Global cloud computing market is expected to grow rapidly due to its efficiency and innovativeness. This technology has been regarded as one of the top priorities for businesses to be efficient in terms of cost cutting, resource utilisation, employee communication, etc (Carcary, 2014). It is forecasted by Analyst group Forrester that the cloud computing market is predicted to increase from £22.5bn in 2011 to approximately £96.6bn by 2020.
The definition of cloud computing from US National Institute of Standards and Technology (NIST) is one of the most widely and frequently known; “A model for enabling ubiquitous, 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” (Mell and Grance, 2011, p.2).
NIST has also classified cloud computing into three services; infrastructure as a service (IaaS), platform as a service (PaaS), and Software as a service (SaaS). Since different companies have different operating system and IS (information system) mechanism, company should prudently consider which service matches with the company’s characteristics.
Infrastructure as a Service (IaaS) provides the fundamental basis to company or customer to utilise operating systems, security, and servers to develop services, applications, etc.
Platform as a Service (PaaS) provides the foundation to develop applications and services. This service is somewhere in between IaaS and SaaS. Firms are encouraged to establish their own platform through PaaS.
Software as a Service (SaaS) provides remote access via a software, through a web...
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...any adopts cloud computing, the manager should have knowledge on potential risks and details of the service provided by cloud vendor. According to Srinivasan (2013), the risk prevention can be managed by checking how the cloud vendor handles issues such as physical security, data backup and recovery.
The company can improve organisational performance by using any of three services (IaaS, PaaS, SaaS). The appropriate question is what service model is pertinent for the business. The first is PaaS versus IaaS. This decision mostly depends on whether company expects high performance and scalability of the service. For PaaS, there is a limitation on providing very large scale, as the platform has automatic scaling and recovery system for all users in the platform. Therefore business expecting great performance and high scalability from cloud computing should adopt IaaS.
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