of virtual systems today, there is no reason to consider it. Instead of running in the dark, why not contact Haloteq today, and ensure that, when disaster strikes, you are already prepared to handle it. After all, you wouldn’t wait to buy insurance until after the building is on fire, would you?

In the past, we’ve described some of the more obvious ways that virtualization can reduce your IT spend; concepts such as dropping your need to upgrade hardware, reducing the need for outside IT support, and increasing usable floor space. There are other, less black-and-white ways that virtual systems can help your budget, and those are what we’ll be looking at this week.

One seemingly obvious, but oft-forgotten, benefits comes in energy savings. Depending on the size of your company, and the load and number of your servers, you can easily save thousands of dollars annually. “The removal of one 500 watt dedicated server that has to run 24/7 in an office could potentially cut back energy usage by around 4,000 kilowatts per year. That equates to something like $400 conserved on an annual basis and a carbon dioxide cutback of about 5,000 pounds.”

Believe it or not, your employees can increase your savings as well. 2011 saw an increase in the number of companies allowing employees to bring their own devices to work. Cloud-based virtual desktops allow employees at participating companies to access all of their company files on their own personal devices. The benefits of this program are threefold:

• Employees generally prefer to use their own devices, this makes them happier, and thus, more productive.
• Dependency on company-owned hardware is reduced, limiting the need to purchase more systems as the company grows.
• Having fewer devices means an employee is less likely to lose a piece of hardware containing sensitive information.

As you can see, the list of cost savings that the cloud can bring only increases as the technology improves. For more information on how virtual desktops can give your profit margins more wiggle room, contact us at http://www.haloteq.com/contact, and stop by next week to see how our Voice and Data Services can add to your savings!

MYTH: Compliance becomes a huge issue on the cloud, with data being stored out of my reach.

FACT: Most businesses report improved security and compliance after switching to the cloud.

Recent studies show 60% of cloud-based companies reporting improved security and compliance since switching to the cloud. One of the biggest misconceptions of cloud security is rooted in the imagery of ‘the cloud’ itself. Cloud-stored data isn’t just floating around for anyone to access. It is protected on a hard server, behind the same firewalls and encryptions you use in your business today. In fact, because your data is all stored in a centralized location, it is easier to monitor and track. Employees don’t need to risk losing disks or hard copy of private data, because they can access secured data from home over the cloud network. A file never needs to leave our servers in order to be accessed by authorized users.

MYTH: It will be more difficult to secure software licenses that we can use on the cloud.

FACT: A lot of software is available with a virtualization-friendly license, saving you even more money.

Hardware cost is one of the biggest savings of cloud computing, but software is another way to save some income. You can consolidate application instances on the cloud, and purchase more affordable processor-based licenses. Very few software vendors are unable to meet the needs of virtual systems in today’s marketplace.

MYTH: The cloud is only good for small, unessential programs. Larger mission-critical applications are too much for it to handle.

FACT: There are essentially no limits on the complexity of software you can run over a virtual system.

We’ve said it a thousand times: virtual desktops are about reliability. Part of that reliability is knowing that you will be able to handle any business needs without swapping from one system to another. Virtual systems can handle most, if not all, of the standard large applications your business may need. Microsoft Exchange, SQL Databases, and Enterprise Java apps are just a small sampling.

We hope that these few weeks have enlightened a few of you, and dispelled a few of the rumors that persist in the conversation of virtual systems. Like any new technology, there is a lot of misinformation out there. Check back next week, as we delve deeper into what the cloud can do for you.

Myth: The possible headaches of virtualization outweigh the small cost savings.

Fact: Virtualization brings constantly-expanding cost benefits to your applications.

Continuity, security, and scalability are the biggest benefits of virtual systems; cost savings are the icing on the cake. Many companies turn to virtualization, not to save money, but to maintain their systems in the event of disaster. At HALOTEQ, we have backups, generators, and fail-safes that would be impractical within your business space. In the event of natural catastrophe, like the recent Hurricane Irene disaster, your data and systems continue to function, even when your physical business does not. While your competitors struggle to find their footing, your customers don’t even notice a change.

Further savings come down the line when your business hits a period of rapid growth. Your storage needs have doubled, but instead of buying servers and building more floor space to hold them, you simply give us a call. The cloud will bring you savings as long as you use it.

Myth: Virtualizing our systems will require hours of training and support.

Fact: Accessing cloud data is no more difficult than signing into your old desktop.

Many IT teams and business owners worry that the cost and time sink of training their staff on new systems would over-shadow any initial savings the cloud brings. Fortunately, using the cloud is not nearly as difficult as describing the cloud. Nothing looks different, nothing acts different, the face of your IT doesn’t change. Within the office, it’s business-as-usual; the benefits are all behind the scenes.

Perhaps more importantly, you won’t need to worry about training us. HALOTEQ already has the business expertise to navigate the intricacies of your industry without weeks of meetings and explanation.

Come back next week as we tackle the issues of compliance, software licensing, and mission-critical applications.

Myth: Virtualization will put my IT team out of work.

Fact: Cloud-based systems free IT workers from menial tasks.

A business is like a family, and no one wants to make a decision that will cost someone their livelihood. The good news is that cloud computing isn’t an IT department’s worst nightmare. Virtualization isn’t about outsourcing IT, it’s about removing day-to-day annoyances from IT departments’ plates. HALOTEQ experts will handle the processing, monitoring, and tech support that takes up so much of your team’s time. This gives your IT department the time to focus on big picture issues such as ensuring your company’s network needs are met. When your business grows or shrinks, they’ll be able to spend an afternoon on the phone with us, instead of a week setting up or removing hardware.

Myth: In a virtual system, I can’t control how my company’s applications run.

Fact: Virtualization means scalability, and that means control.

IT teams will bring up that applications hosted on shared servers, like those used in cloud computing, must share resources, like CPU and RAM space, with every other application on that server. This means slower response times, and a general lack of control.

At HALOTEQ, we place strict restrictions on how applications utilize shared resources. Not only does this help benefit the scalability and flexibility of cloud-based applications, it also ensures that no one application takes too much. There’s no slow-down, and nothing is running out of control. As your resource needs grow, those restrictions expand, allowing your applications to keep up with your business requirements.

Come back next week as we tackle the issues of cost savings and transition.