cloud computing metrics for successful business architecture and strategy capgemini tog washington...
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Cloud Computing Metrics for Successful Business Architecture and StrategyTRANSCRIPT
July 18 2012Mark Skilton, Global Director, Strategy Office, Global Infrastructure ServicesTechnical Led, Global Government Cloud Portfolio, GPSCo-Chair, Cloud Computing Work Group, The Open GroupMember, ISO JC38 UK Mirror+44 7787 [email protected] Twitter @mskilton http://uk.linkedin.com/pub/mark-skilton/1/189/968
Cloud Computing Metrics for Successful Business Architecture and Strategy
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Agenda
This session will introduce current work by Capgemini on Cloud Computing services and adoption strategies and how Architecture development is evolving to transition Customers and providers towards on-demand IT and Business Architecture models.
The work uses current insights and methods from Capgemini and also from Standards Body work including the Open Group Cloud Computing Work Group.
The session introduces a framework of how Big Data, Mobility, Social networks and Ubiquitous Computing is changing the landscape of Business and IT solutions. It positions how Cloud Computing may fit into these trends and how business and IT need to consider their value case and architecture choices from customer and provider view points.
The session concludes with examples of technology and business architecture roadmaps , metrics and design criteria for cloud or not cloud adoption
Key Takeaways
1. How to establish key services value cases for Cloud Computing
2. How to identify different Computer Architecture Patterns for security, quality and cost performance advantages and address architecture solution challenges
3. A framework for decision analysis and cloud computing services scenarios covering utility resources, big data, mobility, social networking and ubiquitous computing
2© 2011 Capgemini. All rights reserved.
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Capgemini are pioneers in the Cloud space
© 2012 Capgemini. All rights reserved.
Internally focussed on back office transactions. Strives for cost reduction Uses operational performance, standardization
to boost flexibility and agility. Seeks sharing/synergies as in ‘X’ aaS Driven by efficiency and effectiveness of IT
systems
Inside-OutThe evolution of IT systems
Customers
Suppliers
Partners
Social Website
Externally focussed on front office activity in the marketplace. Customer-centric, joined-up service Reduce time, cost and complexity. Pay-as-you-go Integrate with social and business network, improve customer
engagement to boost outcomes. Driven by the service and the business.
Outside-InThe revolution of business capabilities
Market
IT Application Secu
rity Bo
rderBack Office IT
Cost Reduction and Process Automation
Front Office ITMarket and Information
Value Producing
Web & Cloud Services
Innovation in business models
Inside-Out
Outside-In
From The Cloud: Time for Delivery. The Question is not “If”, but “How, Where & When”
Andy Mulholland, Capgemini, February 2012
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Disruption and transformation dominatethe technology landscape
© 2012 Capgemini. All rights reserved.
Disruption Forces
2011 2015
41
Cloud Services
150
63%
18%19%
65%
28%
8%
40%
54%
11%
39%
CAGR‘15/’11
Public cloud SI Service provider cloud Client on-premise cloud
Source: Forrester, Everest
SI Service provider cloud
‘11%Total
CAGR‘15/’11
41% 49%
36% 51%
18% 69%
4% 32%
18% 54%
Dynamicapplications
services
DynamicBPO services
Dynamicinfrastructure
services
Total =$7.5bn
Cloud-based integration
Buyer preferences are moving to on-demand, pay-per-use & “as a
Service” models
Market
Development of disruptive industrialized low-unit cost
business models
Industry
Undifferentiated traditional OS services are increasingly
commoditized
Services
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Cloud enabled Ubiquitous Systems
Devices ubiquity• New capabilities to use anywhere on any device from table, smartphone
Information Context Aware• The ability to collect, metricize , monitor and platform machine to machine M2M, machine
to human M2H telemetry across a wide range of structured, semi-structured and unstructured data
Situation Context Aware• The ability to create new physical and virtual environments with intelligence information
an process context from the level large to the very small.
Internet of Things• The ability to multiplex and multiplicity of entities, assets and services spacing beyond
the computing sphere into many other metasystems in social, commercial, organizational, biological and sustainability system models.
5© 2011 Capgemini. All rights reserved.
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Ubiquitous Systems
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New strategic business planning processes
Synthesis and model• How metadata , edge networks and metasystems need to connect across technical, social-societal,
economic, socio-political and biological spheres of influence and
Simulate & Test• How “live” systems and feedback have enabled a step change in the immediacy and indirectly
collection and creation a large data set footprints in the scale of Petabytes and exobyte magnitudes.
Interact• Ubiquitous methods and devices to span individuals, groups, networks and domains of interaction :
Places, Spaces, Pads, Boards, Tabs, embedded devices and micro and nano technology creating new experience visualization, metrics and feedback awareness.
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New strategic business planning processes
8© 2011 Capgemini. All rights reserved.
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How do we measure and direct this transformation ?
9© 2011 Capgemini. All rights reserved.
Resellers, VARs, Network Provider, Brokers, Aggregators, Orchestrators,..
Customers,Consumers,Buyers
OEM,Content,ProductsServices
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Cloud Consumer Metrics
10© 2011 Capgemini. All rights reserved.
CapitalandCash flow
Customers,Consumers,Buyers
Building ROI from Cloud – The Open Group Paper
Increase Margin
Optimized Asset Capabikities
Access to Skills & Competency
Speed and Rate of Adoption & Cost reduction
Optimize Asset Utilization
Rapid Provision /
Deprovision
Risk and Security Efficiency
Dynamic Usage
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Cloud Consumer Metrics
11© 2011 Capgemini. All rights reserved.
RevenueandGrowth
Customers,Consumers,Buyers
Building ROI from Cloud – The Open Group Paper
Increase Margin
Optimized Asset Capabikities
Access to Skills & Competency
Speed and Rate of Adoption & Cost reduction
Optimize Asset Utilization
Rapid Provision /
Deprovision
Risk and Security Efficiency
Dynamic Usage
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Cloud Producer Metrics
12© 2011 Capgemini. All rights reserved.
Operational Efficiency• Latency of Service provisioning• Latency of Service delivery• Speed (Velocity) of Service
provisioning• Speed (Velocity) of Service delivery• Cost of Service Management - per
Product Activity• Level of Automation – stages, end to
end• MTBF – Service robustness• RTO efficiency• RPO efficiency
Operation Efficiency
Product PortfolioManagement
Competency
Market NetworkEfficiency
Margin Effectiveness
Asset ServiceEfficiency
Security Efficiency
Legal Effectiveness
Product Portfolio Management• Product Granularity – Size of Unit
Price/Cost • Competitive Price mix – Price benchmark • Price per SLA point – SLA benchmark • Strategic Platform Vendor Partner
leverage – • Intellectual Property Value of Portfolio• Reseller index of Portfolio • Technology refresh index• Openness – Technology standard
containers, APIs use• License Openness – flexibility, time
granularity• Transition mix – Support Own , blended,
Legacy• Technology version mix – support of OS,
Container, API types
Competency• Staff Skills competency – legacy vs
new skills• Staff utilization mix – demand
support – legacy versus new • Own versus 3rd party resource
supply topology
Market Network Efficiency• Addressable Market size share• Network integration integrity
ownerships – loose coupling index – own / 3rd party
• Number of Social Node vertices connections per Product / market / Account
• Number of gateway , stores ownerships – loose coupling index – own / 3rd party
Margin Effectiveness• Reoccurring Revenue • Reoccurring Margin• Margin scale
• Augmented services • Down scale• Cross scale• Up scale• Blended
• ARPU – average revenue per user / account
• ARPM – average revenue per market / account
• Churn – customer / account retention
Asset Service Efficiency• Cost of Asset efficiency
• Hardware cost per unit• Storage• Server• Network• OS
• Software cost per component
• Service cost per unit • Multi-Tenancy efficiency ratio• Physical versus Virtual asset
efficiency ratio• Cost of Sustainability, CSR
index
Cloud producer Metrics – Draft The Open Group Paper
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Cloud Intermediary Metrics
Cost of Integration Symmetry – balance , diversity Contiguity – joined up Security and Trust Distributed Workload Interoperability Use case
• How a Cloud Computing Workload can be part processed or distributed across distributed resource pools
Marketplace Interoperability Use Case• How a Cloud Computing Service sourced from one Marketplace
case operate in another marketplace.• The marketplace is defined by the metadata semantics ,
standards
Platform Equivalence Portability Use case• How the cloud platform for a service is comparable and the same
if the service was ported to another Cloud Platform Use Case• Example: the same Application can run or two or more different
Mobile Cell phone Platforms
Service Equivalence IOP Use Case• How a cloud service running on a cloud platform can interoperate
with another cloud or non-cloud platform
13© 2011 Capgemini. All rights reserved.
Resellers, VARs, Network Provider, Brokers, Aggregators, Orchestrators,..
Operation Efficiency
Product PortfolioManagement
Competency
Market NetworkEfficiency
Margin Effectiveness
Asset ServiceEfficiency
Security Efficiency
Legal Effectiveness
Increase Margin
Optimized Asset Capabikities
Access to Skills & Competency
Speed and Rate of Adoption & Cost reduction
Optimize Asset Utilization
Rapid Provision /
Deprovision
Risk and Security Efficiency
Dynamic Usage
Consumers Producers
Interoperability & Portability , Cloud Broker – WIP The Open Group Guide and Paper
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These ecosystems exist
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These ecosystems exist
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How will structural changes occur ?
16© 2012 Capgemini All rights reserved.
Integration acrossmultiple Devices &
Platforms
Multiple development environments
Multiple ResourceEnvironments
IntegratedEcosystem
Group PlatformsISV PlatformsVertical Industry Platforms
MicrosoftSalesforce.com
VmwareEMCOpenstack/EucalyptusRackspace
AmazonRackspace
Hosting
Security Service
Automatesmany commonServices
VerticalMarketCloudPlatforms& Solutions
IntegratesSocial Networks
IntegratesMarkets
IntegratesBusiness processes
Integrated Channels
Integrated multi-cloud
B2B
G2B
B2C
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But enabling adoption willneed Standards Governance
Requirements
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How to identify the Business Portfolio Fit Cloud enables solutions fit across the whole enterprise portfolio, not
just commoditization
Cloudslam2012 Mark Skilton May 2012
18© 2012 Capgemini. All rights reserved.
Cloud EnabledEnterprisePortfolioRightcloud TM
Examples
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Where and When to accelerate the use of Cloud enabled on-demand Products and Services
19© 2012 Capgemini. All rights reserved.
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Transition to on demand Business Architectural models
20© 2012 Capgemini. All rights reserved.
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CIEL Cloud Interactive Ecosystem Language
21© 2011 Capgemini. All rights reserved.
Development with The Open Group, Cloud Computing Work Group
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“Night in the Clouds”- Cloud Security Case studyCIEL Cloud Interactive Ecosystem Language
22© 2011 Capgemini. All rights reserved.
CIEL Concepts and Metadata – Draft The Open Group Paper
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Conclusions
23© 2012 Capgemini . All rights reserved.
Infrastructure has moved into an enabling architecture across “multi platforms”. Many vendors I’m seeing in the market are differentiating on this. By that we can run on many different devices and OS’s. This leads to Multiple Platform capabilities (Windows, Linux, Proprietary etc)
Many developments are occurring in Standards and modularization of hardware devices and Software services such as virtualization and SaaS. Systems Integration is becoming converged networks , converged servers, converged storage, converged, apps, converged processes. Systems Integration becomes more complex if moving across data and services between multiple providers and services. Service Orchestration is the convergence hub to engage different needs of technology in a stepwise migration. Business Infrastructure is this, infrastructure to enable business (not just IT)
Enabling Business to interact and evolve
Enabling Business to migrate and transform
Many commercial and social collaborationsare across multiple devices and platforms
Complexity in manyservices, interfacesan technology standards.
Traditional On-PremiseEnterprise Technology can not deliver solutions into todays ecosystem How to get growth in the
ecosystem through channelsand User Experienceis underpinned by agileinfrastructure
Many customers and providers are seeking how to get growth in their ecosystem through channels and better user experience. Being able to understand the products and catalogs to enable on-demand rapid services is enabled through a Service Orchestrator framework that managed core ecosystems services such as security, provisioning, on-boarding, metering , service levels, performance, innovation and integration.
Enabling Business to grow and compete
Business aims challenges Technology Context
Many organizations by end 2012 will have multiple Cloudservices on and off premise (Gartner)
www.capgemini.com
The information contained in this presentation is proprietary. ©2012 Capgemini. All rights reserved