Cloud strategy briefing 101

Cloud Strategy Briefing 101

This work is licensed under the Creative Commons Attribution-ShareAlike 3.0 Unported License. To view a copy of this license, visit http://creativecommons.org/licenses/by-sa/3.0/ or send a letter to Creative Commons, 171 Second Street, Suite 300, San Francisco, California, 94105, USA.

Attribute to: Predrag Mitrovic at http://cloudadvisor.se


Mastering strategy development, formulation and execution

20+ years in the IT industry

• EDP technician specializing in Unix and Novell systems • Test and Chief Editor; Nätverk & Kommunikation (IDG)• Own consulting firm• Nordic Consulting Manager, Novell• CSA/NTO, Microsoft• General Manager, LabCenter• Now manages MyNethouse• Co-founder & board member Cloud Sweden• Consultant, author, lecturer and inspirer.

Predrag [email protected]

3Cloud Competence With Confidence

Context and objectives of this WS

Cloud Computing ”crash course”

Promises of the Cloud RevolutionLower costsFaster time to market/applicationDriving value

Setting realistic expectations – framing the good, bad and ugly

End-customer focus: Suitable adopters and where to benefit


After this workshop You will…

Understand why to develop an overall Cloud Strategy on solid business cases

Have a portfolio of questions to ask prospective vendors

Not buy Clod for the sake of Cloud

Find the ”what´s in it for me” propositions


But first!


And now!


WHAT IS CLOUD COMPUTING?


• NIST Definition of Cloud Computing*

“Cloud computing is a model for enabling convenient, on-demand network access to a shared pool of configurable computing resources (e.g., networks, servers, storage, applications, and services) that can be rapidly provisioned and released with minimal management effort or service provider interaction. This cloud model promotes availability and is composed of five essential characteristics, three service models, and four deployment models.”

• Note: Cloud software takes full advantage of the cloud paradigm by being service oriented with a focus on statelessness, low coupling, modularity, and semantic interoperability.

NIST Definition


* National Institute of Standards and Technology (NIST) : Cloud Computing

http://csrc.nist.gov/groups/SNS/cloud-computing/index.html

http://csrc.nist.gov/groups/SNS/cloud-computing/index.html

• Essential characteristics of Cloud Computing• On-demand self-service. A consumer can unilaterally provision computing capabilities,

such as server time and network storage, as needed automatically without requiring human interaction with each service’s provider.

• Broad network access. Capabilities are available over the network and accessed through standard mechanisms that promote use by heterogeneous thin or thick client platforms (e.g., mobile phones, laptops, and PDAs).

• Resource pooling. The provider’s computing resources are pooled to serve multiple consumers using a multi-tenant model, with different physical and virtual resources dynamically assigned and reassigned according to consumer demand. There is a sense of location independence in that the customer generally has no control or knowledge over the exact location of the provided resources but may be able to specify location at a higher level of abstraction (e.g., country, state, or datacenter). Examples of resources include storage, processing, memory, network bandwidth, and virtual machines.

• Rapid elasticity. Capabilities can be rapidly and elastically provisioned, in some cases automatically, to quickly scale out and rapidly released to quickly scale in. To the consumer, the capabilities available for provisioning often appear to be unlimited and can be purchased in any quantity at any time.

• Measured Service. Cloud systems automatically control and optimize resource use by leveraging a metering capability at some level of abstraction appropriate to the type of service (e.g., storage, processing, bandwidth, and active user accounts). Resource usage can be monitored, controlled, and reported providing transparency for both the provider and consumer of the utilized service.

NIST Definition (cont.)


• Service Models:• (Cloud) Software as a Service (SaaS). The capability provided to the consumer is to use

the provider’s applications running on a cloud infrastructure. The applications are accessible from various client devices through a thin client interface such as a web browser (e.g., web-based email). The consumer does not manage or control the underlying cloud infrastructure including network, servers, operating systems, storage, or even individual application capabilities, with the possible exception of limited user-specific application configuration settings.

• (Cloud) Platform as a Service (PaaS). The capability provided to the consumer is to deploy onto the cloud infrastructure consumer-created or acquired applications created using programming languages and tools supported by the provider. The consumer does not manage or control the underlying cloud infrastructure including network, servers, operating systems, or storage, but has control over the deployed applications and possibly application hosting environment configurations.

• (Cloud) Infrastructure as a Service (IaaS). The capability provided to the consumer is to provision processing, storage, networks, and other fundamental computing resources where the consumer is able to deploy and run arbitrary software, which can include operating systems and applications. The consumer does not manage or control the underlying cloud infrastructure but has control over operating systems, storage, deployed applications, and possibly limited control of select networking components (e.g., host firewalls).



• Deployment Models:• Private cloud. The cloud infrastructure is operated solely for an

organization. It may be managed by the organization or a third party and may exist on premise or off premise.

• Community cloud. The cloud infrastructure is shared by several organizations and supports a specific community that has shared concerns (e.g., mission, security requirements, policy, and compliance considerations). It may be managed by the organizations or a third party and may exist on premise or off premise.

• Public cloud. The cloud infrastructure is made available to the general public or a large industry group and is owned by an organization selling cloud services.

• Hybrid cloud. The cloud infrastructure is a composition of two or more clouds (private, community, or public) that remain unique entities but are bound together by standardized or proprietary technology that enables data and application portability (e.g., cloud bursting for load-balancing between clouds).




Visualized Cloud Definition from NIST

Public Private Hybrid CommunityDeployment

Models

ServiceModels

Software as a Service (SaaS)

Platform as a Service (PaaS)

Infrastructure as a Service (IaaS)

EssentialCharacteristics On-Demand

Self ServiceBroad Network

AccessResourcePooling

Rapid ElasticityMeasured Service


Traditional IT vs. Cloud Computing

Traditional IT

DedicatedDedicated

HW & SW procurement “the old way”HW & SW procurement “the old way”

New services added manuallyNew services added manually

Semi-automated repair of system failureSemi-automated repair of system failure

MonthsMonths

Incremental CapEx purchasesIncremental CapEx purchases

Shared (multi-tenancy)Shared (multi-tenancy)

Self serviceSelf service

Scale on-demandScale on-demand

Automated recovery due to integration / interoperableAutomated recovery due to integration / interoperable

MinutesMinutes

Pay per usePay per use

ConsumptionConsumption

Ease of UseEase of Use

ScalabilityScalability

AvailabilityAvailability

ProvisioningProvisioning

CostCost

Cloud Computin

g

The cloud Promise

• No upfront investments or capital expenditures• Immediate access to needed capacity & resources

• Low IT barriers to innovation• Business agility booster• Business needs driving demand

• Find the scaling balance:• No lost possibilites• No over-capacity

• Scale up or down

• Pay-per-use• Opex vs Capex


• SW upgrade = new license• Users always complaining• SaaS = better + cheaper• Employees use cloud services for Private purposes

• Need to cut costs• Must deliver business value• IT to expensive• Is internal IT secure?• IT moves to slow

• My job is at stake• I´m tired of #@% SW licenses• I must manage costs• I must justify investments• How can I get CEO attention?

• I am cutting costs• I am on top of trends & hypes• We can´t do that • I am innovating here• I have full control

The CIO Dilemma


• Undermanned & overworked IT staff• Insufficient (shrinking) IT budget• Hacker attacks• No/low influence on business• Downtime• Rapid technological changes• Growing need for consultants

CIO Pains & Gains

• Invest budget in high business value projects• Align IT & business• No SW licenses to manage• IT seen as critical for success• Secure IT environment• Sufficient time to plan mission-critical projects• Happy users


Infrastructure & operations

Integration& application

Core capabilities

Core capabilities

Integration& application

Infrastructure & operations

Driving force


Scaling (”the old way”)

”Traditional IT”

Business Needs

Lost opportunities

Under-utilized capacity


Scaling (”the cloud way”)

”Cloud delivered IT”

Business Needs


Year 1

Investment

Year 2 Year 3

Cost: Investment HW/SW + implementation

ROI: Effective IT-process + organizational usage (core capabilities)

Traditionell IT - kostnadsbildScaling vs costs (”old way”)


Year 1 Year 2 Year 3

Cost: Pay for what you use

ROI: Natural effect from higher usage

IT-leverans via molnetScaling vs costs (”cloud way”)


Priorities for adoption

1 2 3 4

Financial:• Cost effectiveness• Clear ROI• TCO vs own Data Center

Operational:• Manage flexibility/agility• Cross-company innovation board• Roles

Technical:• Real security concerns?• Data integrity• Regulatory compliance• Reliability of cloud workloads

Organizational:• Prepared for the cloud-centric world?• Role of demand organization• Role of IT organization


THE Model!


Strategic Cloud Model

Vision, visualization, understanding the terrain,

formulation

Controlled implementation

THE CLOUDH

ype,

cas

e, b

est

prac

tices

, be

sser

wis

sers

Case studie, best

practice, lessons learned

Leadership, change management, decision criteria, evaluations


Our Workshop

27 Cloud Competence With Confidence

•Private Cloud•Policies•Security•Interoperability•StandardsConsolidated

Data Center

Public/Hybrid Cloud

HW SW Consultants Support Maintenance Operational overhead Storage Transfer Energy Communication

Agility/flexibility Availability Technology management

Test/development/integration/maintenance License utilizaton

Process management Overhead TTM/TTA

Part 130 Cloud Competence With Confidence

Part 231 Cloud Competence With Confidence

OperationalPragmatic

Value Creator

Cost Cutter

Business LeaderCooperation

InspiringTechnology

Leader

Drive innovation

Maximize ROI

Move the business forward

Visionary –Share insights

Part 3Cloud Competence With Confidence32

Bussines

Owners

Vendors

ExpertCommt

y

Cloud Maestr

o

• Cloud Computing Vision / Mission

• Inspiration• Market Research / Use Cases• Guidelines• Enterprise Architecture• Procurement Support

• Business needs• Requirements• Interests & Feedback

• Standards Requirements• Security Processes• Procurement Approaches• Best Practices• Operations• Performance management

• Seek Direction and Guidance

• Engagement• Sustainable relations

• Compliant Services and Offerings• Input to Standards• Collaboration on Developing

Standards & Best Practices

Security

Standards

OperationsPerformance

• RFI/RFPs• Definitions• Security

Requirements• Standards

Requirements• SLAs

Part 4

Va

lue

Cre

atio

n

Value CreationValue Creation

Workshops

Consulting

Webinars

Seminars

Analystservices

Labs

Articles

33


Usage Metering

Provisioning services

Authentication

Authorization

Logging

Reporting

Incident manageme

nt

Enterprise Appl. (UI + Logic)

Data


Clear Business Benefit

Unique Capability?

Impediments to

outsourcing

Impediments to Cloud

Business Driver Cloud compatible

Will the solution be a

platform

IT Business Process

Insulation

IT based different-

iation

Custom App, HW, SW

Custom HW, SW

YesNo Based on Open Group

Application cloud feasability

Compliance

Cloud Competence With Confidence 37

Requirement fulfillments


Risk management


Business continuity


Good sources for information

Cloud Sweden (LinkedIn: search for Cloud Sweden)

Cloud Advisor – cloudadvisor.se (Swedish only, sorry)

CloudTweaks – www.cloudtweaks.com

NIST – csrc.nist.gov/groups/SNS/cloud-computing/index.html

CloudCamp – www.cloudcamp.com

Cloud Security Alliance – www.cloudsecurityalliance.com

Open Cloud Manifesto – www.opencloudmanifesto.org


Good sources for information (cont.)

Cloud Standards – cloud-standards.org

The Open Group - www.opengroup.org/cloudcomputing/

IDG Cloud Magazine – cloud.idg.se/

Amazon, Microsoft, Google, IBM, Oracle, Salesforce, RackSpace and all the others…


Predrag Mitrovic

[email protected]

+46 (0)709 – 200 350

Skype/Twitter: write4joy

Thank You for attending!



This work is licensed under the Creative Commons Attribution-ShareAlike 3.0 Unported License. To view a copy of this license, visit http://creativecommons.org/licenses/by-sa/3.0/ or send a letter to Creative Commons, 171 Second Street, Suite 300, San Francisco, California, 94105, USA.

Attribute to: Predrag Mitrovic at http://cloudadvisor.se

Cloud strategy briefing 101

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