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Theme Speech at PMI Pear
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1
Convergence of Cloud Computing & Project Management
V. Srinivasa Rao (VSR)
Past Chairman, PMI Team India
Senior Vice President, Mahindra Satyam
13th April 2012
2
INFORMATION is the KING and INFORMATION is the ASSET to take timely decisions, corrective/preventive actions for
growth and transformation of businesses
3
Technology has been playing a role in providing real time & accurate information
Business Processes
Information Technology
Cloud Computing
INFORMATION, INSIGHT & FORESIGHT
Technology generates COMPUTING POWER that
automates Business processes, captures and
mine the data, and provides information &
intelligence for successful business
Technology over internet for ‘All’ at an
‘affordable’ price
IMPROVE BUSINESS PERFORMANCE
REPEAT THE SUCCESS
MINIMIZE TECHNOLOGY DIVIDE AMONG MSML
businesses (Micro, Small, Medium & Large
Businesses)
Agile, Lean & integrated Business processes
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Computing Power from Technology Engine • Compliance Management• Risk Assessment & Monitoring • Project Portfolio Management• Program Management• Project Management• Procurement Management
• Logistics & Transportation• Legal Management• Document Management • Communication Management • Decision Management • Knowledge Management
Database Machines
Hardware (Servers)
Middleware Machines
Operating System
Storage
Network
PL
AT
FO
RM
INF
RA
ST
RU
CT
UR
E
Desktop , Enterprise or Mobile Applications
Development & Integration Platform
to build/implement Applications
Infrastructure Platform
for Computing
Power
Database Machines
Hardware (Servers)
Middleware Machines
Operating System
Storage
Network
PL
AT
FO
RM
INF
RA
ST
RU
CT
UR
EDatabase Machines
Hardware (Servers)
Middleware Machines
Operating System
Storage
Network
PL
AT
FO
RM
INF
RA
ST
RU
CT
UR
E
• Contract Management• Designs/ Virtual Construction• Finance Management • Insurance Management• Workforce Management• Assets Management
Business Processes
5
Availability of Computing Power at an affordable price would change the world
Computing Power is the asset and is changing the world at rapid speed
6
It took 150 years to provide affordable electric power
• In 1831, Michael Faraday devised a machine that generated
electricity from rotary motion, but it took almost 50 years for the
technology to reach a commercially viable stage
• In 1878, in the US, Thomas Edison developed and sold a
commercially viable replacement for gas lighting and heating
using locally generated and distributed direct current electricity.
It took almost 150+ years for India to take serious steps for electrification of urban and Rural India.
7
Speed is the Essence!
We can not wait for another 150 years to have commercially viable Computing power in India
8
In the Real Time Scenario, we require
many Technology Engines
(DATA CENTER) to generate HUGE COMPUTING POWER to
support thousands of IT applications
The challenge is to get reliable COMPUTING POWER at an affordable PRICE
Database Machines
Hardware (Servers)
Middleware Machines
Operating System
Storage
Network
PL
AT
FO
RM
INF
RA
ST
RU
CT
UR
E
9
Interesting facts on Data Centers
1. Government & Industry have established large data centers (many Technology
Engines)
2. Micro & Small enterprises do not have the required money to build their own data
centers
3. World wide carbon emissions from Data Centers would quadruple by 2020
4. World wide 44 million servers consume 0.5% of electricity
5. Data Centers consume near 25% of total corporate IT Budgets
6. Electricity consumption by data centers was equivalent to 14 power plants (The total
electric bill to $7.2 billion worldwide)
7. Average utilization of hardware (technology engines) is only 5%-15% of the total
capacity
8. 25-30% of overall IT Budget is spent on managing Data Centers (this is serious
concern)
10
Interesting facts on Data Centers (Contd..)
9. Micro & Small enterprises: No money for establishing Data center, still WANT
Technology support to drive business
10. Occasional usage of IT applications not in regular use – example: Virtual construction
and simulation of capital assets 6 times during project duration.. Why to invest on
permanent hardware & software?
11. Urgency in setting up the project operations due to business demand: In weeks not in
months? (e.g.: financials, procurement to comply with regulatory etc.,)
12. Technology experimentation zones for developers/team: Set up in days not in months
13. Most importantly how to use the hardware (Technology engines) at a capacity of 50%-
60% as against 5%- 15% today
11
SMART DATA CENTERS HAVE TO BE ESTABLISHED
• Low energy consumption
• Low carbon emissions
• Effective (near full capacity) utilization of hardware
through Elasticity
• Low cost of maintenance of applications
Technology Innovation is available today to build smart Data Centers:
• Virtualization
• Multi Tenant Applications
• Access through Internet
12
You have a choice…
Own vs. Rent Smart Data Centers
When to go for what?
Owning Smart Data Centers is called Private Cloud Computing
Renting Smart Data Centers is called Public Cloud Computing
Public clouds are playing the key role in providing Commercially viable Computing Power
13
In Public Cloud…Smart Data Centers are available as Service
Database Machines
Hardware (Servers)
Middleware Machines
Operating System
Storage
Network
PL
AT
FO
RM
INF
RA
ST
RU
CT
UR
E
Applications are provided as a Service – Software as a Service (SaaS) – pay per usage (utilities based)
Infrastructure as a service (Iaas)– Pay per usage
(utility based)
Platform as a service (PaaS) – Pay per usage (utility based)
Metering for charge back is the key feature of renting… like we do for other utility services (power, water etc)
14
Emergence of New Projects due to Cloud Computing & impact on Project Management
15
Emerging Technologies like CLOUD COMPUTING have been
increasing uncertainty and complexity in delivering different
type of projects. Many unknowns are causing the failure of
Project Managers to deliver faster, better, cheaper & steadier
services
16
Cloud Computing: the Project Matrix
Public Cloud Private Cloud
Hybrid Cloud Community Cloud
Business Process as a
Service (BPaaS)
Projects Projects Projects Projects
Software as a Service (SaaS)
Projects Projects Projects Projects
Platform as a Service (PaaS)
Projects Projects Projects Projects
Infrastructure as a Service
(IaaS)
Projects Projects Projects Projects
21st Century Project Management to deliver a variety of Cloud Computing Projects
17
Cloud Computing: Project Categories (Illustrative)
IT Strategy & Architecture Projects
Organization Capability Improvement Projects
Development, Integration & Migration Projects
Testing & Validation Projects
Infrastructure Projects
Product Development Projects
21st Century Project Management to deliver a variety of Cloud Computing Projects
18
Cloud Computing: IT Strategy & Architecture Projects
S. No Project Type
1Develop Cloud Computing Strategy
2Develop Cloud Computing Architecture
3Build Cloud Path Finder
21st Century Project Management to deliver a variety of Cloud Computing Projects
19
Cloud Computing: Organization Capability Improvement Projects
S. No Project Type
1 Build Cloud Computing Learning Assets
2 Develop Disaster Recovery & Business Continuity Plan for Cloud Computing Environment
3 Develop Cloud Computing Procurement & Contract Management Processes & Governance
4 Develop Cloud Computing Governance, Processes, Practices and Policies
5 Develop Cloud Services Standards & Guidelines Development
6 Develop Cloud Computing Credibility, Reliability and Vendor Locking Analyzer
7 Develop Cloud Computing Pricing Models
8 Develop Business Case for Cloud Computing
9 Develop Cloud Computing Security & Risk Management Processes/Practices
10 Develop Cloud Computing Legal Issues Management framework
11 Introduce Change Management due to Cloud Computing
12 Develop Cloud Computing Data Governance Management
13 Credibility and Reliability analysis of Cloud Platform Provider (in multiple dimensions)
14 Develop Estimation/Pricing Models for different cloud computing projects
15 Develop Contract Management/ Revenue Models – Annual Contracts to Pay per use models?
21st Century Project Management to deliver a variety of Cloud Computing Projects
20
Cloud Computing: Development, Integration & Migration Projects
S. No Project Type
1 Cloud Aggregation Brokerage - Aggregation of services from multiple service providers (Fixed)
2 Cloud Arbitrage Brokerage - Aggregation of services from multiple service providers (Not fixed)
3 Integrate Public Cloud & Private clouds
4 Integrate On-Premise and Cloud applications
5 SaaS Applications Development (PaaS)
6 Migrate Applications to Private Clouds
9 Virtualize Applications
21st Century Project Management to deliver a variety of Cloud Computing Projects
21
Cloud Computing: Testing & Validation Projects
S. No Project Type
1 Dry Run for Disaster Recovery & Business Continuity for Cloud Computing Environment
2 Testing and Validation of Cloud Integrations/Migrations
3 Testing and Validation of SaaS Applications (Development)
4 Testing and Validation of Virtualized Infrastructure
5 Performance Testing of Integrated Apps in Cloud (multi Clouds)
21st Century Project Management to deliver a variety of Cloud Computing Projects
22
Cloud Computing: Infrastructure Projects
S. No
1 Build Private Clouds
2 Migrate from Traditional Data Center to Private Cloud Data Centers
3 Virtualize Infrastructure/Hardware
4 Virtualize Database
5 Virtualize Storage Networks
21st Century Project Management to deliver a variety of Cloud Computing Projects
23
Cloud Computing: Product Development Projects
S. No Project Type
1 Build Infrastructure Platform for Cloud Computing
2 Develop Cloud Computing Application Development Platform
3 Develop Virtualization Technology
4 Develop Enterprise Applications
5 Develop Desktop Applications
6Develop Mobile Applications
21st Century Project Management to deliver a variety of Cloud Computing Projects
24Presentation Title
I have shown nearly 43 different types of cloud focused projects (Illustrative only)
25
How Cloud Computing would impact the Project Management System (PMS) ?
S. No Impacted Areas in Project Management (PM) due to Cloud Computing
1 Project life cycles / Work Breakdown Structure
2 Global Delivery Model (GDM)
3 Contract & Procurement Management
4 Project Governance Structure
5 Best Practices/ case studies
6 Lessons Learnt/case studies
7 Checklists/standards/guidelines/ templates
8 Estimation techniques
9 Competency Building Engine (skills/learning)
10 Multi country and multi industry rules/regulations on data security
11 The 9 Knowledge areas of PM Body of Knowledge
25
26
How Cloud Computing would impact the Project Management System (PMS) (Contd..)
S. No Impacted Areas in Project Management (PM) due to Cloud
Computing
Description
1 Project life cycles (Work Breakdown Structure - phases, tasks etc)
New (or)Customizing existing project life cycles
2 Global Delivery Model (GDM) Intelligent Work Breakdown Structure among multiple providers (customer, cloud provider (s), India Inc)
3 Contract & Procurement Management
Security, Privacy, DR/BC, SLAs, multi-party agreements
4 Project Governance Structure Multi-Party governance (Customer, India Inc, Cloud provider 1, Cloud provider n…)
5 Best Practices/ case studies New
26
27
How Cloud Computing would impact the Project Management System (PMS) (Contd..)
S. No Impacted Areas in Project Management (PM) due to Cloud
Computing
Description
6 Lessons Learnt/case studies New
7 Checklists/standards/guidelines/ templates
New (Or)Customizing existing templates
8 Estimation techniques New (Or) Customizing existing templates / tools
9 Competency Building Engine (skills/learning)
New (Or)Customizing existing engine
10 Multi country and multi industry rules/regulations on data security
Extraordinary knowledge is required
11 Nine Knowledge of PM Body of Knowledge
New or Tailoring of existing knowledge areas
27
28
Can Cloud computing impact Global Delivery Model (GDM) ?
Presentation Title
GDM
Intelligent Work Breakdown Structure
Optimal Cost
Abundant Talent
Follow the Sun Quality Management
Knowledge Management
Continuous Learning
Compete & Collaborate Cloud Platforms
Private Clouds Faster IT Infrastructure provision
Extended PartnersCloud Providers
GDM Analytics Mobility & Cloud
Green Optimized IT Infrastructure
29
Few skills what Project Managers have to refine to work in Cloud environment
• New/tailored project life cycles and methodologies
• Country law/regulatory compliance practices
• Security standards
• Cloud provider agreements, SLAs, Penalties
• Multi Cultural Team management
• Prediction of Risks in cloud environment
Presentation Title
30
Few challenges what Project Manager must aware of while managing Cloud projects • Lack of standards and multiple clouds integration
• Vulnerability to Cyber Attacks
• Network Incompatibility between Cloud Providers & IT Service providers
• Legal issues & heavy penalties
• Network bandwidth issues, SLAs failure and heavy penalties
• Talent preparation on Cloud Computing technology/environment skills
Presentation Title
31
Let us prepare ourselves
• Project Management is the key for India
to become Global Leader in delivering
variety of Cloud Computing Projects …
Let us prepare ourselves!
Presentation Title
32
Convergence of Cloud Computing & Project Management impact the Economy
33
Economy : Gross Domestic Product (GDP)
2007 2008 2009 2010
India 1,242,426,253,335 1,215,992,812,024 1,377,264,718,251 1,727,111,096,363
China 3,494,055,944,791 4,521,827,288,304 4,991,256,406,735 5,926,612,009,750
USA 13,995,000,000,000 14,296,900,000,000 14,048,056,670,216 14,586,736,313,339
Presentation Title
GDP = (C + I + G + NX) where C is private consumption or consumer expenditure, I is business investments, G is government expenditure, NX is gross exports -
gross imports.
34
Computing Power enables economy growth at rapid velocity
Minimize IT Divide between Emerging
and Developed economies
ECONOMY
Source: World Economic Forum
Providing Leapfrog opportunities to
emerging economies
Creating new businesses and
jobs
ECONOMY ECONOMY
35
Computing Power enables Industry growth at rapid velocity
Source: World Economic Forum
Minimize IT Divide between Small and Large enterprises
See the future of your business
through simulation
BUSINESS BUSINESS
Collaborative design with supplier and
customers
BUSINESS
36
Computing Power enables providing better healthcare services
Massive and flexible computing
power for drug discovery
Real Time health monitoring and alert
distribution
HEALTHCARE HEALTHCARE
Source: World Economic Forum
Shared Platform for Health and
Insurances Services
HEALTHCARE
37
Computing Power enables education growth
Interactive / collaborative
learning
Access to teaching resources from all
over the world
Low cost simulation
EDUCATION EDUCATION EDUCATION
Source: World Economic Forum
38
Thank You
Presentation Title
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