Fast Innovation Requires Fast IT - Cisco · by 2015 Globally, M2M IP traffic will grow 20-fold ......
Transcript of Fast Innovation Requires Fast IT - Cisco · by 2015 Globally, M2M IP traffic will grow 20-fold ......
Fast Innovation Requires Fast IT
Accelerating Innovation with IoE
Joseph M. Bradley General Manager and Founder IoE Practice, Cisco Consulting Services @JosephMBradley
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By 2020, about 50 billion
objects connected to the
Internet
In 2012 alone, we created
more data than previous
5,000 years
An estimated 77 billion apps
will be downloaded
during 2014
This year, the number of
mobile-connected devices
will exceed the number of
people on earth
2/3 of the world’s mobile data
traffic will be video by 2015
Globally, machine-to-
machine IP traffic will grow
20-fold from 2012 to 2017
Digital
Disruption
Digital
Disruption
By 2020, ~50 billion objects connected
to the Internet
In 2012 alone, we created more data than previous 5,000 years
An estimated 77 billion apps
will be downloaded during 2014
This year, the number of mobile-connecteddevices will exceed
people on earth
2/3 of the world’s mobile data traffic will be video
by 2015
Globally, M2M IP traffic will grow 20-fold
2012 – 2017
Digital Disruptors
Convergence of Mobile, Social, Cloud, and Data Is Driving Digital Disruption
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Sources: Gartner, “Nexus Forces Fuel the Digital Workplace,” Jeffrey Mann, Matthew W. Cain, Chris Howard, April 2014; IDC, “IDC Predictions 2014:
Battles for Dominance – and Survival – on the 3rd Platform,” Doc #244606, December 2013; GE, “The Industrial Internet: Pushing the Boundaries of
Minds and Machines,” November 2012
Gartner GEIDC
Social
Mobile
Cloud
Information Nexus
Converging Digital Disruptions = Unique Inflection PointThe Nexus of Forces The 3rd Platform The Industrial Internet
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IoE: The Networked Connection of People, Process, Data, and Things to Drive New Business Value
Delivering the right information to the right person (or machine) at the right time
Process
Physical devices and objects connected to the Internet and each other for intelligent decision-making; often called Internet of Things (IoT)
Things
Connecting peoplein more relevant,
valuable ways
People
Leveraging data into more useful
information for decision-making
Data
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IoETotal IoE Value
at Stake
$19.0 Trillion
IoE Drives $19 Trillion In Value Over 10 Years
Private
Sector
$14.4TIncludes both industry-
specific and horizontal
use cases.
Public
Sector
$4.6TIncludes cities, agencies, and
verticals such as healthcare,
education, defense
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Asset utilization:
$2.5T
Supply-chain / logistics
efficiency : $2.7T
Employee Productivity:
$2.5TImproved customer
experience :
$3.7TInnovation:
$3.0T
Increased Revenue:
$125B
Reduced Costs:
$740B
Employee Productivity:
$1.8T
Defense:
$1.5T
Citizen Experience:
$412B
Total IoE Value
at Stake
$19.0 Trillion
IoE Drives $19 Trillion In Value Over 10 Years
Private
Sector
$14.4TIncludes both industry-
specific and horizontal
use cases.
Public
Sector
$4.6TIncludes cities, agencies, and
verticals such as healthcare,
education, defense
TODAY’S INDUSTRY PAIN POINTS
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Annual theft or
loss costs
$1B
Industry Pain Points
UTILITIES Oil & GasMANUFACTURING
Single minute of
downtime costs
$22K
Data generated not given to right person at right time
98%
IOE POSSIBILITIES ARE NEARLY ENDLESS
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IoE Possibilities for ManufacturingRemote sensing of objects
and environment
My yield will meet today’s production needs
In a plant, it’s not just about data…integrated control and information matters
Cameras deployed for monitoring and security
Subscribe to my status updates
Just plug me in! I am online and ready for
configuration with the line. Here is my configuration.
Clean me next shift
7100kWh of energy used today Everything has a URL
Sensors ActuatorsIntelligent Motor Control Terminals Audio Video
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Subsea Production
System
Petrochemical/Refinery
Storage
LNG
Terminal
LNG Tanker
Oil Tanker
FPSO
Oil Rig
Data Center
Terminal
Headquarters
Oil/Lube
Connected pipelines
Connected Refinery D
ow
nstr
ea
mM
idst
ream
Upst
ream
Remote Operations
Collaborative Operations
Connected Processing
Facility*
Connected Wellhead*
Connected Oilfield
* to be released in H2FY15
Secure Ops
IoE Possibilities for Oil & Gas
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IoE Possibilities for Mining
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0159
0159
0159
IoE Possibilities for Utilities
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IoE Possibilities for Retail
Associate tablet
Customermobile
Integrated video surveillanceWi-FiGesture / facial
recognition
Digital signage
Parking
Secure Big Data infrastructure,
analysis, and action
Big Data repository
Fast data processing
Actionenablement
Intelligence from
cloud / fog
INTERNET OF THINGS
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Cloud &Services
Lighting Poles
Municipal Command& Control Center
SmartGrid
BuildingOptimization
CityWiFi
Home Energy Mgmnt
Source: Intel
Traffic Flow Optimization
FactoryOptimization
TrafficCamerasAutomated
Car SystemIntelligent Digital
Signage
ConnectedAmbulances
Parking
INTELLIGENTCITY
INTELLIGENTBuilding INTELLIGENT
HIGHWAY
INTELLIGENTCommunity
IoE Possibilities for Cities
LogisticsOptimization
ARE YOU READY?
Are You Ready?
CIOCEO
How Can I Do This?
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Challenges for CIOs
IoESupercharges
IT Complexity –and IT
Challenges
Apps Are the Oxygen
of Business (but they can smother IT)
Lines of Business
Take IT into Their
Own Hands
Service Orchestration Has Been the CIO’s ‘White
Whale’
FAST IT: THE SOLUTION FOR CIOs IN THE IOE ERA
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What Is Fast IT?
Fast IT is the IT operating model for the
IoE era. It is what the CIO needs to do
to drive true business transformation.
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SECURE
Defend against
attacks and
mitigate threats
dynamically
SMART
Create intelligent
capabilities and
services that
fuel growth
SIMPLE
Simplify your
infrastructure
and integrate
across silos
Fast IT: Three Key Principles
Reduce Complexity to Lower Costs
Automate
Unify
Use abstraction and programmability of resources
across domains to automate and orchestrate
manual, error-prone, and labor-intensive IT tasks
and workflows and to drive down costs
Converge and optimize discrete IT domains
(network, security, storage, compute) to manage as
a “pool” of physical/virtual, mobile/fixed, on- and off-
premise resources
Create
Programmability
Enable open and programmable infrastructure, ready
to respond intelligently to application requirements;
accelerate provisioning of needed resources
1
2
3
Capitalize on Intelligence for More Agile Operations
Tap Intelligence
Harness
Data in Motion
1
2
3
Use infrastructure analytics to optimize operations
end to end so the infrastructure can respond
intelligently and automatically to changing
application and security demands
Push compute and analytics capabilities to the
network “edge”; correlate data in real time to
respond to fast-moving changes
Drive Policy
Create centralized policy and management to
streamline infrastructure changes, reduce errors,
and drive repeatability
Defend Against Attacks Dynamically
Expand
Security
Perimeter
Improve
Visibility
Respond
Faster
1
2
3
Through analytics, increase visibility around
threats, users, behavior, and infrastructure
Use identity- and context-based information and
behavior to improve security response
Protect against advanced malware and threats
across all infrastructure and the entire security
continuum; detect and quarantine cyberattacks
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Business Benefits“Invest to Win”
IT TCO Benefits“Save to Invest”
Substantial TCO gains in past 10 years, driven by automation, outsourcing, virtualization
Now, next wave of savingsis at hand with Fast IT: 20-25% TCO reduction
<20% of IT spend currently devoted to innovation
Implication: Fast IT creates an “IoE dividend” — savings can be reinvested for innovation, doubling what IT spends on transformation
Estimated Financial Impacts of Fast IT*
$17.1
$8.2
$7.3$2.9
$2.2
$10.9
$7.8$3.4 $59.6
DataCenter
AppDev.
Network AppSupport
End-UserComputing
FasterTime-to-Mkt
ProductivityGain
ImprovedSecurity
TOTAL$0
$10
$20
$30
$40
$50
$60
Annual B
enefits
($M
)
*For a representative company with $5 billion in annual revenue
Fast IT Promises Twice the Savings, Double the Innovation
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Software-defined IT: A requirement for application agility to reduce complexity,
and as an underpinning for cloud, security, and mobility
Fabric of Clouds: The best IT organizations will leverage a diverse ecosystem of
clouds to gain the right mix of scale and capability.
Intelligence at the Edge: Data in motion represents the next competitive IoE
frontier — intelligence “at the edge,” fog computing enable real-time business
Seamless Mobility: IT must treat mobile and fixed assets as one to realize the
opportunities of connected experiences as a key business differentiator
1
2
3
4
Expand security perimeter: Evolve to a platform-based, automated-threat model for security where the network can detect and quarantine attacks across domains5
IT must lead the
transformational journey
What IT Must Start Doing Today
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IT Transformation for Fast Innovation
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Let’s Get Started
[email protected]@JosephMBradley JosephMBradley
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