Your Cloud Under Your Control?
Enterprise Ready On-Demand Computing
June 6th, 2011
Your Kings-of-the-Cloud:
Drs. Job Stierman RE MoC CGEIT - Verizon
Drs. Mike Chung RE - KPMG
© 2009 Verizon. All Rights Reserved. PTE13757 06/09
The Extended Enterprise
A Complex, Global, and Dynamic Business Model
IT leadership must help accelerate business growth while optimizing performance.
• Challenges
for IT Leaders
Customers
– Complex networks
– Large number of
applications
– Security and
compliance
Suppliers
Partners
Contact
Centers
Remote
Workers
Retail
Locations
Data
Centers
Branch
Offices
– Remote locations
and workforce
– In-house expertise
– Capital investment
– Timely support for
Infrastructure
growth
3
Distributors
Headquarters
Business Challenges
Inflexible and Cost Prohibitive Infrastructure
Enterprises are faced with a common set of business challenges centered
around improving performance of applications and infrastructure while
controlling the cost of doing business.
• Common challenges include:
– Managing the cost of
underutilized resources
– Need the ability to deploy
capacity on demand
– High availability configurations
are complex and costly
to manage
– Transparency with information
for cost management
and chargeback
4
• Traditional method: IT
Need
as a
Plan center
feature,
Need
cost
to
redundancy
peak
buyfor
a box
business
– buy
two of everything
• Difficult
Each department
Cannot
scale
to prioritize
quickly
or business
for
• individual
application
fluctuating
Capital
intensive,
needs
business
was in a silo
cycles
with
dedicated resources
significantly
drives up cost
• Difficult
Loss of flexibility
to perform as
• value
Demand
Complex
center
varies
in nature
overand
time
• Once
locked
into
dedicated
difficult to manage
• Companies
Idle servers are
infrastructure,
waste
you
looking
capital,
become
for
• departmental
powersacrifice
rapidly
Must
and
overtaken
cooling,
charge
flexibility
byand
back to
data center
technology
help
cost management
space
advancements
Infrastructure
Development
Applications
How Can You Use the Cloud?
5
Software as a Service
CRM/ERP/HR
UC
Industry
Applications
Business
Processes
• Users access applications from the web, mobile devices, office, and home computers
• Purchase features in a flexible manner: per seat, per application, or usage-based
End User
Platform as a Service
Billing
Middleware
Database
Integration
• Business customers leverage platform to deliver consumer applications,
like social networking, video, and music
• Underlying technology is abstracted from IT user
IT User
Infrastructure as a Service
Server
Storage
Data Center
Network
• Provide low cost infrastructure as foundation for other services
• Multiple entry points to consume resources, software applications, web-based portal
IT User
Cloud Drivers Across Industries
6
Cloud Inhibitors Across Industries
7
Industry Near Term Cloud Opportunity (<2012)
8
Utility Based Pricing
Cash Flow Friendly Model
Take financial risk in monthly increments by transitioning from a CAPEX
model to an OPEX oriented model, matching resources consumed to
actual
business demand and growth.
• Based on Daily Usage, billed
monthly
• Predictable Monthly Rates per
Resource
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Resource
Usage Metric
• Proration for Mid-Month Usage
Servers
Per Device
• Usage Reporting and Trending
Software
Per CPU / Device
• Flexible Contract Terms
– Pure usage
– Commitment Tiers
Storage & Backups
Per GB
Bandwidth
Per Mbps
Firewall / LB
Per Device
Comprehensive Security is mandatory
Layered Approach: Design with Security in Mind
Infrastructure
Security
Client
Security
Optional Security
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• Physical security of data center environment
• Rigorous security testing and audits including certification
• Benefits of Virtual Farm approach:
– Load Balancer controls application exposure to Internet
– Multi-tiered network with Virtual Firewall in between
• Single sign on portal
• Audit trail of all change actions
• Secure connection to customer provisioned farms
• Hardened OS build on private build network
• Continuous patch management
• Identity and Access Management
• Host Intrusion Detection/Host Intrusion Prevention
• Log Management
• Application Vulnerability Assessment
• Network Application Assessment
• Professional Security Services including SMP
Suggested Cloud Maturity Model (1)
CLOUD SERVICES MATURITY LEVELS: AN ENTERPRISE, EITHER CLIENT OR SERVICE PROVIDER IS CHARACTERIZED AS:
Ad Hoc / Initial:
Processes around
cloud services are ad
hoc and disorganised
Repeatable but
intuitive: Processes
around cloud services
follow a regular pattern
The need for and importance of cloud services are communicated. Planning is tactical and focused on
generating solutions to technical problems, rather than on the use of cloud technology to meet business
needs. Evaluation of technological changes is left to different individuals who follow intuitive, but similar,
processes. Processes around cloud services, such as maintenance, problem & change management, have
developed to the stage where similar procedures are followed by different people undertaking the same
task. There is no formal training or communication of standard procedures on how to deploy cloud
services, and responsibility is left to the individual. There is a high degree of reliance on the knowledge of
individuals and, therefore, errors are likely.
Defined process:
Processes around
Management is aware of the importance of cloud services. Development planning and process around the
cloud are reasonably sound and aligned with the IT strategic plan. There is a defined, documented and wellcommunicated technology infrastructure plan, but it is inconsistently applied. The cloud services direction
includes an understanding of where the organisation wants to lead or lag in the use of cloud services,
based on risks and alignment with the organisation’s strategy. Key vendors are selected based on the
understanding of their long-term technology and product development plans, consistent with the
organisation’s direction. Procedures around cloud services, such as maintenance, problem & change
management, have been standardised and documented, and communicated through training. It is mandated
that these processes should be followed; however, it is unlikely that deviations will be detected. The
procedures themselves are not sophisticated but are the formalisation of existing practices.
cloud services are
documented and
communicated
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There is evidence that the enterprise has recognised that cloud-services exists and need to be addressed.
Management recognises the need for cloud services planning. Developments and emerging technology with
regards to cloud services implementations are ad hoc and isolated. There is a reactive and operationally
focused approach to cloud services. Technology directions are driven by the often contradictory product
evolution plans of hardware, systems software and applications software vendors. Communication of the
potential impact of changes in technology is inconsistent. There are, no standardised processes to deploy
cloud-services; instead, there are ad hoc approaches that tend to be applied on an individual or case-bycase basis.
Suggested Cloud Maturity Model (2)
CLOUD SERVICES MATURITY LEVELS: AN ENTERPRISE, EITHER CLIENT OR SERVICE PROVIDER IS CHARACTERIZED AS:
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Managed and
measurable: Processes
around cloud services
are monitored and
measured
Management ensures the development and maintenance of the cloud services plan. IT staff members have the
expertise and skills necessary to develop a cloud services plan. The potential impact of changing and
emerging technologies is taken into account. Management can identify deviations from the plan and anticipate
problems. The process of developing the cloud services plan is sophisticated and responsive to change.
Internal good practices have been introduced into the process. The human resources strategy is aligned with
the technology direction, to ensure that IT staff members can manage technology changes. Migration plans
for introducing new technologies are defined. Outsourcing and partnering are being leveraged to access
necessary expertise and skills. Management has analysed the acceptance of risk regarding the lead or lag use
of cloud services in developing new business opportunities or operational efficiencies. Management monitors
and measures compliance with procedures and takes action where processes around cloud services appear
not to be working effectively. Processes are under constant improvement and provide good practice.
Optimised: Cloud best
practices are followed
and automated
A research function exists to review emerging and evolving cloud services and benchmark the organisation
against industry norms. The direction of the cloud services plan is guided by industry and international
standards and developments, rather than driven by technology vendors. The potential business impact of
cloud services change is reviewed at senior management levels. There is formal executive approval of new
and changed technological directions. The entity has a robust cloud services plan that reflects the business
requirements, is responsive and can be modified to reflect changes in the business environment. There is a
continuous and enforced process in place to improve the cloud services plan. Processes have been refined to
a level of good practice, based on the results of continuous improvement and maturity modelling with other
enterprises. Cloud services are used in an integrated way to automate the workflow, providing tools to
improve quality and effectiveness, making the enterprise quick to adapt.
Any
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Questions?