Special: ASPs in Australia Part 2

ASP

With the number of acronyms clogging up the ASP market, it can make it difficult to decide exactly what services meet your outsourcing needs. Take a look at the options available in this comprehensive guide to ASPs.

ASP security primer

If security isn't among your top criteria for evaluating potential ASPs, write it in now. Paul Marriott, 9i business development manager at software vendor Oracle, believes security is right up there in terms of importance. "There's still a lot of concerns around about organisations giving data to a hosted service provider in case the information won't be secure," he says. "Customers need to make sure any provider they seek services from can provide an adequate level of security."

And because ASPs know effective security is essential to their business, they spend more on it than most companies could possibly afford.

ASP customers need to feel confident that their data is safe not only over the networks but also from the prying eyes of ASP employees. Information theft is a huge risk for companies. If an ASP employee stole financial data that outlined a business's new project, for instance, and sold it to the company's competitor, the results could be disastrous. While no one can predict employee information theft, ASPs must earn a customer's trust to be successful.

Before you evaluate an ASP's security model, take steps to understand what you are protecting. Develop a risk assessment plan: think about who might want to steal your data. Also analyse critical spots in your information exchange network--and network configurations--including hardware (servers, firewalls) and software (passwords, authentication). Ask how the provider can implement a security solution that will protect every shred of your data and every access point to it.

But don't be too concerned about viruses and denial-of-service attacks. Almost every ASP has a similar network infrastructure to handle these. What separates the top ASPs, according to security experts, is their contingency plans. What if your ASP is compromised and data is lost? How will your ASP recover the data? Does it have redundant backup servers? Are the servers located in one location or in different cities? Will you be alerted if something goes wrong?

Most ASPs have undergone third-party enterprise-level security audits; when you're evaluating an ASP, ask to see its report card. Some ASPs will also let you tour their data centres, but be prepared to undergo a background check (which is a good thing). Before signing on with an ASP, make sure the company is willing to sign an NDA regarding your business model and information, and ask about its security guarantee. This should call for harsh financial penalties if your data is lost, hacked, or stolen. Microsoft Australia's Meyer also highlights the importance of checking an ASP's third-party certification. And he offers a reminder about one of the biggest holes in security systems is that they don't get implemented: they need to be turned on.

Finally, an ASP's security is only as good as the habits of your employees. Your employees need to be trained to practice good security habits: remind them not to give out passwords or talk about more sophisticated info, like your network infrastructure. What is common sense to you may be new to your employees, and security is often forgotten in practice.

--Vivienne Fisher & JP Vellotti

Contents

     1.   Intro
     2.   Network & Telco ASPs
     3.   Collaboration ASPs
     4.   Packaged applications ASPs
     5.   MIS ASPs
     6.   Data Management ASPs
     7.   Looking forward
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