Cloud computing offers massive scalability, availability and low-cost services as major benefits, but as with most new technologies, it introduces new risks. Because there is so much opportunity in the cloud, the cloud service provider network is continuously growing. Service providers are using different technologies, different standards, and like all companies have different competency levels.
A couple of the major challenges organizations have when using cloud computing is managing these third-party operational and security risks. As more technology is moved from your company’s infrastructure to cloud, understanding and management of these risks often overwhelms technology and procurement teams.
This can be managed if an effective third-party framework is put into place, appropriately managed and cross-organizational guidelines are being followed.