Abstract

Migrating to the cloud is the main direction of enterprise IT optimization today. Many research papers confirm that cloud computing provides economic benefits, because it enhances flexibility and reduces costs. In other studies, cloud-specific risks are identified and their impact on the customer business is evaluated. However, most often, benefits and risks are considered separately. Model that allows simultaneously evaluate these factors is proposed here. Key factors of tangible and intangible benefits and risks are identified that allows to estimate joint impact of costs and risks on cloud adoption. Simple rules that help to quantify these factors and compute consistent pairwise comparison matrices are also proposed. Usage of proposed method is demonstrated with simple example.

Highlights

  • Migrating to the cloud is the main trend of enterprise IT optimization today

  • Goals of presented research are: (1) to propose a simple set of criteria to assess the feasibility of cloud computing that can be used in practice, and (2) to propose rules to determine relative importance of alternatives in terms of each criterion involved in a Multi Criteria Decision Making (MCDM) problem

  • Maresova [10] adopted general steps of Cost-Benefit Analysis (CBA) for cloud computing purposes. She proposed a system of criteria, which is divided into three levels: economic, operational and technical criteria, to specify a cloud computing deployment

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Summary

Introduction

Migrating to the cloud is the main trend of enterprise IT optimization today. Many research papers show that cloud computing provides significant tangible and intangible economic benefits, namely reduced costs and enhanced flexibility of enterprise IT [1]. The first examines the economical benefits of the cloud, the second studies the risks that arise in the migration of information resources in the cloud In both directions the models, which help to assess the efficiency of the clouds, are developed. Practice requires a fairly simple method that allows to compare different alternatives (public cloud, private cloud, own IT, etc.) on the basis of simple expert evaluations of potential benefits and risks. Goals of presented research are: (1) to propose a simple set of criteria to assess the feasibility of cloud computing that can be used in practice, and (2) to propose rules to determine relative importance of alternatives in terms of each criterion involved in a MCDM problem

Research literature review
Economical benefits of cloud computing
Security risks of cloud computing
Models of the joint assessment of economic benefit and risk
Decision making model for selection of cloud services
Evaluation of cost saving criterion
Evaluation of flexibility criterion
Evaluation of risk criterion
Evaluation of priorities of criteria
Example
Conclusion

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