Moving to the Cloud-How to Develop Cloud Strategy for Your Organization

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Moving To The Cloud September 4th, 2014 Rich Reid Managing Director of Strategy and Innovation [email protected]
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The cloud is everywhere! Does your organization have a cloud strategy? Is the TCO really so much better? How well will it integrate with our other systems? Is it really as as to implement as the Vendors tell us? Learn about various Cloud deployment models, what companies are moving to the cloud and cost & implementation considerations.

Transcript of Moving to the Cloud-How to Develop Cloud Strategy for Your Organization

Page 1: Moving to the Cloud-How to Develop Cloud Strategy for Your Organization

Emtec, Inc. Proprietary & Confidential. All rights reserved 2014. Emtec, Inc. Proprietary & Confidential. All rights reserved 2014.

Moving To The Cloud

September 4th, 2014

Rich Reid

Managing Director of Strategy and Innovation

[email protected]

Page 2: Moving to the Cloud-How to Develop Cloud Strategy for Your Organization

Emtec, Inc. Proprietary & Confidential. All rights reserved 2014. Emtec, Inc. Proprietary & Confidential. All rights reserved 2014.

Introductions

Rich Reid Managing Director of Strategy & Innovation, Emtec

• 24+ years of Business Systems experience

• 20+ years experience with Oracle Solutions

• Formerly Lead Oracle Delivery for Emtec

• Previously with Motorola, PWC, Interware and Emerging Solutions

• Phone: 312.216.6901

• Email: [email protected]

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Page 3: Moving to the Cloud-How to Develop Cloud Strategy for Your Organization

Emtec, Inc. Proprietary & Confidential. All rights reserved 2014. Emtec, Inc. Proprietary & Confidential. All rights reserved 2014.

Agenda

What Is Cloud Computing?

Service & Delivery Models

Cloud Adoption

Cost & Implementation Considerations

Oracle & Emtec Offerings

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What Is Cloud Computing?

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“Cloud computing encompasses any

subscription-based or pay-per-use service that,

in real time over the internet, extends IT’s

existing capabilities”

- InformationWeek

Cloud computing is the delivery of computing

as a service rather than a product, whereby

shared resources, and information are

provided to computers and other devices as a

utility over a network (typically the internet).

- Wikipedia

Page 5: Moving to the Cloud-How to Develop Cloud Strategy for Your Organization

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Companies Are Considering The Cloud

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2013 CIO Survey: “More than half of CIO’s indicated that they would source all of their critical applications in the cloud by 2020”

“Business buyers are bypassing IT and buying cloud services directly”

“25% - 40% of IT spending takes place outside of the IT budget”

“Spending on the cloud is growing much faster than spending on on-premise

deployment models for IT”

Source: Gartner

Page 6: Moving to the Cloud-How to Develop Cloud Strategy for Your Organization

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Service Models - IaaS, PaaS, SaaS Simplified

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Service Models – Vendor and User Ladscape

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SaaS

Software

PaaS

Platform

IaaS

Infrastructure

End Users

Developers

Network

Architects

Host

Build

Consume

Page 8: Moving to the Cloud-How to Develop Cloud Strategy for Your Organization

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Cloud Deployment Models

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Hybrid Cloud Composed of 2 or more

different cloud types or

internal service with cloud-

based services

Private Cloud Exclusive use by a single

private organization

Public Cloud Service provider owned

and managed off-site

using shared resources

over the internet in a

SaaS model

Bridge

Page 9: Moving to the Cloud-How to Develop Cloud Strategy for Your Organization

Emtec, Inc. Proprietary & Confidential. All rights reserved 2014. Emtec, Inc. Proprietary & Confidential. All rights reserved 2014.

Public V.S. Private Cloud

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Page 10: Moving to the Cloud-How to Develop Cloud Strategy for Your Organization

Emtec, Inc. Proprietary & Confidential. All rights reserved 2014. Emtec, Inc. Proprietary & Confidential. All rights reserved 2014.

Private V.S. Public Preferences

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Cloud Adoption Trends For Service And Delivery Models

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Page 12: Moving to the Cloud-How to Develop Cloud Strategy for Your Organization

Emtec, Inc. Proprietary & Confidential. All rights reserved 2014. Emtec, Inc. Proprietary & Confidential. All rights reserved 2014.

Evolution Of Cloud Application Adoption

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Email

Social

Collaborative

CRM

Helpdesk

HCM

ERP

Finance

BI

Supply

Chain

Core

Business

Systems?

65% of

enterprises

expect to be

using SaaS in

some ERP role

before the end

of 2015…

a massive

increase of two

thirds on what

respondents

were saying a

year ago.

Source: Forrester 2014

Page 13: Moving to the Cloud-How to Develop Cloud Strategy for Your Organization

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Cloud Adoption Trends By Workload

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Page 14: Moving to the Cloud-How to Develop Cloud Strategy for Your Organization

Emtec, Inc. Proprietary & Confidential. All rights reserved 2014. Emtec, Inc. Proprietary & Confidential. All rights reserved 2014.

Cloud Is The “Shiny New Object”

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There is a lot of interest in the cloud because

it is perceived to be a low cost alternative.

Gartner says the goal is not to move

business processes to the cloud, the goal is

to use cloud services to:

• Accelerate business outcome

• Reduce capitol expenditures

• Improve customer experience

• Reinvent processes as part of the

digital strategy

But Is Cloud

Cheaper?

Page 15: Moving to the Cloud-How to Develop Cloud Strategy for Your Organization

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Is Cloud Cheaper?

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Many sources maintain that cloud is not always proven to be cheaper.

“A number of studies have been conducted which show cloud does not

necessarily reduce TCO long term but it does reduce capital expenditures

short term”

- Gartner

Different Cloud offerings will produce differing TCO evaluations over the

short and long-term.

• Some cloud services are not cheaper in the long run and can actually

cost you more.

• Others are a great overall value short term and long term.

Aside from cost, many businesses can benefit greatly by offloading

processes and services that are not part of their core business allowing

them to achieve greater focus and competitive advantage.

Page 16: Moving to the Cloud-How to Develop Cloud Strategy for Your Organization

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Oracle’s View On Cost

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Getting Up and Running

$2.1M vs. $350K

Annual Cost: Support

vs. Subscription

$220K vs. $500K

It Would Take 7 Years

Before Costs Equaled

That’s just software,

implementation and

maintenance costs

SaaS is 50% Faster

Delivery?

Not Really. In most

cases it’s faster but by

about 25%

Page 17: Moving to the Cloud-How to Develop Cloud Strategy for Your Organization

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Total Cost Of Ownership

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In addition, there are many other benefits Cloud can bring to bare including:

• No capital costs

• Additional capacity on the fly

• No up-front software costs

• Standardization and agility

When analyzing the TCO of cloud V.S. on-premise, be sure to

consider all factors including:

• Upfront software costs

• Hardware costs

• Annual support fees

• People costs for infrastructure, development, support, etc.

• Disaster Recovery

• Upgrades

• Lower power costs

SaaS

typically

includes

these

costs

Not all Cloud services are cheaper in the long run but todays

SaaS business applications can save you a lot of money!

Page 18: Moving to the Cloud-How to Develop Cloud Strategy for Your Organization

Emtec, Inc. Proprietary & Confidential. All rights reserved 2014. Emtec, Inc. Proprietary & Confidential. All rights reserved 2014.

Emtec Provides A Free TCO Analysis To Clients

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Executive-Ready

Dashboards

Detail-level TCO

comparisons

Page 19: Moving to the Cloud-How to Develop Cloud Strategy for Your Organization

Emtec, Inc. Proprietary & Confidential. All rights reserved 2014. Emtec, Inc. Proprietary & Confidential. All rights reserved 2014.

SaaS Implementation Considerations

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“SaaS is more than just an alternative deployment model; it has unique characteristics

that require new ways of thinking about vendor selection, contracting, risk tolerance and

organizational skill set requirements.:

- CIO.com

Emtec has implemented a number of Cloud applications for its clients and has found that

company interested in moving their business applications to the cloud should know that:

• Implementation of cloud solutions is very different from on-premise

implementations that they are accustomed to

• Integration in the cloud can present challenges

• Cloud applications are “configurable” NOT customizable

• Data loading and configuration are very sequential and may require extra time

• Fewer environments typically come with SaaS than companies are accustomed to

• Muti-tenancy is not really a good thing as many vendors lead you to believe

• The same level of effort is required during many phases of a cloud implementation

as is during an on-premise implementation

Page 20: Moving to the Cloud-How to Develop Cloud Strategy for Your Organization

Emtec, Inc. Proprietary & Confidential. All rights reserved 2014. Emtec, Inc. Proprietary & Confidential. All rights reserved 2014.

SaaS Implementation Considerations – Cloud vs. On-Premise Software

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Support Fees Yes No

Software Purchase Yes No

Procure Hardware Yes No

Install Hardware Yes No

Install Software Yes No

Backup & Recovery Yes No

Patches & Upgrade Application Yes No

Customization Yes No

Design Yes Yes

Data Cleansing Yes Yes

Interfacing Yes Yes

Setup & Configuration Yes Yes

Testing Yes Yes

Training Yes Yes

Security Administration Yes Yes

IT Support More Less

Annual Fee No Yes

Task / Item On-Premise Cloud

Page 21: Moving to the Cloud-How to Develop Cloud Strategy for Your Organization

Emtec, Inc. Proprietary & Confidential. All rights reserved 2014. Emtec, Inc. Proprietary & Confidential. All rights reserved 2014.

Oracle’s Cloud Options

SaaS

PaaS

IaaS

• HR Cloud

• CX Cloud

• ERP Cloud

• EPM Cloud

• SCM Cloud

• Database

• Java

• Database Backup

• Developer

• Documents

• Business Intelligence

• Mobile

• Compute

• Storage

• Messaging

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Page 22: Moving to the Cloud-How to Develop Cloud Strategy for Your Organization

Emtec, Inc. Proprietary & Confidential. All rights reserved 2014. Emtec, Inc. Proprietary & Confidential. All rights reserved 2014.

Oracle’s Cloud Options – SaaS offerings

HR Cloud

ERP Cloud

EPM Cloud

SCM Cloud

CX Cloud

• HCM Cloud

• Talent Management Cloud

• Social Cloud

• Financials Cloud

• Procurement Cloud

• Project Portfolio Management Cloud

• Planning & Budgeting Cloud

• Financial Reporting Cloud

• Transportation & Trade Cloud

• Materials Management Cloud

• Product Value Chain Cloud

• Marketing Cloud

• Sales Cloud

• Service Cloud

• Configure, Price Quote Cloud

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Page 23: Moving to the Cloud-How to Develop Cloud Strategy for Your Organization

Emtec, Inc. Proprietary & Confidential. All rights reserved 2014. Emtec, Inc. Proprietary & Confidential. All rights reserved 2014.

Emtec’s Oracle Services

O

B

I

E

E

F

O

U

N

D

A

T

I

O

N

Oracle Cloud PeopleSoft E-Business Suite

ENTERPRISE RESOURCE PLANNING (ERP)

ENTERPRISE PERFORMANCE MANAGEMENT (EPM)

Planning & Forecasting Financial Close

Hyperion Planning

Workforce Planning

Capital Asset Planning

Project Financial Planning

Balance Sheet Planning

Strategic Finance

HFM

Financial Close Management

Disclosure Management

Tax Provisioning

Profitability & Cost Mgmt.

Profitability & Cost Management

Metadata / Data Management

Data Relationship Management

Financial Data Quality Mgmt. EE

EPMA

OBIA Advanced Analytics Mobility Big Data

BUSINESS INTELLIGENCE

Reporting

Financial Reporting

SmartView for MS Office Essbase

Emtec offers services for

Oracle Cloud that include:

• HCM

• Taleo

• ERP

• Planning

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Page 24: Moving to the Cloud-How to Develop Cloud Strategy for Your Organization

Emtec, Inc. Proprietary & Confidential. All rights reserved 2014. Emtec, Inc. Proprietary & Confidential. All rights reserved 2014.

Q & A

Page 25: Moving to the Cloud-How to Develop Cloud Strategy for Your Organization

Emtec, Inc. Proprietary & Confidential. All rights reserved 2014. Emtec, Inc. Proprietary & Confidential. All rights reserved 2014.

THANK YOU FOR YOUR TIME

Please visit us online at www.emtecinc.com

THANK YOU FOR YOUR TIME

Please visit us online at www.emtecinc.com