Should You Own Your Servers?
used with permission from the Microsoft Business Site

Technology buyers today have more choices than ever before. Hardware and software can be purchased, leased or rented. Software can deployed "on-premise" or accessed "on demand" using cloud computing offerings, where you pay a monthly fee for software access. Each of these options have their place.

In spite of the trend toward cloud computing, many companies are still buying servers and software to run their business. In fact, most businesses will deploy one or more servers in-house for needs which are not effectively met by in-cloud services.

Before you go out and buy your own servers, consider your options. A server purchase requires an upfront investment, but over the course of several years, you may meet your business objectives much more effectively by buying servers and software vs. using cloud computing or co-location (data center rented server space) options.

When you use cloud computing, you're also usually limited to standard options. Extensive software customizations are normally installed on your own server. For example, if you want store documents among your team "in the cloud" using Microsoft SharePoint Online that's easy. But if you want to customize SharePoint extensively, or use it as your external website, a traditional on premise SharePoint implementation is going to be the right choice for you.

Is your best option to own servers?
After you look at the functionality you require, be sure to take into consideration these hidden expenses of owning servers in-house so that you can create an apples-to-apples comparison with your technology decisions.

Server maintenance. No one has yet invented a "set it and forget it" server. Servers require regular updates and maintenance to keep up with changes in technology and to respond to malware threats. The operating system and software applications running on the server also require updates.

Server administration. Who is going to run your updates and regularly perform maintenance on your servers? Here you have several options. You can hire an in-house IT administrator. You can hire an IT consultant. Or you can hire a managed service provider who will take care of the routine work for a set monthly price. The option you choose should be based on your IT workload.

Server rent. Part of your office rent goes toward providing a secure location for your server. Because servers consume increased energy, sometimes they require a dedicated room with temperature control. You don't want your employees to freeze just to keep your servers cool. Contact your hardware provider about estimated energy consumption costs.

Server backups and redundancy. A server contains your company's most valuable information. When your server is located in your office, you have to take extra steps to protect your data from being damaged or destroyed. This commonly means creating off-site backups and testing to make sure that the recovery process works. Some companies also invest in server redundancy, so that if one server crashes, the other one immediately takes over.

Server utilization. Companies typically buy more server than they currently need so they have room for growth. A little extra capacity is necessary, but too much will cost you. Develop a hardware plan so that you don't overbuy up front. Instead, scale up as needed. If your servers don't have enough to do, you're wasting capacity and paying for something that you don't use or need.

Beyond the costs of the hardware itself, be sure to factor in how equipped you are to respond readily to server needs. When email or other critical business applications go down, someone needs to be available to diagnose and fix the problem. It's wonderful to have a wealth of options. Just be aware of the price tag and capabilities that come with each option. Please contact any Databranch sales representative to schedule your upcoming server assessment. Our representatives can recommend the best solution to fit your business needs.