Asset Management And CMDB Systems Lessons Learned in Accelerating Time to Value • Dennis Drogseth • Vice President • Enterprise Management Associates • email@example.com • www.emausa.com Abstract • While many IT organizations have already committed to implementing configuration management database (CMDB) systems, the industry at large is still struggling to find appropriate strategies to accelerate time to value. This presentation looks at real world experiences in CMDB system deployments with a focus on asset management and provides some practical guidelines on how to accelerate and assess time to value. Agenda • Next Generation Asset Management • The changing face of CMDB adoption -- the search for value • ITIL’ v3’s CMS, SKMS and the Lifecycle Service Management • EMA’s CMDB System and its roots • EMA’s two CMDBs • The drive towards constituencies -- asset Management • Politics and metrics -- demonstrating value • Factors for success/ lessons learned • Conclusion Slide 3 © 2008 Enterprise Management Associates, Inc. Traditional Asset Management Is Changing • IT management is evolving • • • IT service management, ITIL IT as a value-adding partner rather than cost center Visible business results and accountability • Next Generation Asset Management (NGAM) is emerging Slide 4 • The IT service becomes the “ultimate” IT asset and traditional IT assets map to IT services • • • Cost and value of services is tracked and managed No longer just an asset lifecycle from procurement to retirement “Convergence” of IT asset, IT service and IT financial management © 2008 Enterprise Management Associates, Inc. Managing Services And Assets Together Asset Management Dynamics 1% Asset management and service planning are managed separately 29% 37% Asset management and service planning are managed together Asset management and service planning are managed separately today but w ill be managed together in the future Other (Please specify) 34% Sample Size = 290 Slide 5 © 2008 Enterprise Management Associates, Inc. Next Generation Asset Management Next Generation Asset Management Asset IT Financial Managemen Management t Service Management Change/ Config Mgmt Service Catalog Service Desk Slide 6 CMDB System Capacity Planning © 2008 Enterprise Management Associates, Inc. Where Is Asset Data Stored? Storage System(s) for Asset Data Centralized DB 51% Spreadsheets 37% Asset management product from a vendor 33% Local DB 30% CMDB 27% Outsourced service 14% Paper 14% Other (Please describe) 3% 0% 10% 20% 30% 40% Sample Size = 290, Valid Cases = 290 Slide 7 % Valid Cases (Mentions / Valid Cases) 50% 60% © 2008 Enterprise Management Associates, Inc. THE CMDB TITLE WAVE Q17_1 How long has your CMDB initiative been underway? 12% Less than six months 31% Six months to under 1 year 30% 1 year to under 2 years 17% 2 years to under 3 years 9% More than 3 years 1% Don’t know 0% 5% 10% 15% 20% 25% 30% 35% % Frequency Sample Size = 174; Responses not shown received 1% or less Slide 9 © 2008 Enterprise Management Associates, Inc. Financial Services And Healthcare Tend To Lead The Adoption Curve Which of the following best describes your company's current status for implementing a CMDB to store your configuration information? 8% We have already implemented a CMDB 37% 14% We are in the process of implementing a CMDB 30% 24% 22% We are planning to implement a CMDB in the next 12 months We are planning to implement a CMDB, but not in the next 12 months 25% 11% We have no plans to implement a CMDB 29% 0 0 0.05 0.1 0.15 0.2 2008 Slide 10 0.25 0.3 0.35 0.4 2006 © 2008 Enterprise Management Associates, Inc. Q24_1 Which of the following best characterizes your current CMDB System budget status? Our system budget… 59% Has grown Is being redirected to support more urgent nonCMDB-related initiatives 16% 13% Has diminished 9% Other (Please specify) Is being redirected to support new investments such as application dependency mapping, or 5% 0% 10% 20% 30% 40% 50% 60% 70% % Frequency Sample Size = 174 Slide 11 © 2008 Enterprise Management Associates, Inc. ITIL V3 Configuration Management • Service Asset and Configuration Management Process (SACM) • Configuration Management combined with elements of Financial Management • CMDB • Now includes multiple CMDBs connected to a single integrated CMDB system • Configuration Item (CI) • Now Service Asset • Configuration Management System (CMS) • “Container” for CIs, management data repositories, CMDBs, and the activities and processes for managing • Service Knowledge Management System (SKMS) • • Slide 12 Includes the CMS Represents perhaps the most exciting advancement in ITIL V3 © 2008 Enterprise Management Associates, Inc. SKMS Architecture • The primary purpose of the SKMS is to improve efficiency by reducing the need to rediscover knowledge • SKMS is responsible for gathering, analyzing, storing, and sharing all types of knowledge and information within an organization Slide 13 Decisions Service Knowledge Management System Configuration Management System Core CMDB Citizen CMDB Trusted Source Citizen CMDB Trusted Source Trusted Source © 2008 Enterprise Management Associates, Inc. EMA’S TWO CMDBS The CMDB’s Two Parents Slide 15 © 2008 Enterprise Management Associates, Inc. Managing By The Fossil Record Slide 16 © 2007 Enterprise Management Associates, Inc. Management By Design Slide 17 © 2007 Enterprise Management Associates, Inc. The CMDB System Landscape, Today And Tomorrow CMDB Evolution IT & Customer Owners Systems Performance Application Development Service Impact Analysis Events DSL “Process-Centric” CMDB Change Impact Management App Dependency Configuration Mapping Slide 18 Asset Inventory CAB CACHE Real-Time CMDB Service Impact Management Infrastructure Utilization Infra. Topology QoE Flow Consumption © 2008 Enterprise Management Associates, Inc. ASSET MANAGEMENT AND CMDB CONSTITUENCIES Q31_1 When considering how CMDB software is packaged or sold, please rate your preference for each of the following packaging options for core functional areas. 33% Integrated into a service desk solution Integrated with asset management and asset planning capabilities 29% Integrated with release management (device configuration) capabilities 26% Integrated with lifecycle service management capabilities 26% Integrated with security, governance, compliance and risk management capabilities 25% 0% 5% 10% 15% 20% 25% 30% 35% Sample Size = 174 ; Top Box Reported = On a 5 point scale, those who said: Strongly Preferred Slide 20 © 2008 Enterprise Management Associates, Inc. Asset Management Drivers in 2008 • “We were getting burned badly by changes that had unknown and unintended consequences. We’d bring a ‘human CMDB’ into the room and they’d try to resolve the issues. But too often we got it wrong, or the person who knew the answer was on vacation.” • “One of the drivers was a “pre-existing asset database -- we wanted to expand it and evolve it to capture relationships.” • “The initial driver for this CMDB initiative was PC asset management – including PC hardware and software.” Source: Enterprise Management Associates Slide 21 © 2008 Enterprise Management Associates, Inc. Asset Management As A First Phase Goal IT & Customer Owners Systems Performance Application Development Service Impact Analysis Events DSL “Process-Centric” CMDB Change Impact Management App Dependency Configuration Mapping Slide 22 Asset Inventory CAB CACHE Real-Time CMDB Service Impact Management Infrastructure Utilization Infra. Topology QoE Flow Consumption © 2008 Enterprise Management Associates, Inc. CMDBs Critical For Asset Management CMDB Linkages to Asset Management 50% Inventory and discovery Mapping assets to operational ow ners 39% Introduction of new assets 39% Mapping assets to custom ers 38% Retirem ent of old assets 37% Life cycle asset m anagem ent over all 37% 35% Mapping assets to applications specifically 33% Mapping assets to services 29% Our CMDB is not linked Mapping assets to security or operational risk exposures Cross-dom ain collaboration in supporting m ore strategic asset m anagem ent and planning 27% 16% Other (Please specify) 3% 0% Sample Size = 290, Valid Cases = 147 Slide 23 10% 20% 30% 40% 50% % Valid Cases (Mentions / Valid Cases) 60% © 2008 Enterprise Management Associates, Inc. THE POLITICS OF MAKING IT ALL HAPPEN Q18_1 What organization owns the CMDB mission and strategy? IT Operations overall 45% Service Management 13% Strategy and Architecture 13% Change Management 8% Data Center 6% New cross-domain organization 3% Network Operations 3% Inventory and Asset Management 3% Service Desk or Help Desk 2% Other (Please specify) 2% 0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50% % Frequency Sample Size = 174 Slide 25 © 2008 Enterprise Management Associates, Inc. Q21_1 What’s your specific role in the CMDB project? Select all that apply. Stakeholder in the project 51% Provide overall process guidance 50% Manage/oversee the overall project 48% Provide overall architectural direction 38% Internal consultant 30% Outside consultant 8% Other (Please specify) 3% 0% Sample Size = 174, Valid Cases = 174 Slide 26 10% 20% 30% 40% 50% 60% % Valid Cases (Mentions / Valid Cases) © 2008 Enterprise Management Associates, Inc. Communication And Cultural Change • “You can only inflict so much change upon an organization. Developing a true CMDB System is a pretty revolutionary thing for people to own up to.” • “I put out a straw man and used that to start to learn about the environment and asked all the people across IT and Operations to tell me what they were doing, what they were doing manually and how they were using tools and what tools. I asked them what they would like the CMDB to do for them – how would they like it to change their lives? And that’s how I built up investment in the project and refined the design.” Slide 27 © 2007 Enterprise Management Associates, Inc. A Failure To Communicate • Information is political • Sharing information is also therefore political Slide 28 © 2008 Enterprise Management Associates, Inc. METRICS TO SHOW VALUE Q39_1 Do you have any defined metrics that you are currently using or plan to use that are directed at monitoring and publishing the growth of your CMDB System and/or its business impact? 47% No Yes 44% Don’t know 9% 0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50% % Frequency Sample Size = 174 Slide 30 © 2008 Enterprise Management Associates, Inc. One Set Of Metrics “Currently there are about ten different Key Performance Indicators (KPIs) mostly focused around cost, reliability and accuracy in populating the information in the CMDB. Some of the specific examples are: Slide 31 • Increase of CIs managed by change -percent increase • Decrease in application CI’s audited manually • • Percentage of CIs auto discovered • Percent reduction of cost of maintaining CIs in CMDB -- monthly • Number of employees owning -- CIs” Percent reduction of CIs missing from CMDB © 2008 Enterprise Management Associates, Inc. Q45_1 Which of the following metrics relevant to CMDB support for asset management does your company measure or plan to measure? Cost savings from SW/licensing agreements in terms unneeded licenses 66% Reduction in operational costs for integrating and retiring new assets 62% Savings on superfluous devices on license, support and maintenance costs (devices that no longer exist or need to be supported) 57% Cost savings from SW/licensing agreements in terms of compliance penalties 41% 3% Other (Please specify) 0% 10% 20% 30% 40% 50% 60% 70% % Valid Cases (Mentions / Valid Cases) Sample Size = 174, Valid Cases = 76 Slide 32 © 2008 Enterprise Management Associates, Inc. Retroactive ROI For An Asset Audit • Two surveys -- audits on owners, devices and resident software including application dependencies • One for $5 million and the other for $10 million for a total of $15 million • “The project managers on the one for $10 million had given me estimates that at least 40% of our costs could have been avoided if we had an operational CMDB. I would estimate that at least 75% of the second survey’s costs could have been avoided with a CMDB, so that would total $7.5M in savings. • “Once the CMDB is in place, there is simply no need to run the surveys, the data would be available through simple reports.” Slide 33 © 2008 Enterprise Management Associates, Inc. Wall of Metrics -- False Insights On Real Assets • Large banking customer • Implemented management dashboard • • • No underlying reconciled data No CMDB No automation processes • Extensively used • • Software/hardware purchases Employee bonuses • Wall of metrics was worse than no data -- it was bad data! • Slide 34 Commonly seen in scorecards and Service Level Agreements ©2008 Enterprise Management Associates Q48_1 What are the top two (2) process and organizational factors that contributed to the success of your CMDB initiative to date? Please rank the top 2, where 1 is the greatest contributing factor. 1.39 Executive commitment in terms of leadership and vision Budget, money, solidly in place 1.44 Good metrics 1.46 Good detailed requirements 1.48 Good communication across IT 1.48 Enthusiastic stakeholders 1.55 Process (best practices) education 1.56 Solid project planning 1.58 1.74 Good outside strategic consulting 0 0.25 0.5 0.75 1 1.25 1.5 1.75 2 Mean Sample Size = 19 Slide 35 © 2008 Enterprise Management Associates, Inc. Lessons Learned • “If you wait for all the information to be 100% perfect and complete you’ll never get started. You have to flesh out the project as you go along.” • “If I were to start all over, I would have started with more thorough ITIL training instead of doing the reading as we went along.” • “Get management buy in. That can make such a huge difference. If you don’t get the funding you can’t make it happen.” • “I would have done a lot more advertizing up front. We started bringing in vendors without communicating what we were doing very well and it threw a lot of people off guard. They really didn’t understand what was going on, and since then I’ve found myself having to explain the same thing over and over.” Slide 36 © 2008 Enterprise Management Associates, Inc. Lessons Learned (Continued) • “We would recommend that you have more than one source for your data, and if possible combine some form of manual and automated discovery. Whatever you should do, you should take the time to find out what you’ve got.” • “We clearly underestimated the complexity of our infrastructure and should have applied more people to that task.” • “I think the biggest thing I’d recommend would be to start small, and get quick wins. I think it’s very important to achieve some early success and get some quick wins under your belt.” • “We should have started this CMDB initiative sooner -- I wish we could have started it years ago.” Slide 37 © 2008 Enterprise Management Associates, Inc. Conclusion -- Key Takeaways • Next Generation Asset Management requires a CMDB System • CMDB Systems are still early in the evolutionary curve • As per ITIL v 3’s notion of the CMS, CMDB Systems are not a “thing” but a landscape for working together differently • Asset management is one of the core drivers for CMDB adoption • Sharing information is 40% technical, 60% political • Metrics, ROI and time to value can be dramatic, but are similarly in the early stages • Recommendations -- start small, focused, with executive buy in and pay attention to process Slide 38 © 2008 Enterprise Management Associates, Inc. Thank you for attending today’s presentation. April 13, 2015 © 2008 Enterprise Management Associates, Inc.