Analysis of Cloud Technology Adoption in Modern Business Environments

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Abstract
Nowadays the industrial field is increasing and developing as the enterprises are adopting
various technologies to make the business easier and efficient which is affecting the competition
in the market and that too in a positive manner and in a healthy competition. It has become
important and extremely useful to maintain communication between the stakeholders who are
powerful and have potential as well as with the public so every enterprise indirectly playing the
role of a promoter as it communicates with the public as well as a communicator. This particular
report will provide information regarding the enterprise business strategy which is adopted by
the new generation and how it is affecting to the digital market along specifying the challenges
and opportunities in the newly adopted trending technology as well as its consideration and
impact.

Research Approach and Methodologies
The report is based on the topic Contemporary Business System Environments which include
detailed information and discussion regarding the topic. This report contains the different trends
which are there in contemporary business system environments. There are many different
sources that are used for creating this particular report and sources include different websites and
information which is available on the internet. This report includes different trends and
technologies which are affecting the environment of the business. Other sources from where the
information is gathered in order to create this report are different case studies of different
enterprises, Gartner reports provided a big help and also any numbers of journals also prove to
be very helpful.
A detailed description of the significant trend identified
Nowadays, the revolution of industries has shifted from the previously used obsolete methods
and technology to more advancement of the technology and therefore, the business environments
are also changing and adopting new tools and methodologies to increase the efficiency of the
business as well as the sales of the products and attract more and more customers towards them.
The adoption of new methods is making the business more effective and easy to maintain. The
most trending change in the business environment which almost every company is adopting is
cloud technology and it is replacing all obsolete methods and updating the environment of the
business rapidly.
The providers of the cloud are considering the need of the changing ecosystems and they are
providing different offers regarding the platform services. The applications which are based on
cloud technology have analytic services as well as artificial intelligence. These are the most
advanced technologies which are supporting cloud and out of 10, nearly 6 companies are
adopting this cloud environment which is increasingly involving the concept of intelligence into
the stream of business. In the future, it is predicted that almost all the providers of the database
management system will introduce and adopt the database platform as service and if the provider
is not able to provide this service will be considered as irrelevant.

Figure 1: Cloud Technology (source: (2019))
Cloud is spreading like fire in the cooperate world and every company is now investing for
adapting this technology which is indicating that in the near future almost half of the world will
use this technology and will extract a huge amount of benefits by using this cloud technology.
There are many types of configurations are present which are combined together and these
configurations are public cloud, on-premise private cloud, and bare metal as well as the hosted
cloud.
Figure 2: Public Cloud (source: ("NNS Solution: Go with all your heart!", 2019))
In a public cloud computing a service provider make all the resources available on the internet so
that anyone can make use of it which means it makes the resources public. The example of the
same is IBM’s Blue cloud, Google app engine and many more. These types of resources have
different capacity to store and different type of virtual machines as well. This public cloud also

helps in enhanced scalability and sharing of the resources which is nearly impossible to achieve
for one enterprise.
Figure 3: Examples of public cloud (source: ("Gartner Says Indian Public Cloud Services Market Will Reach $731
Million in 2015", 2019))
On-premise private cloud is another configuration which is also known as an internal cloud. This
cloud is hosted in offices of the organization itself or in the data centers and helps in providing
the internal solutions hosting the needs and as the internal cloud is under control by the
organization which provides better flexibility.
Figure 4: On-premise private cloud (source: ("On Premises vs Cloud - What are the differences?", 2019))
The concept is explained with the help of the given image:

Figure 5: Example of on-premise cloud (source: ("Cloudy with a Chance of On-Prem | MapR", 2019) )
There are two different configurations which are explained in details and other configurations are
combined together to build a strong concept of cloud computing. According to a recent forecast
which is performed by Forrester in the field of cloud market shows that the market in the near
future will enhance and that too up to 23% which was in 2014, this growth in the cloud market
will help in increment and making the market stronger for different applications which are SaaS,
IaaS and PaaS.
Figure 6: SaaS application (source: ("Gartner Says Indian Public Cloud Services Market Will Reach $731 Million in
2015", 2019))
SaaS is Software as a Service which is a model for distributing the software, in this hosting is
done by a third party which helps customers by providing applications for public use on the
internet, it is one of the main categories of cloud computing and there are two other important
categories that are PaaS and IaaS. SaaS is also related to the ASP which is Application Service
Provider (Zhan et al. 2015).

Figure 7: PaaS application (source: ("Understanding PaaS and tips to ensure high-performance PaaS Cloud Apps -
AnythingCloud", 2019) )
Then come PaaS which is Platform as a Service in which the hardware, as well as software tools,
are provided on the internet by the third party. It provides hosting of hardware as well as
software on the infrastructure which is owned by it. Therefore, this service provides installation
of in house software as well as hardware for developing or running an application.
Figure 8: IaaS application (source: ("Significant Features and Advantages of Infrastructure as a Service (IaaS)", 2019))
IaaS is Infrastructure as a service which is the last category of cloud computing helps in
providing resources that are virtualized computed and available on the internet (Hameed et al.
2016).

Further, a recent report has found that why this cloud technology is not completely adopted by
every organization which includes some of the reasons which include the myth which says that
the cloud is all about money instead it should be used for all services. But all these myths are
now diminished and almost every enterprise is trying to adopt this technology. The enterprises
are now seeking to build strategic relations with the providers of the cloud and are trying to
avoid the experimentation stage of the cloud. Now, this technology needs to be flexible and
scalable as it has entered into the next decade and playing a vital role in the digital businesses of
this generation. This cloud technology is capable of affecting almost all the aspects of the
Information Technology world and is a platform which works strategically for inventing more
and more advanced innovation in the field of digital businesses. Platform as a service should be
adopted in this technology as it helps in enhancing the agility into a business. Moreover, in
coming years the big organizations will completely rely on cloud technology to the edge.
Figure 9: Flow Chart
Edge computing is another concept which will soon be adopted by all the big as well as small
organizations that have emerged from the concept of the mesh network and distributed processes.
Cloud technology is a technology in which computing is performed and has the capability which
is elastically scalable and flexible as well which helps in delivering different services by the help

of internet technology. The centralization and decentralization are the two different concepts on
which the need for distributing more computing swings (Varghese, B., & Buyya, R. 2018).
Challenges
Every technology used has its pros as well as the cons. Cloud computing also phases the
challenges that actually makes it fail in achieving the 100% perfection in business fields. The
data transformation is the process that takes place through Cloud Computing but the challenge is
being faced is the high cost of transforming the data, also the mining of the data in the cloud
requires the high cost. Amazon EC2 is used for a month it would cost approximately $18,000,
and as the market is growing so rapidly, many different service providers in the markets are
creating a lot of competitions for each other. Amazon is the one providing the toughest
competition of all other service providers; it approximately shares the maximum percent of the
market even more than Microsoft as well as Google (Almorsy et al. 2016).
A report published by a company named Bain on the Changing Faces regarding the Cloud
explained the whole scenario of how cloud computing has made the biggest impact on different
technical industries. The rapid inclusion of cloud computing in the technical industries also
brings many challenges with it for the industries. The challenges other than cost are Data
security, control loss, lacking in the ability for providers alterations, regulations, Data Portability,
and reliability. The major challenge among all is the security of the data, if the data cannot be
kept secure, it cannot build the trust. If compared on the basis of the 3 years gap, Data Security
has increased and servers are gaining the trust.
Opportunities
Each technology brings up a lot of opportunities with it that to happens with the introduction to
Cloud computing. It provides a lot of solutions for the organization, one of which is the
construction of the in-house infrastructure of IT. Organizations are also facilitated with the
perfect solution for the computation of a large amount of the data and mining of the data can also
be performed easily in a given amount of time with appropriate resources required. A lot of
organizations have to save their data on the cloud and mining is also being performed on the
cloud. The computational cost is the issue that is encountered when the mining of the data is
being performed on the cloud. Organizations inherit a lot of advantages through the cloud
services that includes improving the business agility, cost management, constructing the scalable
infrastructure, gaining flexibility, innovation driving, improving the development and
implementing the various capabilities. Many job opportunities are also being provided through
the introduction of new technology in the organization. Many new skilled workers get the chance
to work in big organizations in different positions (Tong et al. 2016).

Considerations
The businesses can hope for the adoption of latest technologies but it is not considered as that
easy to do, many pre-conditions are needed to be fulfilled for achieving such requirements in the
companies or the organizations (Yang et al. 2017). Many of the key considerations are needed to
be fulfilled in order to move to the cloud for any company. Discussing more on the key
considerations, first one is ensuring the company workers to make them comfortable to adopt
such new technologies. Moving further in the development of the consistent approach for
ensuring the standardization. Next is the data must be clearly analyzed and evaluated and at last
pros as well as the cons are to be considered properly. Proper precaution, safety measures, and
data security would also be needed to be considered properly in order to make the efficient use of
the technology introduced. All the responsibilities must be documented in order to get clean
clearance between the provider and the customer or the client. All the protocols, principles of the
organization and the needs of the clients are to be documented properly to meet the basic criteria
of the company of satisfying client. Employees also must be aware of the fact that through the
help of the cloud all the work and information is being shared at a higher level as well. Finally,
in order to make the balance of the considerations and the risk that could be encountered and as
well as the methods used to resolve those risk to make out the best output of the technology,
processes must be implemented properly.
Impact of the trend on business analysis practice
The above trend clearly explains the business approaches used traditionally in past few years
doesn’t at all used for the development of the contemporary businesses and this in result would
definitely lead to the great number of changes in the businesses practices. Nowadays, analysts in
the businesses are not just about collecting the information or the requirements but the main aim
that comes into the account is the creation of the business requirements. The main thing to be
focussed on must be the work of the business analyst as an expert to understand the full business
system and the life cycle of it. The role of the business analyst is also started to evolve as all the
organizations are now shifting to the digitalization. As evolution is being addressed in cloud
computing and the different technologies, the understanding of the businesses processes is being
clear and effective. The technologies related to businesses are also very well understood.
Another benefit for the business analysts would be the good mindset of collaborating along with
the stakeholders for both internal purposes as well as the external purposes (Marinescu, D. C.
2017).

Conclusion
The conclusion of the above report is that as the new trends and technologies are adopting by the
businesses, the progress and a positive transformation is taking place in the market. In this report,
the main focus is pointed on the cloud technology which is adopted by the business and its
various applications like SaaS, PaaS, and IaaS. Using cloud, businesses are more capable to
improve the ability of decision making by adding more features of handling the Internet of
things, Artificial intelligence and Big data Hadoop in the cloud technology. Therefore, these
technologies are proving to enhance the business skills and helping in making as much benefit as
the enterprise can extract using the technologies. Moreover, the impacts are mentioned in detail
in the above report as well as the considerations which should be already available for the
installation of the cloud technology is provided in the assessment. The challenges that might face
of using the technology is also discussed thoroughly.

References
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