- 5th Jun 2019
- 05:59 am
The blog will provide information about the services of business operation that will move to cloud for reducing the overhead cost of the organization. Furthermore, the article will explain the reasons for moving these operations and processes which will be sued in in-house servers. Moreover, the paper will also discuss why a particular cloud service provider is chosen for the company.
Business operation moving to the cloud
Business operations constitute the whole procedure of a company, and it includes the technology, staffing, productivity and efficiency of the firm (Gangwar, Date, and Ramaswamy, 2015). The absence of proper strategy by the management can increases the overhead cost of the product and thus transforming business operation to the cloud can decrease this functional cost. Cloud means storing the information and data of a company over the internet and not on the computer hardware thus by increases the security level of the data (Karim, Ding, Miri, and Rahman, 2015). The services provided by the organization through the internet to all their users can be easily transferred to the cloud, so thus it reduces the overhead cost. Along with this, the employee can also use this system for data storage services that help the organization to reduce their cost over storage purposes. This system automatically installed other necessary software, and all the information can easily transfer to this system as it provided a high storage space so thus the operation cost should reduce. The system also provided security services so shifting some business operation process in this will help the organization to maintain their working procedure with the low amount of costs.
Explanation of moving these operations
There are various reasons of using the cloud instead of any other physical services, one of which it reduces the upfront cost of buying and installing hardware system and software application that are needed by the organization (Oliveira, Thomas, and Espadanal, 2014). This will decrease the risk of introducing the high software application, and this system also provides sufficient space for storing the information and data of the firm. Another reason for using this system is to increase the flexibility in business operation procedure by offering data storage and backup of the information and focusses on the core operation. If high-speed internet connection is present in the firm, then cloud system will help to move data faster than any other software system. Hence, this will increase the performance of the organization as it helps them to provide the services as per the stipulated time. Along with this, the cloud allows sharing of resources that support the business to reduce their energy costs thereby increasing the storage capacity. The implementation of cloud system will enhance the security performance of the firm as it provided high-security measures (Garrison, Wakefield, and Kim, 2015). If the machine or system is lost or corrupted, then the data is quickly recovered from their as they are saved in the cloud system, and this is one of the most important reasons of using this software system.
The cloud system always keeps monitoring on the data or information stored in it, and thus any problem occurs in the machine can automatically recover from it. This will decrease the loss of valuable data of the organization, and also it can be accessed through every location where internet connection is present. Cloud system also increases the collaboration procedure as the workflow and sharing of the file will be much faster than other internet services. Hence this will help the company to maintain the excellent relationship with the other companies in the market thus by increasing their business growth. Apart from this, using the cloud, the document stored safely, and every employee in the firm can see this document from every place and this technology also help the organization to increase their competitive advantage in the market. Besides this, with the help of this technology, the software gets automatically updated, and no workforce, as well as money, is needed for updating the other software present in the system. Moving the business operation to cloud increases the speed of traditional workflows will increase and the team can face challenges in their workplace and also do their work enthusiastically (Vieira, Bittencourt, and Madeira, 2015). This system not only reduces the overhead operation cost but also influences the employee to do their work correctly in the firm. These are the reasons for which the management implement cloud in their business operation to reduce the overhead cost of the firm.
Processes to keep in in-house servers
A physical server is a device in which the data regarding the business operations of the company are stored. This information stored in the physical servers can be read, and this server can be situated within the company premises or at a data center (Di Spaltro, Polvi, and Welliver, 2016). Usage of in-house servers comes with many benefits, such as customization and full-time access to the data in critical business hours. However, it comes with some disadvantages too; such as allocation of space and maintenance. The primary purpose of the servers is to provide backup to the IT networks of the company. The processes which will be used in the in-house servers of the company are background processing and conducting analytical operations. It will contain a Java Virtual Machine to perform these processes efficiently. These processes will help the servers of the organization to handle the all the major workflow requests (Hameed et al., 2016). As database servers cannot function without proper database processes, these processes should be kept on the premises of the organization. These in-house processes will help the company to handle many users at the same time efficiently. If the information is stolen or missing, it can be retrieved using the methods used in the physical servers of the company.
Reasons for choosing a cloud service provider
Cloud service provider is an organization which provides network services, infrastructure and business applications to their client company. It is essential to select the right cloud service provider to achieve the business goals of the firm. Moving business operations to the cloud can result in a reduction of overhead costs of the firm (Kasemsap, 2015). The company should evaluate the services of these services providers on the basis of some specific characteristics. They should consider the costs associated with these services along with the security of these services. Protection of sensitive data of the organization should also be considered before selecting a particular cloud service provider. Thus the physical location of the servers of the cloud service providers should also be carefully considered. Reliability of the services must be evaluated before selecting the services of a specific cloud service provider. In IaaS model, the cloud service provider offers structural components like server storage and networks to another business organization. Use of these services will be beneficial for the company, as it will help them to reduce their overhead costs without compromising the security of their data. It is reliable, flexible, and easy to access and have a higher degree of reliability (Sanyal, Biswas, Roy, and Bhadra, 2018). These services are easy to use, secure and cost-efficient, thus helping the organization to reduce their overall expenditures. In this case, the functions of Amazon Web services will be used.
Amazon Web Services offers a wide range of products and services which helps the organizations to run their business efficiently. These are network services, storage and content delivery, security and database, analytical services, etc. There are several advantages of using Amazon Web services over others. It is a cost-effective service, in which the organizations will pay for the components they will use for their business purposes. It provides a better platform for the firms, where they can safely host their mobile and web applications. Their services are secure so that the organizations do not have to worry about the security of their data. They provide various tools which can be used by multiple organizations according to their business needs. Thus it can be said that it comes with a higher range of functionality and scalability. These tools allow firms to customize the resources according to their business requirements (Yamato, Nishizawa, Muroi, and Tanaka, 2015). They can choose the type of platform, operating system, and even programing language while developing their applications according to their business operations. The service comes with a high degree of data security and safety, to protect the confidentiality of the sensitive business data stored in their networks.
Conclusion
The paper concludes that transferring some business operations of the company will help the management to reduce their overhead costs to a significant level. It would also increase the flexibility and efficiency of the business firm. Amazon Web Services is chosen for this purpose due to their versatility and scalability.
