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The ROI Series: Calculating the ROI of a Technology Investment—Part 1

Cost savings are always important to small businesses — but that doesn’t mean you should skimp on technology. New technology may be necessary for the survival and growth of your business, and may not be as expensive as you think when you consider its return on investment (ROI). In this four-part series, we’ll explain what ROI is, help you understand the types of ROI, and provide guidelines for predicting and measuring the ROI of a technology investment. PART 1: ROI Basics There are two ways to look at the value of technology: total cost of ownership (TCO), which quantifies only the cost of a project, and return on investment (ROI), which quantifies both the cost and expected benefit of the project over a specific timeframe. Traditionally, businesses have used TCO when analyzing the cost of internal infrastructure projects such as upgrading an e-mail system. But even with internal systems, ROI can be a better method. If your old e-mail system goes down, for example, your sales team can’t contact customers electronically and must spend more time making phone calls. If your employees spend two more hours on calls than they would on e-mails, you’ve actually lost money by not upgrading your e-mail system. As an example of how ROI works, consider the case of a small, high-end electronics boutique. The current point-of-sale (POS) software is beginning to show strains from the company’s expansion and increasing inventory, and customer service issues are arising — a problem since the company’s mission is to provide exceptional service. The company’s owner believes implementing a new POS software program will help address these issues, but deploying it will be costly. The key question is which will cost more in the long term: spending the money to provide a solution, or the losses the boutique will incur by not doing so? That question may be easier to ask than to answer. As important as determining ROI is, there is still little consensus about how to measure it accurately. That’s because ROI has many intangibles — things that don’t show up in traditional cost-accounting methods but still maximize the economic potential of the organization, such as brand value, customer satisfaction, and patents. In the next part of this series we’ll discuss these intangibles

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Why not buy Macs and PCs for your Office?

We are seeing Macs and PCs together in more and more offices. Here are some tips to make sure these devices can get along with each other — whether it be sharing files between the two systems, sharing printers, having them talk to each other on the same network, and even running apps on both systems. Unlike a few years ago when Microsoft’s Windows operating system virtually dominated office desktops everywhere, today we are increasingly seeing the use of other operating systems in the office. Typically these other systems are some model of Apple’s Macintosh running its own operating system called the OS X. The OS X, known for its sleek graphics, great multimedia handling capabilities, and easy-to-learn user interface, has gained favor among many users and businesses. Sometimes, however, problems arise when having to use different systems in the same office or network environment. Here are some tips to eliminate common issues your users might face when working with others on a different system: File Sharing . There was a time when transferring files between a Mac and a PC was a painful process requiring understanding different file system structures, resource forks, file name limits, and other such nonsense. Thankfully those days are over. Many Mac applications today can open files created on a PC and vice versa — such as office documents, images, video, and more. Getting files from one system to another is also easy as you can transfer via a removable drive. Both systems should recognize the file system on the drive — especially if it was formatted using Window’s file system (doing it the other way around might be a bit more difficult). OS X “Leopard” Macs can also read or write to drives that have been formatted using a special format from Microsoft called NTFS, and other freely downloadable utilities can also help. If this sounds like too much work to understand, you can also simply burn a CD or email files from one system to another — or better yet, set up a network for file sharing. Making Macs and PCs talk on the same network . If you’re a little more tech savvy, you can connect your Macs to your PCs directly or via a network. Typically this requires a network cable connected to both devices and having network sharing turned on. Enabling network sharing is outside the scope of this tip, but many online resources are available to help you connect a PC to a Mac or a Mac to a PC. Running the same desktop applications on both a Mac and a PC . For really advanced users, did you know that you can run Windows on a Mac or OS X on a PC? The former is bit easier and more common, thanks to techniques such as dual booting or virtualization. In dual booting (what Apple calls “Boot Camp”), you essentially install both operating systems on a Mac and on power up, you can choose which operating system to boot. Virtualization on the other hand is way slicker as you can run both operating systems at the same time. In virtualization, you boot Windows in a window within OS X, allowing you to effectively run Windows applications on a Mac. There are also many commercial applications that can help with this. The future: Cloud Applications. As we all start to access more cloud-based applications, the operating system you use is no longer as critical. As long as your systems have an Internet connection and a browser, then you can use different systems and it doesn’t matter what operating system or hardware is being used. So running both Macs and PCs in the same office is not necessarily a bad thing, as it has been in the past. Dozens of options exist today to make the situation manageable, if not downright easy. If you need help, don’t worry — we’re here to assist. Call us today to find out how you can get Macs and PCs to work together for your business today.

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Lessons from the Epsilon Incident

One of the world’s leading email service providers, Epsilon, found itself the victim of a phishing attack that saw a significant amount of data lost to cyber-thieves. It’s important to learn from mistakes like these and make sure that both your own and you clients’ data is kept secure and safe from thieves. There’s been a lot of buzz recently about Epsilon, one of the biggest email service providers in the world, as it suffers from the backlash of allowing itself to be a victim of phishing efforts – which has affected the business data of as many as 50 major companies who are clients of theirs. Reports are also citing Epsilon’s failure to heed an alert from a business partner which advised the provider to be on its toes against potential attacks from cyber-criminals targeted towards email service providers. The damage estimates vary, with Epsilon citing only about 2% of their data being stolen, but the impact is undeniable. Cyber-criminals now have access to a sizable number of personal data stored through Epsilon – passwords, account numbers, and even the purchasing / buying habits of the customers of Epsilonงs clients. Many of Epsilon’s clients are now sending out messages to their own customers, warning them that their email addresses may have been compromised. It’s a lesson to companies, big and small, to pay more attention to beefing up their security protocols, since all it takes is one breach to endanger all of your data. In addition to having the right security software, it also helps if you require your employees undergo proper user training to make sure that they won’t be easily baited by scams like phishing, and will be more aware of how to contribute to the safety of your business data. Failing to do so puts not only your company, but also your clients, at risk. If you’d like to make sure your systems are safe, call us and we’ll evaluate your current security measures and suggest ways to make critical improvements.

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A +1 for Google +1

Google is making its searches more effective through the introduction of Google +1, an experimental program that allows users to recommend websites by pressing a +1 icon that appears beside Google search results. Visit google.com/experimental and see what the fuss is all about. While still in the experimental stage, there is a lot to be excited about with Google’s new thingamajig, Google +1 from Google Labs. Google +1 is essentially a button next to each search engine result that you can click when you want to recommend a particular link or website. Google describes it as something you use “to give something your public stamp of approval, so friends, contacts, and others can find the best stuff when they search.” The program is not available for everyone just yet, but participating and testing it out is easy. You’ll need a Google profile to participate, then just go to google.com/experimental and click the “Join this experiment”. After a few minutes, you’ll begin seeing a +1 icon / button beside results on any Google search results page. Click the button for sites you want to recommend, and Google will ask you to confirm. On your Google profile, you’ll have a tab where you can see the sites you’ve recommended through +1. You’ll also have the option to uncheck the box that will allow Google to use your +1 information to send you targeted advertisements. Especially for businesses, a +1 for your website can maximize your SEO capabilities as well as lend credibility to your website. Anyone can +1 your website – colleagues, clients, and even friends – so the more +1s for your site, the more visible it becomes. Try Google +1 and see how it works for you.

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Have You Done a Test Restore Lately?

A lot of businesses make it a habit to back up their data, and leave it at that. But many do not realize that there is another half to an effective backup system – regularly testing it. One of the most basic actions a company takes – big or small – with its data is back it up. It’s become a mantra in this age in which information is more easily stored and managed digitally: steps must be taken to ensure that data is regularly backed up. If any malfunction, misfortune, or human error occurs, with a good backup system you won’t stand to lose thousands or even millions of dollars in lost data. But there’s more to backups than meets the eye. Let’s say you have a backup system and you lose your data – how sure are you that you will actually be able to get all of it back? It’s surprising that while many companies do back up their data, very few actually conduct tests in actual data restoration. How can you be sure that your backup system will perform as expected when the time comes? It’s especially important for you to iron out all the kinks in a system as essential as your backup before you actually need it. When the worst happens, one of the last things you want on your plate is contending with any glitches or complications that you missed in your data restore system because you failed to test it properly beforehand. Not having a smooth and well tested restore system defeats the purpose of having backups in the first place. After all, what’s the point of having backups if you can’t retrieve your data properly? You need an efficient system that is regularly tested to make sure that your precious data can be easily and smoothly restored when circumstances call for it. If you’re not positive that you’ll be able to access all of your data if disaster should strike, give us a call. We’ll evaluate your backup and restore processes and make recommendations to ensure your business data will be at your fingertips no matter what happens.

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Dual Screens: Good or Bad?

Dual or multiple screens may seem excessive for some, but in truth it might just be the thing that helps you boost productivity and efficiency in the workplace. At first glance, people may find the use of dual screens a bit excessive and therefore unnecessary, but the truth is that there is more to it than it may seem. In truth, there are a lot of advantages to using dual screens, provided that you can cope with the cons and challenges of utilizing such as system. The primary advantage of dual or multiple screens is increased productivity. Several studies have shown that using such a system can boost productivity anywhere from 10 to 40 percent. Especially if you use multiple programs at the same time, it allows you to better keep track of workflow, have a improved view (physically and metaphorically) of what tasks you are working on, and divide tasks based on the monitors you are using. For example, you might need to be constantly online on social networking websites like Twitter, Facebook, Linkedin, or Formspring to interact with your clients and give immediate responses to queries and concerns. In addition, you may need to attend to other tasks, which can be confusing when done all in one screen. With a dual monitor setup, you can keep your social networking tasks on one screen, and the rest of your tasks on the other. Space consumption and resources may be an issue for some, but given the increased productivity that goes with adapting such a system, you will find your tasks accomplished much earlier and much more efficiently. This can effectively offset any additional costs, especially in the long run. If you are looking to give this type of system a try, please contact us and we’ll be glad to draw up a proposal that will meet your particular requirements. Additional resources: Advantages and Disadvantages of Working with Multiple Screens

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Security: Don’t Wait Until It’s Too Late

A recent study by IT security firm Symantec shows that at least half of SMBs lack the proper security for their systems, which puts both them and their clients at a grave disadvantage. It seems that despite the risk, many SMBs (small and mid-sized businesses) are not taking security seriously enough, according to a recent survey by security giant Symantec. The study reveals that many SMBs lack a security or disaster-preparedness plan. The risks are real enough, with an SMB standing to lose somewhere in the ballpark of $12,500 PER DAY when operations are interrupted because of security breaches or malware attacks. According to Symantec, of the 1288 SMBs they surveyed worldwide, about half have no security or disaster-preparedness plan whatsoever. Of that 50 percent, 36 percent intend to get or create a plan in the future, while the remaining 14% have no plans on their agendas whatsoever. With these figures, it’s hardly surprising that the study also found that many SMBs only act when it’s too late – which causes not only lost revenue for them, but for their clients as well. More than half of the surveyed SMB clients – 552 – said that they have had to switch providers due to unreliable and irresponsible service. Numbers do not lie: security is more important than you might think. Don’t wait until the last minute to find out just how essential it is before enacting a security plan of your own – for your sake as well as that of your clients. Having the right kind of system in place is vital to keeping your operations smooth and efficient, as well as enabling you to better respond to your clients’ needs. If you want to know more about implementing the proper security and disaster-preparedness protocols for your business, please contact us and we’ll be happy to sit down and create a customized plan that will meet your specific needs and requirements.

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How to Protect Your Data When Employees Leave

The growth of technology in the business environment has been a boon, but it also gives departing employees many methods of taking data with them. In the past, they used CDs; today, they can copy files to a portable USB storage device, email them, or even use a smartphone. Here’s how you can protect yourself. Remember the days when employees kept important information in paper files? They are long gone. According to a study conducted by the University of California at Berkeley, almost all of today’s new information is stored electronically. And that could mean trouble for your company when an employee resigns — because electronic documents are both easy to copy, and portable. That makes them more prone to theft than paper documents. Case in point: In August 2009, DuPont filed a lawsuit against a research scientist who allegedly stole more than 600 files by copying them to a portable hard drive. And that wasn’t an isolated incident; another DuPont research scientist was sentenced to an 18 month prison term for stealing proprietary information worth $400 million. Think employee data theft doesn’t apply to your type of business? Think again. A 2009 study conducted by the Ponemon Institute found that data theft is rampant in the business world. According to the study, 59 percent of employees who quit or are fired take confidential business information with them. And when the employee works in IT, the access to confidential data is even greater. A 2008 study by Cyber-Ark Software found that almost 90 percent of IT employees would take sensitive company data with them if they were laid off. The lesson: When employees leave, you must take steps to protect the electronic information they have access to. This may include customer information, financial records, trade secrets, intellectual property, and email lists, to name just a few items. We recommend that when an employee leaves, you prevent his or her account access, set the account for immediate review, save any necessary files (which may involve consulting with other departments for verification of documents), then delete the account. In addition to protecting data, this will also optimize server space and open up more storage space for the company. While some employees might argue that they need access to their personal files before departing, and you may grant such access (supervised, on a case-by-case basis), it is not required; any of the information that is located on a company computer is company property. In a sensitive situation it’s always good to let us know ahead of time so we can help you prepare for a well-managed and secure transition.

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Why You Should Encrypt Your Email

We often send out highly sensitive, if not confidential, information through our email accounts such as banking information, passwords, pictures, and more. But how many of us actually take time to make sure the emails we send out are secure? Here is a guide for keeping your email away from prying eyes. Encrypting email is relatively easy with today’s software. Usually it involves the use of a public key and a private key. The public key is available to everyone, and if you want to send someone an email message you would use that person’s public key to encrypt that message. That person in turn would use his private key, to which only he has access, to decode that message. Software such as the latest versions of Microsoft Outlook supports this feature , and even flags you if the recipient’s email software does not support encryption. Some systems take it a step further by allowing you to digitally sign your emails, so that other people can verify that it is you who actually sent the email and not someone else. This is especially important since hackers sometimes spoof or impersonate the identities of others to fool unsuspecting users. If you are interested in finding out more about email encryption and security, contact us today to find out how we can help make sure your messages are safe and secure.

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Japan’s Lesson

The 8.9 magnitude earthquake off the eastern coast of Japan was not a local event; it triggered a tsunami warning for Southern California, impacting many American companies — and reminding all of us just how important it is to have a Business Continuity Plan. What Japan Can Teach Us about Business Continuity When a powerful earthquake rocked northeast Japan in March 2011, the impact was felt across the globe — a powerful reminder of how important disaster recovery plans are to all businesses. You may think of disasters as being relatively rare events, like earthquakes—but however rare in any one location, events such as these can have an effect on many other locations. Case in point: According to Bloomberg, at least 35 companies derive 15 percent or more of their sales from Japan. Among them are Aflac (an insurance company), Rambus (a memory-chip interface manufacturer), and Coach (a retailer). For example, Japan generated about 75 percent of Aflac’s 2010 sales. American ports and shippers were also affected:  the Port of Los Angeles temporarily suspended the transfer of hazardous materials and bunkering fuel operations. The point is that disasters, whether acts of nature or man-made mishaps, can strike unexpectedly at any organization. Recovering from a catastrophe can be very demanding, expensive, and time consuming — especially for those who haven’t taken preventative measures and preparations. What can you do to prepare? Develop a Business Continuity Plan (BCP), which will enable your business to resume normal operations after a significant data loss or network downtime due to natural disasters, sabotage, theft, or equipment failure. Even if you already have a BCP, it’s important to make sure that your plan is flexible and scalable, and can adapt to the natural changes that your business undergoes. For example, software and hardware installations, updates, and modifications are an important part of business continuity planning. Your data should be properly and regularly backed up, and you need storage and recovery systems and procedures that are continually updated with changes that constantly occur in your IT. In addition to having a flexible and scalable BCP, you also need a highly skilled IT staff that is up to speed on the importance of backup and recovery of data. It’s important that this staff is properly trained to implement your BCP in the event that your business experiences a major data loss. Unfortunately, companies routinely suffer significant data loss because they discover the errors in their systems too late — usually while trying to recover the data. Your business is important to you — and to us, too. We’re here to help you create or fine-tune a BCP that is best suited to your unique business needs, as well as prepare and assist your staff in implementing the plan should it become necessary. Contact us for more details.

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