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May 2016 IDC Report: Business Value of Cisco UCS Integrated Infrastructure for Big Data Optimize Your Big Data ROI

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Page 1: Optimize Your Big Data ROI

May 2016

IDC Report: Business Value of Cisco UCSIntegrated Infrastructure for Big Data

Optimize YourBig Data ROI

Page 2: Optimize Your Big Data ROI

2C97-737214-00 © 2016 Cisco and/or its affiliates. All rights reserved. Cisco Confidential

Business Value Highlights

3-year ROI Break-even Fasterbig data deployment*

Fasterserver deployment*

Loweroperating costs*

Better data-scientist productivity*

Ease of Cisco UCS® deployment allows you

to capture big databenefits earlier

Reduce Time-to-Value for Big Data Projects

Expand big data operations in less time to better support your

growing array of data-based line-of-business objectives

Scale BigData Solutions

Leading Cisco UCS performance provides users

with insights faster

Optimize Big Data Performance

Cisco UCS costs lessand needs less staff

time to manage

Lower Big Data TCO

* Compared to other solutions considered by interviewed organizations

5months 56% 62% 32% 26%366%

Page 3: Optimize Your Big Data ROI

3C97-737214-00 © 2016 Cisco and/or its affiliates. All rights reserved. Cisco Confidential

The Big Data and Analytics Imperative

Digitizationof Everything

Deluge of data holdspowerful insights

Demand forSelf-Service

Empower better decisionmaking for all

Promiseof Predictability

Anticipate outcomes to innovate faster and reduce costs

Scarcity of Big Data ExpertsAddress demand and

supply gap for ITand business expertise

Page 4: Optimize Your Big Data ROI

4C97-737214-00 © 2016 Cisco and/or its affiliates. All rights reserved. Cisco Confidential

Big Data Infrastructure Implications

Speed to insight is essential to

compete effectively

High Performance

Data-based insightsare critical to

business operations

High Availability

Businesses need to be able to handle large variations in demandand scale linearly

and easily

Scalability

Use automation and simplified processes

to increaseproductivity of scarce

management resources

EfficiencyHigh growth of

big data use casesand workloads requires

fast deploymentand redeployment

of resources

Rapid Deployment and Redeployment

End-to-end security is needed, including

the capability to isolate sensitive

data in shared environments

Secure

Page 5: Optimize Your Big Data ROI

5C97-737214-00 © 2016 Cisco and/or its affiliates. All rights reserved. Cisco Confidential

Cisco Solutions Address Your Big Data Requirements

• Performance: Improve traffic latency and throughput across the network and prioritize big data and analytics workloads

• Availability: Continuously monitor network and adapt tonetwork conditions

• Redeployment: Policies allow fast redeployment ofcluster resources

• Security: Isolate data paths through policy-basedprogrammable fabric

• Scalability: Clusters can consist of thousands of servers and petabytes (PB) of storage

• Low TCO: Save costs through significant reduction in the number of cables and switches, automated I/O, and direct SAN access

• Performance: Cisco UCS has set more than 110 world-record benchmarks

• Easy, comprehensive management: Automate server deployment and manage 10,000 servers from a single pane

Comprehensive, automated infrastructure simplifies management

Cisco Nexus® 9000 Series Switches

Cisco® Application PolicyInfrastructure Controller (APIC)

Improve performance, security, and TCO for big data workloads

Cisco UCS® Cisco ACI™

Page 6: Optimize Your Big Data ROI

6C97-737214-00 © 2016 Cisco and/or its affiliates. All rights reserved. Cisco Confidential

Attribute Average Range

Number of employees 60,000 800 to 157,000

Number of Cisco UCS® servers 141 18 to 750

Number of applications on Cisco UCS 3 0 to 10

Number of TB on Cisco UCS 219 1 to 750

Number of users on Cisco UCS 7,500 15 to 20,000

Countries United States, Canada, and Italy

IndustriesProfessional services, financial services, government, automotive, healthcare, andcloud services

Demographics of Interviewed Organizations

Page 7: Optimize Your Big Data ROI

7C97-737214-00 © 2016 Cisco and/or its affiliates. All rights reserved. Cisco Confidential

Organizations Attribute Cisco UCS Business Value to Three Main Areas

IDC projects that big data operations based on Cisco UCS® will deliver an average of US$4.19 million per year

over 3 years:• Increasing employee productivity

• Enabling higher revenue through services and products supported by scalability, performance and fast deployment of Big Data operations

Business Productivity Benefits

IDC predicts that each business will achieve IT staff productivity benefits worth an average of US$550,000 per

year over 3 years:• Achieving greater productivity for

application development teams by reducing time to deploy resources, higher application performance

IT Staff Productivity Gains

IDC calculates that each organization will achieve IT infrastructure cost

reductions averaging US$17,000 per year over 3 years:

• Cisco UCS has a 3-year cost of operations that is 32% less than other platforms

• High reliability will result in just ½ hour of downtime per user per year

Operating Cost Efficiencies and Reliability

Page 8: Optimize Your Big Data ROI

8C97-737214-00 © 2016 Cisco and/or its affiliates. All rights reserved. Cisco Confidential

Cisco UCS: Impact on SupportingBusiness and Users

Attribute Average

Revenue Impact

Average additional revenue per year US$6.6 million

Assumed operating margin 15%

Average net operating margin gain US$1 million

Productivity Benefits

Average number of users affected 138

Average productivity gain 8.8%

Average FTE impact 12

Benefits stem from faster time to market, better performance, and better scalability

Page 9: Optimize Your Big Data ROI

9C97-737214-00 © 2016 Cisco and/or its affiliates. All rights reserved. Cisco Confidential

Cisco UCS: Time-to-Market and Scalability for Big Data

Time-to-Market Metrics and Cisco UCS®

“Time to deploy

big data solutionTime to deploy

per server

56% less 62% less

Cisco UCS Alternative

8

18

4

10

Values are based on number of Weeks

Cisco UCS helps us reduce the time to respond to new capacity requests by

typically two months. That’s significant, because with UCS, you can just drop a

rack in there and you’re done. The impact is felt throughout the entire

organization, because they’re waiting for the Big Data analytics results.

”- IDC Survey Respondent 2016

Page 10: Optimize Your Big Data ROI

10C97-737214-00 © 2016 Cisco and/or its affiliates. All rights reserved. Cisco Confidential

Cisco UCS: Impact of Leading PerformanceData scientists and application developers, respectively, are 26% and 15% more productive

with consistent, relevant, timely, and high-quality data

Big data produc-tivity gain

Attributable to Cisco UCS

Data Scientist and Data Analyst Productivity Gains

Overall: 25.5%

Data scientists and data analysts

Values are based on percentage productivity gain

17.5%

8%

We have 300 data scientists who are 50% more productive since we deployed

Cisco UCS for Big Data.“

”- IDC Survey Respondent 2016

Page 11: Optimize Your Big Data ROI

11C97-737214-00 © 2016 Cisco and/or its affiliates. All rights reserved. Cisco Confidential

Cisco UCS: Cost of Operations and ReliabilityIDC: Interviewed organizations will have 32% lower operating costs for their Cisco UCS® environments over 3 years than with the alternative hardware platforms they considered

Three-Year Cost of Operations, Cisco UCS Versus Alternative

32% less

Ongoing management staff time cost ($1,250,000)

Initial deployment staff time cost ($400,000)

Ongoing data center power and facilities Costs ($600,000)

Ongoing cost of servermaintenance ($200,000)

Initial cost of solution($1,100,000)

Ongoing management staff time cost ($900,000)

Initial deployment staff time cost ($100,000)

Ongoing data center power and facilities Costs ($300,000)

Ongoing cost of servermaintenance ($100,000)

Initial cost of solution($900,000)

Cisco UCS for Big Data Alternative

Values in US$

The costs would have been greater with the competing solution. We

would not have been able to connect servers directly to the fabric

interconnect and this would have meant buying additional switchesfor tens of thousands of dollars

”- IDC Survey Respondent 2016

Page 12: Optimize Your Big Data ROI

12C97-737214-00 © 2016 Cisco and/or its affiliates. All rights reserved. Cisco Confidential

Cisco UCS: 3-Year ROI Analysis

Attribute Per Organization Per Cisco UCS® Server

Benefit (discounted) US$11.35 Million US$80,284

Investment (discounted) US$2.44 Million US$17,244

Net Present Value (NPV) US$8.91 Million US$63, 040

Return on Investment (ROI) 366% 366%

Payback (months) 4.9 4.9

Discount Rate 12% 12%

Page 13: Optimize Your Big Data ROI

13C97-737214-00 © 2016 Cisco and/or its affiliates. All rights reserved. Cisco Confidential

Faster speed to insight

High Performance

Reliable delivery of business critical insights

High Availability

Scales linearly, easily for greater agility

Scalability

Leading automation, simplified processes

maximize productivity, dramatically lower TCO

Efficiency

Faster deployment, redeploymentof resources

Rapid Deployment and Redeployment

Isolate sensitive data in shared environments

Secure

Cisco UCS Addresses Big Data and Analytics Requirements Today and Tomorrow

As Big Data workloads start demanding more and more from customers’ infrastructures, Cisco is in a unique position… to shift the focus from ever more and faster processing power to intelligently designed and managed networks. Significant benefits in speed, efficiency, utilization and TCO can be achieved with this approach.

“ “Download the full report at http://www.cisco.com/c/dam/en/us/products/collateral/servers-unified-computing/idc-business-value.pdf

- IDC Survey Respondent 2016

Page 14: Optimize Your Big Data ROI

www.cisco.com/go/bigdata