Cloud Computing at SAP


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  • There are 3 trends behind Cloud ComputingIndustrialization of IT: standardizing and automating manual processes in the IT BusinessUtility Computing: from inflexibile and long-term contracts to metering of resource usage and payment based on usageOn Demand Fullfillment: from long running customer projects to immediate fulfillment of customer needsThis results in value-It increases R&D Efficiency as Software & Hardware provisioning does not require planning any more. It increases agility of R&D-These new capabilities allow defining an entirely new consumption experience of SAP solutions-In addition the high degree of efficiency in the Cloud Computing principles result in massive cost reduction for SAP, customers and Partners
  • When used 24/7, Amazon EC2 costs <50% Traditional HostingMost important the curve is linear.When used for days or hours at a time, costs drop very dramatically: e.g., to 15% for a typical work week.
  • Demo: Provisioning of an ERP systemUsage MeteringBilling
  • Standardized Cloud API, Allowing Innovation on Massive Scale on providing Software SolutionsThe great successes of Standardization: USB, DirectX
  • Virtualization has a clear value proposition in lowering costs and it has a great future.At the same time Virtualization increases the complexity of IT.What you should get is something what allows you to reap the benefits of virtualization without getting in touch with the complexity of operations underneath.And that is the primary focus of this project.
  • The same cloud services we just enhanced it to be a Multi-Tenant application, build using SAP NetWeaver CE running in the Amazon CloudI will leverage here in a Virtual Appliance: Developer StudioI want to highlight here another trend, called desktop application virtualization, which packages desktop applications and makes them redistributable. The difference to normal virtualization is that it does not contain the operating system, so I do not have to deal with the challenges of redistributing an OS: Unix, Linux, Windows and also not how to patch them.Another value I experienced yesterday. Literally at the San Francisco Airport waiting for my flight to London, my laptop died. I shot a mail to Darren, requesting a looner laptop for the presentation today.It took IT 1 ½ hours to provide me with a laptop only with Windows and Office installed. It took me 5 min to copy one virtual appliance file from my old harddisk to the new laptop, and this scenario was running again.
  • Cloud Computing at SAP

    1. 1. Frank Stienhans<br />BST Innovation Center<br />SAP<br /><br />July 15th 2009<br />Cloud Computing @ SAPSAP UK Worldtour<br />© SAP 2009 / SAP World tour / Page 1<br />
    2. 2. Copyright 2008 SAP AGAll rights reserved<br />No part of this publication may be reproduced or transmitted in any form or for any purpose without the express permission of SAP AG. The information contained herein may be changed without prior notice.<br />Some software products marketed by SAP AG and its distributors contain proprietary software components of other software vendors.<br />SAP, R/3, mySAP,, xApps, xApp, SAP NetWeaver, Duet, Business ByDesign, ByDesign, PartnerEdge and other SAP products and services mentioned herein as well as their respective logos are trademarks or registered trademarks of SAP AG in Germany and in several other countries all over the world. All other product and service names mentioned and associated logos displayed are the trademarks of their respective companies. Data contained in this document serves informational purposes only. National product specifications may vary.<br />The information in this document is proprietary to SAP. This document is a preliminary version and not subject to your license agreement or any other agreement with SAP. This document contains only intended strategies, developments, and functionalities of the SAP® product and is not intended to be binding upon SAP to any particular course of business, product strategy, and/or development. SAP assumes no responsibility for errors or omissions in this document. SAP does not warrant the accuracy or completeness of the information, text, graphics, links, or other items contained within this material. This document is provided without a warranty of any kind, either express or implied, including but not limited to the implied warranties of merchantability, fitness for a particular purpose, or non-infringement.<br />SAP shall have no liability for damages of any kind including without limitation direct, special, indirect, or consequential damages that may result from the use of these materials. 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Dieses Dokument ist eine Vorabversion und unterliegt nicht Ihrer Lizenzvereinbarung oder einer anderen Vereinbarung mit SAP. Dieses Dokument enthält nur vorgesehene Strategien, Entwicklungen und Funktionen des SAP®-Produkts und ist für SAP nicht bindend, einen bestimmten Geschäftsweg, eine Produktstrategie bzw. -entwicklung einzuschlagen. SAP übernimmt keine Verantwortung für Fehler oder Auslassungen in diesen Materialien. SAP garantiert nicht die Richtigkeit oder Vollständigkeit der Informationen, Texte, Grafiken, Links oder anderer in diesen Materialien enthaltenen Elemente. Diese Publikation wird ohne jegliche Gewähr, weder ausdrücklich noch stillschweigend, bereitgestellt. Dies gilt u. a., aber nicht ausschließlich, hinsichtlich der Gewährleistung der Marktgängigkeit und der Eignung für einen bestimmten Zweck sowie für die Gewährleistung der Nichtverletzung geltenden Rechts.<br />SAP übernimmt keine Haftung für Schäden jeglicher Art, einschließlich und ohne Einschränkung für direkte, spezielle, indirekte oder Folgeschäden im Zusammenhang mit der Verwendung dieser Unterlagen. Diese Einschränkung gilt nicht bei Vorsatz oder grober Fahrlässigkeit.<br />Die gesetzliche Haftung bei Personenschäden oder die Produkthaftung bleibt unberührt. Die Informationen, auf die Sie möglicherweise über die in diesem Material enthaltenen Hotlinks zugreifen, unterliegen nicht dem Einfluss von SAP, und SAP unterstützt nicht die Nutzung von Internetseiten Dritter durch Sie und gibt keinerlei Gewährleistungen oder Zusagen über Internetseiten Dritter ab.<br />Alle Rechte vorbehalten.<br />© SAP 2009 / SAP World tour / Page 2<br />
    3. 3. Organization and Disclaimer<br />Description<br />Product Organization: SAP Business Solutions and Technology (BST)<br />Large Enterprises: SAP Business Suite, SAP Large Enterprise On Demand SME: SAP All in One, SAP Business byDesign, SAP Business One Technology: SAP Business Objects, SAP NetWeaver<br />Description<br />Organization: SAP BST Innovation Center<br />Explore innovation potential of new market and technology trends including<br /> On Demand, Virtualization, Cloud Computing, Web 2.0, Co-Innovation Communities, Rich User Experiences<br />Description<br />Disclaimer<br />1. The following content represent ideas and prototypes – not product announcements or commitments to productize<br />2. SAP is very interested in understanding the use cases and requirements you see.<br />© SAP 2009 / SAP World tour / Page 3<br />
    4. 4. Agenda<br />Description<br /><ul><li>Introduction
    5. 5. Value
    6. 6. General Use Cases
    7. 7. Conclusions</li></ul>Cloud Computing Agenda<br />Theme<br />What could you do, if SAP would incorporate advanced forms of virtualization into our product and service offerings?<br />© SAP 2009 / SAP World tour / Page 4<br />
    8. 8. Cloud Computing Definition<br />Application Providers<br />Platform Providers<br />Infrastructure Providers<br />Service Providers<br />400,000 Developers + ISVs<br />Definition from Consumer Perspective<br />Trends<br />Cloud Computing allows On Demand Software Provisioning with Zero-Installation & <br />Automatic Configuration at low cost and immediate access in Scalable Data Centers.<br />Selected Cloud Consumers & ISVs<br />© SAP 2009 / SAP World tour / Page 5<br />
    9. 9. Trends and Value of Cloud Computing<br />Increase Business Agility, Increase R&D Efficiency <br />Utility Computing<br />On Demand Fulfillment<br />Industrialization of IT<br />From inflexible and long-term contracts to payment of metered usage<br />From long running customer projects to immediate fulfillment of customer needs<br />From Manufacturing to <br />Automation and Standardizationof IT Business<br />Value<br />Breakthrough Consumption Experience of SAP Solutions<br />Reduce IT Costs/CAPEX for SAP, Customers and Partners<br />© SAP 2009 / SAP World tour / Page 6<br />
    10. 10. Traditional Hosting vs. Amazon CloudHosting Costs of ERP for Development<br />Traditional Hosting<br />© SAP 2009 / SAP World tour / Page 7<br />
    11. 11. Cloud ScalabilityAmazon Customer: Animoto<br />On April 14th 2008 Animoto provided a new plugin for facebook …<br />© SAP 2009 / SAP World tour / Page 8<br />
    12. 12. Impact on SAP Business Solutions and Technology<br />Description<br />Business Needs<br />Improve R&D Efficiency<br />Minimize Cost of <br />consuming SAP Solutions<br />(TCO)<br />New Product Innovations<br />New Service Innovations<br /> Opportunities<br />Phase 1: SAP R&D<br />Phase 2: Customer/Partner POC<br />Phase 3: Products/Service<br />Provide SAP Internal Cloud <br />Piloting with SAP NetWeaver CE<br />Reduce IT Costs<br />Increase Developer Efficiency<br />March 2009: Validate value of<br />Cloud Enablement with <br />customers and partners<br />Potential for new products and <br />services<br /> Status<br />&gt; 300 SAP employees as direct users <br /> from 16 countries<br />&gt; 4000 systems provisioned<br />&gt; 180.000 €Hosting Cost Savings<br />Customer Validation started<br />© SAP 2009 / SAP World tour / Page 9<br />
    13. 13. Cloud Use Cases<br />Non-Mission CriticalUse Cases: Current Potential<br />Description<br /><ul><li> Development / Patching / Customizing
    14. 14. Testing (Manual, Automated, Scalability)
    15. 15. Training
    16. 16. Demo / Workshops / Events
    17. 17. Trial / Evaluation</li></ul>Cloud Computing is a maturing approach<br />Description<br /><ul><li> Integration with customer IT: Network, Operations, Billing
    18. 18. Service Level Agreements: Security, High Availability, Performance</li></ul>Mission Critical Use Cases: Future Potential<br />Description<br /><ul><li> Disaster Recovery, …
    19. 19. On Premise: Provisioning of productive landscapes
    20. 20. On Demand: Provisioning of productive services</li></ul>© SAP 2009 / SAP World tour / Page 10<br />
    21. 21. SAP Employee Cloud Self Service<br />DEMO 1<br />SAP<br />Amazon AWS (Cloud Infrastructure)<br />SAP Employee<br />SAP Employee<br />SAP Network<br />Cloud Segment<br />Metering<br />Provisioning<br />Configuration<br />SAP Solutionhosted on EC2<br />SAP Cloud Enabling Services powered by SAP NetWeaver CE<br />Amazon Network<br />Amazon Web Services<br />[ ec2 | s3 | SQS ]<br />Configuration<br />Metering<br />Virtualization<br />© SAP 2009 / SAP World tour / Page 11<br />
    22. 22. Lock-in Danger<br />Situation Today<br /><ul><li>Private and Public Cloud Infrastructures are a dominant trend
    23. 23. No single Cloud Infrastructure today is ideal for all use cases (SLAs, Integration, Costs)
    24. 24. Every Cloud Infrastructure so far has significant proprietary elements in their interface, creating lock-in effect for consumers
    25. 25. SAP, Customers and Partners are interested in Standardization of Cloud APIs</li></ul>SAP Employee<br />SAP Employee<br />Metering<br />Provisioning<br />Configuration<br />SAP Solution<br />SAP Cloud Enabling Services powered by SAP NetWeaver CE<br />!<br />!<br />Cloud Infrastructure<br />Configuration<br />Metering<br />Virtualization<br />© SAP 2009 / SAP World tour / Page 12<br />
    26. 26. Cost Characteristics of Cloud InfrastructuresReal World Examples of using one SAP ERP System<br />© SAP 2009 / Page 13<br />Monthly Consumption<br />Customer Demo incl. 1 week Development<br />7.5%<br />Local Development<br />10h / Workday<br />30.0%<br />Central Systems<br />24h / 7 days<br />100%<br />Workshop 1 day <br />1.4%<br />
    27. 27. Cloud Production Chain(SAP Internal)<br />Suite Composite<br />SAP NetWeaver<br />Deploy<br />Deploy<br />OS +<br />NW<br />OS<br />Create Appliance<br />Create Appliance<br />Instantiate<br />Instantiate<br />OS + SAP NetWeaver<br />OS + NW +<br />Suite Composite<br />New <br />Content<br />Cloud <br />Instances<br />Virtual<br />Appliance<br />Library<br />Operating System<br />© SAP 2009 / SAP World tour / Page 14<br />
    28. 28. Effect<br />Automated Functional Tests(SAP Internal)<br />Parallelize test case execution via Cloud Computing at <br />No additional cost<br />Allocated machines<br />Automated Test Controller<br />Cloud Services<br />Amazon ec2<br />Virtualization<br />T<br />T<br />T<br />T<br />T<br />T<br />T<br />T<br />Legend<br />Test Case<br />time<br />Machine<br />8 night hours<br />© SAP 2009 / SAP World tour / Page 15<br />
    29. 29. Ideal Cloud Computing Infrastructure<br />ApplicationVirtualization<br />Abstraction Layer<br />Automatic Operations<br />Hardware<br />Virtualization<br />Abstraction Layer<br />(HW) Virtualization, Application Virtualization and Cloud Computing<br />SAP Solution & Platform<br />Operating System<br />Hardware<br />Reap the benefits & <br />Do not pay the price of complexity<br />© SAP 2009 / SAP World tour / Page 16<br />
    30. 30. SAP NetWeaver CE in the Cloud Trial Usage<br />DEMO 2<br />Customer<br />in control of<br />SAP Cloud Account <br />Administrator<br />Customer<br />SAP<br />Amazon<br />Virtual Appliance: Developer Studio<br />SAP Employee<br />NWDS<br />VPN Client<br />Cloud Plugin<br />SOA Interface<br />VPN Server<br />NW CE<br />Metering<br />Provisioning<br />Configuration<br />SAP Cloud Services hosted on EC2 and powered by SAP NetWeaver CE<br />Customer: SAP NetWeaver CEhosted on EC2<br />Amazon Web Services<br />Configuration<br />Metering<br />© SAP 2009 / SAP World tour / Page 17<br />
    31. 31. Cloud Segments<br />SAP<br />SAP Cloud<br />Firewall<br />Cloud Segment<br />Appliance<br />Cloud<br />Accounting &<br />Operations <br />(Multi-Tenant)<br />Gate<br />Gate<br />VPN<br />ISV<br />Firewall<br />Cloud Segment<br />Appliance<br />Gate<br />Gate<br />Gate<br />VPN<br />Customer<br />Firewall<br />Cloud Segment<br />Appliance<br />Gate<br />Gate<br />VPN<br />Gate= Appliance for Secure Network Integration<br />© SAP 2009 / SAP World tour / Page 18<br />
    32. 32. Cloud Landscape: CRM<br />CRM Application<br />Analytics<br />CRM Server<br />TREX Server<br />BW Server<br />CRM DB<br />BW DB<br />DEMO 3<br />SAP CRM Landscape<br />&lt;Landscape name=“CRM Landscape&quot; description=“Experimental CRM Landscape&quot; &gt;<br /> &lt;Servers&gt;<br /> &lt;Server id=“CRM_Application&quot; imageid=&quot;ami-abb057c2:snap-addf37c4&quot; description=“CRM&quot; /&gt;<br /> &lt;Server id=“CRM_Analytics&quot; imageid=&quot;ami-abb057c2:snap-acdf37c5&quot; description=“Analytics&quot;&gt;<br /> &lt;Param name=&quot;; value=“CRM_Application&quot; type=&quot;put&quot; /&gt;<br /> &lt;Param name=&quot;hostname.ISASLES.TCS.SAPCOD.CORP&quot; value=&quot;CRM_Application&quot; type=&quot;get&quot; /&gt;<br /> &lt;/Server&gt;<br /> &lt;/Servers&gt;<br />&lt;/Landscape&gt;<br />© SAP 2009 / SAP World tour / Page 19<br />
    33. 33. Cloud Landscape: SAP NetWeaver Cluster<br />DEMO 4<br />SAP NetWeaverCluster<br />SAP NetWeaver Web Dispatcher<br />SAP NetWeaverCentral Instance<br />SAP NetWeaverDialog Instance<br />SAP MaxDB Instance<br />© SAP 2009 / SAP World tour / Page 20<br />
    34. 34. Hardware Utilization with System LandscapesToday’s Situation<br />Challenge<br /><ul><li>Avg. Utilization is <=10% with SAP Customers</li></ul>Outage<br />Utilized Machines<br />Waste<br />Sizing<br />Source: Amazon AWS<br />© SAP 2009 / SAP World tour / Page 21<br />
    35. 35. Cloud Landscape: Dynamic SAP NetWeaver Cluster<br />Load Monitoring Service<br />Dynamic Provisioning Controller<br />Provisioning Service<br />DEMO 5<br />SAP NetWeaverCluster<br />SAP NetWeaver Web Dispatcher<br />SAP NetWeaverDialog Instance<br />SAP NetWeaverCentral Instance<br />SAP MaxDB Instance<br />Amazon Web Services<br />© SAP 2009 / SAP World tour / Page 22<br />
    36. 36. Usage of SAP Employee Self ServiceRecent Survey Result<br />© SAP 2009 / Page 23<br />
    37. 37. Conclusions<br />Summary<br /><ul><li> Cloud Infrastructures are a clear trend in IT, increasing the business agility, decrease IT costs, and allow to consume SAP solutions in new ways
    38. 38. Significant potential value in the domain of non-mission critical use casesexist today
    39. 39. SAP is exploring options to provide additional value in form of product and/or service innovation</li></ul>Please fill out the Cloud Survey<br /><ul><li> Interested in a Proof of Concept?</li></ul>More Information<br /><ul><li> Blog:
    40. 40. mail to: </li></ul>© SAP 2009 / SAP World tour / Page 24<br />
    41. 41. Thank you!<br />© SAP 2008 / DKOM 08 / &lt;Session ID&gt; Page 25<br />© SAP 2009 / SAP World tour / Page 25<br />