Skip to main content
SpringerLink
Log in

Cloud Computing as a Service

  • Chapter
  • First Online:
Cloud as a Service

Abstract

For organizations seeking to transform from product-oriented to service-oriented enterprises, the cloud is the place to start. Simplicity, flexibility, choice, and the ability to access computing resources on demand are the driving forces behind cloud computing. The cloud has become the engine for business growth and enterprise service transformation. The cloud transforms how we interact with retail, transportation, health care, media, banking, investing, entertainment, and people to enable the cocreation of value through dynamic service experiences. This chapter introduces the foundations of cloud computing with an overview of service innovation concepts to set the stage for the chapters that follow.

This is a preview of subscription content, log in via an institution to check access.

Access this chapter

Log in via an institution
Chapter
USD 29.95
Price excludes VAT (USA)
  • Available as PDF
  • Read on any device
  • Instant download
  • Own it forever
eBook
USD 34.99
Price excludes VAT (USA)
  • Available as EPUB and PDF
  • Read on any device
  • Instant download
  • Own it forever
Softcover Book
USD 44.99
Price excludes VAT (USA)
  • Compact, lightweight edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info

Tax calculation will be finalised at checkout

Purchases are for personal use only

Institutional subscriptions

Notes

  1. 1.

    N. G. Carr, “IT Doesn't Matter,” Harvard Business Review 38: 24–38 (2003).

  2. 2.

    D. Lock, “Unravelling the IT Productivity Paradox,” CIO 12 (2). http://www.cio.com.au/article/print/532717/unravelling_it_productivity_paradox/ , November 25, 2013.

  3. 3.

    P. Maglio and J. Spohrer, “A Service Science Perspective on Business Model Innovation,” Industrial Marketing Management 42: 665–670 (2013).

  4. 4.

    E. Castro-Leon, R. Harmon, and M. Yousif, “IT-Enabled Service Innovation: Why IT Is the Future of Competitive Advantage,” Cutter IT Journal 26 (7): 15–21 (2013).

  5. 5.

    B. Metcalfe, “Metcalfe’s Law: A Network Becomes More Valuable as It Reaches More Users,” Infoworld 17 (40): 53–54 (1995).

  6. 6.

    P. Mell and T. Grance, The NIST Definition of Cloud Computing, Special Publication 800-145 (Washington, DC: National Institute of Standards and Technology, U.S. Department of Commerce, 2011).

  7. 7.

    A. Jula, E. Sundararajan, and Z. Othman, “Cloud Computing Service Composition: A Systemic Literature Review,” Expert Systems with Applications 41: 3809–3824 (2014).

  8. 8.

    S. Goyal, “Public vs. Private vs. Hybrid vs. Community Cloud Computing: A Critical Review,” International Journal of Network and Information Security 3: 20–29 (2014).

  9. 9.

    D. Farber, “Oracle’s Ellison Nails Cloud Computing,” C/Net.com. https://www.cnet.com/news/oracles-ellison-nails-cloud-computing/ , September 26, 2008.

  10. 10.

    A. Loten, “Definition of the Cloud Remains Hazy,” CIO Journal. http://blogs.wsj.com/cio/2016/10/18/definition-of-the-cloud-remains-hazy/ , October 18, 2016.

  11. 11.

    Central Intelligence Agency, The World Factbook 2015. https://www.cia.gov/library/publications/the-world-factbook/ .

  12. 12.

    Statistics Times, List of Countries by GDP Sector Composition, 2015. http://statisticstimes.com/economy/countries-by-gdp-sector-composition.php .

  13. 13.

    D. Jorgenson, M. Ho, and J. Samuels, “The Impact of Information Technology on Postwar U.S. Economic Growth,” Telecommunications Policy 40: 398–411 (2016).

  14. 14.

    G. E. Moore, “Cramming More Components onto Integrated Circuits,” Electronics 38 (8) (1965).

  15. 15.

    W. Aspray, “The Intel 4004 Microprocessor: What Constituted Invention,” IEEE Annals of the History of Computing 19 (3) (1997).

  16. 16.

    By AT&T; photographer: Jack St. (last part of name not stamped well enough to read), New York, New York. - eBay itemphoto frontphoto back. Public Domain: https://commons.wikimedia.org/w/index.php?curid=17898468 .

  17. 17.

    By Intel Free Press: http://www.flickr.com/photos/intelfreepress/8429166752/sizes/o/in/photostream/ , CC BY-SA 2.0, https://commons.wikimedia.org/w/index.php?curid=27922284 .

  18. 18.

    R. Cheng, “Moore’s Law Is the Reason Your iPhone Is so Thin and Cheap,” C/NET.com. https://www.cnet.com/news/moores-law-is-the-reason-why-your-iphone-is-so-thin-and-cheap/ , April 16, 2015.

  19. 19.

    D. Reisinger, “Keeping up with Moore’s Law Proves Difficult for Intel,” C/NET.com. https://www.cnet.com/news/keeping-up-with-moores-law-proves-difficult-for-intel/ , July 16, 2015.

  20. 20.

    E. Brynjolfsson and A. McAfee, The Second Machine Age: Work Progress, and Prosperity in a Time of Brilliant Technologies (New York: Norton, 2014).

  21. 21.

    D. Jorgenson and K. Vu, “The ICT Revolution, World Economic Growth, and Policy Issues,” Telecommunications Policy 40: 383–397 (2016).

  22. 22.

    M. Mogee, “Educating Innovation Managers: Strategic Issues for Business and Higher Education,” IEEE Transactions on Engineering Management 40 (4): 410–417 (1993).

  23. 23.

    J. Potts and T. Mandeville, “Toward an Evolutionary Theory of Innovation and Growth in the Service Economy,” Prometheus 25 (2): 147–159 (2007).

  24. 24.

    We recognize that the words customers, buyers, consumers, and users share a degree of commonality in meaning. We view customers as the primary beneficiary in the service provider–customer dyad. Customers could also be buyers, consumers, and users. We focus specifically on the user role with respect to the user experience.

  25. 25.

    U. de Brentani, “Innovative versus Incremental New Business Services: Different Keys for Achieving Success,” Journal of Product Innovation Management 18: 169–187 (2001).

  26. 26.

    E. Danneels, “Disruptive Technology Reconsidered: A Critique and Research Agenda,” Journal of Product Innovation Management 21: 246–258 (2004).

  27. 27.

    J. Belbey, “Compliance Uncertainty and Social Media: Lessons from Uber, Airbnb, and Drones,” Forbes. http://www.forbes.com/sites/joannabelbey/2015/04/16/compliance-uncertainty-and-social-media-lessons-from-uber-airbnb-and-drones/#1871c85218df , April 16, 2015.

  28. 28.

    S. Vargo and R. Lusch, “Evolving to a New Dominant Logic for Marketing,” Journal of Marketing 68: 1–17 (2004).

  29. 29.

    R. Harmon, H. Demirkan, B. Hefley, and N. Auseklis, “Pricing Strategies for Information Technology Services: A Value-Based Approach.” In Proceedings of the 42nd Hawaii International Conference on System Sciences (HICSS-42), 1–10 (2009).

  30. 30.

    J. Sheth, B. Newman, and B. Gross, Consumption Values and Market Choices: Theory and Applications (Cincinnati, OH: Southwestern, 1991).

  31. 31.

    R. Harmon and K. Coney, “The Persuasive Effects of Source Credibility in Buy and Lease Situations,” Journal of Marketing Research 19 (2): 255–260 (1982).

  32. 32.

    S. Vargo and R. Lusch, “Service-Dominant Logic: Continuing the Evolution,” Journal of the Academy of Marketing Science 36 (1): 1–10 (2008).

  33. 33.

    C. K. Prahalad and V. Ramaswamy, The Future of Competition: Co-Creating Unique Value With Customers (Cambridge, MA: Harvard Business School Press, 2004).

  34. 34.

    A. Moazed and N. Johnson, Modern Monopolies: What It Takes to Dominate in the 21st Century Economy (New York: St. Martin’s Press, 2016).

  35. 35.

    P. Ekman, R. Raggio, and S. Thompson, “Service Network Value Co-creation: Defining Roles of the Generic Actor,” Industrial Marketing Management 56: 51–62 (2016).

  36. 36.

    M. Van Alstyne, G. Parker, and S. Choudary, “Pipelines, Platforms, and the New Rules of Strategy,” Harvard Business Review 94 (4): 54–62 (2016).

  37. 37.

    Apple, Inc. Form 10-K, 2015. http://investor.apple.com/secfiling.cfm?filingID=1193125-15-356351&CIK=320193 .

  38. 38.

    Amazon.com, Inc. Form 10-K, 2015. https://www.sec.gov/Archives/edgar/data/1018724/000101872416000172/amzn-20151231x10k.htm .

  39. 39.

    C. Ballavitis, “A Closer Look at IBM’s Future (Part 2) – IBM Watson,” Seeking Alpha. http://seekingalpha.com/article/4003751-closer-look-ibms-future-part-2-ibm-watson , September 2, 2016.

  40. 40.

    J. Hilsenrath and B. Davis, “America’s Dazzling Tech Boom Has a Downside: Not Enough Jobs,” Wall Street Journal. http://www.wsj.com/articles/americas-dazzling-tech-boom-has-a-downside-not-enough-jobs-1476282355 , October 12, 2016.

  41. 41.

    L. Alton, “Is the Gig Economy a Bubble That’s About to Burst?” Forbes. http://www.forbes.com/sites/larryalton/2016/09/26/is-the-gig-economy-a-bubble-thats-about-to-burst/#19f979b810da , September 26, 2016.

  42. 42.

    V. Ramaswamy and F. Gouillart, The Power of Co-Creation: Build It With Them to Boost Growth, Productivity, and Profits (New York: Free Press, 2010).

  43. 43.

    T. Brown and R. Martin, “Design for Action: How to Use Design Thinking to Make Great Things Actually Happen,” Harvard Business Review 93 (9): 56–65 (September 2015).

  44. 44.

    C. Christensen, T. Hall, K. Dillon, and D. Duncan, “Know Your Customers’ Jobs to be Done,” Harvard Business Review 94(9): 54–62 (September 2016).

  45. 45.

    C. Breidbach and P. Maglio, “Technology-Enabled Value Co-creation: An Empirical Analysis of Actors, Resources, and Practices,” Industrial Marketing Management 56: 73–85 (2016).

  46. 46.

    International Society of Service Innovation Professionals, www.issip.org .

  47. 47.

    J. Lorsch and E. McTague, “Culture Is Not the Culprit: When Organizations Are in Crisis, It’s Usually Because the Business Is Broken,” Harvard Business Review 94 (4): 96–105 (April 2016).

  48. 48.

    C. Homburg and C. Pflesser, “A Multiple-Layer Model of Market-Oriented Organizational Culture: Management Issues and Performance Outcomes,” Journal of Marketing Research 37 (4): 449–462 (2000).

  49. 49.

    Innovation artifacts lead to innovative behaviors. These artifacts include attitudes, language, symbols, rituals, physical environment, and physical layout. Recall that employees are members in the service ecosystem. The team environment and its dynamics should be oriented toward engagement with other actors to develop innovation solutions.

  50. 50.

    S. Hogan and L. Coote, “Organizational Culture, Innovation, and Performance: A Test of Schein’s Model,” Journal of Business Research 67: 1609–1621 (2014).

  51. 51.

    F. Zhu and N. Furr, “Products to Platforms: Making the Leap,” Harvard Business Review 94 (4): 72–78 (April 2016).

  52. 52.

    P. Sprenger, “Sun on Privacy: ‘Get over It’,” Wired. http://www.wired.com/politics/law/news/1999/01/17538 , January 26, 1999.

  53. 53.

    M. Cavana, “Nobody Knows You’re a Dog; As Iconic Internet Cartoon Turns 20, Creator Peter Steiner Knows the Idea Is as Relevant as Ever,” The Washington Post. https://www.washingtonpost.com/blogs/comic-riffs/post/nobody-knows-youre-a-dog-as-iconic-internet-cartoon-turns-20-creator-peter-steiner-knows-the-joke-rings-as-relevant-as-ever/2013/07/31/73372600-f98d-11e2-8e84-c56731a202fb_blog.html , July 31, 2013.

  54. 54.

    S. Warren and L. Brandeis, “The Right to Privacy,” Harvard Law Review 4 (5): 193–220 (1890).

  55. 55.

    E. Chan, R. Harmon, and H. Demirkan, “Privacy, Value Co-creation, and Service Innovation: Cui Bono?” In Proceedings of the 2012 Hawaii International Conference on Systems Sciences (HICSS-45), 1573–1582 (2012).

  56. 56.

    J. Bort, “Kicking Bill Gates Off The Board Is the Best Thing Microsoft Can Do,” The Business Insider. http://www.businessinsider.com/microsoft-board-bill-gates-2014-1 , January 31, 2014.

  57. 57.

    F. Zhu and N. Furr, “Products to Platforms: Making the Leap,” Harvard Business Review 94 (4): 72–78 (April 2016).

  58. 58.

    J. Greene, “Microsoft Soars on Cloud Gains,” Wall Street Journal. http://www.nasdaq.com/article/microsoft-soars-on-cloud-gains--wsj-20161021-00061 , October 21, 2016.

Author information

Authors and Affiliations

  1. Hillsboro, Oregon, USA

    Enrique Castro-Leon

  2. Marketing & Technology Mgmt, Portland State University Marketing & Technology Mgmt, Portland, Oregon, USA

    Robert Harmon

Authors
  1. Enrique Castro-Leon
    View author publications

    You can also search for this author in PubMed Google Scholar

  2. Robert Harmon
    View author publications

    You can also search for this author in PubMed Google Scholar

Rights and permissions

Reprints and permissions

Copyright information

© 2016 Enrique Castro-Leon and Robert Harmon

About this chapter

Cite this chapter

Castro-Leon, E., Harmon, R. (2016). Cloud Computing as a Service. In: Cloud as a Service. Apress, Berkeley, CA. https://doi.org/10.1007/978-1-4842-0103-9_1

Download citation

Publish with us

Policies and ethics

Search

Navigation