Cloud Adoption and Challenges in Asia-Pacific

Cloud Applications Sep 13, 2016

Cloud Adoption and Challenges in Asia-Pacific

Are you afraid to adopt cloud in your everyday life? If so then from changing your Facebook status to paying a bill through your banking app, you are using cloud computing without even knowing it.

Cloud adoption is a tactical step by organizations to reduce cost, diminish risk and achieve scalability. Organizations that go ahead with the strategic decision of adopting cloud based technologies have to identify potential security risks. Hence there is a need for compliance assessment during cloud adoption.

The following measures are taken for compliance assessment to ensure security of data and applications in the cloud:

  • Matching the security requirements of the organization with the security capabilities of the cloud service provider
  • Analyzing the security policies of the cloud service provider along with history of transparency and security related practices
  • Appropriate understanding of the technical aspects of traffic flow
  • Proper documentation of the roles and responsibilities of the cloud service provider
  • Awareness of the certifications and compliances that can be leveraged from the cloud service provider

Cloud computing adoption is rapidly acquiring acceptance within businesses. It has already commenced to revolutionize the way you store and access data. Organizations need to understand that the major drivers behind cloud adoption should be transformation and innovation.

The Asia Cloud Computing Association’s “Cloud Readiness Index (CRI) 2016” recognized Hong Kong, Singapore, New Zealand and Australia above markets such as Germany, the U.K. and the U.S., showing that Asian economies are leading the world in cloud readiness.

Let’s explore some of the challenges and concerns.

Data Security

Cloud data security is a major challenge for companies, with only one-third of sensitive data in cloud applications being protected by encryption. Most organizations are still focusing on basic security techniques such as passwords to protect sensitive and confidential customer information, according to the Gemalto 2016 Global Cloud Data Security Study by the Ponemon Institute.

“Cloud security continues to be a challenge for companies, especially in dealing with the complexity of privacy and data protection regulations,” said Larry Ponemon, chairman and founder of the Ponemon Institute.

Being that the server is located off-premises, automatic updates are completed without interrupting your daily tasks. It frees up your time to focus on more important tasks. A strong security strategy is necessary to protect data, prevent cyber-attacks and comply with international regulations, but it should not impact performance.

Need for Standardization

The long-term goal of National Institute of Standards and Technology (NIST) is to provide leadership and guidance around the cloud computing paradigm to catalyze its use within industry and government. Given the increase of cloud providers in different sectors, need for standardization is a necessity for clients to determine how safe their data is.

“True interoperability requires translation of specific application and service functionality from one cloud to another, and this won’t happen without standardization,” said Michael Crandell, CEO and founder of cloud-computing vendor RightScale.

Legal and Regulatory Requirements

There are a host of compliance, legal and regulatory issues to consider when moving to the cloud. The legal and regulatory landscape around cloud computing is by no means static. There are new laws being proposed that could change the responsibilities of both cloud computing tenants and providers. Regulations specify who within an enterprise should be held responsible and accountable for data accuracy and security. IT governance and risk managers need to work closely with the business to understand key cloud computing principles and to help establish effective governance practices.

Integration and Portability

Onboarding to the cloud platform is one of the main challenges faced by organizations looking to adopt cloud. Onboarding requires portability and interoperability when moving data and applications securely to and from the cloud. The advent of cloud computing offers unique scalability to an organization’s IT processing and administrative capability unlike those available in “traditional” in-house infrastructures. This brings with it the potential for less impact on IT resources and reduced capital costs.

Are the Security Risks Real?

According to the Cloud Industry Forum, while 70 percent of organizations in the U.K. said they have concerns regarding data security and 61 percent about data privacy, 99 percent have never experienced a security breach when using a cloud service.

According to Gartner, 95 percent of security issues and failures of cloud services will be the fault of the customer, rather than the service provider, in 2020.

Cloud Security Remains Important

Cloud computing adoption is rising rapidly, and that growth persists regardless of continued concerns about the security risks involved. But it is not adequate to think that all accountability for security is held by the cloud service provider. Organizations that wish to benefit from such services should ensure they have processes that allow them to utilize such services in the most secure manner.


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