Abstract
The cloud computing market divides into public (commercial) and private (self-provisioned) clouds. The concept of cloud bursting combines public and private clouds: The private cloud (internal resources) provides the computational capacity, but a part of the demand is offloaded onto public clouds. This article proposes an easy-to-apply economic decision support model for determining on the one hand the optimal size of the internal capacity for cloud bursting technology, and on the other hand the cost savings. The model uses an expected value approach that considers stochastic workload and is flexible with respect to the distribution choice. Two empirical examples demonstrate the applicability of the model.
Similar content being viewed by others
References
Amazon (2012) Amazon EC2 pricing. http://aws.amazon.com/ec2/pricing/. Accessed 2012-03-20
Anderson PF, Martin JD (1977) Lease vs purchase decisions: a survey of current practice. Financial Management 6(1):41–47
Anoep S, Dumitrescu C, Epema D, Iosup A, Jan M, Li H, Wolters L (2011) The grid workloads archive. TU Delft, Delft
Armbrust M, Fox A, Griffith R, Joseph AD, Katz R, Konwinski A, Lee G, Patterson D, Ariel Rabkin IS, Zaharia M (2010) A view of cloud computing. Commun ACM 53(4):50–58
Assunção MD, Costanzo A, Buyya R (2009) Evaluating the cost-benefit of using cloud computing to extend the capacity of clusters. In: International symposium on high performance distributed computing (HPDC), Munich
Beck R, Schwind M, Hinz O (2008) Grid economics in departmentalized enterprises. Journal of Grid Computing 6(3):277–290
Beulen E, Fenema P, Currie W (2005) From application outsourcing to infrastructure management: extending the offshore outsourcing service portfolio. European Management Journal 23(2):133–144
Bibi S, Katsaros D, Bozanis P (2010) Application development: fly to the clouds or stay in-house? In: 19th IEEE international workshops on enabling technologies: infrastructures for collaborative enterprises, Larissa, pp 60–65
Blaskovich J, Mintchik N (2011) Information technology outsourcing: a taxonomy of prior studies and directions for future research. Journal of Information Systems 25(1):1–36
Cerbelaud D, Garg S, Huylebroeck J (2009) Opening the clouds: qualitative overview of the state-of-the-art open source VM-based cloud management platforms. In: 10th ACM/IFIP/USENIX international conference on middleware, Urbana Champaign
Deelman E, Singh G, Livny M, Berriman B, Good J (2008) The cost of doing science on the cloud: the montage example. In: 2008 ACM/IEEE conference on supercomputing, Austin
Dibbern J, Goles T, Hirschheim R, Jayatilaka B (2004) Information systems outsourcing: a survey and analysis of the literature. The Data Base for Advances in Information Systems 35(4):6–102
Dickson G (1966) An analysis of vendor selection systems and decisions. Journal of Purchasing 2(1):5–17
Feitelson DG (2005) Workload modeling for computer systems performance evaluation. Unpublished book draft
Garg SK, Versteeg S, Buyya R (2011) SMICloud: a framework for comparing and ranking cloud services. In: Fourth IEEE international conference on utility and cloud computing, Victoria, pp 210–218
Godse M, Mulik S (2009) An approach for selecting software-as-a-service (SaaS) product. In: IEEE international conference on cloud computing, Bangalore
Goyal P (2010) Enterprise usability of cloud computing environments: issues and challenges. In: 19th IEEE international workshops on enabling technologies: infrastructures for collaborative enterprises, Larissa, pp 54–59
Harwood GB, Hermanson RH (1976) Lease-or-buy decisions. Journal of Accountancy 142(3):83–87
Johnson RW, Lewellen WG (1972) Analysis of the lease-or-buy decision. Journal of Finance 27(4):815–823
Kailasam S, Gnanasambandam N, Dharanipragada J, Sharma N (2010) Optimizing service level agreements for autonomic cloud bursting schedulers. In: 39th international conference on parallel processing, workshops, San Diego
Kang J, Sim KM (2010) Cloudle: a multi-criteria cloud service search engine. In: IEEE Asia-Pacific services computing conference, Hangzhou
Khajeh-Hosseini A, Greenwood D, Sommerville I (2010) Cloud migration: a case study of migrating an enterprise IT system to IaaS. In: 3rd international conference on cloud computing, Miami
Khajeh-Hosseini A, Greenwood D, Smith JW, Sommerville I (2012) The cloud adoption toolkit: supporting cloud adoption decisions in the enterprise. Software: Practice and Experience 42(4):447–465
Koehler P, Anandasivam A, Dan MA, Weinhardt C (2010) Customer heterogeneity and tariff biases in cloud computing. In: 31st international conference on information systems, Saint Louis
Lacity MC, Willcocks L (2000) Global information technology outsourcing. In: Search of business advantage. Wiley, New York
Lacity MC, Khan S, Yan A, Willcocks LP (2010) A review of the it outsourcing empirical literature and future research directions. Journal of Information Technology 25(4):395–433
Lambrecht A, Seim K, Skiera B (2007) Does uncertainty matter? Consumer behavior under three-part tariffs. Marketing Science 26(5):698–710
Li A, Yang X, Kandula S, Zhang M (2011) Comparing public-cloud providers. IEEE Internet Computing 15(2):50–53
Li X, Li Y, Liu T, Qiu J, Wang F (2009) The method and tool of cost analysis for cloud computing. In: 2nd IEEE international conference on cloud computing, Bangalore
Lublin U, Feitelson DG (2003) The workload on parallel supercomputers: modeling the characteristics of rigid jobs. Journal of Parallel and Distributed Computing 63(11):1105–1122
Luftman J, Zadeh HS (2011) Key information technology and management issues 2010–11: an international study. Journal of Information Technology 2011(26):193–204
Marshall P, Keahey K, Freeman T (2010) Elastic site: using clouds to elastically extend site resources. In: 10th IEEE/ACM international conference on cluster, cloud and grid computing (CCGRID), Melbourne
Mateescu G, Gentzsch W, Ribbens CJ (2011) Hybrid computing –where hpc meets grid and cloud computing. Future Generation Computer Systems 27(5):440–453
MathWave Technologies (2010). EasyFit statistical package
Mell P, Grance T (2009) The NIST definition of cloud computing. ITL National Institute of Standards and Technology
Mohan TS (2011) Migrating into a cloud. In: Buyya R, Broberg J, Goscinski A (eds) Cloud computing – principles and paradigms. Wiley, Hoboken, pp 43–56
Moore S (2011) Gartner survey of CIOs in Asia shows cloud computing tops the technology priority list as businesses focus on growth in 2011. Gartner Inc., Hong Kong. Press release
Motahari-Nezhad HR, Stephenson B, Singhal S (2009) Outsourcing business to cloud computing services: opportunities and challenges. Working paper
Oetiker T (2011) About RRDtool. http://oss.oetiker.ch/rrdtool. Accessed 2012-08-23
Opitz A, König H, Szamlewska S (2008) What does grid computing cost? Journal of Grid Computing 6(4):385–397
Pettey C (2011) Gartner maps out the rapidly evolving market for cloud infrastructure as a service. Gartner Inc., Stamford, Press release
Pettey C, Tudor B (2010) Gartner says worldwide cloud services market to surpass $68 billion in 2010. Gartner Inc., Stamford, Press release
Raj P (2011) Enriching the ‘integration as a service paradigm’ for the cloud era. In: Buyya R, Broberg J, Goscinski A (eds) Cloud computing – principles and paradigms. Wiley, Hoboken, pp 57–96
Rao AR, Hamed KH (1999) Flood frequency analysis. CRC Press, Boca Raton
Rehman Z, Hussain FK, Hussain OK (2011) Towards multi-criteria cloud service selection. In: 5th international conference on innovative mobile and Internet services in ubiquitous computing, Seoul
Reynolds E, Bess C (2009) Clearing up the cloud: adoption strategies for cloud computing. Cutter IT Journal 22(6/7):14–20
Schwartz SC, Yeh YS (1982) On the distribution function and moments of power sums with log-normal components. Bell Systems Technical Journal 61(7):1441–1462
Shroff G (2010) Enterprise cloud computing. Cambridge University Press, Cambridge
Smith DM (2011) Hype cycle for cloud computing 2011. Gartner Inc., Stamford
Staten J (2009a) Case study: USA.gov achieves cloud bursting efficiency using Terremark’s enterprise cloud. Forrester Research
Staten J (2009b) Which cloud computing platform is right for you? Forrester research
Strebel J, Stage A (2010) An economic decision model for business software application deployment on hybrid cloud environments. In: Schumann M, Kolbe LM, Breitner MH, Frerichs A (eds) Multikonferenz Wirtschaftsinformatik 2010, Göttingen, pp 47–48
Vaquero LM, Rodero-Merino L, Caceres J, Lindner M (2009) A break in the clouds: towards a cloud definition. ACM SIGCOMM Computer Communication Review 39(1):50–55
Vecchiola C, Chu X, Mattess M, Buyya R (2011) Aneka – integration of private and public clouds. In: Buyya R, Broberg J, Goscinski A (eds) Cloud computing – principles and paradigms. Wiley, Hoboken, pp 251–274
Walker E (2009) The real cost of a CPU hour. IEEE Computer 42(4):35–41
Walker E, Brisken W, Romney J (2010) To lease or not to lease from storage clouds. IEEE Computer 43(4):44–50
Weekes PA, Chambers JC, Mullick SK (1969) Lease-buy planning decisions. Management Science 15(6):B295–B307
Weinhardt C, Anandasivam A, Blau B, Borissov N, Meinl T, Michalk W, Stößer J (2009) Cloud-computing – a classification, business models, and research directions. Business & Information Systems Engineering 1(5):391–399
Yang H, Tate M (2009) Where are we at with cloud computing? A descriptive literature review. In: 20th Australasian conference on information systems, Melbourne
Yang Z (2011) Disrupt the disruptor: a theoretical approach of cloud computing on IT outsourcing industry disruption. In: IEEE 9th international conference on dependable, autonomic and secure computing (DASC), Sydney
Author information
Authors and Affiliations
Corresponding author
Additional information
Accepted after two revisions by Prof. Dr. Bichler.
This article is also available in German in print and via http://www.wirtschaftsinformatik.de: Lilienthal M (2013) Ein Entscheidungsmodell für Cloud-Bursting. WIRTSCHAFTSINFORMATIK. doi: 10.1007/s11576-013-0357-3.
Rights and permissions
About this article
Cite this article
Lilienthal, M. A Decision Support Model for Cloud Bursting. Bus Inf Syst Eng 5, 71–81 (2013). https://doi.org/10.1007/s12599-013-0257-5
Received:
Accepted:
Published:
Issue Date:
DOI: https://doi.org/10.1007/s12599-013-0257-5