EMC.now Magazine - Q2 2010

Q2 2010a quarterly magazine

for the emc community worldwideEMC.now

We take a look at the human side of EMC’s Data General acquisition, more than a decade later

For Erin Motameni, the

logistics of the DG acquisition

represented only half the

adventure.

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I remember that morning 11 years ago, walking to my desk at EMC’s 35 Parkwood Drive headquarters in Hopkinton, in the moments before I learned the big news.

I’d published Volume 1, Issue 1 of EMC.now, the company’s brand-new newsletter, one week earlier. Heading upstairs, I contemplated what to run on the second issue’s cover.

The answer lay on the seat of my chair in the form of a printout of a news release with the headline, “EMC TO ACQUIRE DATA GENERAL.”

What? We’d bought a competitor?After getting over the shock, I felt tremendous

gratitude. It would be wonderful to get some much-needed help. At the time, EMC had more than 1,500 positions unfilled. The open-req

problem had become so severe that it was actually limiting our ability to grow as a company.

But as I was soon to learn, acquisition-related mat-ters aren’t very simple and straightforward … espe-cially when it comes to the human element.

This issue of EMC.now contains two stories reflect-ing integration and cultural acquisition, and they serve as interesting counterpoints to each other.

The first feature shares, in depth, the personal retrospectives of people who experienced the acqui-sition of Data General from the “other side” of the

equation. They were the ones whose company was being acquired.

The second feature is a story of Data Do-main—another competi-tor that EMC acquired and integrated, albeit much more recently, le-veraging a decade-plus of accumulated acqui-sition and integration proficiency. That piece discusses the successful cultural mixing that has occurred over the past year, offering perspec-tives from EMC Data Domain employees Sean Lamb and Devin Hamilton.

I believe that together, these stories paint a portrait of how incredibly fused two former competitors can become when things are done right.

editor’s desk Then and now

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In the second-ever issue of EMC.now, we ran a front-page feature in which Mike Ruettgers, then-president and CEO, explained EMC’s decision to buy Data General. He said, “We expect to draw some excellent talent from DG” and predicted that “this acquisition will make us an even stronger company than we already are.” He was right on both counts.

http://www.emc.com/collateral/about/jobs/pdf/emcnow-q210-print.pdf

http://www.emc.com/collateral/about/jobs/pdf/emcnow-q210-print.pdf

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features

CoverstoryExamining the human side of the Data General acquisition, 11 years later.

Outofmany,oneEMC’s years of acquisition and integration know-how made a difference for the people of EMC Data Domain.

GoingforthegoldinservicesBusiness intelligence and data gathering has helped EMC maintain and even extend its top-ranked service position.

AvirtualboontoGlobalServicesEMC is increasing its commitment to virtual services delivery, a technique that blends onsite and offsite help from EMC experts.

ConqueringtimeandspaceCentera Virtual Archive uses virtualization to meet the size, scope, and scale of where archiving is going.

AtEMCApex,EarthDay2010hadspecialmeaningThe extremely environmentally focused employees of EMC North Carolina had an extra reason to celebrate this year.

contents Q2 2010 Volume 12 Issue 2

also inside

FromtheTELLEMCfilesHow are we ensuring that EMC leads the journey to the private cloud?

RecentnewsA best-ever first quarter. Plus, VMAX adds realism to a Hollywood set.

EMC.now, winner of 28 industry awards for communication excellence.

Subscribe: www.emc.com/emcnow

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EDiTOR: Monya Keane SEniORwRiTER: Micky BacaDESiGnDiRECTOR: Ronn Campisi COORDinATOR: Jennifer BeesEDiTORiALBOARD: Becky DiSorbo, Bill Durling, Mark Fredrickson, Michael Gallant, Gil Press, Peter Schwartz, Anne-Caroline TanguyCopyright © EMC Corporation. Volume 12, Issue 2. All rights reserved. No part of this publication may be reproduced in any form, or by any means, without prior permission from EMC Corporation. EMC and EMC2 are registered trademarks of EMC Corporation and its subsidiaries. All other trademarks mentioned in this publication are the property of their respective owners. EMC.now may contain “forward-looking statements” as defined under the U.S. Securities Laws. Actual results could differ materially from those projected in the forward-looking statements as a result of certain risk factors disclosed previously and from time to time in EMC’s filings with the U.S. Securities and Exchange Commission, which can be found at www.emc.com/ir.

cover photo of emc svp erin motameni by david elmes

l

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j.s. tells emc: We’re hear-ing a lot about EMC hoping to ride the top of the next wave of IT, cloud comput-ing. Can you explain our strategy? How do we ensure EMC leads the journey to the private cloud?

pat gelsinger, president & coo, emc information infrastructure prod-ucts, replies: A good place to start is to define what we mean by cloud computing. For EMC, the

cloud is a highly virtualized en-vironment where applications and services are no longer pro-visioned to specific hardware. Instead, they are managed to

deliver service cata-logs of resources. What’s more, hard-ware is optimized to be provisioned and automated to deliver the resource catalogs to the virtual machine layer.

A good example of this new IT model is the VCE vBlock infrastructure pack-ages with EMC Ionix Unified Infrastructure Manager (UIM), which enables custom-ers to manage vBlocks as a single entity. UIM provides inte-grated and simplified provision-ing, configuration, change, and

compliance management.We see this model apply-

ing to private clouds, meaning clouds that serve as a com-pany’s internal data center and are under the full control of the CIO. We also see this model applying to public clouds, where a service provider deliv-ers, say, compute and storage services or applications/SaaS

from the tell emc filesFeedback from the past quarter included a question about EMC’s cloud computing strategy.

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ZZZZZ

www.channelemc.isus.emc.com/channelemc/Tellemc/toc.asp

www.channelemc.isus.emc.com/channelemc/Tellemc/toc.asp

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from the tell emc files

offerings. EMC will be deliver-ing these private and public clouds with common technolo-gies that enable the federation of these internal resources and external resources.

A private cloud is much like today’s data centers. It is trusted, reliable, controlled, and secure. Simultaneously, a private cloud delivers the attri-butes—dynamic, cost-efficient, on-demand, and flexible—asso-ciated with public clouds.

In short, we see our vision of the private cloud bringing the best of both worlds to our customers. And this vision is resonating with customers and prospects because we are offer-ing them a way to overcome the enormous challenges they face today. Some studies show CIOs are spending 70% or more of their time and money just main-taining their infrastructure. This leaves less than 30% to invest

in innovation and support stra-tegic business projects. CIOs are eager to partner with us and are increasingly open to dis-cussing how the private cloud will transform their world for the better.

Three powerful technology engines—virtualization, multi-core x86 Intel processors, and transformative storage technol-ogies like flash—are driving a dramatic transformation at the technology level of data cen-ters. They are enabling custom-ers’ IT organizations to move increasingly from IT productiv-ity to business value and then to operating IT as a service. What results is that IT becomes far more efficient and cost ef-fective as well as dramatically more agile.

How will we capitalize on this transition? First, we need to clearly and consistently com-municate the compelling value

of the private cloud. EMC World 2010 greatly advanced our dif-ferentiated positioning. Second, we need to continue to develop and deliver world-leading prod-ucts that are distinctive and aligned with our vision. Our VPLEX announcement at EMC World was a great example of this. Third, we need to partner with our customers as well as with key industry players to align and enable the broader indus-try value of our products. Our recent announcement of the expansion of our global strategic alliance with SAP was a great example of this.

This is a very exciting and promising time for EMC and fundamentally why I joined the company. I believe we will lead this newest and largest wave of IT and have an opportunity to make ourselves—and our cus-tomers—winners for a long time to come. s

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recent news Recapping the Q1 2010 achievements of EMC and its people

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q Best first quarter | EMC reported the best first quarter in its history, with record Q1 revenue, high double-digit profit growth, and all-time record free cash flow. 2010’s consolidated revenue was $3.9 billion, a 23% increase compared with the year-ago quarter. Q110 GAAP net income reached $373 mil-lion, an increase of 92% year over year.

EMC CEO Joe Tucci said, “EMC is off to a strong start in 2010. Our private cloud strategy and focus on four multibillion-dollar markets expected to ex-perience rapid growth for many years to come are resonating with customers. We are confident in our ability to lead the next major wave of IT.”

tABOVE AND BEYOND | ChRiSTinEROSSi (sec-ond from left) was the top recipient of EMC’s first annual Community Service awards, earn-ing the Exemplary Service Award of $10,000 for the Osteogenesis Imperfecta (OI) Founda-tion. Christine and her son have the genetic disease, which causes brittle bones. An OI board member for six years, she founded and chairs a fundraiser that has generated more than $325,000 for the foundation. She also is its national spokesperson. Twenty-six em-ployees from around the globe also captured Motivator Awards ($5,000) or Stewardship Awards ($1,000) for their charities.

ACQUISITION

In January, EMC acquired privately held ARChER

TEChnOLOGiES, provider of governance, risk, and compliance (GRC) software, to join the RSA Security Division. The Archer GRC Framework combines with RSA offerings for data-loss prevention, security information and event management, and advanced security operations.

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recent news

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peOple

Twenty-year IT veteran JEREMyBuRTOn has joined EMC as EVP and Chief Marketing Officer, the first person to hold that EMC title. Previously, he

was president and CEO of Serena Software, and he has held executive management and marketing positions at Symantec, Veritas, and Oracle.

After 26 years at Accenture, TERRyBREEn is now EMC’s SVP of Strategic Alliances. He is working closely with EMC’s technology integration and channel

distribution alliance teams to expand the company’s go-to-market relationships with systems integrators, outsourcers, and service providers.

JAMESDiSTASiO, a retired partner and 38-year veteran of Ernst & Young LLP, has joined EMC’s Board of Directors and is serving on the Board’s Audit Committee.

SEVEN-TIME WINNER In Michigan, EMC’s General Motors account team celebrated EMC being named GM’s Supplier of the Year for the seventh time. The award is based on performance in the areas of qual-ity, service, technology, and price. EVP Frank Hauck accepted the award on EMC’s behalf.

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recent news

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MAKING STRIDES | In February, EMC Chief Sustainability Officer KAThRinwinKLER testified before the U.S. Senate Subcommittee on Communications, Technology, and the Internet. She described how IT contributes to energy efficiency. In March, The Green Economy Post named Kathrin one of “10 Women Making Strides in Sustainability.”

VMAX GOES PRIME TIME EMC Symmetrix VMAX systems debuted on popular Fox TV show 24 on March 22, adding IT realism to the show’s “server room” set. Mary Lynn Rajskub, who portrays Counter Terrorist Unit (CTU) Analyst Chloe O’Brian, worked in front of the bank of systems helping CTU defend the U.S. government against threats to national security. EMC loaned Fox Broadcasting Company the 10 empty frames as a product-placement strategy to gain brand exposure.

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recent news

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TCE EXCELLENCE | In January, the Global EMC Field Optimization Project team, winner of EMC’s 2009 TCE Excellence Corporate Award, was honored at the Q409 Employee Quarterly Review. (l. to r.): Customer Ser-vice SVP Leo Colborne (ret.), CSS Global Field Program Director Bill Boehm, CSS Northeast Regional Service Director Mike McGonagle, CSS Americas Field Service Leader (and team leader) Chris Quirk, CSS Canada Regional Service Director Steve Sottile, CSS Field Program Manager Steve Scales, TCE Sr. Director John Wal-lace, and EVP Frank Hauck.

e-BOOKS

Ten EMC recruiting pros offer 100JOB-SEARChTipS in a new e-book produced by HR, Creative Services, and the EMC.com team. The e-book advises job seekers

while branding EMC as a great place to work. To download it, visit www.emc.com/collateral/article/100-job-search-tips.pdf.

Internationally renowned management consultant JiMChAMpyhas published The Pull of Customers, The Push of Processes, an e-book featuring EMC. In it, he explores EMC’s history of re-engineering

itself and cites the company’s customer-first philosophy as a major reason for its long-term success. The e-book is available at Barnesandnoble.com and Amazon.com.

www.emc.com/collateral/article/100-job-search-tips.pdf

www.emc.com/collateral/article/100-job-search-tips.pdf

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recent news

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SUSTAINABIlITy

In January, EMC was one of more than 80 U.S. corporations and organizations that took out full-page ads in The Wall Street Journal and Politico issuing a call for improved energy and climate change legislation.

At Citizen Schools in Boston, EMC, Google, and Cubist Pharmaceuticals co-hosted a meeting with Kumar Garg, policy analyst with the U.S. White House Office of Science and Technology. The panel discussed how to improve students’ participation and performance in STEM—science, technology, engineering, and mathematics.

EMC climbed from #48 to #19 on Corporate Responsibility Magazine’s “100 Best Corporate Citizens” list. This list is based strictly on the ranked companies’ transparency in making their environmental, climate change, human rights, philanthropic, employee relations, financial performance, and governance data publicly available.

MIleSTONe

RAyAnAShETTy of Tata Consulting Services in Bangalore was the recipient of the 10,000th EMC Proven Professional Program Information Storage and Management certification. The curriculum educates IT professionals in a range of storage technologies, not just specific products.

KUDOS

CRN named EMC a 2010 ChAnnELChAMpiOn

of Storage Management Software/Data Protection Software. The editors rated 1,000 vendors in 21 categories, measuring perceptions of their products and services. This is IT’s largest technology integrator market study; it is used by VARs and technology integrators to evaluate vendors and their programs. s

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cover story

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From competitors to colleagues

Looking at the human side ofEMC’s Data General acquisition,

more than a decade later

The dragonand the emerald

3ThEDGCLARiiOnfamily of midrange storage as it looked in August 1999.

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The dragon and the emerald

In the middle of his business trip on August 9, 1999, Bob Solomon was sitting in Seattle’s Sea-Tac Airport when he received the shocking call.

EMC—Data General Corporation’s arch-enemy—had made an offer to acquire his long-time employer.

It was fortunate that Bob was already at the airport. He had 20 minutes to catch the next plane back to Boston and begin supporting the pre-acquisition due diligence process.

Bob was Chief Technology Officer of Data General’s CLARiiON division, and he admits that he and his fellow DGers in the storage group had come to strongly dislike EMC during the previous several years. He’d been on the startup team that had created the groundbreaking CLARiiON storage array, its FLARE operating system, and its Navisphere management software. They’d grown the midrange technology into something that was competing head-on with other vendors’ best midrange products and occasionally even with EMC’s enterprise-scale Symmetrix family.

BoB SoloMon

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Frequently in the field, DGers battled EMC’s hard-hitting, albeit effective, sales tactics. At headquarters and in the labs, DGers fought EMC’s efforts to lure away their engineers to join what was rumored to be a hyper-demanding work culture.

Now this company was descending upon all 5,000 people at the Westboro, Massachusetts-based company, which had been Bob’s professional home for 12 years. His first thought as he headed

back east: “How long before I quit?”He didn’t quit. Today, Bob Solomon is the VP in

charge of leading EMC’s alliance with VMware. He’s also an EMC Fellow. Not only did EMC turn out to be a company far different from what he expected, but it also provided him with a rewarding career and a positive workplace environment.

“I get to work with a lot of smart people,” he says. “We are leaders who realize that we have the opportunity to change the direction of our entire industry for the better.”

Fellow DGers throughout the company echo Bob’s story as they look back from the place they now are happy to call home to an acquisition that left an indelible mark on their careers. Like Bob, hundreds of former DG employees (approximately 1,300, actually) not only remain employees of EMC, but they also are among its best and brightest.

“EMC gained a lot of its future leaders from Data General,” says Joel Schwartz, SVP and GM, Common Storage Platform Operations, himself a DG transplant. “They are people in key positions throughout the company.”

hEEDinGThECLARiiOnCALLWhile most Data General employees were stunned by their storage competitor’s acquisition offer, they

JoEl SChWaRTz

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had no doubt what had motivated it. EMC wanted Data General’s CLARiiON family of midrange storage systems.

The EMC Symmetrix line was supremely successful in the high end of the enterprise storage market. CLARiiON, conversely, offered inroads to the commercial segment and its tens of thousands of customers needing midrange storage.

For its part, Data General—a legacy of the minicomputer era—was struggling financially. Its executive leaders were in the market for a buyer, although they expected it to be equally likely that the company would be courted for its flagship AViiON family of non-uniform memory access (NUMA) servers as for CLARiiON.

The CLARiiON division, functioning like a startup within Data General, had reached revenue of half a billion dollars in its first five years. By 1999, CLARiiON sales were keeping the company afloat. But DG, as a whole, had posted a loss of $154 million in 1998. It didn’t have the R&D money available to take CLARiiON technology forward.

Meanwhile, just five miles down the road in Hopkinton, EMC was watching its revenues and stock price soar.

As the head of DG’s CLARiiON division, Joel had, for two months, been part of the tiny team of people from DG (code named “Dragon”) and EMC

(code named “Emerald”) who were quietly putting the deal together prior to the announcement. At the time, CLARiiON owned 7% of the midrange storage segment, while competitor Hewlett-Packard owned 45%. Joel acknowledges he had serious questions about whether enterprise-focused EMC could embrace CLARiiON.

His questions were answered in subsequent quarters. (These days, Joel still looks with enjoyment at the framed chart near his office showing CLARiiON’s ascent to the midrange segment’s number-one spot in Q105.)

Being part of CLARiiON’s success is one of the many things Joel has enjoyed at EMC, a company that has given him “the opportunity to open up new markets and new businesses, and to lead very fast-growing businesses—from a product perspective, a marketplace perspective, and a geographic perspective.”

RivALRiESAnDMiSpERCEpTiOnSThe DG acquisition remains EMC’s biggest ever in terms of the number of employees affected and the revenue in play. Calling the transition challenging is an understatement.

In the preceding years for Data General, EMC had emerged as the enemy, in large part because EMC’s sales force was aggressive—sometimes

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excessively so. EMC became the psychological target against which all of Data General could unite. “It always helps to have a nemesis, and they were it,” Bob says.

At DG, the animosity was expressed on posters, t-shirts, and in the media. Bob and Joel vividly recall the day they decided to run a full-page ad in The Wall Street Journal taking a jab at a statement they’d spotted buried in EMC’s Form 10-K filed on March 11, 1999.

In that 10-K, EMC had made the “mistake” of indicating it perceived DG as a competitive threat. The EMC statement excerpted in DG’s ad read, “The Company [EMC] believes that its major independent storage competitor in the UNIX and Windows NT markets is Data General Corporation.” The ad’s headline proclaimed, “Data General agrees with EMC.”

EMC’s singling-out of DG as its major competitor was an overstatement, Joel knew. But he wasn’t about to miss the chance to exploit it. While EMC never responded to the Journal ad externally, DG people savored hearing rumors that it had annoyed EMC’s executives.

However, even as DGers were enjoying their PR victory, EMC had already begun preliminary investigations into possibly acquiring DG.

“The transition was very different depending

on where you were sitting,” recalls EMC’s HR SVP Erin Motameni. As Data General’s VP of Worldwide Human Resources, she was charged with everything from finding out who might lose their jobs in the deal, to determining how people’s employee benefits would transfer.

Erin found EMC’s senior executives welcoming but sensed that certain EMC groups were skeptical: There appeared to be a perception that Data General employees would lack the almost pathologically intense EMC sense of urgency. “It was a feeling of hesitation that I perceived,” Erin says. “Sometimes, when you mentioned you were from Data General, you’d hear, ‘Oh ...’”

ERIn MoTaMEnI

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All incoming DG employees received EMC badge numbers beginning with the number seven. To this day, some former DGers do not wear their badges facing out because of the stigma they felt back then.

Then there was that DG perception of EMC that the HR specialists would have to help people overcome. “When someone would resign from DG to go to EMC, we always told them, ‘EMC is a sweat shop; they want your life,’” Erin says. “Then of course, when we were acquired, it wasn’t really an option for us to turn around and say, ‘Never mind. Everything’s going to be okay.’”

“Misperceptions existed on both sides,” says EMC EVP Frank Hauck, who oversaw DG integration activities following the acquisition’s close. “The fact is in those cases, we were both wrong about each other, but it eventually sorted itself out.”

FAST-TRACKTRAnSiTiOnMisperceptions aside, the sheer logistics of the integration were daunting.

Frank remembers finding it to be one of the toughest jobs he’s ever done. The task of figuring out who would be offered jobs and who would not was traumatic for him.

His work had started when, while on vacation,

he received a call from EMC President and CEO Mike Ruettgers requesting that he handle the integration. Within 48 hours, Frank set up a dozen or so functional leadership teams containing EMC and DG representatives and began holding meetings to work out the many, many details.

The transition was expected to take 6-12 months. It was completed in less than three.

3 � �Exactly thrEE months before news of its acquisition by EMC would come to light, Data General bought space in The Wall Street Journal to run this full-page ad on Monday, May 10, 1999. The ad draws attention to an excerpt from EMC’s Q498 financial results, issued in a 10-K report dated March 11, 1999, in which EMC had affirmed that its “major independent storage competitor in the UNIX and Windows NT market is Data General Corporation.”

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One group of DGers, however, found the transition especially difficult. The assimilation of the R&D engineers would be among the most challenging hurdles. While EMC’s executives had been extremely eager to hire DG’s engineers, the two companies’ engineering groups did not seem to mesh.

For many months after the acquisition closed, the Symmetrix and CLARiiON groups “just didn’t see eye-to-eye” on many architectural and

development-related issues, Bob says. CLARiiON engineers stayed in Southboro. There was little cross-pollination or collaboration. And, although it seems unbelievable now, many EMC engineers didn’t see merit in a midrange storage acquisition.

“We kept our distance from each other,” Bob says. “But eventually, people started realizing some really good ideas were coming out of both sides, that really talented engineers were working on both sides.”

Bob and Joel credit Joe Tucci, who had joined EMC as President and COO in January 2000, five months after the acquisition, with helping to create a cohesive culture that erased the barriers.

A year later, Bob, the ex-DGer, was named CTO of the Storage Products Operations organization. His group united the EMC CLARiiON, EMC Symmetrix, and EMC Celerra engineering groups. “We’d achieved mutual engineering respect for each other,” Bob says.

wEAThERinGunCERTAinTyDG’s Sales and Marketing employees faced a bleaker climate. Their talents were not as universally sought. The fact is, a lot of them weren’t offered jobs in EMC’s well-established sales and marketing force, Joel says.

Linda Connly was Director of DG’s Global Field &

lInDa Connly

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Healthcare Marketing team supporting the server division. She recalls feeling as if she was on the receiving end of pretty brutal attitudes from some EMCers at times—that DG people were “failing employees from a failing company.” She also was receiving little communication about the fate of her 50-person worldwide staff. So, she took a “somewhat successful” proactive approach. Linda began finding places for them herself by cold-calling her EMC counterparts.

After that, Linda says, she planned to leave the company. But the job market was deteriorating, so instead she took a staff job as Director of EMC Global Marketing Operations.

A short time later, she was surprised to be offered the job of Director of EMC Global Field Marketing. It wasn’t long before she discovered, first-hand, that EMC’s type-A sales culture was perfect for her. Linda went on to become EMC’s first female sales VP and a big fan of EMC’s work environment. She says now, “I love this company. It’s been a great opportunity. The culture matches me.”

Few people faced greater acquisition-related challenges than Bill DePatie, who is today VP of Hardware Engineering in EMC’s Information Infrastructure Products division. A 13-year DG veteran, he had been Director of Hardware

Development for AViiON in 1999. When EMC stated it would phase-out the AViiON line in two years (the earliest the terms of the deal allowed), Bill was faced with “ramping down a product we believed in and an engineering organization we were incredibly proud of.” The process did take two years, and morale issues were taxing to everyone.

But Bill and his nearly 200-person team found a silver lining: They possessed experience other EMC engineering teams sought—including, most importantly, experience developing platforms based on Intel’s x86 architectures. EMC was using Intel technology in the next generation of CLARiiON storage, and as AViiON ramped down, CLARiiON logic development ramped up. Working

BIll DEPaTIE

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with the CLARiiON organization and other engineering groups across EMC, Bill was able to find places for most of his team.

Bill later led the effort to converge EMC Celerra’s hardware platform architecture with CLARiiON’s, and he recently oversaw a similar architecture convergence with Symmetrix. In so doing, his team restructured and redefined hardware engineering processes company-wide for maximum efficiency.

Today, Bill leads a global organization that is developing all of EMC’s hardware platforms. And EMC is just where he wants to be. “I love an environment where I am constantly being challenged,” he says.

For Erin in HR, the contrast of her new job was stark. At Data General, she had dealt with a rollercoaster of layoffs over the years. At EMC, her challenge lay in recruiting skilled workers fast enough to support EMC’s skyrocketing growth. Erin oversaw the hiring of more than 7,000 people in her first year. After two years, she became a key player in the effort to build a new, centralized HR organization at EMC.

And in the years since, Erin has provided HR support to most of EMC’s major functional organizations. Two years ago, she became an SVP.

Most importantly, she says, she has worked to make EMC a better place to work. “It’s been

3 During thE 1999 secret negotiations, EMC and DG were code named, respectively, “Emerald” and “Dragon” by legal teams preparing the paperwork for submission to the U.S. Securities and Exchange Commission. The code names came from the letters in the two companies’ real names. The irony is that, by many standards of measurement, EMC was actually the formidable “dragon,” while Data General was the precious “emerald.”

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fabulous, though I wouldn’t have guessed so in those first rocky months. I am just delighted to work here.”

TECh-wRECKTiMEWhile groups inside EMC were integrating themselves, a massive outside force was about to finally break down the remaining barriers to

9 � �iDc’s tracking of “Worldwide Midtier External RAID Factory Revenue” shows the incredible market-share growth trajectory the CLARiiON family of storage systems experienced after EMC purchased Data General. (SOURCE: IDC Quarterly Storage Tracker, Q1 2005)

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EMC/Dell31%

hp26%

Q401

Q402

Q403

Q105

CLARiiON’s acceptance by certain parts of the company. The dot-com bust arrived.

Prior to the downturn, some members of the core EMC sales force seemed to have too little incentive to embrace the midrange CLARiiON products. The fact was, selling a relatively less-expensive CLARiiON array with its mid-tier software just didn’t bring in the high commission

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that a big “bells-and-whistles” Symmetrix deal did. The whole situation was becoming frustrating for EMC’s leaders.

But when the technology-sector bust occurred, many EMC customers shrunk their IT purchasing budgets. EMC’s sales force began to look enthusiastically at promoting the affordable CLARiiON; it stopped being seen as a “Hail Mary” move to make only when a Symmetrix deal stalled.

Finally, everyone had jumped on board realizing CLARiiON’s tremendous inherent value. CLARiiON, like a knight in signature pale-purple hued armor, was providing EMC with the chance of surviving years of harsh, industry-wide financial turmoil to come.

Joe Tucci supported the CLARiiON push relentlessly, re-engaging Dell as a CLARiiON strategic selling partner (EMC had ended CLARiiON’s old OEM relationships in the acquisition) and bolstering the CLARiiON R&D budget.

The lengthy downturn also showcased the efficient practices that DG’s survival-seasoned employees, accustomed to struggling with scarce resources, had brought with them to EMC.

whATwELEARnEDFormer DGers say EMC is today a company much

different from the ominous entity that threatened to derail their careers.

One thing EMC’s leaders learned, Joel says, is how challenging such an integration can be. “Although it’s easy for us to say we have no problem disrupting ourselves, it is actually a very hard thing for a company to do,” he says.

In the acquisition, EMC obtained fresh perspectives on how to architect, engineer, and manufacture products. And it learned—after enduring CLARiiON’s pointless two-year-long acceptance delay—how important it is to get sales teams to embrace newly acquired products.

Back then, EMC had no significant processes already in place to handle the DG acquisition. Today, it is proud to be a world-class expert in the art of integrating acquired IT firms. “If we were to do this today,” Frank notes, “we’d let an acquired company of DG’s size run independently for a while. We just didn’t know to do that back then.”

Joel says the company is “far more welcoming today to new ideas and business styles, and that’s helping us expand into new markets.”

EMC really does understand that it can’t solve every problem organically. It’s obvious: Just look at the incredible positive impact that the people of DG—and of all the subsequent acquisitions—have had. s

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cover story | part 2

Their storiesThey are making a difference, and they are doing it as members of the EMC team. Eleven years ago, however, each of the people on these pages was part of an equally tight-knit team at financially beleaguered Data General. They were facing being bought by a competitor some of them disliked and others knew little about. Here are their thoughts and recollections.

The man behind the curtain

“ I like getting into our executives’ heads and being able to illustrate their ideas.”

EMC Principal Graphic Designer ChuCKvEiTwas DG’s Manager of Pre-sentation Graphic Services. He remembers “the waiting, and the not knowing” as the worst part of the transition. “Being acquired is scary,” he says. “I had been at DG for 16 years and seen ups and downs and repeated layoffs; these took place almost annually, so all of us were al-ways concerned about our jobs. But an acquisition was far worse than any ‘reduction in force.’”

He had joined DG in 1983 and by 1999 was managing three employ-ees and several contractors in an overtaxed graphic department that supported the company globally. Chuck had too much work and too few resources, but he found the twin challenges of meeting deadlines and satisfying customers to be exciting. G

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23

Although many of his colleagues took severance packages following the acquisition, he decided to “see where this would lead.” Chuck began his new EMC job designing materials for EMC executives, and it took him months to adjust to having enough time and resources to perfect his designs. Now he gets to be “the man behind the curtain,” creating slides, posters, animations, graphics, and other creative ventures that present EMC to the world.

After 11 years, Chuck says he still enjoys the process of “getting into our executives’ heads” to turn their ideas into informative, visually compel-ling graphics.

“Every day is a new challenge,” he says. “You need to listen to what they say that they want, un-derstand what they really mean, and return some-thing to them that is better than what they asked for. And you have to do it again and again.”

Their stories

L

The right time

“ It happened at the right time. I was ready to take on new challenges.”

daV

id e

lmes IntrapreneurSTEvETODD, an EMC Distinguished Engineer, says

the acquisition by EMC happened at “the right time by the right company” for him.

Steve had been working on technology tied to CLARiiON and its prototypes and predecessors since arriving at Data General as a college co-op student in 1986. A long-time member of the CLARiiON software development group, Steve watched his or-ganization evolve from being “the least cool place to be at DG,” into the company’s most financially successful business unit.

After working on CLARiiON systems for so many years, in-cluding helping to create CLARiiON’s Navisphere management software, Steve says he was ready for new challenges.

Post-acquisition, despite living through the awkward transi-

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24

tion period for CLARiiON engineers, Steve says he was “thrilled with the work at EMC” and the op-portunities it presented to him. After six months of working in the CLARiiON group, Steve left South-boro to join EMC’s Advanced Development Group in Hopkinton.

“I was a storage guy, and I was working for the number-one storage company on the planet. And I

learned plenty,” Steve says. He also accomplished plenty, helping to create technologies including Centera Seek, StorageScope, PowerPath Data Mi-gration Enabler, and Centera Virtual Archive.

“I’ve had a lot of freedom to collaborate with literally hundreds of brilliant people,” Steve says. “I’m happy.”

Their stories

ROypOTvin, EMC Sr. Manager of Global Payroll, had been at Data General for 21 years when he received a call about the EMC deal while sitting on a Florida beach. He was a manufacturing materials manager then, and he was on a team implementing Six Sigma at DG.

According to the DG water cooler scuttlebutt he was hearing, if he were lucky enough even to be offered a job at EMC, he and his teammates wouldn’t last more than six months. “The presumption was that there weren’t a lot of synergies,” he recalls.

On that beach, Roy told himself, “Yikes, enjoy the va-cation, it may be the last for a while.”

But it turned out there were plenty of synergies for Roy. Not only did he find cultural similarities, but his

An opportunity-rich ride

“ The intellect level and the challenge-rich atmosphere here are very high.”

mic

ky b

aca

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Their stories

work ethic and job skills were an excellent fit.As a materials manager, he was well-versed in

using Oracle materials planning and procurement modules. EMC was embarking on a years-long project to implement Catalyst, an Oracle-centered enterprise resource planning (ERP) platform. Roy was recruited and experienced his “baptism by fire” at EMC.

Later, he was called upon to use his Six Sigma experience as a lead in a six-member EMC Pro-gram Management Office implementing Six Sigma. On the advice of long-term EMCers Rick Hirko, Scott Casavant, Joe Scott, John Curran, Irina Sim-mons, and Ed Golitko, Roy took a role in EMC Payroll and has climbed the ranks to oversee the employee payroll process worldwide.

“EMC gave me the opportunity to change and grow,” Roy says. “The fantastic individuals I’ve have had the pleasure of working with made the transition easier. It amazes me how good EMC’s current payroll organization is, how hard-working they are, and what an honor it is to be able to lead them. The intellect level and challenge-rich atmo-sphere here are very high; I like that.”

9 IN a CErEMoNy oN JaNuary 9, 2001, EMC donated DG’s first minicomputer—the still-operational “NOVA One”—to the Computer Museum History Center in California. Data General Founder Edson de Castro, with Henry Burkhardt III and Dick Sogge, had designed the NOVA. (l. to r.): Computer Museum Trustee Sam Fuller with Ed de Castro and EMC’s Joel Schwartz.

9 aT aN augusT 9, 1999, news conference, DG CEO Ron Skates (l.) and Mike Ruettgers announced the acquisition.

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Their stories

ROynAnJOnES, VP of EMC Global Ex-ternal Manufacturing, led the Purchas-ing Supplier Quality Group at DG’s Apex, North Carolina, manufacturing facility. She found the EMC deal to be “a pleasant surprise.” Operations un-der DG, she says, “were, to be honest, on life support.” EMC not only spelled salvation for the Apex site, but it had working relationships with many of the same suppliers that DG Manufacturing did.

While it took some time, EMC and

Data General manufacturing processes eventually blended exceptionally well. Today, the facility is a showcase of high-tech manufacturing.

Roynan, who had been with Data General for 15 years, stayed on in her purchasing director role at EMC, and she advanced in the Global External Manufacturing Group to become a vice president this year. As Roynan summarizes things, “I like the energy, winning attitude, and opportunities at EMC.” s

“I like the energy and

the winning attitude at

EMC.”

t DaTa gENEraL ran TV campaigns in the 1970s and 1980s; here is one of the slogans that appeared at the end of several ads.

A pleasant surprise

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corporate culture and integration

For an already-big technology company, strategic acquisitions are an important way to grow revenue. EMC’s purchase last year of data deduplication powerhouse Data Domain was a great case in point. But acquisitions are mainly about people.

SEAnLAMB: “It was exciting to be around here when EMC finally

ended up acquiring us, but there was still trepidation.”

out of many,one

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out of many, one

As a standalone company, Data Domain was the paramount provider of a game-changing technology called data deduplication, used to streamline backups of the ever-growing digital universe.

Data Domain’s acquisition in 2009 amplified EMC’s capabilities in this crucial area of informa-tion storage and management.

In turn, EMC’s marketplace clout and global reach helped boost Data Domain’s sales dramati-cally post-acquisition.

Acquisitions, however, are primarily about people. Making sure the employees of an acquired company fit smoothly into place at EMC, and mak-ing sure that EMC adapts to the new people and capabilities it has brought on board, is both an art and a science.

Getting this right (dozens of times now) has helped EMC maintain and enhance its leadership position in the world of IT.

But with the Data Domain acquisition, things were more convoluted than usual. And, it wasn’t long before the stakes got very high indeed.

TuGOFwARThe challenges that come with any major acquisi-tion can be significant. In this case, not only was EMC trying to buy an active, thriving competitor, but also, long-time storage rival NetApp was trying to purchase Data Domain for itself.

The very public nature of this battle for a gem of the IT world was complicating the process and prompting a spectator-sport mentality at tech-nology and business news outlets and across the blogosphere.

Some media reports asserted that the East Coast corporate culture EMC allegedly embodied would be incompatible with Data Domain’s Silicon Valley DNA.

A year later, though, it’s clear that a cultural merger between EMC and Data Domain has been achieved with surprisingly few glitches. The results are better than many people—including some people very directly affected by the situation—had predicted.

RuMORSAnDREALiTySean Lamb handles customer-reference responsi-bilities as a member of EMC Data Domain’s mar-keting group, which reports up to EMC’s Informa-tion Infrastructure Products organization. He says

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out of many, one

9 EMC used its strong balance sheet to acquire four in-novative growth companies in 2009, most notably Data Domain, whose deduplication technology identifies redun-dant files and data as they are being stored, providing a storage footprint that is 10 to 30 times smaller, on average, than the original dataset. Data Domain became the foun-dation of a new high-growth information infrastructure product division at EMC called Backup Recovery Systems (BRS). In the BRS division, Data Domain and Avamar each grew more than 100% as of Q110. (Although EMC pur-chased Data Domain in July 2009, this is a year-over-year comparison that assumes Data Domain had been acquired on January 1, 2009, and incorporates revenue reported by Data Domain during the period from January 1, 2009 through the date of its acquisition by EMC.)

he was worried about what the acquisition would mean for him. “Data Domain had been clipping along,” he recalls. “We were doing very, very well in the storage dedupe market. It was a rapidly grow-ing technology area. When both EMC and NetApp were looking at us, it quickly became an emotional roller-coaster for us employees.”

When that ride ended with a victory by EMC, things felt relatively better. “It was exciting to be around here when EMC finally ended up acquir-ing us,” Sean says. “But there was still trepidation.” Initial concerns over job security and questions about working styles plagued him and other Data Domain employees.

But for the most part, the integration has been different—and easier—than what he envisioned.

“We were all hearing the fuss being made at the time about ‘East Coast versus West Coast’ differ-ences. I still have not found them yet,” Sean says. Instead, he found Data Domain’s and EMC’s cul-tures to be similar. “Both cultures are very driven. We’d heard rumors that EMC was ‘buttoned down,’ but from what I observe, that characteristic actually only manifests itself in how intensely EMC people focus on what they want to accomplish. And, again, that’s very similar to Data Domain,” he says.

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out of many, one

Still, there have been changes. Since starting work at Data Domain in September 2008, almost a year prior to the acquisition, Sean had been working with customers to help them evangelize deduplication technology at their companies and articulate its benefits. “Now that all of EMC is involved,” Sean says, “I’ve noticed my meetings are much larger. At Data Domain, we sat with a few people in a room and hashed out something. Now we often have several times that number in the room, plus additional people participating by phone. It has been an eye opener. It also speaks to the massive resources of EMC.”

More people in a meeting often equates to more steps to accomplish a project. And, truthfully, if

Sean is creating a customer profile now, he must think broadly not only about the profile’s content, but also about who at EMC should review it. “The list has grown, and that introduces the usual tacti-cal problems. But at the end of the day, when more people are interested, I end up with a better cus-tomer profile with a broader spectrum of insights,” he says.

On the whole, Sean says, EMC made the transi-tion easy for the people of Data Domain, in part by giving them access to additional resources. He says, “There was a lot of help available to us after we learned to maneuver around EMC and make use of its processes.”

AnACQuiSiTiOniSDiFFEREnTFOREvERyOnEA similar tale of initial concern followed by re-lief, then real enthusiasm, comes from Principal Systems Engineer Devin Hamilton. Back in 2005, Devin, who is based in Washington state, became the twelfth sales engineer hired at Data Domain. He remembers that the company’s global sales force was so small in those days, everyone fit into one group photo.

Today he says, “An acquisition experience is dif-ferent for everyone. It might seem extremely trau-matic to people who had never before been caught

“An acquisition might seem extremely traumatic to people who had never before been caught up in a tech buyout or IPO. … But for the folks here who have been around this industry for years, the possibility of acquisition was always present.” — DEVIn haMIlTon, EMC DaTa DoMaIn

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out of many, one

up in a tech buyout or lived through an IPO. That’s absolutely reasonable; so much change is going on. But for the folks here who have been around this industry for years, the possibility of acquisition was always present.”

The fears people expressed early on never re-ally materialized, and Devin reports that the EMC teams he now works with are very professional. Being a part of EMC has had an impact on his work efforts.

“When I started at Data Domain in 2005, my territory consisted of two customer accounts and three deployed systems. It was pure startup mode; we were given our sales tools and sent out to ‘con-quer and have a good time.’”

Their work brought results. By the time Data Domain went public in 2007, two years before the acquisition, Devin’s region consisted of more than 200 customers running 400 dedupe appliances. Today, he focuses on eight of EMC Data Domain’s most prominent, well-known enterprise accounts.

From Devin’s perspective, EMC changed Data Domain in two ways, both of them positive.

First, he has a larger bag of offerings to solve customers’ problems, and that’s handy. “Our tech-nology is dynamic and appropriate for many chal-lenges, but in a number of deployments, I’ve found

that my customer requires other solutions in addi-tion to deduplication. I now have answers to basi-cally anything they may ask me for,” he says.

Second, being a part of EMC has been “sort of like signing up a giant, hugely proactive reseller,” Devin says. Pre-acquisition, Devin and one sales associate covered his whole territory. Now they provide their technical selling support to six differ-ent sales teams. “From a lead-generation perspec-tive, we could not have asked for a better boost,” he says. “We have all kinds of new opportunities in environments we had never tapped.”

The expanded sales teams are in the field, teeing up possible dedupe opportunities as they provide core storage product implementations. As a result of this accelerant, Devin is today penetrating ac-counts he’d spent years trying to crack.

“These days, I work with EMC people every day,” he reports. “And it is great. One of the best, most helpful things that happened to me from an inte-

One reason that the integration has gone well is that the two companies are equally serious about pursuing new business.

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out of many, one

gration standpoint is that an EMC person manages the team I’m on now. I just call to ask any question I have about EMC’s systems or software; I don’t have to hunt for answers. The core EMC folks we interact with are just as motivated as we are. It has been a great fit.”

The only thing Devin has found somewhat hard to get used to involves product demonstrations. “We used to have our own regional lab that we’d access remotely to conduct demos,” he explains. The process was especially useful in isolated areas where Devin could still connect to the lab via Data Domain’s virtual private network.

EMC IT security policy restricts the access, so he has had to leverage resources out of corporate in-stead. It’s the kind of thing that can lead to friction. But Devin accepts the situation philosophically, regarding it as just a part of doing business within a big corporation.

SECRETSTOSuCCESS“Differences of opinion may arise on occasion; that’s expected,” says Frank Slootman, former Data Domain CEO and now President of the EMC Back-up Recovery Systems division. “However, when you look from 90,000 feet at how this integration has unfolded, you see it has clearly gone extraor-

dinarily well. The amount of revenue acceleration has been unbelievable. This company’s dedupe business has essentially doubled in size already.”

One reason the integration has gone well is that the two companies are equally serious about the pursuit of new business. Says Frank, “There is no fundamental argument about that.”

Another helper came from EMC’s communica-tion platforms. Polly Pearson, VP of Employment, Brand, and Strategy Engagement, notes that ZD-Net and Harvard Business School have concluded that EMC uses some of the best social media practices of any FORTUNE 500 firm. “Our internal EMC|ONE platform in particular helps us invert the old command-and-control management approach and implode communication silos,” she says.

Devin says that as he and his colleagues have moved deeper into EMC, they have found many good people working throughout the company and established “a lot of first-rate, fast-growth-focused relationships.” He adds, “It helps that EMC had ac-quired many companies before ours. I feel that I’m working within a heterogeneous culture composed of many technologies, many regions, and many business practices, all trying really hard to move in synch. From what I see, EMC’s experience integrat-ing companies definitely paid off for us.” s

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going for the

in services

g ld

total customer experience

Olympic figure skaters don’t win gold if their jumps are excellent but their footwork and spins are mediocre. Delivering gold-medal services to customers requires a similar act of complete choreography. At EMC, “Management by Metrics” is aiding this effort.

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Going for the g ld in services

NO MATTER HOW good you are, you won’t make it to the winner’s circle if you don’t get everything right. That’s why the EMC Global Services organi-zation has been expanding its business intelligence capabilities.

Business intelligence—gained through consis-tent data collection and analysis—is how Global Services maintains and extends its top-ranked ser-vice position in the IT world. Global Services teams are checking with customers to make sure EMC is addressing what the customers care about. They are measuring and monitoring these relationships continually.

Gathering and using information about custom-ers, products, and processes to make service-de-livery decisions isn’t a new concept. What is new is how this program, called Management by Met-rics, is helping EMC Global Services to collect and analyze data more consistently, then to act on that data to make improvements.

EMC receives about 1.4 million service requests annually via voice, web, and automated phone-home alert. Analyzing what prompts these service requests and tracking when and how they are resolved is crucial.

It’s also complicated. EMC’s support infrastruc-ture today contains products from dozens of ac-

quisitions. Global Services teams are challenged by the sheer number, rapid growth, and breadth of the offerings. Just putting someone on a plane to go fix arrays is not logistically realistic anymore.

Not only were dozens of acquisitions resulting in a huge influx of products needing support, but also, many individual product-dedicated business units were the ones tasked with delivering the sup-port.

The process was disjointed. The whole situation simply wasn’t working well anymore. For the peo-ple of Global Services, providing consistently good service, regardless of product or region, was begin-ning to feel as if they’d expanded from managing one Olympic team to managing 25 of them.

This program, called Management by Metrics, is helping EMC Global Services to collect and analyze data more consistently, then to act on that data to make improvements.

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ThEMAnAGEMEnTByMETRiCSpROGRAMIn the past, when various EMC groups gathered information about service deliv-ery, each group would use its own ter-minology. Global Services, then, had to interpret all the incoming service-related information differently. It was difficult to collate and share information, much less use it to make appropriate process im-provements.

The Management by Metrics program was born in the form of a monthly review of key performance indicators (KPIs). A “dashboard” system for delivering that data soon followed. The dashboards let Global Services managers parse the data and review specific sets of measurements continuously or periodically.

SVP Tony Kolish, who oversees all of EMC’s Customer Support Services, recalls, “For a while at first, different business groups still ran their own dash-boards, and people kept disagreeing about which one was right.” Tony insti-tuted a policy to make just one dashboard official. Global Services would develop it, and it would be the only one referenced in


In Gartner’s MarketScope for Storage Services, North America, 2009, analysts Adam Couture and Bob Passmore wrote, “EMC has put considerable capital and effort into technologies to identify the controllable touchpoints of customer satisfaction.”

R AT i n G

strong negative caution Promising Positive strong

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reviews.Getting to that “one version of the truth” wasn’t

easy. Stakeholders repeatedly identified perceived problems with the information the new dashboard provided. Tony and his team kept revising, adjust-ing, and making the system work. Eventually, ev-eryone united around the Management by Metrics process.

Management by Metrics helps EMC’s service professionals take proactive, pre-emptive action when possible. And it helps them greatly in making fact-based assessments of service performance because it brings to light the perspectives of cus-tomers and internal stakeholders.

Tony says, “Management by Metrics has re-placed a collection of anecdotes with a service culture based on solid facts.”

Management by Metrics made a big difference for Gordon Winters, Sr. Director of Worldwide Technical Support for EMC Disk Library. That product has been available since April 2004, and Gordon’s team was witnessing product-maturity issues generating service calls.

“At first, we simply deployed more people to solve immediate problems,” Gordon says. “But as time went on, the Management by Metrics busi-ness intelligence data helped us understand the

problems better and deploy staff more efficiently. We could establish priorities by zeroing-in on cus-tomer expectations, and things like our time-to-respond numbers and overall service-level objec-tives.”

The business intelligence data also revealed that Global Services could be more effective when reaching out to Engineering during an incident es-calation. “We weren’t getting to them fast enough and weren’t helping them really understand what we were doing and why,” Gordon explains.

The Management by Metrics dashboard docu-ments specific problems and reveals problem pat-terns. That sets the stage for genuine teamwork. Gordon says, “With the new kinds of data we’re seeing, we clarify what kind of Engineering support


When a field service team figures out a good way to fix a particular problem, that resolution is easier to identify now. And the fix that the team finds is easier to roll-out to all of EMC Global Services.

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we need quickly, and we escalate issues to the ap-propriate people faster. It has been truly transfor-mational.”

SEEinGThROuGhACuSTOMER’SEyESAlthough far more complex and sophisticated, EMC’s overall approach to service is to some ex-tent comparable to the approach used by cable television companies. It’s a tiered methodology ranging from online self-help for simple issues, to a call center with operators who can solve more thorny troubles, to field service specialists who travel to solve the most complicated problems. (Although make no mistake: EMC’s service profes-sionals aren’t “cable guys.” They are skilled experts in some of the world’s most advanced and chal-lenging technical specialties.)

What EMC is doing differently now, explains Frank Coleman, Director of Operations for Cus-tomer Service, is focusing itself even more actively on the customer’s viewpoint. Specifically, it is refining its metrics to ensure that EMC’s customer service processes really do meet that customer’s needs.

“If a customer has a service complaint, we evalu-ate it and validate the concerns right away, and we determine if it’s a one-off event or a full-blown

trend,” Frank says. “The point is to concentrate on the important things.”

Customer Support Services used to look only at how long a case sat in its service queue when measuring its “initial response” metric. Now the organization is measuring things more specifi-cally (for example, quantifying exactly how long it took to call that customer back). They want to see things through the customer’s eyes, and Manage-ment by Metrics has given them a whole new set of measurements of that customer’s viewpoint on progress being made.

“This is something that can help us to achieve continuous improvement on the business as well as the metrics,” Frank believes. “As the business changes, so do the metrics: The metrics evolve with the business and according to customer feed-back.”

For 2010, the focus is on using Management by Metrics to improve what’s known as “time-to-relief” even further, scrutinizing more deeply the speed at which Customer Support Services solves customers’ problems.

Management by Metrics boils down to gather-ing just one set of consistent metrics across field support and remote support, and across product families, business units, and geographies. It’s a


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comprehensive view of all of EMC’s support in-teractions for all products owned by a particular customer and installed across all that customer’s locations worldwide.

It’s also fairly flexible. The dashboard has turned out to be adaptable in providing details to support the decisions that people in the Global Services organization must make.

Management by Metrics also promotes service innovation. Specifically, when a field service team figures out a good way to fix a particular problem, their solution is easier to identify through the met-rics now. And the fix that they found is easier to roll-out to all of Global Services.

The system’s dashboards display plenty of infor-mation: service demand levels for individual prod-ucts, alignment with customer satisfaction survey results, comparisons with industry-standard sup-port metrics, and so on. Global Services managers conduct monthly reviews of the dashboards by product, region, business unit, and other parame-ters. They make sure the metrics they have are the right ones to collect, and that results are trending in the right direction.

All of EMC’s big, global accounts have custom-ized dashboards, and Global Services creates other individual customer dashboards as needed.

One of the most innovative features of Manage-ment by Metrics is its early warning system. By proactively monitoring customer-specific data, it will predict the likelihood of escalation for a service issue and will trigger the necessary intervention proactively. This capability definitely keeps cus-tomers happier and reduces costs for EMC.

LOOKinGGOODEMC regularly compares itself against industry benchmarks and finds that its service quality ex-ceeds benchmarks in many areas measured by the Technology Services Industry Association. (TSIA is an influential organization formerly known as the Service and Support Professionals Association, or SSPA.)


Stakeholders identified perceived problems with the information the new dashboard provided. Tony and his team kept revising, adjusting, and making the system work. Eventually, everyone united around the Management by Metrics process.

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39


EMC Support Center operations also undergo an annual Service Capability & Performance (SCP) audit. In 2009, EMC once again exceeded that au-dit’s compliance requirements as well as the SCP community’s benchmarked average.

The industry analyst community has been taking notice. EMC received a “Strong Positive” rating in last year’s Gartner report MarketScope for Storage Services, North America, 2009. Of the 11 vendors evaluated for that report, EMC received the high-est possible rating and was one of only two com-panies to do so.

And on May 5, at the Technology Services World Conference in Santa Clara, California, TSIA pre-sented its prestigious 2010 STAR Award for “Best Use of Metrics & Business Intelligence” to the EMC Global Services Management by Metrics initiative.

Another long-term plus: Management by Met-rics is helping to support a global training and mentoring strategy at EMC. “We’ve been able to train more of our colleagues in India, China, and Ireland in the use of these metric tools,” says Bill Foniri, Sr. Director of Finance and Business Opera-tions for EMC Global Customer Service.

Frank says, “Management by Metrics is becom-ing what I call a ‘plug in’ system, so, as EMC ac-

quires companies or adds new products into the offering set, we’re plugging the products directly into the service-measurement system at the same time.”

Global Services managers know they still have more work to do regarding time-to-resolution and how they interact with Engineering to enhance quality. “But from a service-delivery standpoint, based on the customer satisfaction numbers we’re seeing, we’ve already achieved some tremendous accomplishments,” Bill says.

Once, too few people really knew where the information used to measure service success came from. And they didn’t know if they were seeing a complete picture. Now, there are no “secrets.” Says Tony, “We have consolidated around one source of truth. This is vitally important to us. Having fact-based assessments enables us to be more trans-parent, and it is profoundly changing the dynamics of how we relate to customers and stakeholders.”

The end result should be higher, more consistent scores worldwide that translate into “marketplace gold.” s

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total customer experience

a virtual boonto EMC Global Services

EMC Virtual Services Delivery

Q EMC Global Services Associates

at the Giza Necropolis on the outskirts of

Cairo. These EMC Egypt COE employees

are among the participants in the

joint program between TSS and CSS.

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HoW MANy TIMES this year have you heard, read, or used the word “virtual”? Well, you’re going to read it again, but this time, in a context rather different from the norm.

In the past year, EMC has been increasing its commitment to Virtual Services Delivery, or VSD. This is not a technique for storage or server virtualization. Rather, it is a technique for providing services to a customer by blending together and delivering help that comes from both onsite and offsite EMC experts.

A services team from EMC Global Services cre-ates each custom support plan, consulting project, and implementation plan. They assemble appropri-ate onsite people and remote people and resourc-es located around the world.

It’s a classic win-win situation. Customers gain access to a larger reservoir of EMC service tal-ent for less money. EMC, meanwhile, makes more efficient use of its service experts and resources company-wide.

For EMC Customer Support Services SVP Tony Kolish, implementing VSD was a “no-brainer.”

During a business trip two years ago to Banga-lore, India, he had an “ah-ha” moment. On his way to EMC’s offices, he gazed up at the long rows of gleaming office buildings housing large-scale cus-tomer services operations for IBM, Oracle, Micro-soft, and other high-tech giants. “I thought about how far the IT industry has come in Bangalore and in cities like it around the world,” Tony says. “I thought about how the service skills of the people in these cities have become so advanced. Then I

a virtual boon to EMC Global Services

By The NUMBerS during Q110, the emc tss global Virtual services delivery team steadily increased the number of hours it was allocating to customer projects. it ended the quarter with 18,582 hours of services delivered, an increase of 27% from the prior quarter, surpassing the team’s worldwide goal.

,

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had the feeling EMC was somewhat exposed.”Large IT corporations, including some EMC

competitors, were using the great talent present in Bangalore to deliver services remotely to their cus-tomers across the globe. The competition had dug in aggressively, taking advantage of Bangalore’s vast pool of IT services expertise.

Tony says, “We were not as far along as those other companies, which meant we couldn’t offer the pricing efficiencies for IT service engagements that they were offering. If we didn’t close the gap, we’d be unable to compete effectively.”

OnEGLOBALTEAMEMC was a little late to the party, but it was defi-nitely in a good position to be knocking at the door. The company’s Centers of Excellence (COEs) and other centers around the world are home to an impressive, constantly growing pool of technical, customer support, and operational talent—people who are steeped in EMC technology.

This is global-scale service delivery, not out-sourcing. Says Tony, “We began building out the Virtual Services Delivery program with EMC em-ployees. We have a great ecosystem of technical support inside our COEs. It made sense to connect VSD to that existing ecosystem; our company has


n �EGYPT : This team of EMC customer service technicians are part of EMC Global Services. Based at the new EMC Cairo Center of Excellence, they are part of a close-knit yet worldwide community of employees dedicated to providing great support to EMC customers.

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such a proud legacy of support. We did not want to risk inserting lots of outsourced service workers who might not fully understand that legacy.”

Christine Lundberg, EMC Sr. Customer Support Manager, reports that teams of customer service technicians in Hopkinton, Cairo, Germany, and in Pune in India, are now working together to deliver

service virtually and are helping each other sharp-en their technical and managerial skills.

“I think this is also stretching our own capabili-ties as managers,” she says. “When you’re working with someone remotely, you have to focus a little more on team building and on sharpening your people-management skills.”


vSDBOOSTSATEAMTOThETOp

Like the universe, the AT&T U-verse project is huge and constantly expanding. Since December 2004, a team from EMC has been helping AT&T deliver a better television experience than cable and enhance phone, video, and high-speed Internet interfaces.

In those years, the EMC team has been one of dozens of AT&T partners working to keep up with the many new technology releases and the 25 interfaces requiring maintenance.

In early 2009, AT&T signaled it was looking for more cost efficiency than its then-primary project vendor, a global communications software/services firm, could provide.

EMC was ready to help. “By moving some of our work to seven people in Bangalore, we were able to offer AT&T better rates for the same work,” says EMC Account Partner Mike Souder, who super-vises the relationship.

That ability ultimately prompted AT&T to name EMC as the new U-verse prime vendor.“The miracle was that there was no delay in the transition, considering the magnitude of this

project,” says Nabil Twyman, EMC Lead Analyst. “Team-building is something we do really well, and that made all the difference.”

So where does the project stand with EMC sitting atop the team? “The customer just renewed. They love us,” Nabil says.

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SOMEBEnEFiTSThe VSD process significantly reduces response time, eliminates service-request delays, and ensures that the right resources are supporting the customer.

Judy Capra, Sr. Director of the Global CSS Ionix and CST organizations, says, “Every minute we save is a minute we can give back to the customer and to our team of customer service technicians.”

Instead of having to ask for information, a customer service technician (CST) spends his or her time offering higher-value assistance such as collecting logs for the customer.

Algorithms then assign and route an incoming service call to the most appropriate queue. In some cases, an engagement might be all onsite, all remote, or some combination.

The VSD model helps customers by reducing their onsite service expenses, and it allows EMC to schedule services to better meet a customer’s needs—for example, scheduling a process to occur at night or on a weekend to minimize downtime, or to start a process sooner remotely instead of having to wait until an appropriate onsite resource becomes available to visit the customer.

RiGhTpEOpLE,RiGhTpLACE,RiGhTTiMEEMC Presales team members formulate a cus-tom plan; they have access to EMC Technology Solutions & Support (TSS) and EMC Consulting teams all over the world. That helps them build a plan with a perfect blend of talent and service approaches. And the fact that the remote service teams are stationed globally results in a faster ser-vice response to customers operating in faraway locales.

John Salerno, Operations Director for the EMC New York/New Jersey Enterprise Division, notes that complex service projects are especially well-suited to the VSD process. In fact, “the area where a blended service model probably makes the most sense,” he says, “is with these long, complex proj-ects where the customer and the EMC team have a chance to get comfortable with each other and with the blended service-delivery model.”

Many customers in John’s region already are quite comfortable with VSD. One of them, a global financial institution, specifically requested that re-mote service delivery from EMC be included. John says, “To a customer like this, competitive pricing and value really matter. A service mix incorporat-ing some remote services offers them the value they’re looking for.”


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“VSD represents an incredible opportunity for us to provide a great Total Customer Experience,” says ML Krakauer, SVP of EMC Technology Solu-tions & Services, Storage Managed Services, and Presales. “In many parts of the world, we previ-ously didn’t have the ‘critical mass’ of personnel to support our full portfolio of products. With VSD, we’ve gained that critical mass. VSD gives a tremendous boost to our service capabilities for customers operating in Africa and the Middle East, for instance,” she says.

Ian Arthur, Director, EMEA Global Sourcing & COE Egypt TSS, is familiar with what customers

in those parts of the world need from EMC. “Sure, we all know the importance of managing costs,” he says, “but VSD also allows us to assist in our resource-management journey to get the right per-son in the right place at the right time. We haven’t always been able to do that in some parts of the world.”

COMinGFROMBEhinDTOwinThe gap between early arrivals to the VSD party and EMC is closing. In Q110, the company’s total global hours allocated to VSD projects increased by 27% over Q409.


STARTinGThEpROCESS

When a customer needs service help—to migrate data, architect a backup platform, build a private cloud, and so on—an EMC Presales team member first submits a Global Services Engagement Request Form. The standardized form, available in the Forms section of Outlook, is a valuable assessment tool, says Bangalore-based Madhulika Karan, Sr. VSD Program Manager. “That form, by itself, has been a huge step forward in giving us the information we need to bring in the right services,” she says.

The form automatically routes to EMC’s TSS VSD team in Bangalore. It provides the information that TSS needs to blend service delivery properly, including the customer’s products, location, type of call, and first contact point.

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Customer AT&T considers it vitally important that EMC construct a team to deliver a blend of onsite and remote services. When seven EMC Consulting employees in Bangalore joined together to provide the remote EMC Consulting VSD ser-vices for an AT&T project in the U.S. (see sidebar on page 43), Nabil Twyman, EMC Lead Analyst on the project, wanted to ensure that a possibly sharp learning curve and lack of personal relationships with the onsite EMC Global Services staff wouldn’t delay anything. “So, some of us on the team made


n INDIA: A majority of the EMC India Global Services team pose in front of the EMC Center of Excellence in Bangalore, India. This group includes employees representing EMC Customer Support Services, EMC Consulting, EMC Technology Solutions & Support, EMC Presales, and the EMC Residency Program.

the trip to Bangalore to speed up the knowledge transfer and relationship building,” Nabil says. “We’ve built a strong team that is achieving real success.”

EMC is now competing on its own terms. “First, we had to emphasize VSD simply to close the gap with competitors,” says Tom Roloff, SVP of EMC Consulting. “As we accelerate the shift, we’re using the quality of our work and our talent to add ser-vice offerings, delivered virtually, that competitors just don’t have.” s

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time and space

new technology

Centera Virtual Archive will help to redefine the data center

THE RECORDS OF a little girl’s visit to the doctor today will become part of her life-long digital medical history. But decades from now, the healthcare environment will be quite different.

Your home mortgage may take 30 years to pay off, but that data also will exist on a digital archive well beyond the loan’s expiration.

These days, all sorts of transactions live for decades, and the organizations han-dling them may operate across multiple regions or countries. Healthcare networks, banks, and many other enterprises are contending with an onslaught of digital information that will need years of protection while remaining accessible across sometimes-considerable distances.

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, ARCHIvING ACROSS THE POND EMC Corporate Systems Engineer Zeeshan Khan talks about the bright future of Centera virtual Archive. The floor demonstration in the Technology Pavilion at EMC World 2010 in Boston represented a Centera system “in London” and another unit (rear) “in New York.” The setup simulates how EMC Centera virtual Archive technology will meld two physical Centera systems located in two faraway cities, creating one virtual archive.

Fortunately, a new EMC Centera layered soft-ware offering is taking significant steps toward us-ing virtualization to meet these types of long-term, long-distance archiving demands.

Unveiled in December 2009, the offering, called Centera Virtual Archive, enables customers to federate, or meld together, a collection of physical Centera systems, then manage them as one.

Centera Virtual Archive 1.0 layers on top of Centera CentraStar firmware. It clusters together the multiple physical systems into the single

tamper-proof, campus-wide Centera Virtual Archive.

This product lets users manage four Centera clusters as one; it lets them use two-terabyte drives in their nodes, and it lets them deploy the hardware in a manner that achieves maximum space and power efficiency.

The first-generation software is designed to deploy a virtual archive across a campus of data centers operating on one local area network (LAN). It is expected that upcoming versions will

Conquering time and space

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enable customers to create virtual archives across wide area networks (WANs) spanning thousands of miles.

That will be a truly significant IT breakthrough; however, Centera Product Marketing Manager Steve Spataro says Centera Virtual Archive 1.0 is already groundbreaking. “People are talking about virtual storage. For data archives, Centera Virtual Archive is delivering.”

Centera CTO Mark O’Connell, the technology’s chief architect, believes these virtual archives will help customers meet the size, scope, and scale of where archiving is going. “Centera Virtual Archive aligns with the trend we’re seeing: more and more content being digitized—government documents, medical and financial records—your life since you were born,” he says.

ChAnGinGnEEDSCentera content addressed storage (CAS), more commonly referred to as object-based storage, provides “digital fingerprinting” that ensures an original stored record hasn’t been altered. When EMC Centera, the world’s first CAS system, surged onto the scene in 2002, customers chose it over tape or optical storage because they wanted faster information access, more reliability, and a better total cost of ownership from their archives of

unchanging or infrequently changing information (such as their e-mails, mortgage records, legal documents, or medical records).

Until now, though, if a hospital, bank, court district, or police department was archiving data to several physical Centera units, they couldn’t link those archives to each other.

Furthermore, if customers wanted to install additional access nodes or storage nodes within their existing Centera units, they also had to upgrade the boxes to the latest version of the Centera CentraStar operating system. That requirement contradicted EMC’s goal of allowing Centera customers to “set it and forget it.”

A Centera Virtual Archive solves those issues, clustering the systems regardless of which CentraStar version is running. That makes capacity upgrades easy. A virtual archive could conceivably handle “practically unlimited expansion, including expansion over decades,” according to Peter Thayer, Sr. Director of Product Marketing in EMC’s Unified Storage organization. “Customers want to know that their data will be retrievable always.”

Steve adds, “The old technology would meld with the new technology. Don’t be surprised if someday you come across a vintage 2005 Centera, a vintage 2010 Centera, and a vintage 2015 Centera all working as one archive.”


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upnExT:ERASinGGEOGRAphiCBOunDARiESMany organizations have multiple physical loca-tions. For example, a healthcare consortium may operate three specialty clinics spread across one large medical office park, with each clinic archiving its own patients’ records.

Right now, Virtual Archive 1.0 allows doctors working at any of the three clinics to tap simultaneously into the archives sitting in all three clinics’ data centers, spread across the office park, connected by the LAN.

Soon, we’ll see international organizations cre-ating virtual archives that span the globe. In fact, it’s possible to purchase this solution right now via the submission of a Request for Price Quotation, known as an RPQ.

EMC Centera Engineering already has built and deployed a virtual archive test-bed that connects Russia, India, and the United States. In the Technology Pavilion at EMC World 2010, EMC demonstrated to customers a similar long-distance configuration connecting an archive in London with an archive in New York (see photo page 48).

The long-distance capability will open up new use cases for Centera, Peter says. For instance, a Japanese bank may want to share certain archived data across all of its German branches with its

other European Union locations, yet share different archival data with its Tokyo headquarters.

And, in China, healthcare facilities in metropoli-tan areas that are undergoing tremendous growth will need their digital medical records to be con-nected across thousands of miles.

Centera Virtual Archive has the potential to serve so many kinds of customers—from 25-bed local hospitals or community banks, to the world’s biggest international financial giants.

Being able to link data archives across the globe and use a single interface to manage them all will be “nirvana” to archive applications that require physical flexibility, says Bob Thibault, VP of Centera Global Engineering.

Already, Centera Virtual Archive 1.0 is a big help to customers on their journey to the private cloud. A virtual archive purpose-built to protect an organization’s unchanging data provides easy management and flexibility right where a customer needs it. And the assurance of content authenticity—always Centera’s hallmark—remains as big a selling point as ever.

This virtualization technology extends EMC’s already solid leadership in the object-based storage segment and enhances Centera’s value to customers. s


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corporate sustainability

at EMC apex, an award makes Earth Day even more meaningful

Thankstoateameffort,EMCApexnowholdsthehighestlevelpossibleinnorthCarolina’sDEnREnvironmentalStewardshipinitiative.

Environmentally focused employees of EMC North Carolina had extra reason

to celebrate this year

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agency named the EMC Apex manufacturing facility a 2009 Environmental Steward.

Environmental Stewards are organizations that demonstrate leadership through a commitment to exemplary environmental performance beyond what is required by regulation. Says Tim, “It’s great to get this recognition for the hard work everyone has done.”

ALwAyS-GREEnERBAnGALORE

Nearly 9,000 miles from North Carolina, the sustainability superstars at the India Center of Excellence in Bangalore keep finding more and more ways to reduce and recycle.

Employees wrote a custom car-pooling application to help commuters find coworkers with similar interests who live nearby. Within days, more than 100 people registered.

In March, staffers refurbished 20 laptops and donated them to Youth for Seva, a Bangalore-based nonprofit dedicated to inspiring young people to volunteer.

The whole COE participated in Earth Hour 2010: After ensuring operations wouldn’t be affected, they doused lights in all areas for two evening hours.

THERE COULD HARDLY be a better observer of the culture of EMC North Carolina than Quality Manager Tim Fasolt, who’s worked there since 1979. And, according to Tim, “We’ve always had a tradition of environmental awareness around here.”

Recently, the North Carolina Department of Environment and Natural Resources (NCDENR) formally acknowledged that dedication. The

Earth Day at EMC apex

qg!

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whATThEEMpLOyEESiMpROvEDEMCers at Apex love a challenge. They responded immediately when the site’s senior leaders decided to seek a Stewardship designation.

Bob Hawkins, VP of North Carolina Operations, appointed Tim “green czar,” asking him to work with the Facilities team and other groups to examine what Apex people were doing. Together, they uncovered opportunities for improvements.

Tim says, “A nice thing about the NCDENR Environmental Stewardship Initiative is that the program assesses measurable progress. We’d always been committed to reducing waste and didn’t have a lot to clean up, but we could improve some areas,” such as:

• Reducing electricity use . Reduction achieved: 30% from 2006 to 2010.

• Reducing the site’s carbon footprint by decreasing business travel/commuting and promoting videoconferencing and flexible work schedules. Fuel-use reduction achieved: 84% from 2007 to 2009.

• Reducing water use . Reduction achieved: 13% from 2006 to 2008. (Slightly more water was needed in 2H09 to irrigate 2.6 acres of newly recovered green space.)

• Increasing recycling rather than sending material to landfills. Recycling increase achieved:

345% from 2006 to 2010. • Reducing paper use . Reduction achieved: 43%

from 2008 to 2009.

Bob Hawkins says, “We appreciate how important environmental sustainability is, and we intend to keep reducing our impact, both within our community and throughout our supply chain.”

MORETOCELEBRATEIn June, EMC Apex should pass the final audit certifying its compliance with Occupational Health and Safety Assessment Series (OHSAS) 18001—the internationally recognized specification for occupational health and safety management sys-tems.

Bryan Murray, EMC Sr. Health & Safety Engineer for the Americas, says, “At that point, all our big manufacturing facilities—Franklin, Cork, and Apex—will be certified. We’re showing our customers and our communities how much we care about following health and safety standards.” Bryan and his team have analyzed 160 processes to identify possible sources of injury before anything happens. He says, “It’s the best way to ensure our people stay safe.” s

Earth Day at EMC apex

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coming up in the next issue

EMC.now

A program called WorkWise: To gain first-hand experience with the pros and cons of working remotely, every employee in EMC’s Storage Product Marketing department worked from home, a café, or another non-office locale for a week. They were required to collaborate with each other while remaining offsite, too. This core EMC organization had been resisting the idea of “working from anywhere,” so in order to get comfortable with it, they immersed themselves in it.

Plus, Finca Vigía: The Hemingway Project. It’s an important preservation effort in Cuba, and it is getting help from the EMC Information Heritage Initiative. We’ll explain EMC’s support in the larger context of the company’s commitment to preserving information.

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EMC.now Magazine - Q2 2010

Technology

Transcript of EMC.now Magazine - Q2 2010