This document discusses the business case and benefits of cloud automation. It begins by introducing cloud automation as the next wave of IT efficiency improvements after virtualization. Examples are then provided of how cloud automation can improve operational efficiency, optimize resource utilization, and accelerate virtualization deployments. Specific customer cases are presented where cloud automation helped reduce provisioning times, improve infrastructure utilization, and support large-scale virtual desktop deployments. The document concludes by discussing how cloud automation enables proactive and predictive cloud operations through automation.

1. The Transformative Power and Business Case for
Cloud Automation
Rich Bourdeau, VMware
Rich Pleasants, VMware
OPT5474
#OPT5474

2. 22
Agenda
 Introductions
 Business Motivations
• Improve Service Delivery
• Operational Efficiency
 Customer ROI Examples
• Optimizing Resource Utilization
• Private Cloud Extensibility
• Accelerate Virtualization Deployments
 “Live” Cloud Operations Automation Tenants & Use Cases
• Proactive Incident & Problem, Performance Mgmt and Configuration Mgmt
Compliance
 Proactive and Predictive Cloud Operations Benefits/Value
 Q&A

3. 33
Virtualization
► Accelerate service delivery
(weeks days)
► Resource pooling
► HW consolidation
The Next Wave of IT Efficiency
Waves of IT Efficiency Improvements
ITEfficiency
Time
► Accelerate service delivery
(days  min)
► Improve operational efficiency
► Optimize resource utilization
► Reduce complexity via
standardization
Cloud
Automation

4. 44
Cloud Automation – Accelerating IT Efficiency
2
Cost per VM hour
(2GB instance)
20¢
18¢
16¢
14¢
12¢
10¢
8¢
6¢
4¢
2¢
0¢
30% 35% 40% 45% 50% 55% 60% 65% 70% 75% 80%
Virtualization,
Standardization
and Pooling
1
Utilization
Governance
& Automation
Service
Delivery Times
Minutes
Hours
Days
Weeks
Months

5. 55
Private Cloud Business Motivations
Agility/Speed
57%
Business
Allignment
12%
Cost
21%
Defend IT
3%
Quality
3%
Enable Hybrid
1%
Don't Know
2%
Improve
IT Efficiency
Increase
Business Agility
Fastest Time
to Cloud Value
Consumerization
of IT
Source: Gartner -The Drivers and Challenges
of Private Cloud Computing, Mar 2012
Efficiency = Agility

6. 66
Cloud Automation Savings
Private Cloud Public Cloud
ROIBenefits
Improved
Operational Efficiency
Accelerated
Virtualization Deployment
Optimized
Resource Utilization
Capacity Bursting
Commodity Pricing
Hybrid Cloud
Resource Pooling
HW Consolidation
Virtualization

7. 77
Improve Operational Efficiency
Source: Server Provisioning Automation: Vendor Landscape,
Donna Scott, Ronni J. Colville, February 3, 2011.
Time to provision virtual servers
 Zero touch deployment and management
 Automated resource reclamation
 Enforce governance with policies not people
4-6 hours over multiple days even weeks
 
StorageVirtual
Step 1 Step 2
Network
Step 3 Step 4 Step N
Apps Track

8. 88
Improve Operational Efficiency
“Prior to VMware Cloud Automation it would take half of a man day to install and
configure a desktop for a developer to use. With VMware this is now 20 minutes and the
developers are self-served.”
Neil Smith
Virtualization Engineer, MAN Investments
“With VMware, we have reduced the time needed to deploy VMs, as well as the effort of
individuals required to focus on manual steps to provision,” noted Rupani. “This is saving
money by refocusing resources toward strategic activities rather than building
servers.”
Altaf Rupani
Vice President of Global Systems Services, Dow Jones
 Zero touch deployment and management
 Automated resource reclamation
 Enforce governance with policies not people

9. 99
vCenter Operations—Self-Service Private Cloud
Dow Jones—US Publishing &
Financial Information Firm
“vCloud Automation Center met all of our criteria. It was more complete and
more agile for our specific needs”
—Tejash Patel, Service Manager for Cloud Computing and Virtualization, Dow Jones
Challenges
 Multiple infrastructure
tools not integrated—no
process automation
 Manual IT service
delivery processes
 Difficult to maintain
compliance standards,
scale delivery, and track
costs
 Need to speed delivery
of environments to Dev
and UAT teams
Results
 Private Cloud “go-live” in
~60 days
 Two dedicated
developers to implement
 Provisioning time
reduced from days to
minutes
 Success recognized by
parent company
propelled adoption
across all business units
Solution
 VMware vCloud
Automation Center and
Developers Toolkit
 Secure, fully compliant
private cloud with a
personalized user
experience
 Automatic request
fulfillment

10. 1010
The News Corp Cloud – My NC3
(www.MyNC3.com)

11. 1111
Optimize Resource Utilization
Scale & Change
Cost
Centralized
Control
Delegated
Control
Enforce Governance with Policies not People
 Reduce over provisioning
 Leverage tiered service levels
 Reclaim and reuse inactive resources
Reduce  Reuse  Recycle

12. 1212
Optimize Resource Utilization Case Studies
“VMware enabled us to achieve more efficient server utilization and lower capital costs
while reduce our provisioning lead times from weeks to minutes.”
Stephen Hilton,
Managing Director, Servers and Storage, Credit Suisse
“Automated workflows for archival of inactive VMs allow the use of secondary storage at
$0.50/GB instead of scarce primary storage at $5-$10/GB… deliver significant
operational and cost benefits.”
Senior Engineer for Storage and Virtualization
Leading Software and Technology Services Company
 Reduce over provisioning
 Leverage tiered service levels
 Reclaim and reuse inactive resources
Reduce  Reuse  Recycle
ROI Impact:
A typical company with 1,000 VMs, with…
 5% of their machines created without proper business justification
 5% of their machines that are over-provisioned
 No process to automatically reclaim and reuse inactive resources
… could save between $200,000 - $250,000 in annual capital expenditures

13. 1313
VMware vCloud Automation Center—
Private Cloud Extensibility
Fortune 500 Software & Tech Services Company
“We couldn't find another solution that had the depth, capabilities, or cost-effectiveness
of vCloud Automation Center,”… “Finally, the tools are catching up with our aspirations!“
—Sr. Engineer, Storage/Virtualization, Leading Software/Tech Services Company
Challenges
• Service delivery times
measured in many days
• Resources left running
because of long
provisioning and
reconfiguration times
• Operations could not keep
up with demand
• Poor perception of IT
Results
• Access to compute
resources in minutes
• Archiving inactive
machines saves $4.50/GB
• $225K/year savings per
1,000 machines
• IT now perceived as being
able to deliver
Solution
• vCloud Automation Center
enabled self-service
access to compute
resources
• Automated archival of
inactive machines to lower
cost storage
• Enabled secure, full
integration with existing
backup, archival &
chargeback technologies

14. 1414
Accelerate Virtualization Deployments
 70% of IT projects over budget or behind schedule
 Scaling virtual desktops and servers
 What's its worth to achieve your deployment goals

15. 1515
Accelerate Virtualization Deployments
 70% of IT projects over budget or behind schedule
 Scaling virtual desktops and servers
 What's its worth to achieve your deployment goals
"DynamicOps has made desktop virtualization a win/win for Credit Suisse. We are able to
improve the user experience through rapid service delivery, while maximizing the operational
ROI through automation and standardization."
Brad Novak
Managing Director End-user Platforms, Credit Suisse
“Without DynamicOps automated provisioning and management, we would not have been able
to deploy this many desktops. DynamicOps put our stalled desktop deployment plan back on
track, and we can now successfully scale to meet our needs.”
Data Center Director,
$2 Trillion Global Financial Services Firm
ROI Impact:
A typical company with 2,000 physical servers and 1,000 VMs
 Can save over $400,000 annually by accelerating its server virtualization plans by just 5%
 Can save over $100,000 annually by accelerating its desktop virtualization plans by just 10%

16. 1616
VMware vCloud Automation Center—Automated Provisioning
Global Bank with $2T in assets, 100K+ employees
“Without vCloud Automation Center’s automated provisioning and management, we
wouldn’t have been able to deploy this many desktops. VMware put our stalled desktop
deployment plan back on track, and we can now successfully scale.”
—Data Center Director
Challenges
 New products/services
delayed — too slow in
providing virtual desktops
to developers
 Labor intensive — no
automated provisioning
or management of virtual
desktops from the
virtualization software
 Growing backlog of
orders, change requests,
hard to scale, added
costs
Results
 Deployment time
reduced to < 2 hrs; no
backlog; implementation
running for 100K+ global
employees
 Delays in delivering new
products/services due to
slow desktop
provisioning eliminated
 Protected existing
software investment, with
flexibility to evolve as
technology changes
Solution
 vCloud Automation
Center delivered virtual
desktops to employees
quickly
 On resources located
close to users for
optimal performance
 With customized
workflows to meet
specialized
requirements

17. 1717
Increase Profit by Being More Responsive
17
Keeping up with the accelerating pace of your business
“VMware enabled us to reduce our provisioning lead times from weeks to minutes.
This has resulted in more efficient server utilization and lower capital costs. An
additional benefit is the dramatic improvement in our ability to respond
rapidly to business needs”
Steve Hilton, Managing Director, Enterprise Servers and Storage, Credit Suisse
Improve Business Productivity
Enable new Business Opportunity
Business Challenge: New employees sat idle 3-4 days before they received desktop
Cost: $350 per day per person
with 10% annual turnover rate represented $700,000 per year for every
1000 new employees
ROI Challenge: Even if you can’t quantify benefits include qualitative benefits
How quickly can you repurpose and reconfigure resources to meet the demands
of new business opportunities?
What effect will this have on your business?
What is the risk of Ignoring Private Cloud infrastructure and having more
agile competitors take business from you

18. 1818
~80% of the Labor-related OpEx Efficiencies Are Realized by Freeing
Up Resources in 5 Core IT Roles for Redeployment
1
8
24
3
3
4
4
5
6
FTE savings (spend)
% of total labor-related IT
spend
IT operator / production
Control
Systems administrator
Support analyst
Application developer /
system analyst
IT manager
Other roles2
Total Savings1
FTE savings (HC)
% of total IT HC1Process
FINANCIAL INDUSTRY EXAMPLE
26
2
3
3
5
5
8
80% of
the labor-
related
OpEx
impact
1 Based on 1000 person archetypal IT organization
2 Other roles include Business Analyst, Project Manager, Finance Manager, Knowledge Manager etc.

19. 1919
 Define
 Assign
 Enable
 Validate
 Tune
 Evaluate
 Define
 Create
 Maintain
 Notify
 Report
 Audit
4 Key Tenants of “Intelligent” Automation
Change
Mgmt
Optimize
Processes
Criteria
For
Action
Notification
& Reporting
Intelligent
Automation

20. 2020
“Live” Operations Intelligent Automation Use Cases
Performance Management
 Infrastructure and App Siloed Support
 Highly Manual Monitoring Analysis
Incident & Problem Management
 Labor Intensive with weak reporting
 Highly Manual Diagnosis & RCA
Configuration Management
 Accuracy and Compliance is challenging
with rapid change rate.
 Manual Rollbacks

21. 2121
Current State “Live” Operations
Incident & Problem
Situation:
 Reactive Analysis
 Highly Manual
 Lack of dependency visibility
Situation:
 Reactive to infra/app issues
 Highly Manual Analysis
Situation:
 Reactive Config Enforcement
 Lack of Config Changes View
 Little alignment for all “Events”
Performance Configuration
Complications:
 Little or no predictive analytics
 Distributed App Support teams
 Weak SD and Ops workflow
Complications:
 Little or no predictive analytics
 Silos infra and apps support
 Addressed after users report
Complications:
 Little Compliance Enforcement
 Rollback is mostly manual
ManualRemediation

22. 2222
Future State “Live” Operations
Incident & Problem
Actions:
 Need for Cloud Analytics
 Defined Super Metrics
 Notification Workflows
Actions:
Act on certain smart alerts:
 Increase memory
 Increase storage
 Restart a service
 Resize a DB
 Network Configure
Actions:
 Act on “Change” Events:
 Rollback
 Notification
Performance Configuration
Benefits:
 Shortens diagnosis effort
 MTTR reduced for services
 Prevents Service Outages
 Improves Availability
Benefits:
 % drop in perf issues
 Less manual resolution
 Prevents Outages
Benefits:
 % drop in config outages
 % rise in config compliance
IntelligentAutomation

23. 2323
Proactive “Live” Operations Key Enablers
 Proactive automated smart alerts for health, performance and capacity
degradation
 Eliminate finger pointing, improve team collaboration and reduce manual
problem-solving efforts
 Automated correlation of health, performance and change events at the
infrastructure and guest operating system level
 Visualized application and infrastructure dependency mapping
automation
Key
Enablers

24. 2424
Benefits – Predictive Cloud Operations thru Automation
Agility
Reliability
Examples
 Reduced downtime of Cloud Services
 Improved adherence to SLAs
 Improves quality of service and experience
 Availability improved of business critical apps
Efficiency
 Decreased non-Head Count-related
 Streamlined automated remediation
 Predictive measurement of cloud health and performance
Benefits &
Measures by
Dimensions
 Increased speed to remediate faults or performance based
 Predictive capacity and performance management
 Rapid enhanced incident/problem RCA support and remediation
 Automation and auditing of cloud service changes

25. 2525
Cloud Management Business Justification
Risk Of Ignoring

26. 2626
Quantifying Cloud Management ROI

27. 2727
Resources
 Next Steps:
• Let us help you develop your Private Cloud Business Case
 Whitepapers
• Controlling Virtual Machine Sprawl: How to Better Utilize Virtual Infrastructure
• How to Avoid the Hidden Costs That Derail Cloud Projects
• VMware vCloud Automation Center Extensibility Overview
 Customer Case Studies
• Resources in the vCloud Automation Center page on VMware.com
 VMworld Sessions
• VCM4952 - Practicing What We Preach: VMware IT on vCenter Operations
Management Suite and vCloud Automation Center (Monday 2:00-3:00)
• VCM5114 - IaaS Case Study: How the University of New Mexico Improved Service
Delivery Times Using vCloud Automation Center (Tuesday 5:30-6:30)
• VCM5240 - IaaS Case Study: How Apollo Group Delivered Business Relevant Cloud
Service Using vCloud Automation Center (Wed 10:00-11:00)

28. 2828
Other VMware Activities Related to This Session
 HOL:
HOL-SDC-1307
vCloud Automation Solutions
 Group Discussions:
OPT1004-GD
IT Financial Management for the Cloud with Khalid Hakim

29. THANK YOU

31. The Transformative Power and Business Case for
Cloud Automation
Rich Bourdeau, VMware
Rich Pleasants, VMware
OPT5474
#OPT5474