TechGate 2013 presentation on "Managing Hybrid IT Through Cloud Service Brokerage"

1. Managing Hybrid IT through Cloud
Service Brokerage
Kevin L. Jackson
Vice President and General Manager, NJVC Cloud Services
TechGate 2013
September 21, 2013

2. A New Approach For IT: Cloud Service Integration
Build your new cloud ecosystem
Embrace hybrid IT and recognize various
stakeholder needs
Use a IT supply chain management paradigm
Complement and extend current IT infrastructure
Expect change and plan for it
NJVC, LLC Proprietary Data. Do Not Distribute
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3. Cloud
VAR
Cloud
builder
Cloud
enabler
Cloud
integrator
Cloud
infrastructure
provider
SaaS
provider
Cloud
Broker
Modified from Forrester: August 10, 2011 “Cloud
Broker — A New Business Model Paradigm”
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Cloud Services
Ecosystem
Hosting Provider
Pure
ISV software
Pure
consulting
Transitioning to Cloud Requires a New IT Ecosystem
and Operational Model–Hybrid IT

4. Adopting Cloud and Hybrid IT:
Problems for Government and Commercial Enterprises
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Public Clouds
Managed Services
Private Clouds
ITO
A
D
B
C
Fortune 500
Enterprises
Agency,
Business
and IT
Users
CFO
Cloud
Admin
CIO
Secure Cloud Services
and Ops Integration
No One Way to Manage
Financial Transactions for
Cloud B2B Contracts
Multiple Providers
Control and
Alignment
Access, Solution & Consumption


5. Cloud Services Brokerage Provides IT Supply Chain
Management
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Infra Perf
Management
App Perf
Management
Backup
Management
Security
Monitoring
Managed Updates
Disaster Recovery
ManagedServicesCloudsConsulting/Operations
Public
IaaS
Private
PaaS
SI
Private Cloud
Secure, Enterprise Cloud
Savvis
Public Cloud
DR Cloud
Amazon
Public Cloud
Test/Dev Cloud
Private
IaaS
For the Broker:
• Enhance the
merchandizing
and ordering
experience
• Improve
customer
satisfaction
• Make it easier to
do business with
cloud and
managed
services
providers
ITaaS Products
For Agencies/Biz:
• Fast IT
• Easy to use
• Cost visibility
• Choice
• Flexibility
• Control
CloudandITServicesProviderEcosystem

6. Cloud Services Brokerage Complements Cloud
Management Platforms
6
Commerce Broker Catalog and Pricing Engine
Sourcing and Procurement Engine
Solution Design and MatchingCloud
Services
Broker
CIO and CFO Command and Control
External Service Provisioning Engine
IT Architects
Public
Iaas
Paas
Public Providers
VMWARE
Cloud Foundry GreenPlum
AWS, Terremark, Savvis
vBlock
VMWARE
Cloud AutomationHybrid Cloud
Management
Self-Service Catalog
ITSM Service
Request Catalog
Open
Stack
Enterprise
(Private Cloud)
Typical
Enterprise
Platform
Workflow Mgmt.
CIO/CFO Sourcing/Procurement Mgrs Systems Integrator

7. Cloud Services Brokerage Supports Entire Cloud IT
Lifecycle and drives Operational Excellence
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• Compare
applications
• Identify target
infrastructure
• Estimate
readiness and
value of cloud
• Select
candidate
application
Screen
• Define capacity
• Estimate
migration ROI
• Build migration
business case
• Project
migration
roadmap
Plan
• Define
environments
• Design arch
layers
• Simulate
application
architecture
• Estimate
monthly bill of
materials
Configure
• Approve bill of
materials
• Approve Ts
& Cs
• Submit
aggregated
order
• Instantiate and
deploy
resources
Source
• Monitor
resource use
• Monitor
periodic spend
• Ensure provider
compliance
• Execute
recalibration
when needed
Govern
Recalibrate and Optimize

8. Transition Challenges: Learn from Uncle Sam!!
 Focus on mission or business, not
technology
 Organizations of any size will use multiple
clouds
 Normalize technical capabilities and prices
when comparing cloud services provider
offerings
 Holistically managing and monitor cloud
services providers
 Avoid vendor lock in
 Realize the full economic and operational
value of cloud computing
 Understand and eliminate hidden costs
associated with cloud 2

9. Use Case: The State of Texas
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Ancillary
Services
Application
Workload Portfolio
State
Agencies
Cloud Services
Broker
CTO/IT
Architects
Cloud design (app
arch, service agg &
capacity model)
Sourcing &
Procurement
Managers
Spend Analysis &
Order Mgmt
Cloud
Ecosystem
Operator
State of Texas
CIO
Command &
Control
IT Ops Mgrs
& Sys Admins
Dashboards
Resource Mgt
Cloud Onboarding, Managed Services
Market Management
Managed
Service
Providers
VAR/
System
Integrator
 Four agencies currently operating in this model
 Saved 30 – 50% in infrastructure costs when
compared with internal data center costs
 Improved agility to onboard to cloud by more
than 5X
Gravitant
cloudMatrix platform
Commodity
Cloud
AWS
Enterprise
Cloud
Savvis
Terremark
Security
Services
Gazaang Security
Certificate VPN
Managed
Services
Backup monitoring
with 3rd providers

10. Use Case: NCOIC Geospatial Community Cloud
Demonstration
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11. 70% of IT Organizations Believe Cloud Lowers Costs1,
but Leakage Eats Away at Promised Savings
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$0
$10
$20
$30
$40
$50
$60
$70
$80
$90
AnnualCosts($k)
Leakage
reduces cost
savings
8% actual cost savings
57% promised
savings
Sources of Cloud Leakage Other Key Challenges
1. The cloud takes shape - Global cloud survey: the implementation challenge, KPMG, January 2013.
• Technical complexity
• “Phonebooks” of APIs
• Uncertain availability and performance
• Shortcut design and approval cycles
because cloud is “too” fast and easy
increases risk
• Sourcing complexity
• Apples to oranges sourcing choices
• Constantly changing pricing/packaging
• Different and complex bills
• Financial complexity
• Identifying pricing arbitrage
• Financial “leaking faucets” from sprawl
• Hard to view actual costs and predict future
costs

12. Cloud Service Brokerage:
A Practical Path to Cloud Computing
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 Easy to Use and Manage
 Solution Design and Matching
 Automated Sourcing and Billing
 Pricing Arbitrage and Optimization
 Closed-Loop Decision Support
 Risk Reduction

13.  When adopting the cloud computing model or hybrid IT,
large enterprises also need to consider cloud services
brokerage ad integration
 Cloud services brokerage is the step key step towards IT
supply chain management and operational excellence
 Cloud services brokerage is a proven model that delivers
real value
 Cloud services brokerage is practical and can reduce the risk
of transitioning to the cloud
Lessons Learned:
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14. Questions and Answers
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15. ThankYou
Kevin L. Jackson
Vice President & General Manager
NJVC Cloud Services
703.429.9073
kevin.jackson@njvc.com
www.njvc.com
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