Benefit from the new technologies with multisourcing

1. Clean Before You Move
Why you should have your house on order before you source your IT?
Ewout Dekkinga, IT architect Cloud & DC Services

2. Avoid…
© 2013 Unisys Corporation. All rights reserved. 2

3. Topics and content
Context / Multi
Workloads Governance Conclusions
trends sourcing
© 2013 Unisys Corporation. All rights reserved. 3

4. The Industry Perspective
Trends and Technology Drivers
66% 90%
http://www.disruptiveittrends.com/
63% 1/3
© 2013 Unisys Corporation. All rights reserved. 4

5. The Disruptive Technology Paradox
Simplicity for End Users drives Complexity for IT
Continued IT Innovation is driving commoditization and simplicity for end-users, but masks
an internal complexity that creates new management challenges for Enterprise IT
Technology Shifts… Creating New Forms of
Complexity for Enterprise CIOs…
Infrastructural shift to
Cloud Computing • Cloud Computing is resulting in multiple
deployment models for data centers
including public and private clouds
Shift to mobility as
the “new desktop” • Mobile Computing is resulting in multiple
device types for end users from
smartphones, to tablets and laptops
Collaborative shift to
social computing • Cloud, mobile and social computing
increasingly part of application design
Informational shift to • Big Data is driving storage rationalization to
unstructured data and control costs and information infrastructure
real time analytics
transformation to gain business insights
Cyber-security shift towards
• These trends are creating an increasingly
“zero trust” security models porous CyberSecurity perimeter
Exchange Forum | ©Unisys Corporation. All rights reserved.
© 2013 2012 Unisys Corporation. All rights reserved. 5
5

6. What is Multi-sourcing?
A Selective usage of different sourcing methods
• Outsourcing
– Hand-over operations
– All or nothing
• Sourcing (in/out)
– On-premise
– Co-location
– Managed hosting
– Managed service
– Hybride IT
Question of IT sourcing is not IF but What, Why, How & Where
© 2013 Unisys Corporation. All rights reserved. 6

7. Traditional outsourcing
One size fits all?
© 2013 Unisys Corporation. All rights reserved. 7

8. The Industry Perspective
The paradox of interests in outsourcing
Once the contract has been signed,
the goals of both parties take on their more natural business characteristics
...
Client’s viewpoint: Service Provider’s viewpoint:
The client wants to get: Service Provider wants to deliver:
 Everything the Service Provider can offer . . .  The things that have to be delivered by contract
 At the highest levels of quality, with the fast possible response  While doing everything possible to increase revenue and profit
times . . .  At the lowest cost possible
 With as many additional and value added services included (at
no charge) – provided at the lowest possible cost
And enjoy Immediate reductions in charges if volumes drop And receive Notice for all changes
or there is a need to scale back and Payment for exceptions
And ! The Client will reward their staff for making the above And ! The Service Provider will reward its staff for making the
take place above take place
Source: TPI Governance Insights; 11/2011 © 2013 Unisys Corporation. All rights reserved. 8

9. Today’s IT environment
Transformed with multiple users, devices, applications and data sources
Multiple application sources :
Corporate Applications
Public Software as a service/Various App stores
Multiple user realities:
• Private user Hybrid
• Corporate user Hosted
Outsourced
• e-Citizen Private
Clouds
Enterprise Information
Internal system
Private Internal
Clouds Public Information Multiple Data sources:
Clouds system
Corporate
Social network
Community data
Unstructured data
Multiple user devices:
Mobile devices
Corporate devices
BYOD
© 2013 Unisys Corporation. All rights reserved. 9

10. New sourcing models?
Fog is a cloud around your head!
• Alternative methods to have external parties deliver (parts
of) the IT of your organization.
• Service Level Agreements (managed Services)
• IT Outsourcing
• BPO
• Cloud…
© 2013 Unisys Corporation. All rights reserved. 10

11. Balance Efficiency and Effectiveness
The Performance Zone
IT Waste And
Overspending
Point Solution
Delivery
Silo Delivery
Missed Business
Expectations
© 2013 Unisys Corporation. All rights reserved. 11

12. Today’s hybrid IT environment
Managed freedom of sourcing
Borderless, Virtual, Automated, Visible and Secure
Processes Policies Architecture
Internal Internal Hosted Outsourced
Data Public
Private Private Data
Centers Clouds
Clouds Clouds Centers
Security Governance Integration Applications
Hybrid Enterprise
A Hybrid Enterprise is a composition of cloud, non-cloud, internal and external IT service delivery
models that remain unique entities but are bound together by an integrated management
environment, and common technology, processes and policies to optimize agility, enable data
and application portability, and reduce risk.
© 2013 Unisys Corporation. All rights reserved. 12

13. Overcoming the Challenges
With Application, Infrastructure and Management.
Current Multi-Sourcing approach Target
Environment: towards the Hybrid Environment:
Enterprise:
• High fixed costs • Low fixed costs
• Low resource • High resource
utilization utilization
Goal
• Roadmap •
Inflexible environment Setting Flexible environment
• Labor costs high • Labor costs optimized
Feasibility Workload
© 2013 Unisys Corporation. All rights reserved. 13

14. Application Assessment
Workload Analysis
Assess applications, maps its interdependency, provides blue print of environment
and determines the best fit by leveraging automation (tools) and reducing
migration time by up to 60% compared to manual based methods.
Business-As-Usual Mission Critical Innovation
Applications
Business Goals
Intelligent Application Alignment Service
ISBN: 978-0-12-374956-7
Migration Strategy
Roadmap
Internal IT
Private Public
Clouds Clouds Outsourced IT
Cloud Non-Cloud
© 2013 Unisys Corporation. All rights reserved. 14

15. New sourcing models provide a lot more choices
Improving efficiency and flexibility
© 2013 Unisys Corporation. All rights reserved. 15

16. Infrastructure is a utility, applications are sticky
Applications are the large part of the service
© 2013 Unisys Corporation. All rights reserved. 16

17. Finding the best fit for all workloads
Not everything is utility!
© 2013 Unisys Corporation. All rights reserved. 17

18. Why is Governance so important?
The Realities of Managing Multi-Sourcing
Multi-Sourcing is often underestimated and market observations show
that expected benefits are often not realized due to ineffective
management.
Source: TPI – Trends in Multi-sourcing 2010
• “Lack of management is • “63% of companies • “Companies report
central to the problems with surveyed believe they between 5% and 30%
multiple sourcing. 84% of lose an average of 25% of the expected value of
Impact of companies do not have
what they regard as a
of contract value due to their transaction is lost
poor governance.” through ineffective
Poor mature governance model.”
governance.”
Governance Survey by PA Consulting,
Financial Times
International Association of
Outsourcing Professionals TPI Research Study
Central To All Lost Contract Lost Value of
Problems Value Transaction
© 2013 Unisys Corporation. All rights reserved. 18

19. Core Components of the Governance Approach
“Get your house on order”
Simplified Improves
improves Business Multi-Sourcing Productivity & Control
Value Environments Performance IT Costs
• Supports business goals • Enhance and simplifies • Increases collaboration • Consistent Service
strategically through IT multi-vendor management and visibility Delivery with Improved
Quality
• Enhances Business • Enables strategic • Increases understanding of
Continuity partnering in a multi expectations and means to • Improves cost savings
source environment accomplish them
• Fosters proactive • Reduces operational
improvement and • Clarifies accountability • Effective problem complexities
innovation across the IT environment management with faster
resolution • Enhances resource
• Improves focus, • Strengthens relationships utilization
prioritization to provide and improves • Identifies scope for
insights into communication automation and enables it
opportunities
© 2013 Unisys Corporation. All rights reserved. 19

20. Concluding statements
Today’s business challenges and IT capabilities
demand a different, more flexible, sourcing model
Multi-Sourcing offers a fit for purpose delivery model
based on mixing all available sourcing structures
The optimal sourcing unit is the workload
Without a proper governance structure, multi sourcing is
not achievable
With mapped workloads and proper governance
your IT-house is on order, and your organization is ready
to benefit of the opportunities of modern IT sourcing.
© 2013 Unisys Corporation. All rights reserved. 20

21. Thank you!
© 2013 Unisys Corporation. All rights reserved. 21