Should your Software Be In The Clouds?
Many people I talk to these days want to know whether their software should be internet based or self hosted. It is a valid question because you need to make this decision at some point. Rather than just assume that one way or another is right for you, because someone tells you so, why not make that decision based on what works best for you.
You will see terms such as “Cloud computing” and SaaS, “Software as a Service”. These terms refer to resources which are accessed via the internet. Many of us use these services all the time with our applications such as Facebook, email programs, music and game sites.
The alternative route is software which resides on your own network system. This can vary from a single computer to a server based system sharing the information over multiple computers. You own the rights to the data and have strong control over access to the data from both a physical and access standpoint. This is not to say you cannot treat these programs as internet based. With VPNs (Virtual Private Networks) and such programs as Go To My PC, you can set them up as internet accessed programs as well.
Having access via the internet is clearly an advantage to anyone who wants to be able to work away from the office, so why would you not choose cloud computing every time? There are issues to consider:
1. Cost. Whether your data resides on your server or someone else’s, it has to reside somewhere and be managed by someone. There are going to be costs associated and consumers will pay for those costs whether they see it spelled out or not. As a new agency you may not want to be paying for IT costs that you really don’t need. If you can manage a small peer to peer network, it may be worth waiting until you grow to pay for that service. On the other side if you are at a size that a network is becoming a necessity, it may be worth sharing that cost with other groups and paying for offsite IT support. The savings on hardware and staff to manage it may be substantial.
2. Accessibility. In the cities, we may take internet access for granted. We assume we can always hop on the internet and find what we need. But not all areas are that reliable. If you only have dial up access or have frequent random failures at the provider level, you are going to have issues with getting to your data. You may be frustrated with your software, when it is the internet carrier having issues. You will need to determine if you are located where you can count on reliable access.
3. Privacy. Having easy access to Medical records via the internet requires stringent privacy policies. It is very easy to work on charting from home or the coffee shop via the internet. It is also easy to step away or forget that unauthorized people can be watching over your shoulder. Of course, this is a training issue that should be a constant focus regardless of where your staff access medical records. HIPPA compliance can not be ignored. Lapses in security can have huge consequences no matter where they take place. Stolen laptops and hacked passwords may leave people who trust you extremely vulnerable.
4. Ownership versus Renting. There are tax advantages to owning your software. Using Section 179 of the tax code may save you as much as 25% of the price of the software in one year if you qualify. Paying for support and updates is typically much less than ongoing rent. Explore your options before paying rent forever.
August Systems is a unique company in that we are able to provide our software in the way that works best for you. And we can adjust when you need to. As a new start you may only need a single user on one computer. You certainly should not pay for cloud computing at this point, especially if it is a laptop you can take with you. But if it is on a computer in your office and you need to access it from home or the field, or next year, when you have 6 users and would need to invest in additional hardware to set up a network, it might be cost effective to move to net hosted so you don’t have to hire an IT person and buy a server. In a few years, you can buy the software and take advantage of both our purchase credit and Section 179 and save close to 50%. You will still have state of the art software and make use of the latest technology.
When you are ready to automate your business, take a look at our field proven software and talk to one of us about how the Visit Wizard will work for your company.
