Managed Print Services in the Cloud
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1 Managed Print Services in the Cloud Driving cost reduction and efficiency with managed print services hosted in the cloud June 2014 The office workplace has undergone a dramatic change in recent years. The key trends of mobility, BYOD and the cloud have driven users to expect more rapid access to corporate applications and services. The traditional IT delivery model is adapting to support these requirements, with businesses increasingly turning to cloud computing and managed services, attracted by the cost and efficiency benefits. The business print infrastructure is often characterised by underutilised hardware, inconsistent hardware types across dispersed locations and high IT costs. Leveraging the private cloud as part of a managed print service model can have a positive impact on reducing costs and improving efficiency. This paper discusses how extending MPS to the cloud, through standardisation of infrastructure, virtualised server resources and automated processes, will be a major paradigm shift for the future of MPS. Louella Fernandes Quocirca Ltd Tel : Louella.Fernandes@Quocirca.com Clive Longbottom Quocirca Ltd Tel: Clive.Longbottom@Quocirca.com Copyright Quocirca 2014
2 Introduction The transformation of the workplace is in full swing. Thanks to the bring your own device (BYOD) trend, the consumerisation of IT in the workplace has gained unstoppable momentum. The need to support a highly mobile and distributed workforce demands a new approach to IT service delivery, moving away from traditional, premise-based work environments. Technologies such as virtualisation, automation and open architectures are dramatically improving IT service delivery models, creating opportunities for cloud services that are elastic, scalable and secure. One area that can benefit from a cloud-based approach is the print environment. Printing remains a key business enabler, supporting many business-critical activities. Yet more and more businesses are struggling to manage diverse fleets of printers from different vendors. Consequently they are challenged with ensuring device availability whilst maximising user productivity. As a result, forward-thinking organisations are turning to a managed print service (MPS) as a way to reduce the cost, complexity and risks involved in printing. As the boundaries between managed services and the cloud increasingly blur, a new MPS model has emerged. This maximises the strategic benefits of using an outsourced provider with the scalability and flexibility of cloud computing. The central premise of MPS in the cloud is to consolidate several physical print servers down to a single virtualised one hosted in a private cloud. All processing, management and policy enforcement is handled by the MPS provider through a virtual private print network. This paper discusses how a cloud-centric MPS approach can drive further cost and productivity efficiencies while significantly reducing the IT burden and cost associated with print server management. It should be of interest to organisations of all sizes that are looking to minimise the cost of printing and move towards new solutions that support mobility, enhance security and improve business workflows. The need for MPS Despite the digital age, businesses remain reliant on printing with three quarters 1 of organisations indicating that printing is very important or critical to their business activities. However, many organisations face a print environment that is out of control. Many operate a printer fleet which is a patchwork of devices from different manufacturers. Standalone copiers and desktop printers have been replaced with shared networked multifunction peripherals (MFPs) and workgroup printers, all with varying requirements in terms of service maintenance, supplies management and software. To add to the complexity, ownership is often fragmented across departments, workgroups and locations. Without centralised print management it s almost impossible to track print usage across every device and user in an organisation. An unmanaged print environment creates numerous challenges relating to device sprawl, high energy usage, underutilised devices and rising print server costs. This can be a significant cost and productivity drain for many organisations. Over 50% of organisations are struggling to contain costs, with a third indicating that management and administration of supplies is a key print management challenge 2. Print management also has a significant impact on IT resources. IT staff can spend up to 20% of their time on print-related support issues 2, with only 10% indicating that this burden is decreasing. Meanwhile almost 50% of organisations with 1,000 to 3,000 employees indicated a need to minimise the time IT spend on print management tasks 1. So how do businesses evolve the print infrastructure that many continue to depend on while delivering a consistent, high quality and reliable experience to end users? Many organisations are already turning to third party MPS providers to reduce the burden of print management. MPS makes print costs more predictable and reliable, reduces the risk of operating an unmanaged print infrastructure and frees up resources so that the business can focus on core strategic activities. According to Quocirca s enterprise MPS study 1, reducing costs is the top reason that organisations are deploying MPS (Figure 1). This is primarily achieved through device consolidation, replacing outdated single function devices with modern, energy-efficient multifunction MFPs and employing centralised print management tools to monitor and track print usage. Quocirca
3 How important are the following drivers in motivating a move to MPS? (1= unimportant to 5 = very important) Reduce costs Gain predictable expenses Reduce IT burden Improve service quality/reliability Reduce environmental impact Access new print technology Improve employee productivity Enhance security Better manage centralised print Meet compliance regulations Average score Figure 1. Drivers for adopting a managed print service Organisations are also keen to benefit from the predictable expenses to be gained by moving away from a CAPEX model to an OPEX-led service model. As MPS contracts are typically usage-based and billed monthly or quarterly, businesses gain better visibility of costs, enabling better budgeting, forecasting and reporting. Perhaps the most appealing benefit of MPS is reducing the IT burden, which is achieved through proactive print management. A remote monitoring platform, the foundation of an effective MPS, enables the MPS provider to monitor the health and performance of print assets on a 24/7 basis. This means they can perform proactive maintenance and support as well as automated supplies replenishment. Problems are detected and solved faster, or even pre-empted, leading to a dramatic reduction in unscheduled downtime as well as lower IT costs. While these are all compelling benefits, there are also savings to be gained from tackling an often overlooked element of print management the proliferation of print servers across a diverse enterprise print infrastructure. Quocirca
4 Tackling print server sprawl A corporate network will have many different types of servers in place dealing with different workloads. There will generally be a dedicated print server managing how print jobs are dealt with. A print server acts as a central print management entity through which all users send their print data. Using a print server means there is a simplified, single point of management for print queues, priorities and controlling the availability of a specific printer or set of printers on the network. When a user prints, the entire file is sent to a print server and then to the destination printer. The challenges of managing multiple servers As printer fleets have evolved and expanded, many organisations find themselves operating multiple print servers to support their print infrastructure. This provides a more resilient print network and avoids heavy network traffic but creates a huge IT cost and administrative burden. Typically, for each site a business operates from, it needs one print server and roughly one server for every 100 print devices. So for a 1,000-user organisation with three sites, around 11 servers could be needed 2. This dependency on multiple print servers can create a myriad of challenges: Increased costs Dedicated print servers are costly in terms of licensing, maintenance, storage and energy, particularly for cooling. These costs escalate when servers are deployed across several locations. Device and driver deployment Administrators may face difficulties controlling driver deployment and ensuring the correct drivers are used. Issues may include problems with compatibility, version handling and keeping on top of updates. Driver updates can be time-consuming and driver conflicts can impact on print services, potentially causing servers to fail. Similarly, managing printer configurations with multiple print servers can be an administrative headache. Sometimes administrators have no control or visibility over printer queues, leaving users to modify driver settings themselves. Poor print management Without a centralised print management tool, it s impossible to track usage or device issues across multiple mixed-brand devices. This lack of control can lead to poor device availability and escalating print costs. Redundancy problems Print server failures can stop the availability of print services. This not only impacts on business continuity but increasingly stresses already stretched IT helpdesks with support calls. The benefits of virtualisation Many enterprises are addressing their physical server sprawl by introducing virtualisation, consolidating workloads that were previously spread across multiple servers to a single server. By consolidating server hardware, organisations can reduce capital costs and lower operating costs while increasing utilisation rates. Server consolidation also leads to energy savings as a result of lower power and cooling requirements. Unsurprisingly, virtualisation rates are continuing to rise, aided by the fact that the majority of new servers being installed now come with virtualisation enabled. Quocirca s data centre study 3 shows that the overall rate of server virtualisation (including existing servers) has increased strongly over time (Figure 2). Quocirca
5 Increasing server virtualisation rates More than 50% of our servers are virtualised 34% 31% 39% 30-49% of our servers are virtualised 10-29% of our servers are virtualised 17% 27% 27% 24% 25% 24% Less than 10% of our servers are virtualised 9% 13% 25% Don't know 1% 1% 3% Cycle 3, 2012 Cycle 2, 2011 Cycle 1, % 5% 10% 15% 20% 25% 30% 35% 40% 45% Figure 2. Server virtualisation trends Despite the obvious benefits of server virtualisation, there has been a slower transition to virtualising print servers. However, an effective consolidation strategy for print servers could yield significant cost savings as well as improving efficiency. The consolidation of dedicated print servers with a single centralised server is a critical element of operating an efficient and scalable print infrastructure. Using the centralised server means that printer drivers, printer queues and print policies are managed centrally. It can also reduce network traffic. Built-in redundancy makes recovery from any failure far easier and ensures print devices are available at all times. While there are on-premise solutions that offer print server consolidation, perhaps the most effective approach for businesses that really want to exploit the benefits of MPS is to shift this activity to the cloud. What is MPS in the cloud? MPS in the cloud is an approach to virtualising the print infrastructure that operates like a traditional MPS, except that all the resource-intensive operations are hosted off-site. Rather than purchasing printer or MFP hardware, print servers and software such as print management tools or document workflow solutions, organisations tap into these resources as part of an outsourced MPS. Print servers are consolidated in the cloud and hosted on a closed virtual private network, ensuring data security. This greatly simplifies print management compared to managing a diverse fleet of devices allowing uncontrolled printing, with multiple print servers consuming network bandwidth and energy (Figure 3). Quocirca
6 Figure 3. A managed print network hosted in the cloud Using the cloud addresses the key economic challenges of the print infrastructure reducing costs and lowering the IT burden of print management. Organisations can leverage their existing investments in printers and MFPs, and because services in the cloud can be quickly scaled up, this infrastructure can adapt more flexibly to changing business requirements. That means the potential for incorporating new technologies, such as solutions for security, mobility or document workflow, is vastly improved. The cloud-centric approach to MPS offers many benefits, including: Reduced costs Device consolidation, as part of a managed print service, is a proven approach to reducing business printing costs, compared to operating an unmanaged print environment. By implementing a balanced deployment of energy-efficient printers supported by a rules-based print policy that minimises wasteful printing, MPS can reduce both financial and environmental costs. Minimised capital expenditure Enterprises are constantly challenged with constrained capital expenditure. Delivery models like cloud and managed services can free up capital by shifting costs to operating expenditures. Many MPS contracts are usage-based, meaning only resources that are consumed are charged for. However, for an organisation to truly benefit from this, their MPS contract must include an accurate assessment of print usage to ensure that excessive printing doesn t lead to disproportionately high charges. Reduced IT burden With MPS in the cloud, the provider takes care of hardware provision, automatic toner delivery, fault resolution and server management. This frees up IT staff to focus on higher value strategic activities. Increased business resilience Print server virtualisation provides a more reliable and predictable environment. The physical resources required are minimised through better utilisation rates, and downtime is reduced through optimised systems redundancy. Better visibility and control A hosted MPS provider can offer centralised reporting to allow businesses to accurately monitor fleet assets, print usage and service performance. Similarly, the MPS provider can take responsibility for helping to educate end users about responsible printing practices. Rules-based printing can be enforced by user or application. Rules might include enforcing duplex printing, routing colour documents to the most cost-effective printers or displaying pop-up messages to alert users when they are about to send an expensive print job. By reducing wasteful printing, costs are reduced and sustainability enhanced through a reduction in paper, ink and toner consumption. Access to technological innovation MPS in the cloud is scalable and can adapt dynamically to the changing needs of the business. An MPS cloud platform can better support the rapid delivery of other associated solutions or initiatives such as digitisation, storage or back-up in the cloud and mobile printing. Better service levels Service quality backed by service level agreements (SLAs) is key to any MPS engagement. This creates a stable, dependable and protected print infrastructure that can better meet the availability and performance expectations of end users. Quocirca
7 Recommendations Moving to the cloud is a natural evolutionary step for MPS. It combines the scalability of the cloud with the reliability and reduced IT burden to be gained from server virtualisation and the ongoing cost control of effective print management. MPS in the cloud is still a new and evolving business model. When preparing to commit to a cloud MPS solution, businesses should consider the following aspects of prospective providers: Maturity Although MPS in the cloud may be relatively new, the print management challenges it addresses are not. Look for an MPS provider that has: - a track record in effectively managing print infrastructure to reduce costs and improve efficiency - a proven MPS portfolio - established partnerships with trusted managed hosting providers. A forward-looking cloud strategy Is the MPS provider s cloud service based on a foundation that s been designed with developing future MPS services in mind? Look for a provider that offers a common infrastructure platform for public and private hosted clouds as well as an on-premise private cloud. Service quality The impact of print infrastructure downtime varies between businesses, but it s always a serious inconvenience, at best. Look for comprehensive SLAs for service performance and make sure the performance indicators that are most relevant and important to your business needs are covered. Security MPS in the cloud means entrusting information assets to a third party provider. Decide on the necessary level of information assurance and conduct a risk assessment that evaluates areas such as governance, certifications, availability and resilience. The cloud is a game-changing development for MPS. By combining the benefits of managed print services and cloud computing, organisations can consolidate their print infrastructure resources, increase their operational efficiency and become more agile. References 1 Quocirca enterprise MPS study, Sample: 140 organisations with over 1,000 employees using MPS across the UK, France, Germany and the US 2 Quocirca SMB Study, Sample: 750 European SMBs across the UK, France, Germany, Nordics and Spain 3 NewField IT estimate 4 Oracle Next Generation Datacentre research, Quocirca
8 About KYOCERA Document Solutions KYOCERA Document Solutions is one of the world's leading office document solutions companies. Its product range includes ECOSYS printers, reliable TASKalfa and Smart MFP multifunctional devices, complemented by supplies, software and managed service solutions. KYOCERA Document Solutions provides innovative products, built on a foundation of long-life components, allowing it to offer low total cost of ownership and high efficiency in any workplace. Its software and service solutions cover the whole document lifecycle from capture, storage and distribution to output and retrieval. For more details please visit About Quocirca Quocirca is a primary research and analysis company specialising in the business impact of information technology and communications (ITC). With worldwide, native language reach, Quocirca provides in-depth insights into the views of buyers and influencers in large, mid-sized and small organisations. Its analyst team is made up of real-world practitioners with first-hand experience of ITC delivery who continuously research and track the industry and its real usage in the markets. Quocirca works with global and local providers of ITC products and services to help them deliver on the promise that ITC holds for business. Quocirca s clients include Oracle, Microsoft, IBM, O2, T-Mobile, HP, Xerox, EMC, Symantec and Cisco, along with other large and medium-sized vendors, service providers and more specialist firms. For more information, visit Disclaimer: This report has been written independently by Quocirca Ltd. During the preparation of this report, Quocirca may have used a number of sources for the information and views provided. Although Quocirca has attempted wherever possible to validate the information received from each vendor, Quocirca cannot be held responsible for any errors in information received in this manner. Although Quocirca has taken what steps it can to ensure that the information provided in this report is true and reflects real market conditions, Quocirca cannot take any responsibility for the ultimate reliability of the details presented. Therefore, Quocirca expressly disclaims all warranties and claims as to the validity of the data presented here, including any and all consequential losses incurred by any organisation or individual taking any action based on such data and advice. All brand and product names are recognised and acknowledged as trademarks or service marks of their respective holders. Quocirca
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