Leveraging the Cloud for Smarter Development On Oilfields; What Does that Entail? Kevin Wagner, Director - Energy

Covisint Overview Cloud platform enabling organizations with complex business relationships to streamline and automate external mission-critical business processes. Driven by the requirements for cloud computing and new models for organizations to engage with their customers, business partners and suppliers. Established leadership in Multiple business verticals and expanding across multiple business segments. Robust platform-as-a-service (PaaS) solution proven with large scale industry deployments. Differentiated technologies in cloud-based identity management, integration and presentation. Covisint has been a visionary in leveraging the Cloud Covisint is a Cloud Computing Pioneer In a league of their own with no direct competitors

Enterprise-grade, Global and Proven 3,000+ GLOBAL CUSTOMERS 18M+ USERS 1B+ YEARLY TRANSACTIONS 100% AVAILABILITY

The Early Days

Leverage & Collaboration is the Key In today s business, it is no longer a single large organization that owns the complete lifecycle of a producing asset. Oil and gas companies and their partners need to collaborate. As multiple companies partner on projects, both historical and current data needs to be readily available to all partners. 77% of energy-sector employees are thirdparty employees. Oil and gas companies and their suppliers need to collaborate. Data needs to be shared to and from service companies all along the supply chain. It is estimated that engineers alone spend almost 10 million people-hours a year searching for information, which equals an average net loss of $485 million for the industry. Source: Next Generation of Oil & Gas KEY POINT: When different organizations use and update common systems, stronger security, and control is imperative.

How Cloud Changes the Game Cloud and Data - Energy companies have to manage and make sense of an unprecedented and everexpanding mass of big data. Cloud computing provides access to transformational new real-time data and analytical capabilities, underpinned by supercomputing power and massive storage capacity. Cloud and Collaboration - In major capital projects there is the need to manage ever-larger, more complex and more geographically diverse ecosystems of partners, suppliers, subcontractors and employees. With the cloud companies gain integrated global access to information anytime anywhere any device. Cloud and Production Operations - Energy companies have to generate higher performance and greater agility with a reduction in costs. IaaS enables companies to control costs with more flexibility and transparency. Cloud and Customer Engagement - Retail customer competition intensifies how do develop a deeper customer relationship? Cloud provides the ability to rapidly implement new customer facing capabilities at a lower cost. Cloud and Next Generation Energy, Environment and Health Companies are having to decide how to transition to the next generation of energy mix, like lower carbon alternatives with a greater focus on the environment. Cloud helps navigate this transition allowing an easier way to track, monitor complex equipment remotely in real time.

Five Cloud Truths Cloud is not a place. People often talk about moving to the cloud as if they were moving to another city, the cloud can be anywhere, in your datacenter or someone else s. The single most important way for organizations to prepare themselves for the cloud is to understand that it is a radically new way of delivering, consuming and adopting IT services with far more agility, efficiency and cost-effectiveness than traditional IT approaches. Cloud is not lock-in. Despite what some hardware and software vendors are pushing, cloud is not about locking you into a single, proprietary, all-in-one solution. Cloud is not server virtualization. Despite what many believe and what many will tell you, the cloud is not the same as nextgen server virtualization. Cloud is not an island. The cloud is not an island. It is not a place where you put all of your IT services and then lose all interconnectivity and access. Cloud is not top-down. The cloud has up-ended the traditional IT-centric approach to delivering services. The reality is that with the simple swipe of a credit card and the creation of an account, users can gain instant access to infinite pools of IT resources to help test out a new idea, launch a new campaign or become more agile in their daily work.

Discussion Topics What kind of cloud? Interface points Before you Buy Governance Procurement Innovation Implementation - After You Buy Operational Integration Event\Incident Management Managing Audits

Policy, Control What Kind of Cloud Can I Chose? USERS AND BUSINESS PROCESSES Services Business Applications (CRM, ERP, UC) SaaS App Services Software-as-a-Service SaaS delivers provider-owned application capability as a plug-in and go experience with SLAs Apps or Web Services run on the provider s infrastructure ISV Web Srvcs FRAMEWORKS Platforms and Compute Services Platform DB Msg DNS Platform-as-a-Service PaaS delivers application run-time infrastructures as a IDM and Portal frameworks with SLAs INFORMATION TECHNOLOGY IDM Mobility Portal Infrastructure-as-a-Service IaaS delivers standardized virtualized computing environments as plug-in and go experience with SLAs COMMUNICATIONS Network Cloud Backbone Delivers connectivity to global virtualized service resources as a plug-in and go experience with SLAs Operates at Internet scale, with Ethernet flexibility and optical performance

Public/Private or Hybrid Public Cloud #3 #3 Virtualized Apps SAP cluster Hosted UC Virtual Desktop SaaS Engines #1 #3 EXTERNAL INTERNAL Private Cloud #2 Hybrid Cloud Virtual Private Cloud SaaS Access Leasing Public Resources Extending Private Resources BO/HO Enterprise VPN Enterprise Data Centers BO/HO Enterprise VPN BO/HO Cloud Aware Network Enterprise #1 Traditional IT & Public Cloud Enterprise #2 Private Cloud Enterprise #3 Virtual Private Cloud

Touch Points Operational Integration Event/Incident Management Managing Security Governance Technology Innovation IT Operations LEGAL CFO Liability Financial Measures Cloud Service CLOUD SERVICE Technology Value CIO Implementation /Adoption Operational SLA s Procurement CUSTOMER Before you buy After you buy

We have the Cloud Now What? Visibility Trust Compliance Technology Cost Change User Experience Transportation Supplier A Supplier B Energy Company 1 Contractor C Joint Venture 1 Contractor B Energy Company 2 Joint Venture 2 Energy Company 3 Contractor A Mobility Factor Distributor A Energy Company n Supplier C

Solution Visibility Trust Compliance Technology Cost Change User Experience Identity Lifecycle Management Federation Management Audit and Attestation Brokering and Protocol Trans SaaS - Lower TCO SaaS - Always up to Date SSO, Portals and Dashboards Energy Ecosystem The ecosystem: Connected Company productivity: Maximized Communication processes: Simplified

What s Next for Cloud?

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Appendix

Before You Buy Manage Governance - Cloud Executive Steering Committee - Establish/Manage Communities of Practice and Working Groups - Create a Cloud Policy and Strategy Document - Establish a Cloud Audit Process Procurement - Develop contract vehicles to ease procurement of Cloud Computing - Facilitate adoption of the Cloud Computing Storefront Cloud Technology Innovation - Identify common cloud services, standards development and security - Develop architectures that allow groups to leverage cloud computing - Enable the reuse, modularity and interoperability of Cloud Computing Service interfaces Implementation and Adoption - Implement and roll-out cloud solutions - Identify Partners for pilot activities - Assess and implement services - Disseminate Cloud Services Operating and Business Models

After You Buy Operational Integration - Scope of Services and Resource Training - Process integration - Manage your costs Event\Incident Management - Process - Black Box - Extend your team Managing Security - Don t forget the basics - Ensure you have your audit controls covered - Manage your data

Scope of Services A successful Cloud solution requires: - Clearly defined Service Description - Well documented and concise Service Level Agreement - Clearly defined scope of the Support Agreement Understanding scope of your Cloud Component - Where does your piece end and theirs begin? - Avoiding grey areas is crucial - Build a detailed RASIC and get buy in from your new partner - Identify your partner team dedicated and shared and your counter point - Understand their org chart and escalation matrix

Process Integration Identify/integrate key processes that will be changing or impacted Helpdesk - Will this be transparent to your customer or will you be leveraging a cloud based service for Level 1? - What changes for your Level1 support model? Do their contact points change? 24x7\NOC Do they have access to any new tools? How will they escalate? - This is typically your command and control and the most crucial point of integration - How will the cloud impact your process of command and control Notification Event correlation Tracking Level 2 or Level 3 Support - Remote access and support - Deployments

Process Integration (cont.) Monitoring - Who owns monitoring for which points Infrastructure (CPU, Network, Memory, Disk Etc.) - How will you monitor your cloud provider? - Can you leverage or integrate their tools with yours? - Single Pane of Glass? Change Management - How does this change your process internally? - How do you manage your partners changes? - Can you integrate your change management tools? - How do you ensure their changes are managed as part of your availability commitments? Development - How does the cloud impact your SDLC? - Does it impact any deployment or version control tools? - How do you give developers needed access but still keep them out of production?

Event / Incident Management Making incident and event management simple is not so simple Manage it like the contents of a black box: - Find quickest resolution to minimize impact - More levels of integration available for escalation - means we see more impact - Leverage your partner and integrate them as a single layer - If you try to manage your cloud partner as an extension of your teams and replace your teams in the matrix 1 for 1 you increase the touch points and the complexity - By establishing a single point of contact and allowing them to manage their teams within that box actually simplifies your process - Realize the extension of your ITSM framework for SaaS and other Cloud services

Event\Incident Management (cont.) Incident CMDA Known Error Database Incident Management Service Desk First Line Support Second Line Support Nth Line Support Resolved? No Resolved? No OUTSOURCED SERVICES Resolved? No Yes Yes Resolved? Problem Management Resolved

Managing Security When it comes to security in the Cloud do not forget the basics No matter who manages the individual components of your solution you still own security - The methods and types of security do not change Network, Infrastructure, Application, Physical, Storage, etc. - In the cloud or out of the cloud you still need things like Virus Protection Most likely - your new cloud provider is responsible for providing the service Ensure you have your audit controls covered Moving to the Cloud doesn t change your rating or your controls for audit certification - Identify your existing controls and determine which ones may be affected - Cloud partner should be able to provide their own evidence or certification for the components they own (SOC, SAS, ISO, HIPAA, PCI or any other audit standard) - If your vendor maintains a SOC2 Type 2 certification (Same goes for SAS or ISO, etc.) this does not release you from having to attain your own if that is your commitment to your clients. Your cloud partners certifications do not become your certifications