Cloud Computing: Software Services and Applications

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1 <Insert Picture Here> Cloud Computing: Software Services and Applications Lauren Farese, Sr. Director Oracle Public Sector State and Local Government NASCIO Enterprise Architecture Committee, ITIL V3

2 The following is intended to outline our general product direction. It is intended for information purposes only, and may not be incorporated into any contract. It is not a commitment to deliver any material, code, or functionality, and should not be relied upon in making purchasing decisions. The development, release, and timing of any features or functionality described for Oracle s products remain at the sole discretion of Oracle Oracle Corporation 2

3 I've looked at clouds from both sides now, From up and down, and still somehow It's cloud illusions I recall. I really don't know clouds at all. Joni Mitchell - Both Sides Now Live,1970

4 Why Cloud? Why Should You Care? IT suppliers must position as leaders in IT cloud services or forfeit an ever-expanding portion of the industry s growth IDC Federal Government s Cloud First policy S&L Budget cuts forcing IT Consolidation Cloud Computing Is a NASCIO Priority [#4 2010] We are at the Peak of the Hype Cycle By 2012, 44% of enterprises will be leveraging private cloud services Demand for new Web 2.0 services from citizens

5 NIST Definition of Cloud Computing Cloud computing is a model for enabling convenient, ondemand network access to a shared pool of configurable computing resources (e.g., networks, servers, storage, applications, and services) that can be rapidly provisioned and released with minimal management effort or service provider interaction. This cloud model promotes availability and is composed of: 3 Service Models SaaS PaaS IaaS Source: NIST Definition of Cloud Computing v15 4 Deployment Models Public Cloud Private Cloud Community Cloud Hybrid Cloud 5 Essential Characteristics On-demand self-service Broad network access Resource pooling Rapid elasticity Measured service

6 Cloud Service Models Built by Cloud Customer Application (SaaS CRM, HRMS) Oracle On Demand Salesforce.com Platform (PaaS Database, Middleware, Content) Google AppEngine, Amazon RDS Provided by Cloud Infrastructure (IaaS - Network, OS, Storage, Servers) Amazon EC2

7 Private Clouds and Public Clouds Private Cloud Public Clouds Exclusively used by a single organization Controlled and managed by in-house IT SaaS PaaS IaaS I N T R A N E T I N T E R N E T SaaS PaaS IaaS Used by multiple tenants on a shared basis Hosted and managed by cloud service provider Trade-offs Lower total costs Greater control over security, compliance, QoS CapEx & OpEx Lower upfront costs Outsourced management OpEx Enterprises will adopt a mix of private and public clouds

8 Enterprise Evolution To Cloud NIST Deployment Models Public Clouds Hybrid Public Cloud Evolution SaaS PaaS IaaS SaaS PaaS IaaS Private Cloud Evolution Virtual Private Cloud App1 App2 App3 App1 App2 App3 App1 App2 App3 App1 App2 App3 Private PaaS Private PaaS Private PaaS Private IaaS Private IaaS Private IaaS Silo d Physical Dedicated Static Heterogeneous Grid Virtual Shared services Dynamic Standardized appliances Private Cloud Self-service Policy-based resource mgmt Chargeback Capacity planning Hybrid Federation with public clouds Interoperability Cloud bursting

9 Oracle Cloud Computing Strategy Oracle Applications Private Clouds Oracle Applications OnDemand Public Clouds SaaS PaaS IaaS I N T R A N E T I N T E R N E T SaaS PaaS IaaS Users Oracle Technology for Clouds Oracle Technology for Clouds

10 Cloud Current Trends Data Center Consolidation is the new Private Cloud Server Consolidation Service Consolidation Database as a Service What are customers looking for? Integrated Pre-Engineered Hardware-Software solutions Improve manageability Improved Security Collaboration Services - Mail and Office What are customers looking for? How do I secure my attachments Information Rights Management How do I control users in an external system Integrated/Federated Sign-On.

11 Private Cloud Momentum Cloud computing projects are still at an early stage at most companies, if they are happening at all. However, the overwhelming majority of IT executives have at least begun evaluating the benefits of cloud technology, with much of their focus on private clouds. Source: CIO Insights Q Copyright 2011, Oracle. All rights reserved.

12 NASCIO Draft - Cloud Deployment for Government

13 A Sustainable IT Operating Model is the Foundation for Cloud Computing IT-as-a-Service Optimized IT Core Integration Layer Service Group A Service Group B Service Group C Application Grid Application Grid Application Grid Transitional Data Grid Data Grid Security Layer Data Grid Pt. to Pt. Integrations Client Customs Complexity 1 FBT PAY G NTS TRDS NTS A/c Data. SFAProduct product SCM productmes- ERP DB Dev DB- SFA- Product ERP- product SFA Product SFA- ERP- MES- Test Prod MES- Prod SFAProduct product SCM productmes- ERP DB Product Dev DB- ERP- product Security Inv LMS B2B MGMT B2B- B2B- Dev LMSInv MGMT Security Security Security RRE IPS Penalty Integrated A/C Refunds 1 RBA Def Excise Payments CR ECI ADD AWA ELS CCD Compliance Business IVR PKI CDCC DDDR CWMS GCI Phone TASS B us. Intel WOC Refmaterial B OA BEP Client BANK Remote TAX AGENTS Call Centres

14 Client Customs Excise RRE Business IVR 1 FBT IPS Penalty PAY G Integrated A/C NTS A/c NTS Refunds CR EC I ADD AWA ELS PKI BEP CDCC Client DDDR BANK CWMS GC I Remote 1 Payments TAX AGEN TS TRDS Phone WOC Data. RBA Def CCD TASS Call Centres Com pliance Refmater ial Bus. Inte l BOA IT Optimization: the Roadmap to Cloud IT-as-a-Service The 4 Principles Optimized IT Core Transitional Pt. to Pt. Integrations Integration Layer Service Group A Service Group B Service Group C Application Grid Application Grid Application Grid Data Grid Data Grid Data Grid Security Layer of Complexity SFAProduct SFA- Product SFA Product SFA- Test SFAProduct Product Security product SCM productmes- ERP DB Dev DB- ERP- product ERP- MES- Prod MES- Prod Inv LMS B2B MGMT B2B- B2B- Dev product SCM productmes- DB ERP DB- Dev product ERP- LMSInv MGMT Security Security Security IT Optimization 1 Rationalization 3 Management Automation 2 Consolidation (& Virtualization) 4 Shared Services 14

15 Client Customs Excise RRE Business IVR CR PKI BEP 1 FBT IPS Penalty PAY G Integrated A/C NTS A/c NTS Refunds EC I ADD AWA ELS CDCC Client DDDR BANK CWMS GC I Remote Payments TAX AGEN TS 1 TRDS Phone WOC Data. RBA Def CCD TASS Call Centres Com pliance Refmater ial Bus. Inte l BOA Enterprise Architecture: The Process for Achieving Cloud IT-as-a-Service Optimized IT Core Enterprise Service Group A Integration Layer Service Group B Service Group C Application Grid Application Grid Application Grid Complexity SFAProduct SFA- Product SFA Product SFA- Test Transitional Pt. to Pt. Integrations product SCM productmes- ERP DB Dev DB- ERP- product ERP- MES- Prod MES- Prod Inv LMS B2B MGMT B2B- B2B- Dev Data Grid Data Grid Security Layer Data Grid Architecture SFAProduct product SCM productmes- ERP DB Product Dev DB- ERP- product LMSInv MGMT Security Security Security Security 1 Align Business & IT 3 Governance Model 2 Focus on Future State 4 Repeatable, Iterative Approach 15

16 Cloud Service Adoption Security Continues to be the #1 Concern It could actually be a benefit.. So if you flip that apprehension on its head, there may be benefits in leveraging a cloud offering with the [security] focus and core competence that a cloud provider brings to the table. -Michael Pearl, PricewaterhouseCoopers Source: / IDC Survey: Risk In The Cloud, June 16, 2010 Copyright 2011, Oracle. All rights reserved.

17 Requirements - Budget Constraints - Programs & Funding - Online vs. In Line - Portal Initiatives ICAM Workshop - Actions that require interaction - Proactive Citizen Services - Cloud Design & Architect Building Interfaces Leveraging Standards Security Mandates Trust Assurance Identity Sharing/Federation Data Security & Compliance in Shared Environments

18 Cloud Success Story State Data Center Database as a Service - Goals and Anticipated Benefits Standardize - Provisioning - Management and monitoring - Backup and recovery (BUR) - Cost recoupment Resource Efficiency - More efficient use of storage - Easier network management (firewall rules) Increase Quality - Rapid environment provisioning - Efficient use of development/test environments - Bolster capability to enforce security policies

19 NC Education Cloud Model DRAFT

20 Some State Examples New Jersey Transit Authority - CRM (SaaS Salesforce.com) Response time dropped by 35%, productivity increased by 31% State of Connecticut - ERP (PeopleSoft Private cloud) Financials and HR to all state agencies Standardized shared service Commonwealth of VA - VITA Enterprise Application Development (Amazon EC2) New applications with little upfront cost

21 Some References Cloud Computing Bible Barrie Sosinsky Cloud Computing and Government : Background, Benefits,Risks George I. Nikolov The Cloud At Your Service Jothy Rosenberg, Arthur Mateos Cloud Computing Explained John Rhoton NASCIO.org new whitepaper(s) coming! 2009 Oracle Corporation 21

22 2009 Oracle Corporation 22

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