What is private cloud and how does it work?

Successful IT project managers plan and implement projects that meet the current and future goals of an organization. For that reason, I thought it would be helpful to provide a Q&A about setting up a private cloud. This information provides information for IT managers when they are tasked with developing a cloud-based network or when comparing the public and private cloud hosting options.

How does a private cloud work?

A private cloud infrastructure provides centralized network resources at a remote location. Users are able to securely connect to the network resources from anywhere via the Internet. Applications and data are processed remotely by the network resources and delivered locally to user workstations. This reduces local processing requirements, enabling less expensive local hardware and longer hardware refresh cycles. The remote network resources are backed up and/or replicated to protect critical data; all modifications to network resources are managed at the remote site.

How does an IT manager know if a private cloud is the best approach for the enterprise?

IT managers need to work closely with key management personnel and consider the following factors:

  • Are the applications being used by the organization compatible with a cloud-based infrastructure?
  • Do regulations governing business operations allow for cloud-based systems? Are there adherence requirements for the local data concept?
  • Does the cost of design, build and ownership yield a reasonable return on investment (ROI)?
  • Are there efficiencies to be gained through the use of a private cloud?
  • Can the existing infrastructure be leveraged for the private cloud?

Private clouds enable centralized resources to simplify network management and protect critical data. They also allow for remote access from any location as long as there is an Internet connection. Depending on the size and scope of the organization, these improvements can yield significant ROI. However, for smaller organizations with relatively simple network infrastructures and primarily local users, the costs of implementing a private cloud can be prohibitive. For these organizations, a public cloud may be more suitable.

What is involved in setting it up?

Similar to any IT project, foresight and experienced project management is a must. Prior to beginning the project, the IT manager should work with senior management personnel to establish timelines, milestones, sub-goals, test phases, implementation, and documentation. From experience, we know how critical effective communication is to the success of any major IT project.

In designing the cloud infrastructure, IT managers must:

  • verify application compatibility
  • determine security protocols/encryption
  • design physical and logical infrastructure
  • establish representative test groups to confirm viability for operations
  • test failover/redundancy/backup configurations
  • verify connectivity
  • ensure local hardware compatibility
  • train users
  • create documentation

What are some common misconceptions?

Common misconceptions relating to cloud infrastructures include:

Private clouds reduce network speed/responsiveness –

  • Often cloud-based infrastructures employ greater processing power than most on-site networks. The primary factor in the speed of a cloud-based network is the Internet bandwidth between the user and the cloud network host site. Provisioning cloud-based networks with sufficient bandwidth is critical to maintaining efficient performance levels.
  • They are less secure than local networks 
  • Many organizations are concerned about transmitting proprietary data over the Internet to a cloud-based network. The truth is that private clouds can be provisioned with the same security protocols as local networks, and virtually all of them utilize some form of encryption for communications between local users and the cloud.

Any application can be hosted in a private cloud –

Many applications are not compatible with a cloud-based network, or require an updated version to function in cloud environments. IT managers should verify all network applications for compatibility before designing a private cloud.

They are less customizable or scalable than local networks –

Cloud infrastructures can be customized in many of the same configurations as local networks. Whether the organization utilizes clustering, remote backups, customized applications, or other elements, cloud-based networks can support many configurations, and can be scaled to meet the requirements of the organization.

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