Project Abstract

Abstract
Cloud computing has emerged as a transformative technology that offers a better means of IT outsourcing for organizations. This research explores the advantages and challenges of adopting cloud computing as a way to outsource IT services. By leveraging cloud-based services, organizations can benefit from cost savings, scalability, flexibility, and improved performance. The shift to cloud computing allows companies to focus on their core competencies while leaving the management of IT infrastructure to specialized cloud service providers. One of the key advantages of cloud computing in IT outsourcing is cost savings. By moving to a cloud-based model, organizations can reduce capital expenditures on hardware and software, and instead pay for services on a subscription basis. This pay-as-you-go model enables companies to scale their IT resources up or down based on their needs, providing greater flexibility and cost efficiency. Additionally, cloud computing eliminates the need for organizations to maintain and upgrade on-premises infrastructure, reducing operational costs and freeing up resources for other strategic initiatives. Scalability is another significant benefit of cloud computing for IT outsourcing. Cloud service providers offer on-demand resources that can be quickly provisioned or de-provisioned based on fluctuating workloads. This agility allows organizations to easily scale their IT infrastructure to meet changing business requirements, without the need for large upfront investments. As a result, companies can respond more effectively to market demands and opportunities, gaining a competitive edge in the fast-paced business environment. Flexibility is a key driver for organizations turning to cloud computing for IT outsourcing. Cloud services provide a range of options for deploying applications, storing data, and managing workloads, allowing companies to tailor their IT solutions to meet specific business needs. Whether it's public, private, or hybrid cloud deployments, organizations have the flexibility to choose the best approach for their unique requirements. This versatility enables companies to adapt to evolving technology trends and business conditions, ensuring that their IT infrastructure remains agile and responsive. Despite the numerous benefits of cloud computing for IT outsourcing, there are also challenges that organizations need to address. These include concerns about data security, compliance, vendor lock-in, and potential downtime. By carefully evaluating these challenges and implementing robust security and governance measures, organizations can mitigate risks and maximize the advantages of cloud computing as a better means of IT outsourcing.

Project Overview

INTRODUCTION 

BACKGROUND OF THE STUDY

Cloud computing is a model for enabling ubiguitions, convenient, on-demand network access to a shared pool of configurable computing resources (e.g. networks, servers, storage applications and services) that can be rapidly provisioned and released with minimal management effort or service provider interaction. Although this widely adopted description of what makes a cloud computing solution is very valuable, it is not very tangible or easy to understand. Why is cloud computing different than just visualizing alone which is commonly mistaken to be cloud computing as well. Cloud computing is composed of five essential characteristics, three deployment models and four service models. The essential characteristics consist of;
A. On-demand self-service; users are able to position cloud computing resources without requiring human interaction, mostly done through a web –based self-service portal (management console)
B. Board network access; cloud computing resources are accessible over the network, supporting heterogeneous client platforms such as mobile devices and workstations.
C. Resource pooling; service multiple customers from the same physical resources, by securely separating the resources on logical level.
D. Rapid elasticity; resources are positioned and released on demand and/or automated based on triggers or parameters. This will make sure your application will have exactly the capacity it needs at any point in time.
E. Measured service; resource usage are monitored, measured and reported (billed) transparently based on utilization. Therefore cloud computing is much more than just visualization. IT’s really about utilizing technology as a service. Users need little to no knowledge in the details of how a particular service is implemented, on which hardware, on how many CPU’s and so on. All that is important for a user is to have a good understanding of what the service offers and what it does not and how to operate the self-service portal.
When it comes to outsourcing everyone has a tale of woe. Some software vendor that outsources a new development project could not meet dead line because they were amateur so they switch from one platform to another. But the big question is who reach the platform, did the customer work daily? (NO). Did it have automated status reputing (it did not) Outsourcing is a key part of ever modern IT group. The problem is, we still don’t seem to do it well. Hence many business technology professional fire vendors within a short period of time. Companies using IT outsourcing speak of the importance of managing outsourcing better. One of the growth of cloud computing and software as a service initiatives. IT outsourcing is moving up the stack as vendors take over increasingly strategic functions. Nearly six to ten IT shops outsource some critical function. Management, engineering or development, almost one fourth keep executive and management functions in-house but look to outsource everything else as companies relies more on outsiders, a lack of oversight , management and even monitoring can have catastrophic consequences. Cloud computing blurs the lines between what had been conventional outsourcing and internal operations and it will test IT’s management and control policies. Therefore the research seeks to investigate cloud computing as a better means of IT outsourcing.
STATEMENT OF THE PROBLEM
The problem confronting this research is to investigate cloud computing as a better means of IT OUTSOURCING
RESEARCH QUESTIONS
1.     What is cloud computing
2.     What is IT OUTSOURCING
3.     What is the role of cloud computing as a better means of IT OUTSOURCING
OBJECTIVES OF THE STUDY
1.     To determine the nature and characteristics of cloud computing
2.     To determine the nature of IT outsourcing
3.     To highlight the role of cloud computing as a better means of IT outsourcing  
SIGNIFICANCE OF THE STUDY
1.     The study shall be of immense importance to IT companies and IT professionals
2.     The study shall provide a structural framework on the application of cloud computing as a better means of IT outsourcing
3.     It shall serve as a reference point that of information on cloud computing as a better means of IT outsourcing  
STATEMENT OF HYPOTHESIS
Hypothesis 1
Ho, the growth of cloud computing is low
H1, the growth of cloud computing is high  
Hypothesis 2
H0, the level of IT outsourcing is low
H1, the level of IT outsourcing is high  
Hypothesis 3
H0, the impact of cloud computing on IT outsourcing is low
H1, the impact of cloud computing on IT outsourcing is high
SCOPE OF THE STUDY
The study focuses on cloud computing as a better means of IT outsourcing  
DEFINITION OF TERMS
CLOUD COMPUTING: Cloud computing is a model for enabling ubiquitous, convenient, on-demand and network access to a shared pool of configurable computing resources (e.g. networks, servers, storage, applications and services) that can be rapidly positioned and released with minimal management effort or service provider interaction . Edwin .s (2014)