It's Time the Data Center Gets the "Moneyball" Treatment

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Hear a new approach to predicting IT and business performance. Join TeamQuest Director of Market Development Dave Wagner as he explains why old, traditional methods are failing.

Wagner will present what he calls the "Moneyball treatment" (loosely based on sabremetrics - an approach to measuring and analyzing complex, previously unappreciated data relationships, famously first applied to sports performance and played out in the movie, "Moneyball").

Learn ways to better identify relationships across widely disparate data sets. Predict IT and business performance based on these relationships combined with historical and current performance. Real predictions cannot be based on simple trending approaches because they don’t factor the ugly realities associated with resource contention.

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  • Demands on underlying IT infrastrucdture are changing dramatically due to the continued push for “Smart Grid” and Analytics systems, applications and programs
  • Making it much more complex to plan, manage, budget to true (and ensurable) performanceams…
  • Our way is better, faster, and more cost effective than the alternatives to Build a huge “data mart” (i.e. PMDB)Complexity = (data ETL) x (# sources) x (maint. effort) x (SDDC variability/dynamism) x … + Compliance: Data duplication, privacy, audit, etc… + Lock in”= Very costly and time-consumingOr Apply general purpose BI analytics to IT challenges they aren’t designed to handleAnswers Business questions, but…Not focused on IT Resource optimization, performance, capacityAgility? Core competence?
  • Bullet OneProactively manage true performancePredictively optimize performance and capacityContinuously cost-optimize IT resource decisionsBullet TwoBusiness KPI and Financials into IT decisionsIT Performance and Capacity in Business contextBullet ThreeRepeatable, standardized, flexible, scalableGartner calls this rapidly growing arena: IT Operations Analytics – the ability for IT Operations to Automate Analytic insight into data; transforming operational disciplines like Capacity Planning, Configuration management, Financial optimization, Performance Management and more.We do this with a unique approach that brings Business Analytics and perspectives into the IT performance and capacity decision process by via three key technological differentiators:1. Continuous measurement, analysis and reporting on the real and true performance of IT resources in terms of their ability to sustain acceptable business service level performance (instead of simplistic, commodity-metric, resource utilization approaches) – after all, nobody in business or the market CARES what your IT resource utilization rates are! It’s all about the customer experience! And…2. Continuous Prediction of what business service response times and transactional throughput will be, giving IT and the Business distant early warning to not only potential disruptions, but detailed insight into precisely which resources will be the problem, when and why – from Servers, Virtual Servers and applications down to the storage they depend upon, And finally…3. Marrying these IT analytics with: a) financial costs (CapEx and OpEx) associated with the IT resources needed to sustain the business, b) Business KPIs and other insights obtained through the use of Business Intelligence Analytics tools and initiatives.Our solution ensures bi-directional alignment: so that IT analysis and decisions can be both made – and communicated – in proper business contextFinally our solution’s comprehensive automation ensures adaptability to the needs of IT and the business, while proven scalable to the largest of IT environments (we have customers with 10’s of thousands of physical/virtual servers, many hundreds of applications, huge amounts of storage….), yet not requiring massive investments in staff/expertiseAdditional Talking points if/when needed that go “down another level”:1) Managing based on metrics that matterUnlike all other IT Performance or Capacity Management solutions, we uniquely optimize and manage based on application latency (“response time”) and throughput (how much business work is getting done, or not). This is the only thing business, customers and the market really care about. (if needed can go into further details like how leading Virtualization analysts like Bernd Harzog state how critical this will be to managing the complexity of “virtualized everything” (aka: SDDC), etc…)2) Based on flexible, scalable, open and agile IT Analytics that adapt across the enterpriseOur analytics are fully automated, exception-based, and flexible; with proven scalability to the largest of environments without requiring massive investments in staff/expertiseWe unify IT Performance management with a true enterprise-wide perspective, ending the cross domain “finger pointing” and costly, time-wasting “tiger team” diagnosis meetings when trying to optimize, diagnose, or manage complex virtual/cloud server/storage environmentsBecause our analytics are open and agile, and integrate with customers existing tools, data, and processes, there is not only no “rip and replace” required, there is extremely rapid realization of value and ROI as well as the comfort of investment protection (again if needed could cite WF example here)
  • First, discuss these two examples. Then…These and our other successful customers achieve these types of results by (seque to next slide)
  • It's Time the Data Center Gets the "Moneyball" Treatment

    1. 1. It’s Time Your Data Center Gets The Moneyball Treatment Continuously operate at the intersection of Business Performance and IT Efficiency David Wagner – TeamQuest Director Market Development TeamQuest and the TeamQuest logo are registered trademarks in the US, EU and elsewhere. All other trademarks and service marks are the property of their respective owners. Copyright © 2012 TeamQuest Corporation. All Rights Reserved.
    2. 2. Agenda • What is“Moneyball” anyway? • What does this have to do with IT? • Money-balling IT: Continuous IT Service Optimization – – – – Challenges and risks of inaction Desired state and results Approach: Aligning Business and IT Analytics Examples/Results Copyright © 2012 TeamQuest Corporation. All Rights Reserved.
    3. 3. Moneyball Background • Sports History and Tradition – Player Statistics: 100+ years: “we’ve always done it this way” – Better Individual Statistics  Higher Salaries – Poorer Teams couldn’t buy “best” resources  Always Lose • Rogue Team and Idea – Oakland A’s (small market, small $$ team) – Measure/Analyze what REALLY matters, invest accordingly – Result: Won in 2002 and 2003 with 3rd Lowest Player Salaries (out of 30!) • Results: – Ever more teams adopting approach – Other sports (Football, Hockey, etc.) • Documented: – A book: “The Art of Winning an Unfair Game”, Michael Lewis, 2003 – A movie: “Moneyball”, starring Brad Pitt, 2011 Copyright © 2012 TeamQuest Corporation. All Rights Reserved.
    4. 4. Moneyball Overarching Themes • Traditional metrics and Analysis versus “Sabermetrics” – More Runs (Goals) versus More game-winning Runs (Goals) – Least Errors (Fouls) versus Least game-losing Errors (Fouls) – More Hits (Assists) versus Run (Goal) scoring Hits (Assists) – “Measure and Analyze what Matters!” • Democratization of Information – More access by everyone to all information – Victory comes to those who look at EVERYTHING (first)! • Ruthless Drive for Efficiency – Size of investment no guarantee, you MUST also be more efficient! – If you don’t, your competition will; spend more AND lose! Copyright © 2012 TeamQuest Corporation. All Rights Reserved.
    5. 5. Moneyball For IT! • Traditional metrics and Analysis versus “Sabermetrics” – – – – – Resource Utilization versus Work Efficiency and Cost Availability versus Work Accomplished Technology Metrics versus Application, Service and Workloads … “Measure and Analyze what Matters!” • Democratization of Information – Software Defined Data Centers: Big Data, Cloud, Virtualization, Dynamism, etc… – Spanning ALL silos: Technology, Business, Financial, etc… • Ruthless Drive for Efficiency – If you don’t do it, you’ll be “done” by others who do! Copyright © 2012 TeamQuest Corporation. All Rights Reserved.
    6. 6. Moneyball For IT! How? • Merge Business and IT Processes and Tools - Alignment – IT Technology data into Business Analytics – Business data into IT Analytics • Ruthless Drive for Efficiency – Use Analytics – Use Automation – Adopt ever-increasing proactivity • Continuous Optimization = Alignment + Analytics + Automation + Proactivity Copyright © 2012 TeamQuest Corporation. All Rights Reserved.
    7. 7. The business values analytics… Improve the use of data analytics to improve business decision making Source: Forrsights Business Decision-Makers Survey, Q4 2012; Base: 1,170 EMEA business decision-makers © 2013 Forrester Research, Inc. Reproduction Prohibited Copyright © 2012 TeamQuest Corporation. All Rights Reserved. 7
    8. 8. Challenges and Obstacles • Inclusion of legacy or non-virtualized hardware resources? • Interoperability of multiple vendors’ converged infrastructure systems? • Management remains a mystery – Lack of real time data – Lack of global optimization strategies Forrester content Copyright © 2012 TeamQuest Corporation. All Rights Reserved.
    9. 9. Cloud, Virtualization and SDDC -> Changing Demands on Enterprise IT Business Services/Applications SDDC Copyright © 2012 TeamQuest Corporation. All Rights Reserved. • • • • • • • Asset Management Smart Devices Virtualized Storage Virtualized Servers Virtualized NW VDI Etc…. Customer • • • • • • • Call Center Operations POS Optimization Demand Response Campaign Management Credit & Collections Billing Etc….
    10. 10. Increasing Planning and Optimization Challenges Business Services/Applications SDDC Copyright © 2012 TeamQuest Corporation. All Rights Reserved. • • • • • • • Asset Management Smart Devices Virtualized Storage Virtualized Servers Virtualized NW VDI Etc…. Customer • • • • • • • Call Center Operations POS Optimization Demand Response Campaign Management Credit & Collections Billing Etc….
    11. 11. Management is WAY more than monitoring • SDDC management will place a premium on new management models – Real time data collections – Embedded Analytics – Ability to span multiple data source domains intelligently • Analytics will have different goals – efficiency, cost, root cause analysis • Goals include workload-centric optimization, global cost and energy efficiency, global availability … very tough challenges for traditional management vendors Source: Forrester Research, September 2013 Copyright © 2012 TeamQuest Corporation. All Rights Reserved.
    12. 12. “IT doesn’t analyze business data because…” • Existing tools don’t accept it – ETL into acceptable format(s) is a lot of work, cost – Manual efforts cannot scale – Don’t adapt to dynamic, virtual everything realities • IT has no expertise in business data – It isn’t easily presented or understood – We’ve never had the time to deal with it • What can we really DO with it? – Where do we start? – What is the value? Copyright © 2012 TeamQuest Corporation. All Rights Reserved.
    13. 13. Negative consequences of the current state • Lack of understanding of relationship of dynamic technology to services – Over and under provisioning – High Costs – Service risks – Market risks • Too many disparate tools and processes – Expensive and in silos – Error prone impacting service delivery • Vendor dependence and “lock in” – High costs – Reduced agility Copyright © 2012 TeamQuest Corporation. All Rights Reserved.
    14. 14. Desired state: Continuous Optimization • Continuously financially optimized IT environment – Always know where and when performance problems will affect the bottom line – Identify cost and performance inefficiencies in support of business processes and eliminate them • Continuously optimized customer experience – Understand when, where and why customer experiences fail – Resolve, predict and prevent customer dissatisfaction issues Copyright © 2012 TeamQuest Corporation. All Rights Reserved.
    15. 15. Desired State: Answer the Questions! “What is the health of the infrastructure?” “What’s the risk assessment?” “How efficiently are we using the infrastructure? What does it cost?” “How many of those do we have? Need? When?” Copyright © 2012 TeamQuest Corporation. All Rights Reserved. “What were the exceptions? Do we Care?” “What’s the capacity forecast? What should/will it cost?” “Changes compared to the last reporting period?”
    16. 16. Result: Continuous IT Optimization • Significantly Reduce initial CapEx, and ongoing OpEx – Make, and keep making, more money! • Optimize resources for systems of customer engagement • Deploy and refresh new applications faster – E.g Retailers need to capture their share of mobile commerce as it grows from $6 to $31b (2016) • Respond faster to business spikes • Prevent business impacting outages and slowdowns Copyright © 2012 TeamQuest Corporation. All Rights Reserved.
    17. 17. Methodology: Aligned Business and IT Analytics Big Data Collection Underlying IT Infrastructure Outage Management Customer Operations Distribution Automation Asset Management Services Enterprise IT Optimization • Correlate business & IT performance • Insight into how business process changes impact IT Applicatio ns • Understand and optimize IT costs by business unit/process and technology Server/OS Network • Insight into business performance across technology stack Storage Business Intelligence Aligned Business and IT Intelligence Copyright © 2012 TeamQuest Corporation. All Rights Reserved. 17
    18. 18. Federated IT Analytics • Federates existing data into purpose-designed optimization process – – – – Technology data (e.g. server, network, storage, etc.) Service data (catalog, metrics, tickets, etc.) Financial data Business data (Analytics, KPIs, plans, TXNs, etc.) • Automates analytics across all data sources – Flexible and adaptive to dynamic SDDC environments – Predictive analytics aligning to applications/services • Single-pane-of-glass IT Optimization – Raw (commodity) data -> actionable information for Copyright © 2012 TeamQuest Corporation. All Rights Reserved.
    19. 19. Automated, Aligned IT Analytics • Analysis to optimize decision making • Integration to align to the business • Automation to drive efficiency and repeatability Copyright © 2012 TeamQuest Corporation. All Rights Reserved.
    20. 20. Federated Analysis: Example Automated Financial Optimization • Continuous Optimization – Pre-purchase validation – Re-purposing – Consolidation • Fully Automated, low cost • Integrates with Risk and Service Management • Changed new VMware Clusters from every 6 weeks to: – None for 18+ months… – Consolidated 1000’s of VM’s (Saving $M) Copyright © 2012 TeamQuest Corporation. All Rights Reserved.
    21. 21. Get Aligned: Service Risks Copyright © 2012 TeamQuest Corporation. All Rights Reserved.
    22. 22. Get Proactive: Predictive Analytics • Proactively measure what matters! Continuous Prediction – Complete Components of Response Time (latency) – Which services run out of resources, when, and why • Automated • Business-aligned Copyright © 2012 TeamQuest Corporation. All Rights Reserved. 22
    23. 23. IT Power Capacity Optimization • Proactive Power Optimization – Actual versus DC Limits – Power by Application/Service – Project Savings via optimization efforts • Data Sources – Server/Virtual Server performance – Power Consumption from DCIM power management – Service Catalog and CMDB – Asset Database Copyright © 2012 TeamQuest Corporation. All Rights Reserved.
    24. 24. Automated Root Cause Analytics • Service Level RCA – Measured versus SLA – Span Servers, Virtual Servers, Network, Storage, etc • Data Sources – – – – Copyright © 2012 TeamQuest Corporation. All Rights Reserved. TeamQuest CMIS (VMware) TeamQuest CMIS for Storage Application RT tools Service Catalog and CMDB
    25. 25. Financial Optimization Reports • Automatically Balance – Current and Future Costs – Performance – Capacity • Data Sources – Server/Virtual Server performance – Asset Costing (CapEx/OpEx) – Service Catalog and CMDB – Power Costing Database Copyright © 2012 TeamQuest Corporation. All Rights Reserved.
    26. 26. TeamQuest: Insight Automated. Optimization Achieved “I know what my risks to performance are and will be!” “I know how efficient my IT environment is and can be and what it will cost” “I know what we have, what we need, and when we need it!” Copyright © 2012 TeamQuest Corporation. All Rights Reserved. “I know the performance and costs of my infrastructure!” “I understand the exceptions and their importance!” “I have a Capacity and Financial Plan!” “I know what has changed and why from the last period!”
    27. 27. Join the Winning Team • Fortune 200 Financial Services Provider – Saved $7Million in first year – Saved $15 Million in second year, significant power cost reduction – Eliminated new server spend for 24 months, all new projects continued • Top 5 US Financial Services Provider – 70% of ALL operational analysis automatically delivered in exceptionoriented, human readable fashion – 95% reduced staff time per analysis  4x more staff productivity – Avoided purchase of 100’s of physical servers, simultaneously virtualizing thousands of servers in 2013 alone, saving $Millions • Leading Banks, Telecoms, Retailers, and many more… – Bank of America, Barclays, gkv Informatik, HSBC, Safeway, TSystems, Telefonica, Vodafone, Verizon, Visa, Wells Fargo, … Copyright © 2012 TeamQuest Corporation. All Rights Reserved.
    28. 28. Summary and Recommended Steps • Read (or watch) Moneyball and map to YOUR situation • Inventory IT processes and ALL your tools/metrics – Data collection? – Data storage? – Capacity Analysis/Reporting? • Inventory your business KPIs, factor your BI analytic initiatives • Identify “low hanging fruit” – – – – By Service? By BU? By Platform? By Technology/silo? Copyright © 2012 TeamQuest Corporation. All Rights Reserved. 28
    29. 29. A Moneyballed Data Center… • Uses modern, appropriate metrics – Utilizations don’t cut it anymore – Sabermetrics for IT! • Democratizes ALL your information – Leverage both Federation and Centralization – Fully align Business, Service and IT Performance • Ruthlessly (and continuously) drives for efficiency – Performance/throughput (business) – Capacity – Cost Copyright © 2012 TeamQuest Corporation. All Rights Reserved. 29
    30. 30. IT Optimized... Future Assured • Continuous IT Optimization – Peak IT Performance – Ideal Resource Capacity – Optimized Resource Costs • Automated IT Analytics – Predictive – Federated • Aligned IT and Business Management – Performance – Capacity – Financial Copyright © 2012 TeamQuest Corporation. All Rights Reserved.

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