The Cloud Management Scenario

(1)

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Donna Scott

(2)

#GartnerSYM

We Have Seen This Picture Before

but Cloud Computing Is Different …

Limited IT

Supply

Digital

Business

IoT

Mobile

Analytics

Social

(3)

Key Issues

1. What is the state of cloud management

in the enterprise?

2. How are the key cloud management

technologies and their benefits?

3. What best practices should enterprises pursue

to increase chance of success in cloud

management across public, private

and hybrid services?

(4)

#GartnerSYM

Key Issues

1. What is the state of cloud management

in the enterprise?

2. How are the key cloud management

technologies and their benefits?

3. What best practices should enterprises pursue

to increase chance of success in cloud

management across public, private

and hybrid services?

(5)

Two Views of Cloud:

Consumer and Provider

Cloud Consumer

Drivers

Cloud Provider

Drivers

Fast and Frictionless

Programmability

Repeatability

Speed of Service

Save time

and money

Make money

Gain market share

Improve margins

Speed access

Free up

time and

resources

(6)

#GartnerSYM

But There Is Another View:

The IT Service Broker

Public

_Hybrid

Private

Governance

Manage Costs

Manage Suppliers

Develop and

Enforce Policies

Map demand

for IT to Supply

Optimize Business

Outcomes

Source Suppliers

(Internal/External)

Anticipate

Customer Needs

Manage Risk

and Compliance

Develop

and Maintain Service

Catalog

(7)

Cloud Service Broker Is an Emerging

Enterprise Role — Customer Quotes

"AWS is not cost-effective for applications running 24/7."

— Large grocery chain

"We found that unless there is a culture change to scale

down or turn off applications or VMs when they are not

used then you don't get the realized cost benefits

of cloud."

— Healthcare provider

"Cloud service brokers perform cost and SLA

comparisons across providers. They make IaaS

acquisitions easier and smarter by having cost visibility."

(8)

#GartnerSYM

You Will Not Be Able to Reign

in the Public Cloud

But You Can Manage and Govern

Cloud Service Usage and Budgets —

Both Private and Public

Key Workloads Already in the Public Cloud:

• Web/Mobile/Analytics

(Systems of Innovation and Differentiation)

• HPC

(9)

Hybrid

Private, Public and Hybrid Cloud

Computing Requires Management

Public

Private

Public

Hy

bri

d

• Service design

• Service deployment

• Service migration/mobility

• Service management/optimization

• Workload management

• Policy enforcement and orchestration

• Cost optimization

(10)

#GartnerSYM

The State of Cloud Management:

Inadequate

Function

Grade

Role-service broker

D+

Visibility of external cloud services

B-Governance over external cloud services

D+

Implementing private clouds for internal service

delivery

C-Financial management and benchmarking —

service delivery internal versus external

D+

Service management over cloud services

C-Service optimization/mobility

F

Cloud Strategy upon which management is built

(sourcing, data centers, locations)

C-Standardization of software stacks for reuse

C

Management of cloud provider risks

C

(11)

Key Issues

1. What is the state of cloud management

in the enterprise?

2. How are the key cloud management

technologies and their benefits?

3. What best practices should enterprises pursue

to increase chance of success in cloud

management across public, private

and hybrid services?

(12)

#GartnerSYM

Key Cloud Management Solutions

and Technologies

• Software Defined Data Center

• Cloud Management Platform

• Cloud Service Brokerage Marketplace

Aggregation

(13)

Software Defined Data Center — Key Goal

Is Programmability Across Public & Private

Software-Defined Data Center

SDN

SDS

SDC

SDF

SD

Storage

SD

Network

SD

Facilities

SD

Compute

Software-Defined Application Services

M

anagement

and

Pol

icy

Soft

w

ar

e

-De

fined

Securi

ty

App 1

App 2

App X

Hybrid

Public

Private

Removes Software

Dependence on

Infrastructure

Enables Less

Complex Service

(and Data) Mobility

Enables Real-Time Infrastructure

(14)

#GartnerSYM

Will You Require Both CMP

and CSB Technologies?

Cloud Mgmt.

Platforms

CSB Marketplace

Enabling

Technologies

Used by enterprises

and ESPs primarily

to deliver internally

developed cloud

services to

customers

Used by ESPs and

some enterprises primarily

to deliver externally

developed cloud services

to customers

• Technical cloud

services

• Service governance

• Service management

• Service optimization

Strengths:

• Public cloud services

• Marketplace and clearing

house primarily for service

providers and resellers

• Financial management

• Comparison

shopping

Strengths:

Strategic Planning Assumption: By 2016, users of CMP

technology will shift brokered services from 95% internal

and 5% external to 75% internal and 25% external.

• Catalog

• IAM

• Provisioning

• Workflow

• Policy

• Governance

• Chargeback

Overlap:

(15)

CMP Enables Policy Enforcement

and Multi-Cloud Management

Virtual and Physical Resource Layers

Mission-Critical

Internal

Test/Lab

OUT

Not Mission-Critical

IN/OUT

Multi-Cloud Management

Access Management

Service Management

Service Optimization

Manage to SLAs

Self-Service

Hybrid

Public

Private

Clou

d

Managemen

t

Platfo

rm

V

irtualization

and

Phy

sical

Lay

er

External

Managemen

t

A

PIs

(In

cident

/Chan

ge/Release,

A

nal

y

tics)

(16)

#GartnerSYM

Manage Vendor Risk:

CMP Market Is VERY Fragmented

Vendor

Example Vendors

Strength

Challenge

Infrastructure

Software

Microsoft, Oracle,

Red Hat, VMware,

Degree of Platform

Integration

Degree of

Heterogeneity

Large ITOM

BMC Software,

CA Technologies,

HP, IBM

Breadth of

Functionality, Including

Service Management

Degree of Complexity

Open Source

OpenStack,

CloudStack/Citrix,

Eucalyptus*, Scalr

Momentum

Depth of Functionality

Integrated

Infrastructure

Systems

Cisco, Dell, HP,

IBM, VCE

Hardware and

Software Integration

Lock-In to Hardware

Infrastructure

Emerging

Adaptive Computing,

CloudBolt Software,

Egenera, RightScale

Best-of-Breed

Functionality in One or

More Areas

Size, Exit Strategy,

Longevity Risk

CSB Vendors

Adding CMP

CliQr, Gravitant

Decision Analytics on

Multi-Cloud Sourcing

Size, Exit Strategy,

Longevity Risk

We Estimate No Vendor to Have More Than 10% Market Share

(17)

OpenStack: Momentum but Still

Very Early and Immature

• Adoption is low; but momentum is high.

• As of 1H-2014, there were 209 production

implementations of OpenStack

(based on survey data of 1780 responses

not comprehensive count).*

• OpenStack is in its 9th release (Icehouse).

It is considerably behind AWS but is ramping up.

Question is whether it will be fast enough.

• Key drivers are: Commodity hardware, systems

of innovation/differentiation and ability to use private

and/or public cloud.

• OpenStack is a project/framework, not a product.

• OpenStack lacks enterprise features such as resiliency,

and rolling upgrades.

• OpenStack does not deal with the underlying

infrastructure.

• HP

• Metacloud*

• Mirantis

• Piston

Cloud

• Red Hat

Sample

Vendors:

(18)

#GartnerSYM

CSB Marketplace Enablement Vendors

• Aggregated and federated

service catalog with integration

to providers' cloud services

• Cost and SLA comparisons

of public cloud providers

• Decision analytics

• Rightsizing and cost optimization

• Single sign-on

• Aggregated billing

and chargeback

•

2 nd

_Watch

• AppDirect

• CloudHealth

Technologies

• ComputeNext

• Gravitant

• Jamcracker

• Parallels

• Most CMP vendors

(19)

Adjacent Markets:

DC Metering

Software Metering

Service Catalog

Enterprise Billing

Infrastructure Billing

Business Operations

Planning

Project Financials

Budgeting

IT Spend Management

Telecom Billing

PPM and Service

Management

Service Costing

Chargeback

IT Financial Management Tools

(20)

#GartnerSYM

CMP Futures

Private Cloud

Public Cloud

Workload Mobility

Better Service Design

and Deployment Across

Cloud Providers

More Intelligence

and Policy

(21)

Key Issues

1. What is the state of cloud management

in the enterprise?

2. How are the key cloud management

technologies and their benefits?

3. What best practices should enterprises pursue

to increase chance of success in cloud

management across public, private

and hybrid services?

(22)

#GartnerSYM

Strategy Should Come First

Vision

Goals

Justification

Criteria for

"What to Run

Where"

Inventory

of Current

Assets

Impact on

DC Strategy

Management and

Governance Architecture

Impact on

Applications

Prioritization

and Execution

(23)

Pace Layering Can Help IT With Cloud

Strategy and Brokering Requirements

Systems of Record

Systems of Differentiation

Systems of Innovation

Controlled

Ops.

Agile Ops.

Proven,

Supported

Infrastructure

Emerging

Technology

Less Mission-Critical

More Mission-Critical

Pace-Layered

Application Strategy

HW/SW

Infrastructure

IT Operations

SaaS

Fit for Purpose,

Dedicated or Cloud

Architecture

Cloud-First

(24)

#GartnerSYM

Control Implications of Different Models:

Make Sure You Compare Apples to Apples

Network

Storage

Server

VM

App

Data

Network

Storage

Server

VM

App

Data

Network

Storage

Server

VM

App

Data

Network

Storage

Server

Services

App

Data

Network

Storage

Server

Services

App

Data

Organization Has

Control

Organization Shares Control

With Service Provider

Service Provider

Has Control

Dedicated IT

_Hosting

Provider

Public IaaS

_{Public PaaS}

Public SaaS

(25)

New Roles — Think Supply Chain

Service

Catalog

Cloud

Consumers

Service

Managers

_Cloud

Service

Brokers

Automated

Service

Delivery

Cloud Architects

Automation

Specialists

_Products,

Resources,

Components

IT Finance

(Costing, Charging)

Cloud

Platform

Services

(Plan, Optimize)

External

Services

Supplier

(26)

#GartnerSYM

Major Decision Point: Should You Build

a Private Cloud to Offer Cloud Services?

Drivers

Inhibitors

• Transformational to deliver on

business value, agility, cost.

• Security, compliance.

• Cost of service delivery.

• IT is IP.

• Desire for IT to go beyond

run-the-business to systems of innovation

and differentiation (bi-modal IT).

• Lack of skills and roles

(architecture, engineering,

automation, financial

management, service definition).

• Desire to focus on higher level

business value.

• Keeping up with technology

innovations and customer

requirements (it is not a one-time

investment).

• Public cloud keeps dropping

in price.

• Enterprise vendors not stepping up

to the plate with private cloud: too

complex, not prescriptive, takes

time, etc.

(27)

Decision Framework:

Is Private Cloud Right for You?

Attribute

Build Private

Cloud

Use Managed

Virtual

Private Cloud

Use Public

Cloud

>5% of revenue spent

on IT (IT is IP)



Significant IT skills in

integration, development,

architecture



Don't want to focus

on infrastructure



Have workloads

with significant

(28)

#GartnerSYM

The Real Benefit Comes With Cloud

Application Attributes

Assess Which Existing Applications

Would Benefit With Rearchitecture

Data Center Location

Latency

Compliance

Multisite Operation

Data Synchronization

Software Licensing

Time It Takes to Move

Conflict Resolution

Migration Across Providers

Cloudbursting

Migrating to the Cloud Does Not Magically

Give Your Applications Cloud Attributes

(29)

Action Plan for CIOs

Monday Morning:

-

Assess

your data center, business management of IT and cloud

computing strategies.

Document

your hybrid IT vision and how

your strategies will change.

-

Use

Gartner's pace layered strategy as input into your cloud

computing strategy.

Next 90 Days:

-

Decide

whether you want to offer private cloud services.

-

Invest

in roles to assure success with cloud computing

management and governance.

Next 12 Months:

-

Execute

on your cloud computing strategy.

(30)

#GartnerSYM

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

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

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

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