Research Article Survey for Sensor-Cloud System from Business Process Outsourcing Perspective

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1 Inernaional Disribued Sensor Neworks Volume 2015, Aricle ID , 5 pages hp://dx.doi.org/ /2015/ Research Aricle Survey for Sensor-Cloud Sysem from Business Process Ousourcing Perspecive JeongYeon Kim Sangmyung Universiy, 20, Hongjimun 2-gil, Jongno-gu, Seoul , Republic of Korea Correspondence should be addressed o JeongYeon Kim; jykim@smu.ac.kr Received 22 November 2014; Acceped 7 December 2014 Academic Edior: Damien Sauveron Copyrigh 2015 JeongYeon Kim. This is an open access aricle disribued under he Creaive Commons Aribuion License, which permis unresriced use, disribuion, and reproducion in any medium, provided he original work is properly cied. Cloud compuing is a new IT rend o mee he new business requiremens such as business agiliy and operaional efficiency wih business process ousourcing (BPO). Sensor-Cloud infrasrucure is he exended form of cloud compuing o manage he sensors which are scaered hroughou he nework. Several benefis of adoping cloud compuing including cos saving, high scalabiliy, and business risk reducions also can be applied o sensor daa collecion. As a firsinvesmen for new echnology, we analyze IT managers feedbacks o idenify he mos imporan facors of decision making for cloud plaform adopion and IT ousourcing. Even hough he echnological moivaion is persuasive in Korean IT marke, survey resuls show ha he cos efficiency is he mos imporan for cloud plaform adopion. Also surveys reveal ha IT service consumers have difficulies undersanding complicaed service conracs and daa sharing issues wih infrasrucure providers, which serve as main blockers of adoping cloud compuing. 1. Inroducion Nowadays, he requiremens of compuing power become more pervasive wihin an organizaion and he complexiy of informaion infrasrucure has made i more expensive [1]. Cloud compuing is a new approach for IT services uilizing highly scalable compuing resources o deliver he IT funcionaliies wih cos reducion [2]. By sharing cenralized and scalable IT resources, cloud compuing suggess wo major benefis for business purpose, efficiency, and business agiliy [3]. The Naional Insiue of Sandards and Technology (NIST) defines cloud compuing as a model for enabling convenien, on-demand nework access o a shared pool of configurable compuing resources (e.g., neworks, servers, sorage, applicaions, and services) ha can be rapidly provisioned and released wih minimal managemen effor or service provider ineracion. [4, 5]. Wihin he cloud compuing environmen, IT services should be deployed and scaled rapidly o respond o user requiremens. The concep of virualizaion makes i possible o isolae compuing resources ino logically separaed heerogeneous resources. Virualizaion is a framework or mehodology of dividing he resources of a compuer ino muliple execuion environmens. Sensor-Cloud infrasrucure is he exended form of cloud compuing which manages he sensors scaered hroughou he nework. Cloud compuing provides a vas sorage capaciy and processing capabiliies, which makes i easier o collec huge amoun of sensor daa. Huge daa sreams coming from diverse sensor devices will challenge he daa managemen for capure, sorage, search, analysis, and virualizaion [6, 7]. Besides, cloud compuing can be recognized as an ousourced service from business perspecive. For a long ime, implemenaion, operaion, and mainenance of he IT sysems were he business owner s responsibiliies. However, he requiremens of changed business environmen [8] such as business agiliy, operaional efficiency, cos reducion, and improved compeiiveness make business owners consider business process ousourcing (BPO) [9], delegaing noncore business funcionaliy o specialized exernal eniies. Ousourcing of IT funcions as a BPO could be easier and more reliable wih he advance of cloud compuing echnology. Besides, securiy and privacy become major concerns because ousourced resources wih cloud environmens are managed by exernal paries. For example, daa sored in cloud sorage can be considered as daa ousourcing, where daa is managed by cloud service providers.

2 2 Inernaional Disribued Sensor Neworks According o recen survey resuls, IT managers in Korea consider using cloud compuing as a nex plaform of IT service, bu acual raio of cloud compuing uilizaion is sill behind oher developed counries. In spie of he explici benefis of cloud compuing, i is no an easy decision for hem o adop new echnologies and o ransform IT services o ousourcing, because here are various consideraions on he change from he business perspecive. In he following, we give a shor descripion of advanages andchallengesinuilizingcloudcompuing.then,wediscuss he considerable decision making facors based on he survey resuls on i in Korean business environmen. 2. Cloud Compuing from Business Perspecive Providing cloud compuing environmen requires large amoun of invesmens o implemen i as a service. The role of IT service provider is divided ino wo: he infrasrucure providers and service providers. The larger companies srive o provide more powerful, reliable cloud plaform as a worldwide service, while oher paricipans remodel heir services adoping new plaforms o gain benefis from i. The service providers uilize he cloud plaform and reform heir services such as SaaS (sofware as a service). As a consumer of he services, IT managers should consider curren cloud plaform or oher possible soluions such as SaaS compared o radiional mehods o implemen required compuaional funcionaliies of his corporaion. Business enerprises may ge he following benefis adoping provided cloud plaform, while infrasrucure providers pu effors for several compelling feaures ha make i aracive o business owners [10, 11]. I includes cos saving, agiliy, efficiency, and resource consolidaion, while cusomer may exend he benefis ino seeking more business opporuniies. (i) Using cloud infrasrucure is appropriae for Cos- Saving. Cloud plaform needs limied up-fron invesmen and operaing cos. Rapid allocaion and deallocaion of resources on demand and pay-as-you-go model of he service allow cusomers o expec lower cos for implemen and operaions. (ii) Using cloud infrasrucure is appropriae for Business Agiliy. Rapid resource allocaion on demand provides quick responses of IT requiremen for new business. Cusomers can access provider s service hrough various devices wih Inerne wihin shor period. (iii) Using cloud infrasrucure is appropriae for highly scalable IT requiremens. Service provider can expand is service o large scales o rapidly provide addiional suppor capabiliy. (iv) Using cloud infrasrucure is appropriae for reducing business risks and mainenance expenses. Ousourcing shifs business risks o infrasrucure providers and cus down mainenance coss. Sensor-Cloud sysem is a nework of virualized physical sensors accumulaing is daa and ransmiing all sensor daa ino a cloud compuing infrasrucure. By uilizing cloud compuing infrasrucures, huge sensor daa can be sored easily and Sensor-Cloud service providers enable cusomers o share informaion on big scale and o collaborae wih he applicaions on cloud in addiion o he above benefis [7]. Even hough he cloud compuing provides several benefis o IT consumers, IT service providing consignmen in cloud compuing environmen brings several concerns. In addiion o he echnical issues of cloud compuing relaed o mulienancy or shared resource pool managemen, we have business relaed and organizaional issues for running business in cloud compuing [12]. Shifing business owners responsibiliies of he backend IT sysems o infrasrucure providers requires complicaed conacs based on service level agreemen (SLA). The cos allocaion for usage and corresponding reacions for he case of service failure should be minuely described in he conrac. I requires expers in service monioring and legal review, which is a pain poin for small-sized companies. Anoher concern on cloud compuing is how o share compuing resource for sensiive daa. Considering he fac ha sensiive informaion is rouinely leaked from subconracors of ousourced asks wih poor daa managemen pracices, he following concerns of daa privacy and securiy also should be resolved before he decision for uilizing cloud compuing [13 15]. (i) For daa proecion and securiy, infrasrucure provider canno suppor mandaing specific daa proecion policies o service providers. (ii) For daa privacy, infrasrucure provider canno specify he policies on how he sensiive daa is shared among cloud service providers. Those require addiional invesmen for daa managemen conradicory o cloud compuing s cos-saving facors in iniial sage for up-fron invesmen. Besides, he issues of SLA or daa managemen relaed o cloud compuing are complicaed and he cusomers need expers undersanding deails o find proper soluions. 3. Survey for Cloud Compuing in Korea According o previous surveys [16]inKoreanITmarke,busi- ness owners moivaions o uilize ousourced informaion sysems can be classified ino economic reasons, sraegic reasons, and echnological reasons. Technical aspiraion was hemosimpulsiveandreinforcedmoivaionforbpoin Korea.Cloudcompuingwasanineresingopicduringhe las few years in Korea. In he same conex, cloud compuing was expeced o be popular in Korean IT marke, bu he expecaion is no realized ye. We idenify is main causes as follows: (i) misundersanding complicaed service conracs beween service consumer and provider, (ii) daa sharing issue beween infrasrucure providers and mulicusomers, (iii) lack of expers in service monioring and legal issues for using cloud compuing.

3 Inernaional Disribued Sensor Neworks 3 Size (employees) Curren using Table 1: Usage plan of cloud compuing. To use wihin 1-2 years To use as long erm plan To consider wih cos comparison No plan % 1.30% 2.90% 5.80% 84.10% % 0.70% 3.20% 7.10% 79.50% % 1.40% 5.70% 9.30% 73.90% % 1.90% 9.30% 9.70% 69.30% Toal 7.80% 1.10% 3.30% 6.60% 81.20% Table 2: Reasons of no planning for cloud compuing. Size Reason A Reason B Reason C Reason D Reason E Reason F Reason G Reason H Ohers % 24.4% 20.0% 20.0% 13.1% 9.3% 8.9% 5.5% 0.5% % 24.8% 22.5% 19.1% 14.9% 9.3% 7.9% 5.6% 1.1% % 23.4% 22.9% 11.8% 20.7% 10.4% 10.5% 7.9% 1.6% % 14.7% 32.8% 6.1% 27.4% 12.5% 12.7% 10.5% 1.4% Toal 75.6% 24.4% 21.4% 18.9% 14.5% 9.4% 8.6% 5.8% 0.8% The survey resuls of KISA (Korea Inerne and Securiy Agency) conduced in 2013 [17] are a good reference o he curren saus of cloud compuing usage in Korea. KISA generaed a company lis having more han 5 employees and 1 nework conneced compuer. The company lis is also classified wih is employee number and we have following company couns based on i: (i) 5 9 employees: 1,590 (30.3%), (ii) employees: 1,766 (33.7%), (iii) employees: 1,060 (20.2%), (iv) 250+ employees: 827 (15.8%). The survey resuls from he companies shows only he 7.8% of hem are already using cloud compuing environmen. The company having acual uilizaion plan akes only around 19%, while 81% of he replies say ha hey do no have any ransiion plan o cloud compuing environmen. Table 1 has more deails on he survey resuls from he sample. According o company size, he responses were slighly differen especially for cos issue. The resuls show ha he mos imporan moivaion for adoping cloud compuing is being cos saving. Final IT cusomer in Korea is considering cloud compuing only if he cos-saving effec is clear and large companies are more affeced by he cos-saving facor. 5.8% of 5 9 employee sized companies are affeced by cos comparison, while 9.70% of 250+ companies are affeced by i. For furher survey on reasons for no having a plan for cloud compuing plaform adopion, KISA repored ha he following iems were idenified from paricipans: (i) Reason A: no urgen requiremens, (ii) Reason B: no useful services, (iii) Reason C: higher cos han expeced, (iv) Reason D: no informaion on cloud compuing, (v) Reason E: daa securiy issues for exernal sorage, (vi) Reason F: no confidence for service provider, (vii) Reason G: no informaion on service ouage managemen, (viii) Reason H: no informaion on compaibiliy or sandardizaion of diverse cloud infrasrucures and curren sysem. Table 2 has he resul of survey on why some companies donohaveanyransiplanforcloudcompuing.resuls show ha he expeced cos is he main facor regardless of he company size. However, service ouage managemen or sysem compaibiliy is addiional blocking facor for larger companies, while small companies having 5 9 employees poin ou he lack of informaion on cloud compuing or urgen requiremens as he blocking facors of cloud plaform adopion. The cos saving facor is he mos imporan facor for decision making on cloud plaform adopion excep for he demands or useful applicaions. Overall invesmen for IT service can be simplified as he following equaion, which indicaes he presen ne value of IT services. We assume ha he new sysem requires one ime iniial invesmen and coninuous operaion cos every financial period. For cloud compuing adopion scenario, we save he iniial invesmen by using cloud compuing, which is expressed wih negaive sign in (1). Also he equaion represens he presen value of difference of rouine operaion coss beween radiional IT invesmen and cloud compuing based on ineres rae r. Consider NPV new = Inves new N =0 + =0 (Cos curren Cos new ) (1+r), (1) where NPV is ne presen value of IT service a ime,inves is invesmen a ime, Cos isoperaioncosaime, and r is rae of ineres. The benefis for new IT infrasrucure should be greaer han invesmen o be considered for decision making. If we

4 4 Inernaional Disribued Sensor Neworks compare curren sysem and cloud compuing, we can see he following inequaliy as a benefi of new sysem: Inves Cloud =0 > N =0 (Cos curren Cos Cloud ) (1+r). (2) SurveyresulsshowhamoscompaniesinKoreacanno assure he above inequaliy ye. Logically, iniial invesmen for ransi o cloud compuing plaform would be minimal amoun compared o radiional IT environmen hough. Equaion (1) shows how we can expec long-erm benefis of cloud plaform adopion in operaional cos compared o iniial invesmen. Iniial invesmen for ransi o cloud compuing plaform may include several faces of IT operaion model. One of he bigges blocking facors for cloud plaform adopion is he compaibiliy of curren IT funcionaliy wih new cloud environmen. Many companies suffer similar issues caused by keeping oo old sofware for operaions. Anoher issue IT managers should consider for cloud infrasrucure is sharing sensiive daa wih service providers. Someimes, i requires addiional invesmen according o adoped soluions for beer securiy. The following are examples of currenly plausible scenarios for addiional implemenaions. (i) Addiional inquiry servers provide addiional servers for remoe querying of encryped daabase on unrused servers [18]. (ii) Hierarchical key managemen separaes public key informaion maching o domain space and privae informaion associaed wih cerain class [19, 20]. (iii) Two layers of encrypion imposed on daa separae innerlayerforiniialproecionandouerlayerfor policy modificaions [21]. (iv) Group key managemen iniializes mulicas group wih common ne key and rekeying he mulicas group [22]. (v) Group/mulicas key managemen riple (U, K, and R) key elemen where U indicaes a se of users, K denoes se of keys held by he users, and R is he userkey relaion [23]. The addiional invesmen for daa proecion and privacy depends on he overall daa managemen schemes. The modeling of required addiional invesmen for each example scheme may be anoher research opic for cloud compuing. 4. Discussion Cloud compuing service is widely used and is changing paradigm of IT service. The rend of new echnology wih cloud compuing such as Sensor-Cloud compuing or big daa also uilizes a vas sorage capaciy and processing capabiliies of cloud compuing. However, he impac of cloud compuing in Korea is no comparable o oher developed counries ye. We summarize he benefis and challenges for running businessincloudcompuing.alsoweanalyzehesurvey resuls on cloud plaform adopion in Korean business environmen. Survey resuls from KISA (Korea Inerne and Securiy Agency) show ha here are many concerns. For adopion of cloud compuing, he cos efficiency is he main decision making facor and differen concerns are engaged according o company size in Korea. Small companies focus on urgen demands such as useful applicaions, while big companies focus on inciden managemen or service ouage manuals. I helps o undersand he curren saus of adoping new IT paradigm and blocking issues of cloud plaform adopion in Korea. According o he survey resuls, IT managers in Korean companies undersand ha adopion of cloud compuing has many benefis and enables a foundaion of new echnology such as sensor clouding sysem or big daa. However, hey need a concree model o measure business benefis obained by cloud compuing adopion, by which decision makers in KoreanITmarkecouldbesupporedbecausehecoseffeciveness of cloud compuing adopion is he main decision making facor. Conflic of Ineress The auhor declares ha here is no conflic of ineress regarding he publicaion of his paper. Acknowledgmen This research was suppored by a 2014 research gran from Sangmyung Universiy. References [1] P. Roehrig, New Marke Pressures Will Drive Nex-Generaion IT Services Ousourcing,ForreserResearch,2009. [2] J. Saen, Hollow ou he MOOSE: Reducing Cos wih Sraegic Righsourcing,ForreserResearch,2009. [3] W. Kim, Cloud compuing: oday and omorrow, Objec Technology,vol.8,no.1,pp.65 72,2009. [4] P. Mell and T. Grance, The NIST Definiion of Cloud Compuing, [5] NIST, NIST Definiion of Cloud Compuing v15, Naional Insiue of Sandards and Technology, Gaihersburg, Md, USA, [6] A. Alamri, W. S. Ansari, M. M. Hassan, M. S. Hossain, A. Alelaiwi, and M. A. Hossain, A survey on sensor-cloud: archiecure, applicaions, and approaches, Inernaional Disribued Sensor Neworks, vol.2013,aricleid917923,18 pages, [7] K.-L. Tan, Wha s NExT?: Sensor + Cloud!? in Proceedings of he 7h Inernaional Workshop on Daa Managemen for Sensor Neworks,p.1,ACM,2010. [8] Y. S. Gurjar and V. S. Rahore, Cloud business inelligence is wha business need oday, Inernaional Recen Technology and Engineering,vol.1,no.6,pp.81 86,2013. [9]J.K.HalveyandB.M.Melby,Business Process Ousourcing: Process, Sraegies, and Conracs,JohnWiley&Sons,2007. [10] M. Armbrus, A. Fox, R. Griffih e al., A view of cloud compuing, Communicaions of he ACM,vol.53, no.4,pp , 2010.

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