The Transformative Power and Business Case for
Cloud Automation
Rich Bourdeau, VMware
Rich Pleasants, VMware
OPT5474
#OPT5474
2 2
Agenda Introductions
Business Motivations
• Improve Service Delivery
• Operational Efficiency
Customer ROI Examples
• Optimizing Resource Utilization
• Private Cloud Extensibility
• Accelerate Virtualization Deployments
“Live” Cloud Operations Automation Tenants & Use Cases
• Proactive Incident & Problem, Performance Mgmt and Configuration Mgmt
Compliance
Proactive and Predictive Cloud Operations Benefits/Value
Q&A
3 3
Virtualization
► Accelerate service delivery
(weeks days)
► Resource pooling
► HW consolidation
The Next Wave of IT Efficiency
Waves of IT Efficiency Improvements
IT E
ffic
ien
cy
Time
► Accelerate service delivery
(days min)
► Improve operational efficiency
► Optimize resource utilization
► Reduce complexity via
standardization
Cloud
Automation
4 4
Cloud Automation – Accelerating IT Efficiency
2
Cost per VM hour
(2GB instance)
20¢
18¢
16¢
14¢
12¢
10¢
8¢
6¢
4¢
2¢
0¢
30% 35% 40% 45% 50% 55% 60% 65% 70% 75% 80%
Virtualization,
Standardization
and Pooling 1
Utilization
Governance
& Automation
Service
Delivery Times
Minutes
Hours
Days
Weeks
Months
5 5
Private Cloud Business Motivations
Agility/Speed 57%
Business Allignment
12%
Cost 21%
Defend IT 3%
Quality 3%
Enable Hybrid 1%
Don't Know 2%
Improve
IT Efficiency
Increase
Business Agility
Fastest Time
to Cloud Value
Consumerization
of IT
Source: Gartner -The Drivers and Challenges
of Private Cloud Computing, Mar 2012
Efficiency = Agility
6 6
Cloud Automation Savings
Private Cloud Public Cloud
RO
I B
en
efi
ts
Improved
Operational Efficiency
Accelerated
Virtualization Deployment
Optimized
Resource Utilization
Capacity Bursting
Commodity Pricing
Hybrid Cloud
Resource Pooling
HW Consolidation
Virtualization
7 7
Improve Operational Efficiency
Source: Server Provisioning Automation: Vendor Landscape,
Donna Scott, Ronni J. Colville, February 3, 2011.
Time to provision virtual servers
Zero touch deployment and management
Automated resource reclamation
Enforce governance with policies not people
4-6 hours over multiple days even weeks
Storage Virtual
Step 1 Step 2
Network
Step 3 Step 4 Step N
Apps Track
8 8
Improve Operational Efficiency
“Prior to VMware Cloud Automation it would take half of a man day to install and
configure a desktop for a developer to use. With VMware this is now 20 minutes and the
developers are self-served.”
Neil Smith
Virtualization Engineer, MAN Investments
“With VMware, we have reduced the time needed to deploy VMs, as well as the effort of
individuals required to focus on manual steps to provision,” noted Rupani. “This is saving
money by refocusing resources toward strategic activities rather than building
servers.”
Altaf Rupani
Vice President of Global Systems Services, Dow Jones
Zero touch deployment and management
Automated resource reclamation
Enforce governance with policies not people
9 9
vCenter Operations—Self-Service Private Cloud
Dow Jones—US Publishing &
Financial Information Firm “vCloud Automation Center met all of our criteria. It was more complete and
more agile for our specific needs”
—Tejash Patel, Service Manager for Cloud Computing and Virtualization, Dow Jones
Challenges
Multiple infrastructure
tools not integrated—no
process automation
Manual IT service
delivery processes
Difficult to maintain
compliance standards,
scale delivery, and track
costs
Need to speed delivery
of environments to Dev
and UAT teams
Results
Private Cloud “go-live” in
~60 days
Two dedicated
developers to implement
Provisioning time
reduced from days to
minutes
Success recognized by
parent company
propelled adoption
across all business units
Solution
VMware vCloud
Automation Center and
Developers Toolkit
Secure, fully compliant
private cloud with a
personalized user
experience
Automatic request
fulfillment
10 10
The News Corp Cloud – My NC3
(www.MyNC3.com)
11 11
Optimize Resource Utilization
Scale & Change
Co
st
Centralized
Control
Delegated
Control
Enforce Governance with Policies not People
Reduce over provisioning
Leverage tiered service levels
Reclaim and reuse inactive resources Reduce Reuse Recycle
12 12
Optimize Resource Utilization Case Studies
“VMware enabled us to achieve more efficient server utilization and lower capital costs
while reduce our provisioning lead times from weeks to minutes.”
Stephen Hilton,
Managing Director, Servers and Storage, Credit Suisse
“Automated workflows for archival of inactive VMs allow the use of secondary storage at
$0.50/GB instead of scarce primary storage at $5-$10/GB… deliver significant
operational and cost benefits.”
Senior Engineer for Storage and Virtualization
Leading Software and Technology Services Company
Reduce over provisioning
Leverage tiered service levels
Reclaim and reuse inactive resources Reduce Reuse Recycle
ROI Impact: A typical company with 1,000 VMs, with…
5% of their machines created without proper business justification
5% of their machines that are over-provisioned
No process to automatically reclaim and reuse inactive resources
… could save between $200,000 - $250,000 in annual capital expenditures
13 13
VMware vCloud Automation Center— Private Cloud Extensibility
Fortune 500 Software & Tech Services Company
“We couldn't find another solution that had the depth, capabilities, or cost-effectiveness
of vCloud Automation Center,”… “Finally, the tools are catching up with our aspirations!“
—Sr. Engineer, Storage/Virtualization, Leading Software/Tech Services Company
Challenges
• Service delivery times
measured in many days
• Resources left running
because of long
provisioning and
reconfiguration times
• Operations could not keep
up with demand
• Poor perception of IT
Results
• Access to compute
resources in minutes
• Archiving inactive
machines saves $4.50/GB
• $225K/year savings per
1,000 machines
• IT now perceived as being
able to deliver
Solution
• vCloud Automation Center
enabled self-service
access to compute
resources
• Automated archival of
inactive machines to lower
cost storage
• Enabled secure, full
integration with existing
backup, archival &
chargeback technologies
14 14
Accelerate Virtualization Deployments
70% of IT projects over budget or behind schedule
Scaling virtual desktops and servers
What's its worth to achieve your deployment goals
15 15
Accelerate Virtualization Deployments
70% of IT projects over budget or behind schedule
Scaling virtual desktops and servers
What's its worth to achieve your deployment goals
"DynamicOps has made desktop virtualization a win/win for Credit Suisse. We are able to
improve the user experience through rapid service delivery, while maximizing the operational
ROI through automation and standardization."
Brad Novak
Managing Director End-user Platforms, Credit Suisse
“Without DynamicOps automated provisioning and management, we would not have been able
to deploy this many desktops. DynamicOps put our stalled desktop deployment plan back on
track, and we can now successfully scale to meet our needs.”
Data Center Director,
$2 Trillion Global Financial Services Firm
ROI Impact: A typical company with 2,000 physical servers and 1,000 VMs
Can save over $400,000 annually by accelerating its server virtualization plans by just 5%
Can save over $100,000 annually by accelerating its desktop virtualization plans by just 10%
16 16
VMware vCloud Automation Center—Automated Provisioning
Global Bank with $2T in assets, 100K+ employees “Without vCloud Automation Center’s automated provisioning and management, we
wouldn’t have been able to deploy this many desktops. VMware put our stalled desktop
deployment plan back on track, and we can now successfully scale.”
—Data Center Director
Challenges
New products/services
delayed — too slow in
providing virtual desktops
to developers
Labor intensive — no
automated provisioning
or management of virtual
desktops from the
virtualization software
Growing backlog of
orders, change requests,
hard to scale, added
costs
Results
Deployment time
reduced to < 2 hrs; no
backlog; implementation
running for 100K+ global
employees
Delays in delivering new
products/services due to
slow desktop
provisioning eliminated
Protected existing
software investment, with
flexibility to evolve as
technology changes
Solution
vCloud Automation
Center delivered virtual
desktops to employees
quickly
On resources located
close to users for
optimal performance
With customized
workflows to meet
specialized
requirements
17 17
Increase Profit by Being More Responsive
17
Keeping up with the accelerating pace of your business
“VMware enabled us to reduce our provisioning lead times from weeks to minutes.
This has resulted in more efficient server utilization and lower capital costs. An
additional benefit is the dramatic improvement in our ability to respond
rapidly to business needs”
Steve Hilton, Managing Director, Enterprise Servers and Storage, Credit Suisse
Improve Business Productivity
Enable new Business Opportunity
Business Challenge: New employees sat idle 3-4 days before they received desktop
Cost: $350 per day per person
with 10% annual turnover rate represented $700,000 per year for every
1000 new employees
ROI Challenge: Even if you can’t quantify benefits include qualitative benefits
How quickly can you repurpose and reconfigure resources to meet the demands
of new business opportunities?
What effect will this have on your business?
What is the risk of Ignoring Private Cloud infrastructure and having more
agile competitors take business from you
18 18
~80% of the Labor-related OpEx Efficiencies Are Realized by Freeing Up Resources in 5 Core IT Roles for Redeployment
1
8
24
3
3
4
4
5
6
FTE savings (spend)
% of total labor-related IT
spend
IT operator / production
Control
Systems administrator
Support analyst
Application developer /
system analyst
IT manager
Other roles2
Total Savings1
FTE savings (HC)
% of total IT HC1 Process
FINANCIAL INDUSTRY EXAMPLE
26
2
3
3
5
5
8
80% of
the labor-
related
OpEx
impact
1 Based on 1000 person archetypal IT organization
2 Other roles include Business Analyst, Project Manager, Finance Manager, Knowledge Manager etc.
19 19
Define
Assign
Enable
Validate
Tune
Evaluate
Define
Create
Maintain
Notify
Report
Audit
4 Key Tenants of “Intelligent” Automation
Change
Mgmt
Optimize
Processes
Criteria
For
Action
Notification
& Reporting
Intelligent
Automation
20 20
“Live” Operations Intelligent Automation Use Cases
Performance Management
Infrastructure and App Siloed Support
Highly Manual Monitoring Analysis
Incident & Problem Management
Labor Intensive with weak reporting
Highly Manual Diagnosis & RCA
Configuration Management
Accuracy and Compliance is challenging with rapid change rate.
Manual Rollbacks
21 21
Current State “Live” Operations
Incident & Problem
Situation: Reactive Analysis
Highly Manual
Lack of dependency visibility
Situation: Reactive to infra/app issues
Highly Manual Analysis
Situation: Reactive Config Enforcement
Lack of Config Changes View
Little alignment for all “Events”
Performance Configuration
Complications:
Little or no predictive analytics
Distributed App Support teams
Weak SD and Ops workflow
Complications:
Little or no predictive analytics
Silos infra and apps support
Addressed after users report
Complications:
Little Compliance Enforcement
Rollback is mostly manual
Ma
nu
al R
em
ed
iatio
n
22 22
Future State “Live” Operations
Incident & Problem
Actions:
Need for Cloud Analytics
Defined Super Metrics
Notification Workflows
Actions:
Act on certain smart alerts:
Increase memory
Increase storage
Restart a service
Resize a DB
Network Configure
Actions:
Act on “Change” Events:
Rollback
Notification
Performance Configuration
Benefits:
Shortens diagnosis effort
MTTR reduced for services
Prevents Service Outages
Improves Availability
Benefits:
% drop in perf issues
Less manual resolution
Prevents Outages
Benefits:
% drop in config outages
% rise in config compliance
Inte
lligen
t Au
tom
atio
n
23 23
Proactive “Live” Operations Key Enablers
8/27/2013
Proactive automated smart alerts for health, performance and capacity
degradation
Eliminate finger pointing, improve team collaboration and reduce manual
problem-solving efforts
Automated correlation of health, performance and change events at the
infrastructure and guest operating system level
Visualized application and infrastructure dependency mapping
automation
Key
Enablers
24 24
Benefits – Predictive Cloud Operations thru Automation
Agility
Reliability
Examples
Reduced downtime of Cloud Services
Improved adherence to SLAs
Improves quality of service and experience
Availability improved of business critical apps
Efficiency
Decreased non-Head Count-related
Streamlined automated remediation
Predictive measurement of cloud health and performance
Benefits &
Measures by
Dimensions
Increased speed to remediate faults or performance based
Predictive capacity and performance management
Rapid enhanced incident/problem RCA support and remediation
Automation and auditing of cloud service changes
25 25
Cloud Management Business Justification
Risk Of Ignoring
26 26
Quantifying Cloud Management ROI
27 27
Resources
Next Steps:
• Let us help you develop your Private Cloud Business Case
Whitepapers
• Controlling Virtual Machine Sprawl: How to Better Utilize Virtual Infrastructure
• How to Avoid the Hidden Costs That Derail Cloud Projects
• VMware vCloud Automation Center Extensibility Overview
Customer Case Studies
• Resources in the vCloud Automation Center page on VMware.com
VMworld Sessions
• VCM4952 - Practicing What We Preach: VMware IT on vCenter Operations
Management Suite and vCloud Automation Center (Monday 2:00-3:00)
• VCM5114 - IaaS Case Study: How the University of New Mexico Improved Service
Delivery Times Using vCloud Automation Center (Tuesday 5:30-6:30)
• VCM5240 - IaaS Case Study: How Apollo Group Delivered Business Relevant Cloud
Service Using vCloud Automation Center (Wed 10:00-11:00)
28 28
Other VMware Activities Related to This Session
HOL:
HOL-SDC-1307
vCloud Automation Solutions
Group Discussions:
OPT1004-GD
IT Financial Management for the Cloud with Khalid Hakim
OPT5474
THANK YOU
The Transformative Power and Business Case for
Cloud Automation
Rich Bourdeau, VMware
Rich Pleasants, VMware
OPT5474
#OPT5474
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