In this guide, we will be discussing (click on link to jump to section):

I. What is Cloud Disaster Recovery
II. How Does Cloud Disaster Recovery Differ from Traditional Disaster Recovery?
III. Why Cloud Disaster Recovery is Crucial for Your Business
IV. What is an IT Disaster Recovery Plan?
V. How to Design a Cloud Disaster Recovery Plan
VI. How Faction’s Cloud-Based Disaster Recovery Can Protect Your Business

Let’s dive in:

As more industries depend on IT infrastructure, a service outage can be more than an annoyance when critical business activities are disrupted.

A recent disaster recovery survey found that 79% of midsized businesses and 87% of large businesses had experienced one or more service outages in the past year. Even more shocking is that 27% of companies lost money due to service outages, and 31% of those reported losses in excess of $100,000.

What is Cloud Disaster Recovery?

Unlike traditional DR, cloud disaster recovery uses cloud-based technology to automate failover to the cloud, rapidly restore IT infrastructure, and prevent costly service outages.

This approach reduces or eliminates capital expenses in secondary site data center real estate and hardware and associated operating expenses. With cloud-based DR, companies pay only for the resources they are using – meaning you don’t pay for the compute resources needed for failover until you need it.

cloud disaster recovery

In the past, organizations with the goal of increasing their resiliency against disasters would bear the significant up-front cost of building a remote disaster recovery (DR) site. Today, cloud-based disaster recovery provides a high-performance alternative that is flexible and cost-effective – and businesses everywhere are taking notice.

In this blog, we explain all the basics of cloud disaster recovery. You will learn how cloud disaster recovery differs from the traditional model, why disaster recovery is so important to your business and how you can implement your own cloud disaster recovery plan with help from Faction and our partners.

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How Does Cloud Disaster Recovery Differ from Traditional Disaster Recovery?

With cloud disaster recovery, organizations of all sizes can achieve rapid and cost-effective failover by combining tools from public cloud providers like AWS and third-party vendors like Faction.

A great example is the AWS Elastic Load Balancer that automatically distributes incoming application traffic according to pre-set rules and across multiple availability zones. IT organizations can leverage this powerful functionality to replace their on-premise load-balancer and seamlessly failover on-premise applications to VMware virtual machines in the cloud. They can also deploy an attached cloud storage like Faction Cloud Control Volumes to quickly scale up storage availability for business critical loads.

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Why Cloud Disaster Recovery is Crucial for Your Business

While 95% of business respondents in a recent survey currently have a disaster recovery plan in place, many are lacking coverage in key areas and 23% admit their disaster plan has never been tested.

Without a solid disaster recovery plan and solution in place, your business faces tremendous risk and uncertainty in the face of a cyberattack, data loss event, power outage or natural disaster.

Safeguard your business with a solid DR solution to:

I. Avoid Revenue Losses

According to Gartner, the average cost of network downtime can be pegged at $5,600 per minute. In practice, every business is impacted differently by service outages, so results may vary. Still, if your business depends on the availability of IT infrastructures to process customer transactions, you could be losing revenue for every minute your systems are down.

II. Retain Customer Trust

Your customers are depending on you to provide a service. When your servers and applications are unavailable, that service is not being provided and your customers may take their business elsewhere. If you experience frequent downtime, you could earn a reputation for being unreliable that may adversely impact your market viability.

III. Ensure Business Survival

According to the Federal Emergency Management Agency (FEMA), forty percent of small businesses never reopen after a natural disaster and an additional 25% close within a year. Without an adequate disaster recovery plan, a major data loss event could simply annihilate your business and leave you with no option but to close for good.

To avoid these negative outcomes and protect your business, you need a cloud disaster recovery plan that helps you restore your most critical services as soon as possible when disaster strikes.

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What is an IT Disaster Recovery Plan?

Disaster recovery is a plan, set of processes, policies, and tools that enables organizations to restore business and IT operations following a business continuity disaster.

Disasters that interrupt business continuity and cost organizations time and revenue include:

I. Natural Disasters

Natural disasters include hurricanes, tornadoes, floods, earthquakes, and any other natural phenomenon or weather pattern that could damage your data center and disrupt service.

II. Technological Disasters

Technological disasters include power outages and internet outages that impact service availability. Hardware failure, third-party vendor outages, and hardware destruction are also among the leading causes of disruptive service outages for businesses.

III. Man-Made Disasters

A system administrator mistakenly deletes a critical file or database, a disgruntled former employee sabotages your IT systems, or a cyber attacker disrupts your operations with a DDoS attack. Man-made disasters can be either intentional or accidental.

Disaster recovery emerged as a business process during the late 1970s, with IT managers recognizing the increasingly vital role of IT services within their organizations. Today, most business-critical activities and data depend on the availability of IT systems. When these systems experience outages, employees are unable to do their jobs, customers are unable to place orders, and trust is lost.

Disaster recovery traditionally requires additional expenses for real estate, staffing, hardware and software, networking equipment, testing, and maintenance. For businesses that cannot tolerate any downtime, the historically best-practice approach would be to construct a second data center in a separate geographical location. This would create geographical redundancy, such that a technological or natural disaster impacting one data center might not impact the other. These dual data centers would be run in parallel with real-time data mirroring and synchronization to ensure minimal or even zero data loss in the event of a service disruption.

How to Design a Cloud Disaster Recovery Plan

1. Conduct Business Impact Analysis (BIA)

The purpose of a business impact analysis is to assess the overall risk that your organization could face from a service outage or disaster event. Conduct a BIA by identifying all your applications and components, then grouping them into tiers based on their importance to your business. The higher the tier, the more quickly the applications must be restored. Organizations must strategically allocate their disaster recovery resources to ensure that the most critical resources are restored first and restored fast. At the same time, designating less important applications into higher tiers will incur unnecessary costs.

2. Establish Service Level Agreement (SLA) Definitions

An SLA is a performance target for your cloud disaster recovery plan. Different components of your IT infrastructure can have their own SLAs depending on how critical they are to business activities. The two most common SLAs for disaster recovery are:

a. Recovery Time Objective (RTO)

The maximum amount of application downtime permitted in a disaster event.

b. Recovery Point Objective (RPO)

The maximum time period of data loss from an IT service due to a service disruption.

Cloud-based DR can restore customer’s agreed-upon mission-critical applications with an RPO and RTO of less than 15 minutes. Other workloads can be restored within 1-8 hours depending on the customer’s needs and the workload classification.

3. Define Control Measures

There are five types of controls that can be used to cope with disasters:

a. Prevention

Preventive measures are used to avoid or prevent disasters before they occur.

b. Protection

Protective measures are used to safeguard systems and prevent damage or data loss in the event of a service outage.

c. Mitigation

Mitigation measures reduce the severity of a service outage that is already affecting system availability.

d. Response

Response procedures for disaster recovery detail the steps that will be taken to restore service once a disaster has been identified, including shifting workloads to the cloud.

e. Recovery

Recovery procedures are used to restore operations from your failover environment back to the primary environment., a process known as failback in disaster recovery lingo.

4. Assign Roles and Responsibilities

At this point, you should have identified all applications and components of your IT infrastructure and defined SLAs and control measures for each application. The next step is to assign roles and responsibilities – whose job is it to implement those control measures?

Organizations do not necessarily have to rely on internal knowledge and expertise to manage the complexity of cloud disaster recovery. With vendors like Faction offering Hybrid Disaster Recovery-as-a-Service (DRaaS), organizations can reap the benefits of fully managed disaster recovery service without the added technical overhead.

5. Testing, Training, and Maintenance

Regular testing is required to ensure that cloud disaster recovery protocols function as planned and consistently meet SLAs for critical applications. IT organizations should perform quarterly or biannual tests to verify that the performance of disaster recovery systems is aligned with business needs.

How Faction’s Cloud-Based Disaster Recovery Can Protect Your Business

Faction offers cloud disaster recovery solutions to help businesses safeguard their IT and application infrastructure against disruptive service outages.

Ready to learn more?

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Or watch our cloud disaster recovery webinar where we explained exactly how your business can start using AWS and VMware cloud to execute on your organization’s cloud disaster recovery plan.

View Webinar: Navigating Disaster Recovery with VMware Cloud on AWS