saas - cdn.ymaws.com
TRANSCRIPT
Discussion Points
• Undeniable evolution
• What is SaaS?
• How can you benefit from SaaS
• Creating an ITSM solution at John Maneely Company
• Business drivers affecting decisions
Primary source for communication and research
People live in their inboxes
Integration to multiple systems was the norm
Adoption was going to rise precipitously
SaaS represents a movement
Reporting drives business decisions
Upgrades needed to be perfected
Once in production, customers refined business processes
Service management meant understanding offered services
Browser-based apps increased user uptake
Acceptance drivers
Supplierization of IT
Virtualization
Commercialization
Frustration with legacy systems
SaaS driving forces
Business drivers
Reduced TCO
Core competencies
Demand fulfillment
Demonstrate value, faster
SaaS Growth 17.7% CAGR
SaaS to grow 5x faster than traditional software
Source: Goldman Sachs, “SaaS Savvy,” Stephanie Withers, April 20, 2010; research
sourced from Gartner Dataquest
Traditional Software
Growth 3.6%
CAGR
2013 2008
Shift in adoption Business unit adoption
Buyer: business unit
Support: business unit
Usage: departmental
Enterprise-wide adoption
Buyer: IT & the business, app dev
Support: IT
Usage: enterprise-wide, app dev
IT & governance now own selection criteria
SaaS: multi-tenant
Details • Hosted by software
publisher • Many customers to one
application set • Thought to be inflexible
Examples • Salesforce.com (CRM) • Workday (ERP) • Innotas (PPM)
customer C
customer B
customer A
application
database
software publisher
SaaS: single-tenant Details • Hosted by software
publisher • Customers receive their
own app and database • Auto-upgrades • Extensive customization
Examples • Service-now.com (ITSM)
customer C
customer B
customer A
application application application
database database database
management automation
software publisher
Each instance is multi-tenant enabled
application service provider Details • Hosted client / server software • Focus on ‘out-of-box’ • Limited customization options • Annual feature releases • Managed services fees • Customization fees
customer C
customer B
customer A
application application application
database database database
software publisher
ASP data center
Perceived risks Stated Risk Cloud Response Data privacy SAS 70 Type II, operational procedures, communication and application
security
Data ownership It’s the customer’s data; replicate to customer data center
Data integrity Multi-tenancy, data and code isolation, disaster recovery
Privileged user access Operational procedures, encryption, role-based security
Backup and recovery Geographically separated data centers; replication to customer data center
Integration SOA, Web services, XML, HTTPS, VPN tunneling, SSL/TSL
System performance and availability
Proven scalability and performance; 99.97% availability SLA; monitoring tools
Transparency and visibility Should be Cloud supplier’s DNA
Governance Activity and user access audit log, SAS 70 Type II, regulatory confirmation
database, app server, sys admin, developer headcount
redundancy, disaster recovery, backups
physical & app security upgrades
reimplementation
deploy patches & bug fixes
performance & availability
upgrades reimplementation
procure new apps to support new processes
install, configure software: consulting & internal resources
production
procure licenses
define infrastructure & architecture requirements
install base-level software: consulting & internal resources
identify or procure infrastructure
customize, configure, integrate: consulting, internal resources
pre-production
annual maintenance fees
LEGACY TOOLS
years 3 7 5 4 6 1 2
cost
SaaS vs. legacy TCO SaaS Solution
define process requirements
subscribe to service: access to all IT management apps, auto-upgrades, support, training, infrastructure
deploy ITIL-based processes, integrate
1 to 2 administrator(s)
customize processes & UI presentation
pre-production production
cost
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to SaaS or not to SaaS? • Which strategy is right for you?
• Define your core competencies
• Significant emphasis on service
• Look to refocus resources on things that drive business
• Be skeptical of what vendors tell you
Preparing for SaaS Expect resource changes
Executive sponsorship includes IT, security, compliance and the business
Build a business case
Negotiate as a business partner
“Set and forget” is not an option
Thomas Tabor, Director Infrastructure Services John Maneely Company
ITSM from bare steel ITSM from bare steel
John Maneely Company
• Largest manufacturer or steel conduit in North America
• 15 locations, OH, PA, IL, Canada
• 1500 employees - dispersed
• Asset management tool in place
Challenges
• Limited resources
• IT split between divisions
• Service management education and maturity
• “if its not broke don’t fix it” attitude
• No formal ticketing system or change process
• No metrics or measurements
resolution plan
ITIL certification
Define incident process – 30 days
Implement Incident, Project, and CMDB
Rapid deployment – 30 days
Merge company to project and time entry
Implemented automated changes processes
Reporting, reporting, reporting
results
Requests processed since May
Quantified cost of request
management
Track resource allocation and utilization across maintenance, development and administrative efforts
Integrated time
recording
Automated asset management
tracking
• Track impact of change in organization
• Standardizing applications department to single platform
• Ability to track requests from cradle to grave
Where are we going?