Designing an IT infrastructure aligned on business drivers. How to prove that an IT infrastructure creates business value.

1. Open for Business…

2. WHO AM I
• Big Data / Analytics / BI & Cloud Solutions Specialist
• http://www.linkedin.com/in/JulioPhilippe
• Skills
Architecture
Business Intelligence
IT Transformation
Cloud Computing
IT Solutions
Management
Mentoring
Big Data
Analytics
Business Development
Hadoop
Datacenter
Optimization
Data Warehousing
2
Designing an IT Solution

3. WHY IT TRANSFORMATION
Observations
Next Steps

Misrepresented as solution or service

Product approach

Solution approach based on a
framework
-

Development is reactive
-
Expose the pains without offering
solution


Don’t survive to maturity


Crisis control management


Never present an “Enterprise” view

Don’t measure the IT performance and
value



3
-
Business Model
IT Model
IT Maturity Model
IT as a Service
Reusable and repeatable solutions
Business value management
Continuous change management
Measuring IT performance and value
Designing an IT Solution

4. SOLUTION APPROACH VS. PRODUCT APPROACH
Business Value
Added Value
Business Stakes
4
Designing an IT Solution

5. FROM BUSINESS TO INFRASTRUCTURE
Objective
Information
Business
Strategy
Process
Flow
Procedure
Organization
User
Function
Application
Tool
Technology
Data
5
Hardware
Designing an IT Solution

6. ARCHITECTURE ON 3 LAYERS
•
Business Architecture
•
•
•
•
Application Architecture
•
•
•
Software
Applications
Technical Architecture
•
•
6
Business needs
Data model
Flows diagram
Hardware
Tools
Designing an IT Solution

7. BUSINESS DRIVERS - EXAMPLES
Telecommunications
Manufacturing
•
Resources Consolidation
•
•
Manufacturer / Supplier collaboration
•
Reengineering sales
•
Re engineering distribution
•
Intensified focus on customer
•
•
•
•
•
•
Costs Reduction
•
Eco Responsibility
•
•
•
7
Provide direct information access
Citizen services enhancements
Public security
Provide timely access to decision support
information
Accomplish more work with fewer
resources
Recognize and adapt to frequent business
process changes
Eco Responsibility
•
•
•
•
•
•
•
•
•
Retail
Government
•
•
•
•
Convergence audio/video,
fixed/mobile
Internationalization
Outsourcing
Customize Services
Costs Reduction
Eco Responsibility
Banking & Insurance
•
•
•
•
•
•
•
•
•
Need to manage profitability and control
expenses
Increased competition from providers
Need to mitigate current and emerging risk
Increased regulatory pressures
Industry consolidation
Consumers adoption of electronic channels
and payments
Consumers concerns about security and
privacy
Costs Reduction
Eco Responsibility
Designing an IT Solution
Increase banking and financial transaction
Critical size on the market
International development
Banking and financial regulations
observance
Inheritance optimization and
management
Activities diversification
Increase risks management
Eco Responsibility
Costs Reduction
Media & Entertainment
•
•
•
•
•
•
Emerging media environments
Evolving consumer behaviors
On-going technological innovation
Increasing scarcity of consumer
attention
Costs Reduction
Eco Responsibility

8. BUSINESS DRIVERS - EXAMPLES
Education & Research
Healthcare
•
•
•
•
•
•
•
Accelerating Employers
Led Initiatives - Consumerism Entering
Healthcare
Accelerating IT Adoption Among Providers
New Consumers-centric Technologies
Disintermediation of Care
Patient Security
Costs Reduction
Eco Responsibilityy
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•
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•
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Pharmaceutical
Energy
•
•
•
•
•
•
•
•
8
Increase refining capacity in traditional
petroleum
Grid Connected Power improvement
Investments in the renewable energy
sector
Energy education
Carbon emissions reduction
Power consumption reduction
Energy cost reduction
Security power plan
Enable Anytime, Anywhere Access
Create Intelligent Buildings
Protect School Records and Information
Protect Safety Incidents on School Campus
Creating a New Form of Collaborative
Education
Expanding the Boundaries of Knowledge
Costs Reduction
Eco Responsibility
•
•
•
•
•
•
•
•
Improved R&D efficiency leveraging
collaboration capabilities
Improved collaboration between public
and private labs and partners
Improved lifecycle management of products
Enhanced information dissemination
Improved relations with key stakeholders
such as doctors and consumers
Focus on products that have the best chance
of getting to market and accelerated time to
market
Costs Reduction
Eco Responsibility
Designing an IT Solution
Transportation & Travel
•
•
•
•
•
•
•
•
•
Social Responsibility
Technology, exposure to other cultures
Collecting and Sharing experiences
Consolidation for buying power
Business Travel online Adoption
Increase Safety
Green Initiatives
Costs Reduction
Eco Responsibility
Consumers Packaged Goods
•
•
•
•
•
•
•
Explore applications for Boomer
positioning
Simplify and purify the products
New private label food and beverage
introductions
New products development
Customers in control
Discount brands
Eco Label

9. BUSINESS MODEL

Industry
-

Ex : Personalize and individualize services, Adaptation
for regulatory constraints…
Ex : Sales, Supply, Billing…
KPI
Ex : Convergence audio/video, fixed/mobile phone.,
Costs Reduction…
Business Drivers
Market Trends
– Ex : Increasing transaction volumes, shrinking
margins. Managing costs and risks…

Business KPI
-
9
Objective
Industry
Business Drivers
-

Strategy
Process
-

Ex : Innovation, Customer satisfaction...
Objective
-

Market Trends
Strategy
-

Ex : Manufacturing., Banking, Telecommunications,
Government...
Ex : Sales, Gross margin…
Designing an IT Solution
Process

10. IT MODEL

-

Infrastructure Virtualization...
Availability
Time To Repair, IT Costs Reduction…
Cloud computing, Storage mass memory…
IT KPI
-
10
Flexibility
KPI
IT Trends
-

Clustering, Components redundancy...
IT Drivers
-

Data Access, Encryption...
Flexibility
-

ECO
Scalability
Availability
-

Costs saving , Ecology, Economy
Security
-

Horizontal, Vertical, Increase Data Volume...
ECO
-

IT Trends
Scalability
Availability ratio, TCO…
Designing an IT Solution
IT Drivers
Security

11. IT KEY PERFORMANCE INDICATORS

Technical Performance Indicators




Financial Performance Indicators



TCO, ROI
Depreciation...
Ecological Performance Indicators



11
I/O, SAPS, SpecInt, TPC-H
Availability Ratio, Time To Repair
Data Loss Ratio...
Space, Watt
CO2, RoHS Ratio
WEEE Ratio...
Designing an IT Solution

12. IT SOLUTION

Software
-
-

Big Data, BI
Cloud
HPC
ERP
Web
-
-
Servers
-

-
Applications development
IT Transformation
Installation
Deployment
Tuning
Support
Training
-

CPU, RAM
Disk, I/O
Connectivity
Storage
-
Services
-
12

Disk, I/O
SAN, NAS, DAS
Connectivity
Network
-
Designing an IT Solution
Ethernet
Infiniband
Connectivity

13. FROM BUSINESS TO IT SOLUTION


Business Model
Applications
Apps
IT Model
Strategy
ECO
Scalability
Objective
Industry
KPI



Market
Trends
Business
Drivers
KPI
Flexibility
Process

Governance
Availability



IT Solution





13
Security
KPI
Designing an IT Solution
Software
Servers
Storage
Network
Services
IT Trends
IT Drivers
KPI

14. THINK SCALABILITY

Vertical Scalability



Horizontal Scalability



14
Scalability
CPU, PCI Card
Internal I/O Storage
Servers, Storage Arrays
Grid Computing
Distributed File Systems
Designing an IT Solution
ECO
Security
Flexibility
Availability

15. THINK ECONOMY AND ECOLOGY
Total Cost of Ownership
 Return On Investment
 Footprint reduction
 Electrical consumption
reduction
 Open Source HW/SW
 Number of Servers,
Storage, Network reduction
 Global Financial Services

15
Designing an IT Solution
Scalability
ECO
Security
Flexibility
Availability

16. THINK SECURITY
Data Replication
 Data Encryption
 Data De-duplication
 Backup of data
 Data Retention
 Fire Wall, DMZ
 RAID Factor
 O.S. Security
 File System

16
Designing an IT Solution
Scalability
ECO
Security
Flexibility
Availability

17. THINK AVAILABILITY
Cluster
 Time To Repair
 Support Service
 Disaster Recovery
 Components
Redundancy
 Grid Computing
 On-Site Support

17
Scalability
ECO
Security
Flexibility
Availability
Designing an IT Solution

18. THINK FLEXIBILITY
Dynamic
reconfiguration
 Virtualization
 Provisioning
 Deployment

18
Scalability
ECO
Security
Flexibility
Availability
Designing an IT Solution

19. FROM BUSINESS TO INFRASTRUCTURE
Business Driver

IT Driver
Drivers

1,n
Drivers
1,n


1,n
Aligned with

IT KPI
Indicators
1,n
Aligned with
1 Business Driver → 1 to “n” IT Drivers
1 IT Driver → 1 to “n” KPIs
Banking & Finance industry Example
IT Drivers
Business Drivers
Increase data volume
Increase banking and
financial transactions
IT KPIs
RPO
Conservation Time
Data processing
and simulation performance
Nb of calculation
Nb of Gflops
19
Designing an IT Solution

20. ROAD TO DYNAMIC INFRASTRUCTURE
Value
Infrastructure
as a Services
Infrastructure
Managed Services
Infrastructure
Solutions
Infrastructure
Products
Time
Dynamic Infrastructure
Infrastructure
as a Services
Cut your IT costs down leveraging economies of scale by accessing a
centrally shared infrastructure
Infrastructure
Managed
Services
Delegate the resposability
to run your IT
Utilize your expert support services for the operation of your dynamic
infrastructure
Infrastructure
Solutions
Use pre-tested
infrastructure solutions
Infrastructure
Products
20
Run your applications on
a shared environment
Use building blocks
design for dynamism
Benefit from evaluation and integration experience out of many
projects
Products and services designed for virtualized and automated
environments
Designing an IT Solution

21. INFRASTRUCTURE OPTIMIZATION MODEL
From a basic unmanaged cost center toward an automated,
dynamic, and strategic asset.
Organizations
21
Designing an IT Solution

22. ROAD TO BUSINESS VALUE
Maturity
Governance
Sustain value
IT processes performance
Drive eco-responsibility
Risk management
Relationship management
Level 5
Business Value
Management
Level 4
IT Service
Management
Capacity on-Demand
As a service
Pay as you go
Appliance
Automation
Provisioning
Deployment
Dynamic workload
Level 3
IT Operation
Management
Virtualization
Level 2
IT Component
Management
Level 1
Crisis Control
Industrialization
vSphere, Hyper-V, Xen, KVM
Standardization
Server, storage, network
Value
22
Designing an IT Solution

23. STANDARDIZATION
Standards : O.S, Servers, Storage, Network
 Building and sizing rules
 Best Practices and Methodologies : ITIL,
COBIT, TOGAF…
 Components : servers, storage, network and
services
 Infrastructure consolidation : reduce number
of servers, storage and power consumption

23
Designing an IT Solution

24. VIRTUALIZATION
Abstraction of IT resources
 Full virtualization
 Hardware-assisted virtualization
 Partial virtualization
 Paravirtualization
 Operating system-level virtualization
 Hardware virtualization

24
Designing an IT Solution

25. AUTOMATION
Automation : a process which may once have been
performed manually but has been altered in some
way which allows a machine or computer to either
wholly or partially manipulate the process to save
time
Infrastructure Automation : the basic services
necessary for your infrastructure to operate largely
without the aid of a keeper


-
25
Discovering, Provisioning, Updating, Monitoring
Measuring, Capacity Planning, Deployment
Designing an IT Solution

26. INDUSTRIALIZATION
Repeatability of the solutions
Reusability of the solutions
Appliances
Homogeneity of the solutions
Capacity Units Models
With Agility (Cloud Computing)






-
-
-
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Software as a Service : Applications offered on demand over the
network
(salesforce.com, iTunes Store...)
Platform as a Service : Developer platform with built-in services
(Google App Engine, Microsoft Azure...)
Infrastructure as a Service : Basic storage and compute capabilities
offered as a service (Amazon Web Services, Mosso...)
Designing an IT Solution

27. GOVERNANCE
Sustain value objectives
 Increase IT processes performance
and their customers orientations
 Drive economy and ecology
 Develop IT solutions and
competencies for new generations
 Manage risks
 Manage relationship

27
Designing an IT Solution

28. MULTI-TIER ARCHITECTURE
TCP/IP
SAN
Web Servers
Ethernet Switches
Database Servers
SAN Switches
Storage Arrays
28
Designing an IT Solution

29. DYNAMIC ARCHITECTURE
TCP/IP
• Open Stack, Hadoop, NoSQL DB…
• Virtualization, Automation
Ethernet Switches
Applications Servers
29
Compute & Storage Nodes
Designing an IT Solution

30. WHAT IS BUSINESS VALUE
• Focus on Industry
- Bank/Finance, Government, Retail,
Telco, Manufacturing...
• Business Value is Large
- Stakeholder Value, Customer Value,
Employee Value
- Partner Value, Supplier Value,
Managerial Value, Societal Value
• Key Business Indicators
- Profitability, Revenue Growth,
- Customer Satisfaction, Market Share,
- Cross-Sell Ratio, Marketing Campaign
Response Rates
- Relationship Duration...
• Common Language Management
30
Designing an IT Solution

31. WHAT IS “IT” VALUE
• Business/IT Alignment
• Intellectual Properties
• IT Process Automation
• IT Performance
• Innovation
• Community
• Know-How
• Expertise
• Service Level Agreement
• IT Portfolio and Maturity
31
Designing an IT Solution

32. BUSINESS VALUE PROPOSITION
IT Drivers
Company
Strategy/Objectives
IT Value Proposition
Technical and Eco
Performance Indicators
Key Business Drivers
Promise
Technology/Methodology
Business and Eco
References
Performance Indicators
Added Value Services
Partners
IT Trends
Commitment
32
Designing an IT Solution

33. #9
Pro
po
siti
on
#8
Val
ue
Pro
po
siti
on
#7
Val
ue
Pro
po
siti
on
#6
Val
ue
Pro
po
siti
on
#5
Val
ue
Pro
po
siti
on
#4
Val
ue
Pro
po
siti
on
#3
Val
ue
Pro
po
siti
on
#2
Val
ue
Pro
po
Val
ue
Key Business Drivers
Val
ue
Pro
po
siti
on
Promise
siti
on
#1
BUSINESS/IT ALIGNMENT
Business Driver #1
Business Driver #2
Business Driver #3
Business Driver #4
Business Driver #5
Business Driver #6
• Matrix with Key Business Drivers and IT Solutions
• Value Proposition: Virtualization, BI, Cloud Computing, Big Data...
33
Designing an IT Solution

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TELECOMMUNICATIONS EXAMPLE
Convergence audo/video, fixed/mobile
Resources consolidation
Internationalisation
Outsourcing
Customize Services
Costs Reduction
ECO Responsibility
•
•
34
To manage complex network
evolution towards all-IP and
converged networks, many
operators are now looking to
contract fewer providers to
evolve and optimize their
networks.
Business growth is a focus
area for operators who
understand the need to
differentiate themselves with
new user segments, revenue
streams, and services.
•
Outsourcing
•
Customize Services
•
Costs Reduction
•
ECO Responsibility
Maximizing efficiency and
reducing operational costs
have never been so
important to operators,
which must review core and
non-core activities and
increasingly consider
outsourcing network
operations.
Designing an IT Solution
Business intelligence
•
IT Security
•
Business continuity
•
Web 2.0
Speed up deployment new services
Service Level Agreement
High Performance Computing
Open Source componants
applications
IT Costs reduction
•
Internationalization
•
•
•
Virtualization technologies (server,
storage, network, services and
desktop)
•
Resources Consolidation
•
•
•
Standardization and technical basis,
Infrastructure consolidation
•
Convergence
•
•
•
IT DRIVERS
•
BUSINESS DRIVERS
MARKET TRENDS
PROMISE
Business Drivers
Green IT

35. MEASURING IT VALUE
How to prove that IT solutions
create Business Value ?
« You Can’t Manage
What You Don’t Measure ! »
« IT value benefits are beyond costs
reduction, contributing to increase
company's profitability »
35
Designing an IT Solution

36. MEASURING IT VALUE
• Key Performance Indicators (KPIs)
• Technical Performance Indicators
- CPU, I/O, SAPS, SpecInt, TPC-H
- Availability Ratio, Time To Repair
• Financial Performance Indicators
- TCO, ROI
- Depreciation...
• Ecological Performance Indicators
- Space, Watt
- CO2, RoHS Ratio
- Waste Electrical and Electronic Equipment Recycling Ratio...
•
•
Define IT Drivers
•
36
Define KBD
Define KPI
Implement
Infrastructure
Measure
Baseline
Define
Metrics
•
Build
measurement
framework
•
•
Define
Infrastructure
Build
Infrastructure
Designing an IT Solution
Measure
Infrastructure
•
Monitor
•
Analyze
•
Optimize
Business
Value
•
Determine Value
with TCO/ROI
methodology

37. MEASURING IT VALUE





Put technical sensors in different points
of the infrastructure
Collect data from sensors
Calculate the indicators value
Integrate the indicators values into the
CMDB and calculate the complex
indicators
Analyze the IT infrastructure
performance




37
Information Gathering
Ecological KPI
Technical KPI
CMDB
Analyze the results with reporting tool
Compare the results obtained to the awaited
results
Design dashboard for CIO,
IT Decision-maker, Manager
Optimize the IT Infrastructure on
Technical, Financial and Ecological sides
Designing an IT Solution
Dashboard & Report
Data analysis
& visualization
Financial KPI

38. INCREASING IT PERFORMANCE
• Performance Lever is a
specific Key Performance
Indicator
• Lever increases the system
performance
• Lever interacts with Key
Performance Indicators
Ex. Increasing The Speed of The Car
- The Gear Lever is changing up
- The Speed Indicator is increasing
38
Designing an IT Solution

39. INCREASING IT PERFORMANCE
Example
• #Concurrent Users Indicator is a Performance Lever
• #CPU and #I/O are Key Performance Indicators
• #CPU = f(#Concurrent users)
• #I/O = f(#Concurrent users)
• Start a Provisioning Process automatically with #CPU and #I/O
Values
-
Integrate a new Web server with IT Automation Software
-
39
Activate #CPU and #I/O Cards with Capacity on Demand Process
Testing
Designing an IT Solution

40. INFRASTRUCTURE SIZING METHODOLOGY
Data Volume
Concurrent Users
Extract volume
Complexity
Concurrent Requests
Data Processing
Complexity
S/W Components
Batch
Time Range
DB Structure
Users
Time Range
Costs
Benchmarks
Results
A balanced configuration from CPUs to Disks
CPUs
40
Memory
I/O
Disks
Designing an IT Solution

41. SOLUTION DESIGN
EXAMPLE
41
Designing an IT Solution

42. BUSINESS MODEL EXAMPLE
Manufacturing company has gradually
extended its sphere of operations around
the world
Ability to innovate and invent for the
day-to-day life in tomorrow’s world


Objective
Strategy
Industry

Customer Satisfaction

Innovation


Better sales management across the world
The system must be on top for users and
data integration activities in every time
zones
KPI
•
•
Margin per country
•
Customer satisfaction rate per country
•
Strategy
Sales per country
Product quality per country
Objective
Industry
KPI
Process
Business Drivers
42

Financial consolidation of the company
Designing an IT Solution
Increase sales

Reduce costs

Gain market shares
Customers satisfaction

Process
Sales Management



Reduce time to market

43. IT MODEL EXAMPLE
Scalability




X86 Servers
with 100% scalability
Eco
Very large database

Production, qualification, and
development environments
KPI
Increase data volume
•
•
Availability ratio = 99.999
Time to deploy a new country : 4h
•
Availability
•
Flexibility and dynamic integration
for new users and data integration
43
Virtualization of Infrastructure
Financing, leasing

Costs reduction
Security

Data replication

IT Security
Availability
IT Drivers

High performance



Return On Investment : 24 months
Flexibility

Reduce footprint
Mean Time To Repair : 4h - 6h
•

Volume of data integration/day = 4GB
•
Flexibility
Security
Low electric consumption
Volume of unstructured data = 150TB
•

Volume of structured data = 1TB
•
KPI
Data integration time = 6h
•
ECO
Scalability
Number of concurrent users = 100
Standard configurations
High availability

System agility
Designing an IT Solution

Clustering

24/7 Support

Right information at the
right time

44. IT SOLUTION EXAMPLE
2 x AppServers

Big Data Application

Data Warehouse
Solution
DHW Solution (1TB - raw data - structured data)



2 x Servers with 4 CPU quad-core / 64GB RAM. connected to 5TB on SAN
Storage Array System
All Application Servers per Time Zone and country are integrated in
different virtual machines for guarantying and increasing the performance
of the solution


2 x Master Nodes 48GB / 6 x 600GB 15RPM Disks


2 x Database
Servers
Hadoop Solution (150TB - raw data – unstructured data)


2 x Network
Switches
23 x Data Nodes 32GB / 12 x 2TB 7200 RPM Disks
Storage Array
SAN
Switch
An integrated model, built on the basis architectures,
flexible and extensible technologies allows to address the
change and business evolutions, reduced costs and
preserve the investment
2 x AppServers
The infrastructure is based on standards
Competency, expertise and support are adapted to
Service Level Agreement,
2 x Network
Switches
Hardware installation, professional services for data
integration, 24/7 support and leasing for enhancing the
TCO/ROI of the solution
2 x Master
Nodes
44
Hadoop Solution
Designing an IT Solution
23 x Data
Nodes

45. THANK YOU