DRIVING VALUE FROM THE CLOUD

Size: px

Start display at page:

Download "DRIVING VALUE FROM THE CLOUD"

Jade Tate
5 years ago
Views:

1 DRIVING VALUE FROM THE CLOUD Speaker Dan Hulen 2018 Look at More A THInc.IT Conference February 22, 2018

Meet the Speakers Almost 30 years of global IT work, I&O responsibility, and 100s of end-to-end projects in organizations as diverse as startups, banks, cooperatives, government agencies,

2 Meet the Speakers Almost 30 years of global IT work, I&O responsibility, and 100s of end-to-end projects in organizations as diverse as startups, banks, cooperatives, government agencies, hospitality, insurance, associations & nonprofits. Dan Hulen Senior Manager THInc.IT Expertise: Vision & Strategy Development Cloud Services & Global Infrastructures Enterprise Consulting Program & Project Orchestration Global Teaming IT Operations & Security

3 Agenda Cloud Trends & R3 Story Real ROI What s in the Microsoft Box? Do you have Roadblocks? Call to Action!

4 CLOUD TRENDS & R3 STORY

BUSINESS IS POWERED BY THE CLOUD 7 * "Cloud Evolves From Point Solution To Strategic Enabler Of The New Connected Economy, Forrester, Liz Herbert, January 2015 **

5 BUSINESS IS POWERED BY THE CLOUD 7 * "Cloud Evolves From Point Solution To Strategic Enabler Of The New Connected Economy, Forrester, Liz Herbert, January 2015 ** Forrester, 2014 *** Smith, David Mitchell et al. Predicts 2014: Cloud Computing Affects All Aspects of IT. Gartner, Inc. December 4, **** IDC, CIO webinar, 2014

PUBLIC CLOUD SERVICES FORECAST $160,000 $140,000 $120,000 $100,000 $80,000 $60,000 $40,000 $20,000 $0 (MILLIONS OF DOLLARS) $151,091 $90,257 $75,734 $71,552 $56,176 $40,812 $38,567 $25,290 $14,798

6 PUBLIC CLOUD SERVICES FORECAST $160,000 $140,000 $120,000 $100,000 $80,000 $60,000 $40,000 $20,000 $0 (MILLIONS OF DOLLARS) $151,091 $90,257 $75,734 $71,552 $56,176 $40,812 $38,567 $25,290 $14,798 $7,169 $14,004 $7, Projected Average Growth Rate 19.5% Cloud Advertising Cloud Application Infrastructure Services (PaaS) Cloud Application Services (SaaS) Cloud Business Process Services (BPaaS) Cloud Management and Security Services Cloud System Infrastructure Services (IaaS) 9 Source: "Gartner Says Worldwide Public Cloud Services Market to Grow 18 Percent in 2017"

CURRENT STATE OF IOT ADOPTION In 2013, adoption in the Americas was 14%. Now it s 27%. Adoption in Europe has increased from 11% to 26% in the same time frame.

7 CURRENT STATE OF IOT ADOPTION In 2013, adoption in the Americas was 14%. Now it s 27%. Adoption in Europe has increased from 11% to 26% in the same time frame. But it s the Asia- Pacific region that has seen the biggest uplift. In 2013, adoption was 12%, it s now ahead of the pack at 36%.. Eric Brenneis Director, Vodafone Internet of Things and CEO of Vodafone Global Enterprise 10 Source: Vodafone IoT Barometer 2017/18

8 CURRENT STAGE OF AI ADOPTION Organizations are still gathering information to inform their AI adoption strategy to facilitate decision making and automate processes. Whit Andrews, VP Distinguished Analyst 11 Source: Gartner Research Circle

INCREASING AGILE METHODS DEMAND Development based on agile methodologies continues to grow, with 46% using agile for most or even all of their application development.

9 INCREASING AGILE METHODS DEMAND Development based on agile methodologies continues to grow, with 46% using agile for most or even all of their application development. Organizations are primarily adopting agile to accelerate product delivery, improve alignment between IT and business and to better manage changing priorities. William Holz, Research Director 12 Source: Gartner Research Circle

10 SO WHAT IS THE CLOUD BRINGING TO BUSINESS?

11 THE CLOUD BRINGS TO BUSINESS Cost Reductions and Revenue Boosts Emerging and disruptive service models Global market expansion and reach Business agility and accelerated innovation Enhanced customer / constituent experience Risk mitigation

12 R3 S CLOUD STORY

13 R3 s CLOUD STORY R3 is a distributed database technology company. It leads a consortium of more than 70 of the world's biggest financial institutions in research and development of blockchain database usage in the financial system. History: September 15, 2015 Consortium starts with nine financial companies. January 20, 2016 Announces first distributed ledger experiment using Ethereum and Microsoft Azure's Blockchain as a Service. May 23, 2017, R3 publicly announced that it secured the largest ever investment for distributed ledger technology with USD 107 million as part of its Series A funding round, from over 40 institutions, spanning over 15 countries globally. 16

14 R3 s PRINCIPLES OF SUCCESS ADVANTAGE CLOUD Took advantage of Azure Cloud Took advantage of rapidly developing Blockchain as a Service Model Took advantage of fail fast methods to prove the experiment and get to market quickly 4 Took advantage of open source community principles and is applying them on Azure 17

15 REAL ROI

16 Forrester TEI Study In June, 2017 Microsoft commissioned Forrester Consulting to conduct a Total Economic Impact (TEI) study of Microsoft Azure IaaS

17 COMPANIES INTERVIEWED

18 KEY CHALLENGES IT costs were expensive Global expansion was difficult Some process costs were too high The ability to scale infrastructure was limited 22

19 KEY REQUIREMENTS Support Global Reach Scale up and down easily Be flexible for diverse workloads Be cost effective Provide new ways to innovate 23

20 FINANCIAL BENEFITS Data Center Costs IT Outsourcing Costs Process Optimization Costs New Sales Revenue Higher Transaction Revenue Reduced data center needs from 50%-73% leading to cost savings of $12M Reduced annual outsource needs between 33%- 83% leading to cost savings of $9.8M 85% improvement in key processes leading to cost savings of $2.8M Improved processes, global reach, and improved Customer Service $1.7M in new income Website increased sales between 48%-63% w/ 20%-27% transaction size generated $1.2M 24

21 ADDITIONAL BENEFITS Experiment quickly with nascent technology Spin-up/spin down & simulate to quicken development/test cycles Positioned for more businesscritical workloads Rearchitecting on PaaS 25

22 COSTS Initial Costs $170K with many initial workloads as a lift-and-shift migration Azure Licensing and Management Costs $5M over 5 years. Starting at $560K in year 1 and growing to $1.4M by year 5 26

23 REAL ROI COSTS PV $5.2 MILLION BENEFITS PV $27.6 MILLION NPV $22.4 MILLION ROI 435% 27

24 TCO SMALL BUSINESS EXAMPLE 28

25 TCO MID-MARKET EXAMPLE 29

26 WHAT S IN THE MICROSOFT BOX?

27 THE MICROSOFT ENTERPRISE CLOUD Productivity Business Apps Application Innovation Data & Intelligence Security & Management Office 365 Dynamics 365 Azure Cortana MS Graph PowerBI EMS + Security Operations + Security

29 34 ACCELERATE AND GROW YOUR BUSINESS

30 35 BUILD APPS FASTER & EASIER - IAAS

31 36 BUILD APPS FASTER & EASIER - PAAS

32 37 MANAGE APPS PROACTIVELY

33 38 DELIVER MOBILE APPS SEAMLESSLY

34 39 ALL-IN or HYBRID IaaS/PaaS OPTIONS

37 DO YOU HAVE ROADBLOCKS?

38 COST AND VALUE ROADBLOCKS? If you or your leadership has concerns about cost and value Share this ROI information (plead with them to stop building data centers ) Consider a simple workload migration to demonstrate the time-to-market and cost benefits Consider a more thorough Total Cost of Ownership Analysis 44

39 TOTAL COST OF OWNERSHIP ANALYSIS ON-PREMISE COST COMPONENTS CLOUD COST COMPONENTS 45

40 BANDWIDTH/HOW TO GET STARTED ROADBLOCKS? If you are having difficulty with shear bandwidth or don t where to begin with all the legacy systems you maintain Let us know. We like to solve those problems. Consider a Cloud Strategy Lens 46

41 47 CLOUD STRATEGY LENS

42 SECURITY CONCERN ROADBLOCKS? If you or your leadership are having concerns about the safety of your data and your business Consider the millions of dollars that MS puts into the security and compliance requirements of the Azure, Office 365, Dynamics and other platform it is unlikely that your business can match the same level of diligence, controls, logs, etc. 48

43 SECURITY CONCERNS AND REALITIES Concerns Reality Barriers to Cloud Adoption study, ComScore, September

44 50 COMPLIANCE REALITIES

45 PEOPLE ROADBLOCKS If you or your leadership are having concerns about the effect on your IT personnel or business users Consider a formal program where managing change is a discipline and its end result is a change of culture Consider organizational change from traditional IT to DevOps IT 51

46 52 TRADITIONAL IT (DEV OPS)

47 53 DEVOPS IT

48 CALL TO ACTION!

49 CALL TO ACTION Strategic Consulting Engagement Azure Everywhere Session Deep Dives on Azure, O365/MS365, Dynamics 365

50 Thank You! Speaker Dan Hulen 2018 Look at More A THInc.IT Conference February 22, 2018

PARTNER OPPORTUNITY PLAYBOOK. Cloud Migration and Modernization

PARTNER OPPORTUNITY PLAYBOOK. Cloud Migration and Modernization PARTNER OPPORTUNITY PLAYBOOK Cloud Migration and Modernization TABLE OF CONTENTS The market for migration Why modernization matters now Big benefits for resellers Building a migration practice Next steps