© 2009 IBM Corporation ® Optim ™ Understanding the ROI of Database Archiving for Oracle ® Applications IBM Software Group

© 2009 IBM Corporation

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Optim™

Understanding the ROI of Database Archiving for Oracle® ApplicationsUnderstanding the ROI of Database Archiving for Oracle® Applications

IBM Software Group

© 2009 IBM Corporation2

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* Source: The Expanding Digital Universe , John F. Gantz, Research Director, IDC , March 2007

Forrester estimates that, on average, data repositories for large applications grow by 50% annually (structured data)

* Source: Noel Yuhanna, Forrester Research, Database Archiving Remains An Important Part Of Enterprise DBMS Strategy, 8/13/07

The Problem: Information Exceeds Storage Capacity!


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Archiving is an intelligent process for moving inactive or infrequently accessed data that still has value, while providing the ability to search and retrieve the data

A Definition of Archiving


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Archiving Questions to Consider

What data should I be saving, for how long and for what reasons?

What data should I be deleting?

How am I going to find the data when I need it?

What do I do with the data when I no longer need it?

What is the most appropriate solution to meet my archiving needs?

What is the cost/benefit analysis to support an archiving solution acquisition?


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How Does Archiving Work?

CurrentCurrent

Production

HistoricalHistorical

ArchiveArchive

RetrieveRetrieveRetrievedRetrieved

Universal Access to Application DataUniversal Access to Application Data

ODBC / JDBC XML Report WriterApplication

Archives

Historical DataHistorical Data

Reference DataReference Data


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Represents application data record – payment, invoice, customer

– Referentially-intact subset of data across related tables and applications; includes metadata

Provides “historical reference snapshot” of business activity

Federated extract support across enterprise data stores

Archiving a Complete Business Object


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The ROI of Data Archiving


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Simulates the Impact of Proposed SolutionsQuantifies Value to the Business

Business Value Analysis – Making the Case for Change

Project Timeline Initial Year 1 Year 2 Year 3

Costs

Cost Savings

IncrementalRevenue Benefits

DeploymentSchedule

Business Costs

Revenue


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What Benefits Exist from Data Archiving?What Benefits Exist from Data Archiving?

1. Improve Performance

2. Control Costs

3. Mitigate Risks


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2. Control Costs

3. Mitigate Risks


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Improved Availability– No downtime caused by batch process overruns– Uptime during crunch time– Meet SLAs

Speeding Backup and Recovery– Bring up important/recent data first– Bring up older/reference data as conditions permit

Improved Application Performance– One of the most understated benefits to archiving– Longest and most lasting benefit

How Does Archiving Improve Performance?


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Call Center / CRM Supply Chain / ERP

Examples of Application Performance Efficiencies

Human Resources / HCM Financial Management


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2. Control Costs

3. Mitigate Risks


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How Does Archiving Impact Cost?

Moving inactive data to another instance or archive system not only makes production databases more efficient, but it also lowers cost.

Large databases also drive up hardware cost, database license cost, and general administration effort. -- Noel Yuhanna, Forrester Research

“Database Archiving Remains An Important Part Of Enterprise DBMS Strategy”, 8/13/07

Improved database and application performance, as well as reduce infrastructure cost, can be achieved through database archiving.

Carolyn Dicenzo and April Adams, Gartner“Archiving Technology Overview”, 2/6/07

“”


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How Can I Save Money by Archiving Data?

Storage

– Production level data is typically one of the most expensive storage platforms

– Migrate and store data according to its evolving business value (ILM)

– Use tiered storage strategies to your advantage to maximize cost efficiencies

– Utilize the storage you already have (including tape!)


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Actual Data Burden = Size of production database + all replicated clones

Data Multiplier Effect

Test

Development

QualityControl

500 GB

500 GB

500 GB

Production500 GB

Backup500 GB

DisasterRecovery

500 GB

Total 3000 GB


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Cost-Effective Storage Alternatives

Non DBMSRetention Platform

ATA File ServerEMC CenteraIBM RS550HDS

OnlineArchive

5-6 years

Compressed Archives

Offline Retention Platform

CDTapeOptical

OfflineArchive

7+ years

Compressed Archives

ProductionDatabase

CurrentData

1-2 years

Archive Definitions

Archive

Restore

ActiveHistorical

3-4 years

Archive ReportingDatabase

Compressed Archives


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Application Tier Deployments Disposal Tier II Access SLA

Tier III Access SLA

Mission Critical Tier I – Current to 2 years

Tier II – Years 3 - 5

Tier III – Years 6 & above

No End-User (“Self-help”) Access

1 Day

Business Critical Tier I – Current year

Tier II – Years 2 - 5

Tier III – Years 6 - 7

Yes, after 7 years

8 Hours 3 Days

Decommission Tier III Only Yes, after 10 years

N/A 14 days

One Example of Classifications


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Administrative costs of data management

– Software license fees

– Hardware costs

– Labor to manage data growth

• DBA• System Admin• Storage Admin


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Reduction in processor upgrades

– More MIPS/processors required to process large data repositories

– For example: “1 TB database that supports 500 concurrent users might require an eight-processor server with 4 GB of memory to achieve optimal performance. The same application that runs a database half that size might require only six processors and 2 GB of memory.” 1

1 Source: Noel Yuhanna, Forrester Research, Database Archiving Remains An Important Part Of Enterprise DBMS Strategy, 8/13/07


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Upgrades and Migrations

– Important for packaged applications space (Siebel, Peoplesoft Enterprise, Oracle E-Business, JD Edwards EnterpriseOne, Amdocs, etc.)

– Reduce time allocated for database conversion

– Reduce downtime during transition

• One recent client stated 1 hour downtime = $5M

– Deploy new version quickly

• Revenue recognition• Competitive Advantage


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Application Decommissioning

– Definition: Remove a system from active service but retain access to its business-critical data

• Retire an application• Consolidate redundant systems into a single “enterprise standard”• Migrate portfolio to lower-cost platform • Consolidate and eliminate unsupported databases and versions

– Benefits

• Reduce IT infrastructure costs (hdw, sfw, labor costs)• Reduce infrastructure complexity (eliminate confusion)• Reclaim assets


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Real-World Examples

“We have 399 General Ledger systems and we probably have every database ever sold.”

“We have total systems inventory of about 1200 applications…we have reviewed circa 900 of these systems for removal or de-commissioning.”


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2. Control Costs

3. Mitigate Risks


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How Does Data Archiving Mitigate Risk?

Data is stored in an immutable format that cannot be altered

Data is indexed following archiving for easy retrieval

Data can be retrieved either from the application it was archived or in various other formats (ex. Excel Spreadsheet, XML, Reporting tools)


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“Given the impact that regulatory compliance is having and the increased role electronic records play in corporate litigation cases, deleting records without ensuring future access or considering usage requirements puts organizations at considerable risk.”

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Why Not Just delete?

Source: Enterprise Storage Group

Because you need the data…


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What Makes Retaining/Retrieving Data Stored in Databases So Difficult?

A singular piece of data is not enough – you need to store and produce the complete business object

How do you classify?

How long do you retain?

Can you delete? If so, when?

I need the records ... how do I retrieve them?

Who defines retention policies?


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Legal Costs of E-Discovery

Identify Appropriate Data $200/hour

Preserve the Data $100-$300/hour

Collect the Data $200-$300/hour

Review the Data $120-$350/hour

Produce the Data $1000-$2100/hour

Debra Logan, “Mapping Technology and Vendors to the Electronic Discovery Reference Model,” GartnerResearch, ID Number: G00153110, November 9,2007.


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The Latest on E-Discovery

Electronic discovery (also called e-discovery or ediscovery) refers to any process in which electronic data is sought, located, secured and searched with the intent of using it as evidence in a civil or criminal legal case

In the process of electronic discovery, data of all types can serve as evidence. This can include text, images, calendar files, databases, spreadsheets, audio files, animation, Web sites and computer programs


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E-Discovery Issues Go Way Beyond Just Email

Example of Archiving Benefits

– Retail organization had contract dispute with partner over provisions in an agreement struck in the late 1990s providing for some collaboration as they expanded into the online world.

– Sales transaction data became central to the case.

– Reviewers analyzed details of every sales transaction the retailer completed over a six-year period—more than 250 million in all—to study the sales patterns of different categories of products.

– Analysis ultimately concluded no violation of agreement. Had the large volume of sales transaction data not be reviewable, the retailer would have been at risk of losing millions of dollars.

Source: FTI Consulting/Forrester Research


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The Answer … Data Archiving Manage data across the enterprise including multiple applications, databases

and platforms

Segment and manage data at the complete business object level

Increase database performance/response time and minimize batch windows – Remove historical business records from production

Archive to selected target format– Compressed, indexed file– XML file– Archive database

Implement tiered storage strategies to maximize ILM efficiencies– CAS devices (ex. IBM DR550)– Existing tape libraries– Optical disk

Multiple access methods to archived business records– Native Application access – Self-Help Access (Canned Reports, Query Tools)– Application Independent access (Original app/version is not needed)


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ArchiveDefinition- AP

ArchiveDefinition- GL

ArchiveDefinition- AR

ArchiveDefinition- CN

Oracle EBusinessDatabase

Tables

Constraints

e.g. General Ledger Period must be Permanently Closed

Time

e.g. The Last Date of the Period must be greater than 25 months old

Relationships

Extracted Data

Optim for Oracle E-Business Archive Solution Overview

IBM Optim Data Growth Solution for Oracle® E-Business Suite

Actions: Archive, Delete, Restore

Compressed Archives

Compressed Archives

XMLXML

ArchiveDatabase

Optim


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About the Client

Success: Data Growth and Upgrades

Challenges:

– Managing the 20 to 25% annual data growth rate in Oracle E-Business Suite and managing the expected data growth of 40 to 50% in the next year for the projected upgrade from 10.7 to 11i.

– Reducing costs for the additional hardware and storage required to support continued data growth

– Meeting compliance requirements for retaining historical data for 3 to 10 years, while keeping data accessible

– Reducing the time, effort and downtime associated with upgrading Oracle E-Business Financials

Client Value:

– Controlled data growth by implementing database archiving for Oracle E-Business Suite

– Projected a savings of $2 million in IT capacity expansion costs over 5 years, and provided the capability to move archived data to a less expensive storage options

– Supported compliance requirements by providing access to archived data and the capability to report against this data

– Projected a reduced cutover time to upgrade from Oracle E-Business 10.7 to 11i implementation

Leading Direct Mail Media Company

IndustryMarketing Services

Annual Revenue$1.1 Billion

ApplicationOracle® E-Business Suite

SolutionSolutionOptim™ Oracle E-Optim™ Oracle E-Business Suite Business Suite SolutionSolution


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About the Client

Client Success: Data Retention

Challenges:

– Need for data cleanse and purge records older than 7 years from Siebel databases

– Preparing for corporate-wide data management effort to sustain goal of keeping only “what’s needed for the right amount of time”

– Maintain operational efficiencies and reduce cost of maintenance

Client Value:

– Satisfied long-term data retention requirements by archiving for secure and readily accessible information

– Ensured support for SOX and auditor compliance requirements by implementing archiving capabilities to locate and access historical financials data when needed for audit and discovery requests

– Established a consistent methodology for managing and retaining historical data using Optim across applications, databases and hardware platforms

Leading Digital Satellite Service Provider

IndustryTelecommunications

Annual Revenue$13 Billion

ApplicationSiebel CRM Application

SolutionSolutionOptim™ Data Growth Optim™ Data Growth Solution for Siebel Solution for Siebel CRMCRM


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About the Client

Client Success: Data Growth

Challenges:

– Improving application performance and service levels to customers, merchants, sales associates and internal business users

– Reducing costs for increased processing and storage capacity required to accommodate significant database growth

– Eliminating application downtime and outages during daily operations and especially during peak buying seasons

Client Value:– Improved response time for targeted processes by as much as

60 percent or more

– Reclaimed over 100 GB of high-priced storage capacity during initial archiving, resulting in savings estimated at $1.8 million dollars in projected 5-year IT capacity expansion costs

– Increased system availability resulting from shorter batch processing windows and reduced downtime

– Achieved predictable scheduling to increase “open-for-business” hours for expanded revenue generating opportunities and customer service

Largest Operator of Department Store Jewelry Departments in the United States

IndustryRetail & Manufacturing

Annual Revenue$900 Million

ApplicationCustom Application

SolutionSolutionOptim™ Data Growth Optim™ Data Growth SolutionSolution


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Thank You


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© 2009 IBM Corporation ® Optim ™ Understanding the ROI of Database Archiving for Oracle ® Applications IBM Software Group