Chapter 7
Infrastructure, Cloud
Computing, Metrics,
and Business
Continuity Planning:
Building and
Sustaining the
Dynamic Enterprise
McGraw-Hill/Irwin
Copyright © 2013 by The McGraw-Hill Companies, Inc. All rights reserved.
STUDENT LEARNING
OUTCOMES
1.
2.
3.
Describe how an SoA can be used
as a philosophical approach to help
the organization of the future.
Define and describe the various
hardware and software
infrastructure considerations.
Describe cloud computing, its
various implementations, and its
advantages.
7-2
STUDENT LEARNING
OUTCOMES
4.
5.
Compare and contrast commonly
used metrics for assessing the
success of IT systems.
Describe business continuity
planning (BCP) and its phases.
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MONEY WILL ALWAYS BE
MONEY
The use of
paper money is
on the decline;
the use of
electronic
money has
more than
doubled in the
past 10 years.
7-4
Questions
1.
2.
3.
Do you use an electronic form of
money such as Google wallet or a
smartphone app? If so, which one?
Which do you think is easier—the
counterfeiting of paper money or
the counterfeiting of electronic
money? Why?
Why does the government continue
to mint pennies when the process
costs more than a penny?
7-5
INTRODUCTION: SoA



Service-oriented architecture (SoA) -
perspective that focuses on the
development, use, and reuse of small selfcontained blocks of code (called services)
to meet all application software needs
Software code is not developed solely for a
single application
Rather services are built that can be
reused
7-6
INTRODUCTION: SoA

Can extend SoA to the entire organization
to be




Lean and agile using resources in the best
way
Proactive in addressing changes in the
market
Quick to respond and adapt to advances in
technology
Transformational in its processes, structure
and HR initiatives to match a changing and
dynamic workforce
7-7
INTRODUCTION: SoA

SoA focused specifically on IT





Customers
End users
Software development
Information needs
Hardware requirements
7-8
INTRODUCTION: SoA
7-9
INTRODUCTION: SoA
7-10
INTRODUCTION: SoA
7-11
INTRODUCTION: SoA
7-12
HARDWARE AND SOFTWARE
INFRASTRUCTURE


Infrastructure – the structure beneath
a structure
IT infrastructure is the implementation of
your organization’s architecture
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ERP Revisited

From Chapter 2, Enterprise
resource planning (ERP) system
– collection of integrated software for
business management, accounting,
finance, supply chain management,
inventory management, customer
relationship management, ecollaboration, etc
7-14
ERP and SoA
7-15
Supporting Network
Infrastructures

Computer network – fundamental
underlying infrastructure for any IT
environment



Distributed
Client/server
Tiered
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Distributed Network Infrastructure



Distributed – distributing the information
and processing power of IT systems via a
network
First true network infrastructure
Processing activity is allocated to the
location(s) where it can most efficiently be
done
7-17
Distributed Network Infrastructure
7-18
Client/Server Infrastructure

Client/server infrastructure (network)




one or more computers that are servers
provide services to other computers, called
clients
Servers and clients work together to
optimize processing, information storage,
etc
When you surf the Web, the underlying
network infrastructure is client/server
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Client/Server Infrastructure
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Tiered Infrastructure

Tiered (layer) – the IT system is
partitioned into tiers (layers) where each
tier performs a specific type of functionality




1-tier – single machine
2-tier – basic client/server relationship
3-tier – client, application server, data or
database server
N-tier – scalable 3-tier structure with more
servers
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Tiered Infrastructure
7-22
CLOUD COMPUTING


Hottest term in technology today
Cloud computing – model in which any
and all IT resources are delivered as a set
of services via the Internet






Application software
Processing power
Data storage
Backup facilities
Development tools
Literally everything
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CLOUD COMPUTING
7-24
Cloud Computing Goals




Pay for only what you need and use
Real-time scalability (up or down)
Align computing costs with level of
business activity
Reduce fixed costs in IT
infrastructure
7-25
Many Implementations of the
Cloud

Software-as-a-service (SaaS)
Platform-as-a-service (PaaS)
Infrastructure-as-a-service (IaaS)

Cloud demo video

Demo video of IaaS


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Software-As-A-Service



SaaS - delivery model for software in
which you pay for software on a pay-peruse basis instead of buying the software
outright.
Most well known
Supports multi-tenancy

multiple people can simultaneously use a
single instance of a piece of software.
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Platform-As-A-Service

PaaS – delivery model for software
identical to SaaS with the additional
features of
1.
2.
Access to software development tools to
alter the way in which the software works by
adding new modules (services) and/or
making modifications to existing modules
The ability to customize data entry forms,
screens, reports, and the like
7-28
Infrastructure-As-A-Service


IaaS - model in which you acquire all
your technology needs—storage hardware
and data, network equipment, application
software, operating system software, data
backups, CPU processing capabilities, antiyou-name-it software—in the cloud.
All you need – smartphone/tablet and
peripheral devices (e.g., printer)
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Public and Private Clouds

Public cloud – comprises cloud services
that exist on the Internet offered to
anyone and any business.





Amazon Web Services (AWS)
Windows Azure
Rackspace Cloud
Google Cloud Connect
ElasticHosts
7-30
Public and Private Clouds

Private cloud





cloud computing services established and
hosted by an organization
on its internal network
available only to employees and departments
within that organization.
All benefits of cloud computing, except
held private within an organization
Of course does COST more
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Advantages of the Cloud




Lower capital expenditures
Lower barriers to entry
Immediate access to a broad
range of application software
Real-time scalability
7-32
IT SUCCESS METRICS



To justify costs of technology, you need
to measure its success
Metrics are also called benchmarks,
baseline values a system seeks to attain.
Benchmarking – process of
continuously measuring system results
and comparing them to benchmarks
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Efficiency & Effectiveness Metrics

Efficiency – doing something right




In the least time
At the lowest cost
With the fewest errors
Effectiveness – doing the right things


Getting customers to buy when they visit your
site
Answering the right question with the right
answer the first time
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Efficiency & Effectiveness Metrics
Bottom-line initiatives typically focus on efficiency, while top-line initiatives
tend to focus on effectiveness.
7-35
Types of IT Success Metrics



Infrastructure-centric metrics
Web-centric metrics
Call center metrics
7-36
Infrastructure-Centric Metrics




Measure of efficiency, speed, capacity
Throughput – amount of information that
can pass through a system in a given
amount of time
Transaction speed – speed at which a
system can process a transaction
System availability – the average amount
of time a system is down or unavailable
7-37
Infrastructure-Centric Metrics



Accuracy – measured inversely as error
rate, or the number of errors per
thousand/million that a system generates
Response time – average time to respond
to a user-generated event like a mouse click
Scalability – conceptual metric related to
how well a system can be adapted to
increased demands
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Web-Centric Metrics


Measure success of your e-business
initiatives
Unique visitors – # of unique visitors to a
site



Total hits – number of visits to a site
Page exposures – average page exposures
to an individual visitor
Conversion rate - % of potential customers
who visit and actually buy
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Web-Centric Metrics




Click-through - # of people who click on an
ad and are taken to the sponsor’s site
Cost-per-thousand (CPM) – cost of ad per
thousand customer views or clicks
Abandoned registrations - # who start to
register at your site and then abandon the
process
Abandoned shopping carts - # who create
a shopping cart and then abandon it
7-40
Call Center Metrics




Abandon rate - % number of callers who hang
up while waiting for their call to be answered
Average speed to answer (ASA) – average
time, usually in seconds, that it takes for a call
to be answered by an actual person
Time service factor (TSF) - % of calls
answered within a specific time frame, such as
30 or 90 seconds
First call resolution (FCR) - % of calls that
can be resolved without having to call back
7-41
BUSINESS CONTINUITY
PLANNING


Business continuity planning (BCP) –
rigorous and well-informed organizational
methodology for developing a business
continuity plan, a step-by-step
guideline defining how the organization
will recover from a disaster or extended
disruption
BCP is very necessary today given terror
threats, increased climate volatility, etc
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BUSINESS CONTINUITY
PLANNING METHODOLOGY
7-43
BCP METHODOLOGY
1.
2.
3.
4.
5.
6.
Organizational strategic plan
Analysis
Design
Implementation
Testing
Maintenance
7-44
Organizational Strategic Plan



It all starts here
The strategic plan defines what is
and what is not important
You must have a business continuity
plan for what is important
7-45
Analysis




Impact analysis – risk assessment,
evaluating IT assets, their importance, and
susceptibility to threat
Threat analysis – document all possible
major threats to organizational assets
Impact scenario analysis – build worst-case
scenario for each threat
Requirement recovery document –
identifies critical assets, threats to them,
and worst-case scenarios
7-46
Design

Build disaster recovery plan, detailed
plan for recovering from a disaster. May
include



Collocation facility – rented space and
telecommunications equipment
Hot site – fully equipped facility where your
company can move to
Cold site – facility where your company can
move to but has no computer equipment
7-47
Design
Disaster recovery plan should include a disaster recovery cost curve, which
charts the cost of unavailable information/technology compared to the cost to
recover from a disaster over time.
7-48
Implementation




Engage any businesses that will provide
collocation facilities, hot sites, and cold sites
Implement procedures for recovering from a
disaster
Train employees
Evaluate each IT system to ensure that it is
configured optimally for recovering from a
disaster
7-49
Testing




As opposed to traditional SDLC, testing in
BCP methodology occurs after
implementation
Simulate disaster scenarios
Have employees execute disaster recovery
plans
Evaluate success and refine as necessary
7-50
Maintenance




Perform testing annually, at a minimum
Change business continuity plan as
organizational strategic plan changes
Evaluate and react to new threats
No “system” is ever complete
7-51