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Property Management Systems for the Hospitality Industry in the Cloud Are a Risky Choice!

By: PRLog
One foot in the cloud and the other in jail seems to be an unstable foundation for success.

PRLog - May 22, 2013 - While cloud computing over the Internet makes software and other computing resources in remote locations available and optimizes the effectiveness of these shared resources, it also makes the risks involved exponentially grow. These are not just shared by multiple user, they are dynamically re-allocated according to demands, which change over time. Data mobility and demand changes continuously, on a worldwide scale. One hour the property data may be in China, the next hour in India, travel back to the USA, and stored later in Europe. The concept behind data movements and usage is availability of storage space and computing (CPU) time.

The technical difficulties, therefore, not only mount, but are also combined with many issues creating a whole variety of pitfalls.

When data moves through many different geographical locations, local laws may or may not apply to provide security and regulate handling of the data. For hospitality properties this creates a security issue. It may enables 3rd parties access to customer addresses and credit card information, which are usually part of the data.
Hotels are always subject to local laws. A company providing cloud solutions or services, in contrast, can operate in different legal (foreign) systems.
If credit card information is accessed by a third party, criminal or legal in the legal system that applies, the hotel could be in jeopardy. Moreover, the owner/manager is fully responsible for finances lost and may be imprisoned for gross negligence. The hotel could, at the very least, loose its merchant contract, a situation comparable to a scheduled bankruptcy. Data security directly affects the property’s survival.
There is no secure way to transfer this responsibility to a third party.

The only solid solution is still to operate the entire system and database in house. A client server system or even a single workstation provides effective solutions. However, all businesses require backup storage and backup procedures. Access to backup over the Internet is necessary for many reasons. Nevertheless, it is important to consider a similar set of rules and risks by using such services. An optional ASP (Application Service Provider) solution which is available as an emergency service will provide, at the very least, peace-of-mind.

Business decisions are influenced by many considerations and facts. To select the best and most secure available solution is one of the goals any business owner/manager strives to reach. RSE’s HMS provides, in addition to secure reservations and financial tracking marketing tools, email, fax, regular mail, and MS Excel data exchange; reporting tools and checkout and check-in functions. Users can directly publish rates, availability, and more. Campaign management tools, RSE Net-Marketing, and yield management tools like easyYield make this system unique and with a complete suite of Front- and Back Office functionality contributory to the overall success of the business.

For more information about RSE, Inc.’s HMS, please visit http://www.myrse.com/.

About the Author

Dieter Albrecht, CEO of RSE, Inc. has spent more than 25 years in the IT and hospitality industry. The development of RSE’s Hotel Management System has took center stage. Albrecht is an expert in market analysis and customer demands and works to provide innovative and effortless solutions for the hospitality industry. You can reach the author by email using the web form at http://www.myrse.com.

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