We Build Strong Networks, Relationships and Trust.
Cloud Services and Managed Services Solutions
The cloud is the next step in the evolution of the
Internet
The cloud is the fifth generation of computing
(after mainframe, personal computer, client-server
computing and the web)
Gartner – A style of computing in which
scalable and elastic IT-enabled capabilities are
delivered as a service using Internet technologies.
Cloud Computing – What is it?
The ability to dynamically expand or compress processing power and storage – and affect charges in a utility billing manner.
Elastic Computing
The cost related to the next-best choice available to someone who has picked among several mutually exclusive choices.
Opportunity Cost
The practice of outsourcing day-to-day management responsibilities as a strategic method for improving operations.
Managed Services
Cloud Computing – Some Terminology
Cloud Computing – How Big Is It?
From the customer perspective…..
One word – economics
Faster, simpler, cheaper to use cloud apps
No upfront capital required for servers and storage
No ongoing operational expenses for running a data center
Applications can be accessed from anywhere, anytime
What’s Driving Cloud Computing?
Infrastructure as a Service IaaS
Platform as a Service PaaS
Software as a Service SaaS
Business Process as a Service BPaaS
Hardware as a Service HaaS
The Cloud Computing Stack
Breaking Down the Big Numbers
Breaking Down the Big Numbers
Infrastructure as a Service IaaS
Platform as a Service PaaS
Software as a Service SaaS
Business Process as a Service BPaaS
Hardware as a Service HaaS
The Cloud Computing Stack
Delivered as public cloud, private
cloud or hybrid cloud
Resources are distributed as a
service
Variable cost – utility pricing
model
Enables scaling flexibility
Resources are typically shared between users
Infrastructure as a Service (IaaS)
Capital to invest is low Pressure is applied to move to OpEx cost model Very rapid growth or highly variable demand Predictable cost of expanding services required
A good fit when…
☒ Regulatory compliance restricts offshore data storage☒ PCI or similar compliance can be problematic☒ Highest levels of performance is required
Not a good fit when…
Infrastructure as a Service (IaaS)
Infrastructure as a Service (IaaS)
2010 2011 2012 2013 2014 2015 2016 GAGR (%) 2011-2016
Compute 2.19 3.37 4.89 7.20 10.51 14.78 19.89 42.6Print 0.05 0.07 0.10 0.13 0.18 0.23 0.29 31.5Storage 0.64 0.86 1.13 1.68 2.35 3.13 4.04 36.4Cloud System Infrastructure (IaaS) Total 2.88 4.30 6.12 9.02 13.03 18.14 24.22 41.3
Infrastructure as a Service IaaS
Platform as a Service PaaS
Software as a Service SaaS
Business Process as a Service BPaaS
Hardware as a Service HaaS
The Cloud Computing Stack
Two Flavors – Collaborative platform for software development & creation of software using existing applications – Salesforce.com add-on apps
Services to develop, test, deploy, host, and maintain applications in the same development environment
Multi-tenant architecture for multiple users in the same development environment
Web-based user interface creation tools to create, modify, test and deploy UI scenarios.
Platform as a Service (PaaS)
Platform as a Service (PaaS)
Multiple developers working on the same development project External parties need to interact with the development process Developing add on apps to existing environments like Salesforce.com
A good fit when…
☒ Regulatory compliance restricts offshore data storage☒ PCI or similar compliance can be problematic☒ Highest levels of performance is required
Not a good fit when…
Platform as a Service (PaaS)
2010 2011 2012 2013 2014 2015 2016 GAGR (%) 2011-2016
Application Development 0.14 0.21 0.27 0.34 0.42 0.5 0.58 22.4
App Infrastructure & Middleware 0.43 0.65 0.87 1.14 1.46 1.82 2.23 28.0
Business Intelligence Platform 0.01 0.03 0.04 0.06 0.08 0.11 0.13 38.8
Database Management Systems 0.01 0.02 0.03 0.04 0.06 0.09 0.12 48.5Cloud App Infrastructure Services
(SaaS) Total 0.60 0.90 1.21 1.58 2.02 2.51 3.06 27.7
Infrastructure as a Service IaaS
Platform as a Service PaaS
Software as a Service SaaS
Business Process as a Service BPaaS
Hardware as a Service HaaS
The Cloud Computing Stack
Web access to commercial software
Software is managed from a central location
Software delivered in a “One to Many Model”
Users not required to handle software upgrades and patches
API’s allow for integration between different pieces of software
Software as a Service (SaaS)
Software as a Service (SaaS)
Applications have a significant need for web or mobile access Vanilla applications that offer capabilities to a group of business users,
i.e. IT vendor partners Applications where there is considerable Interaction between the
organization
A good fit when…
☒ Applications that require fast processing of real time data☒ Applications with PCI or similar compliance requirements☒ The application has an existing on premise solution
Not a good fit when…
SaaS 2010 2011 2012 2013 2014 2015 2016 GAGR (%) 2011-2016
Business Intelligence Apps 0.14 0.22 0329 0.37 0.48 0.59 0.73 27.4
CRM 3.39 4.21 5.03 5.92 6.87 7.88 8.96 16.3
Digital Content Creation 0.10 0.22 0.27 0.37 0.48 0.71 0.93 34.0
Enterprise Content Management 0.20 0.26 0.37 0.51 0.62 0.72 0.82 25.9
ERP 1.50 1.97 2.51 3.18 3.95 4.47 5.65 23.4
Office Suites 0.11 0.23 0.41 0.73 1.11 1.39 1.72 49.1
Other App Software 2.32 2.81 3.27 3.91 4.55 5.41 6.54 18.4
Project & Portfolio Management 0.15 0.25 0.31 0.42 0.54 0.62 0.68 22.2
Supply Chain Management 1.02 1.27 1.54 1.93 2.34 2.82 3.36 21.5
Web Conferencing, Teaming Platforms, and Social Software Suites 1.82 2.03 2.23 2.48 2.76 3.07 3.4 10.9
Cloud Application Services Total 10.75 13.46 16.22 19.82 23.72 27.94 32.80 19.5
Infrastructure as a Service IaaS
Platform as a Service PaaS
Software as a Service SaaS
Business Process as a Service BPaaS
Hardware as a Service HaaS
The Cloud Computing Stack
76% of entire cloud forecast is in this segment
Enables organizations to easily keep up with complex administrative issues (payroll)
Pricing models are consumption based or subscription based
Sits on top of the other three cloud service types
Services are accessed via internet
Gives enterprises greater agility in responding to changing market conditions
Business Process as a Service (BPaaS)
Business Process as a Service (BPaaS)
Business Process as a Service (BPaaS)
Moving to a service oriented approach is desirable Many locations require a consistent process Changing business requirements require expensive software
upgrades
A good fit when…
☒ Existing integrated software solutions adequately supporting the task
☒ Low transaction count in a subscription-based service☒ Reliable access to the Internet is a problem
Not a good fit when…
BPaaS 2010 2011 2012 2013 2014 2015 2016 GAGR (%) 2011-2016
Cloud Payments 4.41 4.86 5.22 5.84 6.70 7.75 8.88 12.8
Customer Management 2.16 2.33 2.60 3.01 3.40 3.81 4.25 12.8
E-Commerce Enablement 4.33 4.80 5.49 6.52 7.33 8.24 9.07 13.6
Finance and Accounting 1.19 1.29 1.39 1.54 1.72 1.93 2.16 1.09
HR 10.20 10.66 10.87 11.79 12.82 13.77 14.71 6.7
Industry Operation 2.05 2.21 2.50 3.02 3.51 3.90 4.39 14.7
Supply Management 2.45 2.70 2.85 3.25 3.68 4.06 4.42 10.4
Cloud Based Process Services (BPaas) Total 26.79 28.84 30.93 34.97 39.17 43.47 47.89 10.7
Cost Savings
Lowering the opportunity cost of running technology
Allowing a shift from capital expenditure to operating expenditure
By lowering the total cost of ownership (TCO)
of technology
Enabling the organization to add business value by renewed focus on business activities
Cloud Computing Cost Savings
IT Has It’s Own 80-20 Rule
Time is Money Focus on what matters.
Maintaining the status quoRoughly 80% of IT time and expenditure is used on processes that don’t create any value for the organization.
The opportunity costThe opportunity cost Is the benefit that can accrue to the organization from better utilization of that 80%.
Drive efficiencyFrom 20% to 80%.
Lowering the Opportunity Cost
CapEx to OpEx Shift
Operating expenses are fully deducted in the accounting period in which they are incurred
Shifting to OpEx generally lowers tax bills
OpEx costs can be terminated as situations change
CapEx approval process can be quite lengthy
OpEx model helps companies gain expense certainity
Example Year 3 TCO
• Hardware 26%• Software 11%• HW/SW Maintenance 20%• Admin & Operations 29%• Power Cooling & Space 13%
Sample 3 Year TCO for Storage
Hardware and Software 37% of TCO
Most equipment upgrades, especially servers and storage are now eliminated
Cloud computing enables organizations to focus on their core
business
Flip the 80/20 rule results in favor of
80% concentration on applications
Capital expenditure budgets are freed up
for core business needs
Renewed Focus on Business Activities
XYZ Company
100 Employees
Service Oriented Business That Includes Product Sales - Growth
Flat Last Two Years
Current IT Infrastructure is at
HQ Location
Current Servers and Storage – 4 Years
OldERP Systems
Supported In HouseWeb Site/Sales Order Entry System Needs
Major Mods to Gain a Competitive AdvantageIn House IT Staff
Capable – Yet Bogged Down in Support of
Infrastructure
XYZ Company - Cloud Migration Example
1 Web Server 2 Exchange Servers 2 ERP Servers MS Dynamics 1 ERP Development Server 2 SQL Database Servers for Operational Applications 1 MS File Server 1 Backup Server – Weekly Tapes to Iron Mtn. SAN Storage with 2 TB Capacity Cisco VoIP Phone System
VMware-based Infrastructure with:
XYZ’s Current IT Infrastructure
1 Web Server IaaS 2 Exchange Servers IaaS 2 ERP Servers – MS Dynamics IaaS 1 ERP Development Server PaaS 2 SQL Database Servers IaaS 1 MS File Server IaaS 1 Backup Server IaaS SAN Storage with 2 TB Capacity IaaS Cisco VoIP Phone System
VMware-based Infrastructure with:
XYZ’s Infrastructure – Cloud Migration
XYZ Company’s Own 80-20 Rule
Cloud Computing – Managed Services
Cloud computing Managed Services
Cloud computing only gets you ½ way there!
XYZ’s IaaS & PaaS Cloud Savings
Lowered Electricity Costs for Servers and Cooling
Hardware Firmware Patching Eliminated
Future Server and Storage Upgrade Costs Avoided BUT – the IT Staff still had to perform all other support
Backup Support, Server Patching, etc., etc.
Efficiency Potential Not Fully Realized
Work on web site /sales order entry system slow
That’s where Managed Services
can help.
Managed Services The practice of outsourcing day-to-day
management responsibilities as a strategic method for improving operations.
Managed Services Definition
Server Management & Support with O/S Patching
MS Exchange Management and Support
Storage Management & Support
Network Device Management & Support
24x7 Device Monitoring and Support
Anti-Spam and Anti-Virus Management
Backup Management & Support
End User Help Desk Support
Cisco IP Phone System Management & Support
Managed Services – What’s Included
Managed Services - Benefits
Control IT costs
Redirect IT’s efforts towards providing
competitive advantage
Control labor costs Quickly implement new technology
Stay focused on your core business
Increase efficiency and
competitiveness
Level playing field with larger
competitors
DRS Overview
Who is DRS?
Managed Services
ProfessionalServices
Cloud Computing
Collaboration
Support Desk
Building and Metro Cabling
Connectivity and Internet
Solutions
Business Continuity, Disaster Recovery
and Backup
Application Development
Services include: Services include:
DRS (Data Recovery Services)
DRS has over 36,000 sq. ft. of Data Center space with locked cabinets, cages and technical office suites for enhanced security. Our Data Centers are all Tier 3 facilities.
DRS has over 36,000 sq. ft. of Data Center space with locked cabinets, cages and technical office suites for enhanced security. Our Data Centers are all Tier 3 facilities.
Belmont Technology Complex
Features: • Dual Bus Power System • Redundant HVAC • SAS 70 • Rack Space • 21,000 sq. ft. • Office Suites Avalable
WeConnect Data Center
Features: • 16,000 sq. ft.• Cage and Rack Space• Disaster Recovery Planning• Dedicated Electrical Room• Dedicated Battery Room• Fiber Connectivity
Youngstown Data Center
Features: • AC & DC Protected Power• Carrier Class Data Center• Cage and Rack Space• SAS 70• 16,000 sq. ft.
Pittsburgh Location
Features: • AC & DC Protected Power• Centrally Located• Cage and Rack Space• Dedicated Standby Power
Colocation Facilities
DRS has developed the technical expertise and IT solutions to help customers increase their productivity while decreasing their costs. DRS employees are dedicated to making sure they have the latest and greatest certifications and continuing education available. The staff has achieved more than 50 of specialized certifications and the company as a whole has earned high-ranking partnership status with major IT vendors.
DRS has developed the technical expertise and IT solutions to help customers increase their productivity while decreasing their costs. DRS employees are dedicated to making sure they have the latest and greatest certifications and continuing education available. The staff has achieved more than 50 of specialized certifications and the company as a whole has earned high-ranking partnership status with major IT vendors.
Partners and Certifications
Contact Info
Speaker: Mike McHughDirector of Sales and Marketing
Formatted: Dom CascarelliMarketing & Media Associate
Presentation:
Youngstown Office:1343 Belmont AvenueYoungstown, Ohio 44504Local Phone #: 330-259-4900
DRS Corporate Headquarters
Thank You!
Please complete the survey at the end of your track and you will receive a USB flash drive that contains all
of today’s presentations.