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Mark Troester

CIO/IT Product Marketing

Cloud Computing

Overview

1

Copyright © 2011, SAS Institute Inc. All rights reserved.

CIO/IT Product Marketing

Copyright © 2011, SAS Institute Inc. All rights reserved.

WHY CLOUD COMPUTING?

“The cloud computing model can significantly help agencies 

grappling with the need to provide highly reliable, 

innovative services quickly despite resource constraints.”

innovative services quickly despite resource constraints.

Estimated portion of Federal IT spend 

able to move to the cloud

2

Copyright © 2011, SAS Institute Inc. All rights reserved.

Federal Cloud Computing Strategy

US CIO, Vivek Kundra

Feb 8, 2011

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NIST

Cloud Computing Defined

Cloud Computing

Cloud computing is a model for enabling convenient,

on-demand network access to a shared pool of configurable

computing resources (e.g., networks, servers, storage,

applications, and services) that can be rapidly

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Copyright © 2011, SAS Institute Inc. All rights reserved.

provisioned and released with minimal management

effort or service provider interaction.

The National Institute of Standards and Technology (NIST)

CLOUD ANALOGY: HOW DO YOU CONSUME MUSIC TODAY?

Complementary not replacement:

Internet music is not completely 

replacing traditional music sources

What drives this move?

Technology advances, cost, 

convenience, easy / fast access

(3)

UNDERSTANDING COMPUTE ENVIRONMENT

Users interact with 

their PC, Smartphone, 

or tablet

Users should be unaware of 

where the application or 

service is hosted

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Copyright © 2011, SAS Institute Inc. All rights reserved.

On‐Premise

Copyright © 2011, SAS Institute Inc. All rights reserved.

Cloud

THAT ALL LOOKS EASY UNLESS YOU ARE IN IT!

Administrate & 

Manage

Deploy, Administer, 

Support, Secure, 

Troubleshoot & Repair

Software 

Applications

Design, Develop, 

Maintain & Enhance 

Applications

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Copyright © 2011, SAS Institute Inc. All rights reserved.

Physical 

Infrastructure

Procure, Install, 

Manage, Monitor, 

Fix & Replace

Copyright © 2011, SAS Institute Inc. All rights reserved.

(4)

DO WE MAKE IT EASY FOR IT?

Users want

Limited

Users want 

more

Limited 

resources

Internal needs – more apps, better

IT often doesn’t have the budget 

IT / CIO

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Copyright © 2011, SAS Institute Inc. All rights reserved.

Internal needs  more apps, better 

data and analysis, new machines & 

devices

External needs – we want to serve 

our constituents more effectively by 

offering cutting edge services

g

that it feels is necessary

Tremendous cost and productivity 

pressure

It’s difficult to hire, train and retain 

staff

CLOUD IS A FORM OF OUTSOURCING

To achieve economies of scale, concentrate on core functions, etc., 

organizations outsource both physical goods and services

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Outsourced parts for 

manufacturing

Outsourcing can be external or internal…

The public cloud is a form of outsourcing

The private cloud is used to gain efficiencies

Outsourcing strategic planning to consulting, tax 

compliance and accounting functions, customer 

service, payroll

Cloud is a form of 

outsourcing

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CLOUD: WHAT MAKES IT POSSIBLE?

Internet 

Access

Virtualization 

& Grid

Commodity 

servers

Web services 

interface

9

Copyright © 2011, SAS Institute Inc. All rights reserved.

Ubiquitous Access

Low cost, plug‐in 

approach

Distribute or share 

work across multiple 

machines

Everything speaks a 

common language

Copyright © 2011, SAS Institute Inc. All rights reserved.

PUBLIC CLOUD EXAMPLES

Consumer

Business

10

Copyright © 2011, SAS Institute Inc. All rights reserved.

E‐government, Analytics, Public 

sector software offerings for 

finance, human resources, 

community development, public 

safety, justice, etc.

E‐Learning as a Service

Government 

& Education

(6)

STANDALONE SERVERS: UNDERUTILIZED OR OVERBURDENED

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Copyright © 2011, SAS Institute Inc. All rights reserved. Copyright © 2011, SAS Institute Inc. All rights reserved.

Server utilization varies based on usage –

peak usage = service issues, low usage =  under‐utilized resources

VIRTUALIZATION EFFECTIVELY USES SERVER RESOURCES

Virtual Machines

App

OS

App

OS

App

OS

App

OS

App

OS

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BENEFITS OF THE CLOUD

Reduce Cost

Flexible, scalable, cost effective model that does not tie 

you to out‐of‐date infrastructure or application 

investments

investments

Can reduce the upfront financial commitment and support 

pay‐as‐you‐go model

Focus on Core Competency

Enables rapid development and deployment of complex 

solutions without the need for in‐house expertise

Let 3

rd

party manage the hardware and software –

upgrades are automatic, scaling up or down is easy 

Copyright © 2011, SAS Institute Inc. All rights reserved.

CLOUD

It’s not just Applications

Up to this point, we’ve focused primarily on applications

running in the public cloud, but that’s not all…

• Let’s talk private, community, hybrid clouds &

• Infrastructure Platform and Software

as a Service

Copyright © 2011, SAS Institute Inc. All rights reserved.

(8)

CLOUD, PRIVATE, HYBRID CLOUDS

Hybrid Cloud

Private Cloud

Public

Off Premise / Service Provider

Private Cloud

Public 

Cloud

The Cloud

15

Copyright © 2011, SAS Institute Inc. All rights reserved. Copyright © 2011, SAS Institute Inc. All rights reserved.

http://en.wikipedia.org/wiki/Infrastructure_as_a_service#Infrastructure

Off Premise / Service Provider

On Premise / Internal Data Center

POTENTIAL SaaS DISADVANTAGES OF THE PUBLIC CLOUD

Security & privacy

Regulatory compliance  

Integration

Dependency on cloud provider

Loss of control

(9)

WHY PRIVATE CLOUD? WHY NOT JUST USE PUBLIC?

Private clouds address security, regulatory and 

ownership issues relating to public cloud

Cloud approach embodies best practice for technology 

and process

Self Service: Easy self‐service provisioning of applications

Resource pooling: Effective use of compute resources 

(resource pooling)

Elasticity: Flexible scalability (up or down) based on need

Copyright © 2011, SAS Institute Inc. All rights reserved.

Elasticity: Flexible scalability (up or down) based on need

Measured service: Ability to meter usage (IT charge backs)

SaaS, PaaS, IaaS…

Software‐as‐a‐Service

This is the business or application  software that 

the end user leverages

Applications

Platform‐as‐a‐Service

Frameworks, Runtimes, Security, Database

Infrastructure‐as‐a‐Service

Serviced‐based virtualized physical infrastructure

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the end user leverages

This is the foundation software that the 

business or application software is built with

This is the computer infrastructure such as 

raw storage and compute power

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Copyright © 2011, SAS Institute Inc. All rights reserved. Copyright © 2011, SAS Institute Inc. All rights reserved.

Physical Infrastructure

Hardware servers, Storage Devices, Network

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GOVERNMENT SUCCESS: STATE OF NORTH CAROLINA

"CJLEADS brings together disparate criminal justice

data to help create a more rounded profile of

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offenders and provides a single source of

information from a variety of criminal justice

organizations —including court, warrant, probation,

parole and local jail information — which agencies

can access securely via the Web."

$7 Million Cost Savings

$7 Million Cost Savings

19

Copyright © 2011, SAS Institute Inc. All rights reserved.

$7 Million Cost Savings

$7 Million Cost Savings

Copyright © 2011, SAS Institute Inc. All rights reserved.

EDUCATION SUCCESS: NC STATE / WILSON COUNTY

“We have immediate access to the software, we can use it 

on several computers, and there aren’t any disks to install or 

any lengthy configuration required,” Payton says.

Fay Cobb Payton, PhD Associate Professor, Information 

Technology

Over five years, we reduced our discipline incidents by 60 

percent by working with SAS to uncover the problem and 

executing a plan of action ”

executing a plan of action.

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YOUR CLOUD STRATEGY SHOULD BE DRIVEN BY VALUE

The technology is interesting, but what is 

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important is how the cloud can help you

Provide better service to your constituents, 

students, employees

Faster time to value while properly managing the 

trade‐offs

Copyright © 2011, SAS Institute Inc. All rights reserved.

Cost is always an important factor

Questions / Discussion

[email protected]

Twitter: @mtroester

References

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