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MGM Case Study: Commiting to IT Innovation
 

MGM Case Study: Commiting to IT Innovation

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MGM Resorts International commits IT to innovation by dedicating its resources to partnering with Dell to create an Efficient Enterprise to run its business.

MGM Resorts International commits IT to innovation by dedicating its resources to partnering with Dell to create an Efficient Enterprise to run its business.

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    MGM Case Study: Commiting to IT Innovation MGM Case Study: Commiting to IT Innovation Document Transcript

    • MGM Resorts Internationalcommits IT to innovationby dedicating its resourcesto partnering with Dell tocreate an Efficient Enterprise •  Consolidation •  Virtualization •  Power & Coolingto run its business •  Services •  Green Computing “We have the capabilities to dial up, dial down, predict performance, contain costs and reduce power consumption.” Chris Gebelin, Executive Director of Enterprise Management, MGM Resorts International   Benefits Customer Profile •  88% less floor space used than previous   8 data centers Company: MGM Resorts International •  2x greater compute power Industry: Travel, Hospitality and Tourism •  Time reduction to merely one hour to  Country: United States obtain virtual servers from automated  Employees: 62,000 catalog •  50-85% reduction of test cycles for faster  Web: www.mgmresorts.com time-to-market •  Stronger customer loyalty due to faster   Business Need BI test cycles and ability to perform 5X  MGM Resorts International sought to consolidate the data centers from more tests than previously its latest acquisitions, in order to contain IT costs, increase availability, •  Automated workload management  improve agility and focus on innovation. The goal was to be able to through virtualization decreases  compete in the Las Vegas market with an agile, affordable IT structure customer wait during peak times  that would help reduce capital expenditures. •  75% of IT time freed from manual tasks   to spend on innovation Solution •  68% cost savings for virtual server vs.  The company chose Dell™ Services to perform a Virtualization physical server Assessment with partners Intel® and VMware®. Dell targeted 55% of •  81% savings in cost of power for virtual  MGM Resorts’ servers for virtualization, and Dell Services designed server vs. physical server and implemented a new data center with Dell PowerEdge™ servers •  82% less carbon footprint for virtual server  virtualized with VMware. vs. physical server  •  33% more cost effective Microsoft  software licensing •  Increased manageability through  embedded management features in   Dell servers
    • Following several acquisitions during the past decade MGM Resorts International (MGM Resorts) now owns 15 resort casinos in Las Vegas, including the world-famous Bellagio, The Mirage and Luxor. It is the half owner of CityCenter, an urban metropolis on 76 acres of the Las Vegas Strip between Bellagio and Monte Carlo. Consisting of hotels, condominiums, a casino and retail, CityCenter was the largest privately-financed construction project in the history of the United States. Just a few years ago, MGM Resorts The Virtualization Assessment results was wrapping up two large-scale and recommendations provided by Dell,“We reduced our mergers and had not yet begun an IT consolidation. At the time, the Intel and VMware were instrumental in putting MGM Resorts on the right licensing costs by company had eight data centers, with path, according to Gebelin. “It’s been some of them handling just one IT helpful not having to realign ourselves more than one-third function, creating an IT jigsaw puzzle in the past few years,” he says. “Dell because Dell moved that was costly, complex and difficult to manage efficiently. The merged went on to help us do all the planning and the financial analysis, as well as the all our Microsoft® companies had competing enterprise implementation and execution.” resource planning (ERP) systems and licensing in the many overlapping applications. “There VM environment was a huge opportunity to consolidate data centers to lower costs, increase Technology at Work to Windows availability and improve agility,” says Services Chris Gebelin, executive director of Datacenter Edition.” Enterprise Management, MGM Resorts Dell™ Consulting Services International. “We didn’t have a lot – Dell Virtualization AssessmentChris Gebelin, Executive Director of flexibility in what we were putting Servicesof Enterprise Management,MGM Resorts International in place, so we asked Dell to help us – Design and Implementation put together a multi-year data center Services consolidation strategy.” Dell Support Services with 4-hour on-site response Partnering with IT to realize the  business value of virtualization  Hardware In a six-week engagement, Dell Services performed a Virtualization Dell PowerEdge™ M610 blade servers with Intel® Xeon® Assessment assisted by its partners, processors 5500 series Intel and VMware. “Dell and its partners identified opportunities to consolidate Dell PowerEdge M1000e modular about 55 percent of our physical blade enclosures servers into a virtual environment,” says Dell PowerEdge 2950 servers with Gebelin. “They put together a 60-page Intel Xeon processors ROI analysis and executive summary Integrated Dell Remote Access and helped us champion that to our Card (iDRAC) CIO and CFO. With that business case, we were able to sign an Enterprise Software License Agreement with VMware, and we built a next-generation VM Dell OpenManage™ Server farm—a kind of a precursor to what Administrator and Dell IT Assistant people commonly refer to now as a VMware® vSphere® 4.0 ‘private cloud.’ We’re still executing VMware View on the original vision without too many changes, and we’ve virtualized Windows Server® 2008, 2003 R2, about 60 percent of the servers the 2003 and 2000 Dell consultants targeted. We plan to address the remaining 40 percent in the very near future.”
    • 88% reduction in floor space  working on a computer has to stare atrequirements  an hourglass. It’s really important toWith Dell’s help, MGM Resorts make the automation piece work toconsolidated its eight data centers maximize efficiency.”onto one co-location facility, reducing6,000 square feet to approximately 50-80% reduction in test cycles, 720—an 88 percent reduction in floor faster time-to-marketspace. A second site serves as a disaster With competition fierce on the Strip,recovery facility. Dell was given 12 MGM Resorts relies heavily on itsweeks to perform the implementation business intelligence (BI) operationsand delivered in less than nine weeks. to identify its top customers, develop marketing campaigns and adjustThe company’s first-generation VM those marketing campaigns on the fly.farm ran on Dell PowerEdge 2950 Offerings such as loyalty programs areservers, and more recently MGM key to competing successfully, but BIResorts began implementing a operations and the testing required tosecond-generation VM farm on Dell bring new products to market can be aPowerEdge M610 blade servers with slow process.Intel Xeon 5500 series processorsvirtualized with VMware vSphere. “BI is not just build-it-and-go,” saysFour fully populated Dell PowerEdge Gebelin. “It’s build it, try it and see if itM1000e modular blade enclosuresrun across the two data centers. “We works. Building, testing and evaluating had to be accelerated in order for us to “The implementationrun with VMware HA across the two compete effectively against our largest plan that Dell putdata centers, so everything is fully competitor. We had to be able toredundant,” says Gebelin. reduce the time to market and enable together for usEnabling the Efficient Enterprise    our test teams to spin up environments in the middle of the night. We use three years ago“We have a simplified service delivery 24x7 testing because we have offshore has kept us in the model based on standardized Dell, resources. If they run into something, Microsoft and VMware technologies,” they can spin up a new environment by sweet spot for says Gebelin. “We’ve got three different server products based on availability, themselves with nobody else here. As a result, we have cut down testing cycle technology agility replication, number of virtual CPUs, time by 50 to 80 percent.” and functionality.” amount of RAM. This gives us a fixed MGM Resorts recently rolled out new Chris Gebelin, Executive Director environment with a very predictable enhancements to its guest loyalty of Enterprise Management, cost structure and a very predictable programs. The CEO set a firm deadline MGM Resorts International performance structure. We can handle for the project and made a major requests almost immediately.” announcement. The company wentMGM Resorts deploys its server models with a new BI vendor which was newinto an automated service catalog front to the market, and Gebelin’s teamend, so users are able to provision VMs had two months’ testing time prior towith no manual intervention. “They go deployment. They planned to haveto a Web page, enter their information two full test cycles, but because of theand an hour later a fully certified VM is business requirements, that turned intosent to them and they’re ready to go,” 10 cycles. “We were able to collapsesays Gebelin. 10 test cycles within the timeframe we had planned for two,” says Gebelin.MGM Resorts has two major business “The project was a success.”segments: its gaming business, whichpeaks on Thursday, Friday and Saturday 75% of time spent on innovation nights, and its hotel segment, which To continue to compete successfully,peaks on Saturday, Sunday and Monday MGM Resorts must keep its focus onmornings. With the virtual environment, giving guests more of what they want.Gebelin’s team can automatically shift That means being able to spend moreworkloads around those peak times. time on innovation. Gebelin’s team“We spin up casino systems at night and is positioned to do just that, due to then spin them down in the morning,” the agility and efficiency they have says Gebelin. “Then we spin up hotel gained through the Dell Efficient systems in the morning because they Enterprise solution. can scale horizontally. The result is “We’re now able to spend three- that customers don’t have to wait quarters of our day on innovation,” because a system is slow, and no one says Gebelin. “That’s because of the
    • overall efficiency of the way our prevents problems due to variances in than one-third because Dell moveddata center is running. We’re focused the process if a server needs to be rebuilt. all our Microsoft licensing in the VMon understanding our end customers environment to Windows Datacenterbetter. We’re packaging applications 68% less cost for greener  Edition,” says Gebelin.for the hotel so that guests can pay technology   Procuring all the components of itsfor everything they purchase with one With two times the compute power virtual environment through Dell hascredit card slip: hotel, spa, restaurant, of previous standalone servers in 88 also helped MGM Resorts becomenightclub. For our business partners, percent of the floor space, not only more streamlined. “Procurement is ainnovation means helping them track can MGM Resorts roll out applications big priority here,” says Gebelin. “Ourthe top customers.” and products faster, it can do so at far sourcing team likes to see things less cost.Saving operational time  certain ways, such as sales tax and “Physical servers cost the company maintenance. Dell gets it right every Standardizing with Dell servers saves around $11,337 when all costs are time. Also, Dell is a trusted advisor MGM Resorts critical operational time. figured in, such as licensing and for us when we’re purchasing new“Standardization keeps our number of cabling,” says Gebelin. “Virtual servers products. They challenge us and make images down, helps us deploy faster cost $3,643—that’s a $7,694 difference sure we’re not forgetting something and facilitates fewer process variations,” or 68 percent less. And we get a savings from a technology perspective. They says Gebelin. “Because of the build in power costs, $50 for a virtual servers make sure we have a complete solution quality of the Dell servers, we don’t and $268 for physical servers, which is to deliver to our business.” have to deal with a lot of failures, and 81 percent less.” if we do have any issues, Dell is always Dell is currently working with MGM here really quickly. I can’t think of the Dell OpenManage Server Administrator Resorts on a desktop virtualization last time when we ran into a problem provides the real-time power data on project using VMware View. “A lot where we had a system failure of any the servers to enable power monitoring. of our casino pits don’t need a full significance that we weren’t able to The PowerEdge M610 blade servers computer,” says Gebelin. “So, we’ll recover from with our four-hour SLA are designed for power efficiency, have thin client environments there. with Dell Support.” with dynamic power management Even in our knowledge worker-based technology that enables users to set areas, we’re continually working withPlanned downtime is zero, because high/low power thresholds to enable Dell to keep an eye on the numbersIT staff use VMware VMotion to shift efficient energy management. to see when and where it makes sensevirtual servers over to other physical to introduce virtual desktops.”servers to perform maintenance. “We MGM Resorts is a green companycan actually shift between data centers and many of its resorts have received Gebelin attributes the successes ofwhile servers are live,” says Gebelin. multiple green certifications. The U.S. the past three years to the roadmap Green Building Council has awarded six that Dell provided to lead MGM ResortsThe Integrated Dell Remote Access LEED® Gold certifications to CityCenter. to virtualization and the simplification,Card (iDRAC) in the Dell M1000e So Gebelin closely watches the carbon standardization and automation thatmodular blade enclosure enables footprint of the data center. “A physical has helped make the company anthe staff to perform maintenance server is 2.2 tons of CO2 annually,” efficient enterprise.remotely to save significant time. “Our says Gebelin. “Our VM is .4 ton, an 82data center is 10 miles away,” says “The implementation plan that Dell percent drop.”Gebelin. “Not having to do a truck put together for us three years agoroll when there’s a problem or have 33% savings on Microsoft licensing  has kept us in the sweet spot forsomeone there babysitting the servers technology agility and functionality,” MGM Resorts’ virtual servers runis fantastic.” Gebelin concludes. “We have the Windows Server 2008, 2003 R2, 2003 capabilities to dial up, dial down,Dell OpenManage Server Administrator and 2000, and the company purchases predict performance, contain costsand Dell IT Assistant verify that the its Microsoft licenses through Dell. “We and reduce power consumption.”servers are built exactly the same. This reduced our licensing costs by moreView all Dell case studies at: dell.com/casestudiesAvailability and terms of Dell Services vary by region. For more information, visit: dell.com/servicedescriptions© October 2010. Intel and Intel Xeon are registered trademarks of Intel Corporation in the United States orother countries. Microsoft and Windows Server are registered trademarks of Microsoft Corporation in theUnited States and/or other countries. This case study is for informational purposes only. DELL MAKES NOWARRANTIES, EXPRESS OR IMPLIED, IN THIS CASE STUDY. Reference number: 10009025