Question

The XYZ Corporation is a global manufacturer (XYZ makes “widgets”) which employs 25,000 employees in the USA and another 25,000 employees in Europe, Asia and Africa.   In light of recent market successes by their competitors, the CEO of XYZ is considering moving the corporation’s entire voice and data information infrastructure into a Virtual Private Network (VPN, see pages 269 and 271 in the Laudon textbook) subscription service that is owned and maintained by a public Internet provider. In other words, XYZ is moving all of its corporate databases, software applications and voice communication to a 3^rd party Cloud platform, including most of its IT activities as well .  

Discuss some of the key issues and risks to consider in order to determine whether the CEO’s planned move to the Cloud will provide XYZ with a significant competitive advantage over its competitors.

Answer 1

here I am going to describe about the key issues and risk to consider in order to determine whether this show cause plant move to the cloud will provide xyz with a significant competitive advantage over its competitors as the xyz organisation is planning to move to the third party cloud platform including most of its activities as well.

First time going to describe what cloud platform is, the cloud platform is the computation online that includes the management in the form of system resource, data storage, computing power and computer devices.

Just like any coin has two sides the cloud platform has two aspects of it such as negative and positive. it is definitely true to say that it will provide the competitive advantage over its competitors to the CEO of the XYZ company but on the same level it would have some issues and risk to be considered in order to determine if the so planned move to cloud is correct option.

Some of the advantages would be :-

1) COST EFFICIENCY :- with the help of cloud platform the cost efficiency increases of the company as there is is no for the expense of the management as everything is maintain and balance on the internet are the computerized system.

2) HIGH SPEED :- with the help of internet cloud platform is maintained and balance and it tends to have a high speed which encourages the business to get more success in the future.

3) GREAT ACCESSIBILITY :- it is definitely true to say that with the help of cloud platform everyone can access the the companies that are easily when needed and this has a great accessibility to it.

Some of the disadvantages would be :-

1) VULNERABILITY TO ATTACKS :- it is definitely true to say that with the help of cloud platform anyone can easily get into the crack into the system and can hack the data or there can be a problem of theft with the data.

2) POOR NETWORK CONNECTIVITY :- as the cloud platform is maintained only with the help of internet connectivity when in the case of poor internet connectivity there can be obstacles and hindrances maintaining and balancing the cloud platform.

3) LIMITED CONTROL :- limited people have knowledge to maintain the records online so it would be hard for the many customers to get the details of the data online so there would be less control.