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Cloud fundamentals haven't changed. We've changed.

Pent up demand to outsource IT services was at an all time high.

Future data center?

CEOs/CIOs are demanding that the IT organization adopt cloud computing.

Internal customers have become accustom to consuming IT as a service.

Liability Integration Migration Management Security Transparency Cost Availability

Forge Ahead?

IT must rethink the way we are organized and governed to adopt cloud computing in its current state

Hybrid IT: The Cloud Computing Strategy and Organizational Model IT organization acting as a provider and broker Internal cloud Public cloud Hybrid cloud Provider Self-service Metered use User focus Broker Vet outside services Forge relationship with CSPs Monitor services

Why Build Hybrid IT? Two purposes of the Hybrid IT organization: Protect and Serve Positions IT as the broker to all IT services, regardless of service location -Enables IT organization to manage risk -Enables IT to better serve business needs with agility and scalability Hybrid IT is both a cloud computing adoption strategy and an organizational structure

IT Service Broker Group

Hybrid IT: The Cloud Computing Strategy and Organizational Model IT organization acting as a provider and broker Internal cloud Public cloud Hybrid cloud

IT Organization: Broker Group Purpose: -Assist business users and app owners rapidly self-provision and/or adopt cloud-based services. -Right size the use of cloud services to reduce costs -Assist business users/app owners select the best location to host the application/data. Personnel and skill set requirements: -Liaisons to the biz users and app owners -Service architects to design the service interface -Security architects to manage risk (which goes where) -Management specialists to integrate with private and public cloud

Being the Broker Requires a Mindset Change Think like a public cloud service provider (CSB) -Constantly attempting to find the best fit for the customer’s business, applications, data -Based-on customer requirements (cost, availability, security) what is the best location to host the application/data for my customer? Are there additional services I can add on top of the cloud services we’re using? Integrate, manage, and monitor private and public providers to enhance customer experience 15

Private Cloud Operations Group

Hybrid IT: The Cloud Computing Strategy and Organizational Model IT organization acting as a provider and broker Internal cloud Public cloud Hybrid cloud

IT Organization: Private Cloud Operations Group Purpose: -Build an automated private cloud to host critical applications -Offer a viable alternative to shadow IT and prevent the company from taking unnecessary/preventable risks. Personnel and skill set requirements: -Technical architects who can build a unified, multi- function cloud service -Orchestration/Management specialists tasked with optimizing the private cloud -Operations personnel tasked with operating the private cloud for faults and governing usage (e.g. showback)

What is an Internal Cloud? 19 Cloud Orchestration Virtualization and consolidation Self Service Provisioning Portal Service Catalog Chargeback Capacity Management Virtual Infrastructure Management Self-Service Provisioning Portal Service Catalog REQUIRED PREFERRED Performance Management Enterprise Service Management Identity & Access Management Lifecycle Management Orchestrator Ext. Cloud Connector Chargeback System Configuration & Change Management Capacity Management Physical Infrastructure Virtual Infrastructure Service Governor / Infrastructure Authority

Internal Cloud Requires IT to Change Too… Think like and compete with public CSPs -Maintain reasonable SLAs, provisioning times, service tiers -Differentiate from CSP services -Experiment with CSPs to grasp cloud concepts and semantics (e.g., PAYG, self-service provisioning) May require changes to or additional infrastructure Requires governance -Prevent overconsumption and maintain efficiency May require both business and IT process changes -Chargeback may change accounting techniques

Public Cloud Management Group

Hybrid IT: The Cloud Computing Strategy and Organizational Model IT organization acting as a provider and broker Internal cloud Public cloud Hybrid cloud

IT Organization: Private Cloud Operations Group Purpose: -Forge relationship with CSPs (vet, evaluate, and negotiate) -Maintain a stable of providers to meet internal customer requirements, capacity overflow, scalability -Manage and monitor providers (SLAs, T/C, billing, auditing) Personnel and skill set requirements: -Technical architects who can understand the CSP and build solutions using their services -Provider liaisons tasked with managing, dealing with, auditing, and monitoring providers -Operations personnel tasked with operating the private cloud for faults and governing usage (e.g. showback)

Public Cloud Strategy Also Requires a Mind-Set Change Procurer and manager of external services -Determine provider capabilities and viability -Maintain a stable of providers to meet internal customer requirements, capacity overflow, scalability -Monitor, manage, audit, review providers -Deal with provider outages and hold them accountable -Aggregation of cloud services (e.g. billing, SSO)

What About the Hybrid Cloud?

External cloud Internal cloud Critical svcs. What is a Hybrid Cloud?

Hybrid Cloud is an Integration of all Three Groups IT organization acting as a provider and broker Internal cloud Public cloud Hybrid cloud

Hybrid Clouds Require Mind-Set Change Think of IT services as fungible, interoperable, utility Rethink where applications, application services, and data must be hosted -Privacy, confidentiality, and performance concerns Press upon vendors for software license mobility Future disaster recovery and data center migration plan

What About Legacy Systems?

IT Organization: Traditional IT Group Purpose: -Maintain the existing architecture to host applications that cannot be moved to a cloud environment Personnel and skill set requirements: -Operations personnel tasked with keeping the traditional IT environment operational -Migration architects and specialists tasked with devising a migration plan for critical applications to the private or public cloud -Point and go approach: From this point forward, cloud is the primary hosting location for new apps

What about my career? If we move to cloud computing, will I have a job?

Bottom Line and Recommendations

Bottom Line Hybrid IT is the new IT model for the cloud-enabled era. To protect and to serve -Leverages public cloud for agility -Builds private cloud for risk management -Bridges with hybrid cloud for scalability Hybrid IT requires a different mind-set -Service-oriented approach Hybrid IT requires different organizational structure -IT service broker -Private cloud operations -Public cloud management

Recommendations Commit today to a hybrid IT strategy, reorganize and reposition the IT organization as the IT services broker Build the internal cloud for critical apps Utilize the public cloud for business agility Prepare and bridge the private and public clouds using the hybrid cloud for scalability

Related Gartner Research  2012 Cloud Computing Planning Guide: The Shift to Hybrid IT Drue Reeves (G )  Building a Viable Cloud Adoption Strategy: Success By Design Drue Reeves (G )  Developing a Cloud Computing Security Strategy Dan Blum (G )  The Future of IT Work Jack Santos (G )  Migrating Applications to the Cloud: Rehost, Refactor, Revise, Rebuild, or Replace? Richard Watson (G ) For more information, stop by Gartner Solution Central or us at