1. Enabling Business Resilience Andrew Gill BCRS Country Leader, Mobily-IBM Alliance April 23, 2014

2. 2 Agenda The Business Continuity/DR Marketplace - Risks, Impact and Cost to your Business - Saudi market and Customer Concerns Our Business Continuity Services Portfolio Consulting.what is it about ? Readily Available Solutions for you - SmartCloud Managed Backup - SmartCloud Virtualized Server Recovery Customised DR Solution Example Closing Thoughts 20th April 2014 3. Source: Contingency Planning Research, Inc. and IBM Many events cause business disruptions & can be costly Frequency of occurrences per year 1,000 100 10 1 1/10 1/100 1/1,000 1/10,000 1/100,000 US$1,000 US$10,000 US$100,000 US$1,000,000 US$10,000,000 US$100,000,000 FrequentInfrequent Consequences (single occurrence loss) in dollars per occurrence Low High Viruses Worms Disk failures System availability failures Pandemics Natural disasters Application outages Data corruption Network problems Building fires Terrorism/civil unrest Data driven risks Event driven risks Business driven risks Regulatory compliance Workplace inaccessibility Failure to meet industry standards Regional power failures Governance Source: IBM Data growth Long term preservation Mergers and acquisitions New products Marketing campaigns Audits 4. IT outages from any unplanned event has significant impact Drop in stock price Lost deals Disruption of cash flow Lost discounts Missed payments Company reputation Damaged relationships with customers, suppliers, partners, or investors. Direct revenue losses or loss of future revenues Losses due to investments not made Temporary staff Travel expenses Equipment rental Employees who cannot perform their jobs Missed deadlines Inability to meet compliance requirements Finances Loss of reputation Revenue Miscellaneous costs Productivity Regulatory The impact of lost data or unplanned downtime can be catastrophic, resulting in lost revenue, reputation and competitive position. What is the Impact to YOUR BUSINESS and to YOUR CUSTOMERS ? 5. The Economics of IT Risk & Reputation IBM Global Study on the Economic Impact of IT Risk Measures the financial and reputational consequences of business disruptions caused by business continuity or IT failures. Over 2300 respondants from 37 countries and 20 Industries. Helps determine the resources that should be invested in to prevent or minimize such IT failures in future. Critical in making the business case to the C-suite for elevating the priority of business continuity activities getting budget 70% to 80% of Saudi Businesses have no Disaster Recovery Plan Accepting the business is at risk should an IT failure or event occur Quantifying impact to the business and building a business case The Challenge 6. Sizing Business Continuity - how long? how much? how likely? Lasts 19.7 minutes Lasts about 2 hours Lasts about 7.5 hours Costs 198k SAR per minute Costs 143k SAR per minute Costs 116k SAR per minute Minor event Moderate event Substantial event chance of happening* 69% chance of happening* 37% chance of happening* 23% *over the next 24 months 3.8m SAR 16m SAR 53.6m SAR 7. The Economics of IT Risk & Reputation What is the financial impact of not having a DR ? Below is the allocation of costs determined by assigning 100 points for minor, moderate and substantial disruptions. $ A $ B $ C $ D $ E $ F ---------- $ Impact BCRS Solution $ Value 8. The Economics of IT Risk & Reputation Threats / the Budget We center our conversation with you on these main items when helping to build the Business Case Our Business Resiliency & Disaster Recovery solutions help our customers mitigate these threats 9. 9 Agenda The Business Continuity/DR Marketplace - Risks, Impact and Cost to your Business - Saudi market and Customer Concerns Our Business Continuity Services Portfolio Consulting.what is it about ? Readily Available Solutions for you - SmartCloud Managed Backup - SmartCloud Virtualized Server Recovery Customised DR Solution Example Closing Thoughts & ACTIONS 10. What are the key concerns for having Business Continuity ? Cannot afford downtime and need reliable and fast recovery time for key applications Want to avoid up-front IT investments for recovery infrastructure Have skill and resource limitations to deliver DR/business resilience project in house Want to have known fixed and manageable costs each month for a DR solution Interested in, but need help integrating cloud into disaster-recovery plans (DRaas / DR in the cloud) The need to balance risk tolerance and affordability with risk exposure 11. The Saudi Business Continuity / DR Marketplace Most companies are protecting their data by having a data backup Backup defined as being reliable although no real evidence that it works 70-80% organisations have no Disaster Recovery Challenged with finding a suitable 2nd site (location/cost) IT environments are a mix of vendors and platforms, physical/virtual Customers challenged with building a business case for Disaster Recovery in order to secure budget Commitment only when there is a Compelling Reason to Act (CRA) - Incident 12. 12 Agenda The Business Continuity/DR Marketplace - Risks, Impact and Cost to your Business - Saudi market and Customer Concerns Our Business Continuity Services Portfolio Consulting.what is it about ? Readily Available Solutions for you - SmartCloud Managed Backup - SmartCloud Virtualized Server Recovery Customised DR Solution Example Closing Thoughts & ACTIONS 13. Over 160 resiliency centers across 70 countries More than 50 years of business continuity and disaster recovery experience More than 1,800 professionals dedicated to business continuity and resiliency, complemented by 400,000+ IBM employees and IBM Business Partners IBM BCRS is a leader in Business Continuity marketplace More than 9,000 disaster recovery clients Four million square feet of floor space for disaster recovery, with 32,000 work area seats IBM delivers global expertise and Mobily local knowledge 100 percent success meeting clients contract commitments who have declared a disaster (over 950) More than 10,000 client rehearsals per year OUR CUSTOMERS are not alone We have solved many DR challenges elsewhere 14. Forrester Research ranks IBM as Global DR market leader Accenture CSC Deloitte EMC Ernst & Young Forsythe Technology HP IBM BCRS1 KPMG PwC SunGard Verizon Business Wipro Business impactanalysis Riskassessment Strategy&plan development GlobalCapabilitiesand Reach Technology/SI partnerships Testing Reporting&metrics Maintenance&support Certification,audit& assessmentservices Staffinglevels& expertise Basic Good Very good Excellent Forrester: Source Business Technology Resiliency Capabilities, September 13, 2012 1Business continuity and resilience services Benefits to YOUR CUSTOMERS Solutions to match your needs - flexibility Proven delivery track record - Implemented and manage numerous DR projects Readily available intellectual capital speed of execution Pool of specialist resiliency expertise available and skilled Being an IBM Customer - demonstrates commitment to becoming resilient to your stakeholders & students 15. Business Continuity & Resiliency Services Offering Portfolio IBM Resiliency Consulting Services Assessment Planning and Design Implementation and Testing IBM Smartcloud Resilience IBM Smartcloud Managed Backup IBM SmartCloud Virtualized Server Recovery IBM SmartCloud Content Management (Archive) IBM SmartCloud Application Resilience IBM Infrastructure Recovery Services Work Area Recovery Rapid Recovery IT Recovery IBM Managed Resiliency Services Managed Continuity Resilience Program Management Service Service Product SmartCloud Resilience Resiliency Consulting Managed ResiliencyInfrastructure Recovery IBM Business Continuity & Resiliency Services 16. 16 Agenda The Business Continuity/DR Marketplace - Risks, Impact and Cost to your Business - Saudi market and Customer Concerns Our Business Continuity Services Portfolio Consulting.what is it about ? Readily Available Solutions for you - SmartCloud Managed Backup - SmartCloud Virtualized Server Recovery Customised DR Solution Example Closing Thoughts & ACTIONS 17. Our approach combines rigor with efficiency to help make risk analysis and mitigation easier and business focused. IBM enterprise-focused resilience consulting methodology: Understand your business requirements and risks Develop solutions to achieve your resilience objectives Improve your program efficiency and cost 18. BCRS comprehensive Resiliency Consulting Services help you plan for a smarter risk response across your entire enterprise. Assessment Planning & Design Implementation & Testing Business Impact Analysis Risk Assessment Resilience Program Assessment Recoverability Assessment Availability Assessment Resilience Plan Development Technical Procedure Development Resilience Strategy Design Resiliency Architecture Design Resilience Program Design Resilience Plans: Validation and Testing Resilience Availability Management 19. 19 Agenda The Business Continuity/DR Marketplace - Risks, Impact and Cost to your Business - Saudi market and Customer Concerns Our Business Continuity Services Portfolio Consulting.what is it about ? Readily Available Solutions for you - SmartCloud Managed Backup - SmartCloud Virtualized Server Recovery Customised DR Solution Example Closing Thoughts & ACTIONS 20. 20 Backup and Restore Success Rates From a recent Gartner research investigation: For large enterprise a success rate of 100% every day/night is unlikely. machines being powered off, files being open, network issues, time-outs, special scripting etc Many large enterprise service providers target somewhere around a 96% - 98% success rate. From past research Gartner observed that: Best in class organizations regularly exceed 90% nightly success rates Average data centers are in the 84% success range Best in class remote offices were at 80% success Average remote office situations see backup success rates below 70% With increased automation, deployment of disk-based solutions and backup re- engineering efforts, we are seeing these numbers rise. 21. SCMB Scope/ Features Fully managed data backup and restore service including hardware, software, datacenter space, power and facilities management Includes E2E Connectivity and router management Service Management / Service Desk (1st, 2nd, 3rd level support) Usage costs pay as you use per GB per month for data streamed in and out of the backup environment Multiple Encryption Standards Data Compliance management Provides Industry leading de-duplication technology for rapid, bandwidth-efficient data transfer Automated provisioning enables clients to tailor their service based on their policies and user roles. Smartcloud Managed Backup (SCMB) Customer Production ServersRiyadh SCMB Features and Benefits SCMB Commercial model Upfront Investment Monthly Usage based - opex Required Network Dedicated/Shared Retention Policy option Disk/Tape backup Charging model Date Protected (per GB) Data Streamed (per GB) Backup success rate >99% End to End Managed Service 24x7x365 support Need for duplicate prod. OS licenses None Operating System and Platform Support Multivendor Management Reporting & Analytics Automated / Portal based Protecting Data Across the Enterprise 22. 22 You have your own Managed Backup Portal Highlights Helps reduce risk in your data backup environment with centralized reporting tools Helps improve transparency by providing easier access to backup activity and alert notifications Facilitates client support by providing more streamlined access to your and IBM support specialists Use the Storage Portal to: Provision and activate new clients on the service Monitor the backup environment Change the service Submit service requests to Mobily- IBM Generate reporting for compliance or other needs 23. 23 Agenda The Business Continuity/DR Marketplace - Risks, Impact and Cost to your Business - Saudi market and Customer Concerns Our Business Continuity Services Portfolio Consulting.what is it about ? Readily Available Solutions for you - SmartCloud Managed Backup - SmartCloud Virtualized Server Recovery Customised DR Solution Example Closing Thoughts & ACTIONS 24. Challenges with traditional Disaster Recovery Identical hardware required for recovery Costs are doubled, complexity is increased Accurate configuration information is critical Idle hardware Standby hardware is needed for faster recovery time objective Servers that need repurposing at time of disaster are labor intensive and time consuming Slow, complex recovery process Different solutions for different availability tiers Separate procedures for system and data disks Separate procedures for desktop PCs Multi-step recovery processes Configure hardware Install OS Configure operating system (OS) Install backup and restore agent Start Single-step automatic recovery Site A Site B 25. VSR Storage VSR Recovery ServersCustomer Production Servers MPLS/ Internet VSR Scope/ Features Fully managed service including hardware, software, datacenter space, power and facilities management Includes E2E Connectivity and router management Service Management / Service Desk (1st, 2nd, 3rd level support) User Friendly web based Portal offers capability for management of protected servers Continuous replication + Snapshots for best RPO Protects both physical and virtual production servers Automated Failover and Failback RPO in seconds, RTO in minutes (less than 1 hour) Two Service Options : Gold & Silver Can test easily & frequently Predictable costs per server per month pricing model Virtualized Server Recovery (VSR) VSR Portal Logon VSR Features and Benefits VSR Replication Block Level File Level Required Network Dedicated/Shared Data Backup Compatibility Tape/Cloud Backup Replication (DR copy) Availability to Initiate Failover Immediate (Gold) State of Availability DR copy is ready be enabled Estimated Failover Time for 25 servers 60 minutes or Less Est. Recovery Point Objective (RPO) seconds End to End Managed Service 24x7x365 support Need for duplicate prod. OS licenses None Operating System and Platform Support Various Length of time allowed in DR mode Unlimited (Gold), 6 weeks (Silver) Riyadh 26. 26 VSR Customer Portal Logon and Replication 27. 27 VSR DR & Test phase VSR Automation does the rest 28. 28 Agenda The Business Continuity/DR Marketplace - Risks, Impact and Cost to your Business - Saudi market and Customer Concerns Our Business Continuity Services Portfolio Consulting.what is it about ? Readily Available Solutions for you - SmartCloud Managed Backup - SmartCloud Virtualized Server Recovery Customised DR Solution Example Closing Thoughts & ACTIONS 29. Business Continuity / DR Solution Customised Example Main Customer Production Migrate the existing applications from AIX to RHEL Replace & migrate existing storage system Implement new onsite backup solution Implement virtual server environment failover / failback Solution Mobily/IBM Recovery Center Implement virtualised server solution based on IBM Flex Systems and System x on Windows/linux. Implement the new network, Storage and backup solution Implement virtual environment failover / failback and configure host level replication Business Continuity Consultancy: Assess the current Service Continuity and Disaster Recovery Process, Define Technical, Service and Disaster Recovery Plan. Prepare for a Failover Exercise. Deliverables Resilience Program Assessment Report Technical Recovery Procedures IT Recovery Plan, BCP & Crisis Management Plan Recovery Test Plan & Test Exec Mgt Presentation Post-Test Summary Report (Transition Phase + 5 Years Operations & Run) 30. Customer Full Site Failover Service and Technical Recovery Procedures Time of invocationTime of disruption Fullservices Service recovery at DR Site Customer services before disruption occurs Productionservices Recoveredservice Crisis Management PRD DRS Crisis Management Plan Disaster Recovery Plan - Failover MAO: Max Allowed Outage time RTO: < 60 MinsRPO: 5 Mins Time until decision Storage OS DB Service App Failover Automation Network 31. Hosted Infrastructure Market in KSA (incl Disaster Recovery) Source: IDC Competitive Profiles and Analysis of Leading IT Services Players in Saudi Arabia, 2013 IT services providers that have developed hosting services, and have strong investments in IT position themselves as trusted partners to guarantee business continuity in end- customer organizations. Mobily placed 1st in the hosting infrastructure services market in Saudi Arabia in 2012, with 29.3% share of the market. Mobily offers colocation, managed servers, and disaster recovery services from their 26 datacenters 32. Closing Thoughts Awareness: Your operations are increasingly exposed to an always on requirement The next disaster or business disruption is only a question of WHEN not IF Our Solutions help you drive cost savings, cost predictability and OPEX model Action: Lets meet to discuss how we can work together to protect your business 33. Thank you for your interest ibm.com/services/continuity