BSBSMB412: Implementing Cloud Computing in Business - A Report

This report provides an overview of implementing cloud computing in business operations, covering short and long-term goals, a detailed timeline, and a cost-benefit analysis. It outlines the steps for cloud implementation, emphasizing improved efficiency, data security, and disaster recovery. The cost-benefit analysis includes hardware, software, development team salaries, and training costs, compared against salary savings and reduced operating costs. The report also addresses the importance of justifying cloud computing applications, reducing carbon footprint, improving work-life balance for employees, and enhancing communication among stakeholders. The conclusion highlights the role of training and coaching in maximizing cloud computing potential and determining the right implementation strategy. Desklib offers a wide range of resources including past papers and solved assignments for students.

Cloud Computing into
Business
Name of the Student:
Name of the University:
Author note:

Introduction
 Cloud computing brings several benefits for business.
 It minimizes cost and increase satisfaction of the customers.
 The presentation covers a timeline for short and long-term, goals for
implementing cloud computing, cost-benefit analysis, outlining the steps for
cloud implementation in business and demonstrate the support of
implementing cloud computing.

Task 1: Short and long term goals and
timeline for implementation
 Cloud service implementation is beneficial in short term for minimizing costs
in business (Lian et al. 2014).
 For long-term benefits, implementation of cloud computing would improve
efficiency of business operation.
 Improvement of data security, flexibility, quality control as well as disaster
recovery are the long-term benefits of cloud computing in business..

Contd.
Milestones in the
Project
1st
Week
2nd Week 3rd
Week
4thWeek 5thWeek 6thWeek
Gathering the
requirements
To do
Selecting the type
of cloud service
 To do
Contacting with
the cloud service
provider
To do
Review of Cost
benefits
 To do
Training to the
staffs
 To do
Implementing
cloud application
 To do  To do
Reviewing risks
in the project
 To do
Testing the
process
 To do
Developing risk
mitigation plan
 To do

Task 2: Cost Benefit Analysis
Cost-Benefit - INPUT VALUES
Hardwar e $ 25,000.00
Software $ 750.00
Development team salaries $ 5,500.00
Training $ 1,750.00
Total Development Cost $ 33,000.00
Hardware $ 5,000.00
Software $ 185.00
Operational Labor $ 18,000.00
Total Operational Cost $ 3,185.00
Approximate salary savings $ 1,20,000.00
Reduced operating cost $ 45,000.00
Total Benefit $ 1,65,000.00
Discount Rate Used 10.00%

Contd. Year of Project
0 1 2 3 4 5 TOTAL
Economic Benefit $0.00 $1,65,000.00 $1,65,000.00 $1,65,000.00 $1,65,000.00 $1,65,000.00
Discount Rate 1.0000 0.9091 0.8264 0.7513 0.6830 0.6209
PV of Benefits $0.00 $1,50,000.00 $1,36,363.64 $1,23,966.94 $1,12,697.22 $1,02,452.02
NPV of all BENEFITS $0.00 $1,50,000.00 $2,86,363.64 $4,10,330.58 $5,23,027.80 $6,25,479.82 $6,25,479.82
One-Time COSTS $(33,000.00)
Recurring Costs $0.00 $ (33,185.00) $ (33,185.00) $ (33,185.00) $ (33,185.00) $ (33,185.00)
Discount Rate 1.0000 0.9091 0.8264 0.7513 0.6830 0.6209
PV of Recurring Costs $0.00 $ (30,168.18) $ (27,425.62) $ (24,932.38) $ (22,665.80) $ (20,605.27)
NPV of all COSTS $
(33,000.00)
$ (63,168.18) $ (90,593.80) $ (1,15,526.18) $
(1,38,191.98)
$ (1,58,797.26) $ (1,58,797.26)
Overall NPV $ 4,66,682.56
Overall ROI
2.9389
Break-even Analysis
Yearly NPV Cash FLOW $(33,000.00) $1,19,831.82 $1,08,938.02 $
99,034.56
$ 90,031.42 $
81,846.74
Overall NPV Cash FLOW $(33,000.00) $ 86,831.82 $1,95,769.83 $
2,94,804.40
$
3,84,835.81
$
4,66,682.56

Contd.
0 1 2 3 4 5 0
$0.00
$100,000.00
$200,000.00
$300,000.00
$400,000.00
$500,000.00
$600,000.00
$700,000.00
$800,000.00
NPV of all BENEFITS NPV of all COSTS
Year

Task 4: Support implementation of the
plan
 It is required to develop proper justification for cloud computing applications
 Cloud computing reduces carbon footprint as well as provide employees a
better work-life balance
 Improving communications among the stakeholders with a business is one of
the major requirements in current business (Di Spaltro et al. 2016).

Contd.
 Implementation of cloud computing assists in scaling the infrastructure.
 Cloud computing increases collaboration among team members in business
organization (Chang and Ramachandran 2016).
 The features like auto-scaling and updating software automatically are the
powerful advantages.

Conclusion
 By gathering information in review and summary assists to understand
fundamentals of cloud computing and types of services offered and costs.
 Training and coaching are helpful in increasing cloud computing potential
assists to determine the strategy to implement cloud computing in business.

References
 Avram, M.G., 2014. Advantages and challenges of adopting cloud computing
from an enterprise perspective. Procedia Technology, 12, pp.529-534.
 Chang, V., Kuo, Y.H. and Ramachandran, M., 2016. Cloud computing
adoption framework: A security framework for business clouds. Future
Generation Computer Systems, 57, pp.24-41.
 Chang, V. and Ramachandran, M., 2016. Towards achieving data security with
the cloud computing adoption framework. IEEE Trans. Services
Computing, 9(1), pp.138-151.
 Dawson, C.J., DiLuoffo, V.V., Kendzierski, M.D. and Seaman, J.W.,
International Business Machines Corp, 2016. Optimizing cloud service
delivery within a cloud computing environment. U.S. Patent 9,274,848.