Business

What Happens When Data Centers and SaaS Don’t Get Along

Did you know that 73% of companies say nearly all their apps will be SaaS by 2020?

When your SaaS and your data center get along, your company can reach new levels of agility, scalability, and profitability. However, when there are issues between them, you can experience frustration, stagnation and even litigation.

How does this happen?

Frequent or Ill-timed Downtime

How much does an hour of downtime cost your company? As a nation, downtime costs American organizations an average of $100,000 an hour.

The would-be cost of downtime needs to drive your decision on the level of Tier you choose for your off-site data. For example, the lowest end Tier 1 facilities will give you about 28 hours of downtime a year. At the other end of the spectrum, a Tier 4 facility would cut that down to closer to 20 minutes per year.

Data centers are not one-size-fits-all solutions with a flat rate. Pricing and needs are incredibly complex, which is why vendors can create customized quotes to ensure you’re not over or underpowered.

At the same time, being slow is almost as bad as being down. Consider that 53% of mobile site visits leave a page that takes longer than three seconds to load. That means you could lose over half of your would-be customers when you’re slow. Imagine what happens when you’re down.

The appropriate data center can be a big investment, but it protects you against the (most likely) bigger cost of poor performance or downtime.

Big Data Breaches – Big Consequences

What happens if the big data you have sitting in your organization’s SaaS cloud gets hacked? Now, all of your proprietary information and customers’ financial details have fallen into the wrong hands.

The best-case scenario is you’re able to control the damage and the conversations about your breach. But you lose face and trust with your customers.

The next-best-case-scenario is you’re able to mitigate some of the damage and control some of the narrative. But, headlines and social media conversations are not kind and you lose a considerable amount of customers with a tarnished reputation.

The worst-case scenario is you face legal action for your data breach. Your name is smeared in headlines, which has been a total deathblow for a number of businesses.

Slow Onboarding or Adoption

The addition of a new SaaS is likely going to represent a major shift in your day-to-day operations.

If you try to pull the blog on the previous system and switch over to your cloud-based SaaS overnight, you’re setting yourself up for disaster. You’re better off rolling it out gradually. For example, consider introducing it to one department or branch at a time. Use their experience and identify areas where your beta-testers experienced friction, making it easier for the next wave.

Even the most user-friendly SaaS has a learning curve. If all of your users are frustrated and struggling they may lose faith in the SaaS altogether and long for the days of the old system. This can poison morale and delay your time-to-value on (what is likely) a huge investment.

Your SaaS is likely incredibly powerful and robust, but it’s not a superpower. It needs to be complemented with a best-in-class data center to ensure you’re getting the full value of the suite, and ensure it’s actually moving the needle forward for your business.

This means paying particular care to how you roll it out over your company, while choosing the right data center to prevent outages or hacks.


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