IBM Cloud: The Growth Engine for Enterprise

1 #SmarterEnterprise

Edmonton

October 2, 2014

#SmarterEnterprise


IBM Cloud Point of View: The growth engine for enterprises

Chris Mallon,Software Business Executive, IBM Canada Middleware Group

[email protected]

mailto:[email protected]


Source: IBM Center for Applied Insights Under cloud cover: How leaders are accelerating competitive differentiation

For more info, visit: ibm.com/ibmcai/globalcloudstudy

As cloud aspirations grow, pacesetting enterprises are out ahead

driving competitive advantage, not just efficiency

Pacesetters have deployed cloud on a broad

scale and are gaining competitive advantage

through cloud.

Top cloud driver: Market responsiveness

Challengers are on par with Pacesetters in

achieving greater efficiency through cloud, but

still lag on differentiation and market

responsiveness.

Top cloud driver: Collaboration

Chasers are more cautious about cloud.

They’re in early stages of adoption and are not

yet using cloud to drive competitive advantage.

Top cloud driver: Workflow optimization

Pacesetters

18%

High

agreement

High

Low

Ad

op

tio

n le

ve

l

Low

agreementGaining competitive advantage

through cloud

Challengers

51%

Chasers

31%


The competitive advantage Pacesetters are gaining through cloud

correlates with stronger business results



Gross profit

2009-12 CAGR

Revenue

2009-12 CAGR

2.4x

Pacesetters

Chasers

Challengers

12.7%

6.6%

6.8%

12.7%

9.5%

6.4%

15.3%

1.9xPacesetters vs.

Chasers


Through cloud strategies, Pacesetters are gluing together key technologies and

scaling up to do business in an entirely new way

Leveraging cloud for the integration and application of these strategic technologies



100%

100%

50%50%100%

50%

50%

100%

Mobile

Social business

Big dataAnalytics

Pacesetters

Chasers


Instant Gratification

Extensible

Flexible

Cost Effective

Marketplace Dynamics


See how cloud can help you improve your competitive position



With prioritized differentiators and an enterprise cloud strategy, technology decisions can be better aligned with business needs.

Enterprise objectives: Prioritize competitive differentiators to tackle via cloud

Given your competitive positioning, consider where cloud could drive greater differentiation.

• New business strategies?

• Faster product or service innovation?

• Better ways of engaging customers?

• Changes to your business model?

• More informed strategic or operational decisions?

• New or broader networks of expertise?

Cloud technology:Align platforms to enterprise objectives

The broader and more strategic your cloud initiatives are, the more critical it becomes to have an enterprise-wide strategy.

• How does your cloud strategy enable mobile, social and big data initiatives?

• Are IT and LOB collaborating effectively to manage cloud services and make investment decisions?

• Is senior management on board? What kind of governance structure do you have in place?

• Which deployment aspects should be more tightly controlled? Are teams given sufficient flexibility?

Cloud strategy: Drive enterprise responsiveness through holistic strategy

• Which systems should be on open-source platforms to gain speed, scale and access?

• Do you have the right mix of public and private cloud to meet your requirements? Or will you need the flexibility of integrated, hybrid cloud?

• Where might an industry-specific platform supply tailored functionality or fill an expertise gap?


Development& DevOps

Big Data & Analytics

SecurityMobile

Business Processas a ServiceBusiness Processas a Service

Automating Business Innovation

Marketplace of High Value Consumable Business Applications

Rapid App Development through Composable and Integrated PlatformBuilt using open standards

Enterprise Class, Optimized InfrastructureBuilt using open standards

IntegrationTraditional Workloads

Integration/ API Mgmt

ComputeCompute StorageStorage NetworkingNetworking

Business Processes

ProcurementPayment

ProcessingHelp Desk AccountingRecruiting ProcurementProcurement

Payment Processing

Payment Processing

Help DeskHelp Desk AccountingAccountingRecruitingRecruiting

CommerceSupplyChain

AnalyticsTalent

ManagementCollaboration

IT Management

MarketingSoftwareas a ServiceSoftwareas a Service

Platformas a ServicePlatformas a Service

Infrastructureas a ServiceInfrastructureas a Service

Orchestration and AnalyticsSmartCloud Orchestrator SmartCloud Analytics

Custom Infrastructure

Patterns of Expertise

Performance

Application Lifecycle ManagementIBM UrbanCode

Capacity Security Integration

Mobile 3rd PartyWeb BPM

Open Ecosystem

Application

Performance

Mgmt

Virtual Storage

Center

IBM CastIron

IBM API MgrEndpoint Mgr

Identify &

Access

Expert Integrated Systems

IBM Pure

Systems

Utilize cloud services delivered from IBM to

empower IT, accelerate application delivery

and manage across on and off premise environments

Build and run your private or hybrid cloud leveraging existing custom infrastructure or next generation

integrated systems

will enable evolution to today’s environment towards Cloud efficiencies and support a Cloud First model

Evolving toCloud Enabled

Evolving toCloud First

Core cloud capabilities with a single, seamless user experience across all cloud delivery models

Optimized ITDelivery

Next Generation IT Delivery


Decision making power is shifting from the traditional IT buyer to a new audience - the Line of Business owner & practitioner

By 2016, 80% of new investments will directly involve LOB execs with LOB leading decisions in more than 50% of those investments

48% discover brands they are not aware of while searching, 24% decide which brand to purchase solely from their self directed digital research

60% of the IT purchase process decision is completed before the prospect engages a vendor

… and the decision making process is changing

*Source: Google & Compete B2B Customer Study, June 2012

Users

Recommenders

Influencers

Economic Buyers

Decision Makers

Decision Makers

Practitioners

CIO

CTOs

IT Managers

IT Operations

Manager

Data Center

Manager

Developers

Technical

Leaders

System

Administrators

IT Operations

Data Scientists


IBM Cloud

Business Process

as a Service

Enabling business transformation

Business Process

SolutionsApplication Application Application Application Application

Software

as a Service

Marketplace of high value consumable business applications

Platform

as a Service

Composable and integrated application development platform

Infrastructure

as a Service

Enterprise class, optimized infrastructure

External

EcosystemIndustry Collaboration

Human

Resources

Big Data &

AnalyticsCommerce Marketing

DevelopmentBig Data &

AnalyticsSecurity Integration Mobile Social

Traditional

Workloads

Built using open standards

Compute Storage Networking


SmarterCommerce

SmarterAnalytics

SmarterCities

SmarterWorkforce

Watson solutions

Software solutions

Middleware

solutions

PureApplication

SOFTLAYER

IBM SmartCloud

Enterprise +


Reality check - physical implementation is complex and requires experts to deploy

Top Causes of Project Delays

Hardware• Troubleshooting and tuning

production environment• Integration, configuration and

testing of the infrastructure• Installation, cabling and

network access for the environment

Software• Integration, configuration and

testing of applications• Integration, configuration and

testing of middleware• Configuration, build and

deployment of applications

45%

45%

29%

41%

35%

34%

Phase Time (days) Budget

Specify/design 73 - 96 14% - 16%

Procure 57 - 112 19% - 21%

Implement 74 – 93 12%

Configure/test 74 – 80 10% - 11%

Cluster & HA 66 – 104 11% - 12%

Backup 44 – 108 10%

Tune 89 – 98 9% - 10%

Management 67 – 110 9 – 10%

Typical IT Project Time and Budget

From a commissioned study conducted by Forrester Consulting on behalf of IBM

Design/Deploy Manage/Maintain


What if : IBM could deliver and deploy the core framework in days

• By deploying solutions via app store patterns

• Versus install, configure, integrate, optimize, …

• Accelerate time to value

Architecture built from a set of reusable, re-deployable technology Lego’s• Providing the flexibility to add / change / grow as citizens and/or partners demand

• Agility and flexibility

Client was able to harden this framework to ensure consistency between dev – test – stage - prod • Virtually eliminating surprises in production

• Sustainability and repeatability

Client didn’t have to become technology experts, rather business process creation experts• If you can deploy a calculator to your iPad, you can deploy BPM on the Appliance

• Simplification


Defined PatternsServices

ComposableServices

BusinessServices

InfrastructureServices

A True Composable Enterprise Requires Multiple Services

SaaS



Born on

the cloudEnterprise

Applications


IBM PureApplication System provides savings across the IT lifecycle“Speed is the new currency”

DeploymentFully assembled and configuredPre-installed management softwareFast pattern-based deployment

Incident/capacity managementCentrally monitor and resolve issuesAutomatic scaling

Asset managementTrack license usage of products

Security managementCentralized access control

Change managementVisibility into relationships of virtual

images in a workloadAutomatically apply changes to

desired virtual servers

How does PureApplication

System do this?9612 hrs

2302 hrs

0

10000

5000

Do It Yourself PureApplication System

Labor Hours Spent*

Deployment

Change Management

Security Management

Asset Management

Incident/capacity Mgmt

76%Savings

*Note: Do It yourself used 9 blades (144 cores). IBM PureApplication System used 3 nodes (96 cores). Each system has the capacity to

run 72 workloads where each workload can sustain a peak throughput of 1720 page elements per second.

This is an IBM internal estimated labor study based on modeling customer data on IBM hardware and software solutions and on competitor converged solutions designed to replicate typical IBM customer

usage in the marketplace. It is not a benchmark. As such, customer applications, differences in stack deployed and other systems variations may produce different results and may vary based on actual

configuration, applications, specific queries and other variables in a production environment based on published standard labor rates for IT staff.


How does SaaS help?

Improved TCO due to lower infrastructure cost

Flexible subscription pricing

Minimal upfront investment

Continuous delivery of new capabilities allows rapid innovation and access to immediate code fixes

Lower risk with try & buy approach

Accelerates evaluations and decision making


Remember these?

The speed of destructive innovation is accelerating

SaaS has already changed the game

Don’t be a footnote in the history of computing.


New VendorsDouble Digit Growth

Traditional VendorsSingle Digit, Flat, Negative Growth

Fiberlink

New Relic

ServiceNow

Splunk

SolarWinds

Commvault

VMWare

CA HP

BMC Symmatec

EMC

IBM C&SIBMC

Revenue ($B)

YTY

Gro

wth

(‘1

1-’

12

)

Total revenue 1.3B (without VMWare)

Traditional competitors have high revenue, but are losing share to a new breed of competitors .. the Digital Engagers

“While the Old Lions fight, the Hyenas are stealing the food”C&SI on the April 2013 TT Study


SaaS adoption is growing

• Software as a Service has skyrocketed over the last few years

• Today's enterprise imperatives demands technology that leverages innovations

• We have delivered a new platform for engaging IBM’s SaaS-enabled offerings.


Client Centric

Engagement

Cycle

ExploreSample product instance

preloaded with

demonstration data

TryGet your own instance of

the product that you can

try with your own data

Use (Buy)Traditional IBM Sales

SaaS

Channel

SupportOnline, Chat, Community,

Talk, Watson

LearnLearn, Design and Consult

on value driven capabilities

IBM is delivering WW

Online

ExtendLink, Analyize, Report,

Orchestrate, Optimize via

dynamic Integration

Engage with

practitioners digitally

through web, social

media and video

Licensing models to address shifts to lower barrier to

entry, consumption based purchasing and “try and buy’

Continuous delivery

to rapidly respond

and scale to client

needs

Social collaboration,

insight and analytics

as new mechanisms

to provide expertise

(Watson inside)

Advancing IBM to Service Management 3.0

Composition APIs

to link, extend and

orchestrate services

amongst legacy, new,

and hybrid systems


What is IBM Service Engage? A New Way to experience and acquire our

on-premise and SaaS solutions

for engaging clients and partner via live

guided demos available 24x7to POC your clients … start a POC in 30

minutes, anytime, anywhere your client

wants

to extend what your clients are already

buying at lower total cost via Software as a

Service

to accelerate the close

IBM Service EngageLearn • Explore • Try • Use (Buy) • Extend • Support

New way….


IBM Service Engage Solutions

Find root cause of

application problems

90% faster

Improve cost functional

processes, requests,

and maintenance

planning by 40%

Reduce labor costs by

90%


Industry leaders are 92%

more likely to use asset

management analytics

IBM Service Engage Solutions

Reduces excess inventory

and ensures parts

availability for mission-

critical assets by

harnessing the inventory

management capabilities of

Maximo Asset Management

and the analytical power of

IBM SPSS.

© 2014 IBM Corporation

InterConnect 2015

Welcome to the brand new IBM InterConnect 2015! Register Today!

We're combining three of our most popular IBM conferences—Pulse, Impact and Innovate—into one of the most comprehensive software events ever to deliver even more value to attendees.

At InterConnect you will discover new ways to rapidly innovate and engage with clients. Cloud. Mobile. Data. Together they're transforming business. Come share your experience and expertise in Cloud, Service Management, Security, Mobile, DevOps, Internet of Things and Application Infrastructure.

http://www-01.ibm.com/software/events/interconnect/

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Next Steps

1. Join me in the Social Café to continue the conversation.

2. Meet our Specialists at the Cloud Table in the Solution Showcase.

3. Download additional content from the tablets in the Social Café.

4. Find more information at http://www-01.ibm.com/software/tivoli/?lnk=mprSO-tivo-usen



Edmonton

October 2, 2014

#SmarterEnterprise


IBM Cloud:

Build It and They Will Come: the future belongs to

dynamic private and hybrid clouds

Chris Mallon,

Software Business Executive,

IBM Canada Middleware Group

[email protected]



A working definition

• Cloud (n) On-demand compute with consumptive billing

On-demandRapidly provisioned services

ComputeServers, network, storage, firewalls, ancillary services

Consumptive billingTurns traditional fixed IT costs into variable – monthly or hourly

• The initial model – virtualized multi-tenancy computing – does not meet the requirements for all applications and use cases

• For broadest applicability, user-selectable levels of performance and isolation are required


Cloud is a $1.5B marketplace in Canada that’s growing at 28% to $4.0B

in 2017. How will you take advantage of cloud technologies?


Leading enterprises are achieving competitive differentiation and improving their top and bottom lines with Cloud.


Whose cloud powers 240,000 more websites than Amazon and Google? Combined. Who’s the market leader in Canada?


Many clients are already on the

way to cloud with consolidation

and virtualization efforts

CONSOLIDATEPhysical Infrastructure

CLOUDDynamic provisioning for workloads

VIRTUALIZEIncrease Utilization

STANDARDIZEOperational Efficiency

AUTOMATEFlexible delivery & Self Service

Traditional IT

Movement from traditional environments to Cloud

One Step or An Evolution

33

En

erg

y/c

oo

ling c

osts

Cap

Ex c

osts

Op

era

tions c

osts


IBM Cloud

Business Process

as a Service

Enabling business transformation

Business Process

SolutionsApplication Application Application Application Application

Software

as a Service

Marketplace of high value consumable business applications

Platform

as a Service

Composable and integrated application development platform

Infrastructure

as a Service

Enterprise class, optimized infrastructure

External

EcosystemIndustry Collaboration

Human

Resources

Big Data &

AnalyticsCommerce Marketing

DevelopmentBig Data &

AnalyticsSecurity Integration Mobile Social

Traditional

Workloads


Compute Storage Networking


SmarterCommerce

SmarterAnalytics

SmarterCities

SmarterWorkforce

Watson solutions

Software solutions

Middleware

solutions

PureApplication

SOFTLAYER

IBM SmartCloud

Enterprise +


Clients are moving applications and workloads to the Cloud


Extend enterprise apps with mobile

Test and learn – rapid

experimentation

Optimization: Dev/Test, Offloading,

Etc.

Market Expansion and Globalization

on

System Service

Using Hybrid Cloud Options Together Strategically

Off-PremOn-Prem


Defined PatternsServices

ComposableServices

BusinessServices

InfrastructureServices


SaaS


Strategize how to use cloud to drive revenue growth and efficiencies

Build and run your private or hybrid cloud

Utilize cloud services delivered from IBM Cloud

Data Center Expansion

SoftLayer Acquisition

Acquisition Investment

SaaS OfferingsCloud software development

IBM has invested in Cloud and created a comprehensive

portfolio to help clients achieve this balance


Focus on your application, while PureApplication automates the application lifecycle to accelerate time to market, simplify IT and lower TCO

From: MANUAL

Roll Your Own

To: AUTOMATED

Time to Value,

Simplicity & Lower

TCO

OS

On-Prem Off-Prem

MANUAL• Provisioning• Monitoring• Maintenance• SW Scaling• HW Scaling

MANUAL• Provisioning• Monitoring• Maintenance• SW Scaling

AUTOMATED• HW Scaling

PureApplication

ServicePureApplication

System

AUTOMATED• Provisioning• Monitoring• Maintenance• SW Scaling• HW Scaling on


IBM PureApplication System integration by design

Optimizes the complete

solution stack:

• All hardware and software components factory integrated and optimized

• Virtualized across the stack for efficiency

• Unified management, monitoring & maintenance

• Integrated and elastic application and data runtimes

• Application patterns allocate system and application resources for optimal performance, security and reliability

ServersStorage

Networking

Virtualization

Management

Development

Middleware

Deployment

Applications

With PureApplication System

& Patterns, you can deliver

applications & new projects

with:

• 30X faster application deployments

• 76% less time

• 60% better price/performance

• lower skills requirements

• fewer errors

• greater control & governance

• elastic-SLA-driven scaling


No enterpise can get there instantaneously…Challenge is to balance optimizing existing systems with innovation

fuels investments in

innovation

drives need for continuous

optimization

InnovationOptimization


IBM has capabilities across the spectrum of users delivered as

SaaS, PaaS, IaaSSmarter Commerce

Smarter Analytics

Smarter Cities

Smarter Workforce

Watson solutions

IBM Service Engage

Cloud Services Platform Codename: BlueMIx

Cloud deliveredmiddleware services

SOFTLAYER

Software defined environmentsInfrastructure solutions

Public. Private. Dynamic Hybrid.

Cloud Orchestrator

IBM Service Engage


Infrastructure-as-a-Service

(IaaS)

VMWare

Orchestration

PatternsImage

ManagementDev

Tools

Monitor

Backup &

Restore

Security

Compliance

Self-Service Catalog

KVMEC2 PowerSoft

LayerHyper-V z/VM

Future ReleasesCurrent Release

Clo

ud

Mark

etp

lace

IBM Cloud Management Architecture


Introducing IBM BluemixDelivering a Composable Services development and runtime environment

Run Your AppsThe developer can chose any language runtime or bring their own. Just upload your code and go.

DevOpsDevelopment, monitoring, deployment and logging tools allow the developer to run the entire application

APIs and ServicesA catalog of open source, IBM and third party APIs services allow a developer to stitch together an application in minutes.

Cloud IntegrationBuild hybrid environments. Connect to on-premises systems of record plus other public and private clouds. Expose your own APIs to your developers.

Built on IBM SoftLayerRuns on top of IBM’s leading infrastructure as a service.


Bringing together IBM’s capabilities with Business Partners, ISVs and open source provides a rich ecosystem for application development

Built on OPEN Cloud Foundry technology

Runs on

Your services IBM services

Private services Public services


Your Web & Mobile Database Application Challenges?

Uncertainty & Risk


DIY vs. Hosted DB vs. DBaaS

Guaranteed

No Guesswork

Smallest Risk

Greatest Productivity

Hardware

Software

Admin

Design

Software

Admin

Design

Design

DIY Hosted DBaaS

Guessw

ork

, O

verh

ead,

Ris

k


Why Clients Use Cloudant DBaaS

Scales massively & elastically

• Handle millions of daily active users

Guaranteed performance & up time

• Removes risk of project & SLA delivery failure

More agile development for web & mobile

• No rigid schemas to slow development

Managed for you 24x7

• Stay focused on new development, not DB

administration

Build More. Grow More. Sleep More.

Cloudant empowers clients from all verticals to get their applications to market faster in a

cost-effective, hassle-free delivery model with guaranteed performance and support.


49

IBM Service Engage

Learn Explore

Try

BuyExtend

Support

Delivery Excellence

Modern User Experience

On-prem and SaaS---

---

IBM is the only vendor providing on-prem, as-a-Service, and a hybrid experience

Service Engage by the Numbers33,207 total visitors on Service Engage

7,296 demos provisioned

194 customer free trials

Why Service Engage

•Engage clients and partner via live guided demos available

24x7

•POC your clients … start a POC in 30 minutes, anywhere

your client wants

•Extend what your clients are already buying at lower total

cost via Software as a Service

•Accelerate the close

Service Engage enables clients to operate SaaS

Solutions for:

•IT Service Management

•Workload Automation

•Application Performance Management

• Internet of Things

• Inventory Insights


InterConnect 2015









Next Steps

1. Join me in the Social Café to continue the conversation.

2. Visit http://www-01.ibm.com/software/tivoli/?lnk=mprSO-tivo-usen for

additional information.

3. Download additional Cloud content from the tablets in the Social Café.

http://www-01.ibm.com/software/tivoli/?lnk=mprSO-tivo-usen



Edmonton

October 2, 2014

#SmarterEnterprise


Transforming Software and Product Delivery

for Innovation@Speed

Daniel Leroux

Distinguished Engineer, IBM Rational

[email protected]



Three market shifts are re-shaping today’s business imperatives

Feedback, Balance,

Speed

Engagement

Cloud

Data

The world demands faster cycles of innovation, you need to

accelerate customer feedback, balancing speed with confidence


Google Trends ‘DevOps’ -

50% growth from March ‘13 to March ‘14

DevOps has strong momentum

2013 was the year in which the word DevOps was etched into our brains in the IT

world... it’s an important evolution for enterprise IT. At its core, it’s about the need for

continuous, rapid delivery of modern applications.- Forrester (Feb ‘14)

66% of 1300 large organizations surveyed

across 21 countries have adopted or have

plans to adopt DevOps

- Vanson Bourne (Sep ‘13)

Number of DevOps engineer jobs in the UK triples in

the past 2 years – ITProPortal, March 2014

DevOps is the #3 best skill to have on a resume (only

behind Security Architect and Salesforce Architect) –Business Insider, March. 2014


Lean transformation

across the enterprise.

Steering with

continuous feedback.

DevOps and Continuous EngineeringEfficiency and Effectiveness


MobileEngage customers and workforce by building secure

mobile-first experiences faster, with seamless

integration with enterprise systems

SecurityIdentify security

vulnerabilities early in the

lifecycle to mitigate

downstream risk and cost

AnalyticsInform applications and

products by efficiently

interpreting massive

quantities of data

CloudDemand for apps requires fast, scalable environments for dev and test, as well as production

Social BusinessBroader set of stakeholders collaborates to deliver continuous innovationand value

DevOps supports Cloud, Analytics, Mobile, Social, and Security

Operate Develop/ Test

Deploy

Steer

DevOpsContinuous Feedback


Feedback cycles are context dependentBringing together the people, processes, and tools across the entire software delivery lifecycle – spanning mobile to mainframe platforms

Systems of Record (SoR) Apps

Fewer

ReleasesDatabases

Systems of Engagement (SoE) Apps Rapid

Releases AppStore

Inte

gra

tio

n T

est

Monitor

and OptimizeDevelop

and Test

Web AppsFrequent

Releases

Production

Environment

Databases Syste

ms o

f In

tera

cti

on


• We will apply DevOps models of Solution Development to two distinct kinds of Application or Solution models

• Legacy Solutions – Updates to solutions already in place, or some new development under constraints that require traditional models

• Next Gen Solutions – Greenfield solutions developed without traditional constraints

• In both cases there is value in applying DevOps models, techniques, and capabilities to enhance IBM software products

Two Models of Development of Next Generation Solutions

Legacy Solutions

Next Gen

Solutions

Use DevOps to

reduce cost and risk

Use DevOps to

increase speed


Accelerate

software delivery –

for faster time to value

Balance speed, cost,

quality and risk –

for increased capacity

to innovate

Reduce time to

customer feedback –

for improved customer

experience

IBM DevOps point of viewEnterprise capability for continuous software delivery that enables organizations

to seize market opportunities and reduce time to customer feedback

Continuous

Customer

Feedback &

Optimization

Collaborative

Development

Continuous

Release and

Deployment

Continuous

Monitoring

Continuous

Business Planning

Continuous

Testing

Operate

Deploy

Steer

DevOpsContinuous Feedback

Operate Develop/Test

Deploy


Improve Efficiencies through Lean Adoption

Ineffective Leaner Leaner and Smarter

Silo-ed

Process-based

Process-heavy

Manual

Steer

Develop/Test

Operate

Deploy

Efficiency

Productive

Waste

Collaborative

Agile

Automated

Product-based

More Continuous

MorePredictable

More Transparent

Optimizing


Leaner Leaner and Smarter

Improve Effectiveness with Continuous Feedback

Ineffective

Silo-ed

Process-based

Process-heavy

Manual

Steer

Develop/Test

Operate

Deploy

Feedback cycles

Collaborative

Agile

Automated

Product-based

More Continuous

MorePredictable

More Transparent

Optimizing


Customer success stories

• Quality improved

50% over three years

• End user downtime

reduced by 70%

• Software releases

reduced by 99 %

• Cost avoidance of more

than USD2.3 M per year.

Reduced by 25 percent

new product development

time and associated costs

Won 10% more

competitive tenders


Success Story: Totals for DeploymentsAcross integration testing, UAT, pre-production, and production

Dep

loym

ent

Tim

e(h

ours

)

Low Complexity Medium Complexity High Complexity

50

100

150

200

Current Deployment Times

Business Case Target Times

Realized Target Times

Results were as high

as 5 times betterthan the target

business case (ROI)!!

225

125

2515

40

75

3515 5


Where do you start: DevOps Adoption Roadmap

What are we

trying to

achieve?

• Define measurable target outcomes

• Look across silos and include all stakeholders

Where are we

now?

• What do you measure? What don’t you measure?

• Where is the waste, overhead, rework?

• What are the root causes?

• What practices do we follow

What are the

priorities ?

• Cycle times, speed

• Quality

• Effectiveness, feedback loops, value delivered

• Efficiency, productivity

Lean Assessment

Adoption Plans

Business Priorities

What

Initiatives do

we deploy

first?

• Look for volunteers (buy-in), avoid top-down mandates

• Incremental, measurable improvements

• Measure outcomes, not compliance

Risks and

Opportunities


Unlocking Engineering

Knowledge

“Turn Insight

into Outcomes”

Continuous

Verification

“Measure twice,

cut once”

Strategic

Reuse

“Don’t reinvent

the wheel”

Continuous Engineering Is A Game Changing Capability


Developing Advanced

Data

Experience

Copies

Feedback

Configuration

Information

Optimization

Product Line Engineering

InsightUnlocking

Engineering

Knowledge

Continuous

Verification

Strategic

Reuse

Foundation

Continuous Engineering Adoption Model


Customer success stories

• Transparency in compliance,

traceability and change

management

• Helps to assure design and

integration points and to

ensure compliance with

licensing and regulatory

commitments.

• Long-term initiative of a

standards-based platform for

end-to-end efficiency and

strategic reuse of

automotive engineering

artifacts.

• Helps meet evolving safety

and maturity standards such

as: ISO26262, ASPICE,

AUTOSAR.

• Reduces typical system

design time speeding

time to market, increasing

customer satisfaction

• Speeds identification of

design incompatibilities

helping avoid critical

programming delays


Announcing: Bluemix

• Run apps in any language

• Built on open standards

• Provides integration services to your systems of record

• Designed for mobile

• Provides DevOps services for integrated dev experience


6

5

43

2

Create app

Add database service

Extract social media data into database

Add social analytics service

Add Monitoring service instance

Composing an application as opposed to traditional writing of an application

Secure the service

1

ITERATE

TASK:

Create a secure application that

analyses sentiment about certain

topics in social media


Data api + app

management

+ quality assurance

From in-memory data store

to predictive analytics

Integrated developer

experience for mobile

and cloud apps

Access to systems of

records and enterprise data

Pre-integrated Services from Bluemix


Catalog of Services & SDKsBuild new mobile and cloud apps using IBM and 3rd party services


DevOps Services for Bluemix, powered by IBM DevOps ServicesOpen, integrated rapid development experience that scales

• Integrated developer experience

• End-to-end DevOps solution in the

cloud for developing applications

• Integrated task tracking, agile planning,

and source control

• Quickly and easily deploy your

applications in the cloud with auto

deploy

• Complementary mobile quality and

application performance monitoring

• Use your favorite tools or work from the

Web IDE

• Scalable and enterprise-ready

• Runs on SoftLayer infrastructure


Industry Leadership – “skate to where the puck is going”

“…The force behind this revolution is DevOps:

development and operations working together with

business sponsors and quality assurance (QA) to

deliver a continuous stream of innovation into

production.”

“DevOps requires people, process and tools to promote

seamless collaboration among diverse but simultaneous

users … DevOps is a culture shift, designed to

improve quality of solutions that are business-

oriented and rapidly evolving …”

Analysts: +66% YTY research on DevOps Analysts: Smarter Product Development

*Analysts are investing in key areas of

Smarter Product Development, e.g. Systems

Engineering, Embedded Software, Agile,

Product Line Engineering, PLM, Simulation,

Compliance, Safety Critical, Regulatory

MBSE, Requirements Engineering, Test/Quality

“Magic Quadrant for Application Development Life Cycle

Management

“Magic Quadrant for Mobile Application Development

Platforms”,

“Magic Quadrant for Integrated Software Quality Suites”,

“IDC Worldwide Automated Software Quality 2013-2017

Forecast and 2012 Vendor Shares”

“Ovum Decision Matrix: Selecting an Application

Lifecycle Management Solution, 2013-14”,

IBM is a Leader:

IBM named #1 as the Worldwide Market-Share Leader for

Application Development based on total software

revenue for 2012:

“Market Share: All Software Markets, Worldwide, 2012”

IBM in the Magic Quadrants and MarketScope:

“IDC Market Share for Application Development software”,April 2013.


A Global Team of IBM Software Developers

Perth

Canada

Toronto, Ottawa

Montreal, Victoria

Haifa

Rehovot

China

Beijing

Shanghai

Xian

Yamato

Taiwan

Paris

PornichetKirkland

Seattle

Foster City

San Francisco

SVL/San Jose

Almaden

Agoura Hills

Irvine

El Segundo

Costa Mesa

Las Vegas

Bedford, MA

Bedford, NH

Essex Junction, VT

Westborough

Cambridge

Littleton

Marlborough

Cork

Dublin

Galway

India

Bangalore

Pune

Hyderabad

Gurgaon

Vizag

Cairo

Rome

Gold Coast

Sydney Canberra

Fairfax

Raleigh

Charlotte

Lexington, KY

Atlanta

Boca Raton

Tampa

Krakow

Warsaw

Sao Paulo

Malaysia

DelftStockholm

Boeblingen

Southbury

New York City

Princeton

Hawthorne

Endicott

Moscow

Zurich

Pittsburg

Poughkeepsie

Somers

Yorktown Heights

Hopewell Junction

Wayne

Hursley

Warwick

York

Edinburgh

London /

Staines

Milton Keynes

Phoenix

Austin

Dallas

Dublin

Rochester, MN

Boulder

Denver

Lenexa, KA

Tucson

El Salto, MX

US 20,000

Canada 3,100

Latin America 600

EMEA 7,100

AP 11,800

Total 42,600


Complexity Challenges Team Challenges

Three areas of change: Process, People, Tools

More granular service functionality in composite business applications

Large number of projects and assets including custom, outsourced and packaged

Geographically dispersed teams that often include business partners

Effective cross-organizational visibility and synchronization, sharing becomes an imperative

Process Challenges Need for market experimentation

Blind adherence to process insensitive to potential business trade-offs

Need for agility at scale

Tools Challenges Lack of standards impacts ability

to integrate, collaborate and optimize across teams and assumptions

Frequent asset updates and changing interdependencies

There are many challenges to a transformation like this….


IBM Confidential

Continuous Integration & Continuous Delivery to OpenStack ClientsExternal, Internal, & Community

• Open Beta deliveries to external clients every 6 weeks

• Daily deliveries to internal IBM community building OpenStack-based solutions for GTS, SWG, STG, etc.

• Continuous Integration for IBM contributions via OpenStack Community (e.g. PowerKVM & DB2 in process)

Success Story: Transforming STG Development with DevOps

• Integration Testing went from once per cycle (2 months) to Daily• Cycle time from build to internal consumer was 14 days of manual effort. Now it’s 3 hours• Deployment time decreased from 5 hours to 5 minutes

Continuous Feedback

Continuous Build

STG DevOps Proof of Concept Investigation

Customer

Interaction

RFESCE

Continuous Integration

Customer

Interaction

Continuous Test

Service Management ConnectContent

Download

Hosted Environment

Feedback

Driver VM

Continuous DeploymentAgile Development

Driver VM

Driver VM

Rational UrbanCode Rational Focal Point

Security (AppScan)

Rational Team ConcertTask WI, Change Record WI

Jazz SCM

Jazz Build Engine (JBE)

Compilers

Compile Pool Resource

Web Browser

RTC Web Client

RTC Eclipse Client

RTC Build Client (JBE)

AppScan

Driver Images

Test Resources

Debug Environment

Focal Point Client

Web Browser

RTC Web Client

RTC Eclipse Client

Development VM Builder VM

UrbanCode Deploy?

RTC Eclipse Client

RTC Build Engine Client

Test Environment

Driver Images

Debug Environment

Test Resources

RTC Web Client

RTC Eclipse Client

Compilers


AppScan

Build Resources

RTC Build Engine Agent

Image Catalog

Continuous Feedback

Continuous Build

STG DevOps Proof of Concept Investigation

Customer

Interaction

RFESCE


Customer

Interaction

Continuous Test

Service Management ConnectContent

Download

Hosted Environment

Feedback

Driver VMDriver VM

Continuous DeploymentAgile Development

Driver VMDriver VM

Driver VMDriver VM

Rational UrbanCode Rational Focal Point Rational Focal Point

Security (AppScan) Security (AppScan)


Jazz SCM



Jazz SCM


Compilers


Web Browser

RTC Web Client

RTC Eclipse Client

RTC Build Client (JBE)

AppScan

Driver Images

Test Resources

Debug Environment

Focal Point Client

Web Browser

RTC Web Client

RTC Eclipse Client

Development VM Builder VM

UrbanCode Deploy?

RTC Eclipse Client

RTC Build Engine Client

Test Environment

Driver Images

Debug Environment

Test Resources

RTC Web Client

RTC Eclipse Client

Compilers


AppScan

Build Resources

RTC Build Engine Agent

Image Catalog

Leveraging DevOps Methodology to Transform STG Development


Path to Continuous Delivery

Agile Transformation

From multi-sprint releases to delivering every sprint


Jenkins-based solution to build and test at the changeset level

Daily Regression

Automated deployment & testing of each daily build (long running

tests)

Code Reviews

Standard practice, though not enforced by current build system

Weekly Quality Reports

Provide data & subjective view of current quality

System Test

From multiple week end games to weekly multi-day workload testing

Success Story: Watson Core

http://www.bloorresearch.com/blog/the-norfolk-punt/2014/1/ibm-watson-gets-devops/


Lifecycle Measurements 2008 2010 2012 – 2014 Total Improvement

Project Initiation 30 days 10 days 2 days 28 days

Groomed Backlog 90 days 45 days On-going 89 days

Overall Time To Development 120 days 55 days 3 days 117 days

Composite Build Time 36 hours 12 hours 5 hours 700 %

BVT Availability N / A 18 hours < 1hour 17 hours

Iteration Test Time 5 days 2 days 14 hours 4 days

Total Deployment Time 2 days 8 hours 4 hours -> 20

minutes

2 days

Overall Time To Production 9 days 3 days 2 days 7 days

Time Between Releases 12 Months 12 Months 3 Months 9 Months

Innovation / Maintenance 58% / 42% 64% / 36% 78% / 22% +20% / -20%

Double-digit revenue growth, increased client adoption, improved client satisfaction

How IBM Rational On-Prem Products have improved!


Take Action Now!

Develop an end-to-end strategy for Innovation@Speed

through DevOps and Continuous Engineering

The DevOps adoption model is a good starting point

Adopt mobile-first design thinking, and

cloud-centric architectures for Systems of Interaction

Start incrementally on business-critical projects

Measure and reduce waste: overhead, rework

and duplication

IBM can support you in your journey


InterConnect 2015









Next Steps

1. Meet me in the Social Café to continue the conversation.

2. Visit the Bluemix Table in the IBM Solutions Showcase for hands on demo.

3. Sign up for your free trial of Bluemix at http://bluemix.net

4. Find more information about DevOps at http://www.ibm.com/ibm/devops/us/en/
