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Smarter benefits. Better health. Cloud: A Matter of Perspective Lonnie Emard AVP and Executive Director, IT-oLogy ECC Conference June 12, 2012

Smarter benefits. Better health. Cloud: A Matter of Perspective Lonnie Emard AVP and Executive Director, IT-oLogy ECC Conference June 12, 2012

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Page 1: Smarter benefits. Better health. Cloud: A Matter of Perspective Lonnie Emard AVP and Executive Director, IT-oLogy ECC Conference June 12, 2012

Smarter benefits. Better health.

Cloud: A Matter of PerspectiveLonnie EmardAVP and Executive Director, IT-oLogy

ECC Conference June 12, 2012

Page 2: Smarter benefits. Better health. Cloud: A Matter of Perspective Lonnie Emard AVP and Executive Director, IT-oLogy ECC Conference June 12, 2012

Smarter benefits. Better health.

Promises of Cloud:» dizzying array of Applications Management options:

• Rapid provisioning of functional applications• Ability to adopt greater functionality

» A material change in the cost of technology that will change the way we use and employ IT

• Ability to rapidly ramp up or down resources• Lower capital requirements• Faster time to innovation

» Better security The problem is

» different definition, especially cloud vendors who tend to shape the definition based on their offerings.

» hope for a “silver bullet”

» increase capacity or add capabilities on the fly without investing – too good to be true?

» doesn’t replace existing power horses And in the end, it is not about technology, it is about a Business Model.

Cloud Computing: “the phrase du jour”

Page 3: Smarter benefits. Better health. Cloud: A Matter of Perspective Lonnie Emard AVP and Executive Director, IT-oLogy ECC Conference June 12, 2012

Cloud Computing is based on improvements in “virtualization” technology, not on the entrance of a revolutionary technology

Page 4: Smarter benefits. Better health. Cloud: A Matter of Perspective Lonnie Emard AVP and Executive Director, IT-oLogy ECC Conference June 12, 2012

Real Life Example

Results # Physical Servers are shrinking # VM Servers are shrinking Almost half of Virtual Servers are

ZLinux Results:

» Lower Management Cost» Lower Power and Cooling Cost

Virtualization

No Cloud Required

Physical Server Installed Base

Page 5: Smarter benefits. Better health. Cloud: A Matter of Perspective Lonnie Emard AVP and Executive Director, IT-oLogy ECC Conference June 12, 2012

Cloud Computing is a business choice, not a technology choice

Page 6: Smarter benefits. Better health. Cloud: A Matter of Perspective Lonnie Emard AVP and Executive Director, IT-oLogy ECC Conference June 12, 2012

ITIL Framework Summary

The

Business

The

TechnologyApplication Management

The Business Perspective

ICT Infrastructure Management

Service Management

Service Support

Service DeliverySecurity

Management

IT Delivery Service Models

Customer’s OrganizationIaaS

PaaS

Hosted

SaaS

BPaaS

Business Model Choice

Page 7: Smarter benefits. Better health. Cloud: A Matter of Perspective Lonnie Emard AVP and Executive Director, IT-oLogy ECC Conference June 12, 2012

Customer PortalGlobal Identity Management

Global Service CatalogGlobal Provisioning Manager

Software as a ServicePlatform as a Service

Infrastructure as a Service

Compute Element

Network Element

Storage Element

Physical Data Center Element

Service Catalog

Provisioning Manager

Governance/A

CC

T/C

harge B

ack

Service M

anagement

Security M

anagement

Multi-T

enant Managem

ent

Internet Connectivity Private Network Connectivity

General Cloud Computing Reference Architecture

Service CatalogIdentifies Servers, Storage, etc available to respond to a request forcomputing capabilities

Provisioning Managerused to automate the provisioning of any item included in the Service Catalog

Computing ElementsDeals with X86 Intel based systems

Other – provides for: pooled infrastructure resources to service multiple consumers using a multi-tenant model

Adequate System Security

A pay-as-you-use service for usage to be monitored, controlled, and reported to allow the allocation of costs back to individual business units

Infrastructure-as-a-Service (IaaS) – Infrastructure Offering

Platform-as-a-Service (PaaS) – Application development

Software-as-a-Service (SaaS) – Applications delivery

Network AccessIdentifies type of network to be accessed through standard protocols

Customer Portalused to identify Service Offerings required to fulfill a request for computing capabilities in technical terms such as servers, storage, etc., and Security.

Page 8: Smarter benefits. Better health. Cloud: A Matter of Perspective Lonnie Emard AVP and Executive Director, IT-oLogy ECC Conference June 12, 2012

Customer PortalGlobal Identity Management

Global Service CatalogGlobal Provisioning Manager

Global G

overnance / Accounting / Charge BackG

lobal Service Managem

entG

lobal Security Managem

entG

lobal Multi-Tenant M

anagement

Software as a ServicePlatform as a Service

Infrastructure as a Service

Service Catalog

Compute Element

Network Element

Storage Element

Physical Data Center Element

Provisioning Manager

Go

vern

ance

/AC

CT

/Cha

rge

Back

Service

Ma

nage

men

t

Secu

rity Ma

nage

men

t

Multi-T

ena

nt Ma

nag

emen

t

External Service Providers

Intel x86

Service Catalog

Compute Element

Network Element

Storage Element

Physical Data Center Element

Provisioning Manager

Go

vern

ance

/AC

CT

/Cha

rge

Back

Service

Ma

nage

men

t

Secu

rity Ma

nage

men

t

Multi-T

ena

nt Ma

nag

emen

t

“Cloud-in-a-Box”at

Customer Facility

Intel x86

Master Cloud Computing Reference Architecture

GovernmentData Centers

Service Catalog

Compute Element

Network Element

Storage Element

Physical Data Center Element

Provisioning Manager

Go

vern

ance

/AC

CT

/Cha

rge

Back

Service

Ma

nage

men

t

Secu

rity Ma

nage

men

t

Multi-T

ena

nt Ma

nag

emen

tIBM zEnterprise

Service Catalog

Compute Element

Network Element

Storage Element

Physical Data Center Element

Provisioning Manager

Go

vern

ance

/AC

CT

/Cha

rge

Back

Service

Ma

nage

men

t

Secu

rity Ma

nage

men

t

Multi-T

ena

nt Ma

nag

emen

t

Intel x86

Service Catalog

Compute Element

Network Element

Storage Element

Physical Data Center Element

Provisioning Manager

Go

vern

ance

/AC

CT

/Cha

rge

Back

Service

Ma

nage

men

t

Secu

rity Ma

nage

men

t

Multi-T

ena

nt Ma

nag

emen

t

Oracle/Sun

Healthcare Focused

Computing ElementsIBM zEnterpriseIntel x86Oracle/Sun

Internet Connectivity Private Network ConnectivityNetwork AccessIdentifies type of network to be accessed through standard protocols

Customer Portala solution set for a holistic consumer Interface which consolidates offerings into Business related items rather than technical related items thus providing a consumer’s guide through the complex, confusing world of Cloud Computing

Service CatalogIdentifies consolidated offerings into Business related items rather than technical related items

Contains “role” based / consumer based customization

Is NOT limited to Cloud offerings only

Provides for any offering that a company would like to make available to its consumer base in business terms; for example:

Seat ManagementMobile PhonesWorkstations hardware / software PhonesLabor Resources

Provisioning Managerused to automate the provisioning of any item included in the Service Catalog

The offering has a “scripting” / “programming” interface used as a “Common / Centralized” automation

development tool brings source management to this type of work.

Other – provides for: pooled infrastructure resources to service multiple consumers using a multi-tenant model

Adequate System Security

A pay-as-you-use service for usage to be monitored, controlled, and reported to allow the allocation of costs back to individual business units

IT as a ServiceReference

Architecture

Governance

Consulting(DBA, Security)

Application Management

OS/MiddlewareManagement

Security

Disaster Recovery

Service Management

Load Testing

DevelopmentConsulting

ProjectManagement

BEST PRACTICE FRAME WORK

EVALUATION METHOD MATURITY LEVEL SCORE

ITIL Self-Assessment 2006: 56% ITIL Levels Passed 2009: 80% ITIL Levels Passed

CMMI External Assessment Level 3 – Defined: processes are well characterized and understood, and are described in standards, procedures, tools, and methods.

CoBit Self-Assessment High Level Objectives Detail Level Objectives

Internal: 100% 97%

External (*) 100% 96%

(*) External Assessments are based on the number of CoBit Control Objectives considered in external audits because our reviews have found only 79% of the High Level Objectives and 82% of the Detail objectives are found in external audits. Therefore, a 100% rating on External Audits would be based on the 79% and 82% objectives respectively.

EAMM Self-Assessment Level 5: Indicated BCBSSC demonstrates the highest level of vitality through its current use of a combination of structured process, templates, and organizational fluidity.

ISO 9000 External Assessment Certified

SOX External Assessment Passed

Commercial Audit Compliance

External Assessment PCI, HIPAA, SAS 70

Government Audit Compliance

External Assessment CMS FISMA(High), DOD DIACAP/ATO

General Cloud Computing Reference Architecture

Page 9: Smarter benefits. Better health. Cloud: A Matter of Perspective Lonnie Emard AVP and Executive Director, IT-oLogy ECC Conference June 12, 2012

Customer PortalGlobal Identity Management

Global Service CatalogGlobal Provisioning Manager

Global G

overnance / Accounting / Charge BackG

lobal Service Managem

entG

lobal Security Managem

entG

lobal Multi-Tenant M

anagement

Software as a ServicePlatform as a Service

Infrastructure as a Service

Internet Connectivity Private Network Connectivity

Service Catalog

Compute Element

Network Element

Storage Element

Physical Data Center Element

Provisioning Manager

Go

vern

ance

/AC

CT

/Cha

rge

Back

Service

Ma

nage

men

t

Secu

rity Ma

nage

men

t

Multi-T

ena

nt Ma

nag

emen

t

External Service Providers

Intel x86

Service Catalog

Compute Element

Network Element

Storage Element

Physical Data Center Element

Provisioning Manager

Go

vern

ance

/AC

CT

/Cha

rge

Back

Service

Ma

nage

men

t

Secu

rity Ma

nage

men

t

Multi-T

ena

nt Ma

nag

emen

t

“Cloud-in-a-Box”at

Customer Facility

Intel x86

Master Cloud Computing Reference Architecture

CommercialData Centers

Service Catalog

Compute Element

Network Element

Storage Element

Physical Data Center Element

Provisioning Manager

Go

vern

ance

/AC

CT

/Cha

rge

Back

Service

Ma

nage

men

t

Secu

rity Ma

nage

men

t

Multi-T

ena

nt Ma

nag

emen

tIBM zEnterprise

Service Catalog

Compute Element

Network Element

Storage Element

Physical Data Center Element

Provisioning Manager

Go

vern

ance

/AC

CT

/Cha

rge

Back

Service

Ma

nage

men

t

Secu

rity Ma

nage

men

t

Multi-T

ena

nt Ma

nag

emen

t

Intel x86

Service Catalog

Compute Element

Network Element

Storage Element

Physical Data Center Element

Provisioning Manager

Go

vern

ance

/AC

CT

/Cha

rge

Back

Service

Ma

nage

men

t

Secu

rity Ma

nage

men

t

Multi-T

ena

nt Ma

nag

emen

t

Oracle/Sun

IT as a ServiceReference

Architecture

Governance

Consulting(DBA, Security)

Application Management

OS/MiddlewareManagement

Security

Disaster Recovery

Service Management

Load Testing

DevelopmentConsulting

ProjectManagement

Healthcare Focused

Page 10: Smarter benefits. Better health. Cloud: A Matter of Perspective Lonnie Emard AVP and Executive Director, IT-oLogy ECC Conference June 12, 2012

IT as a ServiceReference

Architecture

Governance

Consulting(DBA, Security)

Application Management

OS/MiddlewareManagement

Security

Disaster Recovery

Service Management

Load Testing

DevelopmentConsulting

ProjectManagement

TASKMANAGEMENT

REPORTING

MONITORINGIssuesRisksStatus

SC

OP

E

AUTHORIZATION& KICK OFF

DE

SIG

N

CODING & UNIT TEST

QUAL

TEST

IMP

LE

ME

NT

AT

ION

PO

ST

IMP

LE

ME

NT

AT

ION

CLOSURE

PMO ReportsMgmt Reports

Task AssignmentsTask Progress

WORKSCHEDULING

ESTIMATEWORK

DEFINITION

STEERINGSUPPORT

Change C

ontrol

WORK REQUEST MANAGEMENT

SYSTEMTEST

ASDMPOST ROLL OUT SUPPORT

Deploy

( Build

/Buy )

TASKMANAGEMENT

REPORTING

MONITORINGIssuesRisksStatus

PMO ReportsMgmt Reports

Task AssignmentsTask Progress

Change C

ontrol

EN

GIN

EER

ING

Compliance

Test

Hand Over

Roll Out

Roll Out

Hand Over

Deployment

Review

Deploy

UNIT

TEST

SYSTEM TEST

Roll Out

Hand Over

Compliance Test

Deployment Review

Deploy

QUALTEST

Roll O

utH

and Over

Com

pliance

TestD

eployment

Review

Deploy

( Install )

PRO

D

PO

ST

RO

LL

OU

T S

UP

PO

RT

WORKSCHEDULING

ESTIMATEWORK

DEFINITION

RFC MANAGEMENT

CHANGEMANAGEMENT

CAB

Deployment

Review

Compliance Test

RE

QU

IRE

ME

NTS

AUTHORIZATION &KICKOFF

SO

LU

TIO

N

CLOSURE

ICT DMM

SCOPE

SO

LU

TIO

N

EN

GIN

EE

RIN

G

QUAL

TEST

SYSTEMTEST

QUALTESTSYSTEM

TEST

UNIT

TEST

Hand OverCompliance

Test

Deployment

Review

Deploy

( Build/Buy )

POST ROLL OUT SUPPORT

REQUIREMENTS

TASKMANAGEMENT

REPORTING

MONITORINGIssuesRisksStatus

AUTHORIZATION& KICK OFF

DE

SIG

N

CODE & UNIT TEST

IMP

LE

ME

NT

AT

ION

PO

ST

IMP

LE

ME

NT

AT

ION

CLOSURE

PMO ReportsMgmt Reports

Task AssignmentsTask Progress

WORKSCHEDULING

ESTIMATEWORK

DEFINITION

STEERINGSUPPORT

Change C

ontrol

Roll Out

Roll Out

Hand Over

Compliance Test

Deployment Review

Roll Out

Hand Over

Compliance Test

Deployment Review

DeployRoll Out

Hand Over

Compliance

TestDeploym

ent

Review

WORK REQUEST MANAGEMENT

PO

ST

RO

LL

OU

T S

UP

PO

RT

WORKSCHEDULING

ESTIMATEWORK

DEFINITION

RFC MANAGEMENTCHANGEMANAGEMENT

CAB

Deploy

PRODDeploy

( Install )

Integrated Processes

The Matrix: Our Secret Sauce

Page 11: Smarter benefits. Better health. Cloud: A Matter of Perspective Lonnie Emard AVP and Executive Director, IT-oLogy ECC Conference June 12, 2012

Smarter benefits. Better health.

Picasso on a Schedule: The Art and Science of

Managing IT

By Stephen K. Wiggins, CIO and Kenneth C. Abernathy, PhD

Available on Amazon for $29.95

Net proceeds go to IT-oLogy

Page 12: Smarter benefits. Better health. Cloud: A Matter of Perspective Lonnie Emard AVP and Executive Director, IT-oLogy ECC Conference June 12, 2012

Smarter benefits. Better health.

That’s all Folks!