Cloud Computing

Sangeeta Shah Bharadwaj

What is Cloud Computing?
Cloud is simply a metaphor for the
internet.
Users simply rent or access the hardware,
software etc
Computing has become utility, paying only
for what you use
Early Leaders in the Industry
Microsoft Azure
Launched in July 2002, Amazon Web Services
provided online services for other web sites or
client-side applications.
IBMs system introduced in the mid 2000s
called Blue Cloud.
Functionality
Software / applications are costly and require
upfront investment. With cloud, you rent so
the heavy investment is forgone
Cloud computing enables companies of all
sizes to build, deploy, monitor and scale
applications using resources accessed over the
internet
What Technologies is Cloud Computing
Replacing?
Cloud computing is replacing large Corporate
Data Centers, Enterprise systems like ERPs,
CRMs (normally for SMEs), disaster recovery
centers, BOB applications on cloud
Everything on cloud: SaaS, PaaS, DaaS, IaaS
What do these services offer an
organization?
Usability
Scalability
Standardization
Triability


Potential Issues
Data residency time delay between data
being requested and delivered
Security and confidentiality- of data being
stored outside the company
Business buy-in- convincing companies of the
infrastructure and reliability
Cloud Computing Pros
Reduced hardware
Improved performance
Lower maintenance
Instant software updates
Accessibility
Less Expensive
Better Collaboration
Pay for what you use
Flexible
Cloud Computing Cons
Security Issues (#1 concern)
Internet Connection
Too many platforms
Location of server
Time for transition
Speed
Cannot be used for critical business function

Delivering HR through SaaS
What is SaaS?
Application delivery model where a software
vendor develops a Web software application
and hosts and operates the application for use
by its customers

Delivers software to customers through a
internet
What is SaaS?
Users do not need to pay for ownership or
licensing but just pay for the services through
subscription

Provides a low-cost means for businesses to get the
same benefits of commercially licensed, internally-
operated software without the associated complexity
and high initial cost


Evolution of SaaS
Customized
application

Software
product
SaaS
Software-as-a-Service (SaaS)
Started to flow in the IT industry during 2000-2001

Has become more practical to use because new
functionalities can be added easily

The licensing fees and infrastructure fees is to be paid by
vendor and not by customer

Customer only pays for the use of software
Latest Trends in HR Transformations
Intensified Focus on Results
Organizations have limited tolerance for
continuing to spend money related to HR
transformation without tangible results for
efficiency and effectiveness of the HR
organization.

As per Deloitte survey, 84% of clients are either
transforming or planning to transform HR

85% cited cost savings as the key driver and 75%
cited more effective service also as factor

Latest Trends in HR Transformations
Accelerate the value of HR Transformation

Speed is the key to realize value through HR
transformation these days

SaaS can be such a compelling option for
companies struggling to realize how to show their
organizations the value of transformation now
not just a year or two in future.
Highlights of SaaS Enabled HR Transformation
Value Delivered
Immediately usable
Less dependence on IT
Configure, not customize
Improved Service Levels

Deployment Mode
Accelerate deployment timeline
Ease of Integration
Rapid delivery of new functionality
Updates, not upgrades


Highlights of SaaS Enabled HR Transformation
Economic Return
Reduced implementation costs
Lower ongoing cost
Cash flow much less (subscribe vs. buy)
Faster realization of transformation benefits

Talent
Faster deployment of improved, flexible and
more intuitive tools to the end users
Faster timeframe to deploy talent functionality
Frequent talent feature/functionality updates

Case: Excel Services
What would be your decision?



Benefits of SaaS in HR Management
Highly affordable; SaaS applications are
comparatively cheap when compared to heavy ERP
systems like SAP, Oracle etc.
Leverage cost savings from SaaS to invest in other
components critical to successful HR
implementation
Global HR practices
Available Anytime Anywhere
No software Installation Needed
No IT infrastructure to be setup
Immediate Installation


Benefits of SaaS in HR Management
Constant updates
Configuration possible
Allows small firms opportunity to adopt best
practices in HR and compete the larger firms
Flexibility in changing the vendor
Flexibility of having different vendors for
different modules
Flexibility of adding more users license as and
when the employee increased


Concerns of SaaS in HR Management
No direct control of the data
Internet connection required
Security awareness
Industry specific applications; less suitable for
customizations


Major Concerns for SaaS
Service Level Agreements (SLA)
Security, reliability, availability of data
Channel partners
Provide value-added services
Provide best overall solution
Solution Selection?
Configurability
Ability to work as HR organization really works
Does this solution forces my organization into any painful
changes in order to use it?

Adaptability
Ability to grow with HR and as the business change
How can, and will, the solution and provider change and
adapt to my changing business realities?

Integra ability
Ability to integrate with existing on-premise systems and
other SaaS systems

Provider Selection
Support
Availability of cost-effective, responsive user support is of
utmost importance

Implementation
Cost of Implementation and the availability of highly skilled
implementation resources
Prior experience and examples of implementations by the
provider

HR Experience & Knowledge
SaaS provider must understand HR, not just build and sell HR
solutions

SaaS in the Future
Enterprise HR will rely more on SaaS
hosting services and functionality
little maintenance
low cost
SaaS are growing much faster than
their traditional software model
counterparts
Target: SMB market