Readying your IT Infrastructure for Cloud

Cloud Computing – Readying Your IT Infrastructure for Cloud Michael Shallcross Distinguished Engineer IBM Global Technology Services Asia Pacific

Agenda Cloud computing – understanding what’s really different Pragmatic steps towards the cloud

Cloud Computing is a new consumption and delivery model for IT services Business Perspective IT Perspective
A user experience and business model
Standardised, self service offerings
Rapidly provisioned services
Flexibly priced
Accessed via the network / internet
An infrastructure management and services delivery method
Virtualised resources
Managed as a single large resource
Delivered services with elastic scaling
Advanced automation

Cost savings and faster time to value are the leading reasons why companies consider cloud computing Automated Faster cycle times Lower support costs Optimised utilisation Improved compliance Optimised security End user experience Standardised Easier access Flexible pricing Reuse and share Easier to integrate Virtualised Higher utilisation Economy of scale benefits Lower capital expense Lower operating expense Higher quality services Doing more with less Breakthrough agility and reduced risk

Cloud computing transforms service delivery
Lower cost delivery channel
Products standardised for electronic delivery
Processes re-engineered and policies defined to allow “zero touch” automation
Programs to migrate customers
Use of the channel expanded over time

The future will not be “one size fits all” – multiple deployment models will continue to be required Private Cloud Public Cloud Services Enterprise Data Centre Users
Enterprise owned
Mission critical
High compliancy
Internal network
Shared resources
Elastic scaling
Pay as you go
Public internet
Enterprise Data Centre Managed Private Cloud Hosted Private Cloud Shared Cloud Services 3 rd party operated Enterprise 3 rd party hosted & operated Enterprises
3 rd party owned and operated
Standardisation
Centralisation
Security
Internal network
Mix of shared and dedicated resources
Shared facility and staff
VPN access
Source: IBM Market Insights, Corporate Strategy Private Cloud Community Cloud Public Cloud

Cloud computing enables many elements of IT to be delivered and consumed as a services EXAMPLES INFRASTRUCTURE AS-A-SERVICE PLATFORM AS-A-SERVICE SOFTWARE AS-A-SERVICE Servers Networking Storage Middleware Collaboration Financials CRM / ERP / HR Industry applications Data centre Shared virtualised, dynamic provisioning Database Web 2.0 application runtime Java runtime Development tools BUSINESS PROCESS AS-A-SERVICE Employee benefits management Industry-specific processes Procurement Business travel 4 3 2 1

There is an emerging set of common workloads ready for cloud computing – in both public and private delivery models
Analytics
Data mining, text mining or other analytics
Data warehouses or data marts
Transactional databases
Business services
Customer relationship management (CRM) or sales force automation
E-mail
Enterprise resource planning (ERP) applications
Industry-specific applications
Collaboration
Audio/video/Web conferencing
Unified communications
VoIP infrastructure
Source: IBM Market Insights, Cloud Computing Research , July 2009.
Desktop and devices
Desktop
Service/help desk
Development and test
Development environment
Test environment
Infrastructure
Application servers
Application streaming
Business continuity/ disaster recovery
Data archiving
Data backup
Data center network capacity
Security
Servers
Storage
Training infrastructure
Wide area network (WAN) capacity

However many medium-large organisations currently still significantly prefer private clouds over public or hybrid clouds Overall, how appealing are the public, private and hybrid delivery models for your company? 64% 30% Public +113% 64% 38% Hybrid Private +68% Private "Very appealing" or "appealing" "Very appealing" or "appealing" Source: IBM Market Insights, Cloud Computing Research , July 2009. n=1,090 However, adoption of Public Clouds is expected to grow by 26% CAGR between now and 2013* *IDC eXchange, IDC’s New IT Cloud Services Forecast: 2009-2013, p=543, Oct 5, 2009

Concerns about data security and privacy are the primary barriers to public cloud adoption Percent rating the factor as a significant barrier (4 or 5) Respondents could select multiple items 69% 54% 53% 52% 47% Security/privacy of company data Service quality/performance Doubts about true cost savings Insufficient responsiveness over network Difficulty integrating with in-house IT What, if anything, do you perceive as actual or potential barriers to acquiring public cloud services? Source: IBM Market Insights, Cloud Computing Research , July 2009. n=1,090

Several major factors are driving cloud computing economics … and it’s potential for transforming IT now Takes repeatable tasks and automates services, helping to reduce IT operation costs and deliver faster Allows clients to “serve themselves”— requiring less support and offering easier access to services Reduces complexity, which means that more automation is possible, helping to reduce IT labour costs Self service Automation of management Standardisation of workloads Provides benefits of scale — if virtualised environments are highly utilised Drives reduced capital requirements Virtualisation of hardware Utilisation of infrastructure Labour leverage Infrastructure leverage

In this new environment, the data centre must provide a reliable and secure foundation for a new range of cloud services

There are a common set of steps many organisations go through to condition their infrastructure and make it “cloud ready” Simplified Shared Dynamic Virtualise Automate
Reduce infrastructure complexity
Reduce staffing requirements
Improve business resilience (manage fewer things better)
Improve operational costs/reduce TCO
Remove physical resource boundaries
Increased hardware utilisation
Allocate less than physical boundary
Reduce hardware costs
Simplify deployments
Standardised services
Dramatically reduce deployment cycles
Granular service metering and billing
Massively scalable
Autonomic
Flexible delivery enables new processes and services
Self-service
Elastic scaling
Automatic service metering and billing
Industrialised service delivery
Economies of scale
Self-Service Standardise

Laying the foundation for a private cloud… Virtualisation Virtualised Applications & Middleware Virtual Clients Virtual Networks Virtual Storage Virtual Servers Physical Layer IBM & Other Storage Networking System x, BladeCenter IBM System z Power Systems Non-IBM Servers Workloads Software Development Test and Pre-Production Self Service Automation Service Management Service Catalog & Automation Request UI Operations UI Provisioning SLA Mgmt Monitoring Security Metering Virtualization mgmt Image mgmt Capacity mgmt Customer Consumer Cloud Service Standards and Governance

Cloud computing is all about services – not just servers
Servers have always been with us
Virtualisation is a critical and necessary enabler for cloud computing
But…
The emphasis on services is the aspect of cloud computing that is most different
Service lifecycle
Service portal
Service catalog
Service design
Service fulfilment
Service monitoring
Service pricing
Take the customer perspective
Focus on the user experience and the service being consumed
Gain much deeper insight into the value proposition for cloud computing (and the requirements)

Where you start determines how quickly you deliver results “ From now on every new project will run on the cloud” “ Let’s target some key services that will enable quick wins” “ Let’s clean up this mess and migrate what we have to the cloud”
Pre-integrated cloud platform
“ Public” cloud services
Pre-integrated cloud platform
Workload-optimised private cloud
Selected public cloud services
Cloud strategy
Consolidation
Virtualisation
Automation
Custom private cloud

Development and Test environments are frequently an ideal workload with which to pilot cloud technologies Source: “Industry Developments and Models – Global Testing Services: Coming of Age,” IDC, 2008, and IBM Internal Reports
Potential Benefits
Reduce IT labour cost by 50% for configuration, operations, management and monitoring of test environments
75% capital utilisation improvement and significant license cost reduction
Reduce test provisioning cycle times from weeks to minutes
Improve quality – eliminate 30% of defects that come from faulty configurations
30 per cent to 50 per cent of all servers within a typical IT environment are dedicated to test
Most test servers run at less than 10 per cent utilisation, if they are running at all
Setting up and taking down test environments is extremely labour-intensive, error prone and slow
30 per cent of all defects are caused by incorrectly configured test environments
Testing backlog is often the single largest factor in delaying new application deployments
Risk Benefit

Desktop virtualisation – the next opportunity for desktop transformation
Lock down security and compliance
Be pandemic ready
Optimise the use of thin clients
Repurpose and give new life to older PCs
Reduce cost and complexity associated with managing end user computing
Quickly scale and provision / deprovision end users
Dramatically reduce energy costs with thin clients
Remove IT tasks from the end user freeing them to be more productive
Potential Benefits
Significantly reduce desk-side support costs
Cut help desk calls by up to 40 per cent
Simplify operating system, application and security update process
Tighten desktop security and resiliency
Use up to 45 per cent less power over traditional desktops and laptops
Transform distributed IT operations into a centralised, flexible, secure and highly scalable virtualised desktop environment that is cost-effective to run and simple to maintain

Amongst the early adopters there are already clear patterns that suggest a practical approach to cloud computing
Define cloud strategy and roadmap
Assess cloud deployment models, service options and workloads
Plan cloud strategy and roadmap
Choose initial project
Start with an isolated private cloud deployment
Choose low-risk workload such as test and development
Standardise applications and systems
Deploy self-service portal
Roll out cloud across the enterprise
Enable additional workloads on private cloud
Add new users
Use trusted public cloud services to supplement data centre capabilities
Pilot and Deploy Extend and Evolve Plan and Prepare
Condition the existing infrastructure for cloud
Virtualise and automate existing systems
Add service management, service catalog

Learning points
Cloud computing is a new consumption and delivery model for IT-based services with two main motivations: Cost reduction and business optimisation
In future there will be three delivery models: private cloud and public cloud co-existing with the traditional enterprise IT delivery model
But “one size fits all” doesn’t apply. Workload characteristics will drive cloud adoption strategy. Workload analysis and prioritisation is required.
Cloud economics is driven by the level of virtualisation , standardisation , automation and self-service . Understand your current and target maturity in these key areas.
Don’t “wait for cloud to mature”
Condition the existing infrastructure for cloud
Define your cloud strategy and roadmap
Start with an isolated private cloud deployment
Roll out cloud across the enterprise

Thank You For more information, please visit: ibm.com/cloud

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Readying your IT Infrastructure for Cloud Presentation Transcript