My CIO Says that We're Going All-in and Migrating to AWS, Now What
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This document discusses an organization migrating its infrastructure and applications to AWS. It provides an overview of the opportunities and challenges from three perspectives: technology, finance, and organizational impact. It outlines typical phases of the cloud journey and how each group can expect their roles to change. Examples are given of other companies who successfully migrated to AWS, improving performance while reducing costs. The presentation emphasizes looking beyond short-term savings to long-term strategic benefits like innovation and agility.
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My CIO Says that We're Going All-in and Migrating to AWS, Now What
- 1. © 2018, Amazon Web Services, Inc. or its Affiliates. All rights reserved. Muneeb O. Ahsan AWS – EMEA Enterprise Transformation Lead My CIO Says That We are Going All-In and Migrating to AWS? Now What?
- 3. Agenda The Opportunity The Journey Through Three Lenses What technologists can expect from this Transformation What the ‘Business’ can expect from this Transformation The Impact on the Organisation & Change Management Tech Finance Org.
- 4. © 2018, Amazon Web Services, Inc. or its Affiliates. All rights reserved. Migrated 300+ applications in one year for a savings of $21M Migrated 8 of 12 data centers to AWS, improving performance, reliability, and cost Migrated over ~5,500 instances in 9 months, reduced storage costs 50%, compute costs 20%, and sped up provisioning by 10x (4 weeks to 2 days) Migrated data center assets for several divested business units in 6 months Consolidating 56 data centers down to 6, moving 75% of infrastructure to cloud in the process, and re-allocating more than $100M toward key business drivers Some Customers Migrating with MAP
- 5. MENA References by Segment Startups Transportation & Logistics Media & Entertainment Manufacturing & ConstructionFSI & Fintech Telecom, Software & Internet Public SectorE-Commerce & Retail
- 6. Demographic Data Facial Landmarks Sentiment Expressed Image Quality Brightness: 25.84 Sharpness: 160 General Attributes
- 7. YOUR ORG. BENEFITS AWS BENEFITS Breadth of technology and innovation Scaling IT Consumption based economics + Harnessing Innovation + Fine-tuned to run your applications + Scaling your business AWS MAKES THIS POSSIBLE JUST IMAGINE THE POTENTIAL
- 8. AWS Pace of Innovation 0 250 500 750 1000 1250 1500 2010 2012 2014 YTD Launches 1430 new features/services launched in 2017 As of January 2018 AWS has been continually expanding its services to support virtually any cloud workload. AWS has launched a total of 1430 new features and/or services YTD* 61 159 516 1430
- 9. © 2018, Amazon Web Services, Inc. or its affiliates. All rights reserved. FINANCIAL ORGANISATIONTECH The Three Lenses To View The Cloud Journey From…
- 10. Technology Lens - AWS Cloud Journey Phases Value Workloads Right-sizing Reserved Instances Managed Service Optimisation Identify & Prioritise Project Portfolio Governance, Security & Monitoring Initial On-Demand Instances Identify demand profiles and forecast demand Migration Serverless AI Analytics Re-Invent
- 11. Application Migration Patterns – 6 Rs 11 Redesign Application/ Infrastructure Architecture App Code Development Full ALM / SDLC Integration Purchase COTS/ SaaS & licensing Manual Install & Setup Modify underlying Infrastructure Determine new platform Retain / Revisit Manual Config Manual Deploy Manual Install Retire / Decommission Discover/Assess/Prioritize Applications Determine Migration Path Use Migration Tools Transition ProductionValidation Automate
- 12. Being able to change at pace enables experimentation and opens the door to innovation.
- 13. © 2018, Amazon Web Services, Inc. or its affiliates. All rights reserved. FINANCIAL ORGANISATIONTECH
- 14. Finance Lens - AWS Cloud Journey Phases Value Workloads Costs continue to decline due to optimisation Optimisation On-Demand instances trigger Vendor Managers to flag initial cost increases Demand forecasts convert into Reserved Instances Migration Innovation and experimentation cause cost to increase and then dramatically fall Re-Invent
- 15. © 2018, Amazon Web Services, Inc. or its affiliates. All rights reserved. You Buy an Electric Car Based On Cheaper Running Costs…But What If…. … Electric costs go higher … Insurance costs go higher “We will travel to more places, not constrained by petrol costs - This is the REAL Value”
- 16. Company X – Case Study A large Retail Enterprise approached AWS to explore how they can keep up with the hyper pace of changing consumer behaviours… But, “Before we adopt the Cloud, find cost savings for us to re-invest in Cloud & innovation” An opportunity to transform a ‘big-red’ Database vendor to AWS. 100 Enterprise Grade Servers 100 TB of Storage 100 Databases
- 17. People Costs Third Party Costs Infrastructure Costs Application Costs Migration Costs Key Financial Cost Areas
- 18. 5 Year TCO Between On-Premise vs. AWS 18 A Difference Of 38% Over 5 years ($7.7m) $11,870,156 $7,122,094 $0 $5,000,000 $10,000,000 $15,000,000 $20,000,000 $25,000,000 On-Premise AWS On-Premise vs. AWS Database Transformation over 5 years Compute Network Storage IT Labour Software $12.7m $20.4m
- 19. Stakeholders Beyond IT Can Quickly Destroy Your TCO – From $7.7m to Negative $4.6m 19 Vendor Manager Finance Manager
- 20. Consider Strategic Benefits Beyond IT - $23m in Strategic Benefits - Usually 3x The Net TCO Value Board Level Benefits Case – Enterprise Transformation
- 21. On-premises Lift & shift Instance right-sizing Improved elasticity Measure, monitor, improve Optimized EC2 Storage optimization Serverless architecture Managed services True AWS optimized Economic case improves through optimization Typical TCO comparison AWS Uniquely Enables You To Transform & Re-Invent IT
- 22. Look beyond TCO and focus on strategic business benefits
- 23. © 2018, Amazon Web Services, Inc. or its affiliates. All rights reserved. FINANCIAL ORGANISATIONTECH
- 24. © 2018, Amazon Web Services, Inc. or its affiliates. All rights reserved. The Migration Analogy & Org. Change
- 25. Organizational View - AWS Cloud Journey Phases Value Workloads Centre of Excellence Repeatability & Automation DevOps In Action Optimisation Migration Centre of Excellence becomes a Centre of Innovation & Value Creation Re-Invent IT Operating Model Alignment Defining Dev-Ops People Change Management
- 26. © 2018, Amazon Web Services, Inc. or its affiliates. All rights reserved. Real Agility is achieved when your organization adapts to external and internal changes
- 27. • Shell is a global oil and gas company • Core operational applications running in production on AWS • With AWS, Shell has elasticity – the ability to expand and contract IT infrastructure as needed Shell’s Cloud Journey: Operationalizing the Cloud Strategy
- 28. The Transformation & Migration Journey Is An Opportunity To Bring The Organisation Together
- 29. © 2018, Amazon Web Services, Inc. or its affiliates. All rights reserved. Being able to change at pace enables experimentation and opens the door to innovation. Look beyond TCO and focus on strategic business benefits The Transformation & Migration Journey Is An Opportunity To Bring The Organisation Together
- 30. Please complete the session’s survey by scanning the QR Code printed on your badge or through the link below. https://amzn.to/BahrainSessions
- 31. Thank You
Editor's Notes
- You may be wondering – What are we here to discuss? ….Let me just give you a scenario – You’re CIO comes to you and says “we’re going all in on AWS” – you’re thinking Now What?
- To address this question, let’s discuss this in 2 parts: The Opportunity – Before we embark on this journey, let’s remind ourselves why we’re embarking on this journey with AWS… And secondly. The second part will give you a snapshot of what the journey may look like in the eyes of technology, finance and the organization… This gives you today a strategic view across the migration journey and insights to what to prepare for
- 1000s of Enterprises Have successfully migrated to AWS – you’re not alone GE Migrated 300+ applications in one year, saving $21m News Corp consolidated 56 Datacentres down to 6, moving 75% of infrastructure to Cloud and reallaction $100m toward key business drivers Can we imagine what our business’s can do with that level of freed up cash flow?
- Including those in this region, across every industry and THOUSANDS of Use Cases…. But Before we get into the opportunity, allow me to paint a picture of the power AWS gives you…
- If you can recognize all these things about your customers, the possibility are endless. Better personalization, cross sell, up-sell – the list goes on. Just imagine the potential to your organization. A good example of Data Insights is a government organisation the US called the SEC, Security Exchange Commission, which wanted to examine the 2010 Flash Crash. The simulated models would typically take months on premise. When they moved these simulation to the AWS Cloud, they conducted these simulations from months to 2.8secs at 10% of the cost.
- It’s Not JUST face recognition that we do – we have several innovation that you can harness TODAY. Which open up infinite possibilities for your business.
- The first part was about the Opportunity and Power of AWS – the second part is how is this power viewed across three different areas, starting with technology
- Optimisation
- Once some basic discovery and assessment has been done, each application migration tends to follow one of 6 different paths, which builds upon the 5 R’s that Gartner coined in 2011. We’ve outlined 6, and they include: CLICK: Rehost aka lift-and-shift. we find that in most migration projects enterprises end up wanting to lift-and-shift half or more of their environment. When I was at Dow Jones, we started at our journey with the ivory tower attitude that we were going to re-arch everything. [HK, 8 weeks, lift/shift, 40%, News biz case] CLICK: We find that most of this can be automated with tools, though in some cases customers will prefer to do this CLICK: manually as a learning experience CLICK Replatforming - media co weblogic-tomcat example CLICK Repurchasing - a lot of our customers are moving toward the SaaS model and toward solutions like Workday, Drupal, and Salesforce CLICK Rearchitect - in some cases, you may want to completely re-imagine your application architecture and skip right toward state-of-the-art by leveraging the broadest set of container-based, server-less, and managed noSQL offerings on the market. CLICK You never know what you’re going to find until you look, and common for us to find that no one knows what 10-20% of an enterprise IT portfolio does and it can simply be shut off. I met w/ BP Monday heard about their ruthless rationalization team dedicated to retiring. CLICK Retain/revisit our customers tell us that having hundreds of examples like this is one of the reasons they find AWS the easiest platform the migrate to. We’re going to continue to harvest learnings from this experience so that we can accelerate customers through commonly encountered migration scenarios using prescriptive guidance and best practice.
- Maximizing the benefits of cloud models KEY TAKEAWAYS This is a pause moment that emphasizes the need for a big picture, holistic cloud strategy that goes along with a specific cloud model in order to have success with cloud. TALKING POINTS To maximize on the benefits of cloud models, organizations need a holistic cloud strategy and a way to make it real. It is not enough to evaluate and select a model—a comprehensive strategy is needed. Let’s look at why.
- Maximizing the benefits of cloud models KEY TAKEAWAYS This is a pause moment that emphasizes the need for a big picture, holistic cloud strategy that goes along with a specific cloud model in order to have success with cloud. TALKING POINTS To maximize on the benefits of cloud models, organizations need a holistic cloud strategy and a way to make it real. It is not enough to evaluate and select a model—a comprehensive strategy is needed. Let’s look at why.
- http://www.abc.net.au/news/2017-11-30/aerial-humpback-whale-tour/9200538
- Optimisation we’re codifying the best practices, tools, and partners that enterprises of all shapes and sizes to execute large legacy migrations
- STORY BACKGROUND Using AWS since 2010 Shell Foundation Platform – an IT framework – is AWS approved Development and test environments running on AWS SOLUTION AND BENEFITS No minimum commitment up front and pay per use brings significant savings Operationalising their cloud strategy Fast provisioning within minutes for many applications
- Maximizing the benefits of cloud models KEY TAKEAWAYS This is a pause moment that emphasizes the need for a big picture, holistic cloud strategy that goes along with a specific cloud model in order to have success with cloud. TALKING POINTS To maximize on the benefits of cloud models, organizations need a holistic cloud strategy and a way to make it real. It is not enough to evaluate and select a model—a comprehensive strategy is needed. Let’s look at why.
- And this journey of experimentation, communicate the amazing achievements you’ve made using new AWS technology, measure how your business is now being able to adapt to market changes