cloud computing principles and paradigms: 4 the enterprise cloud computing paradigm

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Cloud Computing

4-The Enterprise Cloud Computing ParadigmCloud ComputingPrinciples and Paradigms16 October 20121Cloud ComputingPresented by Majid Hajibaba1Migration into a cloudIntroductionEnterprise Cloud Computing Paradigm

16 October 2012Cloud Computing2

Presented by Majid HajibabaEnterprises will place stringent() requirements on cloud providers to pave( ) the way for more widespread adoption of cloud computing, leading to what is known as the enterprise cloud paradigm computing. Enterprise cloud computing is the alignment of a cloud computing model with an organizations business objectives (profit, return on investment, reduction of operations costs) and processes.-----------------------------------------

Migration into a cloud2Deployment ModelsCloud Characteristic (NIST)On-demand self serviceBroad network accessResource poolingRapid elasticityMeasured serviceDeployment ModelsPublic CloudPrivate Cloud Virtual Private CloudCommunity CloudManaged CloudHybrid Cloud

16 October 2012Cloud Computing3

Presented by Majid HajibabaAccording to NIST [1], cloud computing is composed of five essential characteristics: on-demand self-service, broad network access, resource pooling,rapid elasticity, and measured service. The ways in which these characteristics are manifested in an enterprise context vary according to the deployment model employed.-------------------------------------

Migration into a cloud3Deployment Models16 October 2012Cloud Computing4

Presented by Majid HajibabaPublic clouds are provided by a designated service provider for general public under a utility based pay-per-use consumption model.

Private clouds to exploit the cloud benefits like flexibility, cost reduction, agility and so on.

Virtual private clouds are a derivative of the private cloud deployment model but are further characterized by an isolated and secure segment of resources, created as an overlay on top of public cloud infrastructure using advanced network virtualization capabilities. Some of the public cloud vendors that offer this capability include Amazon Virtual Private Cloud

Managed clouds arise when the physical infrastructure is owned by and/or physically located in the organizations data centers with an extension ofmanagement and security control plane controlled by the managed service provider. (NaviSites NaviCloud)

The selection of a deployment model depends on the opportunities to increase earnings and reduce costs i.e. capital expenses (CAPEX) and operatingexpenses (OPEX). Such opportunities can also have an element of timeliness associated with it, in that decisions that lead to losses today could be done with a vision of increased earnings and cost reductions in a foreseeable future.Migration into a cloud4

Adoption Strategy16 October 2012Cloud Computing5Presented by Majid HajibabaAdoption of Cloud in an enterprise is more of a strategic decision than an operational or tactical. an organization makes a decision to adopt a cloud computing model based on fundamental drivers for cloud computing.----------------------the major reason for discontinuing with cloud-related strategies is the difficulty with integration, ahead of issues with the costs of services.Migration into a cloud5Consumption Strategy16 October 2012Cloud Computing6

Presented by Majid HajibabaThe consumption strategies make a distinction between data and application logic because there are questions of programming models used, data sensitivity, software licensing and expected response times that need to be considered.the major hindrance to SaaS adoption is still the pricing and the lack of compelling indicators that the long-term investment in SaaS will be more cost-effective than traditional on-site maintenance of software.------------------------------------------------------------------------------Solution provisionQuery intensive solution & testing solution---------------------------------------------------------------------redundancy strategy because the CDC is used for situations such as disaster recovery, fail-over and load-balancing.

Migration into a cloud6Issues for Enterprise Applications in cloudERPCapabilities of ERPTransactional CapabilitiesOLTP (Online Transaction Processing)manage transaction oriented applications(relational databases)ACID properties, write/update-intensiveCRM (Customer Relationship Management)Analytical CapabilitiesOLAP (Online Analytical Processing)Analysis, reporting, decision supportRead onlyData-intensiveBI (Business Intelligence)

16 October 2012Cloud Computing7Presented by Majid HajibabaERPHowever, as the market rapidly changes, organizations need new solutions for remaining competitive, such that they will constantly need to improve their business practices and procedures. For this reason the enterprise cloud computing paradigm is becoming attractive as a potential ERP execution environment.One of the first issues is that of infrastructure availability. adequate IT infrastructure, hardware and networking are crucial for an ERP systems success.-----------------------------------------------Business Intelligence and analytical applications are relatively better suited to run in a cloud platform with a shared-nothing architecture and commodity hardware.

Migration into a cloud7(ERP)Transition ChallengesFive stage of the cloud16 October 2012Cloud Computing8

Presented by Majid HajibabaAn applications migration is not a straightforward process. It is risky, and doesnt always guarantee a better service delivery.-----------Challenges for cloud operations can be divided into running the enterprise cloud and running applications on the enterprise cloud.-----------monitoring, troubleshooting, and comprehensive capacity planning are actually missing in most offers. Migration into a cloud8Enterprise Cloud Technology & Market EvolutionStandardVendor lock-inOGF OCCI for compute cloudsSNIA CDMI for storage and data managementDMTF Virtualization Management (VMAN)DMTF Cloud IncubatorDrives adoption, Drives the market, Third party vendorSLALack of controlPrimitive vs. SophisticatedCloud Service Brokerage (CSB)Cloud Service IntermediationAggregationCloud service Arbitrage16 October 2012Cloud Computing9Presented by Majid HajibabaThis will put pressure on cloud providers to build their offering on open interoperable standards to be considered as a candidate by enterprises-------------------------------------Widespread participation in these initiatives is still lacking especially amongst the big cloud vendors like Amazon, Google, and Microsoft, who currently do not actively participate in these efforts.

standards drive choice and choice drives the market.

third party vendors will be able to develop and offer value added management capabilities in the form of independent cloud management tools-------------------------------------In the face of lack of control over the environment Service level agreements (SLA) can prove to be a useful instrument in facilitating enterprises trust in cloud-based services.-------------------------------------services would become complex to be handled directly by the consumers. To cope with these scenarios, meta-services or cloud brokerage services will emerge. These brokerages will use several types of brokers and platforms toenhance service delivery and, ultimately service value. Migration into a cloud9Marketplaceindustry-specific characteristicsRivalryComparable ProductsMarket shareFederationSmall companiesSwitching costStandardization

16 October 2012Cloud Computing10Presented by Majid HajibabaThe intensity of rivalry on the market is traditionally influenced by industry-specific characteristics:Migration into a cloud10Dynamic Business Model16 October 2012Cloud Computing11

Presented by Majid Hajibababusiness models will consider various fields, including e-business, strategy, supply chain management and information systems but will now need to emphasize the value of ICT-driven innovations for organizations and users

static perspectives on business models will not be viable in such an ICT-centric environment, given that organizations often have to review their business model in order to keep in line with fast changing environments like the cloud market for the ICT sector [46], from development to exploitation [45].-----------------------------For dynamic business models for ICT, it is important to incorporate general phases of a product development.phasing models help to understand how innovation and change affect the evolution of the markets, and its consequences for company strategies and business models [50]. As argued by Kijl [51], the three main phases are R&D, implementation/roll-out, and market phase, which include the subphases of market offerings, maturity, and decline

Figure also outlines which external drivers are expected to play a dominant role throughout the phases.market developments and regulation can also trigger opportunities for the development of new products and services in this paradigmMigration into a cloud11Cloud Supply Chain16 October 2012Cloud Computing12

Presented by Majid HajibabaThe idea of C-SCM represents the management of a network of interconnected businesses involved in the end-to-end provision of product and service packages required by customers. The established understanding of a supply chain is two or more parties linked by a flow of goods, information, and funds [55], [56] A specific definition for a C-SC is hence: two or more parties linked by the provision of cloud services, related information and funds.Migration into a cloud12endThe Enterprise Cloud Computing Paradigm16 October 2012Cloud Computing13

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