Application Management: Traditional vs. Hosted Application Outsourcing

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Application Management

• Traditional vs. Hosted Application Outsourcing

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Application Management

• Market has been trending to application
  management outsourcing because of the significant
  business value
• The difference between traditional and hosted
• Application Location traditional houses apps at
  the customer site, while hosting accommodates the
  applications at the service provider site

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Application Management

• The difference between traditional and hosted
• Hardware Procurement, Financing and Configuration
  company is responsible for these functions in
  traditional outsourcing, while service provider
  assumes the responsibilities in a hosting model
• Hardware Management company is responsible for
  hardware management in traditional model, while
  service provider is responsible for managing all
  hardware and guarantees high level of
  availability in hosting model

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Application Management

• The difference between traditional and hosted
• Infrastructure and Application Sharing neither
  the infrastructure nor the application is shared
  in a traditional model, while in a hosting model
  infrastructure may or may not be shared
• Advance Technologies service provider uses
  automated provisioning, management, monitoring,
  maintenance technologies and virtualization in a
  hosted model. These technologies are designed to
  reduce costs from traditional models

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Application Management

• The difference between traditional and hosted
• Pricing flat, per user amount each month for
  hosted model, while traditional models can
  involve much complex agreements
• Upgrades no need to worry about software
  upgrades, patch releases, etc. The service
  provider assumes this responsibility in a hosted
  model arrangement
• Services can be tailored to specific
  requirements. The main value proposition on all
  outsourcing models are lower cost higher service
  levels

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Application Management

• Leveraging Application Management into the Future
• Application management outsourcing will increase
  due to cost savings, greater agility, reduced
  risks and improved system performance
• Business have realized its not economical to
  staff 24/7 operation with experts in all aspects
  of ERP management

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Application Management

• Leveraging Application Management into the Future
• Improved business agility companies can direct
  their energies to accomplishing corporate goals
• Lower risks and improved business performance
  companies will reduced risks of data loss and
  service provider creates higher availability for
  any upgrades or latest technologies

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Application Management

• Leveraging Application Management into the Future
• Companies will remain focus on cutting costs and
  enhancing operational efficiencies
• Goals can be achieved through effective
  application management outsourcing
• In-house management ERP applications proves to be
  unnecessarily expensive

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About the Author

• Chuck Vermillion is CEO and founder of OneNeck IT
  Services, a leading provider of hosted
  application management and managed services since
  1997. For more information about Application
  Management, visit http//www.oneneck.com/Solutions
  .aspx today.