Software as a Service, more commonly known as Cloud Computing, has been around since the mid 1990’s. However the surrounding hype, awareness, and usability regarding the technology have increased substantially in the last 5 years. If you aren’t already familiar with it – we want to provide some valuable information regarding the opportunities and benefits of Cloud Computing.
For those of you who approach change with caution, we have good news - it is highly likely that you are using it without even knowing it! If you have an iPhone, iPad, or use internet based email (Yahoo, Google, AOL, etc.), you have already gotten your feet wet in the Cloud!
What is Cloud Computing (or, SaaS)?
The word ‘Cloud’ is synonymous with ‘internet’, and ‘Computing’ describes an architecture where individuals and companies can ‘rent’ technology services on the internet, rather than ‘owning’ their own on-site. While some cloud technologies are free, (like the Yahoo and Google based email mentioned above); others with more substantial infrastructure (like CRM and ERP technologies) can be rented for a fee. The best analogy would be to compare it to electricity. You don’t create and store your own, rather, you pay the electric company to do the hard part, and you just use and pay for what you need.
The Benefits of Cloud Computing
- It’s an affordable option for those who do not wish to purchase, install, host and maintain software in house.
- It provides for reduced costs in regards to upgrades, servers, storage and IT.
- You get easy access to data from any internet-capable device.
- It has an easily scalable, ‘pay only for what you need’ structure.
With Forrester projections for business software in the cloud expected to reach $225 Billion this year, you can be sure Cloud Computing is not only here to stay, but will likely be the preferred technology of the future.
Cloud Opportunities and Options
The Cloud provides numerous options for Small and Midsized Businesses. Some of these include:
Ultimately, cloud computing allows your business to expand capabilities and increase capacity without investing in costly IT infrastructure by hosting applications and files are on the internet, not your local devices. Of course, there are always additional considerations you need to be aware of with this model, and new cloud offerings are springing up every day. We will explore these and share the ways you can take advantage of the cloud in the coming weeks.
In the meantime, should you be interested in how the cloud works specifically with ERP technology, take a look at this whitepaper:
“ERP in the Cloud: What You Need to Know.”
A Commitment to Improving Business Management All Year Long
As your trusted Technology Advisors, we want to do more than simply encourage you to make a ‘Business Management New Year’s Resolution’. Instead, we decided that we would like to encourage you in an ongoing business process improvement challenge throughout the year. In each edition of The Post in 2012 we will provide you with one useful tool or piece of helpful information at a time targeted to a different area of your organization. This step-by-step methodology will allow you to take one mile at a time, rather than trying to run the whole marathon at once!
2012 Business Process Improvement Challenge #1:
Make Sure You Are PCI Compliant
If you accept credit cards, PCI compliance regulations apply to you.
Regardless of size or industry, all companies that accept credit cards must adhere to the safeguards mandated by the Payment Card Industry Data Security Standard—referred to as the PCI DSS. While most companies are aware of PCI, many are unsure of how to become PCI compliant, or what it means for their businesses. As well, companies that use a third party for clearing and remittance often incorrectly assume that PCI compliance regulations do not apply to them. PCI compliance rules apply to all companies that take credit cards whether it is it through your software, the internet or a phone line.
PCI Compliance Regulation Requirements
All companies are required to pass PCI Compliance testing annually. Depending on how you process credit card transactions, you will need to take one of four tests. This year, as a new part of the testing process, any questionnaire forms not completed in their entirety by 12/31/11 will be lost, forcing you to start over with the new test. If you have begun this process, please be sure to complete it before December 31st.
In addition to the testing process, each company must have certain documentation in place. Trustwave provides these documents to MAS Software Solutions and we can forward them to you upon request. Once you have them, you can use the ‘find and replace’ option in Microsoft Word to make the document reflect your company details.
Both business owners and employees are required to view videos less than one hour in length regarding PCI compliance regulations.
Companies seeking PCI Compliance will need to have a physical scan of the IP address where credit card processing is done to check for firewall settings. Your IT department may be required to make adjustments in order for the scan to pass. This scan will then be performed every 3 months by Trustwave (or whichever company you are using) on an ongoing basis to ensure continued compliance.
Once you pass the testing process and IP scan you can expect to receive lower credit card company fees.
The Risks of Noncompliance
Beyond exposing your customers to fraud or identity theft, your business can be held responsible for the credit card company’s losses. In the event of a security breach or lack of PCI compliance, credit card institutions can assess your company higher credit card processing fees and levy fines of up to $500,000—or even bar your company from processing any credit card transactions at all. Keep in mind that PCI compliance regulations apply to all companies that accept payment by plastic—even if they don’t store any related data, or if they only process a small amount of credit transactions.
MAS Software Solutions Can Help
PCI compliance became effective July 1, 2010. If you are not sure how to become PCI compliant, or have questions regarding the testing process, MAS Software Solutions is available to assist you - even if you are not using the Sage Software credit card module or Sage Software Credit Card Processing. Please email us, or call us at 913-312-8999 ext. 9 and let us help you ensure that you are appropriately following the PCI compliance rules.
Tax Tips for Small Business Owners - Credit Reduction State.
A state that has not repaid money it borrowed from the federal government to pay unemployment benefits is a “credit reduction state.” The Department of Labor determines these states. If an employer pays wages that are subject to the unemployment tax laws of a credit reduction state, that employer must pay additional federal unemployment tax when filing its Form 940.
For 2011, there are credit reduction states. If you paid any wages that are subject to the unemployment compensation laws of any of these states, you are not allowed the credit reduction rate (i.e., .003 or .006) of the regular .054 credit for the credit reduction state. Use Schedule A (Form 940), to figure the tax. For more information, see the Multi-State Employer and Credit Reduction Information, Instructions for Schedule A (Form 940) or visit IRS.gov.
If you are using an electronic filing system you should be prompted for the credit reduction calculation. If you are manually completing form 940 you will need to check if your state or if you have multi states need to conform to this law. For 2011, the following states are under the credit reduction: AR, CA, CT, FL, GA, IL, IN, KY, MI, MN, MO, NC, NJ, NV, NY, OH, PA, RI, VA, WI and VI.
If you have filed your 2011 annual 940 form and this tax increase was not included, you will need to file an amended 940 form.
The new release of Sage MAS 90 and Sage MAS 200 v.4.5 is packed full of new enhancements designed to improve the user experience and streamline your process. Some of the highlights include:
- Improvements to Sales Order entry and Invoicing which allow you to:
- Compute item pricing based on multiple items in the order as well as additional price level options.
- Recalculate the warranty expiration date if the ship/invoice date is changed.
- Enter lot/serial distributions (whereas before you could only enter them during shipping/invoicing).
- Allow the Generate PO button to be used at sales order entry time to place purchase orders for all items on the sales order.
- Get more flexibility in processing and tracking work-in-process thanks to enhanced integration between sales order and job cost applications.
- Auto-generate purchase orders from sales orders -from all sales order types and statuses, procurement types, product types, and item types, and you can: Include the sales order header comment and/or comment lines; and automatically summarize multiple lines with the same item into one line on the purchase order, or create a single purchase order for all drop ship items with the same vendor by sales order. What’s more, the purchase quantity can be based on the sales order quantity, the quantity on hand, or the reorder quantity. Separate purchase orders are generated for any drop-ship items contained in the selected sales order range.
- Updates to Payroll providing:
- More assistance handling the complexities of your Payroll processing and deduction calculations.
- New line item commissions that allow you to set up salesperson commission rates or amounts for specific combinations of salespersons, customers, items, and effective dates.
- Enhancements to Reporting through:
- New Reporting Trees and better report distribution capabilities within Sage MAS Intelligence.
- Easier access to SageCRM with:
- A single user license providing all of the functionality of SageCRM and the integration with Sage MAS 90 and Sage MAS 200.
If you’d like more information regarding version 4.5, please email us, or give us a call at 913-312-8999.
Beginning on Jan. 1, 2012, the standard mileage rates for the use of a car (also vans, pickups or panel trucks) will be:
- 55.5 cents per mile for business miles driven
- 23 cents per mile driven for medical or moving purposes
- 14 cents per mile driven in service of charitable organizations
The rate for business miles driven is unchanged from the mid-year adjustment that became effective on July 1, 2011. The medical and moving rate has been reduced by 0.5 cents per mile.
The standard mileage rate for business is based on an annual study of the fixed and variable costs of operating an automobile. The rate for medical and moving purposes is based on the variable costs as determined by the same study. Independent contractor Runzheimer International conducted the study.
Taxpayers always have the option of calculating the actual costs of using their vehicle rather than using the standard mileage rates.
A dynamic workforce, requires an effective solution
Many forward thinking companies have adapted the way they do business. Gone are the days when 100% of your staff members sit in cubicles from 8-to-5. Today’s workforce is more mobile than ever before. From business required travel, to working on location, or from home – your employees likely need remote access to the reliable and up-to-date CRM information and productivity tools that they would get in the office. Unfortunately many SaaS CRM vendors are functioning under the idea that “mobility” is simply a matter of providing access to a CRM business application through a Web browser. In reality, any mobile CRM application designed to serve a dynamic workforce must satisfy three major requirements to be effective:
- Online and Offline Access
As any seasoned sales professional knows, mobile connectivity can be unpredictable. Inevitably it will fail at precisely the wrong moment. Larry Ritter, SVP and General Manager for CRM Applications at Sage tells us, “Workers require anywhere access and need to be productive whether they have network connectivity or not,” An effective mobile CRM application solves this problem through the ability to download, cache, and synchronize data for offline use. Offline access is a relatively new feature in many SaaS products, and the more established CRM vendors tend to offer more functional—and more reliable offline capabilities.
- An Appropriate User Experience Across Various Devices
It is unlikely that your remote staff members will be relying on a single device to access your data. Rather, they are apt to switch between PCs, laptops and mobile devices. A successful Customer Relationship Management application will offer a familiar and relevant user experience across these various platforms - allowing workers to focus on customers rather than struggling with user interfaces and feature sets. At the same time, the solution must adapt to the unique nuances and limitations of each particular device. “If users are working from a Smartphone, screen real estate is precious,” Ritter states. “So workers need just the relevant capabilities to perform specific tasks. They also require contemporary device support and a native user experience that is consistent with the way they use other applications on a device.”
A laptop or other mobile device is far more likely to get lost or stolen than a traditional desktop PC. Because data breaches can permanently damage a company’s reputation, in addition to creating serious legal consequences, it is essential that a mobile CRM application protect sensitive customer data through the use of encryption, remote management and remote-disable features.
Whatever the choice: on-premise, or on-demand; the CRM business application should provide all employees with the same access, features, security and benefits, whether they are in or out of the office. It is essential to enable your team to be dynamically engaged and productive - and that means providing them with a Customer Relationship Management application that is up to the challenge.
Want to learn more about CRM software? Download our guide: 17 Rules of the Road for CRM.
*Adapted from: The CRM Flex Test, Sponsored by Sage SalesLogix, Presented by DemandGen Report
We hope the path you take during the coming New Year is one that takes you farther than ever before. The team at MAS Software Solutions couldn’t be more thankful of our continued partnership, and we would like to wish you every happiness and success in 2012!
Have you ever had a question regarding your Sage MAS 90 or Sage MAS 200 solution that you couldn’t find the answer to? If so, we’re happy to tell you that our website can be a great resource for Sage ERP Software tips and tricks! We wanted to share with you some of our most popular videos in hopes that they may be of help to you. We hope you find this resource to be valuable, and as always if you have a question to which you don’t find an answer – be sure to let us know! We’d be thrilled to help.
1.
Accounts Payable ACH Electronic Payments.
2.
Accounts Receivable Cash Receipts Entry by Invoice Number.
3. Bank Reconciliation Automatically Reconcile Checks.
4.
Recording Credit Card Purchases.
5. Accounts Payable Record Wire Transfers.
If you accept credit cards, PCI compliance regulations apply to you.
Regardless of size or industry, all companies that accept credit cards must adhere to the safeguards mandated by the Payment Card Industry Data Security Standard—referred to as the PCI DSS. While most companies are aware of PCI, many are unsure of how to become PCI compliant, or what it means for their businesses. As well, companies that use a third party for clearing and remittance often incorrectly assume that PCI compliance regulations do not apply to them. PCI compliance rules apply to all companies that take credit cards whether it is it through your software, the internet or a phone line.
PCI Compliance Regulation Requirements
All companies are required to pass PCI Compliance testing annually. Depending on how you process credit card transactions, you will need to take one of four tests. This year, as a new part of the testing process, any questionnaire forms not completed in their entirety by 12/31/11 will be lost, forcing you to start over with the new test. If you have begun this process, please be sure to complete it before December 31st.
In addition to the testing process, each company must have certain documentation in place. Trustwave provides these documents to MAS Software Solutions and we can forward them to you upon request. Once you have them, you can use the ‘find and replace’ option in Microsoft Word to make the document reflect your company details.
Both business owners and employees are required to view videos less than one hour in length regarding PCI compliance regulations.
Companies seeking PCI Compliance will need to have a physical scan of the IP address where credit card processing is done to check for firewall settings. Your IT department may be required to make adjustments in order for the scan to pass. This scan will then be performed every 3 months by Trustwave (or whichever company you are using) on an ongoing basis to ensure continued compliance.
Once you pass the testing process and IP scan you can expect to receive lower credit card company fees.
The Risks of Noncompliance
Beyond exposing your customers to fraud or identity theft, your business can be held responsible for the credit card company’s losses. In the event of a security breach or lack of PCI compliance, credit card institutions can assess your company higher credit card processing fees and levy fines of up to $500,000—or even bar your company from processing any credit card transactions at all. Keep in mind that PCI compliance regulations apply to all companies that accept payment by plastic—even if they don’t store any related data, or if they only process a small amount of credit transactions.
MAS Software Solutions Can Help
PCI compliance became effective July 1, 2010. If you are not sure how to become PCI compliant, or have questions regarding the testing process, MAS Software Solutions is available to assist you - even if you are not using the Sage Software credit card module or Sage Software Credit Card Processing. Please contact us at 913-312-8999 ext. 9 and let us help you ensure that you are appropriately following the PCI compliance rules.
We love this time of year here at MAS Software Solutions because it gives us the opportunity to express how thankful we are for your continued business. The relationships we’ve built with each one of you are so valuable to us and we look forward to working with you long into the future. Thank you so much for making us a part of your team. If there is ever anything more we can do for you, please don’t hesitate to let us know. We always love to hear from you.
Sincerely,
-The MAS Software Solutions Staff