MG 6503: Management of Information Technology and Information Systems Spring 2013 Prof. Kevin Brabazon CA Technologies Case Study Prepared By Xi Lou Lun Li Yang Cao Yashen Wu Table of Contents Executive Summary Overview Problems & Alternatives Scenario Conclusion Appendix I: SWOT Analysis Appendix II: Porter’s Five Forces Executive Summary Technology changes will significantly reshape IT companies like CA Technologies. CA has kept its mainframe and clients’ server business in the past 30 years. The company provides the latest mainframe innovations. But CA has to face a new challenge whether it continuous to keep major business in mainframe or make a thorough transformation from mainframe to cloud computing. …show more content…
Nevertheless, they do not have enough capability to get into the cloud computing market because cloud computing was based on nearly all of the concepts that were different from the mainframe environment, so this will be a challenge for the CA Technologies to get involved in the market. That is to say, the company needs talents to build up related technique and marketing experience inside the company. Also, the company needs to consider whether they have already had the enough capability to do the cloud computing by themselves. Alternative 1a. Acquisition Large corporations don’t easily innovate, so CA Technologies can choose some small companies or even integrate some startups, such as some cloud computing platform software companies, some cloud-based authentication software companies and cloud infrastructure consulting company etc. By using acquisition strategy, CA can acquire more experienced workers and gain more related resources from those small cloud computing companies. This implementation would make CA Technology get into the cloud computing market more easily. Also, Acquisition is a more efficient way that won’t take CA Technologies too much time. 2b. Self-develop research team CA technologies has already acquired several small cloud computing firms since the company changed its target from the mainframe market to the cloud computing market. Perhaps, the company can decide build its own research and developing team based on their previous acquisition
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All types of business models can find benefits from cloud computing infrastructure. As for example cost and flexibility from small business viewpoint whereas total IT problems can be solved for large companies. It will add advantages for companies, their employees, consumers, distributor where the overall business solution can be provided.
After reading many articles about Cloud Computing I saw the bright future for these types of cloud services. Aside from educating myself on this topic I feel that this could be beneficial to my fellow Computer Technology peers to address their client or employers cloud needs as well as people who are going to start a business and are looking at the options available to address their companies demands.
This case gives us a fundamental understanding of the concept of cloud computing and presents the advantages and issues of this IT infrastructure. This case gives a clear vision of the company’s current situation. Three main questions to consider
Cloud provider is organizations that provide cloud-based IT resources. Thus, we can think the cloud provider is the organizations of business and company that take responsibility to create cloud services available to demand of cloud computing technology in the market. In addition, they are providing cloud-computing services are the minimum level of services that a provider will provide to client per the agreement, as known SLA. Therefore, cloud computing services require management and administrative duties to look after the overall of cloud computing infrastructure service to make sure the cloud computing services is going smoothly. Apparently, cloud computing provider owns the cloud base or IT resources of cloud computing. Then, the company is divided potential of cloud base in order to provide the lease for commercial. Nevertheless, there are some companies of cloud providers also “resell” IT resources, which rent from other cloud providers (Rouse, 2011, n.p.g.; Horvath, 2015, n.p.g.)
In statement, Alijabre writes “Cloud Computing can help business shift their focus to developing god business applications that will bring true business value.” To prove his point Alijabre, uses statistical data gathered from one of big leading providers in Cloud Services. “Although cloud computing has been recognized as a way to improve business, not all businesses are the same. So, is cloud computing for all businesses or is it more beneficial for a certain type of business with certain infrastructure already in place?” To make his argument, Alijabre uses Amazon Cloud Service to give us a better idea the use of cloud computing in business, and what can they do to improve it. Amazon has been one of the best providers of cloud services to individuals or to small businesses. “Also, it has more than 79 million active customer accounts around the world, along with around one and a half million active seller accounts.” Undoubtedly, Amazon is the leading source in providing cloud services. Amazon makes it easier for the consumers to access their data online, only thing needed
In such a sophisticated information technology service industry in which Cap Gemini is engaged, product expansion strategy will benefit the company in achieving its core business objective as well as increase the opportunity to double the revenue. This strategy will help Cap Gemini to develop new product services and market them in existing markets. Cap Gemini has started using this strategy in the information technology service demand countries such as India, China and US. Cap Gemini should introduce new product service in cloud computing field. By partnering with the cloud based company, Cap Gemini is likely to take cloud computing to the next level which will reduce the IT costs and scalability. Cloud computing will make company’s business
This research paper tackles the issues that faces Cloud Computing today and gives the experts and industry’s point of view on the matter. The aspects explored are the significant industry questions that have risen about the use of Cloud Computing, business value, organization impact, adaptability, limitations, initial cost of implementation, and the severe business security risks
Amazon cloud computing service is considered to be the undisputed leader in winning a massive contract deal with the Department of Defense. With Amazon favored to win the winner-take-all contract, industry groups such as IBM, Oracle, Microsoft and Google, fear the DoD decision in giving a single award contract over multiple contract awards would “close the market to just that vendor,” can cause technology lock-in, damage innovation and damage companies innovation by dissuading firms from entering the public sector marketplace.
The big tech companies already invested billions of dollars in IT infrastructure, for example Amazon has invested more than $5 billion with their Amazon Web Services division, and estimates revenues of $20 billion by 2020 . Outsourcing provides the capability to shift from a fixed to variable cost IT infrastructure, and only pay for the usage without making big hardware and software investments. Ultimately, the company must decide what should be in-house and what can be outsourced.
With each successive generation of computing technologies, the balance of computing power and economics shifts farther to the side of the line-of-business user, away from the centralized Information Technologies (IT) systems departments that have ruled companies for decades. IT Departments and those who lead them, the Chief Information Officers (CIOs) who have had exceptional power of the demand and supply of IT resources, are actively being challenged today by the shift towards abundant supply of computing power cloud computing makes available (Middleton, 2012).
Though the actual history of cloud computing is not that old (the first business and consumer cloud computing services websites – salesforce.com and Google, were launched in 1999), its story is tied directly to the development of the Internet and business technology, since cloud computing is the solution to the problem of how the Internet can help improve business technology. Business technology has a long and fascinating history, one that is almost as long as business itself, but the developments that most directly influenced the history of cloud computing start with the emergence of computers as providers of real business solutions. Cloud computing had the right environment to take off, as multi-tenant architectures, highly prevalent high-speed bandwidth and universal software interoperability standards were developed in this time. Salesforce.com debuted in 1999 and was the first site to deliver business applications from a ‘normal’ website – what is now called cloud computing. In 2006, Amazon expanded its cloud services. First was its Elastic Compute cloud (EC2), which allowed people to access computers and run their own applications on them, all on the cloud. Then they brought out Simple Storage Service (S3). This introduced the pay-as-you-go model to both users and the industry as a whole, and it has basically become standard practice now. Salesforce.com then launched force.com in 2007. This platform as a service (PaaS) let companies’ developers build, store and
New imperatives and new technology are forcing companies to rethink their fundamental business assumptions. The C-suite is under pressure to perform at increasingly at high speeds and scale - there is no letting up. Today’s C-Suite is turning to cloud-based technologies to help improve business efficiencies while reducing CAPEX. Executives are immersed in terms like software as a service, open source, big data, cloud, scale out, containers, microservices etc. While these terms and technologies represent a new world of opportunity, they also bring complexity that most IT departments are ill-equipped to pursue. This has become the Big Software era.
Today, the cloud computing Service business sector is genuinely soaked, offering organisations and customers an extensive variety of services to pick between. So, choosing the right cloud services to trust with your essential applications, sensitive information, and to build successful system will be hard. Mostly small organisations and new organisations can think that it’s nearly difficult to make up minds for Cloud technology as many don 't know how to pick the right Cloud Service supplier. Here are few elements to consider to separate the right Cloud service supplier from others.
For many years businesses have relied on Legacy applications, and while stable, these applications have not allowed the business to grow due to the aging technology. Legacy applications eat up IT budgets and companies need to and should move away from them as the technology now allows for cloud storage. The cloud technology industry is set to skyrocket to $389 Billion in New Revenue Over the Next Five Years. Any budget conscious business should make the move from legacy to cloud and here are some things to consider when deciding to make the change.