| DO-IT-YOURSELF | | | | integration issues involving in-house systems. |
| You host the Web site yourself, relying purely on | | | | FULL-BLOWN PROCESS OUTSOURCING |
| in-house resources except for the external | | | | This is dedicated hosting with the additional |
| connectivity. | | | | component of managing processes such as CRM |
| PROS: | | | | and product pricing, in effect outsourcing the |
| * No service costs to pay | | | | whale e-commerce operation, concentrating on |
| * You have total control over the application | | | | the products or services you provide but leaving |
| CONS: | | | | the online distribution to the service provider. |
| * Can be difficult and expensive to maintain the | | | | PROS: |
| required expertise | | | | * It off-loads some of the integration issues (or all |
| * You may not have an ideal physical | | | | of them if you resort to total outsourcing of IT) |
| environment | | | | * Fastest route to new online markets |
| * Coping with future increase in demand may be | | | | CONS |
| painful. | | | | * Adds even more to the cost |
| YANILLA CO-LOCATION | | | | * Extends dependence on hosting provider |
| Hosting company provides the physical space and | | | | beyond IT provision into customer relationship |
| associated environmental services, including building | | | | management, which may be beyond its core |
| access security, for your Web server and the | | | | competence. |
| connectivity to the Internet. However, the server | | | | Case study: Warner Brothers International |
| is yours and you manage everything else to do | | | | Theatre (WBIT) |
| with it, including the hardware, operating system | | | | WBIT. like some other national cinema chains. |
| and application. | | | | recently established a Web site supporting online |
| PROS: | | | | ticket sales. With rivals moving online, WBIT |
| * Far cheaper than full-blown dedicated hosting, | | | | decided it needed to act quickly, setting itself a |
| while avoiding all the environmental and | | | | tight four-month deadline. The business plan for a |
| connectivity issues of in-house hosting | | | | Web presence coupled with online ticket sales |
| CONS: | | | | was only completed in February 2000. However, |
| * You stilt need the resources to manage the | | | | the company wanted to go live in time for the |
| Web server itself including operating system and | | | | launch in July of the year's biggest movie. Star |
| application. | | | | Wars, Episode One -- The Phantom Menace. |
| CO-MANAGED | | | | According to James Scott, WBIT project director, |
| This is a half-way house, in which you still look | | | | this tight deadline narrowed the field of |
| after the application, but now the hosting | | | | contenders significantly and meant that only a |
| company owns and administers the server and | | | | seasoned hosting provider could be considered. BT |
| the operating system, as well as providing all the | | | | was chosen largely on the strength of its existing |
| basic co-location facilities. This represents a split in | | | | relationship with WBIT for telecoms services. The |
| responsibility between the IT platform and the | | | | deadline was met, and the site quickly proved |
| application running on it. | | | | popular, with seven million hits in a month shortly |
| PROS: | | | | after going live. |
| * It off-loads all responsibility for hardware and | | | | This is an example of dedicated hosting, in which |
| operating system, allowing you to focus on the | | | | the provider looks after all IT issues relating to |
| application | | | | provision and operation of the Web site. But it is |
| * Cheaper than full dedicated hosting | | | | not full-blown outsourcing, because WBIT looks |
| CONS: | | | | after the actual ticketing systems within each local |
| * Considerably more expensive than co-location | | | | cinema. |
| * You still have to look after the application, which | | | | The site is managed on BT's own server farm in |
| is often the main source of reliability problems. | | | | Milton Keynes and this interacts with WBIT's |
| DEDICATED HOSTING | | | | network connecting the local cinemas. When a |
| Here the hosting company looks after everything | | | | customer checks times of films and orders a |
| to do with the IT of your Web site, including the | | | | ticket, the enquiry runs through the BT server |
| application and even processing-electronic | | | | farm to WBIT's central system in its London |
| payments. | | | | headquarters and is then routed to the requested |
| PROS: | | | | local cinema. The ticket order is then processed in |
| * It off-loads all responsibility for IT, allowing you | | | | the local cinema's system and a message |
| to focus purely on products and customers | | | | confirming -- or if fully booked denying -- the |
| CONS: | | | | purchase is sent back via the same route. |
| * Very expensive | | | | Submitted by - for help on all your hosting needs. |
| * You will stilt deal with customers and products | | | | Article may be republished if this portion is not |
| * You may stilt have to grapple with complex | | | | removed. |