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Survey Finds Outsourcing Most Reliable.
2006-07-13, HostMan.biz When it comes to safeguarding information systems availability against disaster, companies feel more secure when they turn to an outsourcer rather than handling in-house, according to a new study by market researcher IDC*. The IDC report stated companies that "outsource gain considerable advantage by leveraging a third-party provider which can offer its scale of economy in buying power for procuring capital and operational requirements as well as gain access to a BCDR (business continuity/disaster recovery) service model that enables greater assurance of lowering downtime and increasing availability." "Our study found outsourcing information availability can help enterprises ensure people, systems and information stay connected, and the ability to maintain business processes in an 'always-on' world," said David Tapper, program director, IT Outsourcing & Utility Services at IDC and author of the report. "Additionally, the study highlighted how companies are looking to gain access to newer models of service delivery that help them keep pace with changes in availability requirements." Other IDC research highlights include: Sourcing preferences. Survey respondents indicated a strong preference for using a hosting service which had a recovery capability integrated (59%). Other preferences were a hosting service with no recovery service (17.9%); managed hosting service with integrated recovery services (15.4%) and full-scale outsourcing (7.7%). According to Mr. Tapper, "This preference indicates how companies prefer to leverage an outsourced model in which they retain significant control over the IT assets and IT staff, but transfer control of the management for provisioning BCDR services for their IT environments as well as managing the facilities hosting these environments." Availability requirements. A key driver in companies making investments in business continuity strategies is the increasing need for greater systems availability, with organizations looking to reduce total downtime (planned and unplanned) by 53% over a four-year period (2003 to 2007). Recovery ratings. Companies using an in-house strategy rated their recovery capability (on average) lower than if outsourced. According to Mr. Tapper, "This lower rating reinforces customer expectation that an outsourced strategy provides a greater level of assurance and probability that a company's availability requirements can be ensured." Emerging technologies. Survey respondents said they plan to increase investment in new BCDR technologies and services more than five-fold from 2005 to 2006 (moving from 1.8% to 9.5% of total BCDR investment). The investments include a range of technologies (grid, virtualization, clustering, load balancing, Service Oriented Architecture, storage area networks and flash copy) and service models (online archival and hosting applications with built-in recovery). "The IDC research shows the strong business drivers behind leveraging a hosting service with integrated recovery capabilities," said David Palermo, vice president of marketing at SunGard Availability Services. "SunGard addresses these requirements by helping companies achieve higher levels of availability at a lower total cost of ownership than an in-house solution, while also helping them to retain the chosen level of control over their applications and data." IDC conducted independent, in-depth telephone interviews with 40 enterprises that incorporate a business continuity/disaster recovery strategy for their two most mission-critical applications as part of their overall means of supporting information availability. |
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