It's also a question many small and mid-sized companies are going to need to wrestle with as they find their needs for data outgrowing their current accounting software. The temptations to consider a cloud-based SaaS (Software as a Service) ERP program are strong. Cloud-based services are advertised as extremely secure, but can you be sure?
Several high-profile security breaches, including Anthem, Evernote and LastPass can leave companies understandably concerned. According to InfoWorld article, The Dirty Dozen: Top Security Threats in Cloud Services, which is reporting on the Cloud Security Alliance’s 2016 Top Threats Report, there are many things to keep in mind in regard to Cloud ERP security risks:
- Having data in the cloud makes you a more attractive hacking target.
- Using the Cloud means giving special attention to securing:
- User keys and multi-factor authentication
- Encryption Keys
- Program bugs. As the article says, “System vulnerabilities, or exploitable bugs in programs, are not new, but they've become a bigger problem with the advent of multitenancy in cloud computing. Organizations share memory, databases, and other resources in close proximity to one another, creating new attack surfaces.”
- Shared tech means shared risk. “Cloud service providers share infrastructure, platforms, and applications, and if a vulnerability arises in any of these layers, it affects everyone.”
- User security goes beyond in-system password security. The BYOC trend (bring your own cloud), where workers are introducing their own cloud-based apps to their jobs, also needs to be addressed. Employees using BYOC can put the corporate cloud at risk. A Skyhigh Networks analysis recently estimated that 21% of files uploaded to employee cloud file-sharing services included sensitive data, including intellectual property.
Cloud-based services are bound to grow, and their purveyors are going to promise that security will grow with them. But you must decide if that risk of early cloud adoption is worth it for your company. If you have questions about cloud-based ERP and other methods of securing your network solutions, contact Parallel Solutions at (440) 498-9920 to learn about the risks and rewards of various options.