Issue dated - 01st April 2002

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Front Page > Technology > Full Story Print this Page|  Email this page

Everything SMEs need to know about storage

In bad times, small companies are usually the worst hit. This, says, Sandeep Dutta, is the primary reason why SMEs should be tech-savvy and invest only in solutions that deliver tangible business benefits

When bad times come, small players are always the worst hit. While large organisations typically have some ‘fat’ they can shed, most small and medium enterprises (SMEs) run lean and mean shops because that’s the only way they can survive.

This is why SMEs must be even more tech-savvy than big companies and invest only in technology solutions that deliver tangible business benefits. Today, most SMEs realise that a reliable storage infrastructure to keep their data safe is as critical to their business as anything else they can invest in. However, many are still unclear as to how to go about getting this in place.

What exactly is storage?

Every bit of data you see on your computer screen resides on some sort of storage device. This could be on disk drives or disk subsystems, tape, CD-ROM, DVD or one of the many portable storage devices flooding the market today.

Most SMEs use a combination of disk subsystems and tape systems. Disk subsystems are bigger, higher capacity versions of the hard disk sitting in PCs and are often attached to servers running specific applications. Data stored on disk systems can be retrieved very quickly.

Tape systems are usually used for back-up. Data is downloaded off the disk subsystem, stored on tape a much more affordable media and put away somewhere safe in case the original data is lost.

Storage networking: Data having a good time?

Most companies today have heard of storage networking, but have only the faintest idea of what it means and what benefits it can deliver.

Put very simply, storage networking is about making a company’s storage infrastructure and capacity available to multiple departments by putting it onto a network. It enables data sharing and capacity sharing two different things but both beneficial to the company as a whole.

Data sharing makes sense in an age when information is the lifeblood of any business. Different departments collect different types of information but this is seldom shared. Storage networking enables them to share the data electronically quickly and efficiently.

By giving employees access to the right information at the right time, companies can improve customer service, make optimal use of their corporate data and respond faster to changes in the marketplace.

The main benefit of capacity sharing is cost savings. Storage is very decentralised in most organisations today as departments buy their own storage or servers with storage attached. This leads to a lot of wastage because of poor utilisation rates usually in the 40-60 percent range resulting in a lot of spare capacity lying around.

By centralising storage capacity and putting it on the network, utilisation rates are likely to go up to 70-90 percent as capacity can be assigned to departments as and when they need it. While storage requirements will continue to grow very quickly, companies who centralise their storage capacity will enjoy significant cost savings.

New standards

New standards for storage networking are emerging everyday, but one of these deserves a second look.

An emerging standard known as iSCSI (Internet SCSI) offers SMEs many of the advantages of storage networking without the costs and complexity often associated with building storage area networks (SANs).

iSCSI-based storage networking provide access to storage devices and storage area networks (SANs) over Ethernet-based TCP/IP networks. Since most companies have an existing IP network and the in-house skills to manage them, iSCSI storage is an attractive option for SMEs looking for a reliable, affordable storage networking solution.

Hope for the best, prepare for the worse

Data protection is something large companies are very used to providing for. A back-up policy is often part-and-parcel of their overall storage management strategy. This is something SMEs should also consider.

The first thing to realise is data protection is not an option, it is an absolute necessity. There are hundreds of ways data can be lost or damaged. An established back-up policy reduces the grave consequences any data loss can have on a business.

Tape storage has been the preferred back-up medium for over 40 years. It is reliable, flexible and cost-effective. With new standards incorporating the latest technology such as the Linear Tape Open (LTO) standard established by IBM, Hewlett Packard and Seagate companies can build back-up and recovery solutions quickly and affordably.

Bytes for rent

Outsourcing is a popular solution for SMEs who understand the need for a well-managed and reliable storage infrastructure but have neither the skills nor inclination to handle this in-house.

Renting storage infrastructure is actually very similar to renting warehouse space, and almost as easy. There are some clear advantages to outsourcing data infrastructure to the experts.

Capacity is flexible. Companies can pay-as-they-use, on a monthly basis, for as much capacity as they need; and rent more or less space as their needs change. Today, cost per megabyte is coming down fast and service level agreements will guarantee whatever level of service and security a company feels it needs.

Is there a flip side? Of course there is. Should the service provider lose or damage a customer’s data, financial compensation based on the terms of contract is available. But can this offset the actual loss to the company?

While this is unlikely, as most service providers have more stringent back-up and recovery policies than normal companies, it is a valid point. Choosing a service provider with a proven test record and infrastructure based on the latest technology, would go a long way to improving the odds of any mishap.

How much will it cost? While it is impossible to predict how much storage infrastructure will cost in general, there are some simple rules that can be applied when budgeting for storage.

First, total up the company’s present storage capacity. Add 10 percent for rounding errors, and then add 50-100 percent depending on the company’s growth plan over the next twelve months. Include any additional requirements in terms of management capabilities desired, archive, back-up and restore policies. Take this set of requirements and ask a couple of storage vendors and service providers for a quotation. Keep in mind that price alone should not determine the buying decision. Look for solutions based on open standards to avoid getting tied to one particular vendor or another. Ask for independent benchmarks for assessing performance and service levels.

Playing with the big kids now

With almost 340 million Internet users in 2000, the Internet has created whole new markets for companies and has also provided the means for smaller companies to compete on a level playing field with the largest companies.

SMEs who are playing to win in this exciting new arena must make the best possible use of their corporate data and other technology solutions to their advantage.

The author is country business manager-storage solutions, IBM India

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