Cloud Computing

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Dissertation ReportOnCLOUD COMPUTINGS EFFECT ON ENTERPRISESin terms of Cost and Security

Faculty Guide: Ms. Kokil Jain

Submitted By: Akhilesh Agarwal A1802010373Section C/MBA(IB)

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AMITY INTERNATIONAL BUSINESS SCHOOL, AMITY UNIVERSITY Masters in Business Administration - International Business CLOUD COMPUTINGS EFFECT ON ENTERPRISES in terms of Cost and Security Dissertation Report submitted March, 2012 Size: 64 Pages Supervisor: Ms. Kokil Jain. Examiners: Mr. Ajeet Sharma, Ms. Madhu Khurana.

AbstractInnovations are necessary to ride the inevitable tide of change. Most of enterprises are striving to reduce their computing cost through the means of virtualization. This demand of reducing the computing cost has led to the innovation of Cloud Computing. Cloud Computing offers better computing through improved utilization and reduced administration and infrastructure costs. Cloud Computing is the sum of Software as a Service (SaaS) and Utility Computing. Cloud Computing is still at its infant stage and a very new technology for the enterprises. Therefore, most of the enterprises are not very confident to adopt it. This research paper tackles this issue for enterprises in terms of cost and security. In this paper I discuss the benefits and drawbacks an enterprise can have while they adopt Cloud Computing in terms of Cost and Security. In the end, concluding that Cloud Computing is better for medium and small sized enterprises as compared to large enterprises in terms of both cost and data security.

Key words:Cloud Computing, SaaS, IaaS, PaaS, Elasticity, Cost, Security.

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TABLE OF CONTENTS1. INTRODUCTION..5 . 2. RESEARCH METHODOLOGY...6

2.1. Objectives of the study 6 2.2. Sample design& Sample size.6 2.3. Limitations......................................................................................................6 2.4. Scope of the study...............................................................................................................73. CLOUD COMPUTING THE CONCEPT.......................................................... 8 3.1 Comparison...........................................................................................................................10 3.2 Implementation....................................................................................................................10 3.3 Characteristics......................................................................................................................10 4. HISTORY......................................................................................................................................13 5. POLITICAL ISSUES..................................................................................................................14 6. LEGAL ISSUES..14 7. ARCHITECTURE..15 8. COMPONENTS..16 9. STANDARDS...19 10. CLOUD COMPUTING SERVICE MODELS20 11. TYPES.22 12. ROLES IN CLOUD COMPUTING.24 13. COST FACTOR.25

13.1. Key characteristics2614. SECURITY FACTOR...27

14.1. Key characteristics2815. COMPANIES.29 16. CLOUD COMPUTING PROS/CONS W.R.T. TO COST & SECURITY30

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17. LIMITATIONS OF CLOUD COMPUTING32 18. BENEFITS38 19. RISK MITIGATION40 20. DISCUSSIONS..41 21. CASE STUDY...43 22. QUESTIONNAIRE RESULT.46 23. CONCLUSION.62 24. REFERENCES.64

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1. IntroductionImagine yourself in the world where the users of the computer of todays internet world dont have to run, install or store their application or data on their own computers, imagine the world where every piece of your information or data would reside on the Cloud (Internet). As a metaphor for the Internet, "the cloud" is a familiar clich, but when combined with "computing", the meaning gets bigger and fuzzier. Some analysts and vendors define cloud computing narrowly as an updated version of utility computing: basically virtual servers available over the Internet. Others go very broad, arguing anything you consume outside the firewall is "in the cloud", including conventional outsourcing. Cloud computing comes into focus only when you think about what we always need: a way to increase capacity or add capabilities on the fly without investing in new infrastructure, training new personnel, or licensing new software. Cloud computing encompasses any subscription-based or pay-per-use service that, in real time over the Internet, extends ICT's existing capabilities. Cloud computing is at an early stage, with a motley crew of providers large and small delivering a slew of cloud-based services, from full-blown applications to storage services to spam filtering. Yes, utility-style infrastructure providers are part of the mix, but so are SaaS (software as a service) providers such as Salesforce.com. Today, for the most part, IT must plug into cloud-based services individually, but cloud computing aggregators and integrators are already emerging.

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2. RESEARCH METHODOLOGYThere are two main data sources for the research study- secondary and primary. To collect the data for this research study, both primary and secondary sources were used. One of the cardinal rules in data collection is to exhaust all secondary data sources before conducting a primary study. The operational features of secondary data are that it already exists and is easily available. Secondary data can be quite versatile and is used for many purposes. To collect secondary data, at first, the researcher reviewed articles related to research objectives that appeared in the literature. Key journals and proceedings were systematically scanned for any articles related to the research topic. In addition to that, search for the key words in peer reviewed journals were undertaken. This search led to articles in other related journals. To conduct an empirical investigation, a survey was conducted, using a questionnaire. At first, the items to be included in the questionnaire were decided. Next, the survey was conducted to collect the data and then analysed and interpreted to find the answers to the research objectives. The survey for data collection was carried out in the month of Dec - Mar of 2012. The questionnaire was developed based on literature, deriving issues pertinent to the research objectives. The questionnaire was pre-tested in a pilot study to fine the questionnaire. The pilot study was conducted among a convenience sample of four people consisting of colleagues and industry guide, to evaluate how well the questionnaire was framed and understood. Based on the pilot study and feedback from the participants, some items were reworded to improve clarity.

OBJECTIVES OF THE STUDY:1. To study the effect of cloud computing technology on an Enterprise. 2. To study the factors which encourage or discourage an enterprise from opting cloud computing technology, i.e. Cost & Security.

SAMPLE DESIGN & SAMPLE SIZE: As the survey is about the understanding the Effect of Cloud Computing on Enterprises, the research was specifically designed for technical people who work in IT departments. The sample size was small because of the sensitivity of the topic & security reasons. Therefore only few respondents share their views, suggestions, information and their experience.

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LIMITATIONS: Sample size was small because it was quiet difficult to reach highly professionals technocrats for the survey on this sensitive topic of Cloud Computing. Various statistical techniques as learned have been implemented and conclusions as best possible have been drawn making few assumptions as and when required.

SCOPE OF THE STUDY:This study refined the factors that will influence an enterprise using cloud computing technology in India and revealed the impact of Cost & Security on an enterprise business. A few paramount implications of the study are outlined here. Findings of this study indicate that the study is quite informative and useful for both general public and companies indulge in cloud technology. They can understand the dimensions reflecting benefits and risk of cloud computing and impact of all these factors on an enterprise. Findings of this study also indicate that it is worthwhile for an enterprise to take note of the results of this study before going for actual implementation of cloud computing technology.

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3. Cloud computing- The ConceptCloud computing is Internet ("cloud") based development and use of computer technology ("computing"). It is a style of computing in which dynamically scalable and often virtualized resources are provided as a service over the Internet. Users need not have knowledge of, expertise in, or control over the technology infrastructure "in the cloud" that supports them. Cloud computing is a model for enabling convenient, on-demand network access to a shared pool of configurable computing resources (e.g., networks, servers, storage, applications, and services) that can be rapidly provisioned and released with minimal management effort or service provider interaction. - U.S. National Institute of Standards and Technology (NIST) Cloud computing means using number of computer servers through a network, which appears as they are one single coherent computer. Cloud computing in recent times is one of the fastest emerging technology trend. The goal behind opting for Cloud computing is to save huge costs on building IT infrastructure. This papers elaborates the evolution of Cloud computing and how the cloud computing has been adopted by various enterprises. Cloud computing has been adopted in almost all the enterprise in todays world. This paper also explores on the technical description of the Cloud computing and its effect on Enterprise in terms of Cost & Security. Cloud computing can also be referred to as the practice of using a network of remote servers hosted on the Internet to store, manage, and