Discover the Best Practices in IT Transformation

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1 GLOBAL SPONSORS

2 Discover the Best Practices in IT Transformation Ole Ahsendorf Dell EMC Consulting GLOBAL SPONSORS

3 Increasing complexity of application ecosystems is driving IT transformation As application ecosystems become more complex, IT must transform to deliver greater Efficiency Predictability and Business Agility agree that if they do not embrace IT Transformation, their firm will no longer be competitive in their market Source: Dell EMC 2017 IT Transformation Maturity Study (ESG) 3

4 How does a transformed IT organization operate? Like any successful organization You listen to your consumers and provide services they want You are agile and introduce new services fast It had always made sense to me to build a business based on what people really wanted, rather than guess what we thought they might want. Michael Dell The notion is that, in the digital age, sitting down once a year to do anything is weird, it s just bizarre. Jeffrey Immelt You invest where you get the most return Go faster. Change before you have to. You've got to deliver on short-range commitments, while you develop a long-range strategy and vision and implement it. Jack Welch 4

5 IT transformation reduces costs while increasing agility % IT Savings Estimate 6 WHERE THE SAVINGS ARE FOUND 31 Cloud Services Personnel INFRASTRUCTURE APPLICATION DEVELOPMENT Software x86 Estate* Other** TECHNOLOGY SAVINGS 15-17% 11-18% PERSONNEL SAVINGS 17-28% 13-30% CURRENT TRANSFORMED Source: Industry analysts, Dell EMC analysis *Linux and Windows servers **Non X86 compute, occupancy, telco 5

6 Transform application, infrastructure and operating model Rationalize your application portfolio and build cloudnative apps with big data analytics Implement a platform for IaaS and PaaS to support both traditional and cloud native apps APPLICATIONS TRADITIONAL CLOUD-NATIVE INFRASTRUCTURE IaaS PaaS OPERATING MODEL Digital Product Development IT Service Delivery Entwine IT operations tightly with the business and with software developers Hybrid 6

7 IT VALUE INDEX Application transformation Cloud native at scale NEW APPS Cloud Native BUILD NEW Architecture, Standards DEV OPS Dev, Execution Pivotal Cloud Foundry Pivotal Dojos Application Profiling MODERNIZE Migration Factory Native Hybrid Cloud RETAIN MODERNIZE EXISTING APPS Traditional MIGRATE Architecture, Standards Migration Execution Retirement Factory Public Cloud RETIRE MIGRATE BUSINESS VALUE INDEX RETIRE Archive data and decommission Enterprise Hybrid Cloud RETAIN 7

8 New IT operating models entwined with the business for service delivery and product development IT service development and delivery BUSINESS Software product development and delivery Product owner Developers Product owner Developers Finance Sales DEPARTMENTS ENTERPRISE APP DEVELOPERS Designer Tester PRODUCT TEAM Designer Tester PRODUCT TEAM Demand Demand BUSINESS RELATIONSHIP MANAGEMENT SERVICE PORTFOLIO MANAGEMENT IT Portal Service Catalog Solution Desk SERVICE OPERATIONS Monitor, support, measure, improve services APPLICATION OPERATIONS Application configuration/monitoring Test automation CD and release management PLATFORM OPERATIONS Platform management/monitoring Platform configuration/deployment IaaS infrastructure capacity management Supply Supply Supply PaaS Services Public and Private IaaS Services 8

9 IT roles and processes for delivering services and developing software products IT Roles IT service strategy, design, and operation Service Portfolio Manager Service Architect Cloud Architect and Administrator Software product operations PaaS Application Operator PaaS Platform Operator IT Processes Business relationship management Demand management Service portfolio management Capacity management Application and platform management and monitoring Platform capacity planning and management Continuous delivery/release processes 9

10 High-level transformation roadmap example MVP1 Release 2 Release 3 Applications Discover, migrate initial apps Discover, migrate second set of apps Develop cloud-native apps with PaaS, DevOps Operating Model Define high level service catalog Build initial IaaS services Build PaaS services for dev/test Integrate DevOps into operations Infrastructure Deploy EHC Implement initial IaaS Retire legacy infrastructure as applications are migrated Expand IaaS for new apps Refine IaaS based on usage Governance and Strategy Build business case, strategy Create integrated workplan Start steering committee Validate strategic assumptions Execute steering committee and communications plan 10

11 What we ve learned: IT transformation best practices GOVERNANCE Involve senior executives, link to a business case Execute in multiple, concurrent workstreams Establish levels of governance, including quarterly CIO meetings APPLICATIONS Modernize the entire portfolio, one chunk at a time Involve app owners (business) Avoid build it and they will come OPERATING MODEL Embrace automation and resulting new processes, roles, and organization early IaaS and PaaS processes will require big changes INFRASTRUCTURE Deploy software-defined architecture Leverage NSX to collapse LAN/SAN/WAN networks Optimize recovery with virtual infrastructure instead of physical site recovery No snowflakes 11

12 Global bank increasing agility with cloud Challenge Several failed attempts over 2 years to build IaaS Solution Built AWS-like services for IaaS with Enterprise Hybrid Cloud Consolidating workloads from legacy servers to converged infrastructure Results IaaS in production after 6 months effort 5 year savings of ~ 288m (~$370m) ~1500 of 5000 servers consolidated VM provision times reduced from 26 weeks to days 12 Best Practices Create a tops down change agenda with CIO, CTO involvement Execute in multiple, concurrent workstreams Create a Program Management Office and assign a Chief Architect Execute clear levels of governance: 1) weekly, 2) monthly, 3) quarterly with CIO Involve the business from the beginning, when you are designing the IT services they will consume

13 Consulting services for IT transformation Entwine IT operations tightly with the business and with software developers Business case and roadmap IT service center, roles, and processes design DevOps processes design IT service strategy, catalog and portal design and implementation Financial management strategy for service-based pricing Rationalize your application portfolio and build cloud-native apps with big data analytics Application profiling and migration Application modernization and replatforming Cloud-native apps development, big data strategies, analytics development Application retirement Implement a platform for IaaS and PaaS to support both traditional and cloud native apps Data center strategy and migration IaaS and PaaS development Hybrid cloud platform deployment Data protection, disaster recovery, isolated recovery strategies Analytics and cloud-native applications platforms deployment 13

14 How Dell EMC consulting can help you get started Business Driver Implement a cloud first mandate Speed developer productivity Reduce infrastructure and operations costs Where to Get Started Analyze the app portfolio for migration and modernization to cloud services Design a service strategy and catalog Create PaaS for new digital apps Build IaaS services for easy provisioning Implement a hybrid cloud platform Modernize the data center Justify your transformation Build a business case and roadmap 14

15 Related resources Dell EMC Perspective: Getting Started with IT Transformation: a proven and practical approach IT Transformation Maturity Self-Assessment with benchmark research by ESG Video: Etisalat Misr and EMC: Defining the future of telecommunications services in Egypt Dell EMC Perspective: Organized for business: buliding a contemporary IT operating model Enderle Group: Dell EMC IT s interesting IT transformation workshop Video: Digital transformation with Dell EMC Application Transformation services 15

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