Only a multi-tenant cloud is a real cloud?

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The first is essentially a local solution on a third-party infrastructure, and the second is a true cloud solution with high scalability.

Companies often make decisions in a hurry and do not consider all the consequences of choosing a particular model. Management may honestly believe that the only difference between the two is whether the cloud is public or private. Plus, a private cloud might seem more secure by default.

Let’s see what are the real differences between single-user and multi-user environments and why the latter are often called the only real cloud.

Why deployment model matters

It sets the key parameters for the modernization of the company. Making the wrong choices can waste resources, including team time and effort.

For example, a single-tenant deployment can lead to unexpected costs, a high IT effort, and a barrier to cutting-edge functionality that requires significant cloud capacity. Some organizations are not aware of the implicit limitations of a single-user cloud, and as a result, this option becomes like transferring old problems to new equipment installed in a foreign data center.

Solve problems, not save them

Updating the solution is a chance to introduce new technologies, processes, and reach a fundamentally new level of operational flexibility. That is why it is so important to choose the right model.

Migration to the cloud is an opportunity to say goodbye to redundant customizations that make it difficult to install updates. The technical transfer of an obsolete solution to the cloud only cements old problems and creates new ones.

Major differences

In the case of a single-user architecture, the software for each client operates on a separate server infrastructure. This is largely similar to an on-premise deployment, which gives the company more control but requires more effort and investment.

A company can take an existing system with all its advantages and disadvantages and move it to the cloud. However, she continues to be responsible for some aspects of the solution, such as security and backup. Yes, as an option, these responsibilities can be transferred to the hosting provider for an additional fee, but all this increases the cost of maintaining the solution.

A multi-user environment allows multiple clients to use one application in the same operating environment on shared hardware and facilities. This cost-sharing model reduces investment requirements while also demonstrating the benefits of standardizing all processes, service protocols, and security. Public cloud solutions provide excellent scalability, customization, and are easily upgradeable, unlike solutions with a lot of customization.

Extra effort and expense

Let’s analyze what factors of deployment in a single-user environment mainly affect the growth of costs.

ST MT results
  • Routine maintenance and backups
  • The responsibility lies with you or the service provider, you will need qualified personnel.
  • The vendor is responsible for maintenance and backups.
  • With the MT option, a team of experts is responsible for the service, not your company.
  • Reservation
  • Reservations can incur significant additional costs.
  • Automatic scaling provides full redundancy.
  • MT-implementation guarantees redundancy.
  • Disaster recovery
  • It is expensive.
  • Built-in disaster recovery, distributed data centers.
  • Often free for MT and very expensive for ST.
  • Security
  • Security measures are selected individually, this increases the cost and creates additional risks.
  • Best-in-class technology is being used for multiple tenants, reducing cost.
  • The ST variant is more vulnerable due to the use of less efficient technologies and the inability to respond quickly to new threats.
  • Installing updates
  • Updates are installed on their own and may require no less resources than local installation.
  • Regular updates at least once a month.
  • With MT implementation, monthly updates do not cause drastic changes in processes, are free and allow you to always work in the current version of the system.
  • Scaling during a period of temporary 
  • Investment in additional capacity is required in case of peak load.
  • Flexible scaling is built into the model.
  • The MT model offers more flexibility and lower costs.

There are other benefits to multi-user deployments:

  • – Additional features. The power of the public cloud opens access to the technologies of the “Internet of Things”, artificial intelligence and machine learning.
  • – Platform as a service. MT architecture offers no-code or low-code tools, so business users can create reports themselves, personalize forms, and more.
  • —Custom tools. Modern solutions offer tools that are both scalable and personalized without the need to make significant changes to the original product.
  • —High quality comprehensive solution. The solutions used in industrial-grade multi-user environments are known to meet rigorous testing and quality control standards.
  • —Optimization of processes. Often, industry best practices are already built into these solutions. This is especially true for the highly efficient workflows proven by industry leaders.
  • —No problems with customization. In industrial cloud solutions, customizations are not needed, which often cause problems when installing updates. Working in the “no modification” mode allows you to focus on developing, rather than maintaining the traditional processes necessary to maintain the health of the system.
  • Digitalization. Implementing the solution in a multi-user environment provides the necessary foundation for digital business transformation. Flexibility and scalability allow you to freely implement a long-term transformation strategy and provide operational leadership.
  • – High level of security. In cloud environments, security is provided by professional teams constantly developing new approaches to countering cyber attacks.
  • —Automatic backups and backups provide complete crisis protection.
  • Scaling up and down. MT solutions easily adapt to temporary load peaks.
  • Timely updates. In the public cloud, updates are installed at the time they are released, so your solution does not become obsolete.
  • Cost control. You will be able to reduce personnel costs, security, maintenance of excess capacity to cover peak needs and disk space for storing backups.
  • Flexibility. Capacities can be increased as needed, with acquisitions of other companies or the opening of new branches. At the same time, the vendor provides localization of the solution, so you can easily enter new markets.
  • Development. When the IT team is not in charge of maintaining the solution, resources can be devoted to supporting critical tasks that are directly related to the business.

Practice: betting on the cloud

TECHNONICOL Corporation, a leading international manufacturer of reliable and efficient building materials and systems, has become one of the pioneers of deploying software solutions in the cloud. Thus, within the framework of a multi-level digital transformation, the cloud solution Infor EAM was introduced for managing fixed assets of the enterprise, with the help of which the following are fully automated: the management and supply system for maintenance and repair processes, the work planning system, the processes of interaction with contractors, mechanisms for accounting for work and maintenance. transport.

In addition, it was possible to reduce the costs of managing and operating production assets, maximize the return on digitalization, laying the foundation for further scaling of capacities without significant capital investments in infrastructure.

The cloud-based implementation model removed from TECHNONICOL the need to take care of the state of the infrastructure, to support and maintain it.

This example demonstrates the benefits of cloud technologies that were available at the early stages of the development of this model in Russia. Now companies in various industries around the world are fully aware of the value of cloud implementation options, striving to update and modernize processes as painlessly as possible in order to increase competitiveness. Moving to the cloud is a necessary part of the strategy.

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