Explosive Data Growth – How to Handle the Risks and Opportunities David Bregman Director November 7, 2006

Explosive Data Growth – How to Handle the Risks and Opportunities

David Bregman

Director

November 7, 2006

© 2001 - 2006 GlassHouse Technologies, Inc. This material may not be reprinted or redistributed without the express written consent of GlassHouse Technologies, Inc.

Data Growth

Increase in digital data growth 60-80% per year

– “There is no more safe bet in the industry (technology) that you will need more storage next year” - Jonathan Schwartz, President Sun Microsystems, WSJ 11/05

Decrease in unit cost of storage devices of 20-30% per year is not keeping pace with growth

– “The combined revenues of the two largest storage-specialty companies EMC and Network Appliance…grew by 26% in their latest four quarters. By comparison, the two biggest broadline computer companies, IBM and HP, had combined revenue gains of 6%” - WSJ 11/05


Competing Priorities for IT

UserSatisfaction

RiskCost

StorageStorage

User Satisfaction Internal service levels throughout the organization always have room for improvement

Risk Reducing the risk of failure with scalable solutions that optimize processes and minimize the amount of human intervention necessary

CostsNeed to be managed and lowered to meet needs of the business

OperationalOperationalComplexitieComplexitie

ss

BusinesBusiness s

DemandDemandss

Audit and Audit and compliancecompliance


Increasing Operating Complexity

Increasing complexity to operate enterprise storage environments

– Natural data growth– Corporate mergers– Interconnected componentry– Business and data compliance and regulation– Increasing heterogeneity of technologies in the data center– Storage vendor consolidation, new technologies, and quickly

evolving product strategies


Low Utilization

Glasshouse is observing utilization rates of 5% to 17%

Utilization rates of 60% or higher are attainable– “Good utilization…is 70%-90%” (Gartner August 24 2005)

Storage device utilization measurements vary by company and by industry, but it is generally the ratio of data stored to disk space

Utilization is impacted by poor process maturity and a lack of good management tools


Where does all the storage go? Physical – Raw storage capacity

– Procurement view

Logical – Storage capacity available after applying data protection policies– Storage architect view

Allocated – Storage consigned to users– Storage administrator view

Claimed - Storage assigned to servers– System administrator view

Assigned – Storage mounted by servers– Application owner view

Written - % of storage actually containing data

0

100,000

200,000

300,000

400,000

500,000

600,000

700,000

Physical Logical Allocated Claimed Assigned Written

Stor

age

(GB

)


Escalating Costs


Data vs. Information

Data is the domain of storage device intelligence - placement, movement, and protection

Information is the business asset - available through applications

A vast quantity of data is stored in virtual warehouses without preexisting manifests, creating a challenge to address compliance and regulatory requirements

Compliance deals with information rather than data – new opportunities exist for products and services on the storage side to integrate information


Data Protection - More

Its all about disk based backups now– The speed arguments

– The dollars

– The implications

– Virtual Tape

Disaster Recovery– Cheaper

– Faster

– More full functioned

Archiving and Compliance


Shifting Focus to Process Efficiency

Future focus for innovation is management processes

– Unravel the complexity and articulate the real business issues

– Manage the “supply chain” of data

– Translate compliance issues into actionable tasks

– Implement controls, policies, and procedures

New tools will support process efficiency and simplicity

Focus on Functionality

“Speeds and Feeds”

Focus on Manageability


Storage Security

54% of storage managers have no documented security procedures

70% of IT executives rated their storage security as fair to poor

80% of shops do not encrypt their backups

61% of IT executives believe external threats are greater despite the fact that internal users have greater access


Data Value Model

Val

ue

at R

isk

Total Cost of Ownership (TCO)

$ $$ $$$

High

Medium

Low

The Data Value Model (DVM) is an approach to align management of data with its actual business value to the organization

Valuing data is a foundation for the development of the Service Provider Model (SPM)

Business alignment challenge:

– IT understands cost (X-axis)

– Business understands value (Y-axis)

– Cannot succeed without both


IT Infrastructure Goals

Successful organizations are focusing on…

– Offering services in conjunction with overall organizational maturity

– Establishing standard services and technology implementations

– Developing mature practices including policies, processes, and organization structure

– Implementing effective metrics and reporting

Source: Bittman, Thomas J.; Gartner Introduces the Infrastructure

Maturity Model, Gartner, 2004

IT infrastructure organizations becoming more business focused

– Technology no longer viewed as the solution for all IT problems

– Internal and external forces demand a re-evaluation of organizational maturity


MetricsMetrics

ServiceService

StandardsStandards

PracticesPractices

A Service Provider Model

Service– A service focus separates the “what” from the “how” of

service delivery– A service level agreement between IT and users of

technology provides a pragmatic basis for alignment of IT capabilities with business objectives

Standards– Standard services and technical architecture– A stratification of service offerings allows different

service level requirements to be satisfied at appropriate cost levels

Practices– Management practices are the processes, policies,

and organizational model used to deliver services

– As processes mature, they become repeatable, documented, measured, and finally have continuous review for improvement

Metrics– External and internal metrics define the progress of the

service model

– A complete cost model is critical to understanding the true cost of service delivery


Transitioning to the Service Provider Model

CurrentState

High TCO

LowSatisfaction

CurrentState

High TCO

LowSatisfaction

ServiceProvider

Model(SPM)Low TCO

HighSatisfaction

ServiceProvider

Model(SPM)Low TCO

HighSatisfaction

Data Value Model (DVM)

Transition Foundation

Data Value Model (DVM)

Transition Foundation

Storage Management Lifecycle (SML)

Transition Activities

Storage Management Lifecycle (SML)

Transition Activities

Continuous Alignment and Control

Key Performance Indicators

The Storage Transformation Framework is a methodology for the assessment, design, acquisition, deployment, migration to, and operation of enterprise class storage

You can create a framework that correlates with key industry standards such as ITIL and COBIT.

Storage Maturity Model (SMM)

Transition Phases

Storage Maturity Model (SMM)

Transition Phases


Storage Management Lifecycle Domains

Strategy & Planning1. Strategy (Business Requirements)

2. Policies3. Discovery4. Technical Requirements

Strategy & Planning1. Strategy (Business Requirements)

2. Policies3. Discovery4. Technical Requirements

Operations & Maintenance1. Service Delivery2. Infrastructure Management3. Service Support4. Compliance

Operations & Maintenance1. Service Delivery2. Infrastructure Management3. Service Support4. Compliance

Provisioning1. Purchasing2. Change Control3. Activation4. Service Acceptance

Provisioning1. Purchasing2. Change Control3. Activation4. Service Acceptance

Customer Care1. Service Requirement2. Service Fulfillment3. Service Quality

Customer Care1. Service Requirement2. Service Fulfillment3. Service Quality


Storage Maturity Model

State Change CharacterizationState Change Characterization ReactiveReactive MonitoredMonitored ProactiveProactive PredictivePredictive Business AlignedBusiness Aligned

PeoplePeople

OrganizationOrganization Application-CentricApplication-Centric Platform TeamPlatform Team Storage TeamStorage Team(IT Aligned)(IT Aligned)

Storage TeamStorage Team(LOB Aligned)(LOB Aligned)

Business Analysts Business Analysts Included in Included in

Storage TeamStorage Team

OperationsOperations Reactive Incident Reactive Incident ManagementManagement

Basic Reports, Basic Reports, Metrics, and Metrics, and EscalationEscalation

Configuration and Configuration and Change Change

ManagementManagement

Capacity Capacity ForecastingForecasting

Integrated Storage Integrated Storage Budgeting and Budgeting and ProvisioningProvisioning

ProcessProcess

Service Service ManagementManagement NoneNone SOPs for Key SOPs for Key

FunctionFunction Integrated SOPsIntegrated SOPs Workflow Driven Workflow Driven SOPsSOPs

Business Driven Business Driven SOPsSOPs

Metrics and Metrics and ReportingReporting ExceptionsExceptions Some Base Some Base

MetricsMetrics

Simple Simple Performance Performance

IndicatorsIndicators

Metrics Integrated Metrics Integrated into SOPsinto SOPs

Business KPIs Business KPIs ReportingReporting

TechnologyTechnology

Data ProtectionData Protection Distributed Backup Distributed Backup and Recoveryand Recovery

Centralized Centralized BackupBackup

Data Data Categorization and Categorization and

Policy GroupsPolicy Groups

Virtualized Virtualized Protection TargetProtection Target

Business Aligned Business Aligned Continuance and Continuance and

RecoveryRecovery

Storage Storage ManagementManagement

Distributed Distributed Storage, NoneStorage, None

Networked, Networked, Storage Network Storage Network


Tiers of Storage, Tiers of Storage, SRM ToolsSRM Tools

Virtualized Storage Virtualized Storage EnvironmentEnvironment

Tiers of Storage Tiers of Storage ServicesServices

BusinessBusiness

Financial PlanningFinancial Planning IT as an OverheadIT as an Overhead Fixed Asset Cost Fixed Asset Cost ManagementManagement

Administration Administration Cost ManagementCost Management

Total Cost Storage Total Cost Storage Ownership Ownership


Total Cost of Data Total Cost of Data Ownership and Ownership and

Lifecycle Lifecycle ManagementManagement

Business InterfaceBusiness Interface Annual BudgetaryAnnual Budgetary Informal RequestsInformal Requests Support DeskSupport Desk Service Level Service Level ObjectivesObjectives

Service Level Service Level Agreements with Agreements with Business KPIsBusiness KPIs

Level 1Level 1 Level 2Level 2 Level 3Level 3 Level 4Level 4 Level 5Level 5


The Typical Approach

Custom ServicesCustom Services

ImplementationImplementation

Strategic ServicesStrategic Services

Managed ServicesManaged Services

3

1

24 Disruption


Questions?

Thank you!

David Bregman, [email protected]

Documents

Explosive Data Growth – How to Handle the Risks and Opportunities David Bregman Director November 7, 2006