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How is data security handled on the cloud? (Webinar Attendee Question)

This question was asked by an attendee during the Proformative webinar "Driving Productivity in Finance: Aligning People, Process and Technology in the Cloud" held on August 28, 2012.  A video of the webinar can be viewed here: https://www.proformative.com/resources/webinar-video-driving-productivity-finance-aligning-people-process-technology-cloud

Answers

Topic Expert
Donald Koscheka
Title: Principal
Company: Bluecloud Communications
(Principal, Bluecloud Communications) |

In general, you have the same security controls in the cloud that you have with on-premise systems with one exception: in the cloud, there is the potential for non-employees to view your data. This is not necessarily a problem, though, as most companies routinely outsource IT operations to vendors, so the people running internal systems may also be non-employees.

You need to vet data privacy issues with your cloud vendors: start by making sure that they conform the appropriate auditing standards (e.g. SAS-70).

You can increase the level of data security by implementing encrypted files - but that is generally at an increased cost and not all vendors provide this option.

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