Cloud Computing Transforming The Enterprise

Cloud Computing:
Computing:
Cloud
Transforming the
Transforming
the Enterprise
Enterprise
Cloud computing is not just a trend. It is changing the way
IT organizations drive business value.
THINK SMART. ACT FAST. FLEX YOUR BUSINESS.

2014 NTT DATA, Inc.
NTT DATA White Paper:
Cloud Computing: Transforming the Enterprise
EXECUTIVE SUMMARY
Organizations of all sizes are increasingly adopting
cloud technology to drive business value. Thats
because the benefits of the cloud are many, including
accelerated time-to-market, enhanced organizational
flexibility and scalability, rapid resource provisioning,
and lower total cost of ownership.
While everyone has heard of the cloud, not everyone
can clearly define it or understands how best to take
advantage of its benefits. Before moving to the cloud it
is important to understand the different service models,
technologies, and infrastructure options available, as
well as the rewards and tradeoffs.
Cloud computing provides organizations with
convenient, on-demand network access to a shared
pool of computer resources. There are four primary
cloud-based service models: Infrastructure as a
Service (IaaS), Software as a Service (SaaS), Platform
as a Service (PaaS), and Integration Platform as a
Service (iPaaS). These services are usually offered on
either an enterprise private, public, or virtual private
cloud (owned and operated by a service provider) or a
combination of cloud types. Each service model and
platform has its own set of advantages and business
challenges. Adopting the optimal cloud service model
and platform alternative will enable an enterprise to
transform to a faster, smarter, more flexible business.
Cloud technology enables organizations to limit the
large capital expenditures previously associated with
building and maintaining costly data centers and
custom applications. By enabling companies to pay
for technology resources only as needed, the cloud
transforms these costs into operating expenditures.
In addition, using the cloud allows end users to

accelerate time-to-market since it allows for global,
on-demand access to a pre-existing platform and
business processes as well as virtual technology
and infrastructure.
Organizations desire to focus on core competencies
while transferring services to external providers has
also boosted the demand for cloud computing. As a
result, the cloud has changed the way that IT services
are sourced, delivered, and are driving business value.
This is a dramatic change of focus as the cloud gives
new power and flexibility to the IT manager to help
drive and execute business strategy.
A trusted cloud partner can help an enterprise
successfully derive business value from the cloud.
Businesses should select a partner with a holistic cloud
approach that can advise and support the enterprise
from strategy to a fully optimized and managed cloud
environment. In addition, it is advantageous to select
a partner that supports a full lifecycle of cloud needs,
including strategy and roadmap development,
implementation, integration, migration, custom
development, and ongoing management, support,
and hosting services. Such a partner can ensure
cloud adoption, migration, and integration is smooth
and seamless.
Confidential
2014 NTT DATA, Inc.
The concepts and methodologies contained herein are proprietary
to NTT DATA. Duplication, reproduction or disclosure of information
in this document without the express written permission of
NTT DATA is prohibited.
About NTT DATA

NTT DATA is your Innovation Partner anywhere around the world, with operations in more than 40 countries. NTT DATA emphasizes long-term
commitment and combines global reach and local intimacy to provide premier professional services, from consulting, application services,
business process and IT outsourcing to cloud-based solutions.
Visit www.nttdata.com/americas to learn how our consultants, projects, managed services, and outsourcing engagements deliver value for a
range of businesses and government agencies.
2014 NTT DATA, Inc.
TABLE OF CONTENTS
The Growing Consensus for Modernization 4
Benefits of Cloud Services 5
Cloud Computing Service Models 6
Impediments to Cloud Adoption 8
Cloud Deployment Models10
The Need for Integrated Cloud Application and Infrastructure Services 13
Selecting a Cloud Partner15
Conclusion 16
TABLE OF FIGURES
The Typical Stages of Cloud-Related Service Engagement14
2014 NTT DATA, Inc.
The Growing Consensus

for Modernization
The market for cloud technology and integrated services
has transitioned from early adopters and successful
pilots to mainstream use by enterprises. In fact,
according to Gartner, Survey results show that 80%
of organizations will be using cloud services in some
form within 12 months.1
The benefits that continue to draw organizations to the
cloud remain the same: the need for organizational
flexibility, dynamic scalability of applications and
infrastructure, faster time-to-market, and cost efficiency.
Cloud computing is not just a trend. It is changing the
way IT organizations drive business value.
As the cloud goes mainstream, it is important for
organizations to understand the different options
available, as well as their advantages and tradeoffs. This
whitepaper provides readers with clear definitions of
cloud services and deployment models, and how each
may benefit or put at risk aspects of your business.
In addition, we explain the importance of taking a holistic
approach to ensure your cloud adoption, migration, and
integration is smooth and seamless.
Cloud computing is not just a trend. It is

changing the way IT organizations drive
business value.
Characteristics of Cloud Computing

While the term cloud is everywhere, few can pin down
what it really means. The reason is that there are many
flavors and components of cloud computing. According
to the National Institute of Standards and Technology
Information Technology (NIST) Laboratory, Cloud
computing is a model for enabling ubiquitous,
convenient, on-demand network access to a shared
pool of configurable computer resources (e.g., networks,
servers, storage, applications, and services) that can be
rapidly provisioned and released with minimal
management effort or service provider interaction.2
Another way to think about it is that the cloud enables
a user to expand and contract capacity and capabilities
easily through self-service portals where catalogs enable
simple configuration of the end service.
NIST identifies five essential characteristics of the
cloud3, summarized here:
On-demand self-service A user can provision

computing capabilities, such as server time
and storage, as needed without requiring
human interaction.
Broad network access Capabilities are available

over a network and typically accessed by the users
mobile phones, tablets, laptops, and workstations.
Resource pooling The providers computing

resources are pooled to serve multiple users using
a multi-tenant model, with different physical and
virtual resources dynamically assigned and
Gartner, Inc., Survey Analysis: As the Cloud Services Market Grows for Segments of Buyers, Opportunities Await Service Providers,
Igou, Anderson and Bell. June 24, 2013.
Final Version of NIST Cloud Computing Definition Published, NIST Tech Beat. October 25, 2011. http://www.nist.gov/itl/csd/cloud-102511.cfm
Grance, Peter and Mell, Timothy. The NIST Definition of Cloud Computing, Special Publication 800-145. Gaithersburg, MD. U.S. Department of Commerce,
Computer Security Division, Information Technology Laboratory, 2011. http://csrc.nist.gov/publications/nistpubs/800-145/SP800-145.pdf
2014 NTT DATA, Inc.
reassigned according to consumer demand.

Examples of resources include storage, processing,
memory, and network bandwidth.
Rapid elasticity Capabilities can be elastically

provisioned and released, in some cases
automatically, to scale rapidly outward and inward
as needed. For the user, the capabilities available
for provisioning often appear to be unlimited and
can be appropriated in any quantity at any time.
Measured service Cloud systems automatically

control and optimize resource use by leveraging
a metering capability appropriate to the type of
service (e.g., storage, processing, bandwidth, and
active user accounts). Resource usage can be
monitored, controlled, and reported, providing
transparency for both the provider and user of the
service. This cloud characteristic enables a cloud
user to consume the service in a pay as you grow
model or for internal IT departments to provide IT
chargeback capabilities.
Benefits of Cloud Services
About NIST
The National Institute of Standards and
Technology promotes the US economy and
public welfare by providing technical
leadership for the nations measurement
and standards infrastructure.
the underlying components that keep it current.

The cloud will always stay up-to-date, allowing the
enterprise easy access to new technologies quickly
and conveniently.
Dynamic Scalability Many organizations have

simply run out of existing capacity due to
limitations on power consumption, storage, or
space. With the cloud, companies can scale quickly
and efficiently without added investment, and
enterprises have access to virtually limitless
computer and storage resources. Many cloud
providers even offer burstable infrastructure that
automatically expands and contracts to meet
peak performance periods.
Faster Time-to-Market Time to market is

accelerated by empowering departments to
deliver speedy proofs of concept and product
demos via the cloud. Shared sites can be easily set
up, replicated, and torn down as needed to meet
the collaboration requirements of a given project.
The cloud also uses service-oriented-architecture
(SOA) which has a shorter development lifecycle.
Cost Efficiency By eliminating the need to

purchase and depreciate costly hardware and
software, companies can save the considerable
costs associated with building, maintaining, and
The characteristics of cloud computing help us

understand the many ways that enterprises can benefit
from cloud services and why the cloud is changing IT
organizations ability to drive business value, including:
Access to New Technology By leveraging the

cloud, enterprises are no longer hindered by
infrastructure costs and limitations in supporting
rapid global expansion and the ability to quickly
adopt the latest technology. When an enterprise has
its infrastructure or software delivered through the
cloud, it doesnt have to worry about refreshing
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operating a data center, especially facility-, power-,

and cooling-related expenditures. Additionally, the
model allows firms to possibly lower expenditures
on support staff, particularly those providing
infrastructure support, systems management, and
help desk services. Lastly, cloud computing enables
companies to change what has historically been
capital expenditures to operating expenditures.
Focus The cloud can help transform IT into a

proactive and more innovative function that focuses
less on keeping the lights on and more and more
on improving the user experience. By delegating
the operation and maintenance of commodity
infrastructure and services to cloud service
providers, IT organizations can focus on their
core competencies and further develop capabilities
that can differentiate their businesses in their
respective markets.
Cloud Computing Service Models

There are many ways to take advantage of the
clouds capabilities. The four service models currently
associated with cloud computing are Infrastructure as
a Service (IaaS), Software as a Service (SaaS), Platform
as a Service (PaaS), and Integration Platform as a
Service (iPaaS). The following sections summarize the
key concepts and advantages and disadvantages of
each of these service models.
The cloud can help transform IT into a proactive
and more innovative function that focuses less
on keeping the lights on and more and more on
improving the user experience.
Infrastructure as a Service (IaaS)

IaaS allows organizations to avoid the large capital
expenditures associated with infrastructure and data
centers. IaaS enables an organization or user to use the
equipment of a service provider to support operations,
including the provision of processing, storage, hardware,
servers, and networking components. The service
provider owns the equipment and is responsible for
hosting and maintaining it. The client does not manage
or control the underlying cloud infrastructure, but has
control over operating systems, storage, and deployed
applications. Users typically pay on a per-use basis.
Customers usually use an IT operations management
console via a Web-based graphical user interface (GUI)
to manage the environment. Customers are able to
self-provision this virtual infrastructure using the GUI.
A major advantage of IaaS is the capability to transfer
work to the cloud during periods of peak demand for
on-premise systems. That means that organizations will
not have to invest capital resources to cover the cost of
additional servers that may be needed only several times
per year. This concept is known as cloud bursting.
In terms of disadvantages, the IaaS model brings with it
dependence on a specific provider. As a result, it is
critical that the service provider remain an ongoing
concern. Complex resource allocation software is also
required to ensure that cloud-based resources are there
when needed. It is important to consider what data is
sent to the cloud in order to mitigate any security-related
risk. Another concern with IaaS is that virtual on-demand
infrastructure capability coupled with the increasing
usage of mobile devices bring with it the challenges associated with the disbursement of resources.
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These challenges include the difficulty of preventing

employees from circumventing enterprise policies and
procedures to use or develop software outside the view
of an organizations official governance programs.
Software as a Service (SaaS)

Perhaps the most commonly understood cloud platform
is SaaS. SaaS enables the user to use the providers
commercially available applications running on a cloud
infrastructure. Think: sales and marketing automation
software from Salesforce.com. SaaS transforms
software costs from a capital expenditure to an
operating expenditure, eliminating the need to purchase
software licenses, given its monthly fee.
SaaS applications are accessible from various client
devices through a thin client interface (such as a Web
browser) and increasingly through mobile applications.
SaaS applications have a distributed architecture, so
they remain available to end users when needed via the
Web, even during an event that could have disrupted
service to a non-SaaS application.
Small to mid-size enterprises typically use SaaS
products for commercial software suites such as
customer relationship management (CRM), enterprise
resource planning (ERP), supply chain management
(SCM), human capital management (HCM), IT service
management (ITSM), and office productivity. SaaS
enables enterprises to obtain the use of such
commercially available software on demand in return for
a monthly fee, typically based on the number of users.
Validating the market for SaaS products is the rapid
pace at which large enterprise companies and public
sector agencies have been embracing SaaS offerings in
recent years.
SaaS products can save costs in several ways. For

example, rather than purchase expensive software,
some of which remain idle at any given time, and
depreciate the cost of the licenses over time,
organizations can pay for the use of software on
demand. Also, savings can come from the need for
less hardware and, in some instances, in-house
personnel because service, support, and upgrades are
usually part of the agreement. Existing IT personnel
can concentrate on other mission-critical areas. SaaS
enhances both speed and flexibility since deploying
software becomes instantaneous.
The biggest challenge associated with SaaS is that one
problem can impact all users and that the enterprise is
dependent on a third party. That means that the service
provider is now a significant part of any disaster recovery
plan and that a service disruption can cripple an
organization in the delivery of its product or service. It is
critical that companies carefully scrutinize a providers
service levels. Moreover, the disruption or loss of service
as a result of the provider may create legal liabilities
for an organization.
Platform as a Service (PaaS)

PaaS allows application developers to develop and
manage applications without the need to purchase
additional hardware or to hire resources to manage the
added infrastructure. Developers can build applications
and services over the Internet using tools supplied by
the provider. Organizations can customize the features of
PaaS so it can deliver a simple framework or a
complete infrastructure for sophisticated development.
The infrastructure and application platforms are
managed by the provider in return for a subscription
fee. Features that might be included in a PaaS package
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are operating system, database management system

(DBMS), server-side scripting environment, server
software, network access, and support and tools for
design and development, as well as operations to
provision these development services.
Some PaaS configurations even make it possible for
non-IT users to develop software for themselves by
using the web browser. The platform can be customized
and the subscription altered as required to fit the
changing needs of the enterprise. Consequently, it
provides a more flexible and adaptable infrastructure.
Security and backup and recovery are also provided as
part of the service. Most importantly, since the interface
is typically a web browser, PaaS facilitates global
collaboration since development teams in different
parts of the world can work together by simply using an
internet connection.
PaaS does not represent a complete solution. Unlike
with SaaS, the client must still design, build, and test
applications. In addition, organizations remain
dependent on a third party and the service providers
adherence to a service level agreement. Changing
providers may also prove difficult. Lastly, the
integration of on-premise data contained within
in-house legacy systems and PaaS-based applications
is often challenging.
Integration Platform as a Service (iPaaS)

Some enterprises are now solving the integration
problem between applications in the cloud and
iPaaS holds the promise of seamless integration

across multiple clouds and between clouds and
legacy applications.
on-premise data and between different cloud

applications by using a cloud integration platform.
iPaaS is an emerging, next-generation integration
platform that includes tools and technologies to
manage integration data flows. The platform delivers
a virtual computer or middleware in the cloud and
uses a set of service connectors to link application
components much like a directory function. The services
also include management and orchestration functions
and a full set of middleware features. iPaaS holds the
promise of seamless integration across multiple clouds
and between clouds and legacy applications.
iPaaS offers robust features to integrate popular SaaS
applications, such as Salesforce and ServiceNow, with
social media and enterprise applications. Its strengh
is in lightweight integrations that are quick to develop
and deploy. iPaaS may not be suitable for acting as an
enterprise-level integration platform yet because it lacks
guaranteed delivery, publish-subscribe, and other
features supported by enterprise platforms.
Impediments to Cloud Adoption

In addition to being aware of the limitations related to
specific cloud service models, enterprises should
carefully consider the major impediments to the
successful adoption of cloud computing, including:
Provider Dependence. Changing providers is

always a challenge. However, the lack of standards
for data formats and application programming
interfaces (API) make transitioning cloud providers
particularly difficult and expensive. Open standards
are emerging and are being more widely adopted,
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but proprietary technology is still very common. You

should be aware of the underlying technology used
to deliver the service and prepare procedures to
move cloud workloads elsewhere as a precautionary
measure in case you become unsatisfied.
Shadow IT. Because the cloud is available anytime,

anywhere and is easy to use, a large number of
non-IT users are attracted to subscribing to cloud
services, which may not be accounted for by the
IT department, particularly IT Risk, Security,
Compliance, and Governance organizations.
IT departments should partner with their business
and jointly evaluate and agree upon which cloud
services will be used.
Risk Mitigation. It is difficult to determine how well

a cloud provider manages a service disruption or
supports its clients requirements for data location
disclosure and security measures and protocols.
Consequently, requirements for data protection
and service availability should be strictly governed
through the use of contractual service level
agreements (SLAs), and customers must
understand exactly how SLA metrics are calculated.
In addition, customers should evaluate the
stability the providers business, and measure the
risk associated with an unsustainable provider of
cloud services as some providers have simply gone
out of business.
Legacy Applications. Core business applications

are often highly customized, complex, and
entangled. Some applications may not be well
suited for the cloud, while other applications are
ripe for a migration. As a result, prior to moving any
application to the cloud, a readiness assessment
should be performed to determine cloud suitability

and identification of the target cloud model. In many
cases it makes sense to use an experienced third
party to perform this analysis who has access to
mapping and modeling tools, ROI calculators,
and other artifacts to assist in the assessing
legacy applications.
Security, Privacy, and Compliance. With cloud

computing, a high concentration of data may be
hosted with a single provider. Such a provider is an
enticing target for hackers who would have access
to a wealth of information if they successfully
breach the security measures in place. Enterprises
who are moving to the cloud should have a deep
understanding of the security technologies and
procedures that their service providers put in place,
including a review of what is included and what is
not included. Never assume that basic security
services are included as part of a base cloud
service, especially for self-managed clouds
where the customer, not the provider, manages the
infrastructure. Although not new to the IT industry,
issues related to privacy include jurisdiction of
information (where and under what set of laws the
data resides), access and controls, the availability
of audit trails, and compliance with industry and
legal standards and regulations, such as the
Statement on Standards for Attestation
Engagements (SSAE) 16 and the International
Standard on Assurance Engagements (ISAE) 3402.
Be sure to select a cloud service provider that
meets your particular regional, industry, and
regulatory requirements.
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Cloud Deployment Models

The cloud can be deployed in different ways. It is
important to understand the differences among cloud
deployment models and how they align with your
requirements and goals.
For most businesses, organizations, or governmental
agencies, there are four relevant types of clouds: private
(internal or provider-hosted), public (external), virtual
private (provider-hosted), and hybrid. The four models
are summarized below.
Enterprise Private Cloud

This cloud deployment model is ideal for organizations
under strict privacy restrictions (such as financial
institutions and government agencies) or that need to
support high performance applications in the cloud.4
A private cloud is a single-tenant platform that allows an
enterprise to implement cloud technologies behind a
firewall on-premise or off-premise at a providers data
center (internally managed or provider-managed). With
a private cloud, data residency or where the data and
infrastructure physically resides is determined by the
enterprise and therefore private clouds are common
with government agencies and regulated private sector
companies that have a requirement to guarantee data
residency. Private clouds generally have higher
transfer rates.
A private cloud provides many of the benefits of cloud
computing without the loss of control and other risks
associated with alternative cloud infrastructure models.
A private cloud includes virtualization technology to

enhance scalability, resource management, and
hardware utilization. In addition, it incorporates data
center automation for resource provisioning and
consumption metering technologies for chargeback
and services-based billing. It also includes a
standardized service catalog for administrators to deploy
new resources through an administrator GUI or through
a command-line interface (CLI). Identity-based security
protocols ensure that only authorized personnel have
access to appropriate applications and infrastructure.
Advantages and Disadvantages
A private cloud permits organizations to leverage many
of the benefits of cloud computing; however, a private
cloud will provide little to no immediate cost savings due
to the capital expenditures required. Yet, this option can
be financed so that part of its costs qualify as an
operating expenditure.
A provider-hosted private cloud helps organizations
take advantage of cloud computing, as well as service
provider tools, techniques, and experience, while limiting
security risks. Furthermore, a provider-hosted private
cloud frees in-house resources and can provide a
reduction in IT support costs by enabling consumptionbased billing. It also eliminates future infrastructure
capital expenditures while freeing up internal capacity.
In short, this cloud model permits users to leverage
provider cloud methodologies, tools, and lower costs.
However, it does not provide the optimal promise of
cloud computing such as the lowest cost and unlimited
elasticity to ramp resources.
Amini, Safavi, Khavidaki, Abdollahzadegan. Type of Cloud Computing (Public and Private) That Transform the Organization More Effectively.
International Journal of Engineering Research & Technology, 2013.
http://www.ijert.org/view.php?id=3542&title=type-of-cloud-computing-public-and-private-that-transform-the-organization-more-effectively
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Public Cloud
A public cloud provides an ideal platform for rapid
proofs of concept, pilots, demos, and an environment
for straightforward development and/or for on-demand
performance testing. It is a multi-tenant platform that
allows organizations to use infrastructure and
applications via the Internet. This shared pool of
networks, servers, storage, applications, and services
are available to multiple people or enterprises. End
users, without actually possessing these resources,
can gain access to them easily on demand via a Web
browser from a workstation, laptop, and/or mobile
device wherever and whenever they are needed and
with minimal management or service provider effort.
Examples include Verios Cloudn and Dimension Datas
Managed Cloud Platform (MCP).
Since it is a shared capability, a public cloud can be a
very cost-effective cloud computing option. The major
downside of this cloud computing model is the location
and security of proprietary information. The location of
data is also of great consequence since it determines
under which laws the information resides.
In addition, most public clouds are not built for high
availability because they are cost-driven platforms. Most
public cloud servers do not automatically failover in
the event of an outage. As a result, enterprises may be
forced to spend additional monies for backup or failover
environments. Service levels are typically designed to
support only development and test environments in a
best effort mode, not production systems for
enterprise-class workloads such as ERP, CRM, HR,
or financial applications.
Lastly, public clouds are built for a consumer-class

marketplace whereby customers are typically
individual users or small businesses with relatively
simple applications. As such, public clouds will always
accept credit card payment, which encourages shadow
IT growth and remains problematic for enterprise IT
departments to discover, monitor, report, and enforce
compliance with formal purchasing processes, legal
reviews, security evaluations, and company policies.
Virtual Private Cloud

Virtual private clouds (VPCs) have all of the advantages
associated with a private cloud together with financial
benefits. This model of cloud computing enables a
private cloud solution to be provided within a public
cloud providers infrastructure. In other words, a virtual
private cloud has all of the characteristics of a private
cloud with dedicated VLANs, providing network
isolation, virtual private networks, and dedicated
firewalls, except it is hosted within a multi-tenant
environment.
VPC customers gain a higher level of security and
regulatory compliance, which is appropriate for critical
data such as patient health records or customer financial
transactions. In addition, VPCs offer higher performance
because the virtual servers do not have to share
processor time or data buses. Providers can customize
the service and VPCs offer cost savings versus a
traditional data center. In addition, a VPC permits
enterprises to retain complete control of all data.
On the other hand, VPCs may be costlier than a
public cloud if the workload is small, infrequently used,
or does not require enterprise-class service levels for
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availability, performance, or security. Moreover, they

are multi-tenant since a service provider shares some
physical hardware with multiple customers even though
separated by virtual security.
Hybrid Cloud Infrastructure

A hybrid or mixed cloud environment provides the
best of both worlds combining one or more cloud
deployment models. Typically, with this model, a public
cloud is leveraged to extend or supplement a private
cloud or on-premise system. According to the National
Institute of Standards and Technology, a hybrid cloud
infrastructure is a composition of two or more distinct
cloud infrastructures (private, community, or public) that
remain unique entities but are bound together by
standardized or proprietary technology that enables data
and application portability (e.g., cloud bursting for load
balancing between clouds).
Community Cloud Computing

According to Gartner, community cloud
computing refers to a shared cloud computing
service environment that is targeted to a limited
set of organizations or employees (such as
banks or heads of trading firms). The
organizing principle for the community will
vary, but the members of the community
generally share similar security, privacy,
performance, and compliance requirements.5
Implementing a hybrid cloud allows enterprises to pick

and choose which applications within the portfolio
reside on a public versus private cloud. For example,
this model permits financial applications with the most
proprietary information to remain behind a firewall, while
other software with which the financial application may
communicate, such as customer service, HR, or
supply chain, can reside on a public cloud. Another case
in point is an organization which employs a private cloud
for its mission-critical production application and a
public cloud for its development and testing workload.
In addition, the public cloud can be used to support
peak demand needs, which is often referred to as
cloud bursting, where workloads are moved from
private environments to public clouds and vice versa.6
A hybrid cloud enables enterprises to balance
flexibility, scalability, performance, and total cost of
ownership. A hybrid cloud infrastructure supports high
capacity time periods and mitigates security risks on
mission-critical applications. It permits enterprises to
leverage the advantages of a public cloud for more
portable and appropriate applications while maintaining
control over legacy and mission critical systems with
greater compliance, performance, and security
requirements. By keeping the most sensitive data out
of a public cloud, companies can add an extra layer of
security to selected business processes. By placing the
right applications on the right cloud, this infrastructure
also can help to optimize overall performance.
Gartner, Inc., IT Glossary, http://www.gartner.com/it-glossary/community-cloud
Reid, Stefan. Cloud Bursting Stimulates New Cloud Business Models. August 8, 2011.
http://blogs.forrester.com/stefan_ried/11-08-08-cloud_bursting_stimulates_new_cloud_business_models
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The hybrid model facilitates an optimal approach

for architecture since organizations can combine
on-premise infrastructure with infrastructure that is
scalable and provisioned on demand. Accordingly, a
hybrid cloud offers substantial cost savings at the same
time as enabling almost unlimited flexibility. It is
important to note, ho wever, by using this model,
enterprises are trading additional cost savings for other
benefits. Because of its considerable advantages, the
hybrid cloud model is likely to be the most widely
adopted infrastructure for global enterprises.
Because of its considerable advantages,

the hybrid cloud model is likely to be the
most widely adopted infrastructure for
global enterprises.
Most of the drawbacks with a hybrid cloud are

associated with the public cloud. However, a hybrid
cloud brings with it some unique challenges. One of
the most significant is the complexity of monitoring
and managing all portions of the hybrid cloud from a
common portal or service desk. This requires
considerable engineering on the part of the IT
organization or the acquisition of third-party
orchestration tools or the services of a cloud services
broker. Such a broker can also assist in the construction
and implementation of complex service level agreements
for both the private and public clouds. Additionally, to
ensure the smooth transfer of data, complex networking
is needed.
The Need for Integrated

Cloud Application and
Infrastructure Services
Obtaining and implementing a cloud infrastructure is
not enough to optimize the benefits and mitigate risks
of cloud computing. Realizing the benefits of the cloud
requires a partner that can assist with a cloud adoption
strategy as well as offer proven cloud application and
infrastructure services, a cloud methodology or
framework, and an integrated set of tools.
A provider that offers advisory services can help you
answer key questions when considering the cloud and
develop a cloud adoption strategy that enables you to
understand where the cloud can benefit your business
and the architecture best suited for your environment.
Key Questions When Considering

the Cloud
How do I integrate my cloud services?
What services make sense to be in

the cloud?
How can I use PaaS to improve

time-to-market?
What specific cloud technologies are

my competitors leveraging?
How do I optimize my organization

around my cloud services?
2014 NTT DATA, Inc.
13
Applications services are also necessary to assess the

cloud readiness of targeted applications or to integrate
pre-existing applications resident on a cloud within
an existing infrastructure and applications portfolio.
Services such as applications rationalization and
modernization are also desirable to ensure success
prior to any migration. Most importantly, enterprise
application services and applications management
services under a detailed SLA are a necessity to outline
how well a cloud provider is mitigating risks. Finally,
multi-shore delivery allows for a cost-effective solution
and helps you realize material, short-term cost savings
with ongoing long-term returns.
In addition to application services, youll want to seek
out providers with integrated infrastructure services
since the availability, speed, seamlessness, and
end-user satisfaction with any cloud-based solution
are vendor dependent.
Success entails a provider that can evolve, operate, and

maintain the systems that support your mission-critical
applications in an optimal manner. Offered services
and vendor competencies must include: remote
infrastructure management, ITIL-based service desk
operations, and state-of the-art data center services.
Another important ingredient for leveraging cloud
computing technology is a cloud suitability, target model
analysis, and migration framework and an integrated
suite of supporting tools. Such a framework will provide
organizations with a systematic approach for the
adoption of cloud technology with a holistic cloud
strategy and roadmap. According to industry analysts,
successful cloud engagements progress in stages,
beginning with baseline assessments and strategy
sessions through implementation and management
(see figure.)
The Typical Stages of Cloud-Related Service Engagement
Cloud
Workshop
Cloud
Assessment
Cloud
Strategy
Design
Implementation
Management
Source: Gartner, Inc., Competitive Landscape: Cloud-Related Consulting, Implementation and Management Services,

Ed Anderson, August 13, 2013.
2014 NTT DATA, Inc.
14
Selecting a Cloud Partner

One of the most important decisions enterprises will
make as part of a cloud strategy is the selection of a
cloud partner. Such a partner can ensure your cloud
adoption, migration, and integration is smooth and
seamless. We recommend you select a partner who
supports a full lifecycle of cloud needs. Look for a
partner with a holistic cloud approach and significant
cloud expertise, which can advise and support
businesses from strategy to a fully optimized and
managed cloud environment.
rationalization? Does the potential partner

understand legacy applications and the impact
of the infrastucture on your applications?
Security and Enterprise Readiness Does the

provider have comprehensive security and
governance policies and procedures including
intrusion and virus detection? Do they have
high availability data centers with redundant
infrastructure and backup and restore capabilities
and disaster recovery services?
Comprehensive Cloud Lifecycle Services Can

the potential partner deliver proven cloud lifecycle
services, including strategy and roadmap
development, implementation, integration,
migration, custom development, and ongoing
management, support, and hosting services?
Cloud Service Flexibility Does the potential

provider have a breadth of cloud services and
service models (Iaas, SaaS, PaaS, iPaaS)?
Can the provider support private, public, virtual
private, and hybrid clouds?
Financial Health and Global Footprint Does the

service provider have sufficient size and financial
resources to ensure its existence as an ongoing
concern? Can it support enterprises across the
globe with local resources as required?
Service Level Agreements and Track Record

Does the service provider use detailed SLAs tied
to meaningful metrics? Has the potential partner
established a reputation for success in meeting
SLAs based on past performance?
An appropriate selection process necessitates

comprehensive due diligence and the investigation of
service provider characteristics and potential risk factors.
The following factors should be carefully evaluated:
Demonstrated Expertise Can the potential partner

show a track record of success in helping global
organizations leverage the cloud? Do they have
expertise in your industry working with similar
enterprises? Can the service provider validate
their experience managing both applications
and infrastructure on an outsourcing basis and
in end-to-end continuous support and
transition services?
Holistic Approach Does the potential partner
provide advisory, modernization, operations, and
management services? Can the service provider
assist you in developing a cloud vision, strategy,
architecture, and road map? Can the provider offer
readiness services such as application
rationalization, virtualization, modernization,
infrastructure consolidation, and data center
2014 NTT DATA, Inc.
15
Conclusion
The market for cloud technology and integrated services
has transitioned from early adopters and successful
pilots to mainstream use by enterprises of all kinds,
as a result of the maturing of cloud vendors and
related services.
If your organization is considering moving to the cloud
for the first time or expanding cloud operations, it is
important to work with a cloud services provider who
can help you understand the differences of cloud service
models and the advantages and disadvantages they
present to your organization.
An experienced cloud partner can also help you
optimize the benefits and mitigate the risks from cloud
computing by working with you to develop a cloud
adoption strategy as well as to offer proven cloud
application and infrastructure services, a cloud
methodology or framework, and an integrated set of
tools. An appropriate selection process necessitates
comprehensive due diligence and the investigation of
potential vendor characteristics and risk factors.
In short, trust, but verify.
THINK SMART. ACT FAST. FLEX YOUR BUSINESS.

www.nttdata.com/americas
2014 NTT DATA, Inc.

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