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November/December 2001

Planning Ahead To Avoid Disaster Outsourcing Can Help

BY LAURA GUEVIN


We live in a volatile world. If there was ever any doubt of that, recent events have proven that we are indeed vulnerable, and need to take extra precautions to protect ourselves. And the same holds true for business and certainly for our communication infrastructures a few minutes is all it takes to bring down a network from the outside by destroying equipment and severing lines, or to cripple it from the inside through malicious hacking. Septembers events have compelled many of us to sit back and grapple with big ideas like our mortality, the power of religion, and the motivations behind war. But then there are the practical considerations of protecting ourselves and our families, and our businesses. Because business is king in the US, and if business ceases to function, the rest of our democracy threatens to crumble.

IT departments must now ask themselves some very important questions: Are we prepared for an emergency? Will our network infrastructure be protected in the event of a physical attack? Do we have a proper schematic of the hardware and software deployed throughout our enterprise? Will information be backed up in a safe location in the event of a disaster? How well is our network guarded against hackers and viruses? If there is any doubt about the level of readiness to withstand an attack or disruption, businesses must finally ask: Would we be better off outsourcing some or all of our fragile infrastructure to an experienced service provider?

THE DECISION TO OUTSOURCE
A report from Salomon Smith Barney claims the September attacks could force businesses to increase their telecom spending to meet more broadband capacity needs, secure greater backup facilities, and purchase more data storage space. Businesses are seeking greater network redundancy, and as a result, ASPs and service providers could see an increase in business.

The outsourced opportunity is ideal for a number of reasons. Businesses dont want to spend a lot of money on infrastructure and personnel to beef up their contingency plans. Many companies have completed one or several rounds of layoffs recently, and money is tight. Outsourced solutions can offer the redundancy and security required at a minimal expense compared to on-premises solutions. And upgrades and maintenance arent an issue with a hosted service, since service providers are on top of keeping systems secure and up to date. They have to be its been stipulated in the service level agreement (SLA) negotiated at the time the service was contracted.

Outsourcing also offers flexibility, since everything from data storage to Web hosting to network security and performance management to entire enterprise communications solutions may be offered on a hosted basis. And of course, service providers networks and data storage facilities are redundant, to protect both provider and customer in the event the provider is affected by disaster. And a service providers equipment and facilities are generally better prepared to withstand disaster than say, your typical downtown office space.

THE BIGGER PICTURE FOR DISASTER RECOVERY
The Yankee Group published information on overall business continuity vs. disaster recovery after the September attacks. Disaster recovery, clearly a segment of the IT world that is doing well in the wake of this tragedy, is only one component of an overall business continuity plan according to their findings. A full plan consists of design, implementation, and continuous operation of an IT delivery infrastructure that can meet the needs of an enterprise on an ongoing and end-to-end basis. The program should consist of: Software versions/releases in use, licensing issues, data and application distribution, administration/ownership, bandwidth and connectivity, operations and procedures, system performance and availability, and security access, according to Yankee.

Among other things, the Yankee Group points to outsourced services as a risk mitigation option, since outsourcing allows businesses to focus on their core competencies. And ASPs can offer mirrored solutions for immediate disaster recovery, as well as problem resolution expertise for speedy delivery of services for regular backup, performance monitoring, and security. ASPs can also offer expertise in the development and design of an overall business continuity plan.

In the wake of the World Trade Center attacks, IBM reportedly helped 1,200 customers in the ground zero area restore their IT systems offsite, reroute their networks, and develop better business recovery plans. Service provider Comdisco said 35 percent of its business recovery space in North America was occupied as a result of the September attacks and fear of additional attacks.

Its unfortunate that we must live in a world where we have to look over our shoulders and plan ahead for unforeseen disasters. But planning ahead has always been a harsh reality of life and business, and recent events have emphasized the importance of being prepared. We must be ready for the worst, and we must do our best to ensure businesses function during an emergency. We have the technology and solutions to safeguard our business information and our communications. Failure to protect them will lead to our economic downfall and a disruption of our democracy, which is ultimately a success for those who seek to destroy it.

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