| As access to the Internet becomes more | | | | everything to do with the Internet security is a |
| widespread with faster, more reliable and 'always on' | | | | justified concern. There is no simple 'one size fits all' |
| connections becoming the norm the growth of | | | | solution to the security issue and a lot will depend on |
| applications using the hosted application model | | | | the specific hosted application and the nature of the |
| continues to expand.Although hosted applications will | | | | data.With online banking and shopping becoming |
| not suit every situation, or every customer, they | | | | common place the vendor should be able to provide |
| offer many individuals and organizations, as well as | | | | their clients with sufficient confidence that the data is |
| the application manufacturers' themselves, | | | | secure and that any private information remains |
| considerable benefits over the locally installed | | | | private.Hosted applications will normally operate a login |
| application.What Is A Hosted Application? A hosted | | | | procedure ensuring that only those that are |
| application, also known as Internet-based application, | | | | authorized have access. The more sensitive the data, |
| web-based application, online application and | | | | the more sophisticated the login procedure.A good |
| Application Service Providers (ASPs) are software | | | | data host will strictly enforce the stated wishes of |
| applications where the software resides on servers | | | | their customers and ensure that data is not available |
| that are accessed through the Internet instead of | | | | or released to anyone that is not legally entitled to |
| the more traditional software that is installed on | | | | see it and they will adopt the latest security |
| either a local server or on individual PC's.The thin client | | | | measures available to prevent unauthorized |
| concept is nothing new but advances in Internet | | | | access.There may be some areas such as automatic |
| connectivity have allowed the application to move | | | | logins from known PC's and the use of cookies that |
| from a local server to a server on the | | | | although they don't necessary represent a significant |
| Internet.Example of hosted applications would be that | | | | risk could present a risk under certain circumstances, |
| provides customer relationship management facilities, | | | | such as gaining access to a private account through |
| Netsuite offering all-in-one business management | | | | the automatic login using an unattended PC. Although |
| applications and that provides their customers with an | | | | strictly speaking the customer's responsibility the |
| enterprise survey and questionnaires application.What | | | | customer should be made aware of the risks so that |
| Are The Benefits?Reduced costs, instant | | | | they can take action to safeguard their own |
| deployment, easier to maintain and reduced | | | | system.Although security is a concern in some |
| administration are among some of the main | | | | circumstances private data may prove to be more |
| benefits.Low MaintenanceWith hosted applications the | | | | secure than it would be on a private network with |
| hardware and software is the responsibility of the | | | | less sophisticated security measures or in an |
| vendor with the client only having to maintain access | | | | environment where there is a risk from within.Vendor |
| to the Internet. As there is no software to download | | | | Lock-InAs with all software applications there is a risk |
| a hosted application can be made instantly available | | | | that a customer could become locked-in to paying |
| across an entire organization even where the | | | | costly monthly subscriptions to maintain access to |
| organization has multiple regional and international | | | | their historic data. To counter this some applications |
| offices.As there is no software the considerable time | | | | will allow the data to be downloaded or allow |
| and resources required for periodic updates is also | | | | customer to maintain access to their data for a |
| completely eliminated.Reduced CostThe need to | | | | reasonable time free of charge.ControlUnlike a local |
| license software through a 'per user', 'per concurrent | | | | application the hardware and software is under the |
| user', 'per server' or 'site' license has been eliminated. | | | | control of a third party. This is a justifiable concern |
| Although some hosted applications still do charge 'per | | | | although not too dissimilar to the telephone provider |
| user' many have taken the opportunity to charge on | | | | supplying and maintaining the communications |
| a 'usage' and/or 'period' basis meaning that the | | | | equipment and there are considerable incentives for |
| customer does not have to estimate the number of | | | | the vendors to ensure high availability and reliability |
| licenses that will be required, nor install and pay for | | | | since their business depends on it.In SummaryBenefits |
| full licenses that may only be used by some | | | | |
| employees occasionally.This hosted application model | | | | |
| also allows the smaller organization and sole trader | | | | |
| access to applications written using advanced | | | | |
| software development tools and that utilize | | | | |
| sophisticated database technology and high-end | | | | No vendor installation or upgrades required |
| servers. The capital investment of the hardware and | | | | |
| software as well as the security, backup and server | | | | Low start-up costs |
| maintenance cost are all the responsibility of the | | | | |
| vendor.Minimal RiskMany hosted applications require | | | | Minimal Risk, no long term commitment |
| no long term commitment from their customers. New | | | | |
| customers can often test hosted applications either | | | | Backups and viruses responsibility of the vendor |
| through a free introduction offer or with minimal risk | | | | |
| using a Pay-As-You-Go model. If after trialing the | | | | Hardware and software server maintenance |
| hosted application the customer finds it unsuitable | | | | vendor's responsibility |
| then they can simply stop using the | | | | |
| service.AccessBecause the application software and | | | | Investment in local hardware & software reduced |
| the data is stored on the Internet server the | | | | |
| application and data is available to the authorized | | | | No need to synchronized data with multiple devices |
| client once they have logged on from anywhere | | | | |
| there is Internet access. The customer can now | | | | Access to data available globally through any internet |
| work anywhere in the office environment, from | | | | connection |
| remote offices or from their home or hotel without | | | | |
| the need to download their work or synchronize with | | | | Reduced software licensing costs |
| portable devices.IntegrationFor organizations that | | | | |
| have legacy systems from different suppliers running | | | | |
| different operating systems the hosted application will | | | | |
| provide an integrated solution to any system that | | | | |
| supports a standard Internet browser including | | | | |
| Windows, Unix and Macs.SupportThe hosted | | | | Concerns |
| application vendors benefit by not having to maintain | | | | |
| multiple version numbers or individual maintenance and | | | | |
| licensing agreements. New updates are installed | | | | |
| centrally negating the need for expensive roll outs. | | | | |
| For many applications the need for version numbers | | | | |
| is eliminated as updates are made incrementally | | | | Lack of Internet availability |
| bringing the benefits to the customer without having | | | | |
| to bundle new features up into a new periodic | | | | Security |
| version release. In some cases a user can request a | | | | |
| new feature in the morning that can be developed, | | | | Possibility of vendor lock-in |
| tested and deployed globally by the afternoon.The | | | | |
| ConcernsInternet accessNew communication | | | | |
| technology is able to bring high speed Internet | | | | |
| connectivity to more and more remote places but | | | | |
| there are still some regions where internet access is | | | | |
| limited or not available.In some cases such as mobile | | | | |
| workers although high speed Internet connectivity is | | | | |
| available the cost both in terms of connectivity | | | | Martin Day is a Director of Survey Galaxy a hosted |
| charges and equipment may, at least in the short | | | | application that provides an enterprise application to |
| term, prove to be prohibitive.SecurityAs with | | | | create, design and publish surveys online. |