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Cloud, benefits
Platform digitale wendbaarheid 2019
2© 2019 Deloitte The Netherlands
Most of our daily activities are cloud based activities.
Every Day is a Cloud Day
PDW Cloud business case
3© 2019 Deloitte The Netherlands
This sessions is designed to be interactiveJoin the dialogue!
Your presenter – Eric Onderdelinden
Eric Onderdelinden -Service Line Leader
Deloitte Consulting,
Director,
Enterprise Architecture,
Amsterdam
+31 6 833 39 816
eonderdelinden@deloitte.nl
Short BIO:
• Director within Enterprise Architecture SL
• Joined Deloitte in 2011 as Senior Manager
• Before Deloitte; IBM, Software Engineering, Capgemini
• SL Leader Enterprise Architecture
• Innovation and agility driven Cloud transitions since 2011
PDW Cloud business case
4
And the cloud way
PDW Cloud business case
5© 2019 Deloitte The Netherlands
Cloud computing opportunities cover various challenges within multiple industries
Cloud Is Transforming Every Industry
Life Sciences & Healthcare
• Health-tracking wearables
• Telemedicine and virtual care
• Population health management
Public Sector
• Contact Centers
• Cost reduction via new IT Service delivery models
Energy & Resources
• Oil Exploration Analytics
• Predictive Maintenance
• Energy Management Systems
Technology, Media & Telecom
• Cyber Security as a Service
• On-demand media services
Consumer & Industrial Products
• Ridesharing Platforms
• Mobile Hotel Check-in
• Direct to consumer platforms
Financial Services
• Blockchain & Bitcoin
• Automated & virtual banking services
PDW Cloud business case
6© 2019 Deloitte The Netherlands
What do you think the cloudis?
PDW Cloud business case
7© 2019 Deloitte The Netherlands
The Inevitable Cloud
A 40,000-foot view
7PDW Cloud business case
8© 2019 Deloitte The Netherlands
Cloud computing is utilizing shared technology resources with compelling economic value through better utilization and automation
A Glance at Cloud
Cloud Definition Cloud Characteristics
Greater securityand resilience
On-demand self-service
Broad network access
Faster adoption
Lower capital expense
Rapid elasticity or expansion
“Cloud computing is a model for enabling ubiquitous, convenient, on-
demand network access to a shared pool of configurable computing resources that can be rapidly provisioned and released
with minimal management effort or service provider interaction”
Source: NIST, final-version-nist-cloud-computing-definition-published, 2011
PDW Cloud business case
9© 2019 Deloitte The Netherlands
Compute, storage and network are the three core building blocks of any cloud environment which process, store and communicate data
Three Core Components of Cloud Architecture
Storage is the resource that allows data to be stored on the cloud infrastructure
Compute are the resources that process data for applications and services
Network connects the compute and storage resources with each other and allows communication with systems outside the datacenter
PDW Cloud business case
10© 2019 Deloitte The Netherlands
The cloud is unlimited resources (hardware and software) provided by only a few companies throughout the world
What actually is the cloud?
• Cloud technisch plaatje toevoegen
For Infrastructure services the picture is clear and has been stable for the last couple of years
However if we add software and other services to the mix, the picture changes. Clearly indicating the importance of SAAS (software as a service) in the cloud world
PDW Cloud business case
11© 2019 Deloitte The Netherlands
There will never be a single Cloud vendor, a Cloud landscape will always follow a best-of-breed strategy where integration is one of the key topics
The Cloud Landscape Consists of Many Vendors
Core platform
For each layer or platform of cloud solutions, developments are on an exponential pace and companies develop a single purpose, one-off, quickly adoptable unique selling point
The challenge within the current cloud landscape and different cloud providers is to reach an optimal mix of services, solutions and vendors that thrive your development
To transform the IT landscape a sophisticated review of the best of breed opportunities must be aligned with your purpose, capabilities and strategy for IT development
Service providers are bringing expertise and thought leadership by focusing on a specific layer of business solutions and therefore disrupt the idea of one size fits all solutions and eliminate the vendor dependency
PDW Cloud business case
12© 2019 Deloitte The Netherlands
Business Drivers & Benefits
PDW Cloud business case
Deloitte 2019 Global Outsourcing Survey published late 2019:Traditional Outsourcing is dead. Long live Disruptive Outsourcing
PDW Cloud business case
Some highlights from the report: Cloud Adoption Objectives and Cost Expectations …
Source: Deloitte 2019 Global Sourcing Survey
CATALIST FOR IT INNOVATION
IMPROVE SPEED/T2M
IMPROVE PERFORMANCE
RAPID ELASTICITY/SCALABILITY
ACCESS TO NEW TECHNOLOGY
ADOPT ON DEMAND SELF-SERVICE
IMPROVE SECURITY & RESILLIENCE
LOWER COST
64%
63%
56%
54%
51%
50%
38%
35%
Objectives for Cloud Adoption
DECREASE IN COST BY 0-10%
DECREASE IN COST BY 11-30%
DECREASE IN COST BY 31-50%
DECREASE IN COST BY >50%
35%
32%
23%
6%
3%
Expectations for annual OperationalCosts by moving to the Cloud
Increase in Cost
PDW Cloud business case
Some highlights from the report: Cloud Adoption Concerns and Challenges …
Source: Deloitte 2019 Global Sourcing Survey
DATA SECURITY
PERFORMANCE & RESILIENCE
SERVICE PROVIDER'S COMPLIANCE
LOSS OF IP
TERMINATION PENALTIES
68%
45%
39%
35%
34%
Top 5 Concerns with Cloud Services Contracting
DATA MIGRATION
SECURITY REQUIREMENTS
APPLICATION OPTIMIZATION*
REGULATORY COMPLIANCE
EXISTING INFRASTRUCTURE?
58%
56%
44%
40%
40%
Top 5 Challenges in implementing a Cloud Solution
PDW Cloud business case
16© 2019 Deloitte The Netherlands
The Cloud Impact
PDW Cloud business case
17© 2019 Deloitte The Netherlands
#1: Accelerating application deployment and time to market for business value
Impact on Organization in Practice
I wrote a great
application for my
company!
Now I just need
infrastructure.Developer
Historically…
1
Weeks to months later…Test and release application
PRODDEV
My application is
live and running!
3
I will help you get
the infrastructure
you need.
Infrastructure Manager
Do we have the
hardware?Procure new
hardware
Build / provision
infrastructure
yes
no
Infrastructure Operations
Do we have the
capacity?
The infrastructure
is ready for your
application.
2
Days to weeks later…
Developer
Develop
application
no
yes
Manual
provisioning
Waterfall
development
Significant
time to
market
4-6 releases a year
My application is
live and running!
Let me keep
making continuous
improvements.
Hours to days later…Iterative test and release
Request
infrastructure
on web portal
Cloud Service Provider
The infrastructure
is ready for your
application.
Minutes later…
Developer
I wrote a great
application – an
initial version with
basic features and
functionality.
1
3
2
Developer
Let me get the
infrastructure I
need.
Provide
environment
details
Develop
application
PRODDEV
PRODDEV
Agile
development
DevOps /
automated
provisioning
Accelerated
time to
market
150 releases a year (a release every 2 days)With cloud…
17
18© 2019 Deloitte The Netherlands
#2 - Enhancing application scalability and improved asset utilization / return on assets
Impact on Organization in Practice
I expect a
significant increase
in the number of
users.
Developer
4
Post-mortem reporting and
triage for preventative actionsSomething went
wrong – let’s see
how we can
prevent that next
time.
6
I will help you
prepare for the
anticipated
application
demand.Infrastructure Manager
Can we add more
capacity?
Anything else we
can do to mitigate
potential issues?
Monitor and
triage
yes
no
Infrastructure Operations
Procure /
provision
more capacity
Let’s hope the
systems don’t
crash!
5
Estimate workload
/ network traffic
yes
Manual
capacity
planning
Demand
management
Re-active
Infra and App
remediation
Optimize
infrastructure
environment
Infrastructure Operations
2000 Users per transaction
Based on usage
reports, let’s see
how I can improve
my application for
next time.
Post-mortem reporting for
cloud service provider or
application development
improvement opportunities
Cloud Service Provider
Our systems
automatically scale
your application to
optimize user
performance.
Developer
My application is
written to be
scalable in the
cloud.
4
6
5
Developer
Applications
developed for
scalability
Automated
capacity
scalability
Application-
focused
remediation
2,000,000 Users per transactionHistorically… With cloud…
18
19© 2019 Deloitte The Netherlands
The Benefits of Cloud Computing
19Deloitte Digital Academy - Cloud Deep Dive training
20© 2019 Deloitte The Netherlands
To address these challenges, the CIO should adopt a cloud strategy that can help deliver services demanded by the business in an nimble, scalable and efficient manner
CIOs are Increasingly Leveraging Cloud to Address Industry Priorities
Build reusable assets in a Mobile First, Cloud First business environment
Use Cases:
▪ Implement elastic data lake storage service that can scale on demand
▪ Adopt Cloud ALM to support DevOps of distributed teams
Incubate the next-gen applications in a Cloud-based environment
Use Cases:
▪ Develop mobile-based disease management apps
▪ Create web-based user-friendly customer engagement experience to gain traction in markets
Automate application releases with continuous
integration to stay ahead of competitions
Use Cases:
▪ Implement an elastic infrastructure to support on-
demand capacity management
▪ Streamline software development process to enable
speed to market
Reduce technical debt to remove barriers to scale
Use Cases:
▪ Transition from everything custom towards vended
solutions which support cloud capabilities
▪ Minimize maintenance effort for custom built
environments with pattern-based runtime platforms
Discover the hidden insights with real-time analytics and visualization
Use Cases:
▪ Perform rich analytics, extract insights, and make data driven decisions
▪ Utilize burst computing capabilities to handle sporadic analytics data sets
Industry Themes
PDW Cloud business case
21© 2019 Deloitte The Netherlands
Cloud computing provides access to technology innovation, agility and scalability while optimizing costs, impacting four enterprise aspects
The Benefits of Cloud Computing
21Deloitte Digital Academy - Cloud Deep Dive training
STRATEGIC
• Aligned with technology direction/ currency
• Reduces burden of entry/levels the playing field
• Access to continuous technology Innovation
• Talent acquisition and retention
• Each Cloud Service Provider is your new IT Partner
BUSINESS
• Business agility/ faster time to market
• Capitalizing on the exponential rate of innovation
• Rapid scalability
• Refocus on the core business
ECONOMIC
• Move from CAPEX to OPEX spend
• Pay-as-you-go, pay-as-you-grow, Pay-per-use
• Reduced cost avoidance, leakage & cost reduction
• Avoidance of monolithic legacy environments
ORGANIZATIONAL
• Dynamic, on-demand provisioning of capabilities
• Self-Service with less labor and shorter lead times
• Deliver shared capacity across business-lines, with less redundancy
• Virtualized environments unconstrained by hardware
22© 2019 Deloitte The Netherlands
Q&A
22Deloitte Digital Academy - Cloud Deep Dive training
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