The most of computing environments in the IT support organization like NIC are designed to run in centralized datacentre. The centralized infrastructure of various development projects are used to deploy their services on it and connecting remotely to that datacentre from all the stations of organization. Currently these servers are mostly underutilized due to the static and conventional approaches used for accessing and utilizing of these resources. The cloud patterns is much needful for optimizing resource utilization and reducing the investments on unnecessary costs. So, we build up and prototyped a private cloud system called nIC(NIC Internal Cloud) to leverage the benefits of cloud environment. For this system we adopted the combination of various techniques from open source software community. The user-base of nIC consists developers, web and database admins, service providers and desktop users from various projects in NIC. We can optimize the resource usage by customizing the user based template services on these virtualized infrastructure. It will also increases the flexibility of the managing and maintenance of the operations like archiving, disaster recovery and scaling of resources. The open-source approach is further decreases the enterprise costs. In this paper, we describe the design and analysis of implementing issues on internal cloud environments in NIC and similar organizations.