Is it time to get a server?

So now you have two or more computers. Whether you have multiple locations, or just several people that would like to share the same data, it might be time to consider using a server to store your data.

A server is simply a computer within your network that other computers (workstations) can access. The usual reason for this is to allow more than one person to access the same data - at the same time. Suppose you have grown to the point that you need to be able to make sales from two computers at the same time. Suppose also that you have a third computer that you use to enter inventory, client information, etc.

Obviously, if these computers are not connected via a network, the job of merging the data on one system with the data on another system can be daunting. You add the inventory data on one machine, and then copy the files to the two sales machines. You have to be very careful that when you transfer files, you don’t accidentally erase information on the machine your copying information onto. More often than not, companies that try to use this solution find that it isn’t a solution at all. If you’ve ever lost your data because of an error copying files, you know what I’m talking about!

The best way to overcome this is to put all of your data on one machine and let the other machines share that data. So, when you add your inventory, the new data pieces are being added to the database. When one of the POS machines sells a piece, it happens in real time on the same data. Every computer knows exactly what is going on in all parts of your database – inventory, sales, and customers. You never have to worry about merging data because all of your machines are using the same data to begin with. You have one set of data to backup, and you can keep adding more workstations as you need them.

The machine that holds your data is called your server. Sometimes, the server is also used as a workstation. That is, as well as storing your data and sharing it with the other workstations, this machine is actually used to enter new data. As you grow, you may dedicate a machine to the task of housing your data. If the machine holding the data isn’t used for other tasks (like POS, or adding inventory) it is called a “dedicated server”. The server and the workstations all talk to each other via a Local Area Network (LAN).

Creating a LAN is very easy. Everything you need (except the wires that connect the various computers) is built into Windows already. Begin by choosing which computer will act as your server – that is, where is your data? The next step is to SHARE the data on that computer so that the workstations can all see it at the same time. Then, from each of the workstations, you tell your Application (the program you use to actually enter your data) that it needs to get its data from the server, instead of from its own local hard disk. In this case, the workstation is called a “Client.” Perhaps you’ve heard of “Client/Server architecture.”

*** Choosing the right application is the single most important part of working with a Client/Server architecture. ***

It doesn’t do any good to connect your computers and share your drives if the application (program) you run doesn’t support networking. You need a system that will let one person be adding inventory while another is selling it. The same is true for adding customers or figuring out your artists’ consignments – you have to be able to do multiple tasks with your data all at the same time.

You should also look for a system that is “scaleable.” Scalability means that as you grow, your computer system can grow with you. Start with one or two users and grow to many users or even multiple locations that all use the same data. In the scalability department, look for a system that supports SQL (pronounced “sequel”) server databases. SQL is a “big boys” database environment, but it’s not that expensive. Even if you don’t use SQL in the beginning, you will want a system that can grow in that direction if needed.

Here’s why you want scalability. Suppose you have 20 names in your mailing list and a “normal” application. When a workstation wants to pull the name “Mary Jones” out of your mailing list, it has to get all 20 names from the server (via your network) and choose the one it wants. With only 20 names, that’s a piece of cake.

Now suppose you have 2000 names. The workstation has to pull all 2000 names over your network wire just to pull out the one name Mary Jones. It has to do this every time it does anything with your contact list. The same is true for your inventory. To pull up one piece of art, the system has to copy your whole inventory over the network and get the piece it needs. You can see how a network can slow down when you have lots of data. Each workstation has to get lots of data. Each new workstation compounds the problem. The bottleneck is always the speed of your network.

With a product like SQL, a workstation doesn’t have to get all of the names and pull out the one it wants. In the example above, the workstation sends a SQL request to the server and asks for the contact Mary Jones. The Server finds the name (since it’s on the servers hard disk anyway) and sends just that name back to the workstation. The traffic on the network gets cut down to almost nothing.

Ultimately, you also end up saving money. Since the server is doing almost all of the actual processing, you purchase one screamin’ fast machine for that position. All of the workstations can then be very basic machines that cost very little.

In this type of setting, the amount of data being sent over the network is so small you can put your server anywhere – even in a different building. And with the Internet, you can even locate your server in a different country!

Yes, the Internet is a pretty big deal these days. What if there was somebody that could house your data, and your application, and let you access it all via the Internet? Actually, these companies are cropping up almost daily.

At first glance, allowing an Application Service Provider (ASP) to house your data via the Internet might seem like a great idea. You can “access your data from anywhere in the world.” You don’t need a “server” because any computer that has a browser can be used to access the data. They will even take care of backups for you!

The ASP model is great for the software developer. Someday, I may even take my company in that direction. There are no distribution headaches and support is a snap. In an ASP setting, the developer only has to maintain one copy of the software, since every user uses the same copy of the program via the Internet. It’s like Ford said, “You can have any color you want, so long as it’s black.”

Beware the ASP sting!

The question is - Whom do you really trust with the family jewels?

It's a question you're going to have to think about long and hard before signing up with the increasing number of ASPs.

Do you really want your contact list, your inventory, and all of your transactions (sales, purchases, etc.) in the hands of another company? Personally, I feel that our industry simply isn’t ready for this new paradigm. There are too many things that can go wrong.

Internet Access - The ASP’s computers can go down – leaving you without access to your data. Even if the ASP computers are working fine, what if you can’t connect to the Internet yourself – ever been unable to log on? If you don’t have access to the Internet, for any reason, you are locked out of using your data.

Speed – Don’t even think about using dial up access. And, even with today’s DSL connections, you are limited to the speed of network traffic over the Internet – and the speed at which the ASP servers can serve your data. If you’re the only user, no problem. But what happens when the ASP starts to serve 10 or 100 or 1000 clients. You ask for your client list, and you have to wait till the server starts processing your task. That’s why some web sites are slow, even if you have a really fast connection.

Mobility – When you house your own data, you can take it with you. With an ASP, this can be difficult. There are several companies in our industry already that would like to move their data to either their own servers, or another hosting company. But since they are using an ASP, they don’t actually control their data. Many are having a hard time getting a copy of their own data to move somewhere else. Imagine having to ask an ASP, “Can I get a copy of all my data so I can move it to a different company?” They’re going to be very helpful, I’m sure. If you really need to “access the data from anywhere” publish it on your own web server, or put it on a notebook computer and take that with you.

Customization – Are you SURE you want to use EXACTLY the same configuration as everyone else in the industry? Some ASPs tell you that you can customize their system. What they really mean is, you may be able to change a few fields on the input screens. But the whole point of the ASP architecture is for the software developer to be able to have EVERY client use the SAME software.

Security – Every ASP seems to “guarantee” security. For many, this simply means that they won’t give it to anyone else. Will they use the information gathered from your system themselves? Often the fine print on the license agreement indicates that they CAN use the data. Even if the ASP isn’t currently in direct competition with you (Many are – they’re trying to sell art to the same clients that you are) what happens if the ASP gets bought out by another company?

The long term – Our industry is going through a lot of consolidation – especially in the Internet arena. Some companies are merging – others are simply going out of business. What happens if your data is on a computer out there in cyberspace and your hosting company goes out of business? Think it won’t happen? According to a September Dataquest article “only 40% of today’s ASPs are expected to survive the next year.” How would you like to have your data on one of the 60% that doesn’t make it?

A month or so ago, one of the major national clothing chains had all of their outlets close when their ASP went bankrupt and shut down the servers. I believe the company eventually got their data from the defunct server, but for a time all of their retail stores were without computer power for sales. What must that cost? And what must it cost to create a new inventory system from scratch?

The bottom line is, while I believe that ASPs are going to dominate the world within the next 10 years, you are far better, for the next few years at least, to house your own data on your own server. I believe this. That’s why our company still distributes our software to one user at a time.

Don’t get stung!