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  1. 1. Cloud computing has two main advantages namely flexibility and cost reduction. The monetary costs or benefits of introducing cloud services in any company depends upon the size of the company and its existingIT resources like computer hardware, software, internal processes in the company, IT staffing and technical skill set.
  2. 2. Often it has been seen that big firms have had an edge over smallcorporations in their access to large capital and their ability to controltheir existing resources like human, software and hardware whichsupports the new marketing and strategic initiatives in the
  3. 3. corporation Things have changed after the introduction of cloudcomputing in the past year as the obstacles got reduced for new andsmall companies Cloud computing also helped to balance out thestrategic advantage which the large and established corporationshave against the smaller or newer companies
  4. 4. A small and talented team of individuals can now get together withtheir individual talents to tackle the market needs without animmediate need for a huge investment to provide the necessaryinfrastructure There are a large number of cloud providers whoprovide the essential software development tools, code repositoriesand test environments
  5. 5. As these small companies grow their business into midsize andlarge companies they face varying expenditure equations that altersthe relative costs and benefits of cloud computing For Example,when the volume of the data traffic increases, the costs of operatingon a cloud provider's infrastructure may become moreexpensive than the necessary IT infrastructure budget
  6. 6. In this case it would always be beneficial to use a policy in whichsome of the applications and services are brought in-house andothers continue to be used in the cloud The cloud computing modelgives major benefits to any enterprise
  7. 7. The major benefits include reduced costs, improved service levels,increase in IT awareness and greater business flexibility However,the real challenge is in recognizing and calculating the opportunitiesthat cloud computing embodies, and developing an effective practicalcloud computing strategy to use a cloud model to its fullest
  8. 8. For introduction of cloud computing in a business it may requiremajor changes in the entire business processes, applicationarchitectures used by the company, and IT infrastructure Moreover,cloud computing has its potential risks also if not properly executedand implemented
  9. 9. Most organizations have limited experience in this field and thus areunsure of how they should proceed There are three cloud servicemodels and those are SaaS (Software as a Service) for web access,PaaS (Platform as a Service) for software development and IaaS(Infrastructure as a Service) for system administration
  10. 10. You can have your own cloud inside the organization, or the publiccloud of any external provider or a hybrid cloud which includes bothown or external Lastly, Cloud computing is being used by manygovernment agencies and organizations for their businesses needs
  11. 11. Cloud computing helps them to give importance to matters whichare significant and critical to business rather the technical side ofthings