The World Conference on Disaster Management, Toronto, 2013. Presentation on disaster recovery as a service by Quorum CEO Larry Lang. http://tinyurl.com/WCDM2013Quorum

1. Confidential1 © 2013 QuorumLabs Inc. June 25, 2013
Preparing for Disaster: Using the Cloud
Properly to Keep Your Business Running
During the Unexpected
Larry Lang
President and CEO

2. Confidential2 © 2013 QuorumLabs Inc. June 25, 2013
Quorum Quick Facts www.quorum.net
Business
focus
One-click backup, recovery and continuity
hybrid cloud services and appliances that are
affordable to own, quick to install, and simple to use
Target markets
Small to medium sized companies in
banking, legal, accounting, healthcare, government, manufacturin
g, logistics…
Penetration
Protecting thousands of servers for hundreds of customers
in 10 countries
Employees Over 40 (and hiring!)
Investors
Recent $11M+ funding round led by Toba Capital,
joined by Airtek Capital Group and other investors
—$29M raised in total
Timeline
Founded 2008, derived from defense technology,
first shipments in early 2010
Headquarters San Jose, California

3. Confidential3 © 2013 QuorumLabs Inc. June 25, 2013
It’s a digital world and businesses are
more dependent than ever on their IT systems

4. Confidential4 © 2013 QuorumLabs Inc. June 25, 2013
Case Study: Hurricane Irene in Vermont
Winooski River overflows in
Montpelier and Waterbury
August 29, 2011
Floods state government
data centers on lower floor
and basements
―As with every best laid plan
that has never been tested
there were some variables
that we didn’t count on
such as the speed with
which the river would rise.‖
Weeks to restore normal
operations

5. Confidential5 © 2013 QuorumLabs Inc. June 25, 2013
Case Study: False Security in New Orleans
Five years after Hurricane Katrina
October 25, 2010
Parish of Orleans Civil District Court
mortgage and conveyance database
crashes
Index of thousands of records, filling two floors
Cloud backup service stopped
receiving good updates in July, older
records purged to save money
No testing to reveal problem
New Orleans with no real estate
records or transactions for over
3 months
~179,000 paper records manually re-entered
Clerk of Court Dale Atkins still
employed
Acting CTO Tynia Landry is not

6. Confidential6 © 2013 QuorumLabs Inc. June 25, 2013
Success Story: Hot or Not? at Midwestern Bank
Blade server firmware
upgrade introduces bug
False positive temperature
readings cause intermittent
processor blade shutdowns
Prevented processing of
checks and deposits
Diagnosis, fix, and testing
required about 4 weeks
Fortunately, one-click
recovery allowed
continued operations

7. Confidential7 © 2013 QuorumLabs Inc. June 25, 2013
Lessons Learned: Business IT Disaster Recovery
Hardware
Failure
55%
Human
Error
22%
Software
Failure
18%
Natural
Disasters
5%
Top 4 Types
of Disasters
Natural disasters grab headlines, but
mundane problems more common
Facilities (fire, plumbing...)
Hardware (disk failure, board burnout...)
Software (BSOD, update gone rogue...)
Human Error (deletion regret...)
Small to mid-sized businesses are at
risk of losing revenue, customers, and
reputation
Typical recovery takes 30 hours
Average losses of $74k per hour
Big gap between “ought to work” and
“known to work”
Frequent testing only way to bridge this gap
Only 28% of SMBs have tested recovery
Backups automated, yet most
recovery still manual
It’s not about backup, but how fast
you’re back up
Quorum Disaster Recovery Report, Q1 2013

8. Confidential8 © 2013 QuorumLabs Inc. June 25, 2013
Recovery Economics
One-Click Recovery
Traditional
Backup
Replicated
Data Center
Instant
Transactions
Active
Business
Archives

9. Confidential9 © 2013 QuorumLabs Inc. June 25, 2013
Traditional Backup
• Lengthy restore—
hours or days
• Infrequent, inconvenien
t testing
• Unwieldy, unsecure
offsite media
Issues with current options for
protecting servers, applications and data
Replicated Data Center
• Costs more than double
• Complex to integrate
and maintain multiple
components
Cloud Backup (Storage)
• Longer restore because of
limited download
• Waiting for media
shipments
7 vendor products
230 manual pages
>700 lines of scripts
3 TB download
>6 months @ 1.5 Mbps
>3 days @ 100 Mbps
―More than 50% of the time, a full recovery
attempt from tape will result in failure.‖
Hurwitz and Associates
Was all data written?
Can it be read?
How to be sure?

10. Confidential10 © 2013 QuorumLabs Inc. June 25, 2013
Traditional Backup Obsolete
• Assumed that disaster recovery involved replacing destroyed
physical computers with new equipment
• Hours or days to purchase, rack, power, connect network,
update operating system, install applications, restore data
• Testing involved similar costs and effort, and thus infrequent
(quarterly in best practice)

11. Confidential11 © 2013 QuorumLabs Inc. June 25, 2013
New Technologies Revolutionizing Recovery
• Delivery of computing and storage
capacity as a service
• Allows incremental changes to be
sent over an Internet
connection, avoiding daily pick up
of tapes or disks
• Creation of a virtual machine that
acts like a real computer with an
operating system, but logically
sharing the underlying hardware
• Allows rapid creation of
replacement systems
Cloud Virtualization

12. Confidential12 © 2013 QuorumLabs Inc. June 25, 2013
Typical Business IT Environment
Plus One-Click Recovery Hybrid Cloud
One-Click Recovery
Onsite Appliance
One-Click Recovery
Offsite/Cloud

13. Confidential13 © 2013 QuorumLabs Inc. June 25, 2013
Failure or Disaster Disrupts
Business Applications

14. Confidential14 © 2013 QuorumLabs Inc. June 25, 2013
One-Click Recovery Restores Business In Minutes
Onsite for
High Availability

15. Confidential15 © 2013 QuorumLabs Inc. June 25, 2013
One-Click Recovery Restores Business In Minutes
Offsite for
Disaster Recovery

16. Confidential16 © 2013 QuorumLabs Inc. June 25, 2013
Automatic and On-Demand
Recovery Testing Ensures Protection

17. Confidential17 © 2013 QuorumLabs Inc. June 25, 2013
Success Story: Learning from Local Disaster
Devastating thunderstorms and
tornadoes claim lives, flatten homes, and
ruin businesses around Tuscaloosa, AL
April 24, 2011
Reno Refractories Morris, AL
Leader in metal foundry industry, offering full line
of quality refractory products and custom-
designed precast shapes
Nearby disaster prompts review of
recovery plans
Symantec Backup Exec disk-to-disk-to-tape
Tapes in local bank safe deposit box,
too close for comfort
Insufficient testing
One-click recovery for rapid response
Hybrid cloud combining onsite appliance and
offsite data center
Geographic diversity
Automated daily testing

18. Confidential18 © 2013 QuorumLabs Inc. June 25, 2013
Success Story: Prepared for Super Storm Sandy
Super Storm Sandy
October 29-November 3, 2012
24 Seven International
International staffing company for creative
industries
Payroll and personnel records in
Manhattan office
Lost power for almost a week
Recovery system allowed rapid shift
of operations to Los Angeles office
―We tested each recovery node to make sure
it would come up OK, and we tested the
synchronization between offices. During the
storm, everything came up right
away, according to plan. Working with the
staff in LA, we were able to bring everything
up within an hour.―
— Doug Feltman, director of systems and
applications

19. Confidential19 © 2013 QuorumLabs Inc. June 25, 2013
City of Corner Brook, Newfoundland
Fast Recovery Time Key to Maintaining City Services
• City administration, tax
collection, animal control, and other
public services
• Population: 26,623 (CA 2011)
• City employees: 100+
• Protecting 7-8 physical servers
“If our server goes down, email could
be out for 24 to 72 hours. When you’re
living in Newfoundland, there’s no
easy access to resources and it might
take two days to get new equipment
delivered – not to mention set-up time.
Peace of mind is #1 for us and [one-
click recovery] gives us the assurance
that our email and applications will be
back up within minutes of a failure.”
– Frazer Parsons,
Computer support specialist,
City of Corner Brook

20. Confidential20 © 2013 QuorumLabs Inc. June 25, 2013
Disaster Recovery with Hybrid Cloud
When Minutes Matter Most
• Business IT systems more important than ever
– Even small- to medium-sized business demand recovery in
minutes, not hours or days
– Prepare for major natural disasters and
mundane problems with hardware, software, and errors
• New technology makes one-click recovery possible
– Hybrid cloud/Disaster Recovery as a Service (DRaaS)
– Virtualization
– Deduplication
– Automation
• Dependable, easy and affordable
– Recovery in moments
– Restoration at your convenience
– Daily automated testing now state of the art

21. Confidential21 © 2013 QuorumLabs Inc. June 25, 2013
One-Click Backup, Recovery and Continuity
Hybrid Cloud and Appliances
Larry Lang
President and CEO
larry.lang@quorum.net
www.quorum.net