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Sponsored by: A Service Of: Cloud Computing for Nonprofit Organizations Joseph Scarano February 21, 2012

Cloud Computing for Nonprofit Organizations

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Cloud computing will be entering the mainstream in 2012. Learn about the options, benefits, risks that nonprofits will face with this growing technology.

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Page 1: Cloud Computing for Nonprofit Organizations

Sponsored by:A Service

Of:

Cloud Computing forNonprofit Organizations

Joseph Scarano

February 21, 2012

Page 2: Cloud Computing for Nonprofit Organizations

Sponsored by:A Service

Of:

Protecting and Preserving the

Institutional Memories of

Nonprofits Since 1993

www.cjwconsulting.com

(866) 598-0430

[email protected]

Page 3: Cloud Computing for Nonprofit Organizations

Sponsored by:A Service

Of:

Affordable collaborative data

management in the cloud.

Page 4: Cloud Computing for Nonprofit Organizations

Sponsored by:A Service

Of:

Today’s Speaker

Joseph ScaranoCEO,

Araize

Hosting:

Cheri J Weissman, CJW Consulting & Services, Inc.Assisting with chat questions: April Hunt, Nonprofit Webinars

Page 5: Cloud Computing for Nonprofit Organizations

Joseph Scarano – CEO of Araize, providers of software solutions to nonprofit organizations since 1985. Products include nonprofit accounting, fund raising and payroll.

Page 6: Cloud Computing for Nonprofit Organizations

Topic and Objectives

Overview of cloud computing – What is cloud computing? What types of cloud computing may affect your organization?

Objectives:

• Benefits of the cloud

• Risks of the cloud

• Understanding the different types of cloud

• How is it impacting nonprofits

Page 7: Cloud Computing for Nonprofit Organizations

What is the Cloud? Cloud computing is the delivery of computing as a service

rather than a product, whereby shared resources, software, and information are provided to computers and other devices as a service over a network, typically the Internet.

Cloud computing provides computation, software, data access, and storage resources without requiring users to know the location and other details of the computing infrastructure.

Focus on Applications and Services

Page 8: Cloud Computing for Nonprofit Organizations

Computing 360⁰

1960s and 1970s - Mainframes and Mini Computers

1980s and 1990s – PCs and Networks

2000s – Internet

2010s and beyond – Mobile Computing

Page 9: Cloud Computing for Nonprofit Organizations

Computing 360⁰

Yes, Dorothy. But someone does!

Page 10: Cloud Computing for Nonprofit Organizations

Cloud Computing Growth

Worldwide Cloud Computing Market is currently $8 billion.

• 40% in the US.

• Spending on Cloud Services will increase at annual rate of 27%.

• SaaS market will hit $14 billion by 2014.

Page 11: Cloud Computing for Nonprofit Organizations

Why the Cloud?

Flexibility

Additional Capacity

Collaboration

Shared Access

Centralize Your Information

Cost

Security

Page 12: Cloud Computing for Nonprofit Organizations

Benefits of the Cloud

Reduced Costs - Fewer IT hours required for network setup, software installation, upgrades and maintenance. Lower costs associated with in house server purchases and maintenance. Lower up front costs for software purchases. Pay as you go model, like a utility.

Saves Time - Rapid deployment of software applications, no need to install software and configure networks and security. Better response time in most applications compared to standard server and hardware.

Page 13: Cloud Computing for Nonprofit Organizations

Benefits of the Cloud

Scalability - You can scale your needs seamlessly rather than having to go out and purchase new equipment and software.

Convenience - Staff and volunteers can access your applications from almost any Internet connection without setting up VPNs, or systems to allow remote access to your servers.

Open Architecture -You are no longer tied to a specific operating system, since most cloud applications will run on all web browsers.

Page 14: Cloud Computing for Nonprofit Organizations

Benefits of the Cloud

Disaster Relief - Your data will be stored in a secure data center. You won’t have to worry about data loss from natural or unnatural disasters.

Security - Your data will be stored with companies that are SAS 70 compliant. Data centers are protected by firewalls, staffed by employees that have passed background checks and require ID badges for access. Ultimately, much more secure than you can ever afford.

Page 15: Cloud Computing for Nonprofit Organizations

Risks of the Cloud

Loss of Connectivity - If you Internet connection goes down, you don’t have access to your applications. If you have a slow Internet connection, then cloud computing probably will not work for you.

Service Level - Make sure your provider is reputable and provides an acceptable level of uptime and rapid response.

Regulatory Compliance - If you require HIPAA or PCI compliance, or other compliance, make sure your provider is certified.

Page 16: Cloud Computing for Nonprofit Organizations

Types of Cloud Computing

IaaS - Infrastructure as a service. Hardware, servers, storage.

PaaS – Platform as a Service - Operating systems, database management, system monitoring.

SaaS – Software as a Service. Software applications, full web services.

Page 17: Cloud Computing for Nonprofit Organizations

How is your Nonprofit using the Cloud now?

Email - SaaS

Web site - PaaS and SaaS

Online banking - SaaS

Off-site Backup - IaaS

Payroll Service - SaaS

Social Media - SaaS

Webinars - SaaS

eCommerce - SaaS

Page 18: Cloud Computing for Nonprofit Organizations

Common SaaS Applications

Software as a Service

Document Sharing – Google Docs, MS Office Live, Zoho

CRM Solutions – Salesforce, eTapestry, Convio

Accounting – NetSuite, Intaact, FastFund

Payroll – ADP, Paychex

Backup – Mozy, Carbonite

Collaboration – Webex, GoToMeeting, ReadyTalk

Social Networking – Facebook, LinkedIn, Twitter, Google +

Page 19: Cloud Computing for Nonprofit Organizations

Benefits to Your Organization

Staff can focus on what it does best – mission and programs

Always have the latest technology

Fixed, predictable, measurable costs

Reduce IT expenses

Save on total cost of ownership

Improve capabilities and service levels

Page 20: Cloud Computing for Nonprofit Organizations

Things to Consider

More IT choices make decision making more complicated and confusing.

Some cloud based services are still in their early development stages. Haven’t reached the level of product maturity compared to products on the market for many years.

Other services are more mature and well developed, such as web-hosting, conferencing and CRM.

Page 21: Cloud Computing for Nonprofit Organizations

Things to Consider Lower Barrier to Entry

Because of the pay per user subscriber model, large scale enterprise applications can be cost effective for small organizations. The outright purchase of these applications would not be cost effective.

Total Access

More staff and volunteers have access to the SaaS applications.

Fund Raising, accounting, volunteer management have solid offerings in the cloud.

Page 22: Cloud Computing for Nonprofit Organizations

Things to Consider

Software Costs

Legacy software applications installed on computers and networks require maintenance and upgrades.

Migration to the cloud to replace these legacy systems will be gradual.

Monthly fixed fees will increase. Buying and upgrading software costs will decrease.

Page 23: Cloud Computing for Nonprofit Organizations

Things to Consider

Hardware Costs

Hardware costs will decrease as there will be less reliance on internal networks and servers.

New computers will be less expensive, since most of the computing power will be moving to the cloud.

More money will be spent on mobile devices – smart phones and tablets.

Internet and telecommunication costs will increase due to higher bandwidth requirements.

Page 24: Cloud Computing for Nonprofit Organizations

Economy of the Cloud

Reduced capital costs

Lower IT hardware costs

Lower IT staff costs

Higher Operational Costs

Monthly service fees for licensed SaaS

More reliable Internet and telecommunications

Page 25: Cloud Computing for Nonprofit Organizations

Evaluating a Cloud Solution

Consider the following when selecting a vendor for a cloud solution:

Features

Reliability

Connectivity

Security and compliance

Backup procedures

Ownership of data

Costs – upfront, on-going and extras

Page 26: Cloud Computing for Nonprofit Organizations

Evaluating a Cloud Solution

Service Level Agreements

Contains performance metrics

Problem management resolution

Security

Data backups

Data ownership

Page 27: Cloud Computing for Nonprofit Organizations

Cloud Security Advantages

External cloud data storage reduces exposure of sensitive data

Automated security management

Redundancy and disaster recovery in place

Disadvantages

Trusting vendor

Customer’s inability to respond to audit findings

Indirect administrator accountability

Loss of physical control

Page 28: Cloud Computing for Nonprofit Organizations

Review

Cloud computing has a lot to offer, especially to small nonprofits

Cloud solutions are easier to implement, more secure and are often greener because of reduced IT requirements.

Cloud solutions are not right for every organization or software function

Review with peers, board, staff and consultants before deciding to reach for the clouds.

Page 29: Cloud Computing for Nonprofit Organizations

Cloud Computing for Nonprofit Organizations

Joseph ScaranoAraize

[email protected]

800 745-4037

Page 30: Cloud Computing for Nonprofit Organizations

Sponsored by:A Service

Of:

Find listings for our current season of webinars and register at:

NonprofitWebinars.com