Cloud Project Secrets of Success
                                        Wednesday Mary 30,
                                         10:30 AM Room A



                                             Kurt Milne
                                         Managing Director
                                        IT Process Institute

                                        Kurt.milne@itpi.org
                                        Twitter @KurtMilne



Copyright © 2011 IT Process Institute
IT Process Institute                                                                              2
                                                                                                  2


                       Advancing the science of IT management

                                              Link practice to results

                                                     Research



                                                  IT Management
                                                     Leadership

                                   Prescriptive
                                    Guidance                    Benchmarking


Foster sustainable change                                            Enable industry comparison

 Copyright © 2012 IT Process Institute
 Copyright © 2011 Process Institute
Research goal: answer important questions                      3




•   What are typical pre-requisites for a successful effort?
•   What are critical dependencies during your project?
•   What solution capabilities fit common use cases?
•   Where should you focus your POC efforts?
•   What are common friction points to avoid?
•   What are typical results?




Copyright © 2012 IT Process Institute
Copyright © 2011 Process Institute
Research Model                                                            4



Link things you have control over – to project outcomes
                                        Factors that impact   Outcomes
              Goals
                                            Outcomes

                                           Pre-requisites
                                                               Benefits

    What trying to do                         Critical
      (use cases)                          Dependencies
                                                               Project
                                             Solution          Friction
                                            Capabilities




Assumption: you can learn from what works at other organizations
Copyright © 2012 IT Process Institute
Copyright © 2011 Process Institute
How are “outcomes” measured?
Developer agility
- Streamlined development                      To what extent did your organization achieve the
- Developer agility                            following as a result of your cloud project?
- Deployment speed
                                                    3 – Significant Improvement
Ops efficiency
                                                    2 – Some Improvement
- Efficient provisioning                            1 – Little Improvement
- Efficient run-time                                0 – No Improvement
- Resource utilization
Service levels
- Provisioning quality                   2.5

- Uptime                                                   Average Score per category
                                         2.0
- Service response
Business outcomes                        1.5
- Improved business outcomes
- New business offerings                 1.0

Maintain control
                                         0.5
- IT governance
- Reduced shadow IT
                                         0.0

 Copyright © 2012 IT Process Institute
 Copyright © 2011 Process Institute      Operational Efficiency Agility   Service Levels
                                                                                      Business Outcomes
                                                                                                      Governace
Study activities and results - range of companies    6



• Data from 143 companies
   – 52% (74) – completed POC with some results
   – 48% (68) – expansion driving broader adoption
      50
      45
      40
      35
      30
      25
      20
      15
      10
       5
       0




 Copyright © 2012 IT Process Institute
 Copyright © 2011 Process Institute
Q: What is your general cloud strategy?                        7



•   Greenfield – not constrained by legacy
•   Startup – started public going private
•   Enterprise silo – cloud in corner of datacenter
•   Enterprise open – leverage existing assets
    as much as possible – moving toward “cloud 1st”
                                        Greenfield
                                           10%
                 Open 41%
                                                     Startup
                                                       22%




                                             Silo 27%
Copyright © 2012 IT Process Institute
Copyright © 2011 Process Institute
Common use cases – private/hybrid IaaS                                                                  8



Q: Consider your private or hybrid cloud computing objectives and planned
   usage, indicate if you have deployed.

                                        Backup
            Self-service dev or test
               Self-service resource
                                        Big Data
                                        HA / DR
           Self-service application
                                    Scale out
                                        Scale up
                               External 1st
  **
              Hybrid planned burst
          Hybrid unplanned burst
                                                   0%        10%     20%     30%      40%   50%   60%



                                                        Predicts higher performance
Copyright © 2012 IT Process Institute
Copyright © 2011 Process Institute
Generalizing private/hybrid IaaS cloud story                                  9



   What                                 Why
   Give users autonomous access •Reduce friction
   to …                         •Less time overhead tasks

   … highly standardized and            •More predictable service
   automated IT services …              deployment

   … in way that reduces impact         •More efficient operations (people)
   on operations …                      •Better utilization (assets)


   … improves service levels …          •Uptime
                                        •Resilience


   … and enables new business           • Top line growth
   capabilities.
Copyright © 2012 IT Process Institute
Copyright © 2011 Process Institute
Key success factors                             10




• Focus on business agility
   – Self-service
   – Auto-scaling
   – Workload movement
• Standardize to gain efficiency and leverage
• Treat “Cost reduction” as a side-effect



Copyright © 2012 IT Process Institute
Copyright © 2011 Process Institute
Pre-requisites                                                                                           11



Q: Indicate if each already existed when you started your cloud project.

                   Standard architecture
                  Standard configuration
                            User demand
                         Users frustrated
            Standard dev test production
                Auto-provision templates
                            Process ITSM
             Process application lifecycle
               Virtualization governance
                     Service consistency
               Automation maintenance
                  Auto-provision images
                               Shadow IT
                     Automation scaling
                                             0%    10%    20%    30%       40%   50%   60%   70%   80%


                                             Predicts higher performance
 Copyright © 2012 IT Process Institute
 Copyright © 2011 Process Institute
Key success factors                                12




• Some prior experience required
   – Dev and test in production-like environment
   – Manage application lifecycle
   – Automation
               • Provisioning
               • Maintenance
               • Scaling




Copyright © 2012 IT Process Institute
Copyright © 2011 Process Institute
Where focus POC?                                                                          13



Visibility



  High                                     33%                                    21%




  Low
                                           33%                                    13%



                                       Operations                            Business   Focus
   Copyright © 2012 IT Process Institute
   Copyright © 2011 Process Institute               Predicts higher performance
POC – executive level sponsorship                                              14




• Who is executive sponsor of your cloud POC?


                                  IT Manager

                                    IT Director

                                          IT VP

                                        CIO/CTO

                                           CEO

                     Business executive

                                                  0%   10%   20%   30%   40%


Copyright © 2012 IT Process Institute
Copyright © 2011 Process Institute
Critical Dependencies – during project                                                                 15



Q: Indicate if each was implemented during your cloud project.

            Policies - automation
                          Clear IT goals
                          Ops shift role
                   Separate process
              Clear Business goals
             POC - users on team
                Simplified network
        Standard infrastructure
          Separate environment
                       Reorganization
                   Users shift usage
                                           0%   10%   20%    30%   40%   50%   60%   70%   80%   90%


                                                Predicts higher performance

 Copyright © 2012 IT Process Institute
 Copyright © 2011 Process Institute
Key success factors                           16




• Upgrade and simplify
   – Networks
   – Storage
   – Servers
   – in order to improve asset utilization?

• Start with “cloud in the corner”




Copyright © 2012 IT Process Institute
Copyright © 2011 Process Institute
Solution features                                                                                   17



Q - Indicate whether each of these features have been deployed

                  User access rights
                        Multi-server
                  Policy based build
                           Metering
          Policy based deployment
                Multi-environment
          End-to-end management
                        VM diversity
                            Scale up
               Application lifecycle
                           Scale out
           Automated provisioning
                Environment aware
         Semi-configurable services
                        Charge back
 **                      Multi-cloud
                          Show back
                                         0%     10%   20%   30%    40%      50%   60%   70%   80%


                                              Predicts higher performance
 Copyright © 2012 IT Process Institute
 Copyright © 2011 Process Institute
Key success factors                      18




• Plan for diversity
   – Multiple VM platforms
   – Multiple clouds
• Provisioning AND run-time management
   – Focus on application
• Make shift to usage-based accounting




Copyright © 2012 IT Process Institute
Copyright © 2011 Process Institute
Project friction                                                                                         19



Q: Indicate whether your organization encountered the following issues
    related to your cloud project.

                              Over schedule
                                 Over budget
                                  Scope creep
            Too much customization
                         Scaled back to fit
                                     POC failed
                               Failed to scale
            User experienced failure
                    Highly visible failure
                                                  0%    10%     20%    30%       40%   50%   60%   70%


                                                   Predicts higher performance
 Copyright © 2012 IT Process Institute
 Copyright © 2011 Process Institute
Biggest issue to overcome?              20




Copyright © 2012 IT Process Institute
Copyright © 2011 Process Institute
Key success factors                         21



• Focus on users
   – Before – service design
   – During – POC team
   – After – service consumption behavior




Copyright © 2012 IT Process Institute
Copyright © 2011 Process Institute
Parting shot                                    22




• Treat “cloud” as a business project
   – Present a business outcomes-based vision
   – Find an invested executive level sponsor
   – High visibility, business-focused POC




Copyright © 2012 IT Process Institute
Copyright © 2011 Process Institute
Questions

                                             Kurt Milne
                                         Managing Director
                                        IT Process Institute
                                        Kurt.milne@itpi.org
                                        Twitter @KurtMilne



Copyright © 2011 IT Process Institute

Cloud project secrets of success

  • 1.
    Cloud Project Secretsof Success Wednesday Mary 30, 10:30 AM Room A Kurt Milne Managing Director IT Process Institute Kurt.milne@itpi.org Twitter @KurtMilne Copyright © 2011 IT Process Institute
  • 2.
    IT Process Institute 2 2 Advancing the science of IT management Link practice to results Research IT Management Leadership Prescriptive Guidance Benchmarking Foster sustainable change Enable industry comparison Copyright © 2012 IT Process Institute Copyright © 2011 Process Institute
  • 3.
    Research goal: answerimportant questions 3 • What are typical pre-requisites for a successful effort? • What are critical dependencies during your project? • What solution capabilities fit common use cases? • Where should you focus your POC efforts? • What are common friction points to avoid? • What are typical results? Copyright © 2012 IT Process Institute Copyright © 2011 Process Institute
  • 4.
    Research Model 4 Link things you have control over – to project outcomes Factors that impact Outcomes Goals Outcomes Pre-requisites Benefits What trying to do Critical (use cases) Dependencies Project Solution Friction Capabilities Assumption: you can learn from what works at other organizations Copyright © 2012 IT Process Institute Copyright © 2011 Process Institute
  • 5.
    How are “outcomes”measured? Developer agility - Streamlined development To what extent did your organization achieve the - Developer agility following as a result of your cloud project? - Deployment speed 3 – Significant Improvement Ops efficiency 2 – Some Improvement - Efficient provisioning 1 – Little Improvement - Efficient run-time 0 – No Improvement - Resource utilization Service levels - Provisioning quality 2.5 - Uptime Average Score per category 2.0 - Service response Business outcomes 1.5 - Improved business outcomes - New business offerings 1.0 Maintain control 0.5 - IT governance - Reduced shadow IT 0.0 Copyright © 2012 IT Process Institute Copyright © 2011 Process Institute Operational Efficiency Agility Service Levels Business Outcomes Governace
  • 6.
    Study activities andresults - range of companies 6 • Data from 143 companies – 52% (74) – completed POC with some results – 48% (68) – expansion driving broader adoption 50 45 40 35 30 25 20 15 10 5 0 Copyright © 2012 IT Process Institute Copyright © 2011 Process Institute
  • 7.
    Q: What isyour general cloud strategy? 7 • Greenfield – not constrained by legacy • Startup – started public going private • Enterprise silo – cloud in corner of datacenter • Enterprise open – leverage existing assets as much as possible – moving toward “cloud 1st” Greenfield 10% Open 41% Startup 22% Silo 27% Copyright © 2012 IT Process Institute Copyright © 2011 Process Institute
  • 8.
    Common use cases– private/hybrid IaaS 8 Q: Consider your private or hybrid cloud computing objectives and planned usage, indicate if you have deployed. Backup Self-service dev or test Self-service resource Big Data HA / DR Self-service application Scale out Scale up External 1st ** Hybrid planned burst Hybrid unplanned burst 0% 10% 20% 30% 40% 50% 60% Predicts higher performance Copyright © 2012 IT Process Institute Copyright © 2011 Process Institute
  • 9.
    Generalizing private/hybrid IaaScloud story 9 What Why Give users autonomous access •Reduce friction to … •Less time overhead tasks … highly standardized and •More predictable service automated IT services … deployment … in way that reduces impact •More efficient operations (people) on operations … •Better utilization (assets) … improves service levels … •Uptime •Resilience … and enables new business • Top line growth capabilities. Copyright © 2012 IT Process Institute Copyright © 2011 Process Institute
  • 10.
    Key success factors 10 • Focus on business agility – Self-service – Auto-scaling – Workload movement • Standardize to gain efficiency and leverage • Treat “Cost reduction” as a side-effect Copyright © 2012 IT Process Institute Copyright © 2011 Process Institute
  • 11.
    Pre-requisites 11 Q: Indicate if each already existed when you started your cloud project. Standard architecture Standard configuration User demand Users frustrated Standard dev test production Auto-provision templates Process ITSM Process application lifecycle Virtualization governance Service consistency Automation maintenance Auto-provision images Shadow IT Automation scaling 0% 10% 20% 30% 40% 50% 60% 70% 80% Predicts higher performance Copyright © 2012 IT Process Institute Copyright © 2011 Process Institute
  • 12.
    Key success factors 12 • Some prior experience required – Dev and test in production-like environment – Manage application lifecycle – Automation • Provisioning • Maintenance • Scaling Copyright © 2012 IT Process Institute Copyright © 2011 Process Institute
  • 13.
    Where focus POC? 13 Visibility High 33% 21% Low 33% 13% Operations Business Focus Copyright © 2012 IT Process Institute Copyright © 2011 Process Institute Predicts higher performance
  • 14.
    POC – executivelevel sponsorship 14 • Who is executive sponsor of your cloud POC? IT Manager IT Director IT VP CIO/CTO CEO Business executive 0% 10% 20% 30% 40% Copyright © 2012 IT Process Institute Copyright © 2011 Process Institute
  • 15.
    Critical Dependencies –during project 15 Q: Indicate if each was implemented during your cloud project. Policies - automation Clear IT goals Ops shift role Separate process Clear Business goals POC - users on team Simplified network Standard infrastructure Separate environment Reorganization Users shift usage 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% Predicts higher performance Copyright © 2012 IT Process Institute Copyright © 2011 Process Institute
  • 16.
    Key success factors 16 • Upgrade and simplify – Networks – Storage – Servers – in order to improve asset utilization? • Start with “cloud in the corner” Copyright © 2012 IT Process Institute Copyright © 2011 Process Institute
  • 17.
    Solution features 17 Q - Indicate whether each of these features have been deployed User access rights Multi-server Policy based build Metering Policy based deployment Multi-environment End-to-end management VM diversity Scale up Application lifecycle Scale out Automated provisioning Environment aware Semi-configurable services Charge back ** Multi-cloud Show back 0% 10% 20% 30% 40% 50% 60% 70% 80% Predicts higher performance Copyright © 2012 IT Process Institute Copyright © 2011 Process Institute
  • 18.
    Key success factors 18 • Plan for diversity – Multiple VM platforms – Multiple clouds • Provisioning AND run-time management – Focus on application • Make shift to usage-based accounting Copyright © 2012 IT Process Institute Copyright © 2011 Process Institute
  • 19.
    Project friction 19 Q: Indicate whether your organization encountered the following issues related to your cloud project. Over schedule Over budget Scope creep Too much customization Scaled back to fit POC failed Failed to scale User experienced failure Highly visible failure 0% 10% 20% 30% 40% 50% 60% 70% Predicts higher performance Copyright © 2012 IT Process Institute Copyright © 2011 Process Institute
  • 20.
    Biggest issue toovercome? 20 Copyright © 2012 IT Process Institute Copyright © 2011 Process Institute
  • 21.
    Key success factors 21 • Focus on users – Before – service design – During – POC team – After – service consumption behavior Copyright © 2012 IT Process Institute Copyright © 2011 Process Institute
  • 22.
    Parting shot 22 • Treat “cloud” as a business project – Present a business outcomes-based vision – Find an invested executive level sponsor – High visibility, business-focused POC Copyright © 2012 IT Process Institute Copyright © 2011 Process Institute
  • 23.
    Questions Kurt Milne Managing Director IT Process Institute Kurt.milne@itpi.org Twitter @KurtMilne Copyright © 2011 IT Process Institute