Control Your IT Costs with Asset Management

Transcription

1 Control Your IT Costs with Asset Management May 22, 2013 Copyright 2013 Vivit Worldwide Copyright 2013 Vivit Worldwide

2 Brought to you by Copyright 2013 Vivit Worldwide

3 June Las Vegas, Nevada Save $300. Use code Vivit. Win 2014 conference pass. Copyright 2013 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice.

4 Vivit Advanced Training Dive deep. June 11, before HP Discover begins Las Vegas, Nevada ucmdb V10 What s New & Advanced ucmdb Discovery Script Development Using ucmdb Web- Services Add course to your HP Discover registration account. Copyright 2013 Vivit Worldwide

5 Housekeeping Prize Drawings! This LIVE session is being recorded Q&A Copyright 2013 Vivit Worldwide

6 Speakers Vesna Soraic Product Marketing Manager HP Software Nicolas Rousseau Senior Product Manager HP Software Daniel Galecki Product line manager for Asset Manager HP Software Copyright 2013 Vivit Worldwide

7 Control Your IT Costs with Asset Management May 22, 2013

8 Agenda Software asset management (SAM) HP for Oracle compliance Service chargeback 8

9 Software asset management (SAM) The business case What is it? HP SAM solution HP Software Asset Insight (SAI) service 9

10 Vendor audits on the increase 65% of organizations had been audited by at least one vendor in the past 12 months 1 The contractually specified tolerance specified by many software vendors during audits is 5% 2 Source: japan.aspx Source: TN.aspx Are you confident in your compliance? The consequences can be severe Source: rt_from=&ucat=1&&goback=.gde_ _member_ Gartner, Software Vendor Auditing Trends: What to Watch for and How to Respond by J. Disbrow, A. Bona et al, May 2012, ID: G Gartner, Best Practice for Software Asset Management: Reconcile Entitlement and Usage to Understand License Compliance by Victoria Barber, July 2010, Refreshed February ID: G

11 Overall software spending on the increase How much are you paying today? Through 2014, enterprise software spend will increase by 25% from current figures as a consequence of the proliferation of smart OT *. 1 How confident are you that you do not own more than you need? What if you could save 5% by re-negotiating your ELAs/contract? How much budget would this free up? Can you manage impact of self-provisioning in your cloud environment? * OT is Operational Technology 1 Gartner, Predicts 2013: IT and OT Alignment Has Risks and Opportunities by J. K. Steenstrup, P. Iyengar et al, November 2012, ID: G

12 Key drivers for adopting software asset management Software costs too high Complex licensing rules What licenses do we have? Where is the software installed? Who bought it? Was procurement involved at all? Who owns it? Is it used and how often? Device/server, host/node, CPU/core, named user plus/concurrent, CAL usage, second use/byod, HA/backup/test, PVUs, upgrade entitlements, indirect access, T&C on the vendor s web Trojan horse Virtualization/cloud, self-provisioning Vendor audits Renewals of ELAs and Maintenance contracts w/out negotiating Can the software be virtualized without excessive cost and used in a private cloud? What licenses do we need in IaaS, PaaS and SaaS? 65% of organizations are audited yearly by at least one vendor. Are we well prepared for the audit? Do we understand the audit scope? Was ELA worth for us? We did not use all licenses, why do we still pay maintenance fees? 12

13 What is software asset management? The framework The objectives Request Reduce risk Use Deploy Inventory Comply Own Use Audit Reconcile Retire Support Re-negotiate Reduce cost Deploy What IT does routinely Where challenges are Need 13

14 Top three common scenarios Setting your foundation Enterprise License Agreement renewal Support/maintenance contract renewal Vendor audit Gain visibility into real license usage, negotiate from a position of knowledge and secure the most optimal deal Gain visibility into real license usage and put yourself ins a position to structure a more costeffective contract Ensure you are compliant and not exposed to legal or reputation consequences and unexpected expenditures 14

15 SAM key components Ongoing Discovery What devices you own, which software is used, by whom and how often Compliance Management Reconcile inventory, licenses and policies, generate reports and take the action License Management What does the company own, what applications can be used and under which T&C Internal Policies & Guidelines What software can be used and by whom 15

16 HP Software Asset Management Solution overview Discovery of software instances* Management of license assets and related contracts Reconciliation of inventory versus licence entitlements * HP Universal Discovery is Oracle License Service certified 16

17 HP Software Asset Management Solution overview Discovery of software instances* Management of license assets and related contracts Reconciliation of inventory versus licence entitlements How is it done? Best practice package Up-to-date content, released frequently Automated compliance for 900+ software titles & versions and various license model * HP Universal Discovery is Oracle License Service certified 17

18 HP Software Asset Management Examples of licensing models supported Automated compliance for the many complex licensing models Oracle Processor core factor table (Enterprise edition) Socket based (Standard, Standard One) Named user plus Microsoft MS SQL server core license Office, Desktop apps: Right of second use (on mobile device) Windows Server: Virtualized environment use rights IBM Processor Value Unit (PVU) license consumption, subcapacity virtualization rule General rules across vendors upgrade/downgrade rights multiple versions usage maintenance renewal 18

19 HP Software Asset Management Solution benefits Proactive software licence compliance Full understanding of the current license position Mitigate exposure in compliance audits Avoid over or under purchasing Insight in software owned and used Re-harvest and reallocate unused software licenses Apply entitlements to reduce licenses Realize upgrade discounts Complete software entitlement and deployment tracking Reduce maintenance costs Cancel maintenance for unneeded licenses 19

20 HP Software Asset Insight service For a fast insight into your software assets and liabilities Perform an internal audit Discovery of installed software Import of contract data Overview Reconciliation of entitlements vs. usage Reporting Software in-a-box No infrastructure provisioning No software deployment Benefits Gain visibility into entitlement and usage of software Know what you have Pay for what you use/need Protect yourself against incompliance Low TCO Short term engagement No need to acquire and/or provision infrastructure No need to train own staff 20

21 Customer success Leading pharmaceuticals and health IT provider Business need Be audit read; i.e. be able to view and manage effective license position Identify over entitlement and reduce unnecessary software purchases Enforce enterprise policies, eg. Software not in use for 90 days to be harvested for reuse or retirement HP solution Asset Manager with SAM module DDMI Integrated with One Source CRM/accounting system Client outcome Avoided purchasing $1 million in new software licenses by reallocating licenses. Increased control and optimization of license costs Centralized audit coordination for all HW and SW IT assets Enterprise & Business Unit enabled to harvest licenses for re-use Each stakeholder has a financial view of compliance 21

22 HP rated Positive by Gartner Rated Positive in Gartner s MarketScope for ITAM Repository 2013 report Source: Gartner (April 1st, 2013) Visit: 22

23 Staying Oracle compliant SAM: Introduction Example of savings How HP products help mitigating the legal risks and optimizing the license investments Use case: Oracle compliance on a cluster infrastructure 23

24 Example of savings Oracle 1 Oracle core Factor License = $47 K Soft partitioning Virtualization technology: you need to license all cores of the physical host A company moved an Oracle Instance in a VM from a cluster to another (Vmotion) in a fail over situation 10 cores to 30 cores for the fail over cluster Forgot to move it back Audit fee = $940K Windows Enterprise Server 1 License covers on Server and 4 VMs If you deploy a 5 th, this will cost $2000 (1*8 proc. license) Office Visio 1 license = $150 Tens of users have installed it one day to open a visio file and never removed or used 150*150 = $22.5K 24

25 HP provides the tools that support all SAM processes HP Universal Discovery Inventory of deployed applications Discovery of hosts attributes Topology of the business services Top rated by analysts, Oracle LMS verified HP Asset Manager Stores inventory data License life cycle management & Contract Management Internal license use policy management Software compliance Top rated by analysts, Iso Certified 25

26 SAM addressed by HP applications Software Compliance License liability Inventory Data Internal License Use Policies License Data contracts 26 HP Universal Discovery HP Asset Manager

27 The SAM Best Practice package design SKU library Software Library (from UD) Publishers references: HP SLMS provides the reference data titles today, working on extending to app SKUs in next release Connect-It Integration to link on the fly license records to counters Titles in scope for compliance Will reconcile with pre-existing inventory Reconciliation library Reconciliation software counters (License skus with SW titles ) Licensing library contains flexible counter pre-calculation scripts that reflect the licensing rules Reports Compliance dashboards Maintenance renewals / Contract expenses Processes Maintenance renewal / counter update wizards SAM Best practice implementation wizards 27

28 HP Universal Discovery for ORACLE Licensing High-level Architecture UCMDB Export LMS_OVERVIEW LMS_V$SESSION LMS_DETAIL Exported Reports Universal Discovery LMS_V$LICENSE LMS_OPTIONS LMS_DBA_USERS Oracle LMS Data Collection Push HP Asset Manager Oracle Databases 28

29 The Oracle licensing Per Named User Plus: What counts is who is access directly or indirectly (Multiplexing) Per Core Factor (Enterprise Edition) Mapping between CPU Types and core factors Virtualization: Hard Partitioning (Solaris Zones, LPAR ): count the number of cores of the VM Soft Partitioning (VMWare ): need to take into account the number of cores of the Physical Host (or cluster) Per Socket licensing (Standard and Standard one) Occupied sockets = processors are counted Max total number of sockets: 4 (Standard), 2 (Standard one) Licenses under maintenance Give right to install the latest version released at the end of the maintenance If you have two instances, you need to cover the latest version 29

30 UD discovers the Oracle deployments following the LMS Verified methodology 30

31 Get the big picture with the SAM dashboard 31

32 Drill down on a specific SW counter 32

33 The license analyzer allows to understand the deployments and related costs 33

34 The Optimizer function will show were the virtualized infrastructure is under used > 34

35 Customer success Business need Multi-vendor server applications, strong virtualization on different OS flavors Facing audit Understanding entitlements, software usage and whether they are under- or overlicensed Seek to minimize risk and unnecessary costs 35 HP solution Asset Manager with SAM module DDMi License metrics implemented for: Oracle Database Enterprise Edition with partitioning and spatial options IBM Processor Value Unit IBM Floating User based Client outcome Enhanced control over the number of consumed licenses Detected over-compliance for some licenses and negotiated maintenance cost savings Detected limit to shortage for some licenses. Estimated the growth and decided to purchase additional licenses vs. optimize the configuration. Asset tracking knowledge on licenses what/where/value/cost center Optimized license compliance by reallocating licenses

36 Service chargeback What is Service Chargeback Drivers for cloud adoption Why you need chargeback HP s solution for chargeback of private and public cloud services 36

37 What is service chargeback IT chargeback and IT showback (memo-back) are two policies used by information technology (IT) departments to allocate and/or bill the costs associated with each department's or division's usage. (wikipedia 37

38 Drivers for Cloud adoption Top business priorities for CIOs Ranking Top 10 Business Priorities 1 Increasing enterprise growth 2 Delivering operational results 3 Reducing enterprise costs 4 Attracting and retaining new customers 5 Improving IT applications and infrastructure 6 Creating new products and services (innovation) 7 Improving efficiency 8 Attracting and retaining the workforce 9 Implementing analytics and big data 10 Expanding into new markets and geographies Source: Gartner Executive Program Survey of 2,000+ CIOs, January 2013 Business benefits of cloud Speed innovation & business growth Enhance business agility Improve efficiency & lower costs Key business metrics Revenue growth Earnings/EBITDA Market share Time to market New customer acquisition cost Return on equity Cash flow 38

39 Get the most out of your cloud Business benefits How does cloud chargeback accelerate it? Enhance business agility Offer a variety of cloud services at price points meeting customers needs Improve efficiency & lower costs Ensure cloud services are run economically, compared to external SPs Speed innovation & business growth Optimized offering enables investing in new value-add cloud services 39

40 Why you need chargeback Make departments responsible for their usage of cloud service Provide visibility into IT costs Allow the IT department to track and adapt to customer demand 40

41 Key drivers for adopting chargeback for cloud services Cost control and visibility preserved when moving to the cloud, a.k.a. self-service model Cost allocation of shared IT resources based on the relative consumption by the users Optimized IT resources utilization so what s not needed is not left to run idle 41

42 HP s solution for chargeback of hybrid and cloud services

43 HP Asset Manager Cloud Chargeback Catalog Activate Provision Cloud Fulfillment Solution Cloud services Order User Bill Calculate charges Asset Manager 43 Simple and straightforward billing capabilities to chargeback for consumption of IT virtualized and cloud resources based on actual subscriptions

44 HP Asset Manager Cloud Chargeback Solution overview Enabling cost recovery for IT resources based on usage Chargeback and show back Cost transparency to understand true costs of cloud services Role-based cost control Simple to manage and easy to use Great user experience OOTB charge back rules and reports 5 44

45 Open system Integration with 3 rd party systems Key capabilities APIs to get expense line and cost related information to 3 rd party finance systems Open to automated IT asset management processes Key benefits Expense lines SOAP $ Connect easily to corporate financial system bring cloud financial data to your supply chain Expand to full asset management, when ready AM CSC 3 rd party financial system 48

46 Summary Service chargeback allows IT departments to: Recover costs associated with delivery of services Provide services at rates competitive to 3 rd party offerings Track customer demand Become a strategic partner contributing to success of the company 49

47 Conclusions

48 Why HP for IT Asset Management? Recognized as a IT Asset Management leading solution by various industry analysts, such as Gartner, Forrester and EMA Proven and market-leading ITAM solution to manage IT assets More than 20 years of experience helping large organizations realize value from their HP Software investments Education and support services to ensure adoption 51

49 Get more information about HP Asset Manager Vesna Soraic Nicolas Rousseau Daniel Galecki For more information about HP s Asset Management solution visit vesna.soraic@hp.com nicolas.rousseau@hp.com dgalecki@hp.com Follow HP ITAM subject matter experts on HP ITAM Blog at Hewlett-Packard Development Company, L.P. The information contained here is subject to change without notice

50 Thank you