Digital Transformation Asset Management

Stateless Computing

By G C Network | August 15, 2008

A few days ago I read a review of Merrill Lynch’s Jeffrey Birnbaum LinuxWorld keynote on stateless computing. “With stateless computing, users’ settings and data are automatically saved to the…

Cloud Services

By G C Network | August 14, 2008

38% of 456 business technology professionals in a Information Week survey indicated that they currently use or will consider using services from a cloud provider. This seems much betterthan the…

Amazon, Elastra and the New Enterprise Data Center

By G C Network | August 13, 2008

Last week Amazon made an investment into Elastra. Some see this as Amazon’s enterprise play. Others see it as move towards the viability of private clouds. I see it as…

Microsoft Midori

By G C Network | August 12, 2008

Last week word got out that Microsoft’s new research project codenamed Midori. According to Information Week “the Midori system is being called Microsoft’s first cloud-based OS, and it could one…

Dell Trademarking Cloud Computing

By G C Network | August 11, 2008

There has been quite a bit of chatter lately over Dell’s attempt to patent “cloud computing”. Last week, the US Patent and Trade Office put an end to those aspirations…

Rob Enderle Cautions on Cloud Computing

By G C Network | August 8, 2008

Words of caution from Rob Enderle in “The Real Truth and Technology and IT”: “The key to success in the cloud will be keeping solutions simple, plus understanding and mitigating…

3 Important Point for Federal Government Cloud Computing

By G C Network | August 7, 2008

Point 1: In May, Verizon and AT&T were awarded a DHS task order for just under $1B to provide telecommunications services to the department. Verizon won the lead provider’s spot…

A Cloud Methodology

By G C Network | August 7, 2008

Although this was published in June, I just saw it and felt it was to good not to repeat: A Methodology for Cloud Computing Architecture Peel off the applications individually,…

IBM Invests Nearly $400M on Cloud Computing Centers

By G C Network | August 6, 2008

In a press release last week, IBM says that it will spend $360 million to build its most sophisticated, state-of-the-art data center at its facility in Research Triangle Park (RTP),…

Cloud Computing and the NCOIC

By G C Network | August 5, 2008

According to their website, The Network Centric Operations Industry Consortium (NCOIC) has scheduled a session on cloud computing at their upcoming plenary session in September. In case you haven’t heard…

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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