Virtualization and Small Business
If your small business is currently enjoying success, odds are you’ve integrated technology into its operations because, like it or not, it’s nearly impossible to conduct business today without embracing some form of technology. And as the world continues to grow increasingly dependent on technology, the need for integrating even more IT-based initiatives into small business will arise. One of these important technologies is virtualization.
What is Virtualization?
Understanding the concept of virtualization can be confusing since the term has varied uses. However, according to its most universally-accepted definition, virtualization is the ability of a single machine to run multiple operating systems at the same time by utilizing compartments called virtual machines, hence “virtualization”. Originally, virtualization was a great tool for software developers testing their product on different operating systems. Now, the new technology can be used for just about anything — networking, data storage, software development, etc. Consequently, virtualization has immense potential to reduce IT costs as well as increase efficiency and flexibility within organizations.
While there are a handful of virtualization technologies applicable to small business, server virtualization is, perhaps, the one that’s most pertinent today. Specifically, server virtualization is the practice of consolidating multiple servers to operate on a single machine. These consolidated “virtual” servers could be a single small business network or a number of independent organizations; either way, there are a number of benefits from utilizing a single machine at its full capacity.
Advantages
Server virtualization poses significant advantages for your small business, the greatest of which is cost. When effectively utilized, server virtualization has the potential to reduce your total cost of operation. Reduced downtime, maintenance, and energy costs all mean reduced investment. And that means you’re saving money. Virtualization also allows you to use multiple operating systems, granting your organization flexibility. Additionally, by virtualizing servers you can prevent changes in one application from impacting other applications. Virtualization is also considered a ‘green’ technology because of its lower energy consumption and carbon dioxide emissions.
Disadvantages
Every set of advantages comes with a few other things to consider. For many, the upfront cost is an immediate deterrent, especially with small businesses watching their budgets so closely. However, the biggest concern for many considering virtualization is security. In order to optimize space, one server could maintain any number of virtual servers from different organizations or departments. This, of course, raises many questions with respect to information security.
Additionally, with increased server utilization and reliance on newer technology comes the potential for increased complexity that could result in more maintenance and upgrades. However, in a pay-as-you-go model in which you subscribe for server space, this should fall into the lap of the provider.
With or Without
Let’s say, as a small business, in addition to hosting and maintaining your own web site, you also operate a small business network or company intranet. As a result, your organization was forced to purchase a number of expensive servers because the softwares for operating the network and web site were incompatible. Now, while these servers do provide the capacity and capabilities to operate both the web site and small business network, they are vastly under-utilized. Even if your servers did operate at near-full capacity during peak-hours, during off-peak hours, those power-hungry servers are sitting idle running up your energy bill. And don’t forget they all need to be kept cool. At this point, you’re needlessly wasting energy and certainly not getting your money’s worth. Later, you find yourself putting more money into the servers for unscheduled maintenance and updates.
Now, let’s say, instead of purchasing multiple servers, you’ve opted to virtualize. This means you need one server. You pay more upfront for the virtualization technology, but immediately you experience a reduction in energy costs and maintenance. Over time, your initial investment has paid itself back, and, as energy costs rise, you’re saving money.
In addition to being environmentally-friendly, technologies like virtualization are enabling small businesses to succeed. By reducing operating costs and providing a platform for commerce, virtualization is a key component in the future of business, big and small alike.
~Richard McNeal, 2009
