BEYOND COST SAVINGS THE BUSINESS VALUE OF AN AGILE DATA INFRASTRUCTURE WHITE PAPER

Transcription

1 BEYOND COST SAVINGS THE BUSINESS VALUE OF AN AGILE DATA INFRASTRUCTURE WHITE PAPER

2 SUMMARY The megatrends of digital, big data, and mobile are at the forefront of driving data growth. However, even with declining hardware storage costs, the amount that CIOs need to spend on storage solutions has risen by 33% since Understandably, many have regressed into thinking about storage and data management in terms of just cost savings. However, this is short-sighted; we believe that CIOs should consider their storage infrastructure as a strategic investment that can help support business goals over and above IT cost reduction. In this white paper, we look at five examples in which agile storage solutions have enabled organizations to enhance the core of their business by improving product development and delivery, increasing their market presence, creating new revenue streams, and enabling ambitious growth strategies. More important, the same benefits can be realized not only by IT-driven businesses (think Google), but also by more traditional ones (say, a chemicals company) where IT is a back-end enabler. The range of examples illustrates how organizations that integrate storage decisions with their core strategy can improve what they care most about being successful in the marketplace, or for the public sector, delivering better services. 1 1 With the increased adoption of cloud computing, CIOs are also faced with new options for augmenting their on-premise resources with a variety of cloud-based storage solutions. This paper does not examine the relative benefits of cloud vs. on-premise storage. Copyright Oliver Wyman 2

3 SCALABLE, AGILE STORAGE INFRASTRUCTURE CAN HELP DRIVE NEW BUSINESS OPPORTUNITIES STORAGE IS CLAIMING AN INCREASING SHARE OF IT BUDGETS Data storage costs are increasingly becoming an issue for many companies. As more and more data is collected and retained to meet the growing demands of IT consumers, storage costs are assuming a rising share of total enterprise IT costs. Storage costs made up an average of 7.1% of total enterprise IT costs in 2012 (with a range of 2% to 20%) and have increased approximately 33% since What is significant is that this increase in IT share is due to greater usage, and not higher data prices, as the cost per TB has decreased significantly during the same period. 3 EXHIBIT 1: STORAGE COST COMPARISON US$ % 10,000 8,000 6,000 4,000 2, , ,889 4, , Annual storage cost per raw configured TB (US$) Storage cost as a percentage of IT cost A FOCUS ON COST ALONE MISSES A LARGER OPPORTUNITY Traditionally, the focus for storage has been on cost savings: reducing operational costs through labor savings and leveraging price/performance improvements to reduce capital costs. While important, this is not sufficient to achieve optimal results. Let s take an example. A 50% reduction in storage costs for a company 5 that spends ~3% of its revenue on IT would result in a margin improvement of just 0.1%. Of course, while any improvement is welcome, this is not enough to move the needle. On the other hand, technology particularly cloud computing and big data has allowed companies to increase revenue by decreasing their time to market and improving differentiation through better insights. Conservative estimates place such revenue improvements at ~5%, resulting in a margin impact that is roughly an order of magnitude higher than storage cost reduction alone. Underpinning both of these new technologies are pools of data housed within the storage infrastructure. It is thus instructive to examine the revenue-enabling potential of storage and data management, in addition to the more obvious cost side of the equation. Technology is becoming more and more embedded in the cores of businesses, not only from a productivity perspective, but also in terms of how businesses use information to understand their customers, improve their products and services, and make strategic decisions. However, not all companies are created equal. Before we dive into the business benefits of storage, let s orient ourselves on the applicability of these benefit scenarios by company type. 2 Source: Gartner IT Key Metrics Data Ibid. 4 Ibid. 5 For this example, we ve assumed that the company spends 7% of its IT budget on storagerelated costs and that it has an operating margin of 20%. Copyright Oliver Wyman 3

4 EXHIBIT 2: POTENTIAL FOR BUSINESS BENEFITS Business benefit IT as a back-end enabler (e.g., industrial companies such as Lubrizol) IT as a critical enabler (e.g., businesses selling online such as Best Buy) IT-driven business (e.g., cloud vendors such as Amazon) Revenue impact from storage and data management ` Improved product differentiation Faster time to market Acquisition-related improvements Cost impact from storage and data management Productivity improvements Cost-saving opportunities IT matters more or less to a business depending on the markets that the business serves and its competitive environment. When discussing the revenue benefits possible from agile IT infrastructure solutions, it is important to understand that the level of these benefits depends on how critical IT is to the focus of the business. Some businesses, such as industrial companies, use IT as a back-end service. On the other end of the spectrum, the delivery of IT is at the core of the business, such as with cloud service providers. The benefits of storage solutions such as those offered by NetApp can help improve revenue even for traditional businesses that are not IT-driven, for example, by greater sales productivity from accelerated ERP deployment. For businesses in which IT is a critical business enabler, such as those selling online, an agile infrastructure can accelerate IT integration projects and reduce time to market. In addition, for businesses in which IT is an integral part of the product or service, such as cloud service providers, infrastructure agility not only increases productivity, but can also enable the delivery of new products and services and provide an opportunity to differentiate existing offerings. In this white paper, we provide case studies that illustrate how storage infrastructure and data management solutions that offer scalability, nondisruptive operations, and efficiency help companies reap the following kinds of business benefits: Differentiate on quality, price, and provisioning Accelerate IT integration of newly acquired businesses Enable the delivery of new products and services Improve time to market with faster ERP and product development To illustrate these business benefits, let s look at examples for each of these scenarios. Copyright Oliver Wyman 4

5 EXHIBIT 3: AGILE STORAGE SOLUTIONS OFFER BUSINESS BENEFITS Increasingly, it is important for businesses to understand how IT strategy affects top-line revenue. This paper explores the role of storage infrastructure and data management Traditionally, IT organizations have focused solely on the cost element when making investments in storage infrastructure Create value Value levers Increase revenue Reduce costs Operational lever A. Differentiate your product (price, quality, and provisioning) B. Acquire companies C. Introduce new products or services D. Decrease time to market NetApp case example Gain a competitive edge on your product Enact ambitious growth strategies Introduce new service lines for customers Accelerate ERP deployment NetApp technical levers Ease of use Availability Resilience Faster provisioning Proven efficiency Seamless scalability Faster provisioning Unified storage platform Ease of use Seamless scalability Enables non-disruptive operations Improved ability to restore data Self-serve environment for developers A. DIFFERENTIATE YOUR PRODUCT (PRICE, QUALITY, AND PROVISIONING) THE CLOUD IS UPENDING THE TRADITIONAL TECH ECOSYSTEM AND IT ORGANIZATIONS The rise of the cloud has upended the traditional tech ecosystem. ISVs that have traditionally provided packaged software to customers such as Microsoft and Oracle are aggressively repositioning their companies to provide XaaS. Telcos such as Verizon are targeting IT shops directly with IaaS. Traditional resellers (such as Insight and CDW), and to a lesser degree, VARs, are being pressured to move into cloud services to avoid seeing their companies value eroded. Customers see this shift as an advantage because they now have a greater choice of vendors. But for traditional companies on the provider side, this shift is causing great disruption as traditional players are forced to differentiate in the face of greater competition. Tech providers aren t the only businesses that are being forced to differentiate. The rise of the cloud has also changed the way that businesspeople think about computing. It is no longer something that IT does, but is now something that lines of business are consuming. This is forcing IT departments to think more like utility service providers, with guaranteed SLAs for a predictable cost, rather than the traditional model of give us the requirements, and we will build it. With the move to a cloud service model, business stakeholders are in a better position to compare internal IT service providers with external service providers. This in turn has CIOs looking to differentiate their internally delivered services versus what can be bought on the open market. Copyright Oliver Wyman 5

6 CIRRITY NEEDED A STORAGE INFRASTRUCTURE THAT WAS BOTH FLEXIBLE AND EFFICIENT Let s look at Cirrity as an example of a cloud service provider that has successfully differentiated its product offering by leveraging an effective storage solution. Cirrity provides core infrastructure services to a variety of companies that offer IaaS and cloud services directly to enterprises, all running on a common back-end platform. Cirrity faced two major challenges. First, it needed to differentiate itself from the cloud big players Google, Amazon, Microsoft, etc. Given its size, it didn t have the deep pockets or the time required to build out an infrastructure geared towards competing in a commoditized environment. Second, it was not able to leverage an established brand and directly challenge early entrants in the pure IaaS space, such as Rackspace, Verizon Terremark, and others. Its chosen strategy, therefore, was to differentiate its products and services. That seems sensible, but how could it be done? Cirrity differentiated itself in three ways. First, it leveraged NetApp clustered storage systems running NetApp Data ONTAP to provide a set of guaranteed SLAs. Putting this on paper is easy; making it happen is much harder, especially when multiple customers have different needs or SLAs but share the same resources. Cirrity also implemented a multi-tenant model to offer enterprises the ability to securely isolate shared compute, network, and storage resources. This allowed customers to manage each resource pool independently as a dynamic asset and still have consistent QoS at each layer. Second, Cirrity capitalized on its deep knowledge of the managed service provider (MSP) market (Cirrity was spun off from another MSP). This business domain knowledge helped Cirrity establish itself as a preferred MSP partner, versus the generic alternatives available from larger competitors. And third, Cirrity leveraged the inherent agility of the NetApp solution to rapidly provision resources and enable same-day on-boarding of new customers, speeding time to revenue for its business partners. CHOOSING THE RIGHT SOLUTION HELPED CIRRITY GET TO MARKET WITH A BETTER PRODUCT, FASTER More agile data storage allowed Cirrity to get to market with a better product, and it also sped up and improved product development in general. The ease of use of NetApp products and their substantial potential for automation mean that Cirrity engineers spend less time maintaining IT infrastructure and more time developing the product. Engineers got a quarter to a half of their day back and can now spend time on enabling or developing new services rather than keeping the lights on, explained Dan Timko, Cirrity President. They are spending time refining solutions with our partners and working with senior technical staff to ask: What aren t we thinking of? Technical staff at companies often have dual roles, taking care of both maintenance and product development. Storage that is easy to use allows companies to leverage their technical talent in ways that directly affect products and revenues. Cirrity provides a great example of how data storage, and NetApp solutions in particular, can not only provide a strong backbone for a company, but also affect the company s core product offering and competitiveness in the market. B. ACCELERATE INTO NEW MARKETS THROUGH ACQUISITIONS IT HAS TRADITIONALLY BEEN A BOTTLENECK IT has generally been a bottleneck for acquisitions. Acquired companies often have different operating systems, different applications, different servers, and a variety of data storage systems. Integrating these disparate components can create a significant technical challenge and increase the time that it takes to realize the projected synergies and benefits from a merger. Copyright Oliver Wyman 6

7 CAN STORAGE DECISIONS REALLY AFFECT AN ACQUISITION STRATEGY? Traditionally, data storage has been viewed as a checklist item during an acquisition. As you plan for growth, the traditional line of thought goes, make sure that you plan to have adequate performance and capacity to meet your needs. However, for businesses that grow through acquisition, inheriting new and different operating systems and storage systems requires the flexibility to adapt without having to make major changes to the existing infrastructure. Agile data storage is increasingly important not only for controlling IT costs, but also for determining how aggressively companies can pursue growth strategies. EXAMWORKS HAD A GROWTH STRATEGY THAT WAS CENTERED ON ACQUISITION Let s consider the example of ExamWorks to show how storage infrastructure can help accelerate the integration of acquisitions. ExamWorks is a national provider of independent medical examination (IME) services. It provides these services through its medical panel of independently contracted physicians and other medical providers. The IME industry is traditionally fragmented and organized on a state-by-state basis because of varying laws and regulations that pertain to health insurance claims. To pursue its aggressive revenue goals, ExamWorks employed a strategy that relied on the acquisition and consolidation of individual state-focused IMEs. Since forming in 2007, ExamWorks has grown to over 160 offices and over $500 million in revenue. MUSIC TO A CEO S EARS: THE RIGHT IT INFRASTRUCTURE ALLOWS VERY DIFFERENT COMPANIES TO INTEGRATE QUICKLY ExamWorks acquisition strategy had many inherent obstacles. The heterogeneous nature of IMEs meant that ExamWorks had to operate its acquired companies independently but still have a centralized data storage infrastructure. The condensed timeline of ExamWorks hyper-growth strategy meant that companies had to be acquired and integrated very quickly, without extensive and immediate rewriting of applications. ExamWorks required a data storage solution that was scalable and flexible to facilitate the company s highly ambitious growth strategy. Using a FlexPod data center platform designed by NetApp, Cisco, and VMware, ExamWorks has been able to preserve the legacy systems of acquired companies and facilitate their consolidation. We preserve their legacy applications and business process, but we come in and virtualize servers, recreate virtual desktops for them, and then run their applications, eventually transferring them over but still maintaining their legacy applications for a minimum of eight years, CTO Brian Denton explained. To date, the ExamWorks IT team has successfully integrated every one of its many acquisitions on time, an enviable track record of success. Ultimately, the hyper-growth acquisition strategy that helped ExamWorks grow from $163 million to $521 million in revenues from 2010 to 2012 also demonstrates how the company s storage infrastructure was not simply a checklist item but a key enabler of its success. Copyright Oliver Wyman 7

8 C. ENTER NEW MARKETS BY EXPANDING YOUR PRODUCT OR SERVICE OFFERING MOST IT DEPARTMENTS ARE FORCED TO DO MORE WITH LESS Like corporate IT departments, municipal governments are tasked with managing IT services for their constituents. However, the limited funding available adds to the challenge of delivering these services at a lower cost. IT spending is growing overall at about 3%, but local government IT spending is projected to be growing at only about 0.4%. 6 This means that to an even greater extent than for their corporate counterparts, local governments must do more with less when managing their IT services. SMARTER IT DEPARTMENTS ARE LEVERAGING TECHNOLOGY TO EXPAND THEIR TRADITIONAL OFFERINGS Let s consider the City of Melrose as an example. The City of Melrose is located in the Greater Boston Metropolitan Area in Middlesex County, Massachusetts. Like most cities in the area, it had a department that provided its own localized IT services. However, this localized model did not allow towns to leverage each other s IT services, which meant that a smaller range of services could be offered by each. Jorge Pazos, the CIO for the city, worked with his team to develop a strategy for building out the City of Melrose s IT infrastructure so that it could offer centralized IT services not only to Melrose, but to surrounding towns as well. The City of Melrose wanted to move from merely providing IT for its own constituents to entering the broader market and acting as a regional IT services provider. Rather than relying solely on declining state funding and local tax revenues to finance its IT needs, the City of Melrose wanted to offset IT spending by generating new revenue streams. EXHIBIT 4: THE CITY OF MELROSE PROVIDES IT SERVICES TO SURROUNDING AREAS The City of Melrose provides IT services to neighboring communities, including the town of Essex SMART INFRASTRUCTURE CHOICES ARE HELPING IT DEPARTMENTS DEAL WITH GROWTH UNCERTAINTY To realize this mission and convince other towns to participate, Pazos and his team had to choose a data storage solution that could cater to the specific needs of municipal IT departments. The first consideration was cost. The budget pressures that these departments faced meant that, above all, they required a solution that would have predictable IT costs. Municipal clients have static IT environments and value cost predictability over anything else, Pazos explained. While the municipalities valued predictability, Pazos and his team needed a solution that could also accommodate unpredictability in terms of scaling. They did not know initially how well towns would take to the proposal, and so required an initial infrastructure that would accommodate varying levels of expansion. We had no idea how big the data center would need to eventually be and what the external consolidation would be, so we needed something that could be built up and out very quickly if required, Pazos explained. The FlexPod solution has provided the City of Melrose with a baseline configuration, but it also has the flexibility to be sized and optimized to accommodate many different use cases. It allows clients to increase capacity rapidly without having to rip and replace expensive equipment down the road. 6 Source: Gartner IT Key Metrics Data Copyright Oliver Wyman 8

9 IT CAN BE DONE: MELROSE WENT FROM MINIMIZING COSTS TO GENERATING REVENUES The City of Melrose now provides IT services for the town of Essex, which has allowed Essex to realize approximately 33% savings on year-over-year IT costs. At the same time, the revenue that the City of Melrose earns already covers 10% of data operations spending. The city has recently signed on another municipality as a client, and by working with additional partners, the revenue generated could cover the entire data operations piece and make it a fully self-funded model. A flexible data storage solution helped the City of Melrose not only to enter a new market, but to create one: a centralized IT services market developed from consolidating previously localized IT departments. The solution has also helped the City of Melrose redefine local government IT as something that does not only draw on public resources, but can also be a self-funding business. D. GET TO MARKET FASTER BY ACCELERATING IT DEVELOPMENT PROJECTS AGILE STORAGE SOLUTIONS CAN HELP COMPANIES GET TO MARKET FASTER Getting to market faster is a key competitive differentiator. For companies that do not rely on IT for their product and instead use IT as a back-end enabler, agile storage solutions can accelerate ERP development and improve the extent to which information is managed, both internally and externally. This in turn can allow companies to achieve greater productivity gains, for example, increases in sales productivity due to CRM implementation or improved logistics through better management of the supply chain. For companies that are more IT-driven and rely on IT as a critical enabler of their product or service offering, agile storage solutions can accelerate product development directly by minimizing the unit cost of each new development environment and enabling faster provisioning of IT resources. Let s look at two examples, one for each type of case. First, we look at Clayton Companies, which uses IT as a back-end enabler but nevertheless has gained business benefits from an effective storage solution. CLAYTON COMPANIES HAD A UNIQUELY CHALLENGING ERP DEPLOYMENT ERP deployments can be very challenging, timeconsuming, and costly. These projects usually affect most of the functional units of a business. They involve complex technical challenges and usually have diverse development teams working on separate modules concurrently, each asking for resources with typically short SLAs. This inevitably strains the host company s IT systems and administrators, and is difficult to coordinate. A recent survey found that 50% to 60% of ERP projects had cost and schedule overruns 7. Clayton Companies, a firm that provides customers with the materials required to undertake large construction projects, had an ERP deployment that was challenging for two reasons. One, the use cases that Clayton s business demanded had not been executed in the industry before. Two, Clayton needed to build out a front end for the ERP solution at the same time. CAN STORAGE REALLY MAKE A DIFFERENCE WITH ERP DEPLOYMENT? IT could have been a bottleneck with the ERP deployment, but an effective storage solution avoided that. CIO Scott Milne explained how various units were coming to him with large storage requests, normally a major problem for CIOs. With NetApp s thin provisioning feature, Milne was able to present more logical storage to hosts or users than he actually had in his physical storage pool. NetApp also allowed Clayton developers to deal with the complexity of the project by reducing the impact of mistakes. NetApp Snapshot technology allowed copies to be made to restore data to previous versions, but did not cause a strain on resources a key NetApp advantage. NetApp FlexClone technology helped developers operate in a virtualized environment. Major competitors could not provide us the same quantity of snapshots 7 Source: 2013 ERP Report, Panorama Consulting Copyright Oliver Wyman 9

10 without affecting storage capacity or performance, Milne explained. NetApp s virtualization and storage efficiency capabilities enable developers to accelerate ERP development, Milne said. He estimates that by using NetApp technologies, the deployment was accomplished at least four months faster than it would have been with another storage vendor, saving the company approximately $150,000 to $200,000 a month in the busiest months of the project while substantially reducing risk. Of course, in addition to these cost savings, Clayton Companies benefited from having a smarter, better integrated supply chain four months sooner. The associated productivity benefits helped Clayton get to market faster and more efficiently. Now let s look at an example of a more IT-driven company, ING DIRECT Australia, for which effective storage solutions accelerated product development. ING DIRECT NEEDED TO BUILD NEW SERVICES FASTER AND BETTER ING DIRECT, the world s leading direct savings bank, pioneered branchless banking in Australia and grew to become the country s fifth-largest mortgage lender by leading the way with technologically innovative products and services. The bank s inhouse IT team of 150 employees manages all software and application development. Increasingly, they found that they had a large project backlog, and that the development and test infrastructure could not meet the bank s appetite for innovative products and services. Provisioning a single copy of the bank system for testing was taking eight people three months. They needed to more quickly create virtual copies of the banking system to get to market faster with new products and services. They wanted an infrastructure that would enable rapid provisioning of environments while allowing the use of Microsoft virtualization technologies, but this was not an easy task. With up to 90 concurrent copies of the bank system, each taking up to 5.5TB of storage, it would ordinarily have been a very intensive effort for the infrastructure. BANK IN A BOX ACCELERATES TIME TO MARKET FOR NEW IDEAS Using NetApp storage as part of a joint solution with Cisco and Microsoft, ING DIRECT built Bank in a Box. This fully integrated platform enables rapid provisioning of complete banking environments for development and testing. The highly automated platform allows users to easily provision new environments by using a self-service workflow. The project has led to much faster development of new products and services. When we showcased this to our executive team, they were amazed to see how this technology came together to reduce a process that used to take months down to minutes, explained Andrew Henderson, ING DIRECT Australia CIO. They saw straight away that it would dramatically reduce development items so we can get new products and services to market faster. Copyright Oliver Wyman 10

11 CONCLUDING REMARKS EXHIBIT 5: CEO PERCEPTION OF EXTERNAL FACTORS THAT AFFECT BUSINESS % of CEOs who thought the factor would have the biggest impact 100% 80% Technology is increasingly viewed as a major business driver as data becomes more critical to core business outcomes 60% 40% 20% 0% Market factors People skills Technological factors In the preceding examples, we can clearly see how effective storage created business benefits: Cirrity differentiated its product and brought a more competitive cloud service offering to market ExamWorks enacted a hyper-growth acquisition strategy and integrated numerous heterogeneous systems The City of Melrose expanded its IT service offering to new markets by scaling in an agile way Clayton Companies deployed a major ERP project faster and gained productivity benefits ING DIRECT improved its product development environment to bring new banking products to market faster Effective storage solutions can overcome barriers to growth through acquisition, accelerate time to market by spurring product testing and development, and expand the range and differentiation of IT products and services in an increasingly competitive environment. As technology becomes increasingly important to business leaders, effective storage solutions must be considered in the context of a broader business strategy and not only from an IT cost-saving perspective. 8 Source: IBM, Capitalizing on Complexity: Insights from Global CEO Study, May This study consisted of face-to-face conversations with over 1,700 CEOs worldwide. Executives were asked to discuss the top three external forces that will have the biggest impact on their organizations. Copyright Oliver Wyman 11

12 REPORT QUALIFICATIONS, ASSUMPTIONS, AND LIMITING CONDITIONS Oliver Wyman was commissioned by NetApp to develop a white paper on the business benefits of storage solutions. The primary audience for this report includes executives in the technology industry. Oliver Wyman shall not have any liability to any third party in respect of this report or any actions taken or decisions made as a consequence of the results, advice or recommendations set forth herein. The opinions expressed herein are valid only for the purpose stated herein and as of the date hereof. Information furnished by others, upon which all or portions of this report are based, is believed to be reliable but has not been verified. No warranty is given as to the accuracy of such information. Public information and industry and statistical data are from sources Oliver Wyman deems to be reliable; however, Oliver Wyman makes no representation as to the accuracy or completeness of such information and has accepted the information without further verification. No responsibility is taken for changes in market conditions or laws or regulations and no obligation is assumed to revise this report to reflect changes, events or conditions, which occur subsequent to the date hereof. Oliver Wyman is a global leader in management consulting. With offices in 50+ cities across 25 countries, Oliver Wyman combines deep industry knowledge with specialized expertise in strategy, operations, risk management, and organization transformation. The firm s 3,000 professionals help clients optimize their business, improve their operations and risk profile, and accelerate their organizational performance to seize the most attractive opportunities. Oliver Wyman is a wholly owned subsidiary of Marsh & McLennan Companies [NYSE: MMC], a global team of professional services companies offering clients advice and solutions in the areas of risk, strategy and human capital. With over 53,000 employees worldwide and annual revenue exceeding $11 billion, Marsh & McLennan Companies is also the parent company of Marsh, a global leader in insurance broking and risk management; Guy Carpenter, a global leader in providing risk and reinsurance intermediary services; and Mercer, a global leader in talent, health, retirement and investment consulting. For more information, visit Copyright 2013 Oliver Wyman All rights reserved. This report may not be reproduced or redistributed, in whole or in part, without the written permission of Oliver Wyman and Oliver Wyman accepts no liability whatsoever for the actions of third parties in this respect. The information and opinions in this report were prepared by Oliver Wyman. This report is not investment advice and should not be relied on for such advice or as a substitute for consultation with professional accountants, tax, legal or financial advisors. Oliver Wyman has made every effort to use reliable, up-to-date and comprehensive information and analysis, but all information is provided without warranty of any kind, express or implied. Oliver Wyman disclaims any responsibility to update the information or conclusions in this report. Oliver Wyman accepts no liability for any loss arising from any action taken or refrained from as a result of information contained in this report or any reports or sources of information referred to herein, or for any consequential, special or similar damages even if advised of the possibility of such damages. The report is not an offer to buy or sell securities or a solicitation of an offer to buy or sell securities. This report may not be sold without the written consent of Oliver Wyman. NetApp, the NetApp logo, Go further, faster, Data ONTAP, FlexClone, FlexPod, and Snapshot are trademarks or registered trademarks of NetApp, Inc. in the United States and/or other countries.