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© 2016, Amazon Web Services, Inc. or its Affiliates. All rights reserved.
Ryan Hughes, Eric Winter – AWS Advisory Services
Duane Smith – Enterprise Architect, Cardinal Health
December 2, 2016
Fueling Migration
Shortcutting the Application Portfolio
Assessment Process
ENT304
What to expect from this session
• Large enterprise patterns of rapid cloud adoption
• 3 shortcuts to a quick portfolio & cloud opportunity analysis
• Cardinal Health’s outcomes executing this plan
AWS migration framework
1) Evaluate
opportunity
2) Discover,
Analyze and
Plan
3) Application
Design
4) Migrate,
Integrate, and
Validate
5) Operate and
Optimize
Application 3 Application 3
Application 2 Application 2
Application 1 Application 1
Existing IT
Estate
Evaluation
Planning and
Discovery
Operation
Patterns (and shortcuts) of Success
AWS Cloud Stages of Adoption
CUSTOMER CLOUD CENTER OF EXCELLENCE (COE)
AWS CLOUD ADOPTION FRAMEWORK DELIVERY KITS
PROJECT
FOUNDATION
MIGRATION
REINVENTION
INNOVATION
RETIRE
TECH
DEBT
Value
Time
It's supposed to be a secret, that's
why they call it a shortcut!
If everyone knew about it, it would
just be called… “the way”.
-Rubin, Road Trip (2000)
Migrate
Optimize
Run
Using AWS to drive cost out of IT
Migrate
Optimize
Run
Migrate
Optimize
Run
Idea
Create
Launch
Using AWS to drive innovation
Idea
Create
Launch
Idea
Create
Launch
Cost-savings + Innovation
Continually increased margins
Shortcut #1
Leverage innovation as a catalyst for
cost reduction
37,000
employees
worldwide
on the
Fortune 500
#21
$100B+
annual revenue
Over
Acute Retail Physician
Offices
Manufacturer/
Supplier
Payor Patient
© Copyright 2016, Cardinal Health. All rights reserved. CARDINAL HEALTH, the Cardinal Health LOGO and ESSENTIAL TO CARE are trademarks or registered
trademarks of Cardinal Health.
Duane’s questions…
1. What could be our total cloud opportunity?
2. How can I quickly figure that out?
Application-to-cloud buckets
Hardware appliance Already virtualized x86 Horizontally scalable Microservices
architecture
Non-x86 workload Well-defined
application boundaries
Leverages services (e.g.
SOA, API’s, etc.)
“API- first” design
Non-cloud friendly
licensing model
Cloud-friendly licensing
model
“12 factor” applications Fault tolerance built in
Location-specific
(factory floor) or
latency intolerant on-
premises dependency
Known dependencies
on applications & data
Software vendor-
provided cloud image
(AMI, CloudFormation)
Bundled metrics &
proactive failure testing
Not Cloud
Now
Eligible Friendly SaaS/Native
Application portfolio by type
0 50 100 150 200 250 300 350 400 450
COTS
IT Management
Custom
Database
Commercial
Analytics
Number of Applications
By the numbers…
Application Type
Number
of Apps
Application Buckets
Not Cloud Now Eligible Friendly Native/SaaS
COTS 386 39 230 104 13
IT Management 373 95 156 98 24
Custom 254 7 148 91 8
Database 18 1 9 - 8
Commercial 16 - 1 2 13
Analytics 14 3 5 - 6
Total cloud opportunity recognition
Not Cloud Now Eligible Friendly SaaS/Native
13% 52% 28% 7%
87% of portfolio at least eligible for cloud migration
AWS migration patterns
Discover/Assess/Prioritize
Applications
Use Migration
Tools
Transition Production
Retain / Not
Moving
Redesign
Application/
Infrastructure Architecture
App Code
Development
Purchase COTS/
SaaS & licensing
Validation
Modify underlying
Infrastructure
Full ALM /
SDLC
Manual Config
Manual
Deploy
Manual Install
Retire /
Decommission
Determine
Migration
Path
Automate
Manual Install
& Setup
Integration
Determine
new
platform
Cloud migration cost estimations
Time Cost to
Migrate
Cost to
Operate
Agility
Retain + + ++++ +
Retire N/A N/A N/A N/A
Rehost ++ ++ +++ ++
Repurchase +++ +++ ++ +++
Replatform +++ +++ ++ +++
Refactor ++++ ++++ + ++++
Low
High
MigrationComplexity
Total Cloud Opportunity Recognition
Not Cloud Now Eligible Friendly SaaS/Native
Replatform
Repurchase
Retain
Rehost
Replatform
Repurchase
Retain
Replatform
Repurchase
Retain
Retain RehostRehost
Post-rehost cost reduction opportunities
• Stage 1: Rehost (Like-for-Like) (10-30%)
• Stage 2: Right-size Infrastructure based on Utilization (Prod, Test, Dev) (20-40%)
• Stage 3: Right-size Licensing based on Utilization (20-40%)
• Stage 4: Optimize Architecture for Cloud (10-30%)
• Stage 5: Operations Automation (auto-recovery, snapshots, etc.) (10-20%)
• Stage 6: Purchase AWS Reserved Instances (20-50%)
• Stage 7: Integrating Process Improvements (e.g. CI/CD, IaC) (20-30%)
• Stage n: AWS Innovations (-X%)
Calculated total cloud opportunity
Moderate - $17M savings over 5 years
Opportunistic - $37M savings over 3 years
Shortcut #2
Don’t plan for everything before doing something
Taking another look at our
application buckets…
Many of your existing commercial
software solutions across all buckets
have already been migrated to
the cloud for you.
You just need to repurchase them.
Repurchasing through
Security BIStorage MediaDatabaseNetworking DevOpsOperating
Systems
Find, Test, Procure, Deploy, and Manage over 3,000 Listings by 1,100 ISV’s… Fast!
Accelerate even your challenging migrations
The Repurchasing path can solve some of your challenging
application migrations originally labeled “Not Cloud Now”
Shortcut #3
Discover/Assess/Prioritize
Applications
Transition Production
Purchase COTS/
SaaS & licensing
Validation
Determine
Migration
Path
Manual Install
& Setup
Repurchasing is your secret weapon
Shortcut Review
Shortcut #1 –
Leverage
innovation as a
catalyst for cost
reduction
Shortcut #2 –
Don’t plan for
everything
before doing
something
Shortcut #3 –
Repurchasing
is your
secret
weapon
Shortcut Review
Shortcut #1 –
Leverage
innovation as a
catalyst for cost
reduction
Shortcut #2 –
Don’t plan for
everything
before doing
something
Shortcut #3 –
Repurchasing
is your
secret
weapon
Where do you go from here?
AWS migration framework
1) Evaluate
opportunity
2) Discover,
Analyze and
Plan
3) Application
Design
4) Migrate,
Integrate, and
Validate
5) Operate and
Optimize
Application 3 Application 3
Application 2 Application 2
Application 1 Application 1
Existing IT
Estate
Evaluation
Planning and
Discovery
Operation
Related Sessions
ARC314 – Enabling Enterprise Migrations: Create an AWS
Landing Zone
ENT204 – Large-Scale AWS Migrations
ENT212 – Preparing for Large-Scale Migration to AWS
ENT312 – Develop Your Migration Toolkit
Thank you!
Remember to complete
your evaluations!

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AWS re:Invent 2016: Fueling Migration: Shortcutting your Application Portfolio Assessment (ENT304)

  • 1. © 2016, Amazon Web Services, Inc. or its Affiliates. All rights reserved. Ryan Hughes, Eric Winter – AWS Advisory Services Duane Smith – Enterprise Architect, Cardinal Health December 2, 2016 Fueling Migration Shortcutting the Application Portfolio Assessment Process ENT304
  • 2. What to expect from this session • Large enterprise patterns of rapid cloud adoption • 3 shortcuts to a quick portfolio & cloud opportunity analysis • Cardinal Health’s outcomes executing this plan
  • 3. AWS migration framework 1) Evaluate opportunity 2) Discover, Analyze and Plan 3) Application Design 4) Migrate, Integrate, and Validate 5) Operate and Optimize Application 3 Application 3 Application 2 Application 2 Application 1 Application 1 Existing IT Estate Evaluation Planning and Discovery Operation
  • 5. AWS Cloud Stages of Adoption CUSTOMER CLOUD CENTER OF EXCELLENCE (COE) AWS CLOUD ADOPTION FRAMEWORK DELIVERY KITS PROJECT FOUNDATION MIGRATION REINVENTION INNOVATION RETIRE TECH DEBT Value Time
  • 6. It's supposed to be a secret, that's why they call it a shortcut! If everyone knew about it, it would just be called… “the way”. -Rubin, Road Trip (2000)
  • 7. Migrate Optimize Run Using AWS to drive cost out of IT Migrate Optimize Run Migrate Optimize Run
  • 8. Idea Create Launch Using AWS to drive innovation Idea Create Launch Idea Create Launch
  • 10. Shortcut #1 Leverage innovation as a catalyst for cost reduction
  • 11. 37,000 employees worldwide on the Fortune 500 #21 $100B+ annual revenue Over Acute Retail Physician Offices Manufacturer/ Supplier Payor Patient © Copyright 2016, Cardinal Health. All rights reserved. CARDINAL HEALTH, the Cardinal Health LOGO and ESSENTIAL TO CARE are trademarks or registered trademarks of Cardinal Health.
  • 12. Duane’s questions… 1. What could be our total cloud opportunity? 2. How can I quickly figure that out?
  • 13. Application-to-cloud buckets Hardware appliance Already virtualized x86 Horizontally scalable Microservices architecture Non-x86 workload Well-defined application boundaries Leverages services (e.g. SOA, API’s, etc.) “API- first” design Non-cloud friendly licensing model Cloud-friendly licensing model “12 factor” applications Fault tolerance built in Location-specific (factory floor) or latency intolerant on- premises dependency Known dependencies on applications & data Software vendor- provided cloud image (AMI, CloudFormation) Bundled metrics & proactive failure testing Not Cloud Now Eligible Friendly SaaS/Native
  • 14. Application portfolio by type 0 50 100 150 200 250 300 350 400 450 COTS IT Management Custom Database Commercial Analytics Number of Applications
  • 15. By the numbers… Application Type Number of Apps Application Buckets Not Cloud Now Eligible Friendly Native/SaaS COTS 386 39 230 104 13 IT Management 373 95 156 98 24 Custom 254 7 148 91 8 Database 18 1 9 - 8 Commercial 16 - 1 2 13 Analytics 14 3 5 - 6
  • 16. Total cloud opportunity recognition Not Cloud Now Eligible Friendly SaaS/Native 13% 52% 28% 7% 87% of portfolio at least eligible for cloud migration
  • 17. AWS migration patterns Discover/Assess/Prioritize Applications Use Migration Tools Transition Production Retain / Not Moving Redesign Application/ Infrastructure Architecture App Code Development Purchase COTS/ SaaS & licensing Validation Modify underlying Infrastructure Full ALM / SDLC Manual Config Manual Deploy Manual Install Retire / Decommission Determine Migration Path Automate Manual Install & Setup Integration Determine new platform
  • 18. Cloud migration cost estimations Time Cost to Migrate Cost to Operate Agility Retain + + ++++ + Retire N/A N/A N/A N/A Rehost ++ ++ +++ ++ Repurchase +++ +++ ++ +++ Replatform +++ +++ ++ +++ Refactor ++++ ++++ + ++++ Low High MigrationComplexity
  • 19. Total Cloud Opportunity Recognition Not Cloud Now Eligible Friendly SaaS/Native Replatform Repurchase Retain Rehost Replatform Repurchase Retain Replatform Repurchase Retain Retain RehostRehost
  • 20. Post-rehost cost reduction opportunities • Stage 1: Rehost (Like-for-Like) (10-30%) • Stage 2: Right-size Infrastructure based on Utilization (Prod, Test, Dev) (20-40%) • Stage 3: Right-size Licensing based on Utilization (20-40%) • Stage 4: Optimize Architecture for Cloud (10-30%) • Stage 5: Operations Automation (auto-recovery, snapshots, etc.) (10-20%) • Stage 6: Purchase AWS Reserved Instances (20-50%) • Stage 7: Integrating Process Improvements (e.g. CI/CD, IaC) (20-30%) • Stage n: AWS Innovations (-X%)
  • 21. Calculated total cloud opportunity Moderate - $17M savings over 5 years Opportunistic - $37M savings over 3 years
  • 22. Shortcut #2 Don’t plan for everything before doing something
  • 23. Taking another look at our application buckets…
  • 24. Many of your existing commercial software solutions across all buckets have already been migrated to the cloud for you. You just need to repurchase them.
  • 25. Repurchasing through Security BIStorage MediaDatabaseNetworking DevOpsOperating Systems Find, Test, Procure, Deploy, and Manage over 3,000 Listings by 1,100 ISV’s… Fast!
  • 26. Accelerate even your challenging migrations The Repurchasing path can solve some of your challenging application migrations originally labeled “Not Cloud Now”
  • 27. Shortcut #3 Discover/Assess/Prioritize Applications Transition Production Purchase COTS/ SaaS & licensing Validation Determine Migration Path Manual Install & Setup Repurchasing is your secret weapon
  • 28. Shortcut Review Shortcut #1 – Leverage innovation as a catalyst for cost reduction Shortcut #2 – Don’t plan for everything before doing something Shortcut #3 – Repurchasing is your secret weapon
  • 29. Shortcut Review Shortcut #1 – Leverage innovation as a catalyst for cost reduction Shortcut #2 – Don’t plan for everything before doing something Shortcut #3 – Repurchasing is your secret weapon Where do you go from here?
  • 30. AWS migration framework 1) Evaluate opportunity 2) Discover, Analyze and Plan 3) Application Design 4) Migrate, Integrate, and Validate 5) Operate and Optimize Application 3 Application 3 Application 2 Application 2 Application 1 Application 1 Existing IT Estate Evaluation Planning and Discovery Operation
  • 31. Related Sessions ARC314 – Enabling Enterprise Migrations: Create an AWS Landing Zone ENT204 – Large-Scale AWS Migrations ENT212 – Preparing for Large-Scale Migration to AWS ENT312 – Develop Your Migration Toolkit