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AN INTRODUCTION TO CLOUD COMPUTING

A Stratospheric eBook

by Hilton Rosenfeld

http://stratospheric.com.au

Copyright (c) 2013 by Stratospheric Pty Limited

All rights reserved. No part of this book may be reproduced in any form or by any electronic or mechanical means, including information storage and retrieval systems, without written permission from the author, except in the case of a reviewer, who may quote brief passages embodied in critical articles or in a review. Trademarked names appear throughout this book. Rather than use a trademark symbol with every occurrence of a trademarked name, names are used in an editorial fashion, with no intention of infringement of the respective owner’s trademark. The information in this book is distributed on an “as is” basis, without warranty. Although every precaution has been taken in the preparation of this work, neither the author nor the publisher shall have any liability to any person or entity with respect to any loss or damage caused or alleged to be caused directly or indirectly by the information contained in this book.

For permission requests, write to the publisher at the address below.

Hilton Rosenfeld Chief Executive Officer Stratospheric hilton@stratospheric.com .au +61 488 267 388 www.stratospheric.com .au

Ordering Information: Quantity sales. Special discounts are available on quantity purchases by corporations, associations, and others. For details, contact the publisher at the address above. Printed in Australia First Edition 14 13 12 11 10 / 10 9 8 7 6 5 4 3 2 1

Table of Contents
INTRODUCTION .................................................................................................. 4 W HY CLOUD ....................................................................................................... 5 W HAT BENEFITS W ILL CLOUD PROVIDE ............................................................... 7 W HAT IS CLOUD ................................................................................................. 9 THE STRATOSPHERIC 5 FEATURES OF CLOUD .......................................................................................... 10 THE FOUR PRIM ARY CLOUD M ODELS ................................................................ 14 PUBLIC CLOUD ..................................................................................................................................... 14 PRIVATE CLOUD ................................................................................................................................... 15 HYBRID CLOUD .................................................................................................................................... 15 COMMUNITY CLOUD.............................................................................................................................. 15 CLOUD SERVICE MODELS ................................................................................. 17 PHYSICAL HARDWARE ........................................................................................................................... 17 VIRTUALIZATION.................................................................................................................................... 18 INFRASTRUCTURE AS A SERVICE (IAAS) ................................................................................................... 18 PLATFORM AS A SERVICE (PAAS) ........................................................................................................... 18 SOFTWARE AS A SERVICE (SAAS) ........................................................................................................... 19 CLIENT LAYER ...................................................................................................................................... 20 W HAT RISKS DOES CLOUD ENTAIL .................................................................... 21 MAINTAINING AVAILABILITY AND BUSINESS FUNCTIONALITY ...................................................................... 22 PROTECTING DATA FROM UNAUTHORISED ACCESS BY A THIRD PARTY ........................................................ 22 PROTECTING DATA FROM UNAUTHORISED ACCESS BY THE VENDOR’S CUSTOMERS ..................................... 22 SAMPLE CLOUD SCENARIOS ............................................................................. 24 CLOUD ENABLE YOUR DATACENTER ........................................................................................................ 24 PRIVATE INFRASTRUCTURE AS A SERVICE ................................................................................................ 24 CLOUD BASED SERVICE MANAGEMENT ................................................................................................... 24 DEVELOPMENT AND TESTING CLOUD ...................................................................................................... 25 APPLICATION TRANSFORMATION............................................................................................................. 26 SOURCE PUBLIC CLOUD SERVICES - (NO OPS CLOUD) ............................................................................. 26 BUILD, OPERATE, AND HOST SERVICE PROVIDER CLOUD ........................................................................... 26 CONCLUSION ................................................................................................... 28 WHAT DID WE COVER ............................................................................................................................ 28 POINTS FOR CONSIDERATION ................................................................................................................. 28 W HERE TO NEXT .............................................................................................. 30

Cloud is the latest technology wave to break across the IT landscape.Introduction It’s no secret that everyone is talking about Cloud and it’s not just tech firms. That’s where Stratospheric is with Cloud and all that surrounds Cloud from strategy. what risks does Cloud entail if you do or don’t adopt or leverage it in some form? The purpose of this eBook is to share with you the Stratospheric understanding of Cloud. others talk about Cloud because everyone else is. design. Technology leaders are firmly grounded in the Early Adopters phase of each new wave of technology. why use it. Some are talking about Cloud because of the potential of what Cloud can deliver. More often than not key decision makers at all levels are taking a long hard look at how they can leverage the benefits of Cloud for their organisations. We will answer the questions posed above. We are at the forefront of this technology wave. or a follower in the early or late majority or the mass market?” Too many organisations let their legacy IT policies guide their Cloud adoption policy only to find their competitors have left them behind. do you want to be a leader in the early adopters space. and detail the types of Cloud technologies and how they will benefit your business. virtualisation and automation. through to implementation and day to day operations and management.e. planning. DIAGRAM: ROGERS ADOPTION CURVE The question your organisation must ask itself is “Where do you want to sit on the adoption curve. from both the conceptual and business perspectives. So what is this Cloud thing. As with previous waves like mobile phones. what benefits can and will it provide. and we’re helping organisations of all shapes and sizes take advantage of Cloud to put them ahead of their competitors. Copyright 2014 Stratospheric P/L 4 . this new wave will follow the Rogers Adoption Curve that shows the rate of adoption for new technologies. Then there are those of us talking about Cloud because we understand what Cloud is and how your business can benefit from it. and it’s not just CIO’s or IT managers. i.

Not only in number. creating a high risk shadow IT. The ability to deliver on this growth is sometimes called Agility. while at the same time ensuring the highest levels of quality. 50% of business leaders say that their IT department is unable to respond to rapidly meet changes in demand. Businesses today expect more from IT. not technologies. the challenge now is how to quickly develop the capability to satisfy an ever increasing demand for highly distributed applications.Why Cloud In a sentence. Better. and Smarter. 71% of CIOs would increase IT investment if it meant better time to market. SOURCE: HP INTERNAL RESEARCH A six week time frame to spin up a single virtual server with the quagmire of change requests. and oversight. the challenge now is how to become more agile. empowering you to operate Faster. SMARTER? • • Demand for IT Business Services is growing exponentially. Users are bypassing their organisations IT in favour of public Cloud Services. firewall policies. businesses now expect to consume services. SOURCE: HP INTERNAL RESEARCH Manual approaches and siloed management tools don't offer the flexibility and compliance required to meet this complexity. security. This is primarily due to in-house IT not being Agile enough to satisfy users. For business. services and resources. Businesses which are not able to make this transition are rapidly being left behind by their competitors who have already been able to achieve these outcomes to support their users. and responsive in their capability to satisfy this demand. BETTER. Business users want the same capabilities in their workplace. cost effective. while maintaining quality and oversight. business cases et al when compared to a five minute process with a credit card on a public Cloud provider was to the average developer a “no brainer”. Cloud is designed to provide solutions to these challenges. Cloud can transform how your business consumes and manages IT Business Services. This expectation is much higher than ever as workers become aware of what is possible today just in the Cloud consumer market. 5 Copyright 2014 Stratospheric P/L . funding requests. Why be FASTER. For IT. The consumption model for technology has changed so profoundly because of Cloud. but also in variety. approvals.

AU/ARTICLE/455597/AUSTRALIAN_PUBLIC_CLOUD_MARKET_HIT_3_2_BILLION_YEAR_GAR TNER It may appear overly subtle to look at Cloud purely from a delivery versus consumer perspective..148 apps downloaded 400. Just how much Faster and Better and Smarter do you need to be? Listed below are some sample statistics for social media sites. not technologies.333 minutes of Angry Birds played SOURCE: www.• Users are fed up with the slow response from their own internal IT organisations when they knew very well that Cloud Services would give them instant delivery of platforms for their use.COMPUTERWORLD. Q4 2008 • • • Businesses now expect to consume services.444 Facebook messages 347. but IT departments who focus only on the delivery aspects will miss the boat altogether. Every 60 seconds there are: • • • • • • • 6. Copyright 2014 Stratospheric P/L 6 . but all layers of the compute environment underpinning this service.COM.jeffbullas. “. The only way these “web scale” volumes can be achieved is through the adoption of technology architectures made possible with Cloud.2 billion this year: Gartner predicts growth in excess of 23% for Cloud Services SOURCE: GARTNER HTTP://WWW. This has carried with it an immense burden of skills and cost. NORTH AMERICA AND EUROPE. A world of new business opportunities is made possible by any organization that becomes involved with providing Cloud Services..com Australian Public Cloud market to hit $3.944.710 ads requested 208.222 tweets 3.194 Instagram Photos posted 23. Traditionally.472 Pinterest pins 38. IT has been occupied with maintaining not only the Business Service software. Developers are bypassing IT and putting applications onto public Clouds at a rate 5x greater than IT thinks …” SOURCE: ENTERPRISE & SMB SOFTWARE SURVEY.

Cloud Services deliver a reduction in the cost of running IT.COMPUTERWORLD. allowing your business to pursue new business opportunities.What Benefits will Cloud Provide Cloud Services have brought about and enabled a paradigm shift to those businesses which adopt them. and only paying for the amount of computing processing and data storage that is actually used. The Cloud Service Provider will maintain the solution.AU/ARTICLE/455597/AUSTRALIAN_PUBLIC_CLOUD_MARKET_HIT_3_2_BILLION_YEAR_GAR TNER • • • • • Potentially reducing ongoing costs due to the use of infrastructure and technical specialists that are typically shared among many customers to achieve economies of scale Potentially improving business continuity and the availability of computing infrastructure. How would the bottom line in your business benefit from becoming best in class rather than being average? 7 Copyright 2014 Stratospheric P/L . Both Average and Best in Class figures are shown. and with the computing infrastructure typically located in multiple physical locations for improved disaster recovery. They allow your business to make use of complex software platforms. This changes the delivery times for new services from weeks. where the infrastructure can rapidly and flexibly scale to meet peaks and troughs in usage demand. without needing any expertise in managing or administering these platforms. Potentially reducing carbon footprint due to the more efficient use of computer hardware requiring less electricity and less air conditioning. while reducing the associated financial risk to the business by replacing upfront costs with reasonably predictable operational expenditure. This is because the requirement for every PC being the same in order to run complex fat clients disappears with Cloud Services.COM. • • “By 2016.2 billion” SOURCE: GARTNER HTTP://WWW. Cloud Services allow your business to embrace a Bring Your Own Device or a Mobile Strategy. Software Cloud Services are generally consumed through a web browser. Reducing upfront costs of capital expenditure of computer equipment and related expenses such as a physical data centre and support staff. the analyst firm predicts that public cloud spending in Australia will reach US$5. such as trialling new ideas to reach and interact with customers over the Internet. Cloud Services remove current inhibitors & unleash power of innovation. to minutes. The table below shows the cost of IT as a percentage of revenue for various business verticals. which you consume through the network. and. Cloud Services are delivered using smart automation. Some of these key enablers and benefits are: • Cloud Services change how technology is consumed.

DELIVER THE OUTCOMES HTTP://H20427.25 4.00 Best in Class (%) 2.PDF Copyright 2014 Stratospheric P/L 8 .CLOUD .80 3.00 2.30 5.00 2.15 0.WWW2.25 1.HP.%20CLOUD%20%20DELIVER%20THE%20OUTCOMES.COM/CAMPAIGN/TECHATWORK/AU/EN/TAW11POST/PDF/3.50 SOURCE: HP TECH AT WORK .75 1.Cost of IT vs Revenue Financial Telecom High Tech M anufacturing Retail Average (%) 6.

These do not define types of Cloud Services. it should embody the Stratospheric Five Features of Cloud. supported by the appropriate service level. and you’ll get five different answers. Equally important perspectives are what Cloud Services are and how they are consumed. Many view Cloud simply as a new technology for service delivery. IT has seen its role as the delivery and management of Technology based capabilities. while others define Cloud as Managed Services with a self-service portal. 9 Copyright 2014 Stratospheric P/L . but more importantly what Cloud Services should embody. This leads to questions such as: are your services ready to run. in turn. At Stratospheric we believe that for a service to be a true Cloud Service. Cloud has introduced new threats in existing markets for companies and opened new markets for others. IT is typically organized around the various technology domains. self-sourced. available anywhere. Cloud has ushered in innovations and breakthroughs at a pace not seen before. which has. The enabler for businesses to that challenge is Cloud. on-demand network access to a shared pool of configurable computing resources that can be rapidly provisioned and released with minimal management effort or service provider interaction” Ultimately what this means is that businesses just want easy access to rapid deployment of services. as it enables business users to source services that meet their needs quickly. and without the help of an IT organization. We have witnessed Cloud become more of a business revolution than a technology evolution. The future will comprise a hybrid mix of services sourced both internal and externally. Some refer to Cloud as simple automated provisioning. taking in new work via project requests and moving it through a plan-build-run lifecycle. There are far more possibilities with Cloud. and that help broaden their horizons into new opportunities. This delivery-oriented. or pay as you go. Cloud Computing is defined by the National Institute of Standards & Technology (NIST) as: “A model for enabling convenient. at the right price. technology-centric approach to IT has inherent latency built into the model. created an ever-increasing tension between itself and the business it serves.What is Cloud Ask five business leaders what their definition of Cloud is. subscription-based. They want the right technology-enabled services that help them get their job done. or the technologies of Cloud. Others may source from any public Cloud Services that your business provides.

It’s the same story with iTunes apps. you don’t have to talk to anyone from Google. and to self-manage subscriptions and requests. Modern automation and orchestration platforms take this to the next level by incorporating out of the box support for many Cloud Service APIs. this shifts the GO button from IT departments to the consumer who desires or requires the service.The Stratospheric 5 Features of Cloud Stratospheric defines Cloud Services as having 5 primary features: • • • • • Cloud Services are consumed via user Self Service Cloud Services employ Autom ated Delivery Cloud Services are billed on a Pay Per Use or Consumption basis Cloud Services are Elastic in nature Cloud Services are Network Accessible Self Service We live in a world of instant gratification. movies & music. Both the user and IT benefit from this. A run-book is akin to a detailed step by step checklist. “app store” style services catalogue. One way to improve user satisfaction. When you want to create a new Gmail account. Administrators have been automating systems management using scripts for many years. The catalogue is usually part of a web portal. In effect. or an end to end process. operating systems and applications. Run-book automation has been used for almost a decade. A well-known success story we use to demonstrate the success of just such a platform is that of the Google apps platform and the Apple iTunes platform. is to give the user more control. without human interaction or delays between supplier and consumer. which offers the user: • • • • • A catalogue of available services A history of subscribed services and their status A list of current services and available management functions for each Role Based Access in order to allow each user to have their portal customised Financial reporting. statistics and data related to the cost of current services Automated Delivery Automation is nothing new. “Consumers want instant gratification on service requests” SOURCE: STRATOSPHERIC Tools like Self Service catalogues give users the ability to request services from a pre-approved. More Copyright 2014 Stratospheric P/L 10 . you simply self-serve using the Google apps portal. consumers of IT Business Services are no longer willing to be held to ransom by slow legacy IT procurement processes forced upon them. online.

Each icon is both a visual marker for the task. Any further management requests are also triggers to automation. Automation is capable of provisioning all aspects of IT services. and application release management and compliance management. This is actually taken from the process development environment. de-provisioning. and self-documentation of automated processes. Automation is no longer just the domain of the early adopters. DIAGRAM: AUTOMATION PROCESS DIAGRAM Many aspects of Cloud Services depend on automation. ROI reporting in terms of labor effort saved. For these reasons. Users benefit through instant gratification of their requests. provisioning. in service modifications. automated delivery for Cloud Services makes all the difference. When a request is made in the self-service catalogue. Administrators create any automated workflows needed. An important aspect of a well-managed Cloud Service. which in effect acts as a solution to the problem of tribal knowledge. The business benefits through customer satisfaction. and de-allocating. and accelerate technology efficiency. IT benefits from knowing that services are being provisioned according to processes that they have designed. This delivers a high level of governance. The lifecycle of a service includes reservation. Automation ensures that processes are followed exactly as designed. Each of these lifecycle stages of the business service should be automated. 11 Copyright 2014 Stratospheric P/L .advanced features would include drag-and-drop graphical development with zero coding. Automation allows the volume of service requests to grow without having to employ more delivery staff. every time. Businesses of all sizes are increasingly turning to automation to reduce labor costs. Here is a screenshot from our preferred automation platform at Stratospheric. automation is triggered to provision the service. Businesses around the world and in a wide variety of industries are reaping benefits that range from improved quality to reduced risk to improved efficiencies across routine tasks such as server patching. is that it has an automated lifecycle. Automation has the advantages of speed and accuracy. provisioning. improve service quality. We have already talked about Instant gratification and speed of delivery. and a widget that holds the code for executing the task.

gas or water.WWW2. either in speed or cost. Such a service would benefit by allocating extra resources during working hours. fulfilment is actually carried out using automation.” SOURCE: HP TECH AT WORK . Elastic Anticipating the demand for business services or how the services will be used can be difficult...DIAGRAM: SERVICE LIFECYCLE In our Google email and app example. while you are using any given service you are paying. you pay for each mailbox that you create & subscribe to. Copyright 2014 Stratospheric P/L 12 . and 40 the next.. Cloud Services are able to scale up and scale down. Simply put. This is analogous to household use of utilities such as electricity. we are able to quickly provision additional resources on demand. we are able to charge for them in a pay-per-use model.PDF In our Google email example. is fraught with latency and errors. Another example might be a Business Service whose demand for resources follows the working day . This may be 50 mailboxes one day. and when you stop using the service. and paying for these resources only for the 6 hours per day during which they are used. Manual delivery simply would not scale. As a result of automation being involved in the provisioning of Cloud Services.%20CLOUD%20%20DELIVER%20THE%20OUTCOMES. which saves you paying for 10 unused mailboxes. unless we imagine there being a room full of cheap labor fulfilling requests for Google email or app services.CLOUD . This is sometimes referred to as a “utility” model.maximum use between 10am and 4pm with little to no use after hours. “.DELIVER THE OUTCOMES HTTP://H20427. Pay per use As Cloud Services are considered subscriptions. Why do we have to pay $10k/year for a server instance and wait 2 weeks for delivery when we could use a public Cloud Resource and have it straight away and pay 9c per hour? .COM/CAMPAIGN/TECHATWORK/AU/EN/TAW11POST/PDF/3.HP.. you stop paying. and is dependent on the skill set of each administrator. or conversely to de-provision either due to a consumer request or reduced demand.

the developer is subscribing to a service. Before Cloud. through a simple to use consumer friendly web portal. In other words. network. In the scenario before Cloud. Such a service would benefit from being elastic.World Wide Web. the Cloud web-portal should be a web site accessed using a normal internet browser. or “follow the sun” as its often referred to . without delay. Total time to deliver this server. the subscription can be cancelled and payment stops. Network Accessible Of course a Cloud service is no use to anyone unless it is accessible to users. as a subscription. adding and removing resources automatically as demand rises and falls. select the appropriate offering and possibly select any add ons. where server. The developer would login to a catalogue of available server offerings.When combined with effective service monitoring. Compare the process above to using a Cloud Infrastructure as a Service offering. The request would then pass to IT. Access is provided using the most common of all network protocols . has proven to be on average around two to six weeks. so the expense is an Operating Expense. storage. In a Cloud scenario. In our Google email example. a Cloud Service is actually able to automatically scale up or down in response to demand. she would have to submit a Request for Service via the service desk. Another example we use is that of a Business Service whose demand for resources follows the working day. physical or virtual.with usage between 10am and 4pm. with little to no use after hours. This request would then need approval for the capital expenditure on a new server. IT would then finally build the server and install an OS. security and more teams would be involved. consider a developer that requires a sandbox server. peaking at 10am and 1pm. The server will be ready for use within minutes. As another example of the five Stratospheric key features to Cloud. the new server would be a Capital Expense. with all the inherent latency of the process. When the developer is finished with the server. mailboxes are dynamically allocated and de-allocated as required. Let's not forget the financial model. 13 Copyright 2014 Stratospheric P/L .

this model has a variety of inherent security risks that need to be considered. However. This is the deployment model that most commonly described as Cloud. Public Cloud Public Cloud involves an organisation using a vendor’s Cloud infrastructure which is shared via the Internet with many other organisations and other members of the public. COMMUNITY AND HYBRID CLOUD. the USA National Institute for Science and Technology (NIST) defines four different Cloud deployment models. In this model. all of the physical resources are owned and operated by a third party Cloud provider.The Four Primary Cloud Models While the term Cloud refers in general to the delivery of services on demand over a computer network. This model has maximum potential cost efficiencies due to economies of scale. • • • • Community Cloud Public Cloud Private Cloud Hybrid Cloud DIAGRAM X: SHOWS THE RELATIONSHIPS BETWEEN PUBLIC. Copyright 2014 Stratospheric P/L 14 . PRIVATE.

the hybrid model offers organizations the most flexibility. Hybrid Cloud involves a combination of Cloud models. This unified approach results in a simplified provisioning experience. and managed by the organisation or a vendor. a private Cloud allows an organization to virtualize its infrastructure and offer infrastructure provisioning and application deployment as a service. A well architected private Cloud properly managed by a vendor provides many of the benefits of a public Cloud. it has reduced potential security concerns. it might share computing resources with other organizations that have similar needs. A managed private Cloud may enable enterprise customers to more easily negotiate suitable contracts with the vendor. It can then use a public Cloud storage provider for backing up less sensitive information. but with increased control over security.Private Cloud Private Cloud involves an organisation’s exclusive use of Cloud infrastructure and services located at the organisation’s premises or off site. Instead of using a dedicated infrastructure for each user. Compared to the public Cloud model. instead of being forced to accept the generic contracts designed for the consumer mass market that are offered by some public Cloud vendors. Private Clouds are often used to deliver infrastructure and applications services for test. a streamlined ordering process. At the same time. development and production environments. Hybrid Cloud Enterprises use hybrid Clouds to deliver a broad catalog of services across private and public Cloud environments with a single user experience. which interacts with sensitive data stored or processed in a private Cloud. By combining the advantages of the other models. 15 Copyright 2014 Stratospheric P/L . A company may use internal resources in a private Cloud maintain total control over its proprietary data. An example is using commodity resources from a public Cloud such as web servers to display non-sensitive data. and a reduction in overall IT management costs. reducing service delivery time from months to minutes. the private Cloud model has reduced potential cost efficiencies If the private Cloud is properly implemented and operated. Community Cloud Community Cloud involves a private Cloud that is shared by several organisations with similar security requirements and a need to store or process data of similar sensitivity.

and most of the economic benefits of a public Cloud. Copyright 2014 Stratospheric P/L 16 .This model attempts to obtain most of the security benefits of a private Cloud. One example community Cloud is the sharing of a private Cloud by several agencies of the same government.

there are three further layers in the Cloud model which are not provided as user services. this is the least important layer of the Cloud. Often. By definition and design Cloud users do not specify the hardware used to provide services. hardware resources are inexpensive and not fault tolerant. Physical hardware Underpinning all Cloud platforms is the hardware layer. Each layer of the Cloud model exists conceptually on the foundation of the previous layers. DIAGRAM X: SHOWS THE RELATIONSHIPS BETWEEN TYPES OF CLOUD INFRASTRUCTURE. ! Software as a Service ! Platform as a Service ! Infrastructure as a Service ! Virtualisation ! Physical Hardware The Cloud model is made up of three core different foundation service models which are used to specify what is being provisioned. Memory. Infrastructure as a Service (IaaS).Cloud Service Models To understand what Cloud is. Redundancy is achieved simply by utilizing multiple hardware platforms while fault tolerance is provided at other layers so that any hardware failure is not noticed by the users. Storage & Network. Additionally. sometimes referred to as the server layer. the CPU’s. The hardware layer represents the physical server hardware which provides actual resources that make up the Cloud. and is usually built on low cost commodity off the shelf hardware (COTS) rather than top end brand name systems. you need to understand the service layers that comprise Cloud. and Software as a Service (SaaS). The Hardware Layer and the Virtualization Layer are owned and operated by the Cloud Services provider. while the Client Layer is supplied by the end user. Cloud offers redundancy by design. Platform as a Service (PaaS). 17 Copyright 2014 Stratospheric P/L .

Examples of leading IaaS services providers include the likes of Amazon Web Services (AWS). data storage systems. IBM SoftLayer Cloud Services and Rackspace Cloud compute and storage services. Much of the scalability and flexibility of the Cloud model is derived by the inherent ability of virtual machines to be created and deleted at will and or on demand. IaaS customers can create and remove virtual machines and network them together at will. Their entire data center is outsourced and nearly all of the operation and maintenance requirements are built into the cost of the service. Advantages of IaaS When an organization purchases IaaS from a provider there are many advantages. let alone the underlying hardware and virtualization layers. or networking resources. or programing language. Amazon Elastic Compute Cloud (EC2). Xen and KVM. Instead of purchasing servers or even hosted services. This eliminates the need to procure and operate physical servers. they stand to gain flexibility. framework. There is no need for them to purchase hardware. or networking equipment. operating system licenses.Virtualization Often referred to as the infrastructure layer. Organizations also look to achieve cost savings through massive efficiencies of scale. and operating systems which are installed as virtual machines on top of one or more hypervisors. Platform as a Service (PaaS) The platform layer rests on the infrastructure layer’s virtual machines. Microsoft Azure Cloud Services. Copyright 2014 Stratospheric P/L 18 . Additionally. There is no need to manage an operating system. they merely create applications within an existing API. Clients are billed for infrastructure services based on what resources are consumed. HP Cloud. the virtualization layer is the result of various hypervisors such as VMware. scalability and reliability that would be impossible if they were to provide their own infrastructure since additional virtual machines are created on demand and removed just as easily. Clients merely create their own programs which are hosted by the platform services they are paying for. Hyper-V. At this layer customers do not manage their virtual machines. Infrastructure as a Service (IaaS) The infrastructure layer builds on the virtualization layer by offering the virtual machines as a service to users.

such as email. web browsers. With simplified development tools. Microsoft SharePoint Online. At the same time. or mobile devices. 19 Copyright 2014 Stratospheric P/L . With PaaS. The result is that fewer technical resources are required in order to develop and deploy Cloud hosted applications. Today. a developer in the PaaS environment does not need the extensive skill set that a traditional web based application developer requires. Billing is performed on a pay as you go basis. PaaS clients do not need a staff to install. Example PaaS vendor services include Google App Engine. Example SaaS vendor services include Salesforce. and Platform as a Service provides an interface for programming applications. They can choose the type of platform that best suits their needs and immediately begin creating applications that can be hosted on the Cloud as soon as they are complete. optimize. As is the case with voicemail. PaaS clients still retain greater opportunities to customize their applications than permitted by customers of Software as a Service (SaaS). accounting. Enterprise services can be billed monthly or by usage. SaaS takes the concept a step further by delivering complete applications. Google Docs and Google Gmail. Like other Cloud Services. Such applications can be email. Software as a Service (SaaS) Services at the software level consist of complete applications that do not require development. Microsoft Exchange Online. Advantages of PaaS Unlike traditional software development efforts.This is accomplished by presenting clients with a program language or an Application Programing Interface (API) rather than one or more virtual machines. and the Microsoft Windows Azure platform. Amazon Web Services Elastic Beanstalk. Force. even a telephone can act as the client layer for Software as a Service. Even the voicemail service provided by your phone company is essentially a SaaS alternative to owning and operating a conventional answering machine. the development tools themselves are hosted in the Cloud and are accessed via a web browser. is often provided for free. Microsoft Office 365 consists of Microsoft Office Web Apps. or maintain either the hardware or the virtual machine environments. While Infrastructure as a Service offers core services in the form of virtual machines. developing and deploying applications utilizing the PaaS model requires little or no up-front investment. Microsoft Dynamics CRM Online and Microsoft Lync. End users own and operate their client interface devices as the final service level. many people use freely available web based email and productivity software without even realizing they are SaaS customers. customer relationship management.com. These devices can be small footprint software installations. while software as service offered directly to consumers. and other office productivity applications.com Customer Relationship Management (CRM).

mobile devices. with SaaS there is no requirement for hardware acquisition. installation. or maintenance. While SaaS clients may be able select various software options. Client Layer While this layer is not a Cloud service. Most services are sold with a monthly or annual fee per user such that the costs are less than enterprise application licensing. Client layer hardware can include personal computers. its defining characteristic is that software development is not needed before an application is deployed to end users. One of the beauties of the Cloud model is the simplicity with which they are presented to the end users.Advantages of SaaS As with other Cloud models. and even telephones. it is an essential part of the model. SaaS clients value the instant scalability of SaaS as well as the ease of collaboration common to Cloud hosted applications. SaaS clients do not need to utilize any systems administration or development resources either. web browsers. The client layer acts as the user interface to which Cloud Services are delivered. Copyright 2014 Stratospheric P/L 20 .

HTTP://WWW.GOV. The Risks of Cloud from a survey of CIOs • • • • 75% say Cloud data SECURITY is a major concern 60% concerned about VENDOR LOCK IN 60% worried about Cloud PERFORMANCE AND AVAILABILITY 45% concerned about integrating internal and external services SOURCE: IDC. you need to make sure that the information is secure.FINANCE. there will be naysayers who. You will need to gauge the security risks and requirements and these may vary by service. Especially. It is important to understand that any new technology has risk. Vendor’s responses to important security considerations must be captured in a Service Level Agreement (SLA) or other contract. and cover who has access to the customer’s data and the security measures used to protect the customer’s data. NOVEMBER 2010 A risk management process must be used to balance the benefits of Cloud with the security risks associated with your business handing over control to a Cloud Vendor.PDF Compliance requirements. The contract between a vendor and their customer must address mitigations to governance and security risks. may prohibit the use of Cloud Services. Organizations need to consider elements of risk and ensure they don’t outweigh the benefits of Cloud Services.DOC HTTP://WWW. is legal. ENTERPRISE PANEL SURVEY. about how do you get your data back? Transitioning from one cloud provider to another. and the risks are ironed out.COM/MAIN/UPLOADEDFILES/RESOURCES/ARTICLES/SCOTTCHAPTER. Of course as use of new technology increases. for example. and data management to a 3rd party vendor that may transmit. store and process your data in ways or means which do not fit with your corporate policies or industry governance requirements. For example Payment Card Infrastructure (PCI) for your eftPOS.SCOTTANDSCOTTLLP. A risk assessment should consider whether your business is willing to trust your reputation. 21 Copyright 2014 Stratospheric P/L . the risks are identified and mitigated.What Risks does Cloud Entail There is a lot of talk about risk in Cloud Services. A big risk topic. business continuity.AU/FILES/2012/02/CLOUD-LEGAL-BETTER-PRACTICE-GUIDE-FINAL. decry new technology as uncertain and unsafe. If you are going to turn critical data or infrastructure over to a Cloud Service Provider. Here are some of the more common mission critical risks to consider. Until the technology matures. otherwise the customer only has vendor promises and marketing claims that can be hard to verify and may be unenforceable. set by organizations or by an industry or government body. for reasons of their own.

Maintaining Availability and Business Functionality • • • • • • • • • • • • • Business criticality of data or functionality Vendor’s business continuity and disaster recovery plan Your data backup plan Your business continuity and disaster recovery plan Your network connectivity to the Cloud Vendor’s guarantee of availability Impact of outages SLA inclusion of scheduled outages SLA compensation Data integrity and availability Data restoration Scalability Changing vendor / Vendor Lock-in Protecting Data from Unauthorised Access by a Third Party • • • • • • • • • • • • • • • • • • • Choice of Cloud deployment model Sensitivity of my data Legislative obligations Countries with access to my data Data encryption technologies Media sanitisation Vendor’s remote monitoring and management Your monitoring and management Data ownership Gateway technologies Gateway certification Email content filtering Policies and processes supporting the vendor’s IT security posture Technologies supporting the vendor’s IT security posture Auditing the vendor’s IT security posture User authentication Centralised control of data Vendor’s physical security posture Software and hardware procurement. Protecting Data from Unauthorised Access by the Vendor’s Customers • • • • Customer segregation Weakening my security posture Dedicated servers Media sanitisation Copyright 2014 Stratospheric P/L 22 .

Protecting Data from Unauthorised Access by Rogue Vendor Employees • • • • • • Data encryption key management Vetting of vendor’s employees Auditing vendor’s employees Visitors to data centre Physical tampering by vendor’s employees Vendor’s subcontractors 23 Copyright 2014 Stratospheric P/L .

Cloud based Service Management Consider an alternative to your current Service Management processes.Sample Cloud Scenarios Cloud Enable your Datacenter This is excellent if you want your own dedicated. self-service model. you could move to a more efficient. By Cloud enabling these services. Private Infrastructure as a Service In this case the actual physical resources would be hosted in your own datacenter. IDC has found that it is possible to achieve 96 percent ROI over five years on such a solution. Common examples are mounting shared drives. and network requirements for simple or complex infrastructure needs. and password resets. DIAGRAM X: SHOWS USERS SUBSCRIBING TO PRIVATE INFRASTRUCTURE THROUGH A SELF-SERVICE CATALOGUE. Copyright 2014 Stratospheric P/L 24 . virtual environments. storage. You would also need to select a hypervisor for virtualisation. These gains are achieved while improving cash flow and accelerating time to market for new service offerings. moves/add/changes to email. Templates can include detailed server. Users could self-serve request changes and Cloud would automate the fulfillment of these requests.. the help desk would benefit here. For example. You can Self-service provision through the use of service offerings that provide standard IT configurations.

25 Copyright 2014 Stratospheric P/L . Testers require the deployment of applications for testing purposes. public or hybrid model. databases. Development and Testing Cloud Developers and testers can benefit from Cloud Services too. DIAGRAM X: SHOWS DEVELOPERS SUBSCRIBING TO HYBRID INFRASTRUCTURE THROUGH A SELF-SERVICE CATALOGUE. A common scenario for developers is the need for a sandbox environment. provide your own private Infrastructure as a service offerings. And both could be source in a private.DIAGRAM X: SHOWS USERS SUBSCRIBING TO PRIVATE SOFTWARE THROUGH A SELF-SERVICE CATALOGUE. Both would be far more efficient if Cloud enabled. application versions and data. The benefit is a great increase in the test cycle rate. Rather than having your developers source public Cloud servers. Cloud would allow the tester to self-service provision a complete end to end environment which would be ready in minutes. Sometimes this can involve different operating systems.

Source Public Cloud Services . Moving your storage to the Cloud for backup and archive is a great start. then consider adding the letters CSP to your titles. Freelancer. DIAGRAM X: SHOWS USERS SUBSCRIBING TO PUBLIC INFRASTRUCTURE THROUGH A SELF-SERVICE CATALOGUE. Copyright 2014 Stratospheric P/L 26 . and have no physical infrastructure of their own! Instead of a datacenter. they use Cloud Services to host everything. integrating and aggregating your service offerings for others to consume. Legacy apps can be redeveloped to be Cloud enabled. acquiring the Hardware and Software. the Platform and all the way through to a Cloud Sourced Application as a Service. CSP stands for Cloud Service Provider. This becomes similar to SOA models whereby little services are sourced independently and combined within the app itself. are the ways in which as a service offerings can benefit applications. Existing apps could be migrated to PaaS offerings. operate. Become the provider of Cloud for your customers. and crowdsourcing marketplace for small business.(No Ops Cloud) One company we like to talk about is Freelance. from the Infrastructure. Not every business is ready to go No Ops. This is a No Ops Cloud. Many options exist as you transform your existing apps and deploy new apps. They have over 10 million users. This would alleviate the need to maintain everything except the application itself.Application Transformation Amongst the benefits we have covered. You can own your own resources. Or even better. but there are places to start.com. they can be replaced with SaaS offerings. Existing apps can be integrated with Cloud offerings to provide greater functionality in an easier to maintain method.com is the world's largest freelancing. outsourcing. Build. and host Service Provider Cloud If you are a service provider.

27 Copyright 2014 Stratospheric P/L .Or you could white label and resell public Cloud Services to your customers. DIAGRAM X: SHOWS CUSTOMERS SUBSCRIBING TO YOUR HYBRID SERVICES THROUGH A SELF-SERVICE CATALOGUE.

there are many points that should be considered. Although we have not delved into the technical depths of how Cloud Services are delivered. Stratospheric’s business goals are to make our customers operate Faster. An easy way to remember is by the numbers.Conclusion Everywhere you turn these days.making your life and work faster. and with good reason.Stratospheric Features of Cloud • • • • • Self-Service Automated Delivery Pay Per Use Elastic Network Accessible FOUR . This eBook will empower you to articulate what Cloud is.Cloud Service Models • • • Infrastructure as a Service Platform as a Service Software as a Service Points for Consideration When the time comes for you to embark on your journey to Cloud Services. Copyright 2014 Stratospheric P/L 28 . We break down many of the points to be considered by using these business goals. Better and Smarter. it is more important at this stage to understand the business benefits of Cloud. What did we cover By now you should have a good understanding of Cloud.one that enables highly scalable applications and services to be delivered on demand . The Cloud represents a paradigm shift in computing . FIVE . someone is talking about Cloud. better and simpler.Primary Cloud Models • • • • Community Cloud Public Cloud Private Cloud Hybrid Cloud THREE .

Stratospheric will use these points as a guideline of what to consider in order for you to enjoy a smooth transition. we will work with you to ensure we understand at least all of the points below in relation to your business. Operate Faster • • • • • • • • Open & Accessible Push button deployment Instant access Faster time to market Cloud Service Lifecycle Management Catalogues Multi-platform ( VMware / OpenStack / XenServer ) Windows / Linux Operate Better • • • • • • • • • Governance Policies Compliance Security Controls Service Level Agreements Private Cloud Hybrid Cloud Public Cloud Operate Smarter • • • • • • • • Measure Reporting Alerting Response Analyse Continuous improvement Planning & Capacity Cost Management 29 Copyright 2014 Stratospheric P/L . Put simply.As part of any consulting or strategic engagement.

such as end-to-end performance management and Cloud security Let’s continue the conversation We would like very much to hear from you today. email us at the email address below and visit our website to learn more about us. and your preferred contact phone numbers (i. Copyright 2014 Stratospheric P/L 30 . but not yet empowered with Cloud Services.Where to next After you have decided on the role you want Cloud to play in your organization. We look forward to learning more about your plans for Cloud and how Stratospheric can help you realize your desired outcomes.au http://www.com. company name. platform and infrastructure service seamlessly for hybrid Cloud Importance of advanced operations management tools.au Please ensure you provide your full name. existing or new projects. Stratospheric can support you in your efforts to create actionable next steps and execute them. we can help. You may be virtualised and automated. it is important to set a strategy of where you want to go.stratospheric.com. desk & mobile) to ensure we are able to contact you. simplify operations and enhance business across your hybrid Cloud. Stratospheric will work with you to answer a lot of your questions. Email: Website: info@stratospheric. You may be virtualised. In addition can give you an understanding of: • • • • Why a flexible architecture matters to you How to simplify your day-to-day operations How to stage your applications. but not yet automated. Whether you decide to build a detailed roadmap or start your implementation right away for testing your first private Cloud Service.e. To contact Stratospheric. including: • • • • Which Cloud products are right for me? What's the best option: Public. Private or Hybrid Cloud? How do I manage my Cloud? What about all the investments in operations we've made over the last few years? Our enterprise-grade Cloud management will help your IT departments increase agility. to learn how we can help you with your Cloud strategy. No matter where you are on your path to Cloud.