DSIT 7001-

IT Applications in Supply Chain Management

Module – 2
Information Technology Infrastructure
Presented By: Rohit Sindhwani
@ UPSC –MBA LSCM ,
Sem Jul-Dec-2021
 Module 2: Information Technology Infrastructure

Contents :

4.1 IT Infrastructure – An Introduction

4.2 Infrastructure Components

4.3 Latest Trends, Salesforce.com: Cloud Services Go

Mainstream
 Module 2: Information Technology Infrastructure

LEARNING OBJECTIVES

• Define IT infrastructure and describe its components.

• Assess contemporary computer hardware platform
trends.
• Assess contemporary software platform trends.
• Evaluate the challenges of managing IT infrastructure
and management solutions.
• Evaluate the new generation IT infrastructure
 4.1 IT infrastructure

IT infrastructure

– Set of physical devices and software required to operate

enterprise

– Set of firm-wide services including:

• Computing platforms providing computing services
• Telecommunications services
• Data management services
• Application software services
• Physical facilities management services
• IT management, education, and other services

– “Service platform” perspective

• Mobile Digital platforms
• Cloud computing
 4.1 IT infrastructure

CONNECTION BETWEEN THE FIRM, IT INFRASTRUCTURE, AND BUSINESS CAPABILITIES

The services a firm is capable of providing to its customers, suppliers, and employees are a direct
function of its IT infrastructure. Ideally, this infrastructure should support the firm’s business
and information systems strategy. New information technologies have a powerful impact on
business and IT strategies, as well as the services that can be provided to customers.
 4.1 IT infrastructure

IT infrastructure, Level 1: operating system and computer

networking
Presentation

Application • Client/server
Database • Distributed processing
• LANs
O/S,
Networking • WANs
• Internet and VPNs
• Wireless systems
 4.1 IT infrastructure

IT infrastructure, Level 2: database

Presentation

Application DBMS types:

• Legacy databases (hierarchical,
Database
network)
O/S,
• Relational databases (SQL server,
Networking centralized, distributed)
• Object-oriented databases
• Data warehouses
• Datamarts
• Groupware databases
 4.1 IT infrastructure

Relational database
Columns (Fields) Rows
(Records)
Order_Number Order_Date Delivery_Date Part_Number Part_Amount Order_Total
10034 06/05/06 06/25/06 2245 8 64.80
10035 06/15/06 07/02/06 1575 9 447.75
Order
10036 06/16/06 07/03/06 1949 5 276.95
Linked tables
Part_Number Part_Description Unit_Price Supplier_Numbe
r
Tables Part 1575 Rods 49.75 48235
1949 Reels 55.39 25331
2245 Filament 8.10 47432
Linked tables
Supplier_Number Supplier_Name Supplier_Address
48235 Northern Inc. 101 Jonquil Lane, Lakeville, MN 55044
Supplier 25331 Strack Co. 21035 Howland Ave., Pine River, TX 33756
47432 Powell Corp. Route 46, Sandy, UT 89703
 4.1 IT infrastructure

Database structure

ERP database
Database User Database Repository
• Item file • Sales file
• Bill-of-material file • Customer file
• Routing file • Supplier file
Data • Inventory file • Financial files
Warehouse — Records
- Data elements

Extracted and Summarized Data

 4.1 IT infrastructure

IT infrastructure levels, Levels 3 and 4

Presentation
Level 3: application
Application • All software to plan, make, source,
account for, deliver, return
Database
Level 4: presentation
O/S, • Computer interfaces and GUI
\
Networking
• Phones/fax
• Portables (PDAs)
• Integration tools (e.g., groupware,
SCEM, AIDC, GPS, online marketplaces)
 4.1 IT infrastructure

Discussion question
Which of the following types of databases would be best for
allowing several suppliers access to a limited set of the
company’s data without disclosing other proprietary data?
a. Relational database
b. Groupware database
c. Datamart
d. Data warehouse

Answer: b
 4.2 Infrastructure Components

A. Computer hardware platforms

B. Operating system platforms
C. Application Software
D. Data management and storage
E. Networking/telecommunications platforms
F. IT Management
G. Enterprise software applications
H. Internet platforms
I. Consulting system integration services
J. The mobile digital platform
K. Virtualization
L. Cloud computing
THE IT INFRASTRUCTURE ECOSYSTEM
 4.2 Infrastructure Components

A. Computer hardware platforms

Computer hardware
For input, processing, output, storage, and
delivery
A. Client machines :Desktop PCs, mobile devices—PDAs, laptops

B. Servers /Blade servers: ultrathin computers stored in racks

C. Mainframes: IBM mainframe equivalent to thousands of blade servers

Top chip producers: AMD, Intel, IBM

Top firms: IBM, HP, Dell, Sun Microsystems
 4.2 : Infrastructure Components

A. Computer hardware platforms

A computer system consists of

- A central processing unit,
- Primary storage,
- Secondary storage,
- Input devices,
- Output devices,
- Communications devices

As information becomes a valuable resource of the digital firm, the infrastructure

used to care for the resource takes on added importance.
 4.2 : Infrastructure Components

A. Computer hardware platforms

Hardware Components of a Computer System

 4.2 : Infrastructure Components

A. Hardware Components of a Computer System- Types of Computers

Classifying computers depends largely on the computing capacity of the processor and
the peripheral devices.
a) Personal computer (PC)
- includes desktops, laptops, personal digital assistants, and even cell phones (embedded
computers).
b) Workstation
- has more computing capacity in its CPU than a typical personal computer. Scientists,
engineers, and those working with large graphics files are the main users.
c) Midrange computers:
• servers - used primarily for intranets and extranets.
• Minicomputers - being replaced by more powerful workstations and personal computers
connected together in networks. Largely obsolete term for the midrange computers
d) Mainframe
• has the necessary power and speed to process thousands and millions of transactions
e) Supercomputer
• leads the world in terms of processing capacity
 4.2 : Infrastructure Components

A . Hardware Components of a Computer System- Types of Computers

 4.2 : Infrastructure Components

A . Hardware Components of a Computer System- Client/Server Computing

In client/server computing, computer processing is split between client machines and server
machines linked by a network. Users interface with the client machines.
 4.2 : Infrastructure Components

A . Hardware Components of a Computer System- Client/Server Computing

N-tier client/server architecture takes the client/server structure and ramps
it up in size to match the computing requirements in large businesses.

In client/server computing, computer processing is split between client machines and

server machines linked by a network. Users interface with the client machines.
 4.2 : Infrastructure Components

A . Hardware Components of a Computer System- Processing

• The central processing unit (CPU), or sometimes

simply processor, is the component in the
computer that interprets instructions and
processes data contained in computer programs.

• Controls other parts of computer

• Components of the CPU:
o Arithmetic-logic unit (ALU) performs principle logical/mathematical
operations
o Control unit coordinates other parts, such as reading a stored program
 4.2 : Infrastructure Components

A . Hardware Components of a Computer System- The components of the CPU

CPU

Control Unit Arithmetic/

Logic Unit
(ALU)
 4.2 : Infrastructure Components

A . Hardware Components of a Computer System- Data Measuring Units

 4.2 : Infrastructure Components

A . Hardware Components of a Computer System- Processing

Determining Processing Power of the CPU:

1. Clock speed (MHz, GHz)
• The CPU requires a fixed number of clock ticks
(or clock cycles) to execute each instruction.
2. Bus Width (bits)
• The size of a bus, known as its width, is
important because it determines how much data
can be transmitted at one time.
3. Wordlength (bits)
• Number of bits process at the same time
 4.2 : Infrastructure Components

A . Hardware Components of a Computer System- Processing

Batch and online processing

• In Batch Processing, transaction data
are keyed into the system as batches.
• The batches of transaction data are
accumulated until a large volume of
data can be processed at one time.
• Batch processing is often used for
routine procedures like updating the
debtors, creditors accounts and payroll.
• On-line processing involved keying in
directly into the system and instantly
been processed into information.
• Example is the use of product code
readers at check-out counters in the
supermarkets.
 4.2 : Infrastructure Components

A . Hardware Components of a Computer System- Storage

• Computer storage is classified into primary (main)

memory and secondary (peripheral) storage
• Primary Storage
• Memory – RAM, ROM Chips
• RAM is usually volatile.
• RAM is about 1/4 million times faster than disk.
• Secondary storage technology
• Magnetic disk: hard drives, USB flash drives, RAID
• Magnetic tape
• Optical disks: CD-ROM, CD-RW, DVD
• Storage networking: SANs
 4.2 : Infrastructure Components

A . Hardware Components of a Computer System- Storage

 4.2 : Infrastructure Components

A . Hardware Components of a Computer System- Input / Output

Input
Input devices gather data and convert them into electronic form
 Text input devices
• Examples: Keyboard, Handwriting recognition, Optical character
recognition, Speech recognition, Switch Access, Chorded keyboard,
Keyer, Telegraph key
 Pointing devices
• Examples: mouse, Trackball, Joystick, Touch screen, Trackpoint,
Pointing stick, Touchpad, Light pen, Graphics tablet
 Image, video input devices
Examples: Image scanner, 3D scanner, Digital camera, Webcam
 Audio input devices
Examples: Digital dictaphone, Microphone, Digital audio recorder
Output
Output devices display data after they have been processed
• Common output devices include Earphones, Projectors, computer
displays, printers and speakers.
 4.2 : Infrastructure Components

B. Operating system platforms

B. Operating system platforms

– Operating systems
• Server level: 65% run Unix or Linux; 35% run Windows
• Client level:
– 90% run Microsoft Windows (XP, 2000, CE, etc.)
– Mobile/multitouch (Android, iOS)
– Cloud computing (Google’s Chrome OS)
 4.2 : Infrastructure Components

C. Software

• A set of instructions (program) that controls the

operation of a computer.

The Major Types of Software

• Systems
• Applications
 4.2 : Infrastructure Components

C. Application Software

Computer software
– system software, application software, and
enterprise integration

Enterprise software applications

– Enterprise application providers: SAP and Oracle
– Middleware providers: BEA
 4.2 : Infrastructure Components

C. Application Software -System Software

• The system software manages the basic operations

of the computer and controls the equipment
associated with it.
• Types of Systems Software:
• Operating systems software
• Utility programs
• Language translators
 4.2 : Infrastructure Components

C. Application Software -Operating System Software

• The software that manages and controls the

computer’s activities
• Types:
• GUIs vs. Command driven OS
• single program vs. multiple program OS
• Some terms: multitasking, multithreading, multiprocessing,
virtual machines
 4.2 : Infrastructure Components
C. Application Software - Utility Programs

• Utility software (also known as service program,

service routine, tool, or utility routine) is designed to
help manage and tune the hardware and software.
• Examples
• Disk defragmenters.
• System Profilers such as backup programs
• Virus scanners.
• Compression software
 4.2 : Infrastructure Components

C. Application Software -Language Translators

• A program that translates between high-level

languages is usually called a language translator,
source to source translator, or language converter.
• Compiler translates source code in bulk into object
code
• Interpreter translates source code line-by-line into
object code
 4.2 : Infrastructure Components

C. Application Software and Desktop Productivity Tools

• Application programming languages for business

• Examples: COBOL, C, C++, VB
• Fourth-generation languages
• Software packages and desktop productivity tools
• Word processing software
• Spreadsheets
• Data management software
• Presentation graphics
• Integrated software packages and software suites
• E-mail software
• Web browsers
• Groupware
 4.2 : Infrastructure Components

C. Application Software -Software for the Web: Java and HTML

• Java
• Operating system-independent, processor-independent,
object-oriented programming language
• Leading interactive programming environment for the
Web
• Hypertext markup language (HTML)
• Page description language for specifying how elements
are placed on a Web page and for creating links to other
pages and objects
 4.2 : Infrastructure Components

C. Application Software- Software for Enterprise Integration

• Legacy systems: replace or integrate?

• Middleware
• Enterprise application integration (EAI) software
• Web services and service-oriented architecture
• XML
• SOAP
• WSDL
• UDDI
• SOA
 4.2 : Infrastructure Components

C. Enterprise Application Integration (EAI) Versus Traditional Integration

EAI software (a) uses special middleware that creates a common platform with which all applications
can freely communicate with each other. EAI requires much less programming than traditional point-to-
point integration (b).
 4.2 : Infrastructure Components

D. Data Management and Storage - Software

• Data management and storage

– Database software:
• IBM (DB2), Oracle, Microsoft (SQL Server), Sybase (Adaptive
Server Enterprise), MySQL
– Physical data storage:
• EMC Corp (large-scale systems), Seagate, Maxtor, Western
Digital
– Storage area networks (SANs):
• Connect multiple storage devices on dedicated network
• Data management technology
– organize and deliver data
 4.2 : Infrastructure Components

E. Networking Platforms

• Networking/telecommunications platforms
– Telecommunication services
• Telecommunications, cable, telephone company
charges for voice lines and Internet access
• AT&T, Verizon
– Network operating systems:
• Windows Server, Linux, Unix
– Network hardware providers:
• Cisco, Alcatel-Lucent, Nortel, Juniper Networks
• Networking and telecommunications technology
– data, voice, audio, and video
 4.2 : Infrastructure Components

F . IT Management

• Dealing with platform and infrastructure

change
– As firms shrink or grow, IT needs to be flexible and scalable
– Scalability:
• Ability to expand to serve larger number of users
– For mobile computing and cloud computing
• New policies and procedures for managing these new
platforms
• Contractual agreements with firms running clouds and
distributing software required
 4.2 : Infrastructure Components

F . IT Management

• Management and governance

– Who controls IT infrastructure?
– How should IT department be organized?
• Centralized
– Central IT department makes decisions
• Decentralized
– Business unit IT departments make own decisions
– How are costs allocated between
divisions, departments?
 4.2 : Infrastructure Components

F . IT Management

• Making wise infrastructure investments

– Amount to spend on IT is complex question
• Rent vs. buy, cloud computing
• Outsourcing
– Total cost of ownership (TCO) model
• Analyzes direct and indirect costs
• Hardware, software account for only about 20% of TCO
• Other costs: Installation, training, support, maintenance,
infrastructure, downtime, space, and energy
– TCO can be reduced
• Use of cloud services, greater centralization and standardization of
hardware and software resources
 4.2 : Infrastructure Components

F . IT Management

• Competitive forces model for IT

infrastructure investment
1. Market demand for firm’s services
2. Firm’s business strategy
3. Firm’s IT strategy, infrastructure, and cost
4. Information technology assessment
5. Competitor firm services
6. Competitor firm IT infrastructure investments
 4.2 : Infrastructure Components

F . IT Management

There are six factors you can use to answer the question, “How much should our firm spend on IT
infrastructure?”
 4.2 : Infrastructure Components

H . Internet platforms

• Internet platforms
– Hardware, software, management services to support
company Web sites, (including Web-hosting services)
intranets, extranets
– Internet hardware server market: IBM, Dell, Sun
(Oracle), HP
– Web development tools/suites: Microsoft (Expression
Studio, .NET) Oracle-Sun (Java), Adobe, Real Networks
• Technology services
– run and manage infrastructure and train users
 4.2 : Infrastructure Components

I . Consulting and System Integration Services

• Consulting and system integration services

– Even large firms do not have resources for full
range of support for new, complex infrastructure
– Software integration: ensuring new infrastructure
works with legacy systems
– Legacy systems: older TPS created for mainframes
that would be too costly to replace or redesign
– Accenture, IBM Global Services, EDS, Infosys,
Wipro
 4.3

IT INFRASTRUCTURE AND EMERGING

TECHNOLOGIES
 4.3 : IT Infrastructure & Emerging Technologies

Contents

• Contemporary Hardware Platform Trends

• Contemporary Software Platform Trends

• Cloud Computing

• Virtualization
 4.3 : IT Infrastructure & Emerging Technologies

Contemporary Hardware Platform Trends

• Grid computing
– Connects geographically remote computers into a single
network to combine processing power and create virtual
supercomputer
– Provides cost savings, speed, agility
• Virtualization
– Allows single physical resource to act as multiple
resources (i.e., run multiple instances of OS)
– Reduces hardware and power expenditures
– Facilitates hardware centralization
 4.3 : IT Infrastructure & Emerging Technologies

Contemporary Hardware Platform Trends

• Cloud computing
– On-demand (utility) computing services obtained
over network
• Infrastructure as a service
• Platform as a service
• Software as a service
– Cloud can be public or private
– Allows companies to minimize IT investments
– Drawbacks: Concerns of security, reliability
– Hybrid cloud computing model
 4.3 : IT Infrastructure & Emerging Technologies

Contemporary Hardware Platform Trends

• Green computing
– Practices and technologies for manufacturing, using, disposing
of computing and networking hardware , servers and
associated devices to minimize impact on the environment .
• High performance, power-saving processors
– Multi-core processors
• Autonomic computing
– Industry-wide effort to develop systems that can configure, heal
themselves when broken, and protect themselves from outside
intruders
– Similar to self-updating antivirus software; Apple and Microsoft
both use automatic updates
 4.3 : IT Infrastructure & Emerging Technologies

Contemporary
Contemporary Hardware
Software Platform
Platform Trends
Trends

• Open-source software:
– Produced by community of programmers
– Free and modifiable by user
– Examples: Apache web server, Mozilla Firefox
browser, OpenOffice
• Linux
– Open-source OS
– Used in mobile devices, local area networks, Web
servers, high-performance computing
 4.3 : IT Infrastructure & Emerging Technologies

Contemporary
Contemporary
Hardware
Software
Platform
Platform
Trends
Trends

• Software for the Web

– Java:
• Object-oriented programming language
• Operating system, processor-independent
– HTML/HTML5
• Web page description language
• Specifies how text, graphics are placed on Web page
• HTML5 is latest evolution
– Includes animation and video processing functionality
previously provided by third party add-ons such as Flash
 4.3 : IT Infrastructure & Emerging Technologies

Contemporary
Contemporary
Hardware
Software
Platform
Platform
Trends
Trends

• Web Services
– Software components that exchange information
using Web standards and languages
– XML: Extensible Markup Language
• More powerful and flexible than HTML
• Tagging allows computers to process data automatically
 4.3 : IT Infrastructure & Emerging Technologies

Contemporary
Contemporary
Hardware
Software
Platform
Platform
Trends
Trends

• SOA: Service-oriented architecture

– Set of self-contained services that communicate with
each other to create a working software application
– Software developers reuse these services in other
combinations to assemble other applications as
needed
• Example: an “invoice service” to serve whole firm for
calculating and sending printed invoices
– Dollar Rent A Car
• Uses Web services to link online booking system with
Southwest Airlines’ Web site
 4.3 : IT Infrastructure & Emerging Technologies

HOW
Contemporary
DOLLAR RENT
Hardware
A CARPlatform
USES WEBTrends
SERVICES

Dollar Rent A Car uses Web services to provide a standard intermediate layer of software to “talk”
to other companies’ information systems. Dollar Rent A Car can use this set of Web services
to link to other companies’ information systems without having to build a separate link to
each firm’s systems.
 4.3 : IT Infrastructure & Emerging Technologies

Contemporary
Contemporary
Hardware
Software
Platform
Platform
Trends
Trends

• Software outsourcing and cloud services

– Three external sources for software:
• Software packages and enterprise software
• Software outsourcing
– Contracting outside firms to develop software
• Cloud-based software services
– Software as a service (SaaS)
– Accessed with Web browser over Internet
– Service Level Agreements (SLAs): formal agreement with
service providers
 4.3 : IT Infrastructure & Emerging Technologies

Contemporary Hardware
Contemporary Platform
Software PlatformTrends
Trends

In 2012, U.S. firms will spend more than $279 billion on software. About 35 percent of that ($98
billion) will originate outside the firm, either from enterprise software vendors selling firmwide
applications or individual application service providers leasing or selling software modules.
Another 4 percent ($11 billion) will be provided by SaaS vendors as an online cloud-based service.
 4.3 : IT Infrastructure & Emerging Technologies

Contemporary
Contemporary
Hardware
Software
Platform
Platform
Trends
Trends

• Software outsourcing and cloud services

(cont.)
– Mashups
• Combinations of two or more online applications, such
as combining mapping software (Google Maps) with
local content
– Apps
• Small pieces of software that run on the Internet, on
your computer, or on your cell phone
– iPhone, Android
• Generally delivered over the Internet
 4.3 : IT Infrastructure & Emerging Technologies

Contemporary
Contemporary
Hardware
Software
Platform
Platform
Trends
Trends

 Cloud Computing
 Software as a Service = subscription to a cloud-
based application
 Server Virtualization

 Autonomic Computing
 Self repairing computers

 More Grid Computing

 Supercomputers on low cost
4.3 : IT Infrastructure & Emerging Technologies

Contemporary
Contemporary
Hardware
Software
Platform
Platform
Trends
Trends

Cloud Computing
 4.3 : IT Infrastructure & Emerging Technologies

WhatHardware
Contemporary is Cloud Computing
Platform Trends

• Cloud Computing is a general term used to describe a new class

of network based computing that takes place over the Internet,
– basically a step on from Utility Computing
– a collection/group of integrated and networked hardware,
software and Internet infrastructure (called a platform).
– Using the Internet for communication and transport provides
hardware, software and networking services to clients
• These platforms hide the complexity and details of the
underlying infrastructure from users and applications by
providing very simple graphical interface or API (Applications
Programming Interface).
 4.3 : IT Infrastructure & Emerging Technologies

WhatHardware
Contemporary is Cloud Computing
Platform Trends

• In addition, the platform provides on demand

services, that are always on, anywhere,
anytime and any place.
• Pay for use and as needed, elastic
– scale up and down in capacity and functionalities
• The hardware and software services are
available to
– general public, enterprises, corporations and
businesses markets
 4.3 : IT Infrastructure & Emerging Technologies

Cloud Summary

• Cloud computing is an umbrella term used to refer to

Internet based development and services

• A number of characteristics define cloud data,

applications services and infrastructure:
– Remotely hosted: Services or data are hosted on remote
infrastructure.
– Ubiquitous: Services or data are available from anywhere.
– Commodified: The result is a utility computing model
similar to traditional that of traditional utilities, like gas
and electricity - you pay for what you would want!
 What is Cloud Computing

APPLICATIONS

SERVICES

COMPUTER
NETWORK

STORAGE
(DATABASE)
SERVERS

• Shared pool of configurable computing resources

• On-demand network access
• Provisioned by the Service Provider
 4.3 : IT Infrastructure & Emerging Technologies

CLOUD COMPUTING PLATFORM

In cloud computing,
hardware and
software capabilities
are a pool of
virtualized resources
provided over a
network, often the
Internet. Businesses
and employees have
access to applications
and IT infrastructure
anywhere, at any
time, and on any
device.
 Cloud Computing Characteristics

Common Characteristics:

Massive Scale Resilient Computing

Homogeneity Geographic Distribution

Virtualization Service Orientation

Low Cost Software Advanced Security

Essential Characteristics:

On Demand Self-Service
Broad Network Access Rapid Elasticity
Resource Pooling Measured Service
 Cloud Service Models

Software as a Platform as a Infrastructure as

Service (SaaS) Service (PaaS) a Service (IaaS)

SalesForce
CRM
LotusLive

Google
App
Engine
Cloud Architecture
 SaaS Maturity Model

Level 1: Ad-Hoc/Custom – One

Instance per customer

Level 2: Configurable per

customer

Level 3: configurable &

Multi-Tenant-Efficient

Level 4: Scalable, Configurable

& Multi-Tenant-Efficient
 Different Cloud Computing Layers

MS Live/ExchangeLabs, IBM,
Application Service Google Apps; Salesforce.com
(SaaS) Quicken Online, Zoho, Cisco

Google App Engine, Mosso,

Application Platform Force.com, Engine Yard,
Facebook, Heroku, AWS

Server Platform 3Tera, EC2, SliceHost,

GoGrid, RightScale, Linode

Storage Platform Amazon S3, Dell, Apple, ...

 Cloud Computing Service Layers

Services Description
Services – Complete business services such as
Services PayPal, OpenID, OAuth, Google Maps, Alexa

Application – Cloud based software that eliminates

Application
Application the need for local installation such as Google Apps,
Focused Microsoft Online

Development – Software development platforms used

Development to build custom cloud based applications (PAAS &
SAAS) such as SalesForce

Platform – Cloud based platforms, typically provided

Platform using virtualization, such as Amazon ECC, Sun Grid

Storage – Data storage or cloud based NAS such

Infrastructure Storage as CTERA, iDisk, CloudNAS

Focused
Hosting – Physical data centers such as those run
Hosting by IBM, HP, NaviSite, etc.
 Basic Cloud Characteristics

• The “no-need-to-know” in terms of the underlying

details of infrastructure, applications interface with
the infrastructure via the APIs.
• The “flexibility and elasticity” allows these systems to
scale up and down at will
– utilising the resources of all kinds
• CPU, storage, server capacity, load balancing, and databases
• The “pay as much as used and needed” type of utility
computing and the “always on!, anywhere and any
place” type of network-based computing.
 Basic Cloud Characteristics

• Cloud are transparent to users and

applications, they can be built in multiple ways
– branded products, proprietary open source,
hardware or software, or just off-the-shelf PCs.
• In general, they are built on clusters of PC
servers and off-the-shelf components plus
Open Source software combined with in-
house applications and/or system software.
 Software as a Service (SaaS)

• SaaS is a model of software deployment where an

application is hosted as a service provided to
customers across the Internet.
• Saas alleviates the burden of software
maintenance/support
– but users relinquish control over software versions and
requirements.
• Terms that are used in this sphere include
– Platform as a Service (PaaS) and
– Infrastructure as a Service (IaaS)
 Virtualization

• Virtual workspaces:
– An abstraction of an execution environment that can be made
dynamically available to authorized clients by using well-defined
protocols,
– Resource quota (e.g. CPU, memory share),
– Software configuration (e.g. O/S, provided services).
• Implement on Virtual Machines (VMs):
– Abstraction of a physical host machine,
– Hypervisor intercepts and emulates instructions from VMs, and allows
management of VMs, App App App
– VMWare, Xen, etc. OS OS OS
• Provide infrastructure API: Hypervisor
– Plug-ins to hardware/support structures Hardware
Virtualized Stack
 Virtual Machines

VM technology allows multiple virtual machines

to run on a single physical machine.
App App App App App
Xen
Guest OS Guest OS Guest OS
(Linux) (NetBSD) (Windows)
VMWare
VM VM VM

Virtual Machine Monitor (VMM) / Hypervisor

UML

Hardware
Denali
etc.
Performance: Para-virtualization (e.g. Xen) is very close to raw physical
performance!
 Advantages of virtual machines

– Run operating systems where the physical hardware is

unavailable,
– Easier to create new machines, backup machines, etc.,
– Software testing using “clean” installs of operating systems
and software,
– Emulate more machines than are physically available,
– Timeshare lightly loaded systems on one host,
– Debug problems (suspend and resume the problem machine),
– Easy migration of virtual machines (shutdown needed or not).
– Run legacy systems!
 What is the purpose and benefits?

• Cloud computing enables companies and applications,

which are system infrastructure dependent, to be
infrastructure-less.
• By using the Cloud infrastructure on “pay as used and on
demand”, all of us can save in capital and operational
investment!
• Clients can:
– Put their data on the platform instead of on their own desktop
PCs and/or on their own servers.
– They can put their applications on the cloud and use the
servers within the cloud to do processing and data
manipulations etc.
 Cloud-Sourcing

• Why is it becoming a Big Deal:

– Using high-scale/low-cost providers,
– Any time/place access via web browser,
– Rapid scalability; incremental cost and load sharing,
– Can forget need to focus on local IT.
• Concerns:
– Performance, reliability, and SLAs,
– Control of data, and service parameters,
– Application features and choices,
– Interaction between Cloud providers,
– No standard API – mix of SOAP and REST!
– Privacy, security, compliance, trust…
Some Commercial Cloud Offerings
 Cloud Storage

• Several large Web companies are now exploiting the

fact that they have data storage capacity that can be
hired out to others.
– allows data stored remotely to be temporarily cached on
desktop computers, mobile phones or other Internet-
linked devices.

• Amazon’s Elastic Compute Cloud (EC2) and Simple

Storage Solution (S3) are well known examples
– Mechanical Turk
 Utility Computing – EC2

• Amazon Elastic Compute Cloud (EC2):

– Elastic, marshal 1 to 100+ PCs via WS,
– Machine Specs…,
– Fairly cheap!
• Powered by Xen – a Virtual Machine:
– Different from Vmware and VPC as uses “para-virtualization”
where the guest OS is modified to use special hyper-calls:
– Hardware contributions by Intel (VT-x/Vanderpool) and AMD
(AMD-V).
– Supports “Live Migration” of a virtual machine between hosts.
• Linux, Windows, OpenSolaris
• Management Console/AP
 Opportunities and Challenges

• The use of the cloud provides a number of

opportunities:
– It enables services to be used without any understanding
of their infrastructure.
– Cloud computing works using economies of scale:
• It potentially lowers the outlay expense for start up companies, as
they would no longer need to buy their own software or servers.
• Cost would be by on-demand pricing.
• Vendors and Service providers claim costs by establishing an
ongoing revenue stream.
– Data and services are stored remotely but accessible from
“anywhere”.
 Opportunities and Challenges

• In parallel there has been backlash against cloud computing:

– Use of cloud computing means dependence on others and that could
possibly limit flexibility and innovation:
• The others are likely become the bigger Internet companies like Google and IBM,
who may monopolise the market.
• Some argue that this use of supercomputers is a return to the time of mainframe
computing that the PC was a reaction against.
– Security could prove to be a big issue:
• It is still unclear how safe out-sourced data is and when using these services
ownership of data is not always clear.
– There are also issues relating to policy and access:
• If your data is stored abroad whose policy do you adhere to?
• What happens if the remote server goes down?
• How will you then access files?
• There have been cases of users being locked out of accounts and losing access to
data.
 Advantages of Cloud Computing

• Lower computer costs:

– You do not need a high-powered and high-priced computer
to run cloud computing's web-based applications.
– Since applications run in the cloud, not on the desktop PC,
your desktop PC does not need the processing power or hard
disk space demanded by traditional desktop software.
– When you are using web-based applications, your PC can be
less expensive, with a smaller hard disk, less memory, more
efficient processor...
– In fact, your PC in this scenario does not even need a CD or
DVD drive, as no software programs have to be loaded and
no document files need to be saved.
 Advantages of Cloud Computing

• Improved performance:
– With few large programs hogging your computer's
memory, you will see better performance from your PC.
– Computers in a cloud computing system boot and run
faster because they have fewer programs and processes
loaded into memory…
• Reduced software costs:
– Instead of purchasing expensive software applications, you
can get most of what you need for free-ish!
• most cloud computing applications today, such as the Google Docs suite.
– better than paying for similar commercial software
• which alone may be justification for switching to cloud applications.
 Advantages of Cloud Computing

• Instant software updates:

– Another advantage to cloud computing is that you are no longer faced
with choosing between obsolete software and high upgrade costs.
– When the application is web-based, updates happen automatically
• available the next time you log into the cloud.
– When you access a web-based application, you get the latest version
• without needing to pay for or download an upgrade.

• Improved document format compatibility.

– You do not have to worry about the documents you create on your
machine being compatible with other users' applications or OSes
– There are potentially no format incompatibilities when everyone is
sharing documents and applications in the cloud.
 Advantages of Cloud Computing

• Unlimited storage capacity:

– Cloud computing offers virtually limitless storage.
– Your computer's current 1 Tbyte hard drive is small compared to
the hundreds of Pbytes available in the cloud.
• Increased data reliability:
– Unlike desktop computing, in which if a hard disk crashes and
destroy all your valuable data, a computer crashing in the cloud
should not affect the storage of your data.
• if your personal computer crashes, all your data is still out there in the
cloud, still accessible
– In a world where few individual desktop PC users back up their
data on a regular basis, cloud computing is a data-safe
computing platform!
 Advantages of Cloud Computing

• Universal document access:

– That is not a problem with cloud computing, because you do
not take your documents with you.
– Instead, they stay in the cloud, and you can access them
whenever you have a computer and an Internet connection
– Documents are instantly available from wherever you are
• Latest version availability:
– When you edit a document at home, that edited version is
what you see when you access the document at work.
– The cloud always hosts the latest version of your documents
• as long as you are connected, you are not in danger of having an outdated
version
 Advantages of Cloud Computing

• Easier group collaboration:

– Sharing documents leads directly to better collaboration.
– Many users do this as it is an important advantages of cloud
computing
• multiple users can collaborate easily on documents and projects
• Device independence.
– You are no longer tethered to a single computer or network.
– Changes to computers, applications and documents follow
you through the cloud.
– Move to a portable device, and your applications and
documents are still available.
 Disadvantages of Cloud Computing

• Can be slow:
– Even with a fast connection, web-based applications can
sometimes be slower than accessing a similar software
program on your desktop PC.
– Everything about the program, from the interface to the
current document, has to be sent back and forth from your
computer to the computers in the cloud.
– If the cloud servers happen to be backed up at that
moment, or if the Internet is having a slow day, you would
not get the instantaneous access you might expect from
desktop applications.
 Disadvantages of Cloud Computing

Disadvantages of Cloud Computing

• Does not work well with low-speed connections:

– Similarly, a low-speed Internet connection, such as that
found with dial-up services, makes cloud computing
painful at best and often impossible.
– Web-based applications require a lot of bandwidth to
download, as do large documents.
• Features might be limited:
– This situation is bound to change, but today many web-
based applications simply are not as full-featured as their
desktop-based applications.
• For example, you can do a lot more with Microsoft PowerPoint
than with Google Presentation's web-based offering
 Disadvantages of Cloud Computing

• Requires a constant Internet connection:

– Cloud computing is impossible if you cannot connect to the
Internet.
– Since you use the Internet to connect to both your
applications and documents, if you do not have an Internet
connection you cannot access anything, even your own
documents.
– A dead Internet connection means no work and in areas
where Internet connections are few or inherently
unreliable, this could be a deal-breaker.
 Disadvantages of Cloud Computing

Disadvantages of Cloud Computing

• HPC Systems:
– Not clear that you can run compute-intensive HPC applications
that use MPI/Open MP!
– Scheduling is important with this type of application
• as you want all the VM to be co-located to minimize communication
latency!
• General Concerns:
– Each cloud systems uses different protocols and different APIs
• may not be possible to run applications between cloud based systems
– Amazon has created its own DB system (not SQL 92), and
workflow system (many popular workflow systems out there)
• so your normal applications will have to be adapted to execute on these
platforms.
 Disadvantages of Cloud Computing

Disadvantages of Cloud Computing

• Stored data might not be secure:

– With cloud computing, all your data is stored on the cloud.
• The questions is How secure is the cloud?
– Can unauthorized users gain access to your confidential data?
• Stored data can be lost:
– Theoretically, data stored in the cloud is safe, replicated
across multiple machines.
– But on the off chance that your data goes missing, you have
no physical or local backup.
• Put simply, relying on the cloud puts you at risk if the cloud lets you
down.
 The Future

• Many of the activities loosely grouped together under cloud

computing have already been happening and centralised
computing activity is not a new phenomena
• Grid Computing was the last research-led centralised
approach
• However there are concerns that the mainstream adoption of
cloud computing could cause many problems for users
• Many new open source systems appearing that you can install
and run on your local cluster
– should be able to run a variety of applications on these systems
 4.1 To 4.3

Q &A
• VIDEO CASES
– Case 1: ESPN.com: Getting to eXtreme Scale On the Web
– Case 2: Salesforce.com: Managing by Smartphone
– Case 3: Hudson's Bay Company and IBM: Virtual Blade Platform
– Instructional Video 1: Google and IBM Produce Cloud Computing
– Instructional Video 2: IBM Blue Cloud is Ready-to-Use Computing
 Questions

1. What are components of various levels of IT infrastructure?

2. Explain relational database with examples .
3. What are disadvantages of cloud computing systems?
4. Enlist difference between cloud computing and virtualization.
5. Draw IT Infrastructure ecosystem with its components .
6. What is connection between the firm, it infrastructure, and business
capabilities, draw and explain.
7. Define batch and online processing .
8. Define and explain SaaS.