Cloud Computing as a New Outsourcing Tool

Seminar Presentation Group 3 Section A

Abhishek Singh Deepak Kumar Madhumita Patnaik Murali Krishna D Rohit Singla PGP/16/003 PGP/16/016 PGP/16/027 PGP/16/032 PGP/16/043

Shashank Shekhar

PGP/16/045

Agenda
Introduction Terminology Models Outsourcing Benefits Current Practices Challenges

Introduction
Name comes from the use of a cloud shaped symbol as an abstraction for the complex infrastructure it contains
Storage and network infrastructure used to store and process data and applications is shared amongst users; Cloud service provider is able to move the data between locations in order to make best use of latent capacity in its infrastructure Access via Web Browser

A Simple Model

Terminologies

Different Models

Paas: In this model, the consumer creates the software using tools and/or
libraries from the provider. The consumer also controls software deployment and configuration settings. The provider provides the networks, servers, storage and other services.

Saas: sometimes referred to as "on-demand software", is a software delivery model

in which software and associated data are centrally hosted on the cloud. SaaS is typically accessed by users using a thin client via a web browser. Iaas : In the most basic cloud-service model, providers of IaaS offer computers physical or (more often) virtual machines - and other resources.

Cloud Deployment Models

Impact and Benefits

Focus on core competency Reliability Reduced Cost Scalability Faster Implementation Pay for Use Productivity improvements
Increased output per unit of cost Ability to deliver new and evolving products

Innovation

Outsourcing Trends
Impact of Global economic crisis 87 per cent of customers cited cost reduction as the motivating factor for outsourcing 62 per cent of suppliers expressed a view that the global financial crisis had resulted in harder price negotiations

66 per cent of customers and 61 per cent of suppliers thought that due diligence processes had tightened in the last two years

Case Study : Impact of Cloud Computing

ArcLight Investments an ICT (information and communication technology) related services provider Utilised cloud based solution for their business which helped them to reach over 7000 customers through 1000 offices Benefits:
IT infrastructure investment has reduced The process of adding, changing and deleting user accounts has become significantly easier Reduced General network and IT failures Increased level of Automation in the business Better collaboration thus producing uniformity in the work

Case Study : Impact of Cloud Computing

Challenges
Legacy applications difficult to migrate to a cloud Confidential data like credit card details of the customers needs to be encrypted before being migrated to the cloud A cultural shift was necessary in the manner in which the employees operated

Cloud Outsourcing Risks

Challenges and concerns for the future

Security and Privacy Interoperability and Portability Reliability and Availability Performance and Bandwidth Cost Service Delivery and Billing Acquiring knowledge and expertise Certifying and accrediting vendors

References
http://www.nortonrose.com/files/a-smartapproach-to-sourcing-ii-57727.pdf http://www.kpmg.com/AU/en/IssuesAndInsig hts/ArticlesPublications/Documents/modellin g-economic-impact-cloud-computing.pdf