Digital Transformation Asset Management

Strategies And Technologies for Cloud Computing Interoperability (SATCCI)

By G C Network | March 4, 2009

As I alluded to in an earlier post, a major cloud computing interoperability event will be held in conjunction with the Object Management Group (OMG) March Technical Meeting on March…

Government Cloud Computing E-zine Launched

By G C Network | March 3, 2009

Today marks the launch of a new electronic magazine dedicated to addressing cloud computing within the government space. Over the last year during my personal exploration of this marketspace, I’ve…

NCOIC Plenary: Cloud Computing Working Group

By G C Network | March 2, 2009

Last week, I had the pleasure of participating in the NCOIC Cloud Computing Working Group. Led by Cisco Systems Distinguished Engineer, Mr. Krishna Sankar of Cisco Systems, the meeting purpose…

2nd Government Cloud Computing Survey – A Sneak Peek

By G C Network | February 25, 2009

This month, we’re in the middle of collecting data for our 2nd Government Cloud Computing Survey. to peek your curiosity (an to entice your participation) here is a sneak peek…

Government could save billions with cloud computing

By G C Network | February 23, 2009

In a recent study, published by MeriTalk, Red Hat and DLT Solutions, the Federal government could save $6.6 billion by using cloud computing or software-as-a-service. “Looking at 30 federal agencies,…

Cloud Games at FOSE 2009

By G C Network | February 19, 2009

ONLINE REGISTRATION NOW AVAILABLE Booz Allen Hamilton is launching its Cloud Computing Wargame (CCW)T at FOSE March 10-12, 2009 in Washington, DC. The CCW is designed to simulate the major…

IBM and Amazon

By G C Network | February 16, 2009

According to the Amazon Web Services (AWS) site, you can now use DB2, Informix, WebSphere sMash, WebSphere Portal Server or Lotus Web Content Management on Amazon’s EC2 cloud. “This relationship…

A Berkeley View of Cloud Computing

By G C Network | February 13, 2009

Yesterday, Berkeley released their View of Cloud Computing with a view that cloud computing provides an elasticity of resources, without paying a premium for large scale, that is unprecedented in…

Cloud Economic Models

By G C Network | February 11, 2009

One of the most important drivers of cloud computing in the Federal space is its perceived “compelling” economic value. Some initial insight on the economic argument is now available on…

Cloud Computing In Government: From Google Apps To Nuclear Warfare

By G C Network | February 10, 2009

Today, I want to thank John Foley of InformationWeek for an enjoyable interview and his excellent post, Cloud Computing In Government: From Google Apps To Nuclear Warfare. Our discussion covered…

Today’s businesses run in the virtual world. From virtual machines to chatbots to Bitcoin, physical has become last century’s modus operandi.  Dealing with this type of change in business even has its own buzzword – Digital Transformation.  From an information technology operations point of view, this has been manifested by organizations increasingly placing applications, virtual servers, storage platforms, networks, managed services and other assets in multiple cloud environments.  Managing these virtual assets can be much more challenging than it was with traditional physical assets in your data center.  Cost management and control are also vastly different than the physical asset equivalent.  Challenges abound around tracking and evaluating cloud investments, managing their costs and increasing their efficiency.  Managers need to track cloud spending and usage, compare costs with budgets and obtain actionable insights that help set appropriate governance policies.

The cloud computing operational expenditure (OPEX) model demands a holistic management approach capable of monitoring and taking action across a heterogeneous environment.  This situation is bound to contain cloud services from multiple vendors and managed service providers.  Enterprises also need to manage services from a consumption point of view. This viewpoint looks at the service from the particular application down to the specific IT service resources involved, such as storage or a database. Key goals enterprises need to strive for to be successful in this new model include:

 

  • Obtaining ongoing visibility into true-life cloud inventory;
  • Viewing current and projected costs versus industry benchmarks;
  • Establishing and enforcing governance control points using financial and technical policies;
  • Receiving and proactively responding to cloud cost and operational variances and deviations;
  • Gaining operational advantages through advanced analytics and cognitive computing capabilities;
  • Simulating changes to inventory, spend goals and operational priorities before committing;
  • Managing policies through asset tagging across providers and provider services; and
  • Identifying and notifying senior managers about waste and opportunities for cost savings.

Accomplishing these goals across a hybrid IT environment will also require timely, accurate and consistent information delivery to the organizations, CIO, CFO, IT Financial Controller and IT Infrastructure and Operations Managers.  Ideally, this information would be delivered via a “single pane of glass” dashboard.

One path towards gaining these capabilities would be through the use of a cloud services brokerage
platform like IBM® Cloud Brokerage Managed Services – Cost and Asset Management. This “plug and play” service can assist in the management of spending and assets across hybrid clouds by visualizing data that provides focus on asset performance.  Through the use of predictive analytics, it can also provide insight-based recommendations that help in the prioritization of changes according to their expected level of impact.  Analytics enables an ability to recalibrate cost by comparing planned versus actual operational expenditures.  The built-in cloud service provider catalog, pricing, and matching engines can also help organizations find alternative providers more easily.  Using IBM Watson® cognitive capabilities, IBM Cloud Brokerage Managed Services – Cost and Asset Management will also highlight cloud best practices and expected results based on IBM’s rich knowledge base of cross-industry cloud transition experience.

Operating a business from a virtual IT platform is different.  That is why advanced cost and asset management skills, capabilities and tools are needed.  According to Gartner, more than US$1 trillion in IT spending will be directly or indirectly affected by the shift to cloud during the next five years. This makes cloud computing one of the most disruptive forces of IT spending since the early days of the digital age.  You and your organization can be ready for these tectonic changes by implementing the straightforward five-step process supported by IBM Cloud Service Brokerage capabilities:

 

  1. Establish governance thresholds and policies for services;
  2. Connect the advanced management platform across all cloud service accounts;
  3. Track the costs of the services, including recurring and usage-based costs;
  4. Enforce compliance on the costs and asset usage using the purpose-built cost analytics engines; and
  5. Simulate and optimize the control and compliance actions and better control your costs.

 

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