Cloud computing

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The Cloud Computing model is replacing the traditional IT model for many organizations that have not been able to keep up with the tremendous rate at which technology is changing, the challenges of disparate IT systems inherited through acquisitions and mergers, and decreasing internal resources available for IT commitment.

Cloud Computing models range from public cloud services that bill companies for access to IT infrastructure; the private cloud provider that hosts resources for the sole use of its own organization; dedicated external hosting to non-shared resources; and hybrid hosting, a mixed solution of cloud computing and dedicated hosting.

Schneider Electric consulting experts use their Cloud Assessment Checklist to help potential clients identify the computer services needs that best meet their IT challenges. It is not uncommon to find that an organization would optimize operation with a hybrid hosting solution in which a secure, single-tenant database would be stored with a dedicated host and the front-end would be hosted in the public cloud. Similarly, cloud bursting functionality enables the organization to automatically deploy new applications within the public cloud as needed. Such hybrid hosting models allow scaling capability to accommodate an increase in the number of users in the organization and meet peak traffic demand.

Careful examination of business and security characteristics can determine the proper cloud and hosting model that meets the needs of any particular enterprise and, as a result, help increase the organization’s IT capabilities and productivity while adding value to the business.

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Cloud computing

  1. 1. Cloud ComputingOctober 2011 / White paperMake the most of your energy SM
  2. 2. SummaryExecutive summary ................................................................................... p 1Introduction ............................................................................................... p 2IT environment-related issues . ................................................................... p 4Cloud computing concept and models ...................................................... p 5Schneider Electric cloud assessment . ....................................................... p 6Schneider Electric cloud assessment checklist .......................................... p 7Conclusion ................................................................................................ p 8
  3. 3. Cloud ComputingExecutive summaryThe Cloud Computing model is replacing the traditional IT model for manyorganizations that have not been able to keep up with the tremendous rate atwhich technology is changing, the challenges of disparate IT systems inheritedthrough acquisitions and mergers, and decreasing internal resources availablefor IT commitment.Cloud Computing models range from public cloud services that bill companiesfor access to IT infrastructure; the private cloud provider that hosts resources forthe sole use of its own organization; dedicated external hosting to non-sharedresources; and hybrid hosting, a mixed solution of cloud computing anddedicated hosting.Schneider Electric consulting experts use their Cloud Assessment Checklist tohelp potential clients identify the computer services needs that best meet theirIT challenges. It is not uncommon to find that an organization would optimizeoperation with a hybrid hosting solution in which a secure, single-tenant databasewould be stored with a dedicated host and the front-end would be hosted in thepublic cloud. Similarly, cloud bursting functionality enables the organization toautomatically deploy new applications within the public cloud as needed. Suchhybrid hosting models allow scaling capability to accommodate an increase in thenumber of users in the organization and meet peak traffic demand.Careful examination of business and security characteristics can determinethe proper cloud and hosting model that meets the needs of any particularenterprise and, as a result, help increase the organization’s IT capabilities andproductivity while adding value to the business.Cloud Computing White paper on Cloud Computing | 01
  4. 4. Cloud ComputingIntroductionThe combination of rapid technological evolution and present economicrealities has given rise to the era of Cloud Computing. Just as with the historicmainframes and the events of the client-server days, the advent of the cloudis significantly changing the way computer services are used. The CloudComputing model enables companies to share resources, software andinformation by means of a growing variety of devices — creating new businessopportunities in terms of speed and efficiency.Today’s economy needs a fundamental change in IT structure costs. Recentstudies show that 70 percent of IT budgets are applied to maintaining currentsystems, whereas just 30 percent is used to enhance productivity andinnovation. The goal is to come up with better models for providing innovativeservices — helping increase IT capabilities and productivity while adding valueto the business.For this reason, IT executives are demanding computer solutions that offertechnology aimed at performance, high availability, greater reliability, rapidmass scalability, as well as cost reduction that enables higher growth andgreater flexibility. White paper on Cloud Computing | 02
  5. 5. Cloud Computing enablescompanies to shareresources, software andinformation by means of agrowing variety of devices
  6. 6. Cloud ComputingCloud computingIT environment-related issuesCompanies are up against a tremendousnumber of obstacles in their IT environments:complex systems, personnel overload and capitalinvestment needs are giving rise to bottlenecksin the implementation of infrastructures and newdevelopmental progress. This impedes most ITorganizations from rapidly deploying applicationsor maintaining them in a profitable manner.Underlying these challenges is a series of causesand effects that complicate and hinder agility andflexibility in business processes. In the first place,there is a knowledge gap among IT personnel inregard to technologies, systems and processes.In-house IT departments struggle to keep theircompanies up to date by using the best available In light of this situation, companies are forcedhardware and software; however, today’s to endure high IT costs in order to adapt to newtechnological invasion coupled with the need to business challenges. Many organizations havemaintain current services render it an arduous and had to fully assume the costs of hardware andcostly mission. The reason for this gap is not the infrastructure resources, which requires significantlack of IT team capability or proactivity, but rather expenditure of capital on underused infrastructurethe tremendous rate at which technology and equipment that will become obsolete in justis changing. a few years — thus entailing migrations, service interruptions, and new personnel training.This difficulty is exacerbated by the fact that manycompanies have systems that have been “patched Therefore, the traditional IT model, focused ontogether” to meet business needs and/or inherited maintaining current processes, can prove to bethrough acquisitions or mergers. too slow and extremely costly. These obstacles have a negative impact on agility and productivity,Secondly, human IT resources are experiencing which leads to a loss of business and affectswork overload under the economic model we are company growth. Hence, the frustration observedfacing today. Given this context, many companies among first-line employees and executives, whohave had to cut their budgets, allocating the are aware of the need for technological innovationexecution of basic competencies to IT personnel and change that remain out of reach.who devote most of their time to maintaining thesystems in place, often with fewer resources. This Cloud Computing and dedicated hosting modelsleads to a drop-off in investment in productivity have been brought to bear in order to solve manyand innovation. of the problems mentioned. White paper on Cloud Computing | 04
  7. 7. Cloud ComputingCloud computing concept and modelsWhen applied carefully and professionally, Cloud requirements and other risks associated withComputing and dedicated hosting can be secure, the use of multiple users and shared resources.profitable, flexible, scalable, and fast. Consequently However, it requires a substantial initial investment,business capability can be increased as needed and later — depending on needs — makes italong the way — without having to invest in new necessary for the consumer to increase capacityinfrastructure, training, and software licenses. through new equipment and bandwidth.The industry has coined the term “cloud” to Private clouds are usually built inside dedicatedencompass the range of hosting and virtualization hosting environments, where the hosting providersolutions that create public, private and hybrid offers dedicated virtualization resources to quicklymodels. Each has their own advantages and set the user up with new virtual machines.limitations that enable numerous cases of use,adapting to business and security requirements: • Dedicated hosting — used in both physical and virtualization environments, this involves• The cloud — known as the public cloud, non-shared solutions that are hosted externally either off-premise (hosted) or multi-tenant through a hosting provider. (shared use of resources), it constitutes a solution that facilitates a genuine model of • Hybrid hosting — a mixed solution of cloud utility computing. It consists of a combination computing and dedicated hosting utilizing a of software-managed virtualized hardware secure, private network to connect services/ that allows users to supply or dismantle these servers or private clouds within the corporate resources in seconds or minutes. Under this network to more flexible resources within model the provider of cloud services holds the cloud. This type of cloud computing ownership to the entire physical infrastructure provides the low-cost elasticity of cloud and software, allowing companies to purchase computing together with the security afforded access to these resources, billing only time, by corporate services/servers. There are bandwidth, and storage used. usually common application programming interfaces (APIs) in place, maintaining a single• Private cloud — single-tenant (non-shared management interface. use of resources) virtualization solution, hosted both internally and externally.Under this option, a single entity hosts resourcesin a virtualized environment for the sole use of itsown organization. It enables the entity to addresssecurity fronts, compliance with privacy-related White paper on Cloud Computing | 05
  8. 8. Cloud ComputingSchneider Electric cloud assessmentUnderstanding the different uses and limitations ofthe cloud is essential, because even though it’s foreveryone, it doesn’t work for everything.For instance, some companies use dedicatedhosting to store databases inside dedicatedhardware with the aim of meeting standards orcompliance requirements (PCI, for example), orbecause they would rather not have confidentialdata housed in a shared platform. Otherapplications, such as Web servers or certain SaaStools work well in the cloud as a product of theirelasticity and rapid scaling capability.Schneider Electric offers a team of consultingspecialists to advise customers regarding thesecloud services:• Schneider Electric hosting• Schneider Electric cloud platform• Schneider Electric private cloud White paper on Cloud Computing | 06
  9. 9. Cloud ComputingSchneider Electric cloudassessment checklistSchneider Electric has set up the Schneider Electric The hybrid model, then, lends the company scalingCloud Assessment Checklist, which consists capability to thereby handle the increased numberof a questionnaire enabling the most suitable of users and meet peak traffic demand.technologies and options to be determined for eachcustomer based on business and application needs: In a similar fashion, cloud bursting functionality allows companies to utilize the complete capability1. Is the workload I/O-intensive? of their dedicated infrastructures, without the risk2. Is it latency-sensitive? of performance degradation during peak use. That3. Does the application require compliance with is, it has the capacity to automatically deploy new security standards? applications within the public cloud as needs arise.4. Is it a legacy application? Without the cloud bursting option, the company would have to invest in infrastructure in order toModel options depending on the response: resolve the aforementioned peak periods, which would subsequently force the organization toA) Negative response. If the answer to all of the maintain an environment with minimal capability use.questions above is no, the cloud model can addvalue to the IT strategy of a business. Therefore, all enterprise applications have specific characteristics, in terms of both business andB) Affirmative response. If the answer is yes, then security, making the decision as to whetherimplementation structured solely within the current to adopt the cloud an important one. Somecloud is most likely impractical — which should not companies will be able to use the cloud modelitself completely rule out use. This is the case, to immediately, whereas others will have to devotethe extent that hybrid hosting enables cloud use time to researching the options of the hybrid/privatewhile exploiting a dedicated hosting environment in model. This investment can lay the foundationswhich the cloud did not prove to be an alternative. for sustained profitability to alleviate the difficultiesOne example involves cases requiring a secure, posed by many IT environments and whichsingle-tenant database, but where the front-end companies must overcome.does not have compliance requirements. In thissituation the database would be stored with adedicated host with the front-end being hosted inthe public cloud. White paper on Cloud Computing | 07
  10. 10. Cloud ComputingConclusionCloud Computing in a nutshell:• The advent of Cloud Computing is significantly changing the way computer services are used. Innovative and configurable services make it possible for an organization to rapidly deploy productive applications and maintain them in a profitable manner.• hen applied carefully and professionally, Cloud Computing and dedicating W hosting can be secure, flexible, scalable and fast — and allow the organization to be more productive and responsive to new business opportunities.Recent studies show that just 30 percentof current IT budgets is used to enhanceproductivity and innovation White paper on Cloud Computing | 08
  11. 11. © 2012 Schneider Electric. All rights reserved.Schneider Electric C/ Valgrande, 6, 28108 - Alcobendas (Madrid) (Spain) Telephone: 34-902-33-55-99 Fax: 34-91-714-70-05 http://www.schneider-electric.com July 2012

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