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To Cloud or Not to Cloud: That is the Compliance Question

Some companies have embraced cloud technology with open arms, while others approach it with extreme wariness—understandably so, since for industries that handle sensitive data, cloud security risks could spell disaster. However, fear of the cloud often comes from a lack of information rather than actual risk.

Companies today have the opportunity to use public, private, and hybrid cloud options, yet many technology leaders continue to vacillate in their cloud approach. Some still favor legacy solutions, even though they run slower and cost more. Others only use public or private cloud solutions minimally, and haven’t yet explored the possibility of hybrid solutions.

The Possibilities of Hybrid Cloud

A hybrid cloud setup offers companies the greatest flexibility yet. If you have sensitive data, you can still use traditional networking for data storage while running some enterprise applications through a public or private cloud. The solution allows companies to setup a customized cloud structure that makes sense on every level.

The Risk Versus The Reward  

Companies that look at the full threat landscape understand the potential risk of cloud solutions. While it will always carry a certain level of risk, lost devices, human error, and other types of breaches often represent a higher risk of vulnerability than a cloud solution. Furthermore, 3rd party companies often run private, public, and hybrid cloud solutions. Your security is in a vendor’s best interest. Without strong security protocols and continual updates, they could lose clients and their reputation in the industry.

All organizations in every industry are moving to the cloud. They may not house everything there, but they use it to some extent. Companies that fail to explore the possibilities today may not keep up with the changing digital needs of their target markets down the road. 2016 is the right time to explore a cloud migration.

Compliance and Security: Hybrid Cloud in Tough Verticals

Some industries must consider regulatory requirements before moving their enterprise applications and data into a cloud solution. Healthcare, government, and the finance industry all represent fields with data sensitivity concerns. Luckily, many vendors and a government program called FedRAMP now offer highly secure and customizable hybrid cloud solutions, so certain industries can maintain compliance while continuing to transition to the cloud.

FedRAMP, Healthcare, and Government Agencies. FedRAMP stands for Federal Risk and Authorization Management Program. It’s a program that standardizes security for cloud solutions. Companies that offer authorized FedRAMP security with their cloud solutions meet the security requirements sensitive industries can use to safely move their data and solutions into the cloud. Amazon, Windows, and IBM all offer FedRAMP cloud solutions for government agencies and other organizations.

The Finance Sector. Major banks, lenders, and other financial institutions—all heavily regulated—have discovered that the benefits of cloud migration outweighs the risks. They can work faster with less downtime and more comprehensive data management in the cloud, than in any traditional solutions provided. Plus, moving to the cloud is incredibly cost-effective. Hybrid solutions benefit internal operations, but more importantly, they benefit the customer.

Choosing a Hybrid Cloud Provider 

Hybrid cloud solutions are scalable, so companies can use them on a small scale before they rollout a comprehensive solution at the enterprise level. Companies that still harbor reservations may find this type of approach more digestible. If you’re interested in seeing what the hybrid cloud can do for you, learn more about your compliance requirements. A cloud vendor that readily understands the regulatory constraints you face will know how to recommend a hybrid solution that allows you to create a secure solution.

When you adopt cloud solutions, they will offer more flexibility, faster transmission speeds, and enhanced productivity. Look for solutions that can support your needs today, as well as projects for the future of your industry. Explore how moving to the cloud will change device policies, IoT acceptance, and remote worker capabilities. A hybrid cloud investment will not only benefit your company today, it will also drive progress tomorrow.

Additional Resources on this Topic:

Hybrid Cloud: A Real Business Puzzle
Why Organizations Might Need a Hybrid Cloud
Five Hybrid Cloud Security Issues to Overcome

This post was brought to you by IBM Global Technology Services. For more content like this, visit Point B and Beyond 

Photo Credit: iebschool via Compfight cc

Daniel Newman

After 12 years of running technology companies including a CEO appointment at the age of 28, I traded the corner office for a chance to drive the discussion on how the digital economy is going to forever change how business is done. I'm an MBA, adjunct business professor and 5x author of best-selling business books including "The Millennial CEO" and "The New Rules of Customer Engagement." Pianist, soccer fan, husband and father, not in that order. Oh and for work...I'm the CEO of Broadsuite Media Group and President of V3 Broadsuite, a family of marketing and media agencies that help companies be found, seen and heard in a cluttered digital world. I also give keynote speeches around the world on the topics such as digital transformation, technology and marketing.