Cloud - what's new? What role does it play in your DC strategy? Mark Ellis – Head of Data Centre Consultancy Services (Citihub) Enterprise Datacentre Conference 2009: London, UK
Divided Opinion Disruptive influences "fashion-driven" and "complete gibberish“ – Larry Ellison (Oracle)  "It's stupidity. It's worse than stupidity: it's a marketing hype campaign,“ – Richard Stallman (Free Software Founder) "It is a security nightmare” – John Chambers (Cisco)  "We believe deeply in on-premises software and we believe deeply in this new world of software in the cloud,“ - Ray Ozzie (Microsoft)  “  By 2012, 80 percent of Fortune 1000 enterprises will pay for some cloud computing service and 30 percent of them will pay for cloud computing infrastructure” – (Gartner)
Cloud or Fog No clear definition, multiple interpretations
Cloud or Fog? Some familiar vendors,  multiple new parties Disruptive influences No longer just SME’s, large organisations are beginning to adopt cloud services
Does Cloud Sound Familiar ? Purchase of  abstracted  compute, network and storage (Limited/no visibility of hardware) Highly elastic capacity  (Up or  down . Technically and commercially within short time frames) Cloud is an evolution of existing and new technologies with specific characteristics 1960s- 1970s -  ~2000 2006 ->  Examples IBM, HP, Sun:Network.Com Amazon EC2/S3 ~2004 NCSA IBM IBM, CSC, Savvis Pay per use approach Ability to flex up has been around a while, but rapid flex  down  hasn’t ? ? ? ? ? ?
Opportunity or Threat ? Your latest client base (Generation Y) have greater expectations.. more technology familiar used to instant gratification access to services that  appear  to be free or nearly free !!!!! Cloud is an opportunity if leveraged appropriately,  a threat if ignored Very nature of Cloud computing can make traditional IT shops look slow.. Customers will have little sympathy for those who can’t at least stay with the pack (cost / service competitive) Internal monopolies will be steadily eroded, as a minimum you will constantly have counter argue Challenge today is to cut through the hype and be able to spot opportunities where ‘Cloud’ services can add benefit.. Reality - likely to be services in your enterprise that are poor candidates Opportunity – possibility to leverage faster, cheaper and better services
Traditional Challenges - Internal / external platform balancing Traditional problems... Service packaging & pricing Missed opportunities during market spikes Over-provision & sunk cost during down-cycle Inefficient pre-provisioning Physical resource  Internal provision or sourced ‘with assets’ Demand Traditional model Type of market Down Up Up
Opportunities to Resolve - Internal / external platform balancing Source a % of capacity from external providers to reduce risk and create agility  Service packaging & pricing Physical resource  t Demand Balanced model Internal provision or sourced ‘with assets’ External sourcing without assets Rapid scalability Limited over-provisioning No pre-provisioning Type of market Down Up Up
Clarity of Requirements and Constraints Understanding and weighting your needs.. Fit for purpose Too many internal constraints prevents external adoption  Regulatory / compliance constraints (SOX, HIPPA, Country based) Performance (latency & chattiness) Trust (service availability & control) Portability i.e. avoiding lock in risk (vendor & proprietary standards) Value (cost benefit inc opex & capex saves) Security (data encrypted?)  Service hours & utilisation
Clarity of Requirements and Constraints How do you score your needs... Fit for purpose Flexibility can reduce your  service TCO, option to avoid cash outlay
Applying Cloud Principles Internally  Q.  What's are the leaders of the pack doing today? If you can’t go to a true Cloud how do you apply Cloud principles  Improve efficiency - though quick wins and a strategic road map Efficient DC – PUE 1.2 Google – do you know yours? Engineer app from ground up – abstracted from hardware – HA at app layer Commodity (non  resilient/v. cheap) hardware  Automation  - selective rather than  Self Service Portals Rapid innovation Transparent costs (incentivising appropriate behaviour) A.  Looking at how Cloud Services provide cost effective services and apply these to internal organisation
Strategy - Multi Source by Brokering Services  Automate and orchestrate to hide complexity from you clients What's your ‘vision’ for servicing your clients needs...
Service Automation - Workflow orchestration in action IT automation to minimize costs and increase responsiveness to business demand  Minimizing manual intervention and increasing utilization of available capacity Service & Operations Automation You will have elements of this already – its not a new concept INFRASTRUCTURE SERVICES RESOURCE POOL RESOURCE POOL IT OPERATIONS COMPUTE STORAGE MIDDLEWARE WORKFLOW ORCHESTRATION CMDB IT ENGINEERING BUSINESS APPLICATION SERVICES CRM ERP REPORTING OMS RISK PRE-TRADE FINANCE TRADING Front Office Back Office Management Risk TOOLS TEST Development DEVELOPMENT Design Patterns Release Management Configuration Management Standards NETWORK STRAIGHT-THROUGH PROVISIONING MONITORING & CONTROL Planning & Engineering Portal Self Service Portal Operations Portal CHANGE & INCIDENT MNGT SOFTWARE PROVISIONING MONITORING & REPORTING HARDWARE PROVISIONING SPACE, POWER & COOLING Developer Tools Business Portal DESIGN REQUEST BILLING SERVICES OPERATE CONFIGURE
iService Portal – Client Self Serve Example - iService portal gives access to all administration and self-service tasks 1 1 2 My Desktop Status 30 Apr 2009 14:44 GMT Account Settings Forgotten passwords Change account passwords Change secret questions Activate blackberry More options... End User Services Add/remove software and services Manage software licenses Incident management and reporting More options... My Services Status tblondev#1 – app1 dev env tblontest#1 – app1 test env Production rates trading Production LON RMDS Production TOK RMDS My Events Desktop reboot on Friday please shutdown Infrastructure Services Manage environments Application platform design Manage provisioning Costs and billing Incident management and reporting Audit and compliance More options... Manage Services Knowledge Base Keywords Select topic Reporting View reports Report designer Manage reports More options... Workflow Inbox Workflow Outbox Emails are being delayed by 5 mins, engineers are investigating, next update 15:00 GMT 30 Apr 2009 11:23 GMT Next non farm payroll on 1 May 2009 29 Apr 2009 13:15 GMT tblontest#1 lease has expired, 48 hours to renew before decom 30 Apr 2009 14:26 GMT Pending Expired Active Active Sev2 29 Apr 2009 11:10 GMT Application Visual C++ has crashed 3 times in 30 days click here for options to fix the problem Batch prodapp1 failed, restart? app2 utilization >110% of authorized RMDS formclass change request Production Db restart request R1001901 R1001204 R1001898 Active   tblondev#1 new env purchase req app2 peak utilization extension req P2003320 P2002340    Chat    Chat    Chat
iService Portal – Service Acquisition Example - Transparent  services competing with selected external service providers Selection Type Environment Quantity Performance Storage Storage Type Security OS Network Lease Time 1GbE RHEL 5.1 (64-bit) CIA 211 Sybase; NAS 500Gb High 6 Production Cloud 1 Month    Chat 1  2 3 1 2 Internal policy prohibits use for production Facilities Network Storage Compute Environment Middleware Application Desktop Buy Buy Buy
iService Portal – Business Management Example - Consolidated billing with view of environments, lease status, and usage. Ability to reduce cost and understand impact  Del Edit Del Edit Del Edit Del Edit Del Edit Del Edit
Citihub’s Automation Efficiency Assessment - Rapid
We are here to help... Thank You

Citihub IDC Event 2009 Cloud Mark Ellis

  • 1.
    Cloud - what'snew? What role does it play in your DC strategy? Mark Ellis – Head of Data Centre Consultancy Services (Citihub) Enterprise Datacentre Conference 2009: London, UK
  • 2.
    Divided Opinion Disruptiveinfluences "fashion-driven" and "complete gibberish“ – Larry Ellison (Oracle) "It's stupidity. It's worse than stupidity: it's a marketing hype campaign,“ – Richard Stallman (Free Software Founder) "It is a security nightmare” – John Chambers (Cisco) "We believe deeply in on-premises software and we believe deeply in this new world of software in the cloud,“ - Ray Ozzie (Microsoft) “ By 2012, 80 percent of Fortune 1000 enterprises will pay for some cloud computing service and 30 percent of them will pay for cloud computing infrastructure” – (Gartner)
  • 3.
    Cloud or FogNo clear definition, multiple interpretations
  • 4.
    Cloud or Fog?Some familiar vendors, multiple new parties Disruptive influences No longer just SME’s, large organisations are beginning to adopt cloud services
  • 5.
    Does Cloud SoundFamiliar ? Purchase of abstracted compute, network and storage (Limited/no visibility of hardware) Highly elastic capacity (Up or down . Technically and commercially within short time frames) Cloud is an evolution of existing and new technologies with specific characteristics 1960s- 1970s - ~2000 2006 -> Examples IBM, HP, Sun:Network.Com Amazon EC2/S3 ~2004 NCSA IBM IBM, CSC, Savvis Pay per use approach Ability to flex up has been around a while, but rapid flex down hasn’t ? ? ? ? ? ?
  • 6.
    Opportunity or Threat? Your latest client base (Generation Y) have greater expectations.. more technology familiar used to instant gratification access to services that appear to be free or nearly free !!!!! Cloud is an opportunity if leveraged appropriately, a threat if ignored Very nature of Cloud computing can make traditional IT shops look slow.. Customers will have little sympathy for those who can’t at least stay with the pack (cost / service competitive) Internal monopolies will be steadily eroded, as a minimum you will constantly have counter argue Challenge today is to cut through the hype and be able to spot opportunities where ‘Cloud’ services can add benefit.. Reality - likely to be services in your enterprise that are poor candidates Opportunity – possibility to leverage faster, cheaper and better services
  • 7.
    Traditional Challenges -Internal / external platform balancing Traditional problems... Service packaging & pricing Missed opportunities during market spikes Over-provision & sunk cost during down-cycle Inefficient pre-provisioning Physical resource Internal provision or sourced ‘with assets’ Demand Traditional model Type of market Down Up Up
  • 8.
    Opportunities to Resolve- Internal / external platform balancing Source a % of capacity from external providers to reduce risk and create agility Service packaging & pricing Physical resource t Demand Balanced model Internal provision or sourced ‘with assets’ External sourcing without assets Rapid scalability Limited over-provisioning No pre-provisioning Type of market Down Up Up
  • 9.
    Clarity of Requirementsand Constraints Understanding and weighting your needs.. Fit for purpose Too many internal constraints prevents external adoption Regulatory / compliance constraints (SOX, HIPPA, Country based) Performance (latency & chattiness) Trust (service availability & control) Portability i.e. avoiding lock in risk (vendor & proprietary standards) Value (cost benefit inc opex & capex saves) Security (data encrypted?) Service hours & utilisation
  • 10.
    Clarity of Requirementsand Constraints How do you score your needs... Fit for purpose Flexibility can reduce your service TCO, option to avoid cash outlay
  • 11.
    Applying Cloud PrinciplesInternally Q. What's are the leaders of the pack doing today? If you can’t go to a true Cloud how do you apply Cloud principles Improve efficiency - though quick wins and a strategic road map Efficient DC – PUE 1.2 Google – do you know yours? Engineer app from ground up – abstracted from hardware – HA at app layer Commodity (non resilient/v. cheap) hardware Automation - selective rather than Self Service Portals Rapid innovation Transparent costs (incentivising appropriate behaviour) A. Looking at how Cloud Services provide cost effective services and apply these to internal organisation
  • 12.
    Strategy - MultiSource by Brokering Services Automate and orchestrate to hide complexity from you clients What's your ‘vision’ for servicing your clients needs...
  • 13.
    Service Automation -Workflow orchestration in action IT automation to minimize costs and increase responsiveness to business demand Minimizing manual intervention and increasing utilization of available capacity Service & Operations Automation You will have elements of this already – its not a new concept INFRASTRUCTURE SERVICES RESOURCE POOL RESOURCE POOL IT OPERATIONS COMPUTE STORAGE MIDDLEWARE WORKFLOW ORCHESTRATION CMDB IT ENGINEERING BUSINESS APPLICATION SERVICES CRM ERP REPORTING OMS RISK PRE-TRADE FINANCE TRADING Front Office Back Office Management Risk TOOLS TEST Development DEVELOPMENT Design Patterns Release Management Configuration Management Standards NETWORK STRAIGHT-THROUGH PROVISIONING MONITORING & CONTROL Planning & Engineering Portal Self Service Portal Operations Portal CHANGE & INCIDENT MNGT SOFTWARE PROVISIONING MONITORING & REPORTING HARDWARE PROVISIONING SPACE, POWER & COOLING Developer Tools Business Portal DESIGN REQUEST BILLING SERVICES OPERATE CONFIGURE
  • 14.
    iService Portal –Client Self Serve Example - iService portal gives access to all administration and self-service tasks 1 1 2 My Desktop Status 30 Apr 2009 14:44 GMT Account Settings Forgotten passwords Change account passwords Change secret questions Activate blackberry More options... End User Services Add/remove software and services Manage software licenses Incident management and reporting More options... My Services Status tblondev#1 – app1 dev env tblontest#1 – app1 test env Production rates trading Production LON RMDS Production TOK RMDS My Events Desktop reboot on Friday please shutdown Infrastructure Services Manage environments Application platform design Manage provisioning Costs and billing Incident management and reporting Audit and compliance More options... Manage Services Knowledge Base Keywords Select topic Reporting View reports Report designer Manage reports More options... Workflow Inbox Workflow Outbox Emails are being delayed by 5 mins, engineers are investigating, next update 15:00 GMT 30 Apr 2009 11:23 GMT Next non farm payroll on 1 May 2009 29 Apr 2009 13:15 GMT tblontest#1 lease has expired, 48 hours to renew before decom 30 Apr 2009 14:26 GMT Pending Expired Active Active Sev2 29 Apr 2009 11:10 GMT Application Visual C++ has crashed 3 times in 30 days click here for options to fix the problem Batch prodapp1 failed, restart? app2 utilization >110% of authorized RMDS formclass change request Production Db restart request R1001901 R1001204 R1001898 Active   tblondev#1 new env purchase req app2 peak utilization extension req P2003320 P2002340  Chat  Chat  Chat
  • 15.
    iService Portal –Service Acquisition Example - Transparent services competing with selected external service providers Selection Type Environment Quantity Performance Storage Storage Type Security OS Network Lease Time 1GbE RHEL 5.1 (64-bit) CIA 211 Sybase; NAS 500Gb High 6 Production Cloud 1 Month  Chat 1 2 3 1 2 Internal policy prohibits use for production Facilities Network Storage Compute Environment Middleware Application Desktop Buy Buy Buy
  • 16.
    iService Portal –Business Management Example - Consolidated billing with view of environments, lease status, and usage. Ability to reduce cost and understand impact Del Edit Del Edit Del Edit Del Edit Del Edit Del Edit
  • 17.
  • 18.
    We are hereto help... Thank You

Editor's Notes

  • #3 Cloud is another disruptive technology, not as revolutionary as the web but is certainly dividing opinion McKinseys ‘Clearing the air on cloud computing’ generated more divided opinion while stating that Cloud is really not suited to enterpises its more for start ups and similar. Strangely Googles didnt share that view – too focused on hardware stack – with google solution customers don't have to worry about purchasing, installing, maintaining, and scaling their own databases and app servers. All a customer has to do is deploy code Neither did Right scale - it  overlooks the benefits of automation in the cloud which ultimately leads to a revolution in the way compute resources are consumed
  • #5 There is no clear definition, its easy to become confused as to where the boundaries are - perhaps that's why, ironically calling it cloud is perfect Multiple terminology for same thin; Paas – platform as a service Infrastructure as a service Saas – software as a service
  • #7 Gen Y – a particular challenge for those dealing with an external market Challenges today – no silver bullet not a one size fits all
  • #8 Up market - To hedge demand – over provisioned Up market - Likely that some spikes/volatility will be missed, cant always afford to provision for worst case Down market – Sunk costs, typically 3 year depreciation of capex, more flexibility around opex. Net result is still a cost overhead
  • #9 Up market – external sourcing could reduce asset risk Up market – option to rapidly flex up to meet spikes – maximise opportunity and keep clients happy (not frustrated) Down market – demand drops off the over provision risk is limited
  • #10 Security - EPIC Electronic Privacy Information Center (EPIC) filed a complaint with the Federal Trade Commission failure to encrypt information held on its servers. Performance - Cloud friendly apps: Highly variable workloads Grid or Batch Limited amount of data to transfer to Enterprise X86 – Windows/Linux/Solaris Runnable as a VM guest Web applications, particularly those which require high speed Internet access Some  application logic provided by Salesforce.com     Cloud unfriendly apps: Very specific or exotic hardware requirements or dependencies  e.g InfiniBand, specific CPU types, GPU’s High storage with large amount of transfer between cloud and enterprise Distributed applications, latency intolerant or data intensive, where part is still running in enterprise   Cost indicative Term – Amazon may look expensive but actually if you only have limited needs it may be more attractive rather than sunk cost investment
  • #11 Security - EPIC Electronic Privacy Information Center (EPIC) filed a complaint with the Federal Trade Commission failure to encrypt information held on its servers. Performance - Cloud friendly apps: Highly variable workloads Grid or Batch Limited amount of data to transfer to Enterprise X86 – Windows/Linux/Solaris Runnable as a VM guest Web applications, particularly those which require high speed Internet access Some  application logic provided by Salesforce.com     Cloud unfriendly apps: Very specific or exotic hardware requirements or dependencies  e.g InfiniBand, specific CPU types, GPU’s High storage with large amount of transfer between cloud and enterprise Distributed applications, latency intolerant or data intensive, where part is still running in enterprise   Cost indicative Term – Amazon may look expensive but actually if you only have limited needs it may be more attractive rather than sunk cost investment
  • #12 Google PUE is exceptional – most enterprises likely to be PUE 2+ We are helping clients with a holistic joined up approach to these challenges . E.g most M&E is at optimum efficiency at full load, reducing IT load has an impact.. Hardware – how many options exist in your servcie catalogue? Automation – again no magic bullet, implement/improve based on selective bang for buck and road map
  • #13 You have ... Mix of internal users with specific needs Complex internal organisation – technology mix Already some internal brokering – improve automation and work flow orchestration Create portal to provide service transparency – abstract from complexity Service organisation – increase agility with reduced sunk cost risk (over provisioning) Benefit – rapid response to client needs – reduces delivery frustration and reduces innovation risk. Ability to move work load
  • #14 We have all been sold the dream of full automation – pragmatically its about spotting the opportunity to make a tangible difference via selective automation and efficiency (technology, process, people - organisation)
  • #15 Example View your service request Action work flow – see inbox
  • #16 View showing internal and external service pricing
  • #17 This is not pipe dreams – we are helping clients with building this today
  • #19 Thank you for time We would love opportunity to discuss how we could help..