Cisco IT Infrastructure Transformation Making Fast IT Real John Manville SVP, Cisco IT – Global Infrastructure Services February 11, 2016 ©2015 Cisco and/or its affiliates. All rights reserved. Cisco Public 1 AGENDA Challenges Facing IT Running IT as a Business Accelerating Digital Business with Fast(er) IT Managing Total Cost of Ownership (TCO) Organisation Transformation © 2015 Cisco Ciscoand/or and/orits itsaffiliates. affiliates.All Allrights rightsreserved. reserved. Cisco CiscoPublic Confidential ©2015 2 IT Issues and Opportunities What the business is asking us… Why does IT cost so much? Is my customer’s data at risk? Why do you take so long to deploy my new applications? How can you make the user experience simpler? What we’re asking ourselves… How can we make our network and infrastructure more agile and efficient? How do we control costs and improve productivity? How do we take advantage of cloud technology and services? How and where can we innovate more? ©2015 Cisco and/or its affiliates. All rights reserved. Cisco Public 3 Infrastructure Challenges Application and Service Migration Operational Excellence Speed of Delivery Total Cost of Ownership End-User Experience Security And Compliance ©2015 Cisco and/or its affiliates. All rights reserved. Cisco Public 4 Running IT as a Business Be Simpler, Smarter, Faster ©2015 Cisco and/or its affiliates. All rights reserved. Cisco Public 5 Running IT as a Business Technology, Process, and People Accountability Checkpoints Organisational Health Services Review ServicesOriented Everything Architectural Reviews Strategic Investment Planning ©2015 Cisco and/or its affiliates. All rights reserved. Cisco Public 6 Where Cisco Infrastructure Spends Money Running the Business Network Services 2% 1% Outside Services Data Centre Storage 4% 6% 3% Database Services/Middleware Svcs 5% Headcount 22% 11% 28% Engineering Cloud Services 7% Data Centre Computing and CITEIS 7% Telecom 12% UC and Video (Platform/Services) 8% 14% 10% Data Centre Network 12% By Service Data Centre Facilities Operating Services Product Development Services 20% Depreciation 12% Equipment/Leases 18% WPR Facilities By Expense Software Collaboration Platforms Product Lifecycle Management Svcs ©2015 Cisco and/or its affiliates. All rights reserved. Cisco Public 7 Accelerating Digital Business with Fast(er) IT The Need for Speed, Agility, and Scale ©2015 Cisco and/or its affiliates. All rights reserved. Cisco Public 8 What Fast(er) IT Means for Infrastructure Continuous delivery process Focus on asset utilisation Understand and lower TCO by service Innovation in the WAN Pervasive security with regular reviews Organisational changes, new skillsets Application Centric Infrastructure (ACI) Virtual Acceleration Teams Automated self-service for application teams Fast(er) IT mindset change management Automated testing and certification of code Robust feedback and input to product BUs ©2015 Cisco and/or its affiliates. All rights reserved. Cisco Public 9 Continuous Delivery Application Delivery – Digitised Progression Deploy and Release Total Savings 7.5% 4.75% 2.5% 32% 9% 16% 10% Plan Develop and Build Regression 6% 11.25% 20% 45% of SDL* of SDL of SDL of SDL of SDL SDaaS – Software Delivery as a Service * Software Delivery Lifecycle ©2015 Cisco and/or its affiliates. All rights reserved. Cisco Public 10 Cisco’s Internal Cloud Fabric Enabled Data Centre with ACI Cisco ONE Enterprise Cloud Suite ACI 80% Self-Service Service Catalogue Jim Orchestration ACI ACI ACI ACI ACI ACI Application Developer 20% 10% 10% Jane Storage Compute Infrastructure Solutions Architect Platform as a Service Proof of Concept Security ©2015 Cisco and/or its affiliates. All rights reserved. Cisco Public 11 Managing Total Cost of Ownership (TCO) ©2015 Cisco and/or its affiliates. All rights reserved. Cisco Public 12 TCO Reduction Our RtB must be reduced by 5% every year...How are we doing this? • • • • • • Automation, Self-Service OpenSource Technologies New Technology Implementation New WAN Technologies (e.g., iWAN, Ethernet Terminations, etc.) Cloud – Private and Public Asset Utilisation (Storage, Compute, Containers, etc.) ©2015 Cisco and/or its affiliates. All rights reserved. Cisco Public 13 TCO Benefits for Network Data Centre Transformation - 33% Q2 2012 Circa 2009 Legacy bare metalbased data centre Virtualisation and unified compute and network provisioning - 37% - 39% Q2/Q3 2016 Q2 2014 Cisco orchestration technology automates provisioning of 80% of infrastructure environment Cisco Prime service catalog enables self-service provisioning of infrastructure to internal customers Combined benefits of end-to-end data centre provisioning, management and policy implementation Increase in data centre asset utilisation due to location flexibility Operational Simplicity and Increased Security Capability ©2015 Cisco and/or its affiliates. All rights reserved. Cisco Public 14 Cisco IT Projected Benefits with ACI Lower Operating Cost Resource Optimisation Greater Business Agility Lower Capital Expenses Reduced Costs / Complexity 58% 25% 21% 45% 10-20% Reduce Network Provisioning Reduce CAPEX Reduce Management Costs Reduce Power and Cooling Costs Optimise Compute and Storage ©2015 Cisco and/or its affiliates. All rights reserved. Cisco Public 15 Organisation Transformation ©2015 Cisco and/or its affiliates. All rights reserved. Cisco Public 16 Compute Storage Security Network Architecture Design Implementation Operations Network Unified Communications / Video Infrastructure as a Service ©2015 Cisco and/or its affiliates. All rights reserved. Cisco Public Virtual Service Teams Cisco Infrastructure Team Journey 17 Current Infrastructure Organisation Built for Fast(er) IT Head of Infrastructure Continuous Delivery ACI and IoE Services Cross-Service Functions Large Programs Business Strategy and Security Automation Software Development Architecture and Design Implementation and Operations Data Centre Service Network Service Unified Communications and Video Service Virtual Acceleration Teams ©2015 Cisco and/or its affiliates. All rights reserved. Cisco Public 18 Executive Panel Discussion Moderator John Manville Senior Vice President Global Infrastructure Services Dr. Koen Bastiaens Senior Director Cloud and Network Services Dr. Alison Vincent Chief Technology Officer Cisco UKI Frank D’Agostino Lance Perry Guillermo Diaz Jr. Chief Technology Officer Senior Vice President and Vice President INSBU Technical IT Customer Strategy Chief Information Officer Marketing and Success Thank you.