· 1 Security
· 2 Cost
· 3 Knowledge
· 4 Integration
· 5 Decreased flexibility
· 6 Dependency (loss of control)
Cloud computing has its risks and disadvantages, however. Its
dislocated nature, which is an advantage in many cases, can also be
disadvantageous because the user loses control over the software application
and becomes dependent on the provider to maintain, update and manage it. If
something goes wrong, the user does not have direct access to the software and
must depend on the provider to fix the problem. If the provider is unresponsive
or unable to fix the problem quickly, the user can experience significant
issues. For example, problems would occur if your company uses a cloud-based
payroll software system and that system goes down the night before payroll is
due. These problems would quickly become much worse if the provider is
unwilling or unable to fix the problem and reliable backup services are not
available. Similarly, if your company becomes dependent on a cloud-based
software application and the provider is unable or unwilling to continue to
provide that application, you will quickly encounter trouble. This trouble
would quickly become more serious if the provider was not required to give
notice of the cessation of the application in time to allow your business to
locate an alternative. In today’s turbulent economic climate, cloud providers
may encounter financial problems or bankruptcy, either which could seriously
impair or eliminate the provider’s ability to continue to provide the cloud
services to your company. Remember that
these financial problems can happen quickly, and you will often have limited
recourse in these situations.
Cloud computing can also bring substantial risks in the
privacy and confidentiality areas. By using a cloud system, your company’s
sensitive data and information will be stored on third-party servers, and you
will probably have very limited knowledge or control regarding this
information. If the provider has inadequate security or encryption systems or
procedures, or if a breach of these systems or procedures occurs for any
reason, your company’s private and confidential data may become compromised.
This could have devastating effects, and could cause legal problems for your
company if third party confidential information (for example, customer
information) is compromised.
http://boardroombrief.com/2010/08/cloud-computing-advantages-and-disadvantages/
umesh ghale (214606)