IIMS College

Putalisadak, Kathmandu, Nepal

Name of Course Instructor: Neeru Karki

Course Code: CC113N Course Name: Research Method in Computing

Program Name: B.Sc. (Hons) Computing Semester: 1st Batch: 9th

Assignment I / II / III: Please Tick (√) Assignment Type (Individual/Group): Individual

Assignment Title: FINAL PROJECT AND PRESENTATION

Max. Marks: ______ Date of Allotment: ___________ Date of Submission:

2020/02/18

(Write the individual/group members details below):

Name of the Student ID number Contact Number Email Id

Signature

Sajan GC 9803060983 sajan7gc@gmail.com

Evaluation: ________________________ obtained out of

_____________________________________

Evaluator’s
Comment:_____________________________________________________________________
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______________________________________________________________________________
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 Cloud Computing

Sajan G.c
B.Sc.(Hons)Computing
IIMS College
Dhobidhara, Kathmandu, Nepal
Sajan7gc@gmail.com

Abstract:

Cloud computing is a current trend that reveals the next-generation application architecture and it
is estimated that by 2013 the cloud market will have reached $8.1bn. While cloud services such
as webmail, Flickr and YouTube have been widely used by individuals for some time, it not until
relatively recently that organizations have began to use cloud services as a tool for meeting their
IT needs. This study aims to investigate how cloud computing is understood by IT professionals
and the concerns that IT professionals have in regard to the adoption of cloud services. The study
was carried out in Taiwan and used a survey by interview approach to understand IT
professionals’ understandings and concerns about cloud computing. The findings of the study
suggest that while the benefits of cloud computing such as its computational power and ability to
help companies save costs are often mentioned in the literature, the primary concerns that IT
managers and software engineers have are compatibility of the cloud with companies’ policy, IS
development environment, and business needs; and relative advantages of adopting cloud
solutions. The findings also suggest that most IT companies in Taiwan will not adopt cloud
computing until the uncertainties associated with cloud computing, e.g. security and
standardization are reduced and successful business models have emerged. Cloud computing
technology has been a new buzzword in the IT industry and expecting a new horizon for coming
world. It is a style of computing which is having dynamically scalable virtualized resources
provided as a service over the Internet. It reduces the time required to procure heavy resources
and boot new server instances in minutes, allowing one to quickly scale capacity, both up and
down, as one’s requirement changes. With the rise of a ubiquitous provision of computing
resources over the past years, cloud computing has been established as a prominent research
topic. Many researchers, however, focus exclusively on the technical aspects of cloud
computing, thereby neglecting the business opportunities and potentials cloud computing can
offer. Enabled through this technology, new market players and business value networks arise
and break up the traditional value chain of service provision. The focus of this paper lies on the
real business aspects of cloud computing.

Keywords: Cloud computing, Business Model, Internet Computing, Cloud Programming Model,
Sales Force Technology
 1. Introduction

Cloud computing is the delivery of different services through the Internet. These resources
include tools and applications like data storage, servers, databases, networking, and software.
Rather than keeping files on a proprietary hard drive or local storage device, cloud-based
storage makes it possible to save them to a remote database. As long as an electronic device has
access to the web, it has access to the data and the software programs to run it. Cloud computing
is a popular option for people and businesses for a number of reasons including cost savings,
increased productivity, speed and efficiency, performance, and security. Cloud computing is the
on-demand availability of computer system resources, especially data storage and computing
power, without direct active management by the user. The term is generally used to describe data
centers available to many users over the Internet. Large clouds, predominant today, often have
functions distributed over multiple locations from central servers. If the connection to the user is
relatively close, it may be designated an edge server. Clouds may be limited to a single
organization (enterprise clouds), or be available to many organizations (public cloud).Cloud
computing relies on sharing of resources to achieve coherence and economies of scale. Cloud
computing is named as such because the information being accessed is found remotely in the
cloud or a virtual space. Companies that provide cloud services enable users to store files and
applications on remote servers and then access all the data via the Internet. This means the user is
not required to be in a specific place to gain access to it, allowing the user to work remotely.
Cloud computing takes all the heavy lifting involved in crunching and processing data away
from the device you carry around or sit and work at. It also moves all of that work to huge
computer clusters far away in cyberspace. The Internet becomes the cloud, your data, work, and
applications are available from any device with which you can connect to the Internet, anywhere
in the world. Cloud computing can be both public and private. Public cloud services provide
their services over the Internet for a fee. Private cloud services, on the other hand, only provide
services to a certain number of people. These services are a system of networks that supply
hosted services.

1.1 Background
Cloud computing(CC) is newly developed information technology (IT) related model to
access the on-demand shared network pool of the resources (e.g., data storage, database, data
banking or repository, applications, and relevant services) that can be instantly and efficiently
released and shared with minimal interaction with the management or the service provider. In
any organization, virtualization plays a vital role because it helps pool the relevant resources
from the distant or nearby server from which it was shared, independent of its location. These
days, Cloud Computing has been gaining momentum in every sphere of the organization all
over the world due to its significantly reduced hardware requirements and dependency and
efficient performance in the information system (IS) management and flow (Kautish et al
2008, 2013, 2016, 2018, 2019,). Data being shared to the public domain are usually
centralized in the server and the cloud is implemented via advanced security provisions that
prevent the data breaching and theft. (Zissis and Lekkas, 2012) The United States National
Institute for Standards and Technology (NIST) defined the Cloud Computing as the model
for ubiquitous, convenient, on-demand access to a shared network of resources (e.g.,
networks, virtual servers, data storage, applications and services) that can be released with
the least cloud provider interaction. (Asadi et al., 2016; Hassan et al., 2017; Rieger et al.,
2013; Senyo et al., 2018) Currently, following service models are being widely adopted in
the Cloud Computing environment: i. Infrastructure as a Service (IaaS) model: It helps the
consumer’s process, store or bank the data, establish the network, and computing. ii. Platform
as a Service (PaaS) model: It helps the consumers switch into the cloud environment,
applications already developed or hired, and develop own programming architectures. iii.
Software as a Service (SaaS) model: It enables the consumers use the applications on a cloud
environment. (Amron et al., 2017; Armbrust et al., 2010; Awosan, 2014; Gangwar and Date
2016; Liana et al., 2014; Low et al., 2011; Owusu-Tucker and Stacey, 2018; Palos-Sanchez
et al., 2017; Priyadarshinee et al., 2017; Raymond, 2018; Saleh et al., 2017; Sallehudin and
Ismail, 2015; Sudhakar and Rani, 2014; Yan, 2017; Yoo and Kim, 2018; Zissis and Lekkas,
2012) Four strategic models to switch into the Cloud Computing environment have been
devised: i. Private cloud: This cloud architecture is operated by and for a private
organization. ii. Community cloud: This cloud environment is sharable by multiple
organizations and community for specific purpose such as security arrangements. iii. Public
cloud: The owner of this cloud infrastructure remains the cloud service provider or seller and
it makes the service open to the common people or group of industries. iv. Hybrid cloud: It is
principally similar to the public cloud and is the medley of above-mentioned clouds. (Amron
et al., 2017; Armbrust et al., 2010; Awadallah, 2016; Awosan, 2014; Sallehudin and Ismail,
2015; Sudhakar and Rani, 2014; Yoo and Kim, 2018; Zissis and Lekkas, 2012) Cloud
computing can address and solve many of the diagnosed deficiencies of the traditional
architectures but simultaneously may pose other unclassified shortcomings as well.
Customer’s trust and confidence in a cloud environment are mainly governed by the cloud
deployment model being chosen, integrity of data and applications. Cloud computing keeps
centralization of data security, segmentation of data processing. Data security helps to
maintain confidentiality, integrity and design secure cloud systems. Cloud computing is
based on the principle of sharable resources (i.e., multiple users can use the same resources at
a same time from various locations) at the network level, host level, and application level.
Cloud infrastructures can also be modelled in distinctly secured interfaces and are known as
the federated clouds. Federated clouds are in fact a configuration of single clouds permitting
data exchange and computing resources via predefined interfaces. A cloud environment is
indeed a virtual networking to establish and depict the relationship among the resources
being shared and the cloud users. It’s a dynamic interface among the cloud resource
providers and its targeted beneficiary users allowing the freedom that they need not be in the
same security infrastructure. The cloud users can be tracked from their attributes rather than
the predefined ones. (Zissis and Lekkas, 2012) The emerging CloudComputing technology is
bringing about radical transformation in the incumbent IT environment by providing
uniquely renowned services to meet the upcoming generation’s requirements. It helps the
service users utilize the infrastructures such as virtual servers, networks, storage domains,
operating environments and software provided by the service providers in an affordable
manner. Dramatic expansion of the CloudComputing technology in the Information
Communication Technology (ICT), and financial institutions and industries is a common
 phenomenon these days. It has facilitated the data storage and management on the virtual
servers by which institutions and applications at any corner of the world can have
accessibility to the data and the resources at any feasible time. The CloudComputing model
makes the businesses convenient and enhances the technological capacity of the
organizations adopting it. It is simply the utilization of the networking of the distant, and
even the remote, servers to store, arrange, manage, and process data, rather than a local
server or a personal computer interface. It contributes to the capacity building of the
organization to handle huge mass of tasks without degrading the efficiency of the system. It
also enhances the computing ability of the small and medium enterprises (SMEs) with the
dire constraint of the financial and human resources in IT sectors.

1.2 Problem Statement

Clients highlight that security issues may prohibit the adoption of CC, as it is associated with
various risks. Clients' concerns about security control relate to confidentiality, integrity, and
availability of sensitive information and lack of knowledge as to where the information is
stored and replicated. The following remark was stated by client and was typical among
clients: "Information is really the most valuable asset of an enterprise [. . .] loss or even threat
of loss of information can cause enterprises to fall apart." Several clients noted that security
breaches can lead to less competitive advantage and loss of sensitive information, and can
affect the brand reputation and company share prices, which can ultimately lead to the loss of
a company's trust worthless. Considerable uncertainty exists among prospective cloud service
consumers (CCs) regarding what cloud computing is and which services can be classified as
cloud services (Kushida et al., 2011; Rimal and Choi, 2011; Smith, 2010). To further
complicate matters, cloud computing includes an array of different IT-related services, which
could each potentially be acquired on its own (Vaquero et al., 2009), such as internet
accessible remote storage space, word and spread sheet processing services and internet-
based e-mail services. Previous research has focused almost solely on the technical aspects of
cloud computing. There is a shortage of research literature aimed at guiding prospective CC
enterprises (including governmental organizations and business) in the adoption of cloud
computing and the possible benefits and risks thereof (Marston et al., 2011). This amid the
fact that the responsibility for IT governance, which includes proper decision-making
regarding a definite change in IT strategy towards that of cloud computing adoption, is
placed on enterprise managers, specifically the board of directors (King III, 2009) The Cloud
Computing technology has dramatically transformed the IT industries. Innovative idea
developers no longer need huge capital investment in hardware to deploy their service or the
human capital. The Cloud Computing indicate the applications delivered as services via
internet and hardware and software in the data centers. (Armbrust et al., 2010) The Cloud
Computing frees the organizations from the more expensive, capital intensive infrastructure,
tedious and staff-intensive interfaces. It frees the organizations from the more expensive,
capital-intensive infrastructure, tedious and staff-intensive interfaces. (Sallehudin et al.,
2015) The present study bridged the gap on the cloud adoption influencing factors. The CC
 adoption is an evolutionary concept in Malaysia factors for its adoption should have been
explored. New technologies’ adoption generally requires legal arrangements and the existing
compatible systems should be integrated. Cloud offers cost minimization in both hardware
and software installation. By integrating the Diffusion of Innovation Theory (DOI) and IT
characteristics, a model was formulated and tested to find the factors of CC adoption by the
Malaysian public sector to improve its service delivery. In the USA, UK and Japan, CC
technology played a vital role in the progression towards the IT efficiency. (Sallehudin et al.,
2015)
1.3 Research objectives
This study aims to assist in fulfilling the need for consumer guidance by firstly informing
managers of prospective CC enterprises on what cloud computing is, which services may
potentially be classified as cloud services, and subsequently identifying significant benefits
for CC enterprises who may be considering the adoption of cloud computing as part of their
strategic IT plan. This article does not focus on the incremental risks cloud computing
adoption may expose the CC enterprise to. It is presented on a business and control
framework knowledge level in order to empower managers of enterprises (including public
sector enterprises) with knowledge on cloud computing, without going into extensive
technical detail. Empowerment of enterprise managers and business professionals is
especially relevant as Gartner comments as part of its top predictions for 2012 that control
over IT in enterprises seems to be slipping away from IT professionals toward management
professionals (Plummer et al., 2011).

2. literature review
A literature review was performed to define cloud computing more comprehensively,
thereby enabling prospective CC to better comprehend what it encompasses. It also explores
the different deployment and service models of cloud computing services and provides some
examples of providers of these services. A control framework was then selected to assist in
systematically identifying and classifying significant benefits of adopting cloud computing,
by means of the framework’s specified control processes. The control framework that was
selected is control objectives for information and related technology (‘COBIT’) version 4.1.
The identified significant benefits were confirmed by referencing literature that discusses the
relevant issue as a benefit. A prospective CC enterprise can refer to the literature referenced
if further detail on a specific issue is required. This study is the first comprehensive study to
map the benefits to a recognized IT risk control and governance framework and thereby
distinguishing hype from actual benefits. COBIT is specifically designed to align IT
management and governance with business requirements (COBIT, 2007). This is achieved as
COBIT has the following focus areas, namely; strategic alignment, value delivery, resource
management, risk management and performance measurement. Steenkamp (2011) concluded
that COBIT provides a practical complementary framework to address compliance with
corporate governance requirements as set out in the Third King Report on Corporate
Governance in South Africa. It is therefore specifically suited to this study which focuses on
informing enterprise (including business) managers on the paradigm of cloud computing.
Only significant benefits are identified as the study does not attempt to represent an
exhaustive list of all benefits. Cloud computing is an evolving paradigm (Mell and Grance,
2011; Smith, 2010) with new benefits certain to develop as the computing paradigm matures.

Table 1: Comparative analysis of cloud computing

Authors Hentschel R, Gao F, Yoo S, Kim B Senyo PK, Saleh A, Drus

Leyh C, Thiebes S, (2018) Boateng R, SM, Shariff
Baumhauer T Sunyaev A Addae E SSM (2017)
(2019) (2018) (2018)
Title Critical Rethinking A Decision Cloud Empirical
Success the Meaning Making Model computing studies on
Factors for the of Cloud for Adopting a research: A cloud
Implementation Computing Cloud review of computing
and Adoption for Health Computing research adoption: A
of Cloud Care: A System themes, systematic
Services in Taxonomic frameworks, literature
SMEs Perspective methods and review
and Future future
Research research
Directions directions
Features The CC is a The CC Technologically The CC Cloud
rapidly technology is , CC involves technology computing has
emerging an innovative hardware, has been become a
technology and paradigm virtualization, rapidly good option
is beneficial for providing the and automation emerging to for higher
the users with the via internet and address such academia
digitalization on demand provides on need and within the
of business access to a demand self- achieve the budget
activities. shared pool of service. operational constraint
Adoption of a computing excellence in scenario
suitable cloud resources IT-based because it
environment is namely service operates even
challenging virtual delivery in without huge
and requires servers, the capital
collaboration storage, and organization. investment for
of the applications. infrastructure
managers and development
IT staff. and resource
allocation.

3. RESEARCH METHODOLOGY
This is an exploratory study which was made by using articles books and journals
reviewed by IT professional’s understandings and concerns about cloud computing.
 After careful consideration however the study identified a number of potential issues
associated with using a questionnaire to collect data at this stage of an innovation, in this
case at the early stages of adopting cloud computing. First, the concept of cloud
computing was new to many at the time that the research was carried out, and there was
no agreement on a definition of cloud computing. Therefore it is not possible to generate
questions and key statements regarding cloud computing. In addition to this, the study
takes the stance that the decision to adopt and use a given innovation is dependent on
how the innovation is understood and constructed by individuals. Therefore it is
important to understand peoples’ perceptions and understandings of cloud computing in
their own words. Second, as a new concept, many of the features, benefits, and
challenges of cloud computing are not well understood and it is difficult to generate key
statements on the basis of common understandings and practices. Third, it was felt that it
is important for respondents to be able to interact with the researchers when answering
the questions in order to clarify their understandings of cloud computing.
3.1. Data collection instrument
Structured questionnaire was developed and applied as the research instrument to
collect the responses on cloud related various factors.
3.2. Pretesting
The pretested samples of Research paper, Journals books were excluded for the final
research purpose and considered only for updating or modifying the research
questionnaire.
3.3. Data collection and processing
Data from Research paper, Journals books about the cloud-related factors were
collected.
4. Result and Discussion
The findings of the study suggest that in order for cloud computing to take off in the IT
sector in Nepal cloud service providers and other stakeholders such as government and
leaders in IT sector need to do more. More papers and examples have been published in
the past years to identify and illustrate the potential financial benefits offered by cloud
solutions however these benefits are not widely realized in practice and there is a lack of
sufficient evidence to support the claims. According to the literature cloud solutions can
help companies, especially small to medium size companies to make savings from
buying, running, and maintaining their IT infrastructure. However the interview data of
this study suggests that such cost savings can only be realized for the new companies.
This is because the existing companies would have invested in the infrastructure (sunk
cost) already using the cloud solutions; indeed will incur costs unless the existing
infrastructure has come to the end of its lifecycle and requires a replacement. On the
other hand sunk costs may be incurred when companies want to adopt a cloud service
because they may have to first upgrade their infrastructure in preparation for cloud
adoption. In addition to overlooking the sunk cost the current literature also underplays
the transaction costs associated with using the cloud services provided by the third party.
The transaction costs involved here are: bargaining costs which incur when level of
 service (SLA) is formally defined and agreed in the service contract between companies
and cloud providers; and policing and enforcement costs which are the costs of making
sure cloud providers stick to the terms of the contract. The transaction costs can be
overwhelming depending on the complexity of the agreements. In this sense companies
are often better off using their own resources rather than relying on third party providers.
Other costs such as the cost of learning is considered by the existing literature. Cost of
learning is the cost of learning new knowledge and skills. The findings of this study
indicate that it is a major concern for managers when considering using
5. Conclusion
The digital revolution is helping organizations transform their businesses to better engage
and stay connected with customers, suppliers, and employees. The internet and services
related to it create an interactive working environment for users. Through the Internet,
effective cooperation is possible whenever, wherever, and with whomever. Cloud
computing emerges as a quickly evolving technology that ever more companies are
willing to adopt in order to improve collaboration. Advantages such as increased IT
infrastructure flexibility, computational power, the opportunity to use an existing
infrastructure on a pay-per-use basis as well as leverage that infrastructure for big data
analytics, better information visibility, and disaster recovery cost effectiveness make
cloud technology a viable choice for many companies. Cloud-hosted servers are
providing a significant savings for small businesses. By utilizing PaaS and SaaS
structures, small businesses can gain benefits and improve productivity and security. CC
enables IT infrastructure of small businesses to evolve quickly and allows companies to
save time and focus on new opportunities. Small businesses now have the ability to
access the same types of high quality enterprise IT services utilized by larger
organizations at a cost and scale that is affordable for businesses of smaller size. CC
enables small businesses to store the company’s most important data in a secure cloud-
based system. Not only are cloud-based services cheaper than traditional ways of
managing in-house IT for small businesses, they are also safer for data storage and
disaster recovery. As discussed in this paper, small businesses can use numerous SaaS-
based applications and services available for managing business projects, document
storage and sharing, marketing, and accounting at affordable cost. The study also
discussed example of a small business that has successfully migrated to cloud-based
infrastructure and has been using various SaaS-based applications and services to reduce
operating costs and to increase productivity. This study concluded that cloud computing
introduces both challenges and new possibilities to many aspects of Internet architecture,
protocols, services, and applications. This technology will affect many people in the
organization and has a significant impact on IT investment and costs. Moreover, this
paper used the three phases of cloud adoption strategy and proposed a conceptual
framework for implementation of CC in small businesses. Furthermore, this study
identified security as one of the main stumbling blocks to wider CC adoption for small
businesses. As discussed in this paper, CC systems are a major target for cyber attackers.
These vulnerabilities show the importance of protecting cloud platforms, infrastructures,
hosted applications, and information and create demand for higher-level cloud security
management and centralized management of security in cloud environments. Other major
concerns of IT managers are compatibility of the cloud with company policies, the IS
development environment, and business needs. Implemented properly, cloud technology
has real potential to enable accuracy, reliability, service enhancement, and cost reduction
for small businesses. The challenge for IT experts today is to understand the role of CC
and develop strategies that exploit its potential. They should complete the prerequisites
(the three phases of cloud service adoption strategy) before making the technology
decisions necessary for successful, service-centered CC strategies.

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