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SAP On Cloud

Overview  SAP on the cloud

Applies to:

Applies to SAP Consultants and Pre Sales professionals


Author(s):    Kedar B Kulkarni

Company:    Accenture

Created on:  11 Th Jan 2011

Author Bio

I have been working in SAP for over 5 years with my areas of consulting being in Materials Management, Supplier Relationship Management and Warehouse Management. I have also worked in the domain for over 10 years in the areas of Purchase, vendor development. My SAP experience, have worked on implementation, roll outs and support projects. I am currently working in Accenture where I am instrumental in designing solutions for the client’s requirements.


Table of Contents

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What is Cloud Computing. 3

Charactristics of Cloud computing. 3

Deployment Strategies. 5

  1. Summary. 7

Copyright 8


What is Cloud Computing?

Cloud computing is a pay-per-use model for enabling available, convenient, on-demand network

Access to a shared pool of configurable computing resources (e.g., networks, servers, storage,

Applications and services) that can be rapidly provisioned and released with minimal management

Effort or service provider interaction. This cloud model promotes availability, and comprises five key


Key Characteristics:

On-demand self-service: A consumer can unilaterally provision computing capabilities such as server time

And network storage as needed, without requiring human interaction with each service provider.

Ubiquitous network access: Capabilities are available over the network and accessed through standard

Mechanisms that promote use of heterogeneous thin or thick client platforms (e.g., mobile phones, laptops, and PDAs).

Location independent resource pooling: The provider’s computing resources are pooled to serve all

consumers using a multi-tenant model, with different physical and virtual resources dynamically assigned and re-assigned according to consumer demand. The customer generally has no control or knowledge over the exact location of the provided resources. Examples of resources include storage, processing, memory, network bandwidth, and virtual machines.

Rapid elasticity: Capabilities can be rapidly and elastically provisioned to quickly scale up and released to

Scale down. To the consumer, the capabilities available for rent often appear to be infinite, and can be

Purchased in any quantity, at any time.

Pay-per-use: Capabilities are charged using a metered, fee-for-service, or advertising based billing model to promote optimization of resource use. Examples are measuring the storage, bandwidth, and computing

Resources consumed, and charging for the number of active user accounts per month. Clouds within an organization accrue cost between business units and may or may not use actual currency.

Delivery Models:

• Software as a Service (SaaS): The capability provided to the consumer is to use the provider’s applications

running on a cloud infrastructure that is accessible from various client devices through a thin client interface

such as a web browser (e.g., web-based e-mail). The consumer does not manage or control the underlying cloud infrastructure, network, servers, operating systems, storage, or even individual application capabilities, with the possible exception of limited user-specific application configuration settings.

• Platform as a Service (PaaS): The capability provided to the consumer is to deploy onto the cloud

infrastructure consumer-created applications using programming languages and tools supported by the provider (e.g., Java, Python, .NET). The consumer does not manage or control the underlying cloud infrastructure,

network, servers, operating systems, or storage, but has control over the deployed applications and possibly

application hosting environment configurations.

• Infrastructure as a Service (IaaS): The capability provided to the consumer is to rent processing, storage,

networks, and other fundamental computing resources where the consumer is able to deploy and run arbitrary software, which can include operating systems and applications. The consumer does not manage or control the underlying cloud infrastructure, but has control over operating systems, storage, deployed applications, and

possibly select networking components (e.g., firewalls and load balancers). Organizations accrue cost between business units and may or may not use actual currency.

Deployment Models:

Private cloud: The cloud infrastructure is owned or leased by a single organization and is operated solely for

that organization. • Community cloud: The cloud infrastructure is shared by several organizations and supports a specific

Community that has shared concerns (e.g., mission, security requirements, policy, and compliance


Public cloud: The cloud infrastructure is owned by an organization selling cloud services to the general public

or to a large industry group.

Hybrid cloud: The cloud infrastructure is a composition of two or more clouds (internal, community, or public)

that remain unique entities, but are bound together by standardized or proprietary technology that enabling data

and application portability (e.g., cloud bursting). Each deployment model instance has one of two types: internal or external. Internal clouds reside within an organizations’ network security perimeter, and external clouds reside outside the same perimeter.

The Cloud Outlook: Today and Tomorrow

While many flavors of cloud computing are now available to SAP customers, the future presents an even wider variety of ripening opportunities that will soon be ready (see Figure 1). There are several steps customers can take today to prepare for a future on the cloud

At the infrastructure level, use virtualization technologies provided by SAP and certified SAP partners.

Take advantage of SAP lifecycle management tools, including the SAP NetWeaver Adaptive Computing Controller tool and SAP Solution Manager

Ensure that organizational changes are flexible enough to accommodate later cloud usage. The CIO, for example, may move into the role of more of a service broker than a service provider and, as such, should begin developing metrics, skill sets, and a budget mix based on that transition rather than the traditional service provider model.

Reassess necessary administration skills currently available in your organization; managing virtualized and cloud environments is fundamentally different from managing more traditional landscapes and will require different skill sets.

Understand the concepts behind security in the cloud and the risks and benefits it provides

Standardize all non-differentiating processes across your organization and make sure they are uniformly supported by SAP applications

By taking these steps, you will be better prepared when your organization commits to a cloud computing scenario. With that commitment in place, you can start building your cloud computing landscape by doing the following:

Implement a cloud computing and virtualization task force in your company

Because accounting and costing in cloud environments is different from more traditional landscapes, prepare cost monitoring and cost allocation tools and processes

Prepare your company’s mid-term and long-term strategies for security implications related to external cloud offerings.

Keep abreast of SAP and partner offerings in the virtualized and cloud computing space.

Educate yourself on local legal requirements, especially those regarding location of stored data

Optimize organizational alignment (for both IT and the business) to benefit from proactive peak management. IT can only predict changes in capacity needs by looking at trends and patterns, but the business can more accurately predict changes in IT capacity needs

by measuring the current capacity against the future needs of the business

Define your business case. This is, by far, the most important step. You must decide why you want to move to the cloud. Do not get hung up on technical details or carried away by lofty promises. Know what you want to achieve and then draft a reasonable and measured plan to get there

Who would get most from SAP CLOUD

It would be favorable for small and medium size companies who do not do frequent transactions to implement SAP Business By Design instead of buying the tax calculation software and maintaining it. Companies can pay for the Service based on their usage
Related Content

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