Discuss the Advantages and Disadvantages of the Use of Cloud Computing in the Business Environment

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University of Wolverhampton|
Task 01 - Discuss the advantages and disadvantages of the use of cloud computing in the business environment| 5CI014- Professional Development|
Nipuna Rangana Rathnayake|


Cloud computing is an emerging technology, bringing various aspects to globalization. This has already started playing a huge part on business perspective. Businesses must consider what are the benefits that companies will achieve by moving on to cloud computing and also what are the disadvantages and risks involved in using cloud computing. This paper looks at advantages of disadvantage of cloud computing involvement in business by analyzing expertise views from various resources, concluding what companies should look at when moving to cloud computing

In the expanding competitive world business owners and investors must begin to start thinking outside the box to gain the benefits in a full scale. It is no secret that the fact to control a business on a global scale is a productive and efficiency information system. According to Laudon K. & Laudon J. (2007), information system can be defined as components related within working in unison to gather, process, store and distribute information to support decision making, coordination, control, analysis and visualization in an organization. How to overcome the obstacles which challenges the companies who seek to get in to new industries and widen the business to achieve the goals is the burden that they carries and it may seem impossible. This is where cloud computing can be helpful with the utilities that comes with it to enable a nimble start up to compete with the competitors’ captive data centres. According to Thomas D. (2009), Cloud programming models has the capacity to adjust the web, facilitating end user application development that lay the foundation for enterprise and even Internet scale applications. Under these circumstances, Business Corporation with small to medium infrastructure requirement, tend to turned to cloud computing. With lower investment, training, planning and hardware requirements, businesses seem to obtain a vast benefit of cloud computing. But the question that rises within is whether the risk outweighs the benefits and does it harm the quality of the business. This paper will reveal some of the benefits and the risks involved with cloud computing in business through the researches done.

Cloud computing is still a hot topic that circle in debate. According to Haag and Cumming (2010, p. 205), cloud computing is a technology model which resources, application software, processing power, data storage, backup facilities, development tools, almost everything are delivered as a set of services through the Internet. It is a new technology, which provides advantages and disadvantages for any sector that use it, like all other technologies. There are many cloud service providers available to select from, which gives different types of facilities with their clouds. Google and Amazon are two of the cloud facility providers who have unique facilities to their own clouds. According to the given facilities by cloud owners and as a new technology that is growing, businesses have taken a wide interest in this technology. Business owners have found that the functions in cloud computing can bring many benefits to their businesses. To begin as a benefit, moving to cloud can reduce the cost for smaller businesses which trying to move to high computer based business areas, that was previously only available for high co operations. Those areas require a vast computing power but the cloud services have provided dynamic supply of resources possible to use. (Marston et al. 2010) High end computers such as expensive servers and software cost can be avoided, therefore saving a significant amount of expenses. They won’t have to buy separate servers or separate licensed software as cloud technology has all...
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