McClure Cloud Presentation 3-09-11

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    3/9/2011 1Office of Citizen Services and Innovative Technologies

    Future Directions for Cloud Computing

    in Government

    David L. McClure, Ph.D.Associate Administrator

    http://www.fedsources.com/
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    Drive Innovation:Work with private industryencouraging innovation and

    furthering competition amongproviders to drive best valuesolutions for the Government

    Use Only Whats Needed:Eliminate high upfront costs byaligning costs with actual useor consumption of IT resources

    Put the Power in theHands of the End Users:Move operating complexities tothe Cloud, allowing Agenciesto focus on core missionobjectives

    Energy Efficiency:Create virtualizedhardware and softwareservices so Governmentuses only whats needed,avoiding overbuildingdata center and servercapacity

    Reuse AcrossAgencies: Provide

    shared, resource pooling,for greater reuse andability to leverageunderutilized IT resourcesacross GovernmentAgencies

    Cheaper Greener Faster

    Provide One-Stop Shop:Simplify acquisition of ITservices by making it as simple

    as buying a book, booking anairline ticket, or making a dinnerreservation online

    Turn Up of IT Quickly:Services can be provisioned inhours or days versus traditionalIT methods which may take

    months to deploy

    Scale Rapidly:Deliver elastic computing,allowing Agencies to rapidlyexpand or contract IT resourcesto support unplanned events orspikes in usage

    Cloud Computing Can Change the Way Government

    Leverages Technology.

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    3

    These represent a fundamental shift in computing for most government agencies

    Internet/Network Based e Services are delivered through use of Internet or broadnetwork access.5

    Measured UseServices are tracked with usage metrics to enable

    multiple payment models.4

    SharedServices share a pool of computing resources to build

    economies of scale.3

    Scalable & ElasticServices scale on-demand to add or remove resources as

    needed.2

    Service BasedConsumer concerns are abstracted from provider

    concerns through self service driven interfaces1

    Sources: NIST and Gartner

    Cloud Computing promotes a provider-consumerrelationship over a vendor-user relationship.

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    Entity Owned AssetsScope is bounded by

    exclusivemembership defined

    by the entity

    No Owned AssetsScope is open to

    anyone who can payfor service as

    delivered by provider

    Private Public

    More ControlLower Value

    Less ControlHigher Value

    But there are many clouds to choose from!

    Internal cloudbased delivery ofenterprise email

    services

    A cloud serviceshared by business

    or agencypartners

    Governmentdelivery of emailservices across

    agencies orgovernments

    Cloud services shared forconvenience/relationship/sharedbenefit (within a corporate park

    or level of government)

    Gmail to thegeneral public

    Hybrids

    How do I deliver cloud services(infrastructure, SaaS, platforms)

    to gain as many cloudcomputing benefits as I can

    while maintaining a degree ofcontrol, whether I choose a

    private/government, hybrid orpublic cloud?

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    Web Application Serving

    Public-facing Web Sites

    Collaboration

    Development/Testing

    Try before you buy Unpredictable

    workload Peripheral processing Cost avoidance Large interactive

    customer base Avoid Redesign

    Rapid Provisioning Large Economies of

    Scale

    SaaS

    Prototyping/Proof of ConceptLooking for.

    Common Cloud Deployments

    Emerging: eMail, DR, HR,FM

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    Cloud Implementation is Taking Root

    Cost Reduction

    Faster Deployment of

    Systems

    Faster Access to Information

    Increased Productivity

    Scalability

    Improved Vulnerability

    Assessment

    Improved Self-Service

    Capabilities

    Bureau of Engraving and Printing

    Environmental Protection Agency

    Army

    Air Force

    Veterans Affairs General Services Administration

    NASA

    NASA Jet Propulsion Laboratory

    Securities and Exchange Commission

    Social Security Administration

    Department of Treasury

    USDA Forest Service

    Department of Defense DISA

    Federal Labor Relations Board

    Department of the Interior

    Agencies That Have ImplementedBenefits Realized By Agencies To Date

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    Agency Name Description Highlight

    Air Force

    Requirement for 44.3% reduction in staff by 2013 ledto cloud implementation to manage web self-service, incident management, customer surveys,analytics, and knowledge management

    Savings of $4m/year in manpower reductions Time for locating customer information reduced from

    20 min to 2 min

    Bureau of

    Engraving and

    Printing

    Used SaaS services to replace BEPs public-facingwebpage and the eCommerce storefront

    Reduced infrastructure costs from $800k to $1,550

    GSAConsolidated emergency notification systems intoone SaaS product, available 24x7

    Reduced annual maintenance costs from $77k to$17k, about 22%

    Increased security and eliminated capital costs

    NASA Jet

    Propulsion Lab

    Used cloud solution to complete processing of180,000 high-res images from the Cassini spacecraftin 5 hours

    Processing costs totaled less than $200 Imagery in the hands of scientists two weeks ahead

    of the schedule provided by in-house IT resources

    SEC

    Used cloud solution to handle increase in investorinquiries to the Office of Investor Education of up to90,000 contacts annually

    Reduced investor response time from 30 days to 7days

    Created a paperless system for handling investorinquiries

    Reduced timeline for system configuration frommonths to minutes

    SSA

    Used cloud technology to develop the OnlineAnswers Knowledge base to manage the millions ofinquiries SSA receives annually

    Nearly 99% of $25m web self-service sessionshandled without agent intervention

    Largest work year savings of any existing eService

    Treasury

    Moved to a cloud-based system for the TreasuryVulnerability Assessment System

    458% Increase in scanning 86% reduction in cost per scan 12% increase in vulnerability detection Production operation and deployment in 1 day

    Freed 2 Engineer FTEs

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    Gain agreement on the driversbehind adopting a specific cloudapproach Resource reduction/cost constraints Need for specific cloud characteristic

    (elasticity, scalability, usage-based model)

    Need for rapid implementation

    Infrastructure, software, platform servicesor all three

    Culturally grasp the move toservices rather than buyingphysical technology

    Make cloud computing part of anoverall IT investment portfolioand sourcing strategy (Reducecapex? Infrastructure? Apps inventory?)

    CIOs Must Plan for Successful Cloud Adoption

    Be realistic in costestimates and benefitsrealization

    Cloud createsopportunities to

    aggregating some sourcing

    Dont focus on thetechnology, focus on thedesired outcomes drivingthe needs

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    Solution: DecisionalMaps

    Supporting Information

    Commercially- Managed Public Cloud Services

    Solution Scoping and Definition

    (2.1) Cloud Service

    Definition

    - Scope the types of

    services to be obtainedfrom the cloud

    - E.g. Storage, BareOperating SystemPlatforms, DevelopmentEnvironments,

    Computational

    Resources, Web

    Platforms, OfficeApplications, Back Office

    Applications

    (2.3) Cloud Service

    Requirements

    - Identify cloud service

    detailed requirements for

    the types defined in2.2

    - E.g. Security, Records

    Retention, Continuity of

    Operations, Expected

    Performance, SupportLevels, Scale

    - Prototyping and pilots

    (3.0)

    Decision

    Point

    (4.1) Acquisition

    - Create purchaseorders, lease agreements

    - Perform competition or

    sole source

    - Negotiate Service LevelAgreements

    - Negotiate performancemeasurement methods

    Start

    Government- Managed Cloud Services.Government Line of Business

    New Internally- Built Private Cloud Services

    (4.2) Activation

    - Activate leased assets

    - Load content

    - Establish operations

    - Establish performance

    monitoring

    - Begin billing / payment

    process

    Operations

    (5.1) Define

    Agreements

    - Define Service Level

    Agreement (SLA) orMemorandum of

    Understanding (MOU)

    - Define cost recovery

    model

    (6.1) Service

    Engeering

    - Full engineering life-cycle

    - Design Data Center(s)

    - e.g. Assess locations,

    power consumption,

    workforce, transportation

    - Design cloud

    Infrastructure, security

    (6.2) Service

    Implementation

    - SW license and HWacquisition as required

    - Implement and test cloud

    services

    - CRM: Support cloud

    consumer Programs and

    PMs in cloud service use

    Enterprise

    Architecture

    Security

    Policies

    Program

    CONOPs

    (5.2) Activation

    - Activate leased assets

    - Load content

    - Establish operations

    - Establish performance

    monitoring

    - Begin payment process

    (2.2) Business Case

    - Define the businessrationale for creating or

    moving to cloud services

    - Define costexpectations for cloudservices

    - Define expected pros

    and cons of cloudimplementation

    No CloudUseSource: Mitre

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    Office of Citizen Services and Innovative Technologies 10

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    Independent Risk Assessments for Cloud Solutions

    Duplicative riskmanagement efforts

    Incompatible

    requirements

    Potential for inconsistentapplication of Federal

    security requirements

    Federal Agencies

    Outsourced Systems

    Acquisition slowed bylengthy compliance

    processes

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    Risk management cost

    savings and increasedeffectiveness

    Interagency vettedapproach

    Consistentapplication of Federalsecurity requirements

    Federal Agencies

    Outsourced Systems

    FedRAMP

    Risk Management- Authorization- Continuous

    Monitoring- Federal Security

    Requirements

    FedRAMP: Federal Risk and Authorization Management Program

    Rapid acquisitionthrough consolidatedrisk management

    Government-wide Risk Management of Shared Systems

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    3/9/2011Office of Citizen Services and Innovative Technologies 13

    Infrastructure as a Service BPA

    Cloud Storage

    Virtual machines

    Web Hosting

    Services in these 3 categories awardedto 12 vendors on 10/20/2010

    Security A&A being completed by GSA

    Expect these to be offered on apps.gov

    in 3rd Q and 4th Q 2011

    Customers can compare pricing of identical services acrossvendors

    Vendor costs for compleeing the A&A built into pricing mode Strong SLAs FISMA Moderate Risk security level

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    Cloud Email as a Service

    Inter-agency SaaS Email Working Group establishedin June 2010.

    Developing an RFQ for a government-wide BPA of

    SaaS email solutions.

    RFI completed13 respondents

    RFI responses will be leveraged to create RFQ

    requirements.

    GSA completed security authorization of GoogleApps which may be leveraged by other agencies.

    USAID leveraged Google Apps securityauthorization package to greatly reduce timelinefor system implementation

    14

    SaaS email offers hugecost savings:

    Federal agencies couldsave approximately 44%

    over existing premise-based solutions.

    The U.S. taxpayer will save$1M annually for every7,500 users who transitionto cloud-based emailservices.

    Source: Forrester

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    More

    App 1App 2

    GeoCloud Community Platform

    Infrastructure as A Service Savings

    Hardware Savings Operations Savings Scalability Savings

    GeoCloud Community Platform

    Large pool of agencyapplications identified

    for cloud migration

    Federal Platform ReferenceImplementations

    Apps

    NeedPlatforms

    PlatformsAmplify

    IaaSSavings

    PlatformRevenueStream

    Platform Savings

    Platformbuildingtime &effort

    Reducedmainten-

    ance costs

    Fasterdeploy-

    ment

    Costeffectivedevelop-ment /

    test

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    http://www.gsa.gov/portal/category/25729