Cloud Opportunity and Smarter IT Delivery Bora TAŞER

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1 Cloud Opportunity and Smarter IT Delivery Bora TAŞER Test & Development Cloud Computing Leader & SME, IBM CEE

2 Agenda What is Cloud Computing? (aka Computing on Demand - CoD) What is the Market Trend? Upcoming Threads to Your Business Regarding Cloud Computing IBM Private Cloud Solutions IBM Private Cloud Partnership Models IBM Public Cloud Solutions & Partnership Models IBM References World-Wide

3 Challenges we face everyday...

4 A Crisis of Complexity. The Need for Progress is Clear $0B Global Annual Server Spending (IDC) Power and cooling costs Management and admin costs New system spend Uncontrolled management and energy costs Steady CAPEX spend To make progress, delivery organizations must address the server, storage and network operating cost problem, not just CAPEX 4 Source: IBM Corporate Strategy analysis of IDC data

5 Cloud Computing will change the way you work... A new IT consumption and delivery model for Businesses Streamlining tasks to improve time and save money Enabling employees Speeding research and development Development and Test Business Services Desktop Storage & Archive Analytics Collaboration Infrastructure Meeting compute demands quickly Managing Information Self Servicability Scalability Flexibility Automation E2E Visibility

6 IBM has the proven approach, technology, best practices and skillset to provide enterprise-wide cloud services to its Customers.

7 Infrastructure needs to become more dynamic CONSOLIDATION VIRTUALIZATION AUTOMATION STANDARDIZATION = Cost Flexibility to free budget for new investment and speed deployment of new capabilities.

8 Our approach to delivery Reserve resources for applications through standardized images Provision and de-provision resources based on reservations Manage workloads with advanced scheduling, integrated security and information virtualization Optimize Consolidate underutilized IT resources into larger, denser, scalable clusters Pool resources Manage and control pooled resources Consolidate Virtualize Lab Consolidation Plan Automate Utilize TSAM Implement vcells Define virtual resources to separate physical IT resources from its use to deliver services Establish single management system for virtual resources Integrate security and workload management Schedule and control virtual resources based on application requirements and SLAs Leverage ISM Stack Optimize workloads to maximize performance and efficiency Prioritize workloads to attain SLAs Move workloads to appropriate virtualized infrastructures to reduce costs Define policies for workload management Schedule and orchestrate workloads based on policies 8

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10 Agenda What is Cloud Computing? (aka Computing on Demand - CoD) What is the Market Trend? Upcoming Threads to Your Business Regarding Cloud Computing IBM Private Cloud Solutions IBM Private Cloud Partnership Models IBM Public Cloud Solutions & Partnership Models IBM References World-Wide

11 Four Major Categories of Cloud Computing Services Industry-specific Processes Employee Benefits Mgmt. Business Travel Business Process-as-a-Service Procurement Examples Collaboration CRM/ERP/HR Financials Middleware Software-as-a-Service Industry Applications Web 2.0 Application Runtime Java Runtime Database Platform-as-a-Service Development Tooling Data Center Servers Networking Storage Fabric Shared virtualized, dynamic provisioning Infrastructure-as-a-Service

12 Agenda What is Cloud Computing? (aka Computing on Demand - CoD) What is the Market Trend? Upcoming Threads to Your Business Regarding Cloud Computing IBM Private Cloud Solutions IBM Private Cloud Partnership Models IBM Public Cloud Solutions & Partnership Models IBM References World-Wide

13 Cloud Computing will change the way you work... (Public Cloud) Server & Application Hosting Platform as a Service Real-time Scalable, Rapid Provisioned with Utilization Monitoring & Advanced Reporting Dedicated Servers Infrastructure as a Service Virtualized & Shared, Scalable, Pay less when you use less) Value-add Services like Online Collaboration, , Antivirus and etc. Software & Processes as a Service Desktop as a Service Application as a Service Live Monitoring as a Service Security as a Service Batch & Backend Processing As a Service Reduce HW CAPEX by at least %70 Reduce IT OPEX by at least %50 Boost Faster-Time-to-Market by at least %50 Banking Retail TelCo 13

14 Your competition depends on your Costs & Agility... Don t be too late! (Private Cloud) Physical Servers with low utilization Infrastructure as a Service Virtualized & Shared, Scalable, Pay less when you use less) Dedicated systems and platforms Platform as a Service Shared, Real-time Scalable, Rapidly Provisioned Utilization Monitoring & Advanced Reporting Value-add Services like Online Collaboration, , Antivirus and etc. Software & Processes as a Service Desktop as a Service Application as a Service Live Monitoring as a Service ServiceDesk/HelpDesk as a Service Batch & Backend Processing As a Service Finance TelCo Reduce HW CAPEX by at least %70 Reduce IT OPEX by at least %50 Boost Faster-Time-to-Market by at least %50 Retail 14

15 Agenda What is Cloud Computing? (aka Computing on Demand - CoD) What is the Market Trend? Upcoming Threads to Your Business Regarding Cloud Computing IBM Private Cloud Solutions IBM Private Cloud Partnership Models IBM Public Cloud Solutions & Partnership Models IBM References World-Wide

16 IBM deployment choices Analytics Collaboration Development and Test Desktop and Devices Infrastructure (compute / storage) Business Services Smart Business on the IBM Cloud Standardized services on the IBM Cloud Smart Analytics Cloud Lotus Live; INotes Smart Business Development & Test on the IBM Cloud Smart Business Desktop on the IBM Cloud; Selfenablement portal Information Protection Services; Smart Business Storage on the IBM Cloud BPM Blueworks; Smart Business Expense Reporting on the IBM Cloud Smart Business Cloud Private cloud services, behind your firewall, built and/or managed by IBM Smart Analytics Cloud Lotus Live; INotes Smart Business Test & Dev. Cloud Smart Business Desktop Cloud Smart Business Compute & Storage Cloud Smart Business Systems Pre-integrated, workload optimized systems Smart Analytics System IBM CloudBurst IBM Information Archive Smart Business for SMB (backed by the IBM cloud) Available

17 IBM Smart Business Test & Development Cloud A secure, private cloud environment clients can use to test applications before sending them to production Creates a more efficient test environment that improves productivity and reduces costs. Includes an operating system, middleware, storage, network and virtual images, along with pre-integrated set of services, from planning through implementation. Clients can leverage their existing systems or the new IBM CloudBurst. Test Environments In the Cloud Client Benefits: Reduce IT labor cost by 50% + - reduce labor for configuration, operations, management and monitoring of the test environment. 75% + Capital utilization improvement; Significant license cost reduction. Reduce test provisioning cycle times from weeks to minutes. Reduce risk and improve Quality- eliminate 30% + of all defects that come from faulty configurations.

18 Multiple entry points for automating the management of virtual environments and building a dynamic service delivery model IBM Tivoli Service Automation Solution to support user-driven service requests and automated resource deployment IBM Service Delivery Manager new Pre-configured service management solution optimized for managing virtual environments and cloud deployments IBM CloudBurst Integrated hardware, software and service solution optimized for cloud computing Self-service user interface for service requests for improved responsiveness and efficiency Automated IT resource deployment for efficient operations and to address fluctuating business requirements Interoperable with existing hardware to leverage available resources and previous investment Pre-integrated solution, delivered as virtual images for faster installation and time to value Performance monitoring for ongoing managing of the service Energy Management for tracking and optimizing operational costs Usage and accounting tracking for chargeback capabilities Managed-to environment ready for high availability Managed-from and managed-to environment to accelerate cloud computing pilots Bundled with hardware and QuickStart services for rapid time to value

19 Self-service Web 2.0 portal Separate presentation layer for business users giving simplified access to; Service catalog Requesting new software stacks Changing resource reservations Approving requests Viewing request status / history Execution of management plans Admin User Manage Users Manages Teams Manages Images Drives standardisation and discourages specialised requests, minimising debate and discussion. Gives visibility to the business users and delegates some control. Releases IT staff to focus their skills on complex

20 Metering, Usage and Accounting Inbuilt integration in TSAM to automatically interface transactions to TUAM. Automated tracking of CPU, memory and storage resource allocation within TSAM. Definition of rates and costs of resources allowing full cost reporting of resources used. Flexible reporting engine with 40 template reports. Granular reporting allowing drill down, and detailed data filtering. Usage reporting driving change in behaviour to match resources to business needs (and release unused systems back into the resource pool). Providing the basis for chargeback implementation or invoicing in the future

21 Cloud Management Platform Reference Architecture: Mapping of Tivoli Cloud PoC functionality & products Cloud Service Consumer Cloud Service Provider Cloud Service Developer Consumer End user Cloud Services User Interface API Business-Process-as-a-Service Software-as-a-Service AIX-based Platform-as-a-Service WebSphere App Server Infrastructure-as-a-Service VMware VMs Developer Partner Clouds Virtualized Infrastructure Server, Storage, Network, Facilities Consumer Business Manager Client In-house IT Consumer Administrator Common Cloud Management Platform Service Delivery Portal TSAM API BSS Business Support Services OSS Operational Support Services Service Business Manager Offering Mgmt Order Mgmt TUAM (accounting) Accounting & Billing Contract Mgmt Client Mgmt Entitlements Invoicing SLA Reporting Metering: TUAM, TSAM; Metering, Analytics & Reporting Reporting: TUAM + BIRT reports in TSAM Service Provider Portal TUAM Pricing &(rating) Rating Subscriber Mgmt Peering & Settlement Service Offering Catalog Service TSAM Templates (incl. TSRM Service & Automation TPM, all Management based on TPAE) Service Request Management Provisioning Monitoring & Event Management TSAM Service Delivery Catalog Change & Configuration Management Incident & Problem Management IT Asset & License Management Virtualization Mgmt Service Transition Manager Image Lifecycle Management IT Service Level Management Capacity & Performance Management TSAM Service Development Portal Service Operations Manager Service Development Tools Service Definition Tools Image Creation Tools Security & Resiliency Service Security Manager

22 Agenda What is Cloud Computing? (aka Computing on Demand - CoD) What is the Market Trend? Upcoming Threads to Your Business Regarding Cloud Computing IBM Private Cloud Solutions IBM Public Cloud Solutions & Partnership Models IBM References World-Wide

23 Some of our Cloud-Ready Products & Services... IBM Cloud-Ready Service Offerings Client IDC Public Cloud Client IDC Public Managed Client IDC Dedicated Public Hosted Smart Analytics Services PaaS & SaaS Solutions Smart Collaboration PaaS Solution Development & Test IaaS & PaaS Solutions Smarter Desktop IaaS Solution Infrastructure Compute IaaS Solution Infrastructure Storage IaaS Solution Smart Business & IT Services SaaS & BPaaS Solutions Cloud Strategy & Consulting Value Generating Services Live Meetings, Live Notes & inotes, Live Events, Live Engage Rapidly provision & de-provision scalable & modular Test & Development Environments and help Clients save CAPEX & OPEX Reduce desk-side support costs by 85-90%, help desk calls by 20-40%, OS and application update costs. Use up to 73% less power over traditional fat client deployments Rapidly provision & de-provision scalable & modular IT Environments and help Clients save CAPEX & OPEX Collaboration Data and General File Storage, Digital Media, Web Content Store, High Performance Analytics & Medical Records (future) Cloud Strategy & Design Services Cloud Readiness & Maturity Analyses Services Cloud ROI Analysis Services IBM Smart Analytics Solution for Foundation, Text & Data Mining, Cubing Services & Business Intelligence Live Monitoring Services, Provisioning & Hosting Business Applications & Processes like CRM, Order Management, Document & Image Processing

24 There are three cloud deployment models fitting to Client... IBM s Cloud Deployment & Business Models Client DC Private / Public Client DC Private / Public Managed Public Cloud on the IBM Cloud Premise Client (Implemented by IBM) Client (Implemented by IBM) IBM Public Cloud (Implemented by IBM) Run / Manage Client IBM IBM Infrastructure Virtualized Virtualized Virtualized Implementation Duration 6 Months 4 to 6 Months 0 to 4 Months Cloud Operations vs Classical Approach Cloud Operations vs Classical Approach Cloud Operations vs Classical Approach Benefits Operational Risks & Costs managed by IBM, Service Quality secured with SLAs Operational Risks & Costs managed by IBM, Service Quality secured with SLAs No upfront hardware & software purchase

25 Agenda What is Cloud Computing? (aka Computing on Demand - CoD) What is the Market Trend? Upcoming Threads to Your Business Regarding Cloud Computing IBM Private Cloud Solutions IBM Public Cloud Solutions & Partnership Models IBM References World-Wide

26 Vodafone Boosts its New Service & Product Release Durations with IBM s Private Test Cloud Platform Business Issues Vodafone Turkey is transforming its IT Service Management capabilities. The existing Vodafone Turkey service development lifecycle does not involve a dedicated service quality assurance test environment. The production environment hosts many integrated services and applications. New service releases do have the potential risk of breaking the integrity of the total service portfolio. Lack of a service acceptance process and a pre-production test environment do have the following business impacts: Subscriber dissatisfaction & churn due to service failures. Delays in projects and affecting the faster-time-to-market targets of Vodafone. Large OPEX spending on maintaining the existing legacy systems to support the test operations. Lower quality of customer facing services due to lack of efficient acceptance tests. Cost increase in customer care operations: calls to customer care significantly increase as a result of production failures. Loss of IT employee productivity due to lack of change and configuration history, plus documentation. This results in significant time being lost in finding root-causes of failures.

27 Vodafone Boosts its New Service & Product Release Durations with IBM s Private Test Cloud Platform Solution IBM Turkey GBS and GTS will provide Service Acceptance Tests and Cloud Services as the Testing Environment that will mitigate the risk of breaking the integrity of total service portfolio by providing coexistence, SLA and functional verification tests for new service releases. Service Acceptance is one of the key processes in the service development life cycle and will be executed right before the production deployment to assure a successful release. Service Acceptance processes will cover the pre-production test and acceptance processes of in-house developed applications. Service Acceptance Testing governance implementation will also be part of the Service Acceptance Testing Project. The Test Cloud Platform will be implemented on the Vodafone IT Disaster Recovery Environment that will utilize the existing infrastructure and licenses, plus ensure Vodafone save considerable amounts of CAPEX & OPEX spending. The Cloud Platform will provide Vodafone many key capabilities such as self-serviceability, on-demand resource provisioning, end to end utilization monitoring and advanced reporting. Key Drivers & Capabilities of the Private Test Cloud Project Dynamic & Automated Cloud Test Platform to be built on existing Vodafone IT Disaster Recovery Environment that helps the client save significant CAPEX & OPEX spending. Private Managed Cloud Services provided by IBM, secured with SLAs to take the responsibility of the operational risks and burdens from Vodafone IT. Rapid deployment of Test Platforms supported by test processes to improve the faster-time-to-market rates. Cloud Service Portal & Catalogue to provide self serviceability.

28 Smart Business Development and Test on the IBM Cloud This is a dynamic virtual development and test infrastructure service, designed for the enterprise, on the IBM Cloud The client gets: Choice of 7 virtual server configurations Option to add persistent storage charged per usage Network bandwidth charged per usage Choice of 14 pre-configured software images Rational Application Lifecycle Management software Lotus, WebSphere, DB2 and Informix stacks Payment options: Pay-as-you-go option (per VM hour charge) Shared Reserved option 6 bundles (small, medium, large for 6 or 12 months) Reserved capacity plus discounted usage rate Available support: Web-based forum for users to submit requests Premium support 24X7 (May 1st)

29 SK Telecom : Cloud Computing Platform Business Background Unit of SK Holdings, one of South Korea s largest chaebol conglomerates Perceived as technology leader in South Korea Number 1 market share in domestic wireless market Number 2 market share in domestic fixed line market Cloud Business Benefit Improve new service development time, achieving faster time to market Improved efficiencies of resources, delivering reduction in CapEx & OpEx Solution Overview Korean language portal based on API extensions to Tivoli Service Automation Manager Tivoli Provisioning Manager-based Development Platform-as-a-Service offering Provides Business Partners with ability to quickly test, develop, and publish new end-user focused WAP services available on SK Telecom network Service Management-enabled Cloud Delivery platform to run new WAP services in a workload optimized fashion.

30 Client Success Story Get Sports Results SaaS Get Weather Forecast Request Production Environment PaaS Content Provider / Business Partner Request Development Environment

31 IBM Tivoli Development Cloud Business Background IBM Tivoli Development Services (TDS) organization provides IT services for Tivoli and other organizations in IBM Software Group and Research IT Footprint had expanded to 24 labs through growth and acquisitions, creating inefficiencies and increased expense Desire to leverage new Tivoli capabilities to Solution Overview Private Development Cloud implemented with Tivoli Service Automation Manager, an extended service catalog, and IBM Tivoli Monitoring The cloud was built on a VMWare-based virtualized infrastructure on IBM System x hardware Learn how to more to effectively manage resources and IT services in the cloud Identify and drive new business services Cloud Business Benefit Avoided over $1.5M in capital expense and $1M in operational expense in 2009 through consolidation and virtualization Continued reduction in management and administration costs as the cloud infrastructure is increasingly automated and service management is centralized Provide increasingly better service to its Clients by delivering services more rapidly, consistently and with fewer errors

32 Tivoli Development Cloud Initiative The Big Picture Cloud Service Management Cloud Administrators Management Services Monitoring Services AP Developers Testers (AP) Service locally, manage globally Americas Virtualized Infrastructure Service Catalog Service Virtualized Catalog Infrastructure Europe Developers Testers (Americas) Virtualized Infrastructure Service Catalog Developers Testers (Europe) Geographic Cloud Architecture (Rome) 32

33 We are ready to be your Cloud Business Partner. Are You? H. Bora TAŞER Test & Development Cloud Computing Leader & SME, IBM CEE 2009 IBM Corporation