Please Develop A Recommendation In The Form Of A Memo To ACQ

Please Develop A Recommendation In The Form Of A Memo To Acquire Outso

Please develop a recommendation in the form of a memo to acquire outsourcing services for the purposes of having a totally external IT operation for one of the companies provided below. Identify the needs of the company based on the scenario to select the appropriate cloud service (PaaS, IaaS, or Identity as a Service). The memo should include the following: define the scope of the problem, review of the cloud provider, estimated cost, describe the services to be provided, and explain the justification. Paper Requirements: Select a valid cloud vendor. Specify which scenario you are addressing by naming the business from the scenario in your paper. Paper length: 2 – 3 pages Minimum. References: 3 APA.

Paper For Above instruction

To: Senior Management, Stark Accounting Inc.

From: [Your Name], IT Department

Date: [Current Date]

Subject: Proposal for Outsourcing Authentication Services via Cloud Platform

Scope of the Problem

Stark Accounting Inc. is preparing to merge with DGT Inc., necessitating a seamless and secure authentication process for both organizations during the integration period. Currently, both companies rely on Active Directory with SAML for authentication; however, managing two separate authentication frameworks during the merger presents complexities and potential security vulnerabilities, including increased administrative overhead and inconsistent user access controls. Additionally, the need to align with modern, scalable, and secure identity management solutions calls for an external, cloud-based approach.

Review of Cloud Provider and Solution

Based on the requirements, Identity as a Service (IDaaS) emerges as the optimal cloud solution. Among leading providers, Microsoft Azure Active Directory (Azure AD) offers a robust IDaaS platform capable of supporting federated identities, single sign-on (SSO), and seamless user provisioning. Azure AD supports federation with existing SAML providers, enabling the integration of both companies’ current authentication systems without the necessity of centralized hardware. This cloud service ensures scalable, secure, and manageable identity management aligned with the company's merger strategy.

Estimated Cost

The anticipated cost for Azure AD Premium P1 licensing, which provides advanced security and federation capabilities, is approximately $6 per user per month. Assuming both companies have a combined user base of 1,000 employees, the annual cost is approximately $72,000. This estimate includes setup, integration, and ongoing management costs. Additional features, such as multi-factor authentication, are available at a marginal additional cost, further enhancing security with minimal expenditure.

Services to Be Provided

The selected cloud platform will deliver the following services:

  • Federated identity management supporting existing SAML-based authentication systems
  • Single sign-on across both companies' applications and services
  • Automated user provisioning and de-provisioning for efficient onboarding and offboarding
  • Multi-factor authentication for enhanced security
  • Audit and compliance reports for security oversight

This approach minimizes disruption during the merger, reduces administrative overhead, and enhances security posture by centralizing identity management in a scalable cloud environment.

Justification

Implementing Azure AD as an IDaaS solution addresses the immediate need for a federated authentication system that does not require centralized hardware, fitting the constraints of both organizations’ existing infrastructure. It streamlines identity management during the merger, ensures secure access control, and scales with future growth. The cloud-based model offers cost-effective, flexible, and reliable authentication, which is critical for a successful integration and ongoing operational security.

References

  • Microsoft. (2023). Azure Active Directory overview. https://azure.microsoft.com/en-us/services/active-directory/
  • Gartner. (2023). Magic Quadrant for Access Management. Gartner Research.
  • Smith, J. (2022). Cloud Identity Management and Security. Journal of Cloud Computing, 10(3), 45-59.
  • Brown, L. (2021). Cost Analysis of Cloud Identity Solutions. International Journal of Cloud Applications, 15(4), 20-30.
  • Johnson, R. (2022). Implementing Federated Identity for Mergers and Acquisitions. Cybersecurity Trends, 8(2), 102-110.