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Bridging the Gap - the Value of Integrated Asset and Service Management
 

Bridging the Gap - the Value of Integrated Asset and Service Management

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BrightTalk webinar deck from 15th May 2014

BrightTalk webinar deck from 15th May 2014

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    Bridging the Gap - the Value of Integrated Asset and Service Management Bridging the Gap - the Value of Integrated Asset and Service Management Presentation Transcript

    • Jon Hall, Product Management Lead – Enterprise ITAM Bridging the Gap: The Value of Integrated Asset and Service Management
    • © Copyright 5/15/2014 BMC Software, Inc2 © Copyright 5/15/2014 BMC Software, Inc2 Just what is an IT Asset?
    • © Copyright 5/15/2014 BMC Software, Inc3 © Copyright 5/15/2014 BMC Software, Inc3 Separate Evolution of ITAM and ITSM How did we get here? IT Asset Management IT Service Management Developed regionally in the 1980s and 1990s Frequently driven by regulatory or tax obligations (e.g. In France) Finance department sponsorship Built around procurement and/or request fulfilment teams ITIL – UK Civil Service, 1990s ITSM platforms proliferated in enterprise, e.g. Remedy Maturity path built around CMDB... ...with little focus on asset financials and lifecycle
    • © Copyright 5/15/2014 BMC Software, Inc4 © Copyright 5/15/2014 BMC Software, Inc4 ITIL version 2 – “Asset” “Literally, a valuable person or thing that is ‘owned’” Assets will often appear on a balance sheet as items to be set against an organization’s liabilities.
    • © Copyright 5/15/2014 BMC Software, Inc5 © Copyright 5/15/2014 BMC Software, Inc5 ITIL version 3 – “Service Asset” “Any Capability or Resource of a Service Provider” The ability of an Organization, person, Process, Application, Configuration Item or IT Service to carry out an Activity. Capabilities are intangible Assets of an Organization A generic term that includes IT Infrastructure, people, money or anything else that might help to deliver an IT Service. Resources are considered to be Assets of an Organization
    • © Copyright 5/15/2014 BMC Software, Inc6 © Copyright 5/15/2014 BMC Software, Inc6 Evolution of IT Assets 1980s to mid 2000s... • The PC revolution • Physical devices • Install-based licensing Mid 2000s to present... • Virtualization • Capacity licensing • Outsourcing 2014... • Cloud infrastructure and applications • Mass mobility • BYOD • Usage-based licensing • Multi-sourced IT ? 2015-2020 • Hybrid Cloud • The Internet of Things • Consumerization • Digital Service Brokering
    • © Copyright 5/15/2014 BMC Software, Inc7 © Copyright 5/15/2014 BMC Software, Inc7 Where are we today?
    • © Copyright 5/15/2014 BMC Software, Inc8 © Copyright 5/15/2014 BMC Software, Inc8 ITAM’s Position in the Business Within IT Service Management Other Within Finance Direct report
    • © Copyright 5/15/2014 BMC Software, Inc9 © Copyright 5/15/2014 BMC Software, Inc9 What challenges are we facing?
    • © Copyright 5/15/2014 BMC Software, Inc10 © Copyright 5/15/2014 BMC Software, Inc10 Key CIO priorities Better decision support Service brokering Transformation of IT spending Customer-centric IT
    • © Copyright 5/15/2014 BMC Software, Inc11 © Copyright 5/15/2014 BMC Software, Inc11 Rising cost of “keeping the lights on” $0 $50 $100 $150 $200 $250 '00 '02 '04 '06 '08 '10 '12 SERVER SPENDING POWER + COOLING SERVER MANAGEMENT (PHYSICAL) SERVER MANAGEMENT (VIRTUAL)
    • © Copyright 5/15/2014 BMC Software, Inc12 © Copyright 5/15/2014 BMC Software, Inc12 The Innovation Squeeze Existing Maintenance Budget Innovation Budget Existing Maintenance Budget Innovation Budget New Maintenance Existing Maintenance Budget Innovation Budget New Maintenance Existing Maintenance Budget Innovation Budget New Maintenance Year n Year n+1 Year n+2 Year n+3
    • © Copyright 5/15/2014 BMC Software, Inc13 © Copyright 5/15/2014 BMC Software, Inc13 Virtualization keeps moving 28% 6% 66% Private Cloud Public Cloud Physical Servers & Non-Cloud VMs 34% of enterprise servers already run in the cloud Your Cloud Future Is Here - How IT Can Embrace The Business Demand For Cloud And Exceed Expectations. Forrester, June 2013 Percentage of servers operated in global enterprises:
    • © Copyright 5/15/2014 BMC Software, Inc14 © Copyright 5/15/2014 BMC Software, Inc14 Cloud services are accelerating sprawl
    • © Copyright 5/15/2014 BMC Software, Inc15 © Copyright 5/15/2014 BMC Software, Inc15 Cloud services are accelerating sprawl • Average of 545 cloud services per company in large enterprises. • Does your business have more cloud services than it needs? • 70% feel that a fifth or more could be consolidated 48%34% 2010 2013 YES
    • © Copyright 5/15/2014 BMC Software, Inc16 © Copyright 5/15/2014 BMC Software, Inc16 License complexity and aggressive audit
    • © Copyright 5/15/2014 BMC Software, Inc17 © Copyright 5/15/2014 BMC Software, Inc17 Why does this matter to the Service Desk?
    • © Copyright 5/15/2014 BMC Software, Inc18 © Copyright 5/15/2014 BMC Software, Inc18 New connected technologies, increasingly critical Environmental monitoring and control Workforce automation Factory control systems RFID tags Vehicle trackers Customer experience augmentation
    • © Copyright 5/15/2014 BMC Software, Inc19 © Copyright 5/15/2014 BMC Software, Inc19 New asset types drive new challenges External Cloud services Bring Your Own Device (BYOD) Highly mobile virtual instances New technologies become critical to business Dramatic changes in related processes (Change, Problem, etc) New skills, new actors, new processes.
    • © Copyright 5/15/2014 BMC Software, Inc20 © Copyright 5/15/2014 BMC Software, Inc20 Why alignment of ITAM and ITSM is so important
    • © Copyright 5/15/2014 BMC Software, Inc21 © Copyright 5/15/2014 BMC Software, Inc21 In brief... ITSM can’t fully understand the services it is providing without understanding the assets on which the service depends. ITAM can’t optimise usage, support and spend without understanding what services the assets underpin.
    • © Copyright 5/15/2014 BMC Software, Inc22 © Copyright 5/15/2014 BMC Software, Inc22 What don’t we know about a service, without ITAM? Purchase or instantiation costs Incidental support costs Associated contracts Software license implications Geographical resilience Who supports what? Who owns what? and much more...
    • © Copyright 5/15/2014 BMC Software, Inc23 © Copyright 5/15/2014 BMC Software, Inc23 What does ITSM-aligned ITAM look like?
    • © Copyright 5/15/2014 BMC Software, Inc24 © Copyright 5/15/2014 BMC Software, Inc24 Example of ITAM embedded in frontline ITSM Line of Business, partners, customers CUSTOMERVIEWCustomer IT, HR, Facilities Catalog Solution SUPPLIERVIEW Service Org Internal Provider + + +ITSM Platform New Assets Existing Assets External ITSM Platform External Provider + + ++ Supplier provided Assets Private supplier assets
    • © Copyright 5/15/2014 BMC Software, Inc25 © Copyright 5/15/2014 BMC Software, Inc25 Integrated ITAM and ITSM as a supplier evaluation tool Detailed oversight Strategic / Top-Down IT Asset Management Operational • Supplier assets • Software licenses • Asset contracts • Warranties, support and maintenance agreements • Service costs Supplier Management • Enterprise licenses • Supply and lease contracts • Master maintenance and service agreements • Customer and vendor obligations Strategic • Failure statistics • End user-satisfaction • SLA performance IT Service Management
    • © Copyright 5/15/2014 BMC Software, Inc26 © Copyright 5/15/2014 BMC Software, Inc26 And the next generation service models? Private Cloud Policies Capacity Licenses Asset Base Costs Service Governor Private Cloud
    • © Copyright 5/15/2014 BMC Software, Inc27 © Copyright 5/15/2014 BMC Software, Inc27 There are still physical assets... Private Cloud Virtual server instances Physical hosting layer
    • © Copyright 5/15/2014 BMC Software, Inc28 © Copyright 5/15/2014 BMC Software, Inc28 The Asset Lifecycle still applies to Cloud Select & Procure Provision & Record Deploy Discover & Reconcile Audit & Monitor Maintain & Support Retire Re-Harvest Cloud Service Catalog CLM Service Governor CLM Data Dependency Mapping Vendor Data CLM Data Vendor Reports Usage based licensing CLM Data Dependency Mapping Vendor Data CLM Service Governor Capacity Optimization
    • © Copyright 5/15/2014 BMC Software, Inc29 © Copyright 5/15/2014 BMC Software, Inc29 Core ITAM principles still apply MOVE ADD DELETE CHANGE Transfer of Amazon instance to new Availability Zone Instantiate new instance in Private Cloud Decommission cloud instance and cancel software subscription Purchase more file storage allocation for cloud instance https://www.flickr.com/photos/johnseb/3425464 Relocation of server to new Datacenter rack Provision and deploy new physical server Decommission and retire physical server and recover software licenses Add bigger hard drive to physical server https://www.flickr.com/photos/aztlek/2357990839
    • © Copyright 5/15/2014 BMC Software, Inc30 © Copyright 5/15/2014 BMC Software, Inc30 Aligning ITAM with the IT Service Blueprint Service Options Infrastructure Models Application Model Offering
    • © Copyright 5/15/2014 BMC Software, Inc31 © Copyright 5/15/2014 BMC Software, Inc31 Aligning ITAM with the IT Service Blueprint • Asset information is a fundamental building block of the service Level Assets Cost type Cost Application Server Bronze Single Amazon Cloud VM Opex $25 per month Silver 4 private cloud VMs, 8 vCPUs, 16GB RAM Opex $200 per month Gold 4 dedicated servers, 8 CPUs, 24GB RAM Capex $8000 per unit
    • © Copyright 5/15/2014 BMC Software, Inc32 © Copyright 5/15/2014 BMC Software, Inc32 Aligning Asset oversight to services Type Location/ Provider Licensed Software Support End of Life Server 1 Application Server London Datacenter Private Cloud Attachmate Covered under ACME support contract Perpetual Server 2 Failover Application Server Amazon AWS Attachmate (failover license) Amazon Silver Support 2 years – auto deprovision Server 3 Database Server Internal Oracle Data Farm Oracle Enterprise Edition (processor licensed Oracle Premier Support 3 years – raise RFC with 3 months remaining Deployed Assets for Sales Office FileShare instance, Production level, Failover Option
    • © Copyright 5/15/2014 BMC Software, Inc33 © Copyright 5/15/2014 BMC Software, Inc33 Case Study The organisation: a large medical research charity in the UK Directly involved in frontline scientific research Medical research has significant and specialist technology requirements IT needs to provide excellent capabilities in a cost-pressured environment
    • © Copyright 5/15/2014 BMC Software, Inc34 © Copyright 5/15/2014 BMC Software, Inc34 Case Study A key requirement is Big Data This requires specialist equipment External cloud is not an option, primarily due to the volume of data transfer “The problem we’d have for active data is the access speed: A single genome is 100Gb. Imagine downloading that from Google!”
    • © Copyright 5/15/2014 BMC Software, Inc35 © Copyright 5/15/2014 BMC Software, Inc35 Case Study They need specialist data storage and retrieval equipment. Data growth is rapid. A frequent refresh cycle is expected. “We buy kit that’ll fit our needs, front-loaded with 3 years support costs. After that time, you’re invariably needing bigger, better, faster”
    • © Copyright 5/15/2014 BMC Software, Inc36 © Copyright 5/15/2014 BMC Software, Inc36 Case Study The organisation spotted an opportunity to repurpose, rather than dispose of, the specialist hardware. “We used the old system for second tier data: desktop backups, old data”
    • © Copyright 5/15/2014 BMC Software, Inc37 © Copyright 5/15/2014 BMC Software, Inc37 Case Study This required good understanding of upcoming requirements of two very different user groups A much cheaper support supplier was found for the older equipment: Backup does not need “gold-standard” support. Significant savings were made in not purchasing new equipment for PC backups. No new technology for the Service Desk and Support Teams to manage.
    • © Copyright 5/15/2014 BMC Software, Inc38 © Copyright 5/15/2014 BMC Software, Inc38 The result
    • © Copyright 5/15/2014 BMC Software, Inc39 © Copyright 5/15/2014 BMC Software, Inc39 Conclusion
    • © Copyright 5/15/2014 BMC Software, Inc40 © Copyright 5/15/2014 BMC Software, Inc40 Moving to Service-aligned ITAM What is owned? Where is it? Who is it assigned to? How much did we spend on it? IT Focused Business Focused Equipment Focused ITAM Maturity What does it support? How can we control changes? How can we discover more? What is its role in our key services? How can we optimize its use?
    • © Copyright 5/15/2014 BMC Software, Inc41 © Copyright 5/15/2014 BMC Software, Inc41 Summary IT is increasingly expected to demonstrate cost effectiveness and value to the business There is wide adoption of service orientation and multi-sourcing The range of assets in the organisation is rapidly broadening ITSM is better empowered to support its customers if ITAM is aligned. Without effective alignment of ITSM and ITAM, it is not possible to give the CIO a complete picture.
    • © Copyright 5/15/2014 BMC Software, Inc42 © Copyright 5/15/2014 BMC Software, Inc42 Questions? @jonhall_