More than 80% of CIOs unable to meet “always on” requirements

by

14 December 2014
Veeam survey

A global survey on data centre availability has found that 82 per cent of CIOs are unable to meet their business’s need for immediate, always-on access to IT services. This availability gap has immediate costs: application failure costs enterprises more than US$2 million a year in lost revenue, productivity, opportunities and data irretrievably lost through backups failing to recover.

These were some of the findings of the Veeam Data Center Availability Report 2014, an annual report about how organisations succeed in guaranteeing access to IT services.

In Singapore, it was found that more than 70 per cent of Singapore companies experience unplanned downtime with their applications and that on average, more than 40 per cent of these unplanned downtime last up to an hour. According to the report, more than 25 per cent of Singapore businesses Veeam spoke to shared that they stand to lose more than $500,000 per hour with one mission critical application downtime.

Other key findings of the Veeam Data Center Availability Report 2014 include the following:

1) CIOs are under pressure to recover data faster

More than 90 per cent of CIOs are under pressure to both recover data faster, reducing the financial impact of unplanned downtime, and also back up data more often, reducing the risk of data loss.

The reasons CIOs are under pressure include more frequent, real-time interactions among customers, partners, suppliers and employees (65 per cent of respondents); the need to access applications across time zones (56 per cent); increased adoption of mobile devices (56 per cent); employees working outside regular hours (54 per cent); and an increasing level of automation for decision making and transactions (53 per cent).

2) Unplanned downtime is driving increased costs

Unplanned application downtime occurs more than once per month (13 times per year) and costs an organisation between $1.4 million and $2.3 million annually in lost revenue, decreased productivity and missed opportunities.

3) Protection is not guaranteed

One in six backup recoveries fails, meaning that with 13 incidents of application downtime per year, data will be permanently lost at least twice. This lost data costs enterprises a minimum of $682,000 annually.

4) Organisations are placing millions of dollars of data at risk of loss

Organisations are also risking between $4.4 million and $7.9 million of lost application data from downtime incidents each year.

To keep pace, enterprises need entirely new types of solutions that enable 24/7 availability in a way that legacy data protection and backup products could never do, said Ratmir Timashev, chief executive officer of Veeam, a Switzerland-headquartered disaster recovery and VMware virtualisation management software company. “This means high-speed, guaranteed recovery of every file, application or virtual server when needed. It means leveraging backup data and environments to test the deployment of new applications, mitigating the risk of failure. And it means complete visibility, with proactive monitoring and alerting of issues before they affect operations.”

The Veeam Data Center Availability Report 2014 is based on a survey conducted online among 760 CIOs of companies with more than 1,000 employees across the United States, United Kingdom, Germany, France, Italy, the Netherlands, Switzerland, Brazil, Australia and Singapore. Vanson Bourne, an independent market research organisation, directed the survey on behalf of Veeam.