Service Management- the key to unlocking cloud savings

IBM
Tivoli Service Automation Manager V7.2
The Core of the Service
Management System for Cloud
Computing
Cloud Computing
© 2009 IBM Corporation
IBM
Pressures on IT today…
 Conflicting demands in your business; users want
resources, executives want innovation and the CFO
wants lower costs
 Concerns about your organization's ability to meet the
demands of your users
 The inability to complete critical projects on time
because skilled personnel are performing mundane
manual tasks
 The need for greater flexibility in the IT infrastructure
to respond to dynamically changing conditions
…Many IT managers are exploring cloud computing to address
these critical challenges
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© 2009 IBM Corporation
IBM
Cloud meets the challenge and significantly lowers cost…
Internal Private Cloud
Traditional Infrastructure
• x86 servers – one application per server
• 5% hardware utilization
• Manual operations & maintenance
versus
• x86 servers – full virtualization
• Embedded service management system
• Automated self service
Internal Private Cloud drives cost savings
 Can reduce IT labor cost by 50% in
configuration, operations,
management and monitoring
 Can improve capital utilization by
75%, significantly reducing license
costs
 Reduce provisioning cycle times from
weeks to minutes
 Can reduce end user IT support costs
by up to 40%
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Unit
cost
Traditional
Infrastructure
Service
Provider
Cloud
(cost)
Internal
Cloud
Scale
Large enterprises can significantly reduce costs for some
workloads compared with traditional IT
(IBM projections based on customer work)
© 2009 IBM Corporation
IBM
Cloud Computing
Cloud computing is a new service
consumption and delivery model
inspired by consumer Internet services.
 On-demand self-service
 Ubiquitous network access
 Location independent resource
pooling
 Rapid elasticity
…and cloud computing accelerates cost reduction benefit
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© 2009 IBM Corporation
IBM
Tivoli Service Automation Manager
Provides the software capabilities to request, fulfill, and manage
cloud services
 Simplifies user interaction with IT
 User friendly self-service interface accelerates time
to value
 Service catalog enables standards to drive consistent
service delivery
 Delivers provisioning to enable automation to lower cost
 Automated provisioning and de-provisioning speeds
service delivery
 Provisioning policies allow release and reuse of assets
 Integrates with key offerings to deliver advanced capabilities
 Included with IBM CloudBurst 1.2
 Integrated with WebSphere CloudBurst Appliance
 Integrated with Tivoli Usage and Accounting Mgr
Let’s examine these features in more detail…
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© 2009 IBM Corporation
IBM
Self-Service Portal and Service Catalog
Starting point for automated service workflows
Allows end users to use IT services without being an expert in IT
Users can see what resources
are available in the service
catalog, request the services
they need, when they need
them, for the time they need
them
New in Tivoli Service
Automation
Manager 7.2
• GUI enhanced with
Web 2.0 to improve
ease of use
• Reservation of
resources to allow
deployments to be
scheduled for a future
date to simplify
deployment
…Improves customer satisfaction by accelerating service delivery
with automated workflows
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© 2009 IBM Corporation
IBM
Deliver Services Faster using Automated Workflows
Wait time for services decreased by an average 98%*
Traditional Infrastructure
Tivoli Service Automation Manager
 Fill out paper request
 Automated with self serve portal
 Call IT daily to check status
 Track workflow status online
 Hope hardware is available
 Services when you need them
 Provisioning is manual and
inconsistent
 Provisioning is automated with
implemented standards
Fill out required forms
Request/track services online
*Based on IBM Research study 2009
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© 2009 IBM Corporation
IBM
Service catalog drives standards
Lack of standards leads to problems… here is a
real life client example
A Critical new application is being developed
 The Developer looks for system resources and finds old
out-of-date development environment
 During production deployment, IT discovers the
application won’t run in the current production OS
 To meet project demands, the out-of-date environment
configuration is put in production to satisfy the critical
business need
Versus:
 The Service Catalog contains standardized images and
environments that are automatically updated
 The Developer gets a “production standard” environment
when needed with an outstanding user experience via the
self serve portal
…standard services avoids unexpected problems
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© 2009 IBM Corporation
IBM
Automated Provisioning
Enables automation of complex provisioning tasks
Library of scenarios available for common provisioning tasks
Resources can be
made available in
minutes versus
weeks
New in Tivoli
Service Automation
Manager 7.2
•Image management
functions including
save and restore to
help improve
administrator
productivity
•Includes Tivoli
Provisioning Manager
7.1.1
…Speeds delivery of services via easy-to-use provisioning
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© 2009 IBM Corporation
IBM
Provision systems faster, with lower cost and
consistent quality
Lowers provisioning cost by an average 51%*
Traditional Infrastructure
Cloud with Service Management
 Experts deploy and configure
 Automation does the work
 Many error prone steps to execute
 Provisioned consistently every time
 Long lead time required
 Available when customer needs it
Manually configure systems
Automation does the work
*Based on IBM Research study 2009
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© 2009 IBM Corporation
IBM
Leverage automated provisioning to set policy
Have policies for provisioning new images
 Policy action: Before existing image is
provisioned always check and apply new
patches
Instead of having resources sit idle for
months
 Policy action: At end of scheduled time:
 Take image of environment to allow for
recreation
 De-provision resource and return to pool
…consistent policies improves service quality and reduces costs
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© 2009 IBM Corporation
IBM
Tivoli Service Automation Manager 7.2
An expanding cloud service management system
 Included with IBM CloudBurst 1.2 to
provide advanced management and
integration with other offerings
 New levels of integration with WebSphere
CloudBurst Appliance
 Provides key metrics to Tivoli Usage and
Accounting Manager to enable IT better
visibility to cloud usage
Let’s examine these more closely…
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© 2009 IBM Corporation
IBM
IBM CloudBurst
Integrated service management offering with network, servers,
storage, quickstart services, and financing as an integrated
offering for client test platforms
Customer Benefits
 Improved time to valueQuickly deliver a private cloud using a
preloaded and integrated system
 Improved innovation- Dramatically
improve business value and IT’s effect
on time-to-market by delivering
services faster
 Decrease capital expenses –
Maximize capital usage and reduce
added capital expense.
 Reduce complexity and risk- With
automation and standardization the
human error factor is minimized.
Now includes Tivoli
Service Automation
Manager 7.2
• Self serve portal
• Service catalog
• Provisioning
• Integration
Designed from IBM client engagements
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© 2009 IBM Corporation
IBM
WebSphere CloudBurst Appliance
A hardware appliance that provides access to WebSphere virtual images and patterns
for easily, quickly and repeatedly creating application environments, securely
deployed and managed in a private cloud
•Leverage Tivoli Service Automation Manager to speed
deployment of WebSphere applications with enhanced
WebSphere CloudBurst Appliance integration
WebSphere CloudBurst
Appliance
• Tivoli Service Automation Manager can
• Discover patterns by connecting to WebSphere CloudBurst
Appliance
• Request and reserve WebSphere CloudBurst Appliance
patterns
• Initiate deployment of WebSphere applications onto IBM
CloudBurst
•Leverage IBM CloudBurst as an out of the box cloud platform
for WebSphere applications delivered by WebSphere
CloudBurst Appliance
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IBM CloudBurst 1.2
© 2009 IBM Corporation
IBM
New Integration with Metering, Usage and
Accounting
Leverage integration with Tivoli Usage and
Accounting Manager to:
Understand costs, track, allocate and invoice by
department, user and many additional criteria.
Collect, analyze and bill based on usage and
costs of shared assets
Deliver detailed information and reports about
the intricate use of shared resources
…provide data for planning, budgeting, billing and
accurate chargeback for services
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© 2009 IBM Corporation
IBM
New reports
New in Tivoli Service
Automation Manager 7.2
•New reports over time to
provide visibility to key cloud
metrics
• Number of deployments
• CPU/memory used
• Instances by owner
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© 2009 IBM Corporation
IBM
Tivoli Service Automation Manager lowers cost and
drives significant ROI for cloud computing
Three key focus areas of cloud ROI that Tivoli
Service Automation Manager supports:
Productivity – Automate service requests
Provisioning - Delivers services faster with
better quality
System administration – Lowers cost of
cloud services administration
On average, 81%* of Cloud payback is driven by savings enabled
by service management. Let’s look at some ROI examples….
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© 2009 IBM Corporation
IBM
ROI analysis example- Banking
4.85
$1,313,958.33
$6,172,325.64
Estimated ROI over 3 years
Estimated avg. annual ROI
469.75%
156.58%
Year 1 Savings by Category
Testing
Productivity
4%
Provisioning
Cost
38%
Hardware
15%
Software
-3%
Cumulative Cost Comparison -- With and without Cloud
$30,000,000.00
Cumulative Expenses
Payback Period (months)
Total Initial Investment for Test Cloud
Net Present Value (NPV)
(large # of servers)
$25,000,000.00
$20,000,000.00
$15,000,000.00
$10,000,000.00
$5,000,000.00
$0.00
Transformation
Point
Year-1
Year-2
Year-3
Current IT Model Accumulated Costs Test Cloud Model Accumulated Costs
Sys. Admin.
Cost
40%
= Service Management
driven savings
ROI projections from IBM Research Study 2009
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© 2009 IBM Corporation
IBM
ROI analysis example- Manufacturing
12.18
$294,583.33
$669,678.84
227.33%
75.78%
Year 1 Saving by Category
Testing
Productivity
34%
Hardware
29%
Cumulative Cost Comparison -- With and without Cloud
Cumulative Expenses
Payback Period (months)
Total Initial Investment for Test Cloud
Net Present Value (NPV)
Estimated ROI over 3 years
Estimated avg. annual ROI
(SO account - small)
$2,000,000.00
$1,800,000.00
$1,600,000.00
$1,400,000.00
$1,200,000.00
$1,000,000.00
$800,000.00
$600,000.00
$400,000.00
$200,000.00
$0.00
Transformation
Point
Software -1%
Provisioning
4%
Sys. Admin.
32%
Year-1
Year-2
Year-3
Current IT Model Accumulated Costs Test Cloud Model Accumulated Costs
= Service Management
driven savings
ROI projections from IBM Research Study 2009
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© 2009 IBM Corporation
IBM
ROI analysis example- Banking
Payback Period (months)
Total Initial Investment for Test Cloud
Net Present Value (NPV)
6.82
$302,958.33
$935,880.13
308.91%
102.97%
Year 1 Saving by Category
Hardware
10%
Software
1%
Cumulative Cost Comparison -- With and without Cloud
Cumulative Expenses
Estimated ROI over 3 years
Estimated avg. annual ROI
Testing
Productivity
25%
(medium # of servers)
$5,000,000.00
$4,500,000.00
$4,000,000.00
$3,500,000.00
$3,000,000.00
$2,500,000.00
$2,000,000.00
$1,500,000.00
$1,000,000.00
$500,000.00
$0.00
Transformation
Point
Year-1
Year-2
Year-3
Current IT Model Accumulated Costs Test Cloud Model Accumulated Costs
Provisioning
Cost
22%
Sys. Admin.
Cost
42%
= Service Management
driven savings
ROI projections from IBM Research Study 2009
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© 2009 IBM Corporation
IBM
Tivoli Service Automation Mgr-IBM Deployment service
Benefits:
Deliverables:
•Minimize installation costs by
properly planning and executing
your rollout
•Tivoli Service Automation Manager
Architecture and Solution Design
•Learn from our years of
experience and proven
recommended practices
•Hands-on experience with Tivoli
Service Automation Manager
environment
•Create a template environment
that can be used as a model for
a rollout
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•Installation and configuration of
the product in a pre-production
environment
•Configuration and integration
scripts and code
•Deployment Summary
•Demonstration of features and key
use cases
•Basic skills instruction for customer
technical professionals
© 2009 IBM Corporation
IBM
Let’s Get Started
Next Steps:
1.Meet with IBM Dynamic
Infrastructure sales specialist for
deeper discussion on Tivoli Service
Automation Manager
2.Participate in workshop with IBM
Technical Services to review
implementation plans &
considerations
3.Receive your Proposal
 Visit:
Tivoli Service Automation Manager
Web page
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© 2009 IBM Corporation