Private Cloud Quiz: How Do You Measure Up?

By The Business Solutions Network

In this interview with Jeff Kaplan, CEO and founder of Breakthrough Technology Group, Kaplan lists common mistakes managed services providers make when it comes to cloud computing, how private cloud differs from public cloud, and benefits a private cloud can offer.

Q: What are some common mistakes MSPs make when it comes to the cloud?

Kaplan: One common mistake concerns security. Not all clouds are created equal, and not all clouds are architected to ensure that there is customization as it relates to security. MSPs need to do a strong level of due diligence in comparing providers and really get under the hood to understand the underlying infrastructure. The approach of “it is a cloud, and we will make money” is not ok — you can wind up with an infrastructure that does not scale correctly or is not flexible and puts your client in a bad spot long term.

As more business-critical apps move to the cloud, it’s imperative that the solutions are accessible at all times and function properly. Even within private cloud providers there is a disparity in offer set.  Once you have the right partner and underlying infrastructure, however, you have created a lot of credibility and value with your customer. This helps you build a solid relationship, which should generate higher revenues and profitability.

Q: In what ways are private cloud solutions more flexible than public offerings?

Kaplan: Private cloud solutions are more flexible than public offerings in many ways as typically private clouds are built from the ground up based on specific requirements from the customer.  The one knock on private vs. public that I hear is public cloud has a utility-based, scale-up, scale-down, self-service model.  However, what people do not realize is that typically private clouds support enterprise production workloads that do not vary that much, and there is time to plan for server adds.  Also private clouds can be architected for seasonality as well.  The bottom line is that there is room for both models depending on the application needs.

Alternatively, private cloud offerings provide dedicated IT environments for each customer, giving the MSP complete control over the environment when it comes to changes. For example, security settings can be completely customizable in a private cloud where in some public clouds it can be limited. While public cloud have the ability to scale up and scale down, usually private clouds are built for specific requirements and allow for customization of business and audit requirements that you may not find when going to a public cloud. Private clouds are purpose built for production workload and supporting line of business applications.

Q: It doesn’t take long before MSPs learn that managing cloud services on behalf of their customers can become a burden. How are private cloud offerings different?

Kaplan: MSPs need to ensure that the underlying architecture and infrastructure is rock solid and built on best practices. Depending on the provider, the MSP can actually enhance their offer set and provide more value with a private cloud if the provider provides the right visibility. This can often extend up through the application stack that the MSP might be managing providing a view through the entire stack that allows for the MSP to tune the apps to perform better, or recognize future issues before they happen. Utilizing the right provider, these can all be managed from a single portal. The efficiencies realized equate to increased margins and profitability.

Q. What are some other benefits of a private cloud offering?

Kaplan: Apart from the benefits already mentioned above — security, flexibility, and reliability — another benefit of leading private cloud offerings is the ability for the MSP to create a repeatable customizable offer set which wraps their services around the core infrastructure and can be sold as a package. The key is to allow flexibility on a bulletproof architecture that is process driven and automated. That allows for scale and building a strong recurring revenue base.

Breakthrough Technology Group is an IT and telecommunications solution provider and the highest revenue-producing AT&T Alliance Channel Solution Provider for 2010, 2011, and 2012. Founded in 2007, BTG focuses on supporting its enterprise customers by solving problems through the use of advanced technology and telecommunications. The inherent knowledge base of BTG’s veteran team spans the entire IT landscape, from cloud-based desktop and storage solutions to remote monitoring and individual end-user IT support. More at http://www.btgroupinc.com/