Achieving Optimal Infrastructure A Perspective from Pomeroy By John McKenna If you were asked if your Information Technology (IT) infrastructure – the services, software and hardware needed to facilitate the business systems that in turn run the business – is optimized, how would you reply? Would you even know? By viewing IT infrastructure management in its entirety, as a process that delivers positive business outcomes, clients following the path to Optimal Infrastructure have a higher probability of success. In doing so, one can achieve an accelerated return on any technology investment. Achieving Optimal Infrastructure requires more than just technology. Rather, it is a continuous journey where each step has a defined start and end-point that allows an organization to gain process maturity, cultural change and expertise while deriving more business value along the way. In an industry where process maturity is normally at 2.x on a scale of one to five, the need to improve is urgent if you want to jump start or improve your IT process maturity. The typical reward for those organizations who have figured out how to get there faster is a return on the investment in half the time of the industry average, and a large majority of IT budgets have driven down costs by 20-30%. This paper explores ways that you can achieve the Optimal Infrastructure for your organization while realizing similar financial results. Introduction Infrastructure has several key characteristics that make it optimal: “always on” in terms of availability, high quality delivery of service, and a measured, balanced portfolio of capabilities. Some elements should be set in stone, while others are able to freely adapt and offer options in terms of quality and cost with static versus dynamic features. This includes hardware, software, and services, regardless of delivery method or how they are contracted (physically, virtually, or via the cloud, etc.), which are also referred to as towers, silos, and stacks. Our viewpoint is that the elements should be viewed differently, more as a holistic process rather than discrete individual components. Furthermore, we believe successful organizations that have optimized their infrastructure almost always exhibit the following five tenets within their approach: 1. Relationship Based - Focused on people, is transparent and mutually advantageous 2. Process Led - Integrated processes, optimizing the whole infrastructure 3. Quality Delivered - Focused and formal - ITIL, Six Sigma, ISO, Client satisfaction 4. Technology Enabled - Process first, then technology, leveraging the hub/spoke approach 5. Metric Driven - Structured information and analytics, baseline and goal line Achieving Optimal Infrastructure – A Pomeroy Perspective Copyright 2011 by Pomeroy. All rights reserved. 2|Page We will explore each of the five tenets in more detail later. First, let’s discuss examples and ideas of areas where we can improve the level of infrastructure optimization. In our opinion, Optimal Infrastructure exhibits more enhanced characteristics than less mature environments, as depicted in the table below. Characteristics of an Optimal Infrastructure Characteristics Optimal Infrastructure Always On Aligned with Business Dependable & Reliable Flexible & Adaptable Process-centric, Enabled Responsive High Quality High cost Variability Cost Effective Benchmarked & Measured Continuously Improved In today’s challenging business climate, every IT organization is being asked to do more with less. Generally, there are two fundamental strategies: 1) squeeze more out of the existing infrastructure; or 2) invest in innovative, higher value and, typically, newer business technologies. While we do not debate that these strategies work, we believe a more strategic approach can make an even more significant contribution. Specifically, as infrastructure consumes around 70% of a typical IT budget, re-engineering can drive more value from the existing investment. For example, we have seen companies that adopt our optimized infrastructure reduce some of their infrastructure management costs by 20-30%, while at the same time improving client satisfaction. Our approach offers the opportunity to personalize your infrastructure management as we optimize its performance. Achieving Optimal Infrastructure – A Pomeroy Perspective Copyright 2011 by Pomeroy. All rights reserved. 3|Page The landscape is littered with examples of IT initiatives that have failed due to the lack of process. The evolution of the Enterprise Resource Planning (ERP) marketplace over the last twenty plus years provides a rich history lesson from which we believe infrastructure management can learn. Common examples include clients’ contact centers, help desks or service desks that have been migrated offshore and then transitioned back some time later due to poor quality and dissatisfied clients. In our view, taking the time to define the process would have avoided the quality and client satisfaction challenges. Einstein defined insanity as doing the same thing over and over and expecting different results. Therefore, if we are to expect a different, positive outcome, we need to do something differently than we have done in the past. For example, a poor IT process that is offshored is still a poor process (albeit a cheaper one) that can never achieve quality or cost improvement objectives. Similarly, a poor process that is automated is simply a faster poor process. The “something different” that must be achieved is to vastly improve the process before automating, outsourcing, virtualizing, clouding or implementing any other delivery model. For example, the process “quote to cash” did not exist before Business Process Reengineering (BPR) re-calibrated and re-oriented the business process perspective, creating new value chains for businesses. Once achieved, Optimal Infrastructure will drive similar business value from infrastructure. If you agree that IT initiatives seem to “escape” as opposed to being systematically implemented in your environment, then the five tenets that we will explore on the next few pages will help with IT alignment and ensure a higher return on investment. The probability of success can be dramatically improved if you apply one of the top three lessonslearned from the BPR revolution, which was…”don’t forget the people”. This pass/fail factor for BPR success should keep infrastructure maturity initiatives keenly focused on the human element and this remains as true today for infrastructure initiatives as it did for BPR. Change management, or changing the way that your company does business, is required to achieve the desired outcome. Driving change requires intense focus on people, and must include education and training to equip individuals to work through a task or set of processes in a different way than they have before. Optimal Infrastructure provides this much-needed ‘people’ focus to a process-centric infrastructure management approach. A more detailed example of how to achieve this approach is to consider how BPR changed organizational structures by improving client satisfaction and increasing business performance. The so called “yellow sticky” component of process re-engineering was introduced in the 1980s by Michael Hammer. That principle may be used today to derive similar results when applied to infrastructure Achieving Optimal Infrastructure – A Pomeroy Perspective Copyright 2011 by Pomeroy. All rights reserved. 4|Page processes and management. The concept involves following current and new process flows from start to finish. For example, use one process across all departments, service providers, and data elements by producing a re-engineered infrastructure management process. This approach eliminates handoffs and lost data across teams, departments, supply chains, and IT platforms while improving the flow of valuable and timely information. The net result is improved client satisfaction, higher delivery quality, and reduced costs, a value proposition that is valid in any economic cycle. Another example is the ability to organize infrastructure management from a whole into logical, process-centric components, not just cost centers or organizational entities based on business unit or geography. The cost of managing several internal departments or a combination of internal and thirdparty service providers across an integrated process has the potential to increase costs and decrease client satisfaction, as well as reduce quality, reliability, and flow of information. In this case, the low hanging fruit, in terms of returning value to an organization, is to simplify the process by consolidating vendors. Industry norms suggest anywhere between six and fifteen percent of a service contract is spent managing the partnership and relationship, therefore, simple consolidation can produce short-term results. So, how do you know where you are starting from and how will you know when you are successful and complete? The infrastructure management maturity starting position must be based on the structured output of an evaluation or maturity assessment. A good way to start is to determine the structured data that will be measured and benchmarked at the outset to enable progress to be shown on an iterative and factual basis. Furthermore, metrics allow a baseline to be recorded and a plan of attack to evolve over time. Success may be achieved by maturing the infrastructure in general, or the specific business drivers of any infrastructure component, e.g., security, remote management, virtualization, etc. We regularly see volumes of unstructured data and then we are asked to draw conclusions, commit to value creation and return on investment. Only when structured data and information has been gathered and evaluated beforehand, can we actually ascertain what the commitments should be. This information, coupled with an assessment of the organization’s risk tolerance and ability to embrace change, will set the tone for the speed and rate at which change can be implemented for the plan to have the highest probability of success. The initial assessment will illuminate the relative maturity of the current state and assist in deriving practical expectations for a future state. Each stage of maturity delivers different advantages and Achieving Optimal Infrastructure – A Pomeroy Perspective Copyright 2011 by Pomeroy. All rights reserved. 5|Page embodies distinct characteristics. For example, early in the maturity scale, cost and integrity may increase as standardization, normalizing and process simplification take hold. Rationalizing infrastructure requires limited, if any, technology investment but can also drive additional value. Further down the maturity path, agility and variability become more prevalent characteristics. The infrastructure management industry, as a whole, suffers from a lack of standards in almost every area; deficiencies exist in standardized nomenclature, processes, tools and technologies. This fact inhibits process definition, improvement, and benchmarking. As industry standard initiatives like Information Technology Infrastructure Library (ITIL) and Information Technology Service Management (ITSM) enable more consistent communication and service delivery platforms, the cost of service delivery will continue to decrease as quality increases. These initiatives also provide the ability to measure, trend, and benchmark capabilities against others. Therefore, the creation of a business case for change becomes easier to implement while delivering more predictable results. Furthermore, the overall context of why an initiative exists, can assist in retaining focus and prioritizing the various and frequently competing infrastructure initiatives. As an illustration, we have seen organizations implement a service catalog or a configuration management database simply because it is the latest and greatest technology in infrastructure management, without also applying an ITIL framework or ITSM methodology. Without this context, the effort will likely result in yet another IT project that costs too much and fails to meet client expectations. Standardization further enables alternative delivery methods, such as remote monitoring and management solutions and technology delivered via the cloud which offer more viable and reliable methods for accelerating the return on IT investment. The ability to “plug and play” various service providers, tools, processes, etc. is significantly easier when a greater degree of commonality exists. This, in turn, allows the client to hold the keys to success and not be held captive by an ever-expanding mega outsourcing contract The greater the level of consistency, the more likely it is that service providers and clients will adopt these value creation alternatives, new delivery methods, contract vehicles, service levels, and pricing strategies. or service provider. The greater the level of consistency, the more likely it is that service providers and clients will adopt these value creation alternatives, new delivery methods, contract vehicles, service levels and pricing strategies. Achieving Optimal Infrastructure – A Pomeroy Perspective Copyright 2011 by Pomeroy. All rights reserved. 6|Page A potential quick hit is IT asset management, an apt example of a point solution that can be comfortably delivered via the cloud today. It is inherently well understood, has a somewhat limited scope with few dependencies, and is not an overly complex process. While an audit or cross-check should be continuous, a combined virtual and physical inventory still provides the best level of compliance. The basic elements of asset management -- accuracy of information and currency of information -- make IT asset management a great candidate as a service delivered from the cloud. Its combination of low business risk, straight-forward security and level of accuracy (70 – 80% on average) affords a great opportunity for improvement and accelerated return on investment. For the purposes of this paper the final lesson learned from the BPR revolution is the topic of revolutionary versus evolutionary change. History has shown that many approaches to change can work. However, the approach is predominately dependent upon a company’s culture, financial position, and appetite for change. By personalizing Optimal Infrastructure, we will find the right approach with you. As it applies to infrastructure, revolutionary change could be defined as throwing out the way IT does business today to adopt a fully-blown, integrated ITIL/ITSM-enabled solution. The marketplace has infrastructure process models available for acquisition and those models are beginning to be “configured” into ITSM tools that can implement new processes very quickly. This big bang approach can certainly work given the right risk tolerance, process capability, change management and maturity across an IT organization. However, for a fast return, make certain that all risk factors are taken into account before applying such an aggressive approach. Frequently the evolutionary approach requires a longer timeline to complete, and therefore, produces a different return on investment. An example of evolutionary change is to add a configuration management process and/or a database to capture all the change triggering events that define the infrastructure and the changes within it. Although considered an evolutionary approach, there are still considerable change and process implications. It is important to note that this less risky approach does work well for many firms. The questions companies should consider when evaluating how best to transform their IT infrastructure include the following: How formal is the company? Does my infrastructure management process reflect my personality or philosophy? How standard is the culture and IT environment? How complex should IT be? Achieving Optimal Infrastructure – A Pomeroy Perspective Copyright 2011 by Pomeroy. All rights reserved. 7|Page Will the infrastructure work with the 80/20 rule? Is there a willingness to invest the significant resources to re-invent the company’s people, process and technology? Is there a faster way? Is it cheaper in the long-run? Where has it worked before…can/does ITIL and ITSM work out of the box? Is there a desire to drive unique processes and infrastructure solutions in the environment? Can the company afford to be unique in this economic climate? All or some of these ideas may have sparked a thought in your mind as to how your infrastructure may drive more business value. If so, fantastic! We believe that the next sections of this paper will help to provide the foundational framework and begin to address roadblocks that you have or will encounter along the way. When you are ready to achieve the Optimal Infrastructure, this framework can help you accelerate the process. Five Tenets of Optimized Infrastructure We see five fundamental areas that are consistently portrayed in mature, optimized infrastructure environments. We would like to discuss them in more detail from the viewpoint of providing you with a perspective by which you can create further value in your organization. Relationships The expression, “people buy from people,” has stood the test of time. The reason is that people develop and build trust in individuals, and that trust gives them confidence in their purchases. Additionally, people ascertain and define the quality of a relationship over time. For instance, for a company that strives to be easy to do business with, listening is a key quality that can help create solutions that work and facilitates trust that can be built upon into the future. Characteristics of productive, worthwhile relationships are the same in our personal lives as they are in an Optimal Infrastructure management world. They include the ability to be open, honest, and transparent. They also include an environment where balance or a mutual benefit exists, an ability to Achieving Optimal Infrastructure – A Pomeroy Perspective Copyright 2011 by Pomeroy. All rights reserved. 8|Page speak one’s mind when changing or resolving conflict, respecting opinions and personal input and observations. No professional enjoys working in a one sided or unprofitable engagement or relationship. Any healthy relationship requires investment and hard work. Tenured, meaningful business relationships that derive business value for all parties involved possess these same characteristics. This is what we strive for in Optimal Infrastructure. The goal is to avoid becoming complacent or resort to “vendor” and “customer” relationships. People who work in the service industry will tell you that they work most effectively and efficiently in a nurturing and supportive environment. These traits exemplify a relationship between internal and external teams that thrive and produce. Also worth noting is that in our view few, if any, organizations have been able to optimize the performance and return of their infrastructure when such a relationship does not exist. So what kind of traits should you look for when selecting partners to assist in optimizing your infrastructure? A high quality relationship is enabled when an organization deploys a closed loop process with a compensation program that includes a formal client feedback process. This process should gather a client’s perceptions of a company’s performance as well as quantitative data [e.g., contracts, quality metrics, availability, Service Level Agreements/Objectives (SLA/SLOs) etc.]. This process includes a leader that is willing and able to listen and act on feedback. Our view is acknowledging, understanding, being aware of and discussing that a problem exists will lead to a prompt resolution, while hiding or denying the existence of an issue will only result in the issue growing in size and scale. It is also important for clients to have direct access to a company’s leadership, including the CEO, so that they can discuss any issue they perceive to impact the quality of service. A company that truly cares about client satisfaction creates a detailed description of any issues, identifies a client owner and company owner, and communicates the dates and plans for resolution with the client. Therefore, over time, service quality is the only thing that differentiates a partner and makes it stand above the crowd. This requires a daily focus on delivery with a constant formal measurement of the results. These results must drive continuous improvement of the delivery in order to earn and retain a client’s trust. Most importantly, this trust must be earned before the company has the right to ask for more of the client’s business. Governance councils are as important to relationship building as client satisfaction programs. A service provider may employ various forms of governance councils such as International Organization for Achieving Optimal Infrastructure – A Pomeroy Perspective Copyright 2011 by Pomeroy. All rights reserved. 9|Page Standardization (ISO) 38500, which defines the ultimate in governance and compliance management. A company must decide if it has the resources to comply with such an all encompassing, stringent environment, as well as consider whether a simpler approach may be taken. A personalized solution that leverages the best of governance and relationship methods can work if the time is taken to define the outcomes and a method for resolution of conflict. The process should fit the culture of both the client and the service provider organizations. In our view, the degree to which your philosophies, values and cultures align directly correlates to the probability of success. While on the Optimal Infrastructure journey, a formal governance process should be leveraged as part of an organization’s service delivery methodology. Also, an organizational structure that is balanced by client participation enables communication on various levels. This ranges from executive steering committees where business goals and objectives are established, reviewed, and monitored, to the IT professional who is following the steps to delight an end-user who has an immediate problem. Finding the right mix that helps you to achieve Optimal Infrastructure is the key. Process In our Optimal Infrastructure approach, process-centricity is possibly the most important component. So what exactly does that mean and what does it feel like? Processes align business and infrastructure outcomes. Every infrastructure process should exist to facilitate a business process. Processes define how an outcome is realized, the technology to enable them is the Is the infrastructure management process driving business value? secondary concern. Processes are only processes if they are used and work. In our definition a process is defined when process flows, Responsible, Accountable, Consulted and Informed (RACIs), and use metrics are in place. Or said differently, is the infrastructure management process driving business value? These processes have certain characteristics. For example, they are contextual and they exist to enable a business goal or objective. They are regularly reviewed and improved and they are designed with simplicity in mind. They are also built to last and expand or contract as needed. They reflect the company’s cultural aspects (e.g., formal, unique, custom or standard) so you know when the 80/20 rule is applicable and when you should drive custom solutions. We believe that when Optimal Infrastructure processes are integrated, they are part of a bigger picture, blend in, and drive value accordingly. Achieving Optimal Infrastructure – A Pomeroy Perspective Copyright 2011 by Pomeroy. All rights reserved. 10 | P a g e We think that the only systemic way to sustain long-term change is to redefine the way something is done. Once a process is re-engineered, then you can implement a technology that enables change. One of the best ways to make change permanent and accelerate the return on the investment can be observed in an example of the service desk environment. It could be multiple divisions or geographies using physically different desks or the same physical desk and discreet processes. We have seen clients reduce costs and increase productivity by tens of percentage points by redesigning a common process for the majority of incidents and refining a simpler process for the exceptions. Furthermore, when an organization evaluates the structured data and analyzes the incident management process to recalibrate and re-orientate the incidents and problems resolved, it informs the support hierarchy—first through a self-assist portal, then a high caliber service desk, and finally through on-premise resolution. The cost difference to resolve an incident by yourself as opposed to sending an IT professional to your office is considerable. One word of caution here is to remember the change management process and adoption rates of change will make or break such initiatives. The service desk in the Optimal Infrastructure is no longer the 95% voice, 2% fax, and 3% internet content play. Increasing presence – or paths to communicate to and from the service desk – describes the Optimal Infrastructure service desk. Given the re-engineered process, technologies such as autonomics video conferencing, voice mail, text to speech and speech to text, text messages, email, device sharing/control, instant messaging, on-line chat, etc., enable an easier to use service desk. These ever-present technologies broaden availability and reach by appealing to an ever-increasing audience, which crosses gender, generational and geographical boundaries, thereby creating the possibility of driving more value from an organization’s infrastructure. By making a desk ubiquitous and easier to use with a focused change management campaign, you can realize fundamental sustainable improvement. Simply put, if a process and the accompanying enabling technology are easy to use then more people will use it. In our view, the right process is the silver lining in today’s cloud computing environment. There is no single technology that will solve any problem by itself. We recognize the importance of technology enablement and the value of not forgetting the people. Considering each of the people, process, and technology elements individually and holistically is recommended. We have discussed the challenges of poor process definition and technology first strategies. We should not forget to evaluate the people cost component. Clearly, the off-shoring labor arbitrage model adds value as long as high cost labor is the only issue. However, as many companies are learning, there is a lot more involved in driving sustainable Achieving Optimal Infrastructure – A Pomeroy Perspective Copyright 2011 by Pomeroy. All rights reserved. 11 | P a g e value from a good process rather than just the labor component. Throwing people at a problem is only, at best, a short-term solution. Successful change drives systemic improvement and permanently Successful change drives systemic improvement and permanently reduces costs, such as driving the fixed costs of a typical IT budget from 70% toward 50% or even lower. reduces costs, such as driving the fixed costs of a typical IT budget from 70% toward 50% or even lower. A service provider who can implement a variety of IT asset-based and on-demand service solutions greatly enhances the speed and value of the business case while decreasing the fixed cost base of infrastructure management. The Optimal Infrastructure allows the flexibility of moving with the economic climate in either direction, whenever necessary. Quality Quality is a way of life and an organization’s passion for quality should fuel its desire to exceed clients’ expectations and employ a dedicated, satisfied and dependable workforce. Our Optimal Infrastructure has more to do with an organization’s culture than processes or tools alone. However, a measurement system is needed to formally establish a starting point and milestones of achievement. We see a passion and commitment for quality as the basis for service delivery and client satisfaction and as the only long-term marketplace differentiator. There are numerous flavors of quality metrics. For example, having a service provider’s IT team members all professionally certified in their field, from CompTIA A+ to CCIE, through ITIL and Six Sigma. So how can a company measure the quality of its infrastructure management processes? One good example we have seen is that of separate teams of professionals trained in Six Sigma, ITIL, and other process-centric methods or practices, who are not encumbered by delivering the service every day, can provide an objective, almost third-party point of view during the delivery of service. When measured formally and tied to compensation to drive behavior, quality can become an essential component of a company’s culture. Staying ruthlessly oriented towards raising the proverbial quality bar can drive out complacency and mediocrity or “good enough” mentality and thereby provide an excellent platform for innovation. A word of caution, as seen recently in the automotive and energy sectors; Achieving Optimal Infrastructure – A Pomeroy Perspective Copyright 2011 by Pomeroy. All rights reserved. 12 | P a g e taking the focus away from quality, even for a moment, can result in an instant loss of reputation in the market. In addition to a tarnished image, there are potentially significant financial consequences to consider. Every service provider lives or dies by its reputation. In our Optimal Infrastructure view, each should aspire to improve quality and satisfaction one client at a time. However, quality should not be assessed without regard to cost. It is clearly understood in the quality community, for example, that providing high quality to 80% of your populace is much less expensive than providing it to 100%. The cost of the last 20% will grow exponentially. Therefore, to determine an IT organization’s or service provider’s quality maturity level, consider the following questions: How high is the quality of service provided today? How formal is the measurement process? At what cost? How is this determined? How is it compared – and against what? What metrics are used? Are the IT professionals proficient and certified in process methodologies for creating and implementing new strategies? Is the overall process ISO 2000 certified? What about green initiatives – how do they impact cost and quality? Are the infrastructure and IT teams’ performance assessed through a formal audit or a peer review on an annual basis? What expectations are set for improvement year over year? Does the industry or a peer group recognize the company as a high quality player? Does the company’s compensation system drive and incent the desired behavior? Is infrastructure management a core competency of the organization? If not, does it merit the investment, resources, and time allocation to make it best in class? Does the infrastructure quality metric reflect the company’s quality philosophy and standard? A world-class, quality-focused organization has learned from experience and invested in the people, processes, and various technologies to meet client expectations. That, coupled with formal metrics, demonstrates where the organization started, how it is progressing and what objectives have been met. When added to regular, formal business reviews, quality is continuously improved through Achieving Optimal Infrastructure – A Pomeroy Perspective Copyright 2011 by Pomeroy. All rights reserved. 13 | P a g e communicating change, where appropriate – frequent minor course correction, and enhancing performance throughout the engagement. A plethora of methods can be used to define, measure, and refine a quality process. The general principles of Six Sigma – statistics, defect, and variability minimization – channeled through green and black belts to assist with process management and implementations, as well as ongoing process improvement, have been proven to work well. This, coupled with industry standardization through ISO, ITIL and ITSM like approaches, enables service providers to achieve very high marks in the area of service delivery excellence and client satisfaction, while also maintaining a keen eye on cost efficacy. Technology Many incredible technologies can dramatically accelerate the return on IT investment. Software companies born in the Software as a Service (SaaS) generation that deliver ERP-type functionality are now designed in the web 2.0 world. This can enable fully integrated Optimal Infrastructure processes in one tool that is architected to be delivered via the cloud as well as easily and cost effectively implemented and maintained. These tools represent one of the single largest opportunities to create business value from infrastructure and represent a significant component of the Optimal Infrastructure. But just as Oracle and SAP grew and learned from their respective approaches to the BPR market, so must these tools learn and grow from current and future market expectations. Though the “best of breed” versus “integrated” argument will play itself out in the infrastructure marketplace, the Optimal Infrastructure derives its advantage from the integrated process approach. Such tools are but one example of a “hub” that can account for approximately 80% of the Optimal Infrastructure. However, what is needed to obtain the other 20%? The answer lies in the various world-class “spoke” technologies Such tools are but one example of a “hub” that can account for approximately 80% of the Optimal Infrastructure. that are designed to solve one specific infrastructure management problem. The combination of the hub and spoke architecture provides a dependable technology platform that is more adaptable than the older or less integrated suites of software. This type of solution can solve greater than 90% of infrastructure management environment challenges while minimizing the cost of acquisition, implementation and most importantly, maintenance. Once a process-centric model has been developed and validated, and coupled with Achieving Optimal Infrastructure – A Pomeroy Perspective Copyright 2011 by Pomeroy. All rights reserved. 14 | P a g e proven alternative delivery models, (e.g., cloud, virtual or on-demand/”as-a-service”), viable infrastructure options can create and sustain significant business value. In our view, a company should consider how unique its infrastructure applications should be or need to be. A significant lesson learned from the BPR days was to look closely when balancing quality and cost when considering just how far “industry standard” or “out of the box” business processes could work in your environment. We feel that the same litmus test should be employed for infrastructure management. More standards lead to simpler, more cost-effective infrastructure solutions, the 80/20 rule can be effectively used to assist in this analysis. There is an inherent inflexibility of an older tool that is implemented “the way it always has been” (i.e., heavily modified to meet client-specific processes). Quite often the industry norm would probably suffice. The cost of migrating from an older platform by removing some enhancements and remodeling the data is usually more work than a completely new implementation of an integrated suite with mature, built-in ITIL/ITSM best practice processes. The result is a much broader scope of service that can be delivered more quickly with the ability to adapt to change already built-in. First servers, then storage, and now, desktops and switches; these are the elementary examples of the on-demand infrastructure environment that drives off-premise infrastructure. Virtual IT platforms, organizations, data, and capacity lead to greater focus on process compliance and data security (e.g., compare the value of a lost back-up tape 10 years ago versus today). Once an infrastructure can effectively and securely work in the virtualized world, then the cloud – whether it is private, public, or hybrid – is only one step away. An Optimal Infrastructure architected to allow logical extensions of capacity, scale, and variability helps to achieve the business requirements to drive down costs and lower capital expenditure. The adoption of these proven and valuable technology alternatives reinforces the need for a process-centric approach to infrastructure management. Metrics What is your definition of success? Do you have formal benchmarking for measuring and trending in place? Our suggestion is to make sure you have at least one measurement process. We have seen engagements fail because no one documented the starting point and what success looked like. Some engagements lose sight of where this journey began and where the end-point is–or how success was Achieving Optimal Infrastructure – A Pomeroy Perspective Copyright 2011 by Pomeroy. All rights reserved. 15 | P a g e even defined. These journeys can take years and maintaining results, focus, passion and enthusiasm over a long period of time can be facilitated by frequently re-prioritizing against the business objective to make sure everything is still on track. If the objective is to achieve another point in the infrastructure maturity scale, our recommendation is to establish a formal process and set of metrics so that incremental progress and direction can be demonstrated month over month and quarter over quarter. Validation checkpoints along the way – as a part of any strong process – will demonstrate and document progress. Starting with a baseline is integral to setting goals and measuring whether or not you have achieved them. Industry-standard maturity models, processes and tools help to define the starting point. Companies can also measure and review against an industry or peer baseline. However, if a peer baseline cannot be found or is inappropriate, then benchmark yourself against your previous year, a personal best, if you will. In this way, the company will know that they are making progress. Applying the principles of the Optimal Infrastructure will get any company there even faster. One thing any company can count on is, as soon as activity, scope, users, releases, etc., have been measured and recorded, the very next day something will have changed. We have developed an approach to documenting the key value and cost drivers at the first meeting. This approach enables us to track and trend changes in the most significant drivers at the outset. That way we can move forward together with our clients, and position them ahead of industry or peer groups, or in some cases, to just improve their personal best. We understand all of the moving parts that make communication about infrastructure complex and sometimes frustrating. Our beliefs are developed through firsthand experience in having managed infrastructure environments over many years. Pomeroy aspires to be a company that is easy to do business with and that you can trust every day. That is why we use Six Sigmalike rigor to analyze data and provide information about your infrastructure in a transparent way so that, together, we can improve the performance and accelerate the return on your investment. Processes driven by formal analytics based on structured data will all greatly mitigate risk and increase probability and speed to accomplish your version of the Optimized Infrastructure. Achieving Optimal Infrastructure – A Pomeroy Perspective Copyright 2011 by Pomeroy. All rights reserved. 16 | P a g e Summary Just as a leading automotive manufacturer who is known for high quality vehicles uses the slogan “relentless pursuit of perfection,” so Pomeroy believes in our desire to relentlessly pursue our clients’ Optimized Infrastructure. The automotive company started with one car as a baseline, then every year it produced a new model year with improved brakes, economy, luxury, technology, entertainment, safety features, etc. Pomeroy’s Optimized Infrastructure begins with an assessment of IT maturity and follows a proven path for continuous improvement by educating users and leveraging new processes and technologies. Consistent, regular metrics enable us to design and roll-out each infrastructure “model year” or improvement plan in the relentless pursuit of the Optimal Infrastructure. The Optimal Infrastructure approach represents the best of what the Pomeroy team has seen in the marketplace when the goal is to create value from IT infrastructure and accelerate the return on an IT investment. By developing trusted, tenured relationships with all of the leading hardware and software manufacturers, Pomeroy has provided Optimal Infrastructure-focused solutions to our clients for nearly thirty years. Our straight-forward and open approach identifies where we can add business value to infrastructure management initiatives, and our clearly defined milestones and metrics will ensure that success is achieved. If this philosophy sounds like the type of relationship and model that appeals to you, then please contact us at [email protected]. We’d love to work with you to accelerate the return on your IT infrastructure investment. Would you like to receive more information about this white paper? Click here. Achieving Optimal Infrastructure – A Pomeroy Perspective Copyright 2011 by Pomeroy. All rights reserved. 17 | P a g e About the Author John McKenna Senior Vice President of Corporate Development John joined the Pomeroy team in January 2010 as Senior Vice President of Corporate Development. John is responsible for growing the services business, corporate strategy for M & A, and marketing. Prior to joining Pomeroy, McKenna served as Chief Strategy and Services Officer for CompuCom with a focus on outsourcing, sales and consulting, and M & A activities. As a founder of International Consulting Solutions, John created a global IT consulting organization from the ground up and subsequently sold it to Deloitte and Touche. He became a partner for Deloitte Consulting where he facilitated the growth of ERP practice. McKenna has more than twenty-five years experience in the IT Services Industry. He is a graduate of Heriot-Watt University in Edinburgh, Scotland with a Bachelor of Science. Achieving Optimal Infrastructure – A Pomeroy Perspective Copyright 2011 by Pomeroy. All rights reserved. 18 | P a g e
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