Fog computing is a promising technique to reduce the latency and power consumption issues of the Internet of Things (IoT) ecosystem by enabling storage and computational resource close to the end-user devices with additional benefits such as improved execution time and processing. However, with an increase in IoT devices, the resource allocation and job scheduling became a complicated and cumbersome task due to limited and heterogeneous resources along with the locality restriction in such computing environment. Therefore, this paper proposes a cache-based approach for efficient resource allocation in fog computing environment, while maintaining the quality of service. The proposed algorithm is realized using iFogSim simulator and a comprehensive comparison is presented with the traditional First Come First Served and Shortest Job First policies. The performance evaluation revealed that with the proposed scheme the execution time, latency, processing delays and power consumption decreased by 38%, 11.1%, 6%, and 17.8%, respectively, as compared to those of the traditional schemes.