Cloud Computing at SAP

Frank Stienhans
BST Innovation Center
SAP
frank.stienhans@sap.com
July 15th 2009
Cloud Computing @ SAPSAP UK Worldtour
© SAP 2009 / SAP World tour / Page 1

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Organization and Disclaimer
Description
Product Organization: SAP Business Solutions and Technology (BST)
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
Description
Organization: SAP BST Innovation Center
Explore innovation potential of new market and technology trends including
On Demand, Virtualization, Cloud Computing, Web 2.0, Co-Innovation Communities, Rich User Experiences
Description
Disclaimer
1. The following content represent ideas and prototypes – not product announcements or commitments to productize
2. SAP is very interested in understanding the use cases and requirements you see.

Agenda
Description

Introduction
Value
General Use Cases
Conclusions

Cloud Computing Agenda
Theme
What could you do, if SAP would incorporate advanced forms of virtualization into our product and service offerings?

Cloud Computing Definition
Application Providers
Platform Providers
Infrastructure Providers
Service Providers
400,000 Developers + ISVs
Definition from Consumer Perspective
Trends
Cloud Computing allows On Demand Software Provisioning with Zero-Installation &
Automatic Configuration at low cost and immediate access in Scalable Data Centers.
Selected Cloud Consumers & ISVs

Trends and Value of Cloud Computing
Increase Business Agility, Increase R&D Efficiency
Utility Computing
On Demand Fulfillment
Industrialization of IT
From inflexible and long-term contracts to payment of metered usage
From long running customer projects to immediate fulfillment of customer needs
From Manufacturing to
Automation and Standardizationof IT Business
Value
Breakthrough Consumption Experience of SAP Solutions
Reduce IT Costs/CAPEX for SAP, Customers and Partners

Traditional Hosting vs. Amazon CloudHosting Costs of ERP for Development
Traditional Hosting

Cloud ScalabilityAmazon Customer: Animotohttp://blog.animoto.com/
On April 14th 2008 Animoto provided a new plugin for facebook …

Impact on SAP Business Solutions and Technology
Description
Business Needs
Improve R&D Efficiency
Minimize Cost of
consuming SAP Solutions
(TCO)
New Product Innovations
New Service Innovations
Opportunities
Phase 1: SAP R&D
Phase 2: Customer/Partner POC
Phase 3: Products/Service
Provide SAP Internal Cloud
Piloting with SAP NetWeaver CE
Reduce IT Costs
Increase Developer Efficiency
March 2009: Validate value of
Cloud Enablement with
customers and partners
Potential for new products and
services
Status
> 300 SAP employees as direct users
from 16 countries
> 4000 systems provisioned
> 180.000 €Hosting Cost Savings
Customer Validation started

Cloud Use Cases
Non-Mission CriticalUse Cases: Current Potential
Description

Development / Patching / Customizing
Testing (Manual, Automated, Scalability)
Training
Demo / Workshops / Events
Trial / Evaluation

Cloud Computing is a maturing approach
Description

Integration with customer IT: Network, Operations, Billing
Service Level Agreements: Security, High Availability, Performance

Mission Critical Use Cases: Future Potential
Description

Disaster Recovery, …
On Premise: Provisioning of productive landscapes
On Demand: Provisioning of productive services

SAP Employee Cloud Self Service
DEMO 1
SAP
Amazon AWS (Cloud Infrastructure)
SAP Employee
SAP Employee
SAP Network
Cloud Segment
Metering
Provisioning
Configuration
SAP Solutionhosted on EC2
SAP Cloud Enabling Services powered by SAP NetWeaver CE
Amazon Network
Amazon Web Services
[ ec2 | s3 | SQS ]
Configuration
Metering
Virtualization

Lock-in Danger
Situation Today

Private and Public Cloud Infrastructures are a dominant trend
No single Cloud Infrastructure today is ideal for all use cases (SLAs, Integration, Costs)
Every Cloud Infrastructure so far has significant proprietary elements in their interface, creating lock-in effect for consumers
SAP, Customers and Partners are interested in Standardization of Cloud APIs

SAP Employee
SAP Employee
Metering
Provisioning
Configuration
SAP Solution
SAP Cloud Enabling Services powered by SAP NetWeaver CE
!
!
Cloud Infrastructure
Configuration
Metering
Virtualization

Cost Characteristics of Cloud InfrastructuresReal World Examples of using one SAP ERP System
© SAP 2009 / Page 13
Monthly Consumption
Customer Demo incl. 1 week Development
7.5%
Local Development
10h / Workday
30.0%
Central Systems
24h / 7 days
100%
Workshop 1 day
1.4%

Cloud Production Chain(SAP Internal)
Suite Composite
SAP NetWeaver
Deploy
Deploy
OS +
NW
OS
Create Appliance
Create Appliance
Instantiate
Instantiate
OS + SAP NetWeaver
OS + NW +
Suite Composite
New
Content
Cloud
Instances
Virtual
Appliance
Library
Operating System

Effect
Automated Functional Tests(SAP Internal)
Parallelize test case execution via Cloud Computing at
No additional cost
Allocated machines
Automated Test Controller
Cloud Services
Amazon ec2
Virtualization
T
T
T
T
T
T
T
T
Legend
Test Case
time
Machine
8 night hours

Ideal Cloud Computing Infrastructure
ApplicationVirtualization
Abstraction Layer
Automatic Operations
Hardware
Virtualization
Abstraction Layer
(HW) Virtualization, Application Virtualization and Cloud Computing
SAP Solution & Platform
Operating System
Hardware
Reap the benefits &
Do not pay the price of complexity

SAP NetWeaver CE in the Cloud Trial Usage
DEMO 2
Customer
in control of
SAP Cloud Account
Administrator
Customer
SAP
Amazon
Virtual Appliance: Developer Studio
SAP Employee
NWDS
VPN Client
Cloud Plugin
SOA Interface
VPN Server
NW CE
Metering
Provisioning
Configuration
SAP Cloud Services hosted on EC2 and powered by SAP NetWeaver CE
Customer: SAP NetWeaver CEhosted on EC2
Amazon Web Services
Configuration
Metering

Cloud Segments
SAP
SAP Cloud
Firewall
Cloud Segment
Appliance
Cloud
Accounting &
Operations
(Multi-Tenant)
Gate
Gate
VPN
ISV
Firewall
Cloud Segment
Appliance
Gate
Gate
Gate
VPN
Customer
Firewall
Cloud Segment
Appliance
Gate
Gate
VPN
Gate= Appliance for Secure Network Integration

Cloud Landscape: CRM
CRM Application
Analytics
CRM Server
TREX Server
BW Server
CRM DB
BW DB
DEMO 3
SAP CRM Landscape
<Landscape name=“CRM Landscape" description=“Experimental CRM Landscape" >
<Servers>
<Server id=“CRM_Application" imageid="ami-abb057c2:snap-addf37c4" description=“CRM" />
<Server id=“CRM_Analytics" imageid="ami-abb057c2:snap-acdf37c5" description=“Analytics">
<Param name="hostname.ISABW.cloud.sap.corp" value=“CRM_Application" type="put" />
<Param name="hostname.ISASLES.TCS.SAPCOD.CORP" value="CRM_Application" type="get" />
</Server>
</Servers>
</Landscape>

Cloud Landscape: SAP NetWeaver Cluster
DEMO 4
SAP NetWeaverCluster
SAP NetWeaver Web Dispatcher
SAP NetWeaverCentral Instance
SAP NetWeaverDialog Instance
SAP MaxDB Instance

Hardware Utilization with System LandscapesToday’s Situation
Challenge

Avg. Utilization is <=10% with SAP Customers

Outage
Utilized Machines
Waste
Sizing
Source: Amazon AWS

Cloud Landscape: Dynamic SAP NetWeaver Cluster
Load Monitoring Service
Dynamic Provisioning Controller
Provisioning Service
DEMO 5
SAP NetWeaverCluster
SAP NetWeaver Web Dispatcher
SAP NetWeaverDialog Instance
SAP NetWeaverCentral Instance
SAP MaxDB Instance
Amazon Web Services

Conclusions
Summary

Cloud Infrastructures are a clear trend in IT, increasing the business agility, decrease IT costs, and allow to consume SAP solutions in new ways
Significant potential value in the domain of non-mission critical use casesexist today
SAP is exploring options to provide additional value in form of product and/or service innovation

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