Overview of Cloud Computing and the Potential Business Impact


Published on

This presentation will provide an understanding of cloud computing and will outline the advantages and potential pitfalls in these services including TCO, ROI, Service Outage strategies and data backup strategies for critical data. LBi Software will explain industry definitions and differentiations between competing technologies and concepts. Using our own LBi Software Cloud Computing implementations, we will provide examples of applications and scenarios that are reflective of the current state of the industry and future directions. We will survey existing applications and services and provide a glossary of terms to assist in evaluating cloud computing in an environment.

Published in: Technology
  • Be the first to comment

No Downloads
Total views
On SlideShare
From Embeds
Number of Embeds
Embeds 0
No embeds

No notes for slide

Overview of Cloud Computing and the Potential Business Impact

  1. 1. Overview of Cloud Computing & Potential Business Impact Gary Reuter LBi Software Northeast PeopleSoft & NY/NJ JD Edwards RUG Meeting
  2. 2. Agenda <ul><li>Introductions </li></ul><ul><li>Describing Cloud Computing </li></ul><ul><li>Advantages/Issues </li></ul><ul><li>Cloud Appropriate Solutions </li></ul><ul><li>Getting Started in the Cloud </li></ul><ul><li>Q & A </li></ul>
  3. 3. LBi Software <ul><li>Over 20 years HCM Focus </li></ul><ul><li>Experience with Packaged Software Solutions </li></ul><ul><li>Active Participant in Quest & RUG Events </li></ul><ul><li>Team culture – average tenure is 10 years </li></ul><ul><li>Platform independent/process oriented </li></ul><ul><li>Technology centric </li></ul>
  4. 4. Origin of the term Cloud Computing <ul><li>Origins are from the early days of the Internet where the network was portrayed as a cloud </li></ul><ul><li>First cloud around networking (TCP/IP abstraction) </li></ul><ul><li>Second cloud around documents (WWW data abstraction) </li></ul><ul><li>The emerging cloud abstracts infrastructure complexities of servers, applications, data, and heterogeneous platforms </li></ul>
  5. 5. Cloud Computing
  6. 6. What is a Cloud Computing <ul><li>Cloud Computing </li></ul><ul><ul><li>Computing via the internet </li></ul></ul><ul><ul><li>On-demand network access </li></ul></ul><ul><ul><li>Shared pool of configurable resources </li></ul></ul>
  7. 7. A Working Description of Cloud Computing <ul><li>Cloud computing - a model for enabling convenient, on-demand network access to a shared pool of configurable computing resources (e.g., networks, servers, storage, applications, and services) that can be rapidly deployed and/or released with minimal management effort or service provider interaction </li></ul>
  8. 8. 5 Essential Cloud Characteristics <ul><li>Broad network access </li></ul><ul><li>On-demand </li></ul><ul><li>Resource pooling </li></ul><ul><ul><li>Location independence </li></ul></ul><ul><li>“ Infinite” scale </li></ul><ul><li>Measured service </li></ul>
  9. 9. 4 Cloud Deployment Models <ul><li>Private cloud </li></ul><ul><li>Community cloud </li></ul><ul><li>Hybrid cloud </li></ul><ul><li>Public cloud </li></ul>
  10. 10. Public Cloud Sold to the public, infinite-scale infrastructure
  11. 11. 3 Cloud Service Types *To be considered “cloud” they must be deployed on top of cloud infrastructure that has the key characteristics
  12. 12. <ul><li>Storage </li></ul><ul><li>Infrastructure </li></ul><ul><li>Networking </li></ul><ul><li>Virtual Machines </li></ul><ul><li>Software </li></ul>Inside the Cloud Cloud Infastructure SaaS PaaS IaaS
  13. 13. Foundation Elements of Cloud Computing <ul><li>Virtualization </li></ul><ul><li>Grid technology </li></ul><ul><li>Service Oriented Architectures </li></ul><ul><li>Distributed Computing </li></ul><ul><li>Broadband Networks </li></ul><ul><li>Browser as a platform </li></ul><ul><li>Free and Open Source Software </li></ul><ul><li>Autonomic Systems </li></ul><ul><li>Web 2.0 </li></ul><ul><li>Web application frameworks </li></ul><ul><li>Service Level Agreements </li></ul>Other Technologies Primary Technologies
  14. 14. Driving Cloud Adoption
  15. 15. Cloud Economics
  16. 16. Traditional Data Center Costs <ul><li>Average 9000 square foot costs $21 million to build with $1 million in electricity costs/year </li></ul><ul><li>11.8 million servers; used at only 15% of capacity </li></ul><ul><li>Typically consume up to 100 times more energy per square foot than a typical office building </li></ul><ul><li>Data centers consume 1.5% of our Nation’s electricity (EPA) </li></ul>
  17. 17. Traditional Software Costs <ul><li>$800 billion dollars spent yearly on purchasing and maintaining enterprise software </li></ul><ul><ul><li>Expensive upgrade costs </li></ul></ul><ul><ul><li>Expensive licensing costs </li></ul></ul><ul><ul><li>Inflexibility </li></ul></ul><ul><ul><li>80% of enterprise software expenditure is on installation and maintenance </li></ul></ul>
  18. 18. Cloud Economics <ul><li>Estimates vary widely on possible cost savings: </li></ul><ul><li>“ If you move your data center to a cloud provider, it will cost a tenth of the cost.” – Brian Gammage, Gartner Fellow </li></ul><ul><li>“ Use of cloud applications can reduce costs 50% to 90%” - CTO of Washington D.C. </li></ul><ul><li>“ IT resource subscription pilot saw 28% cost savings” - Alchemy Plus (backing from Microsoft) </li></ul><ul><li>Preferred Hotel </li></ul><ul><ul><li>Traditional: $210k server refresh and $10k/month </li></ul></ul><ul><ul><li>Cloud: $10k implementation and $16k/month </li></ul></ul>
  19. 19. Possible Effects of Cloud Computing <ul><li>Small enterprises </li></ul><ul><ul><li>use SaaS and public clouds </li></ul></ul><ul><ul><li>minimize growth of data centers </li></ul></ul><ul><li>Large enterprises </li></ul><ul><ul><li>data centers evolve to act as private clouds </li></ul></ul><ul><ul><li>use hybrid clouds to leverage both internal and public clouds </li></ul></ul><ul><li>Public clouds may adopt standards in order to run workloads from competing hybrid cloud infrastructures </li></ul>
  20. 20. Cloud Deployment Examples
  21. 21. Salesforce.com in Government <ul><li>New Jersey Transit </li></ul><ul><ul><li>Used it to build/run their call center, incident management, complaint tracking, and service portal </li></ul></ul><ul><ul><li>500% More inquiries handled </li></ul></ul><ul><ul><li>0 New agents required </li></ul></ul><ul><ul><li>36% Decrease in response time </li></ul></ul><ul><li>U.S. Army used CRM for new Recruiting system </li></ul><ul><ul><li>U.S. Army needed a tool to track potential new recruits who visited its Army Experience Center </li></ul></ul><ul><ul><li>Used it to track all core recruitment functions and allows the Army to save time and resources </li></ul></ul>
  22. 22. Cloud at LBi Software <ul><li>Customer Website Hosting </li></ul><ul><ul><li>Brochure/Bulletin board websites </li></ul></ul><ul><li>Application Hosting </li></ul><ul><ul><li>LBi offers SaaS services for our flagship products </li></ul></ul><ul><li>Backup Disaster Recovery at LBi data center </li></ul><ul><ul><li>Backup every hour from EC2 to S3 </li></ul></ul><ul><ul><li>Real time data replication from EC2 to LBi </li></ul></ul>
  23. 23. Cloud at LBi Software <ul><li>Load Testing </li></ul><ul><ul><li>We launched an extra large instance to host our CaseManager application </li></ul></ul><ul><ul><li>We launched a medium size instance to host the load testing software </li></ul></ul><ul><ul><li>The load testing software simulated various amounts of users and requests </li></ul></ul><ul><ul><li>Other load testing services in the cloud </li></ul></ul>
  24. 24. Amazon EC2
  25. 25. Amazon EC2
  26. 26. Thank You! <ul><li>For more information: www.LBiSoftware.com </li></ul>