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Van Outsourcing . . . . . . . . . . . naar Cloud sourcing

Van Outsourcing . . . . . . . . . . . naar Cloud sourcing. Hans Timmerman CTO EMC The Netherlands. 3 P arallel D evelopments. IT als utility. Snelle & Slimme Informatie. IT met een veilig gevoel. standaardisatie. intelligentie. vertrouwen. In 2011 The Digital Universe Grew.

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Van Outsourcing . . . . . . . . . . . naar Cloud sourcing

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  1. Van Outsourcing . . . . . . . . . . . naarCloud sourcing Hans Timmerman CTO EMC The Netherlands

  2. 3 Parallel Developments IT als utility Snelle & Slimme Informatie IT met een veilig gevoel standaardisatie intelligentie vertrouwen

  3. In 2011 The Digital Universe Grew IN 2012 THE WORLD GENERATED 2.8 ZETTABYTES OF NEW INFORMATION IN 2012 THE WORLD GENERATED 2.8 ZETTABYTES OF NEW INFORMATION 2.800.000.000.000.000.000.000 bytes Andthisnumbersgrowthyearlywith 60%  doubles everytwoyear! Andthisnumbersgrowthyearlywith 60%  doubles everytwoyear! Source : IDC Digital Universe Study, december 2012

  4. The Data Driven Society “Water water everywhere, but nary a drop to drink.” - The Rime of the Ancient Mariner In the world of data:“Data, data everywhere, but nearly a bit to use.” The digital universe (40 ZB by 2020) holds potential analytic value: Only 0.4% of the digital universe is actually being analyzed. Big Data to growfrom $3.2 billion in 2010 to $16.9 billion in 2015 CAGR of 7 times that of the overall IT market. How prepared are CIO’s to manage a whopping 40 trillion gigabytes of data in 2020?

  5. Value Creation in the Information Economy • The Information Fabric must enable… VALUE CREATION DURING THE 2nd Industrial revolution = VALUE CREATION IN THE INFORMATION ECONOMY 3rdIndustrial revolution VALUE . Information Products DATA = RAW MATERIALS FINISHED GOODS VALUE = = INSIGHT & KNOWLEDGE INFORMATION & ANALYTICS RAW MATERIALS FINISHED GOODS VALUE RAW DATA Strategic Business Transformation vs. Operational Efficiency We have entered the era where information drives strategic transformation, not just operational optimization Everyprocess is an information process ! RAW DATA INFORMATION & ANALYTICS INSIGHT & ACTION

  6. How GM started outsourcing . . . • EDS was started in 1962 by H. Ross Perot. • In 1984 General Motors agreed to buy EDS for $ 2.5 billion. • They became the internal source for IT-services • In 1996 GM spun off EDS as an independent company • They became one of it largest outsourcing customers. • EDS has ~70 % of the outsourcing of GM (1.4$B/year) • In 2008 HP acquired EDS for $ 13.9 billion. • In 2009, EDS went to market as HP Enterprise Services.

  7. In 2012 GM startedtohire back . . .

  8. IT transformation . . . .

  9. But why . . . . ? CIO RandyMottmentioned 5 reasonsforthistransformation:

  10. But why . . . . . ‘really’ why ? General Motors became a Data Driven Company delivering Information Products. • A VP later toldin an interview: • Our design process is basedupon virtual andcrowd-design, in fact a 100% data drivenprocess, • Ourcustomersconfigurationand order process is a 100% data drivenprocess, • Our order andproductionprocess is automatedand a 100% data drivenprocess, • Our maintenance and support process is growingtobe a100% data drivenprocess, because . . . • Our product has becomean information product: • with 100 millionlines of code, we update monthly • withan IP addressto follow the carit’stotallifecycle • andcustomerswho are digitallyconnectedtous. • A VP later told in an interview: • Our design process is basedupon virtual andcrowd-design, in fact a 100% data drivenprocess, • Ourcustomersconfigurationand order process is a 100% data drivenprocess, • Our order andproductionprocess is automatedand a 100% data drivenprocess, • Our maintenance and support process is growingtobe a 100% data drivenprocess, because . . . • Our product has becomean information product: • with 100 millionlines of code, we update monthly • withan IP addressto follow the carit’stotallifecycle • andcustomerswho are digitallyconnectedtous. • A VP later told in an interview: • Our design process is basedupon virtual andcrowd-design, in fact a 100% data drivenprocess, • Ourcustomersconfigurationand order process is a 100% data drivenprocess, • Our order andproductionprocess is automatedand a 100% data drivenprocess, • Our maintenance and support process is growingtobe a 100% data drivenprocess, because . . . • Our product has becomean information product: • with 100 millionlines of code, we update monthly • withan IP addressto follow the carit’stotallifecycle • andcustomerswho are digitallyconnectedtous.

  11. Why bring US companies mfg back? • Oil prices are three times what they were in 2000. Transporting goods over 10.000 miles is expensive! • The natural-gas boom in the U.S. has dramatically lowered the cost for running something as energy-intensive as a factory here at home. (Natural gas now costs four times as much in Asia as it does in the U.S.) • In dollars, wages in China are some five times what they were in 2000—and they are expected to keep rising 18 percent a year. • American unions are changing their priorities. • U.S. labor productivity has continued its long march upward.

  12. The Third Industrial Revolution Kondratiev Wave Integrated Energy & Information Grids Wood/turf Turf/coal Coal/mines oil gas solar Cloud Big Data Cyber inventions 2000 1965 innovations 1930 1880 2020 2010 1980 2030 2040

  13. VIRTUALIZE EVERYTHING COMPROMISE NOTHING

  14. “Next Gen” Directions Mobile Social User Analytics App BIG DATA In Memory New APPS Data Un Structured Legacy APPS X86 Flash No SQL Software Defined Data Center Cloud Infrastructure Scale Out

  15. Federation and mobility across clouds App App VM VM User User User • Cloud Computing Benefits • Cost savings • Improved service levels • Speed and agility • Cloud Computing Characteristics • Dynamic Pools of Virtualized Resources • Highly Automated • On Demand Consumption Hybrid Cloud Virtualization Private Cloud Public Cloud Information Security

  16. Private Cloud + Public Cloud = Hybrid Cloud Enterprise IT Private Cloud Public Cloud Consolidation Standardization Virtualization Automation Software aaSPlatform aaS Infrastructure aaS Federation Service Provider Infrastructure HybridCloud vCloud 78% Will Be Pursuing A Private Cloud Computing Strategy By 2014”

  17. Big Data (Greenplum) • Fast Data (GemFire) • Programming Framework (Spring) • Cloud Independent PaaS(Foundry) • Rapid/Agile App dev. (Pivotal) Applications are like fish The New Normal • EMC • Information storageandprotection • Information Security • Information Intelligence Pivotal Initiative Hybrid Cloud Services Data Store Information is like Cognac Cloud Computing • VMware • Software Defined Data Center • End User Computing Is like 230 V 50 Hz. Data is like wine

  18. Twitter: @hansemc Blog: www.datacentered.nl

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