An Executive View on Cloud Service Brokers - Cloud Solutions in a CSB Model Cloud Expo West 2013

Hitachi Consulting An Executive View on Cloud Service Brokers
Cloud Solutions in a Cloud Service Broker Model

Better

Todays Purpose:
•
•

Understand Emerging Trends in Multi-Cloud Governance
Considerations for Cloud Service Broker Strategy for Enterprise Multi-Cloud

Presentation Overview
•
•
•

The New IT Landscape
Complex Multi-Cloud Management & Governance
Cloud Service Broker Strategy, Approach & Enterprise Business Value

Today’s Presentation Available at:
•

http://www.slideshare.net/chadmlawler

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| © Copyright 2013 Hitachi Consulting

Chad M. Lawler, Ph.D.
Director of Consulting, Cloud Computing Practice - Hitachi Consulting
• Advising Cloud Service Providers – Working with leading CSPs providing consulting services for
CSP strategy, planning, marketing analysis & research, product & service development, go-to-market
planning/ launch and internal process assessment optimization and automation

• Enabling Cloud Adoption - Providing an extensive portfolio of cloud adoption consulting services
to help businesses and organizations adopt, develop and implement cloud services and enable cloud
transformation.

• Cloud Service Brokerage & Multi-Cloud Governance – Delivery consulting and solutions to
positions CIOs to become Cloud Service Brokers for their organizations to centralize and streamline
management of multiple cloud services use, providing a single point of transparency, accountability,
sourcing and governance control
•
•
•
•
•

Cloud Consulting, Executive Strategy & Planning
Cloud Product & Service Development
Cloud Competitive Market Analysis
Cloud Go-to-Market Strategy & Product Launch
Cloud Marketing & Sales Messaging, IP & Collateral
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•
•
•
•
•

Director of Consulting Services
Cloud Computing
14643 Dallas Parkway, Suite 800, Dallas, Texas 75254

Cloud Service Provider Advisory & Service Development
Cloud Business Case Development & Financial Modeling
Public, Private & Hybrid Cloud Computing
Cloud Service Governance Frameworks Consulting
Cloud Service Broker Solution Consulting

Office: 469.221.2894
Email: chad.lawler@hitachiconsulting.com
www.hitachiconsulting.com/cloud

www.linkedin.com/in/chadmlawler
www.cardcloud.com/chadlawler

The Cloud Evolution – Where We Are Going
Predictable Cost, Flexible Use, Lower Risk, Automation

4


Cloud is Changing Business & IT
Enterprise Cloud Model - Multi-Source Hybrid Public/Private Mix
DATACENTER

PRIVATE CLOUD

Next Generation
Datacenter Transition

Traditional Data Center
 On-site Traditional Infrastructure
 Dedicated with Limited
Virtualization
 Internal Application Provisioning

Next Generation Datacenter
 On-site Private Cloud IaaS Utility
 Dedicated On-Site Infrastructure

HYBRID CLOUD
Hybrid - Public/Private/Virtual Private

PUBLIC CLOUD
Regional Datacenter 1


Enterprise Datacenter

Public Cloud Datacenter

 On-Site + Off-site Utility
 Dedicated Infrastructure + Utility
 Internal + External Provisioning

 Off-site Utility
 Pay-as-You -Go Consumption
 External Application Provisioning

IT OPERATIONS + MULTI CLOUD
 Legacy Coexistence with Cloud Migration and New Cloud Apps
 Multiple Application Spread Across Environment Legacy & Cloud
5


 Selective Outsourcing and Managed services
 Private, Public and Hybrid Cloud Utilization

Cloud Business Value Drivers

Scalability & Rapid
Agility

6


Focus on Business

$

Financial Flexibility

Cloud Technology & Business Challenges

Security

7

Standards


Application
Migration

Governance &
Compliance

But... How to Achieve Cloud Business Value?
Uncertainty &
Disruption
Business Case
Legal & Regulatory
Integration, Migration
& Transition
Cloud Application
Development
Standards,
Compatibility & Lock-In
Governance &
Management
Security Risks

?

SLAs & Application
Performance
Cost Visibility, Control &
Savings
8


PRIVATE CLOUD
PUBLIC CLOUD

Complex Multi-Cloud Management & Governance
Cloud Complexities & Challenges Barriers to Business Value

Your Business

Optimized Enterprise
Cloud Environment

Consumers
Cloud Ecosystem

Cloud Complexities & Challenges




IaaS

PaaS

SaaS




Services
Providers






9


Adoption
Sourcing
Procurement



Billing
Cost Controls
Multi Hybrid Cloud
Integration
Aggregation
Customization













On-Boarding
SLAs
Performance

Availability
Scaling
Security
Management
Lock-In
Governance

Increasing
Shadow IT


Your Business

Business and End
Users Circumventing IT
Cloud Ecosystem

YOUR CENTRAL IT
IaaS

Services
Providers
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PaaS

SaaS

Need for Multi-Cloud Consumption & Management
In The How canIT Landscape
New you deliver service

How will you manage multiple
CSPs and solutions across
different platforms? Who
manages this?

choice while also controlling
and managing costs?

Need for Centralization, Standardization & Governance





Central Self Service
Cloud Service Catalog
Solution Design
Integration

Currently, you
manage this…
PRIVATE CLOUD

11







Comparison
Procurement
Provisioning
Deployment






Management
Billing & Chargeback
Governance
TCO Visibility & Cost Control

CIO
CENTRAL IT
Traditional On-Premise

PRIVATE CLOUD

Are you equipped to
manage multiple private
clouds?

PUBLIC CLOUD

PUBLIC CLOUD

HYBRID CLOUD

PRIVATE CLOUD

Strategy?
What capabilities, savings or services?
What is the business case, cost & ROI?
How to develop a solution?
Which applications to which Cloud?

Implementation ?
How to integrate, source & procure?
How to implement, migrate & transition?

Governance?
DATACENTER

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How to secure, operate & manage?
How to control resources & costs?


Enterprise
Applications

Complex Application & Workload Fit
Matching & Transition Process

PUBLIC CLOUD

Application Migration

?

Complex Multi-Cloud Procurement,
Provisioning, Management & Governance

13


PUBLIC CLOUD
HYBRID CLOUD

PRIVATE CLOUD
DATACENTER

Need for Multi-Cloud Consumption & Management

Which Applications?
Best Business Value for Cloud
Where do you need the most flexibility?
Which applications require scale?
Where do you need to reduce costs?
Where can you gain the most agility?

Ideal Candidate Applications
Non-Legacy Application
Can be virtualized
Content collaboration, & communication
Email & Web services and applications

Ideal Workloads
On-Off Batch processing, Cyclical or
Unpredictable
Uncertain or inconsistent demand
Require rapid provisioning or scalability

14

Which Cloud?
Public Cloud
Rapid provisioning, massive scale
Greater elasticity, tightly controlled costs.
Also ideal for temporary environments

Private Cloud / Hosted Cloud
Appropriate for higher security needs
Enables more control over infrastructure
Enables higher degree of configuration

Hybrid Cloud
Best of both Public and Private though
the potential scale could place a burden
on the Private Cloud


How Do I Get There?
Content Migration
Workloads moved quickly with minimal
business disruption with cloud services

Performance Optimization
Optimize cloud solution designs,
platform selection, deployment,
procurement, provisioning, management
and governance

Security & Availability
Select target cloud infrastructure based
on application and data security and
availability requirements

Cloud Transformation & Transition - Need A Strategy & Must Plan It

Strategy

Assess

Roadmap

Transition

Operate
15


Multi-Cloud The Need for Choice and Control
In The New IT Landscape
Managing Cloud Complexities and Disruption
 Cloud
 But

represents a disruptive change for both business and IT

with this comes increased complexities and expanded management and integration scope

 Leveraging

the cloud requires more than just technology migration

A New Approach is Required
 For

designing, building and operating solutions in the new hybrid multi-cloud service model

 A common
 Along

methodology across multiple cloud providers and internal infrastructure

with a centralized approach to unify provisioning, procurement, metering and control
16


Hitachi Consulting

Multi-Cloud Governance & Cloud Service Brokers
D e f i n i t i o n s , S t r a t e g y, A p p r o a c h & B u s i n e s s Va l u e

Better

Defining a Cloud Service Broker (CSB) - Definition & Roles (Gartner)
PUBLIC CSP 1
PUBLIC CSP 2

CLOUD SERVICE BROKER

CLOUD CONSUMERS

PRIVATE CLOUD

PRIVATE CLOUD

– Model for conducting cloud service governance and integration as a service
– Manages the use, performance and delivery of cloud services
– Service relationship intermediary between service consumer and provider
– Provides intermediation, aggregation, customization & arbitrage
18


Defining a Cloud Service Broker (CSB) - Definition & Roles
Enterprise Function, Roles & Business Value
Consumptions & Maintenance
Makes it easier to consume and maintain cloud services from multiple providers

Complexity
Removes cloud complexity and burden of work customers consuming cloud
Consolidation
Consolidates 3rd part technical and commercial interfaces for cloud consumers
Governance Via Single Pane of Glass
Provides a ‘one stop shop’ for procurement and management of cloud solutions

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Source:

Gartner Cloud Service Brokerage (CSB) Definition
http://www.gartner.com/it-glossary/cloud-service-brokerage-csb/

CSB Primary Functional Roles Adding Value to Cloud
INTEGRATE

Service Integration - Making separate, independent
services work together in an improved fashion, with
substantial new value as a result of integration

AGGREGATE

Service Aggregation - Delivering two or more services
to consumers in scale with no net-new services but value in
combination (NIST, combines multiple services into one or
more services)

CUSTOMIZE

Service Customization - Altering or improving a service
with enhanced net-new functionality (NIST “Intermediation”,
enhances a service, improves capability, provides valueadded functionality)
Source:

20


“Three Types of Cloud Brokerages Will Enhance Cloud Services.”
http://www.gartner.com/DisplayDocument?ref=g_search&id=973412&subref=simplesearch
NIST Cloud Computing Reference Architecture
http://www.nist.gov/manuscript-publication-search.cfm?pub_id=909505

CSB Primary Functional Roles - Addition Role (NIST)

ARBITRAGE

?

Service Arbitrage - Similar to aggregation but also
enables service choice and flexibility to choose services
from multiple providers, along with measurement,
comparison and contrast capabilities to evaluate best fit

Source:
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NIST Cloud Computing Reference Architecture
http://www.nist.gov/manuscript-publication-search.cfm?pub_id=909505

Cloud Service Broker Strategy
The New IT Landscape - Governance & Control
DATACENTER

PRIVATE CLOUD

Next Generation
Datacenter Transition

Traditional Data Center
 On-site Traditional Infrastructure
 Dedicated with Limited
Virtualization

HYBRID CLOUD
Hybrid - Public/Private/Virtual Private

Next Generation Datacenter
 On-site Private Cloud IaaS Utility
 Dedicated On-Site Infrastructure

PUBLIC CLOUD


Enterprise Datacenter

Public Cloud Datacenter

 On-Site + Off-site Utility
 Dedicated Infrastructure + Utility
 Internal + External Provisioning

 Off-site Utility
 Pay-as-You -Go Consumption
 External Application Provisioning

IT OPERATIONS + MULTI CLOUD
 Legacy Coexistence with Cloud Migration and New Cloud Apps
 Multiple Application Spread Across Environment Legacy & Cloud

 Selective Outsourcing and Managed services
 Private, Public and Hybrid Cloud Utilization

CLOUD SERVICE BROKERS
Integrates, Aggregates & Customizes Multi-Cloud Environment Infrastructures
22


Example Multi-Cloud Management Cloud Service Broker Process
Solution Template Applied to
Multiple Cloud Infrastructures

Cloud Solutions Design

Match to Best-Fit Cloud Based on
Like-for-Like Comparison, SLAs,
and Total Cost of Solution

Compare & Contrast Scenarios
Source & Procurement

Unified Procurement Process with
Solution BOM Compiled & Ordered

Automate Cloud Implementation

Automated Solution Launch with
API-Based Deployment

Application & Data Deployment

Structured Process for Application
Deployment and Data Transition

Management Configuration
Governance & Cost Controls
23


Central Management Console and
Monitoring with Tools Integration
Capabilities
Central Request & Approvals
with Ongoing TCO Controls

Multi-Cloud Management for Choice, Control and Savings

Mid Market IT Organization

Public IaaS

Integrate, Aggregates & Customizes Multi-Cloud

Public IaaS

Enterprise IT Organization

Federal & State
Government IT
Organizations

Private Cloud

Centralization, Standardization & Governance


Central Self Service
 Cloud Service Catalog
 Solution Design
 Integration
24




Comparison
 Procurement
 Provisioning
 Deployment



Management
 Billing & Chargeback
 Governance
 TCO Visibility & Cost Control

CSB Enterprise Business Value - Choice, Control & Savings
CHOICE

Choice - Solution comparison and choice among public and
private cloud providers with integrated cloud service delivery and
procurement deployment automation from multiple providers.

CONTROL

Control - Central cloud solution design, automated provisioning
and integrated governance through a 'single pane of glass‘, a onestop-shop & marketplace for cloud sourcing.

SAVINGS

$

25

Savings - Cloud solution TCO comparison and optimization
among multiple cloud infrastructures to deliver on the lowest-cost
cloud solution.


Future Cloud Direction - Increased Cloud Use & Move to Brokers

Increased Cloud Consumption with Enterprise Capabilities
 Accelerated
 Need
 Lack

IaaS, PaaS & SaaS use with need for more adoption efficiency

for automation, integration, aggregation, governance & management for hybrid cloud

of cloud skills, resources more difficult to find/acquire, cloud talent gap grows

Cloud Service Brokers - Increasing Maturity & Capability
 Rapidly
 Market

evolving arena within the cloud ecosystem with an array of service capabilities
shifting to cloud service brokers to solve cloud consumption and complexity issues

 Focused
 Next

on meeting the need for multi-cloud management, centralization and governance

generation cloud service management software is already offering brokering capabilities
26


General Services Administration (GSA) CSB RFI
• GSA Federal Acquisition Service (FAS) Cloud
Brokerage Request for Information
– July 17, 2012
– Agency: General Services Administration
– Office: Federal Acquisition Service (FAS)

• Alternative Cloud Acquisition Models
– GSA is seeking information about alternative models
and/or solutions for future cloud acquisition vehicles
and processes that further these goals.

• GSA Cloud Service Broker

27


– One emerging concept in cloud computing is that of a
'cloud broker' or an entity that manages the use,
performance and delivery of cloud services, and
negotiates relationships between Cloud Providers
and Cloud Consumers.

Proprietary & Confidential, All Rights Reserved

General Services Administration (GSA) CSB RFQ
• GSA’s Cloud Services Brokerage Proof of
Concept (POC) Demonstration Project
– August, 2013, POCs to Test Leading CSB Platforms

28


DOD Designates DISA as the Cloud Service Broker
 Designation of the DISA as the DOD

Enterprise Cloud Service Broker
 June

26, 2012

 Ease of Cloud Use with a Focus

Point for Cloud Services
 Leverage

of an Array of Private Cloud &
Commercial Cloud Services

 “We are moving to an enterprise cloud

environment that provides tangible
benefits across the department…This
strategy lays the groundwork... for
achieving cloud adoption within the
department. ”
 Teri
29


Takai, Defense Department CIO

DOD Designates DISA as the Cloud Service Broker
fDOD
• DISA Enterprise DoD CSB

– Manage the use, performance & delivery of cloud
services
– Negotiate relationships between cloud providers & DOD

• Enable Cloud Services & Decrease Costs

– Enable the DoD to best leverage cloud services
– Make it easier, safer, and more productive to navigate,
integrate, consume, extend and maintain cloud services

• Consolidate Cloud Demand & Customize Services
– Organizational focus point to consolidate cloud service
demand

– Negotiate for the best service usage rates across the
DoD.
– Enable DoD to tailor availability and delivery of cloud
30


SIs, Consulting Firms & IT Organizations Becoming CSBs

31


Multi-Cloud Governance Need Drives CSC to Buy Servicemesh

32


Empowering IT as the Cloud Service Broker
CIO

CENTRAL IT

 IT

must evolve to function similar to cloud providers and manage hybrid multi-cloud

 IT

focus shifts from managing IT to services, clouds, outsourcers & relationships

 A single
 CIOs

point of transparency, accountability, sourcing and governance control is required

are positioned to become Cloud Service Brokers for their organizations

33


Hitachi Consulting

Our Cloud Consulting Solutions Portfolio
CSP Enablement, Cloud Adoption, Brokerage & Governance

Better

What We do in the Cloud
Cloud Solutions Offering Summary
CSPS

Advising Cloud Service Providers
We work with leading CSPs providing consulting services for CSP
strategy, planning, marketing analysis & research, product & service
development and go-to-market planning & launching.

ADOPTION

Enabling Cloud Adoption – Enable cloud transformation
by providing a portfolio of cloud adoption services to help businesses
transition to cloud solutions.

STRATEGY

Cloud Strategy - Deliver proven cloud adoption strategies.

Help

our clients develop and implement effective private cloud adoption
strategies through expert strategic advice, education, planning
assessments and road mapping.
TRANSITION

Cloud Transition - Cloud-enabling application portfolios to
empower IT transformation. Enable clients to transition to cloud solutions
with proven methodologies, solutions and tools.

35


Our Complete Cloud Consulting Solutions Summary
Cloud Service Provider
(CSP) Consulting

CSP Strategy & Service
Planning

CSP Product & Service
Development

CSP Go-to-Market Planning
& Launch

Cloud Adoption
Consulting

Strategic Advisory Road
Mapping

Cloud Application
Development Services

Cloud Transition
Services

Cloud Service Brokerage
(CSB) Consulting

CSB Strategic Advisory,
Education & Planning

Governance Framework &
Change Management

CSB Enablement &
Solution Implementation

Savvis
Enterprise Public & Hybrid Cloud IaaS

Supported Cloud
Platform Solutions

Microsoft Public & Private Cloud Solutions
Oracle Public & Private Cloud Solutions
SAP Cloud Solutions
HDS Big Data & Private Cloud Solutions

36


AWS

Terremark

Other

Azure PaaS, Hyper-V Private Cloud
Oracle SaaS & Private Cloud
SAP SaaS & SAP HANA

HDS Big Data & Private Cloud

Get Started Today - Strategic Cloud Workshop
The way organizations are consuming IT services is evolving, driven by the
cloud and mobile era. Cloud enables new IT service delivery models. This
represents a disruptive change for both business and IT, but with this comes
increased complexities and expanded management and integration scope.
Leveraging the cloud requires more than just technology migration. It requires a
new approach for designing, building and operating IT solutions in the new cloud
service delivery model.
This, in turn, requires a common methodology across multiple cloud providers
and internal infrastructure, along with a centralized approach to unify
provisioning, procurement, metering and control.
Our cloud workshop will helps organizations get started in the cloud with the
right strategy, methodology and a proven tactical approach to enable the
business value of cloud.
37


Get Started Today - Strategic Cloud Workshop
Cloud Migration
Strategy,
Roadmap &
Transition

Application Portfolio
Assessment

Where are you now?

Where you want to be…
And how to get there.

1
2

Strategy & Roadmap to Transition

3
38

Business Issues to Solve with Cloud

Approach & Solution to Migrate


Director of Consulting Services
Cloud Computing
14643 Dallas Parkway, Suite 800, Dallas, Texas 75254

Office: 469.221.2894
Email: chad.lawler@hitachiconsulting.com

www.hitachiconsulting.com/cloud/

Connect with Me:
www.linkedin.com/in/chadmlawler

Today’s Presentation Available at:
http://www.slideshare.net/chadmlawler

39



An Executive View on Cloud Service Brokers - Cloud Solutions in a CSB Model Cloud Expo West 2013

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An Executive View on Cloud Service Brokers - Cloud Solutions in a CSB Model Cloud Expo West 2013