Total Cost of Ownership Framework to Estimate the Cost of Cloud Computing Services: A Case Study Research
Typ
Examensarbete för masterexamen
Program
Publicerad
2021
Författare
Bäcknäs, Erik
Börjesson, Eric
Modellbyggare
Tidskriftstitel
ISSN
Volymtitel
Utgivare
Sammanfattning
Cloud computing services add different layers of abstraction and therefore suits different
application needs. This creates a desire to choose the cloud service that suits
the application’s requirements best while minimizing the cost. Current research on
selection techniques focused on cost, indicate that particular cost types and factors
are frequently underestimated by practitioners. In this study, the purpose is to
identify both explicit and hidden costs over the lifetime of applications using cloud
services. To address this, a Total Cost of Ownership (TCO) framework has been
developed. Furthermore, practical guidelines of how to apply the framework have
been derived and aim to assist practitioners in the selection process of cloud computing
services. The method applied was a spiral process model consisting of four case
cycles. The first two cycles were of exploratory nature where a literature review,
interviews with practitioners and application analysis were conducted to explore relevant
cost metrics to include in the TCO framework. In the third cycle, which was of
confirmatory nature, the TCO framework was applied to a selection process of cloud
computing service to use for an application at the collaborating company. Finally,
the last case cycle was of explanatory nature and practical guidelines were derived
from the findings of the previous case cycles. The result presents a TCO framework
consisting of nine cost metrics, five connected to capital expenditures and four related
to operational expenditures. Further, the TCO framework was confirmed to
be useful after validation with practitioners at the collaborating company. Lastly,
a number of practical guidelines were obtained which can be useful in the selection
process of cloud computing services to use for an application.
Beskrivning
Ämne/nyckelord
TCO , Total Cost of Ownership , Cost estimation , Cloud Computing Services , AWS