how to plan and budget for 2013 with cloud in mind

HOW TO PLAN AND BUDGET FOR 2013 WITH CLOUD IN MIND

30 MINUTES TO SUCCESS:

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@Bluelock

At the end of this 30 minutes…

Pat O’Day

Chief Technology Officer Bluelock

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-  Create a solid plan for moving your cloud mission forward

-  Identify how to approach and integrate cloud into your budget

-  Know how to identify amounts you should budget for

Moderator: Diana Nolting, Marketing Coordinator at Bluelock

WHAT HAPPENED IN 2012 5 MINUTES

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In case you missed it: 2012 and Cloud

Cloud adoption increased to 48% in the first half of 2012. State of SMB IT 1H 2012 report Spiceworks Inc., Page 8, 2012

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83% of IT decision makers believe cloud computing has made their organizations more productive and anticipate increasing their reliance on cloud in the next year. http://www.cloudtweaks.com/2012/06/cloud-infographic-2012-cloud-adoption-survey/

27% rise in 2012 of first-time cloud users reporting they are implementing cloud. http://www.itproportal.com/2012/09/18/cloud-adoption-accelerates-with-first-time-users-up-27/

PICK YOUR APPROACH 5 MINUTES

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3 Ways to Build Cloud Infrastructures

Follows Virtualization Journey path…first target low-hanging fruit and evolve from there…

Walk before you run

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Build out cloud infrastructure to serve a specific project or effort

Pick a Project

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Transform entire infrastructure to a Cloud in one shot

Re-think everything

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Role: Infrastructure Owner (IT) Objective: Efficiency Challenges:

–  Pressured to be all things to all people –  Conflicting priorities –  Lack of resources –  World is changing

Role: Application owner (Business unit) Objective: Agility Challenges:

–  Not always a priority to IT –  Lack of control –  No visibility into technology costs –  Needs are always changing

Needs are Different

DOLLARS AND DETAILS 5 MINUTES

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SMALL MEDIUM LARGE

PUBLIC

< $3K/month

$3K - $10K/month

$10-100K/month

PRIVATE

$10K - $100K CAPEX $2-10K OPEX/month

$100K - $500K CAPEX $10-25K OPEX/month

$500K+ CAPEX

$25K+ OPEX/month

SaaS Example:

CRMs

Depends on Software $30 - $65/user/month



What’s it going to cost me?

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Decide where you will allocate your budget, and where you should spend more or less to get the job done.

$ $$$

$ $$$

What will that get me? SMALL MEDIUM LARGE

PUBLIC

Test/Dev workloads, low requirements for security, no managed services, little to no automation.

Business-critical workloads, some requirements, some automation, few managed services, good performance.

Mission-critical workloads, automation, managed services, high availability, guaranteed performance, high security requirements.

PRIVATE

Small SAN, 20 TB, 100 VMs and self-service.

Medium SAN, 100 TB, 500 VMs and managed services.

Large SAN, 800 TB, 4000 VMs and managed services.

SaaS

Minimal requirements, small number of users, not a huge need for one-on-one support

Moderate requirements, reasonably large user base, some customer services required.

Lots of complex integrations/requirements, large user base, strong customer service needed.

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This is where the “it depends…” answer comes in.

BUDGETING IN ACTION 10 MINUTES

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“Transform Everything” Approach

•  Company “A” Pharmaceuticals

•  Wanted to primarily use a large private cloud and SaaS, but also had a need for public cloud for unpredictable timeframes of workloads.

•  Biggest spend will be on private cloud, spending max amount in SaaS for best product, but needs public cloud, too.

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Company “A” Budget Matrix

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SMALL MEDIUM LARGE

PUBLIC

PRIVATE

SaaS

“Pick a Project Approach”

•  Company “B” Large, Retail Grocery Chain

•  This grocery chain was looking to leverage public cloud to buy some time with their private cloud set-up.

•  Private cloud roll-out time taking too long, needed to have an environment right away that was incredibly similar to what their private cloud would look like when it was rolled out.

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Company “B” Budget Matrix

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SMALL MEDIUM LARGE

PUBLIC

PRIVATE

SaaS

“Walk Before You Run” Approach

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•  Siemens’ eMeter needed to provide around the clock development and testing

•  Looked at public cloud to simplify IT operations and provide high security

•  Initiative has now grown to serve training courses in a hybrid cloud environment

eMeter Budget Matrix

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SMALL MEDIUM LARGE

PUBLIC

PRIVATE

SaaS

PLAN YOUR APPROACH 5 MINUTES

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Map Your Plan

•  Workload identification

•  Research

•  Evaluate

•  Pilot

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Other Cost Considerations Don’t forget to think about and budget for:

–  Professional and advisory Services

–  Training

–  Stop-gap resources

–  Sprawl

–  Things to save you time and money…

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Next Steps

Add a trial amount of money in your budget

Based on which way you want to start with, planning room for cloud will make starting your journey much easier.

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Pick a Project

2 Re-think everything

3 Walk before you run

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THE BONUS ROUND Questions, comments and additional information

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Bonus Round

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@Bluelock | @ODayP

/BluelockLLC

/BluelockLLC

Questions, comments or would you like more detail on a particular topic?