<Insert Picture Here> Oracle Global IT Data Center Operations and Management Best Practices Bill Weils, Global IT Senior Director November 2007 How Did We Get to Where We Are Today • • • • • • • • • • Our Goal Accomplishments Corporate Business Challenge Our Strategy - Oracle Grid Architecture Standardization and Consolidation Austin Data Center Overview Physical Security Automation (Operational Capability) Industry Best Practice Frameworks Questions Our Goal “Oracle Global IT strives to operate a world-class data center to support operations for 68,000+ Oracle employees and 500+ On Demand customers.” Accomplishments Operational Excellence & Achievements Receive “Data Center of the Year Award” Manage with Oracle Enterprise Manager 10g Process and Technology stack tested first on internal Oracle business (“Oracle at Oracle!”) Execute Tier 4 installation globally Automate as many processes as possible for repeatability, scalability, and manageability EPA “Green Company Award” 2005 Become Oracle Grid & Network Attached Storage expert • 8000+ Processors in Grid architecture with RAC* • Network Appliance - 2.8 Petabytes of storage* Data Center Award of the Year *data as of 28th April 2005 The Corporate Business Challenge • • • • • • • Reduce organization and infrastructure complexity Reduce and effectively manage the IT budget Increase systems availability and reliability Improve overall asset utilization Improve overall ease of services deployment Simplify and standardize processes and procedures Effectively scale to meet growing business needs The Oracle IT Dilemma Organization Systems & Applications • • • • • Regionalized Staff • Specialized Service Areas • “Decision by Debate” Model Specialized (Custom) Apps Dedicated Server Farms Server Farms/LOB Server Farms/Geography Finances • Inefficient • Wasteful Practices • Standardization: • Common Practices: • Knowledge Sharing: Low Low Low Our Strategy Oracle Grid Architecture 1. Standardize • • • 2. Consolidate • • • 3. Manage from one central location Leverage sharing of resources Improve uptime (load balance & failover) Automate • • • 4. Eliminate human error Consistent security Repeatable, Repeatable, Repeatable Virtualize • • • 5. Low-cost components Repeatable and reusable process and procedures Improved Systems/Applications deployment and implementation Increased system utilization Flexibility to re-purpose assets Flexibility to meet usage “spiking” Find World Class Partners Who Share the Vision and Can Deliver on the Principles Our Strategy Global Data Center Standardization and Consolidation Our Strategy - NT Server Elimination Global Data Center Standardization and Consolidation Function End 1999 2003 2004 2005 NT Servers 1789 800 <200 <50 Employees 43,000 42,000 41,000 50,000+ 400 200 75 <50 NT Support Staff • NT DHCP Global DHCP (join) • NT printing Direct IP printing • NT file sharing Collab Suite (OFO) • NT local disk backup Collab Suite File Sync • NT software distribution Collaboration Suite Financial Impact Results $12M in ERP annual savings $18M in CRM annual savings $11M in e-mail annual savings $60M in desktop simplification annual savings $13M in annual maintenance reductions $100M in annual operating expense IT Spending Trends • $500M in FY1999 • $334M in FY2000 • $269M in FY2001 600 • $255M in FY2002 500 • $248M in FY2003 400 • $222M in FY2004 300 • $257M in FY2005* * Increase due to PSFT 200 M&A expenses 100 • $291M in FY2006 0 • $313M in FY2007 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 • $335M in FY2008 IT Spending Trends Percentage Saved IT Strategic Initiative Savings - Oracle 60.00% 50.00% 40.00% 30.00% 20.00% 10.00% 0.00% 2000 2001 2002 2003 2004 2005 Fiscal Year ** Oracle Acquisition Strategy – Start Point – 2004 2006 2007 2008 Oracle Global IT Today Organization • Globally Focused • Leveraged Expertise • Corporate Directed Model Systems & Applications • Grid Infrastructure • Standard Technology • Standard Applications • Global Single Instance • Centrally Managed Practices • Standardization: • Common Practices: • Knowledge Sharing: Finances • < 35% of 1999 Budget • Highly Leveraged • Leading the Business High High High Data Center Overview Tier 4 and Tier 2 Data Centers • Tier 4: Austin, TX • Tier 2: Colorado Springs, CO Austin Data Center • Primary data center for 68,000+ Oracle employees; on 82,000 SF of raised floor space • 22,000+ servers and 9.5+ PB storage • Adding 100+ servers/week • Hosts 500+ customers’ missioncritical apps • World’s largest Oracle application production environment supporting 1.7 Million+ users worldwide Actual Physical/Infrastructure Specifications • 82,000 Sq Feet Raised Floor • 2280 19-inch Racks • Primary Power Supply: Dual Power Active Power Feeds • Six 600-ton Chillers • Water Storage: 50,000 Gallons • Backup Diesel Generators: 7-2 MW Cat Gen sets • Fuel Storage: 80,000 Gallons • Up to 170 Watts/Sq Feet to Raised Floor • Uninterruptible Power Supply: Fully redundant, 7.5 MW Physical Security • • • • • • • • • 24x7 armed security Guards Biometrics & retina scanner X-ray, metal detectors CCTV system for automatic camera call up: interior & exterior Digital video recording systems Global anti-passback (in/out) card readers • Single point of access via Mantrap Weight and dual biometric verification system Building perimeter: • Guard Gate • Armed Security Protection Unit • Protected with Electronic Intrusion Detection Systems • Glass protected by “BlastGARD” window film Employee background checks <Insert Picture Here> Our Strategy: Automation (Operational Capability) Our Strategy - Oracle Grid Architecture Leveraging Grid to Improve IT Capability 1. Standardize • • • 2. Low-cost components Repeatable and reusable process and procedures Improved Systems/Applications deployment and implementation Consolidate • • • 3. Manage from one central location Leverage sharing of resources Improve uptime (load balance & failover) Automate • • • 4. Eliminate human error Consistent security Repeatable, Repeatable, Repeatable Virtualize • • • Increased system utilization Flexibility to re-purpose assets Flexibility to meet usage “spiking” Operational Capability Availability & Security Management Availability Management • 7x24x365 Availability Management: Oracle provides a process to manage the availability of the applications, database, systems and hardware. • Disaster Management: Oracle delivers a process to recover from a disaster in a predictable time with applications and data synchronized. Security Management • Security Patch Management: Oracle has a process to guarantee that from the time a security patch is available from R&D it is applied to the production systems in a known period of time. • Audit Management: Oracle delivers a process to insure that an independent audit is performed at least once a year. Operational Capability Problem & Performance Management Problem Management • • Escalation Management: Oracle provides a process to escalate problems to resolution. Proactive Problem Management: Oracle provides a process to take high priority fixes from the development team and apply them in a predictable amount of time. Performance Management • • Capacity Management: Oracle provides a process to insure, on a periodic basis, there are adequate hardware and software resources to deliver a specified level of application performance. Resource Management: Oracle has a process to add and shed infrastructure (computers & people) as load increases and decreases. <Insert Picture Here> Industry Best Practice Considerations Software Industry Future Software as a Service (SaaS) • Managed and maintained to industry standards • Certified configurations with integration throughout the entire technology stack • Third party applications part of certified configurations • Defined solid Change Control Policies • Created solid Configuration Management • Dedicated Oracle experts available 24/7 by 365 to resolve and proactively identify service interruptions Processes and Controls “Organized Common Sense” -Bill Smith, 1989 Quality Management • TQM, Six Sigma, Deming, International Standards (ISO) Process Development and Refinement • ITIL/ASL, CMM/CMMI, SCOR Governance • COBIT Audit SAS 70 Type II Audit • 2 times a year Dedicated Internal Audit Global Information Security Audits Customer Penetration Tests Sarbanes-Oxley Compliance & Q U E S T I O N S A N S W E R S