As I mentioned previously, technology can sometimes overwhelm us. There are so many new things coming down the road that it can be difficult to understand in which direction we should be headed.
A few things are certain – there are way more than enough opportunities to spend money on technology. We talked before about the portable devices that can enhance your productivity and give you an improved work-life balance. These are, in my ever-humble opinion, worth obtaining (one or the other, not necessarily both) for the reasons mentioned in my last essay.
But what about back at the office?
Let’s look at one of the common scenarios that small firms go through on their way to becoming larger firms: they need a good place to put their stuff.
Most small firms start out with a network of PC’s, maybe some laptops, and a combination of wired and wireless connections that let them share an Internet connection – and not much more, at least not cleanly. In a lot of these cases, the people in the firm will share stuff with something referred to as “peer-to-peer networking” – that is, each computer can look into each other computer and share data. Now, of course it is possible to control who can see what, who can change what, etc. But this mode of file sharing will only go so far – about five users, rule of thumb – and breaks down entirely as soon as you leave the office.
What a firm needs to be more effective, more secure, and more efficient is a centralized place for its data – its documents, templates, contact lists, and so on. The long-standing answer to this has been a file server – a beefed-up PC that, well, serves files. A server is usually distinguished by its robustness – it can have redundant power supplies, redundant disk space, a more reliable design, etc. It can also serve to share printers, handle security, channel the office e-mail, and so on. Even remote access can be set up on a server, so that people outside the office can securely access company information.
But obtaining a server, configuring it, and then maintaining it, is a non-trivial set of activities. Security – both physical and from an information standpoint – must be considered. Backups, virus protection, operating system updates, and hardware failure are all burdens that the server owner must bear.
What if you don’t want to deal with all of this? What alternatives exist?
There are two. You could choose to co-locate – that is, have your server (or rented space on someone else’s) in somebody else’s location. This will usually be in a dedicated data center with huge racks of batteries and generators, high-speed connections to the Internet, and the capability to back up your data. All of this comes at a cost – but it is possible for this to be a more cost-effective solution that housing a server locally.
The second alternative to having your own server is relatively new. There are several vendors providing hosted storage – that is, a place to put your files on-line, and even share them with others. An example of this is MobileMe from Apple. It’s a subscription service. MobileMe can also house your contacts and calendar for access from the road.
Even better than that is Google Docs. Why is it better? Well, mainly because it’s free. But it has some limitations as to the kinds of data that you can put there. Google Docs has the big advantage of integrating with Gmail, Google Calendar, and other applications – more of which seem to appear every day. Google Apps even has a business-oriented offering, where you can have email with your domain on it (such as psconsultinggroup.com) sent to your Gmail account. It’s really a pretty neat solution, and it’s hard to beat the price.
(And by the way, hosting of web sites is another animal altogether, and not something most small businesses should be doing. We can talk about why another time – this post is already too long.)
What is the downside to hosted solutions? If Google Apps/Docs and MobileMe are so terrific, why would anyone want their own server?
There are several issues raised by having someone else take responsibility for your server. First, you are at the “mercy” of your hosting company when it comes to the technology they use. Does that matter? Unlikely for a small business, but not out of the question. Second, there is the issue of security – but know thee well that major hosting companies have to meet very strict standards for security, privacy, and reliability. Third, it is always possible that someone else is going to drive your hosting company out of business or acquire it. Then what happens to your data? Again, this is unlikely – Google has a market cap of around $180 billion right now, making it a bit of a mouthful for another company to swallow.
All of these things need to be considered before you put you valuable information in someone else’s hands. Know the company, know the limitations and costs. Go in with your eyes open, and you will benefit from having access to your information wherever you go.
I couldn’t resist commenting.