Cloud computing in business scenario
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Date
2015
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Uva Wellassa University of Sri Lanka
Abstract
Cloud Computing has been recognized as a promising model to exploit the power of computer network and
communications into business in cost effective way. It provides elastic capacity to all the sectors such as businesses,
government and education with flexible price. Present multifarious business environment require organizations to respond
quickly to the changes of the market to take advantage of opportunities. It can be achieved through contemporary
information and communication technologies. Nowadays cloud computing considered as a resource that is readily
available to organizations to attain their business goals promptly.
Cloud computing offers a platform to use the collective computing resources. It assembles large number of computing
servers and other resources and provides their combined capacity on an on- demand, pay per cycle basis. As per the
definition of National Institute of Standards and Technology (NIST) Cloud Computing refers to “pay-per-use” model
which enable convenient, on demand network access to a shared pool of configurable computing resources that can be
rapidly provisioned and released with minimal management effort or service provider interaction (Mell and Grance,
2009). This definition divulge that in cloud the end users can access the service anytime from anywhere, share data and
pool resources more easily, and keep their data safely in the infrastructure. This model promotes accessibility and consists
of five key characteristics: they are on-demand self-service, broad network access, resource pooling, rapid elasticity and
measured service (David S. Linthicum, 2010).
In cloud, organizations do not need to invest a huge amount on hardware and software even though the organizations may
have geographically separated location. Organization can select the cloud depend on their budget and needs. If the
organization prefer public cloud, can get the resources from the cloud service providers such as Amazon, Google, IBM,
Yahoo, eBay, Microsoft, etc. or they may have their own cloud. Cloud would be most advantageous not only to the
business but also in management of government, health care and education sectors.
Business Implications of Cloud Computing
One of the most obvious business implication of cloud computing is saves money. Adoption of cloud within the business
eco system has the ability to decrease costs in several ways as hardware, software, maintenance, space, equipment, and
energy needed to run the business. Hence the cloud enables businesses, the ability to provide regular product or services
with lower cost.
Cloud in business environment not only reduce the capital investment but also reduce the investment in human resource.
Organizations can easily share data across their divisions with the cloud computing technology in the fastest and easiest
way which helps the businesses especially in saves the time of the information acquisition.
Another implication of cloud is that the organizations do not need to be in one specific location. The organization can be
anywhere in the world and they can access the service whenever they need. Even the employees of the organization also
do not need to be in their office all the time to complete their work assignment, they can complete the task in efficient
manner at any time.
Challenges of Cloud
However the cloud helps to increase profit, and business value within short time frame while red uce cost, it still in its
infancy. It associated with numerous challenges.
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Keywords
Computer Science, Science and Technology, Business Management, Communication Technology, Information Technology