The Hub Injazat Data Systems’ official newsletter – Issue 09 Managed services: A step in the right direction In this issue: analyst view: Managed Service Market Overview: UAE UPDATE: All the latest Injazat news and event updates CEO Message T echnology has become an important driver of business efficiency, competitiveness and growth over the past decades. In their quest to acquire the latest know-how, many enterprises have found themselves spending more time and money trying to balance the act between maintaining business operations while provisioning strategic growth opportunities. Over the years, managed IT services have steadily emerged as the solution for enterprises struggling to strike an equilibrium between the optimal use of their IT resources and sustaining their business focus. Injazat incorporates a unique model that provides a unified and integrated view of various service elements enabling services to be aligned with overall business objectives. In addition, our innovative offerings such as enterprise cloud computing, applications and pioneering facilities such as the Middle East’s first Tier IV design-certified data center, deliver nextgeneration managed IT services. Cloud computing is a particularly potent tool for advancing our managed IT service agenda, therefore we actively participate in vital discussions on this empowering field such us our collaboration with the New York University Abu Dhabi (NYUAD) Institute and Polytechnic Institute of New York University (NYU-Poly) to exchange ideas on data center and cloud computing technologies. We also believe that our capabilities should benefit the community as well. This is why we signed up to provide technical support for EWA’A Shelters, a non-profit organization providing assistance and care for women and children victims of human trafficking. We aim to tap technology to improve people’s lives and support social development. This issue of “The Hub” is aimed at helping organizations implement a ‘perfect fit’ managed services model. Ibrahim Mohamed Lari CEO Injazat Data Systems 02 03 06 07 03 07 CEO MESSAGE FEATURE analyst view NEWS AND EVENTS UPDATES 10 For all inquiries, please contact marketing@injazat.com 2 THE HUB About us • Injazat Data Systems is an industry recognized market leader in the region for Information Technology, Data Center and Managed Services • The Injazat Data Center is both Tier IV design and ISO 27001 certified; a distinction that differentiates it as one of the unique facilities in the region. Our services • Enterprise Cloud Services Injazat supports your business with pay-as-you-go approach without any upfront capital investment, delivered from world class Tier IV data center. • IT Outsourcing We provide IT managed services to help clients build and manage a highly available IT platform that meets their business needs. • Enterprise Application Services We plan, develop, integrate and manage clients Enterprise Applications, custom applications, packed software and industry specific solutions. • BPO Our portfolio of BPO, consulting solutions, and project management will help you drive revenue growth and maximize operational and organizational efficiency. • Tier IV Data Center Services Injazat Tier IV, design certified Data Center combines state-ofthe-art redundant systems with an integrated facility management infrastructure. • Training and Development The Injazat institute aims to enhance the competency of the UAE’s professionals and improve their ability to support their organizations. • Injazat Defense Services Injazat Defense provides wide range of business, consultancy and technology-related services to the Defense sector. Feature Managed services – a step in the right direction CIOs can look to balance shrinking budgets and lack of technical skills with the need for strategic innovation by adopting the right managed services model to maximize value. W ith an exponential increase in competition across the global market and the subsequent economic recession, businesses and their CIOs are faced with the challenge of balancing ever shrinking budgets with the ability to provision clients with innovative products and services. Such demands have resulted in an increased focus from CIOs on their day to day operating costs and how these can be rationalized and the funds reallocated towards business centric strategic IT. As 3 THE HUB a result, many companies are looking towards outsourcing and managed services as a key enabler to achieve their IT strategy. Over the last five years, the demand for IT outsourcing and managed services has grown exponentially. Managed services, the practice of Feature outsourcing a company’s IT operations, can take many forms from a strategic total outsourcing of all IT functions to a selective outsourcing of targeted capabilities or services based on unique business needs. Typically these services may include business as usual activities such as: • 24 by 7 monitoring of infrastructure and applications • Predictive and proactive systems management • Resolution of and fulfillment of IT incidents and requests • Infrastructure hosting (Data Center) • Help desk support for end users • Enterprise management tools and processes Through an appropriate IT outsourcing strategy, companies are often able to realize their business objectives while improving their overall performance Key Benefits of managed services: • Managed services reduce costs, such as traditional service fees, hardware, and IT Operations • Increase efficiency, levels of support and service availability without additional staffing • Regulate IT budgets and make it more predictable so it can be modeled for short and longer term needs • Provide access to latest technologies with limited risk • Provide access to an enhanced flexible skill base • Increase visibility, transparency and accountability for service performance • Easier adaptation to changing business conditions • Enable clients to focus on core services levels, efficiency and reliability of its IT services. Managed services providers bring proven experience, resource expertise, processes and enterprise class tooling to bear to deliver the required levels of service to meet the explicit needs of the client’s business at a substantially lower 4 THE HUB cost to in house IT through its ability to leverage services, resource and assets across all its clients. This redirection of the clients IT organization and budget is to focus more on strategic direction and initiatives. Under a managed services agreement the provider takes full accountability for the delivery of the service to specified service levels aligned to client business needs and budget. The driver of the relationship is based on output - delivering the required service level for an agreed price, an accountable and measurable method of delivering and receiving managed IT services. In the event that their obligations with regards to levels or quality of service are not met, the service provider will in many cases be subject to financial penalties. This is in contract to an in house or staff augmentation model where the full accountability for the level and quality of service remains with the client and the supplier ’s responsibility is limited to the provision of suitably skilled resource and input driven model. Managed services can be provisioned under a number of models combining onsite or offsite resources and in some instances out of region resources to optimize the cost delivery and to provide 24 by 7 support services most effectively and efficiently. These services may also be provided using shared infrastructure to multiple clients where the provider, in addition to their operational obligations, are also responsible for the ownership and maintenance of the underlying systems, tools or hosting environment, thereby eliminating the need for significant capital investments by the client. This also provides for a more flexible model that allows clients to benefit from new technology advancements or changing business demand without the need for significant oversizing or capital investment. An industry survey conducted by Pyramid Research found that up to 60% of companies already use some form of managed services and have been doing so for the past one to four years, with plans to extend its adoption of this model. The European and U.S. markets over the last decade have seen the greatest uptake of managed services, driven by increased global market competition and the global economic downturn. More recently, emerging markets such as those in the in Middle East, Africa and Latin America also have looked to exploit the benefits of outsourcing and managed services model and are looking towards key managed service providers to enhance the quality of their operations and support them in the realization of their strategic plans and development. 5 THE HUB Delivery models explained Leveraged services Leveraged or shared services provide the optimal method for both the client and the provider to clearly define accountability while provisioning measurability. A model built on shared resources, processes and technology, this model allows for most effective blend of skills, experience, and capability to efficiently and optimally deliver the required services to a client. This model relies on client’s willingness to adopt the provider’s standards, services, service levels and processes, typically based on globally accepted standards of best practices and quality. This allows client IT organization to focus on requirements rather than execution, instill enhanced control through service levels and report metrics and adopt more scalable and flexible pricing models to meet their needs based on demonstrable performance. In some cases, however, either due to a perceived loss of control by the client or a unique business need, this model may not necessarily be considered applicable and a hybrid or dedicated approach maybe more applicable. Hybrid The most common approach to date within the Gulf marketplace is to apply a combination of the two models to achieve an optimal mix of control, flexibility and cost efficiency aligned to the client’s unique business requirements. This is often achieved by targeting particular capabilities, for example service desk, end user support, for adoption of the leveraged model and its associated tools, processes, and efficiencies, rather than a wholesale outsource of all operations to a specific partner. Dedicated In some circumstances there may be a need for dedicated staff. One in which the supplier is simply providing resources of a predefined skill who will typically be managed and directed by the client IT organization. This is typically the most costly approach in the long term but can have its benefits in the short term in terms of rapid access to specific capability and ease of contracting. Analyst View Managed Service Market Overview: UAE Research firm, IDC has been tracking the growth of managed and hosted services in the UAE for a number of years and reports that both service lines have shown robust growth. With respect to managed services, the UAE has witnessed significant growth, particularly over the last two to three years. According to analysts, this has been driven by two factors, Firstly, organizations have started to become more comfortable with outsourcing the management of specific elements of their ICT environments to managed services providers and secondly, the last few years have seen a number of providers expand their managed services portfolio. The market for managed services (both infrastructure and applications) grew 12.9% in 2011 and is expected to grow 13.6% in 2012 as organizations become more familiar with these services and their benefits, IDC predicted. “Similarly, the adoption of hosting services (both infrastructure and applications) has also witnessed strong growth in the UAE. In recent years there have been a number of new third party data centers coming to market, and this has encouraged adoption of these services. Additionally, organizations in the UAE are increasingly becoming more open to hosting their infrastructure and applications in order to avoid the high capital investment and resource strain that investing in their own data centers implies. IDC believes the potential for hosting disaster recovery sites in these third party data centers is considerably high as organizations evaluate having a redundant site in the UAE. Adoption of hosting services grew by 18.2% in 2011 and is expected to show a healthy growth of 19.9% in 2012,” said Omar Saleem, IDC Middle East and Africa. According to industry research firm Frost & Sullivan, the UAE managed service market is dominated by infrastructure support and application and web hosting services. In fact, the analysts at the firm anticipate that demand for virtualization, business continuity and disaster recovery will grow faster than for the other types of managed services. Frost & Sullivan also predicts that over the span of next two to three years the issue of mobility and BYOD will receive more attention from managed service providers, while cloud services will continue to be a buzz word for the next two years. Following the initial excitement surrounding cloud services, analysts expect that due to security concerns associated with cloud technologies the UAE market will witness more interest in the private cloud domain than the public cloud. The high bandwidth cost, security concerns and infancy of outsourcing in the UAE market were listed out as some of the barriers to adoption of managed services in the region while analysts counted the consistent government spend on IT infrastructure, labor and price arbitrage in the UAE as being the primary driving forces behind the managed service market. 6 THE HUB The UAE managed service market seems to have completely recovered from the recent financial crisis, when many companies tightened their budget on IT spending. In fact, analysts believe that the crisis played an important part in shifting the focus of companies from Capex business models to Opex models. This shift in focus led companies to look out for alternative saving and efficiency models and ultimately, led them to comprehend and leverage the benefits of outsourcing operations to third party IT service providers to save on costs associated with establishing a robust infrastructure and technical skills needed to maintain a proactive IT department. As competition across the UAE managed service market continued to increase, it put pressure on service prices, making them all the more affordable and in a kind of ‘snowball effect’ the demand for managed services in the nation continues to increase. According to Frost & Sullivan, the UAE market is still dominated by domestic service providers, who enjoy a significant competitive advantage due to local deployment of their data centers and the client need to keep their data inside the country. The biggest managed service market spending verticals in the UAE were government, BFSI and telecom and media generating 54% of the market revenue, analysts said. However, the highest growth rates were in education and healthcare verticals, which over the last year expanded at 28.2% and 22.8%respectively. News & Events Updates Injazat inks 2-year IT Support Services Contract with Abu Dhabi Food Control Authority Technology expertise to support Abu Dhabi Vision 2030’s health & safety agenda Injazat has signed a two-year IT Support Services Contract with the Abu Dhabi Food Control Authority (ADFCA) to ensure that the Authority’s IT operations meet its mandate of developing a safe agriculture and food sector for the Emirate. Under the terms of the agreement, Injazat will provide ADFCA with Co-Location, Internet Hosting, Enterprise Server Management and Storage Area Network (SAN) Storage services via the Injazat Premier Data Center, the Middle East’s first Tier IV design-certified data center. Other key IT Managed Services to be implemented by Injazat for the authority include a Service Desk, Workplace Field Support and various Application Services. The deal reflects Injazat’s strong commitment to strategically supporting major government agencies in the fulfillment of Abu Dhabi’s ambitious Vision 2030 economic development plans. As one of 12 growth sectors specifically targeted under the Vision 2030 framework, Health Services is a field where Injazat intends to focus its IT expertise on further. “Our agreement with ADFCA is a landmark achievement in our efforts to channel our industry leadership to advance Abu Dhabi’s development agenda over the next two decades. We assure ADFCA of consistently high levels of service and quality befitting our status as one of the UAE’s top managed IT providers,” said Antonio Antonuccio, Chief Operating Officer, Injazat Data Systems. “Technology is a vital cog in ensuring that our services are delivered efficiently, effectively and securely. Through Injazat’s technical assistance we are confident that we will be able to enhance our technology-enabled ability to develop and implement cohesive and effective policies and regulations, uphold high quality standards, and promote broader research and awareness,” added Omar Al Neaimi, Director, IT Division, Abu Dhabi Food Control Authority. The Abu Dhabi Food Control Authority is the government body responsible 7 THE HUB for food safety and agriculture in the Emirate of Abu Dhabi, including animal health. It oversees the enforcement of rules and regulations as well as the creation of food safety awareness among the public in coordination with concerned government bodies and private sector organizations. It comprises Corporate Services, Food Safety and Livestock Health, Strategic Planning and Performance Administration, Policies and Systems, Development, Agricultural Affairs, and Veterinary Hospitals and Clinics. News & Events Updates Injazat named ‘Best Managed Service Provider of the Year’ at 2012 Network ME Awards Injazat proposes risk-managed layered security to fend off evolving enterprise threats at Security Strategist 2012 Kamran Ahsan, Head of Information Security Injazat Data Systems was hailed as the ‘Best Managed Service Provider of the Year ’ at the 8th Annual Network Middle East Innovation Awards held at the Jumeirah Zabeel Saray in Dubai. The owner and operator of the Middle East’s first Tier IV design & ISO certified data center, Injazat was recognized for its regional leadership in Information Technology, Data Center and Managed Services. Injazat draws on its local expertise and presence combined with its global technology partnership network to deliver comprehensive Infrastructure, Consulting, BPO, Applications, and Project Management solutions. Organized by Network Middle East magazine, the Innovation Awards pays tribute to the region’s best networking vendors, professionals and network implementations. During the 2012 edition 20 awards were handed out under the Implementation, Vendor, Editor ’s Choice and Networking Professional of the Year categories. Injazat was among 12 elite IT players that received top Vendor honours. 8 THE HUB Injazat advised enterprises to correctly position their Information Security Risk Management Framework (ISRM) in their business strategies and operations during the ‘Security Strategist 2012’ conference. Injazat’s Head of Information Security, Kamran Ahsan, said that businesses should adopt contextbased defenses that respond appropriately to dangers based on risk levels. He outlined Injazat’s ISRM Methodology which enforces a layered security approach that balances between threat and control and enables prudent application of preventive and detective controls at the key architectural layers. Injazat UAE Nationals complete Experiential Leadership Program for internationally recognized Cambridge Diploma Four UAE Nationals from Injazat recently concluded a successful leadership program and gained an international diploma in Applied Leadership from Cambridge Judge Business School. A total of 10 Injazat candidates have now successfully graduated from this prestigious program, which focuses on developing core skills in Executive Leadership and Management. The Injazat Institute (Ti2), a professional development initiative sponsored the Leadership Excellence Applied Diploma (LEAD) program, managed and developed by ALDAR in collaboration with Cambridge University. The participation of the Emirati Nationals is in line with Injazat’s strategy of supporting the UAE Government’s Emiratization program and providing professional development opportunities to the local workforce in line with Abu Dhabi 2030. Injazat supports sustainability advocacy of Abu Dhabi Men’s College at 8th Engineering Excellence Forum Injazat sponsored the 8th Engineering Excellence Forum held by The Higher Colleges of Technology’s Abu Dhabi Men’s College (ADMC) in support of ‘greener ’ approaches to development. Held under the theme ‘Carbon Capture and Storage: A Strategy to Reduce Global Emissions,’ the forum familiarized participants with carbon capture storage (CCS) technology and discussed a more sustainable development roadmap for the UAE. Injazat honored students of the Abu Dhabi Men’s College for supporting clean technologies and emphasized the important roles UAE Nationals can play in achieving sustainable development. Injazat supports Univers K in the launch of WILD ARABIA with National Geographic Al Arabiya WILD ARABIA, the largest collaborative multi-platform educational awareness campaign to come out of the Middle East, marked its World Premiere in Abu Dhabi. The exhibition was conceptualized by Univers K in partnership with National Geographic Al Arabiya and sponsored by Dolphin Energy. Injazat, a production partner of this event, aimed to raise awareness and reveal the natural hidden treasures of the GCC Arabian Wildlife. 9 THE HUB WILD ARABIA showcased Arabian wildlife with 100 photographs from National Geographic Al Arabiya Magazine for free via public outdoor exhibitions designed by world-renowned exhibition architect Franck Minthe. News & Events Updates Injazat pledges technical assistance for EWA’A Shelters for Women and Children Injazat has signed a Technical Support Agreement with EWA’A Shelters, a nonprofit organization providing assistance and care for women and children victims of human trafficking, to enhance community activities and services for vulnerable members of the community. Under the terms of the agreement, Injazat will provide support services for EWA’A Shelters’ headquarters in Abu Dhabi and its shelters in the Northern Emirates. The coverage includes IT technical support, maintenance and local network services. The initiative underscores Injazat’s commitment to serving the public through active participation in organizations and activities that focus on community health and safety, environmental protection, social development and cultural awareness. Injazat supports AmCham Abu Dhabi Business Roundtable Summit Injazat joined business leaders from the US and the UAE to discuss pressing industry-wide issues and their best solutions at the AmCham Abu Dhabi Business Roundtable Summit held at New York University Abu Dhabi. Organized by the American Business Group of Abu Dhabi (AmCham Abu Dhabi), the Summit covered the eight industry sectors of Defense and Aerospace; Legal Affairs; Hospitality, Travel and Tourism; Banking and Finance; Healthcare; Education and Research; Engineering, Construction and Project Management; and Transportation and Infrastructure. NYU Abu Dhabi and Injazat convene international conference on data management and cloud computing in Abu Dhabi Injazat collaborated with New York University Abu Dhabi (NYUAD) Institute and Polytechnic Institute of New York University (NYU-Poly) on a two-day international data center and cloud computing technology conference held at the Injazat headquarters. The event brought together research and industry experts to discuss state-of-the-art technologies, exchange ideas, and foster strategic views in this area. Workshop participants discussed topics involving data center networks, cloud computing architecture, security, resilience, monitoring, performance analysis, cloud applications, and future perspectives for the field. 10 THE HUB Injazat eases adoption fears at IDC’s Cloud Computing and Datacenter Roadshow 2012 Martyn Lowrey-English, Head of IT Operations Injazat discussed how the movement towards cloud computing should be accelerated across the region during the 2012 IDC Cloud Computing and Datacenter Roadshow. In a presentation titled ‘Cloud Computing: Is It as Scary as It Sounds?’ Injazat, a Gold Sponsor of the Roadshow represented by Martyn Lowrey-English, Injazat’s Head of IT Operations, explained how businesses should set aside their fears about cloud computing and look at the bigger picture. Injazat has given its firm commitment to supporting the growth of cloud computing as a business enabler for the region. Injazat holds annual get-together Injazat held its Annual Get-Together for its management and employees at the Beach Rotana Hotel in Abu Dhabi. Injazat’s leadership thanked the team for its hard work and loyalty and for helping the company maintain its competitive industry standing as reflected through the numerous awards Injazat received during the previous year. Staff members were commended for generously taking part in Injazat’s various social and community initiatives. Some of the company’s key plans for 2012 were also unveiled during the gathering. Injazat reaffirmed its commitment to engaging in strategic government and private sector partnerships, spearheading various community outreach programs, and advancing the Emiratization goals of Abu Dhabi and the entire UAE. 11 THE HUB Employee Spotlight H amad Hazza Al Darmaki works for Injazat Data Systems as an Infrastructure Analyst since 2005. Born deaf, he was always determined to achieve big things. A major turning point in Al Darmaki’s life was when he decided to study in the US, where he eventually earned an Associate in Science Computer System Technology degree from the Northwestern Connecticut Community College. Since then, Hamad has been participating in various sporting and community activities and is the current President of the Deaf Emirates Association in Al Ain. Al Darmaki has also participated in dozens of local, Arab and international conferences. With his achievements, contributions towards the society and willingness to break stereotypes regarding the disabled, Hamad won the Abu Dhabi Award on 2006. Furthermore, Al Darmaki was honored last year for his outstanding achievements by the Rashied Paediatrics Center in Dubai. Hamad says that these awards are proof that individuals with special needs can make a difference and excel in whatever they do.