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A company selecting a private approach creates a pool of resources that can be standardized and easily reused by the IT organization to complete projects. Why standardize? In an IaaS service, IT projects are created in predictable ways. For example, a process may be designed to set up a test environment for code or provision storage to support an application. While certain nuances are different, 80 percent of the time the process within IaaS can be standardized. By standardizing these infrastructure services, the organization gains efficiencies, fewer inadvertent errors, and consistency in managing the development lifecycle. This is the same approach used by a public IaaS vendor to control its costs. 

## Knowing how companies use IaaS 

Companies use IaaS for a variety of projects. Here are a few examples: 

✓ A manufacturer needs a development infrastructure for its enterprise resource planning application. It decides to use a public IaaS service to provision development and test environments for the system in an “on demand” fashion. The public IaaS gives it the operational flexibility it needs to provision and de-provision infrastructure instead of constantly having to ask IT for server capacity. 

✓ An insurance company needs a cost-effective compute infrastructure to run quarterly and yearly risk reports. During this peak time, its compute usage may be several times greater than normally would be needed. The insurance company doesn’t want to over-invest in capacity that’s only sporadically needed. It contracts with a secure public cloud IaaS to manage peak loads. 

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✓ A large retailer decides to deploy a private cloud IaaS to provide capacity on demand for its portfolio of retail applications that it offers as a service to a set of small retailers. It has its own in-house staff of application developers who often need more capacity than it has in its development environment for testing purposes. IaaS provides this compute capacity, as required. 

The different companies all realized critical benefits from using IaaS: 

