Cloud strategy briefing 101

Cloud Strategy Briefing 101 This work is licensed under the Creative Commons Attribution-ShareAlike 3.0 Unported License. To view a copy of this license, visit http://creativecommons.org/licenses/by-sa/3.0/ or send a letter to Creative Commons, 171 Second Street, Suite 300, San Francisco, California, 94105, USA. Attribute to: Predrag Mitrovic at http://cloudadvisor.se

Cloud Strategy Briefing 101 Mastering strategy development, formulation and execution

20+ years in the IT industry
EDP technician specializing in Unix and Novell systems
Test and Chief Editor; Nätverk & Kommunikation (IDG)
Own consulting firm
Nordic Consulting Manager, Novell
CSA/NTO, Microsoft
General Manager, LabCenter
Now manages MyNethouse
Co-founder & board member Cloud Sweden
Consultant, author, lecturer and inspirer.
Predrag Mitrovic [email_address] Cloud Competence With Confidence

Context and objectives of this WS
Cloud Computing ”crash course”
Promises of the Cloud Revolution
Lower costs
Faster time to market/application
Driving value
Setting realistic expectations – framing the good, bad and ugly
End-customer focus: Suitable adopters and where to benefit
Cloud Competence With Confidence

After this workshop You will…
Understand why to develop an overall Cloud Strategy on solid business cases
Have a portfolio of questions to ask prospective vendors
Not buy Clod for the sake of Cloud
Find the ”what´s in it for me” propositions

But first! Cloud Competence With Confidence

And now! Cloud Competence With Confidence

WHAT IS CLOUD COMPUTING? Cloud Competence With Confidence

NIST Definition
NIST Definition of Cloud Computing*
“ Cloud computing is a model for enabling convenient, on-demand network access to a shared pool of configurable computing resources (e.g., networks, servers, storage, applications, and services) that can be rapidly provisioned and released with minimal management effort or service provider interaction. This cloud model promotes availability and is composed of five essential characteristics, three service models , and four deployment models . ”
Note: Cloud software takes full advantage of the cloud paradigm by being service oriented with a focus on statelessness, low coupling, modularity, and semantic interoperability.
Cloud Competence With Confidence * National Institute of Standards and Technology (NIST) : Cloud Computing http://csrc.nist.gov/groups/SNS/cloud-computing/index.html

NIST Definition (cont.)
Essential characteristics of Cloud Computing
On-demand self-service. A consumer can unilaterally provision computing capabilities, such as server time and network storage, as needed automatically without requiring human interaction with each service’s provider.
Broad network access. Capabilities are available over the network and accessed through standard mechanisms that promote use by heterogeneous thin or thick client platforms (e.g., mobile phones, laptops, and PDAs).
Resource pooling. The provider’s computing resources are pooled to serve multiple consumers using a multi-tenant model, with different physical and virtual resources dynamically assigned and reassigned according to consumer demand. There is a sense of location independence in that the customer generally has no control or knowledge over the exact location of the provided resources but may be able to specify location at a higher level of abstraction (e.g., country, state, or datacenter). Examples of resources include storage, processing, memory, network bandwidth, and virtual machines.
Rapid elasticity. Capabilities can be rapidly and elastically provisioned, in some cases automatically, to quickly scale out and rapidly released to quickly scale in. To the consumer, the capabilities available for provisioning often appear to be unlimited and can be purchased in any quantity at any time.
Measured Service. Cloud systems automatically control and optimize resource use by leveraging a metering capability at some level of abstraction appropriate to the type of service (e.g., storage, processing, bandwidth, and active user accounts). Resource usage can be monitored, controlled, and reported providing transparency for both the provider and consumer of the utilized service.

Service Models:
(Cloud) Software as a Service (SaaS). The capability provided to the consumer is to use the provider’s applications running on a cloud infrastructure. The applications are accessible from various client devices through a thin client interface such as a web browser (e.g., web-based email). The consumer does not manage or control the underlying cloud infrastructure including network, servers, operating systems, storage, or even individual application capabilities, with the possible exception of limited user-specific application configuration settings.
(Cloud) Platform as a Service (PaaS) . The capability provided to the consumer is to deploy onto the cloud infrastructure consumer-created or acquired applications created using programming languages and tools supported by the provider. The consumer does not manage or control the underlying cloud infrastructure including network, servers, operating systems, or storage, but has control over the deployed applications and possibly application hosting environment configurations.
(Cloud) Infrastructure as a Service (IaaS). The capability provided to the consumer is to provision processing, storage, networks, and other fundamental computing resources where the consumer is able to deploy and run arbitrary software, which can include operating systems and applications. The consumer does not manage or control the underlying cloud infrastructure but has control over operating systems, storage, deployed applications, and possibly limited control of select networking components (e.g., host firewalls).

Deployment Models:
Private cloud. The cloud infrastructure is operated solely for an organization. It may be managed by the organization or a third party and may exist on premise or off premise.
Community cloud. The cloud infrastructure is shared by several organizations and supports a specific community that has shared concerns (e.g., mission, security requirements, policy, and compliance considerations). It may be managed by the organizations or a third party and may exist on premise or off premise.
Public cloud. The cloud infrastructure is made available to the general public or a large industry group and is owned by an organization selling cloud services.
Hybrid cloud . The cloud infrastructure is a composition of two or more clouds (private, community, or public) that remain unique entities but are bound together by standardized or proprietary technology that enables data and application portability (e.g., cloud bursting for load-balancing between clouds).

Cloud Competence With Confidence Visualized Cloud Definition from NIST Deployment Models Service Models Essential Characteristics Public Private Hybrid Community Software as a Service (SaaS) Platform as a Service (PaaS) Infrastructure as a Service (IaaS) On-Demand Self Service Broad Network Access Resource Pooling Rapid Elasticity Measured Service

Cloud Competence With Confidence Traditional IT vs. Cloud Computing Traditional IT Dedicated HW & SW procurement “the old way” New services added manually Semi-automated repair of system failure Months Incremental CapEx purchases Shared (multi-tenancy) Self service Scale on-demand Automated recovery due to integration / interoperable Minutes Pay per use Consumption Ease of Use Scalability Availability Provisioning Cost Cloud Computing

The cloud Promise
No upfront investments or capital expenditures
Immediate access to needed capacity & resources
Low IT barriers to innovation
Business agility booster
Business needs driving demand
Find the scaling balance:
No lost possibilites
No over-capacity
Scale up or down
Pay-per-use
Opex vs Capex

The CIO Dilemma Cloud Competence With Confidence
SW upgrade = new license
Users always complaining
SaaS = better + cheaper
Employees use cloud services for
Private purposes
Need to cut costs
Must deliver business value
IT to expensive
Is internal IT secure?
IT moves to slow
My job is at stake
I´m tired of #@% SW licenses
I must manage costs
I must justify investments
How can I get CEO attention?
I am cutting costs
I am on top of trends & hypes
We can´t do that
I am innovating here
I have full control

CIO Pains & Gains Cloud Competence With Confidence
Undermanned & overworked IT staff
Insufficient (shrinking) IT budget
Hacker attacks
No/low influence on business
Downtime
Rapid technological changes
Growing need for consultants
Invest budget in high business value projects
Align IT & business
No SW licenses to manage
IT seen as critical for success
Secure IT environment
Sufficient time to plan mission-critical projects
Happy users

Integration & application Core capabilities Core capabilities Integration & application Infrastructure & operations Driving force Cloud Competence With Confidence Infrastructure & operations

Scaling (”the old way”) ” Traditional IT” Business Needs Lost opportunities Under-utilized capacity Cloud Competence With Confidence

Scaling (”the cloud way”) ” Cloud delivered IT” Business Needs Cloud Competence With Confidence

Traditionell IT - kostnadsbild Year 1 Investment Year 2 Year 3 Cost: Investment HW/SW + implementation ROI: Effective IT-process + organizational usage (core capabilities) Scaling vs costs (”old way”) Cloud Competence With Confidence

IT-leverans via molnet Year 1 Year 2 Year 3 ROI: Natural effect from higher usage Scaling vs costs (”cloud way”) Cloud Competence With Confidence Cost: Pay for what you use

Priorities for adoption
Financial:
Cost effectiveness
Clear ROI
TCO vs own Data Center
Operational:
Manage flexibility/agility
Cross-company innovation board
Roles
Technical:
Real security concerns?
Data integrity
Regulatory compliance
Reliability of cloud workloads
Organizational:
Prepared for the cloud-centric world?
Role of demand organization
Role of IT organization
Cloud Competence With Confidence 1 2 3 4

THE Model! Cloud Competence With Confidence

Vision, visualization, understanding the terrain, formulation Controlled implementation Hype, case, best practices, besserwissers Case studie, best practice, lessons learned Cloud Competence With Confidence Strategic Cloud Model THE CLOUD Leadership, change management, decision criteria, evaluations Our Workshop

Cloud Competence With Confidence Consolidated Data Center
Private Cloud
Policies
Security
Interoperability
Standards
Public/Hybrid Cloud

Part 1 Cloud Competence With Confidence HW SW Consultants Support Maintenance Operational overhead Storage Transfer Energy Communication
Agility/flexibility
Availability
Technology management
Test/development/integration/maintenance
License utilizaton
Process management
Overhead
TTM/TTA

Part 2 Cloud Competence With Confidence

Part 3 Cloud Competence With Confidence Operational Pragmatic Value Creator Cost Cutter Business Leader Cooperation Inspiring Technology Leader Drive innovation Maximize ROI Move the business forward Visionary – Share insights

Part 4 Value Creation Value Creation Value Creation Bussines Owners Vendors Expert Commty Cloud Maestro
Cloud Computing Vision / Mission
Inspiration
Market Research / Use Cases
Guidelines
Enterprise Architecture
Procurement Support
Business needs
Requirements
Interests & Feedback
Standards Requirements
Security Processes
Procurement Approaches
Best Practices
Operations
Performance management
Seek Direction and Guidance
Engagement
Sustainable relations
Compliant Services and Offerings
Input to Standards
Collaboration on Developing Standards & Best Practices
Security Standards Operations Performance
RFI/RFPs
Definitions
Security Requirements
Standards Requirements
SLAs
Workshops Consulting Webinars Seminars Analyst services Labs Articles

Cloud Competence With Confidence Usage Metering Provisioning services Authentication Authorization Logging Reporting Incident management Data Enterprise Appl. (UI + Logic)

Application cloud feasability Cloud Competence With Confidence Clear Business Benefit Unique Capability? Impediments to outsourcing Impediments to Cloud Business Driver Cloud compatible Will the solution be a platform IT Business Process Insulation IT based different-iation Custom App, HW, SW Custom HW, SW Yes No Based on Open Group

Compliance Cloud Competence With Confidence

Requirement fulfillments Cloud Competence With Confidence

Risk management Cloud Competence With Confidence

Business continuity Cloud Competence With Confidence

Good sources for information
Cloud Sweden (LinkedIn: search for Cloud Sweden)
Cloud Advisor – cloudadvisor.se (Swedish only, sorry)
CloudTweaks – www.cloudtweaks.com
NIST – csrc.nist.gov/groups/SNS/cloud-computing/index.html
CloudCamp – www.cloudcamp.com
Cloud Security Alliance – www.cloudsecurityalliance.com
Open Cloud Manifesto – www.opencloudmanifesto.org

Good sources for information (cont.)
Cloud Standards – cloud-standards.org
The Open Group - www.opengroup.org/cloudcomputing/
IDG Cloud Magazine – cloud.idg.se/
Amazon, Microsoft, Google, IBM, Oracle, Salesforce, RackSpace and all the others…

Predrag Mitrovic
[email_address]
+46 (0)709 – 200 350
Skype/Twitter: write4joy
Thank You for attending! Cloud Competence With Confidence

Cloud Strategy Briefing 101 This work is licensed under the Creative Commons Attribution-ShareAlike 3.0 Unported License. To view a copy of this license, visit http://creativecommons.org/licenses/by-sa/3.0/ or send a letter to Creative Commons, 171 Second Street, Suite 300, San Francisco, California, 94105, USA. Attribute to: Predrag Mitrovic at http://cloudadvisor.se

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Cloud strategy briefing 101

by Predrag Mitrovic

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