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ITC561 Cloud Computing

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ITC561 Cloud Computing

0 Download6 Pages / 1,312 Words

Course Code: ITC561
University: Charles Sturt University is not sponsored or endorsed by this college or university

Country: Australia


Economic arguments for migrating corporate or governmental data centers and computing infrastructure to the cloud have often been quite persuasive. However, for large-scale business ventures and complex organizational scenarios, careful prior analysis, financial modelling and planning is often needed.
Business Case: Apart from technical readiness of Cloud Solution Platforms from leading Cloud platforms like AWS, Microsoft Azure, Google Cloud Platform, Cloud Adoption and Migration also depends from the regulatory requirements in specific regions. This is especially true for the public and government sector in the European Union. While the US already implements cloud solution in the public sector, the European Union and specific countries in Europe still hesitate to widely adopt cloud technologies in the public sector.
Your task in Detail:
1. Create a detailed business case, based mainly on economic and regulatory grounds, for why the public sector in the European Union would be better off relocating their IT systems to the cloud, fully or partially. Your write-up should be supported by factual data relevant to the Public Sector in the Europe Union, and should include estimated cost savings, if any, for cloud migration of their IT systems, either fully or partially for specific sectors. What is the best entrance strategy for this process?
2. What are the business-related, regulatory or other non-economic factors that could significantly affect the economic arguments you have put forward for Cloud Adoption in the European Union? For at least one of the factors mentioned, explain, and attempt to quantify in some detail, what effect this has on the economic arguments you presented for sub-task .


With the emerging technology, it becomes very much necessary to adopt technology that will help the European Union in providing better relation to their IT system.  The state administration and the local government of the EU countries need to implement a technology that will provide better reliability and also within the budget. Cloud computing model helps in improving the data storing capability. Before migrating to the cloud server, the organization needs to choose an appropriate model that will help with managing the IT sector of the country (Gai, Qiu and Zhao 2016). This report will discuss about how the cloud computing helps in reducing the cost. Over years it is being noted that the several organization has moved to the cloud server and also it is being expected that with the upcoming years it will gain more importance in the market. Thus it will be beneficial for the European government and will also be cope up with the developing market (Gutierrez, Boukrami and Lumsden 2015). For the companies with the IT sector and equipment, it is best advice to switch to the cloud server as these benefits the organizations from both the perspective that is provides the best facilities in terms of technologies and also help in saving the cost. Several ways the cloud helps in saving the cost are:
Hardware: the main advantage of the cloud computing is that the cost with the hardware gets reduced. For the new expanding companies hardware can turn to be expensive, thus moving to cloud system will help in managing the cost. In addition to these the internal cost incorporated with these gets also saved.
Maintenance: the time required to maintain the database and the information saved with the cloud server is less and also needs less human effort. Thus this is beneficial for the organization as the need of human power will decrease thus there will less need of in house IT staff and will eventually save the money.
 Productivity: in spite of all these factors, migrating to the cloud server helps in effective production. Thus the productivity and the efficiency of the workers increases. These helps the organization to gain huge success.
Capital investment: cloud computing is based on the pay as you go pricing model. That means the organization needs to pay only for the resources they are accessing. Hus these format provides flexibility to the organization and also saves the cost. The organization needs to pay only for the resources they are using. Moreover, the up-front cost of the cloud is lower than the in- house solutions.
According to the author Hashem et al. (2015), stated that more than 40 percent of the companies are moving to cloud because of the services provided by them and the conferencing tools. Cloud provides simplicity and flexibility, thus this features are attracting the organization to shift to these architecture. The strategies that will help the European government to easily move to the cloud server is moving to the cloud server as the high up technology stack as possible: cloud providers offers several different solutions and architecture to adopt the cloud computing into their organization. There are several architecture and the organization needs to choose among these (Avram 2014). These are, IaaS, PaaS and SaaS. The government can choose any architecture based on the strategies provided by them and can move to the cloud. SaaS provides huge range of software for the one migrated to the cloud server. PaaS provides platform, where people can develop new application and modify the existing one (Almorsy, Grundy and Müller 2016). IaaS provides infrastructures as service. The government can choose any one architecture based on the demand of the IT staffs and can increase their productivity.
The factors other than the economic factors that will affect the European government in the case of implementing cloud computing in their IT department are the technical factors and the environmental factors. The technical factors determines the availability of the data in the cloud system. The privacy that are maintained with the data stored in the cloud. The data needs to be controlled with the system so that there is no loss of data occurs within the cloud server. As the cloud server uses internet thus several organization hosts their data together.  The system needs to be protected from the cyber-attacks, as cyber-attacks may lead to data breaching and will cost a huge impact on the European government. Thus this becomes very necessary to build the strategies that will help in protecting the system from such attacks. The system performance will get increased with the implementation of these technology. These technical factors will help in improving the working of the cloud within the European government. From the survey made it is being noted that 90% of the respondents said that data availability is a biggest concern and one of the most important fact (Botta et al.2016). The IT infrastructure is also a fact that will impact the working of the cloud sever for the European government. In addition to this the environmental factors are also needed to be focused, so that they can improve better way of adopting the cloud system in the IT department. There are all total 9 factors of the environmental factors that are needed to be encountered while developing the cloud system within the government. From the survey it is being noted that 65% people stated that the lack of approved cloud standards is an important factor and is also one of the biggest concern. More than 61% population beloved that there is no need of national cloud computing policy (Rittinghouse and Ransome 2016). Apart from all these the regulatory requirements is a factor of concern and needs to be taken care by the one adopting the cloud service. Also the electricity availability and the broadband connection is concern for more than 6% people and lastly he concern was with the sustainability. Thus from this it can be concluded that not only the economic and regulatory factors but also the non-economic factors and the environmental factors are necessary to be determined before transferring to cloud sever. Thus the European government needs to understand all the factors before migrating to the cloud server.
Accenture, (2013) A new era for European public services, Cloud computing changes the game,
Almorsy, M., Grundy, J. and Müller, I., 2016. An analysis of the cloud computing security problem. arXiv preprint arXiv:1609.01107.
Avram, M.G., 2014. Advantages and challenges of adopting cloud computing from an enterprise perspective. Procedia Technology, 12, pp.529-534.
Botta, A., De Donato, W., Persico, V. and Pescapé, A., 2016. Integration of cloud computing and internet of things: a survey. Future Generation Computer Systems, 56, pp.684-700.
Cloud Computing in the Public Sector, (2014) Case Study in Educational Institution,
DE GRUYTER OPEN, Cloud computing and public administration: approaches in
Gai, K., Qiu, M. and Zhao, H., 2016. Cost-aware multimedia data allocation for heterogeneous memory using genetic algorithm in cloud computing. IEEE transactions on cloud computing.
Gutierrez, A., Boukrami, E. and Lumsden, R., 2015. Technological, organisational and environmental factors influencing managers’ decision to adopt cloud computing in the UK. Journal of Enterprise Information Management, 28(6), pp.788-807.
Hashem, I.A.T., Yaqoob, I., Anuar, N.B., Mokhtar, S., Gani, A. and Khan, S.U., 2015. The rise of “big data” on cloud computing: Review and open research issues. Information Systems, 47, pp.98-115.
Rittinghouse, J.W. and Ransome, J.F., 2016. Cloud computing: implementation, management, and security. CRC press.
several European countries,

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