Managing Complexity Across Today’s Application Delivery Chain: Six key indicators for prioritizing application performance improvements Today’s application delivery chain is harder to manage than ever. Applications ranging from mission-critical legacy systems to innovative productivity tools running on employee-owned smartphones all must be delivered flawlessly. Additionally, technologies like virtualization, the cloud and WAN optimization make managing performance even more complex. As each new application generation is deployed on top of existing assets, managing system-wide application availability and performance becomes increasingly dependent on a growing collection of incompatible tools, informal processes and multiple – often siloed – stakeholders. This complexity is only going to grow. In this webinar, you will learn how to tame complexity and optimally manage application availability and performance. • J.P. Garbani, of Forrester Research, highlights new research that assesses the complexity in IT operations, both now and in the future. • Compuware’s Steve Tack details a strategic approach that will allow customers to plan and implement a coherent, structured APM framework based on the concept of an APM “Performance Journey.” You'll learn : • six key indicators that will reveal your APM problem areas • how to develop a performance journey roadmap based on five core areas of APM best practices in order to manage and monitor application complexity more efficiently • how to achieve the following goals: • increase productivity while lowering costs • maintain and improve service quality • adopt new service demand quickly and efficiently • align IT goals to meet business needs • what the future holds for IT operations

1. Managing Complexity Across
Today’s Application Delivery Chain –
The Six Key Indicators For Prioritizing Application
Performance Improvements
Our Speakers
Jean-Pierre Garbani, Steve Tack,
Vice President and Principal Analyst, CTO, Compuware APM
Forrester Research

2. Managing Complexity Across Today’s
Application Delivery Chain –
The Six Key Indicators For Prioritizing Application
Performance Improvements
Jean-Pierre Garbani, Vice President and Principal
Analyst
June 2nd 2011, 2011
2 © 2009 Forrester Research, Inc. Reproduction Prohibited
2011

3. 3 © 2011 Forrester Research, Inc. Reproduction Prohibited

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5. IT is close to its saturation point
Source: October 26, 2009, “IT To BT Transformation: Threats And Opportunities For CIO Reporting Lines”
Forrester report
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6. The symptoms and the root causes
Source: January 8, 2010, “Assessing Your IT Infrastructure Architecture” Forrester report
6 © 2011 Forrester Research, Inc. Reproduction Prohibited

7. IT is an autocatalytic process
June 2010 “The Writing On IT’s Complexity Wall”
7 © 2011 Forrester Research, Inc. Reproduction Prohibited

8. Autocatalytic process: price and complexity
Unit cost of hardware components Operating system size
as a % of 1991 costs in million SLOC
MAC OS X
V10.4
Windows XP
Windows 2003
NT 3.5
NT 3.1 NT 4.0
Windows 2000
8 © 2011 Forrester Research, Inc. Reproduction Prohibited

9. More complexity is in our future
 Scott Woodfield and Robert Glass complexity law: For every 25%
increase in the complexity of the problem space, there is a 100%
complexity increase in the solution space.
 Moore’s law of hardware. In 1965, Gordon Moore wrote an article in
Electronics predicting that the density of transistors on a chip will double
every year. In 1975, he revised the prediction to “double every two years.”
Because of the clear link between density and speed, this became “double
the computing speed every 18 months.” This leads to an exponential
decrease in component unit cost and an exponential increase in system
capacity.
 Watts Humphrey’s law of software. Drawing a parallel with Moore’s law,
Watts Humphrey stated that the size of software doubles every two years.
9 © 2011 Forrester Research, Inc. Reproduction Prohibited

10. Complexity accelerants: cloud and virtualization
Source: Forrester Research, July 2009 “IT Operations 2009: An Automation Odyssey”
10 © 2011 Forrester Research, Inc. Reproduction Prohibited

11. What is complexity?
 Forrester's definition:
"A system composed of interconnected elements and exhibiting properties
not obvious from the study of the properties of individual elements."
 Complexity is more than assessing a project complexity or a piece of
software or an application
 Complexity cannot be assessed by breaking the overall IT organization
into its component parts
 Complexity in IT brings all technology, organizational, and human
components into a global issue
11 © 2011 Forrester Research, Inc. Reproduction Prohibited

12. Complexity assessment
 A complexity assessment is an early detection of an organization's
capability limits in its own context
 Not understanding the need for extra resources would lead to saturation
and the risk of tasks not being done on time, with a ripple effect on IT
operations
 The objective is to detect how well a given organization is able to cope
with the current issues and determine whether extra capacity is available
to absorb more changes and complexity.
 I&O execs must take measures to remove the complexity obstacles.
These include increasing staff, simplifying the infrastructure and
applications, streamlining processes, or automating routine tasks.
12 © 2011 Forrester Research, Inc. Reproduction Prohibited

13. Complexity comes from change
A redefinition of complexity:
A period of change in infrastructure and operations during which an
organization tries to control a new technological environment using
obsolete methods and processes.
13 © 2011 Forrester Research, Inc. Reproduction Prohibited
March 2011 “Assessing Complexity In IT Operations”

14. Forrester's approach to assessing complexity
 Do not consider the absolute complexity of the services and
infrastructures but the complexity relative to the organization considered.
 The goal of complexity assessment is to understand the point at which
overall performance is affected
 Then to prioritize the most sensitive points of complexity and analyze the
remedial actions needed to alleviate the issue.
 The Forrester complexity assessment thus considers overall key
indicators of relative complexity by measuring results rather than
analyzing details.
14 © 2011 Forrester Research, Inc. Reproduction Prohibited

15. Forrester’s complexity assessment indicators
Source: Forrester Research: March 2011 “Assessing Complexity In IT Operations”
Acceptable Trouble!
Note: “Acceptable” is NOT ideal, just acceptable!
15 © 2011 Forrester Research, Inc. Reproduction Prohibited

16. The role of IT management software
Making complexity and diversity manageable by
Abstracting complexity
 Provides a consistent interface and process independent of the
underlying technologies
 Provides a complete knowledge of business services, applications,
and infrastructures
 Collects normalized metrics from all types of devices
 Provides a global management view of all processes
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17. Focus on people, process and technology to remediate
complexity
March 2011 “Assessing Complexity In IT Operations”
17 © 2011 Forrester Research, Inc. Reproduction Prohibited

18. Apply analytics to complexity
Fortify your monitoring
1011101010011110101001100001011101
 Simple monitoring helps
little in complex environments
 What appears to be fine may
not be, once you peer deeper inside
 Advanced analysis help find these
hidden problems
 Information must be collected from all applications
and devices
18 © 2011 Forrester Research, Inc. Reproduction Prohibited

19. Complexity abstraction: manage everything
Role Oriented
Real-time
Dashboard
End User Transaction Application Database Infrastructure
Experience Mapping Monitoring Monitoring Monitoring
Monitoring
Combine visibility into transactions with monitoring of all transaction
dependencies for a complete management of the delivery chain
19 © 2011 Forrester Research, Inc. Reproduction Prohibited

20. Conclusion
 While enterprises adopt technology at different rates, the complexity of
managing IT will eventually catch up with everyone.
 Technology exponential growth requires a new definition of IT organizations,
processes and management tools.
 IT management tools are used to manage complexity and make IT
optimization possible.
 This requires a strategic approach to IT management rather than a tactical,
knee jerk reaction to tool acquisition
20 © 2011 Forrester Research, Inc. Reproduction Prohibited

21. Thank you
Jean-Pierre Garbani
+1 239 352 0129
jgarbani@forrester.com
www.forrester.com
© 2009 Forrester Research, Inc. Reproduction Prohibited

22. Managing Complexity Across
Today’s Application Delivery
Chain

23. Traditional Application Performance Management
Traditional Approach
…user is
happy
DB Network Server The Application Delivery Chain
Customers
Data Center
Browsers
Local
DB App Web ISP
Mainframe Server Server Server Major
ISP
Storage Network
Employees Employees

24. The Reality: End Users Are Often Unhappy
Traditional Approach
Slow response time …user is
NOT happy
DB Network Server The Application Delivery Chain
Geographic disparities
Customers
Transactions fail
4 sec’s
Data Center
22 sec’s Browsers
Local
DB App Web ISP
Mainframe Server Server Server Major
ISP
Faulty display or operation
Storage Network
Employees Employees

25. The Application Performance Challenge:
The Application Delivery Chain Has Changed…
The Application Delivery Chain
Customers
Data Center
Browsers
Local
DB App Web ISP
Mainframe Server Server Server Major
ISP
Storage Network
Employees Employees

26. The Application Performance Challenge:
Data Center is More Complex
The Application Delivery Chain
Customers
Data Center
Browsers
Virtual/Physical Environment
Local
DB App Web Load ISP
Mainframe Servers Servers Servers Balancers Major
ISP
Storage
Network
Web Mobile WAN
Services Components Optimization
Employees Employees

27. The Application Performance Challenge:
The Web is More Complex
The Application Delivery Chain
Customers
Browsers
Local
Data Center ISP
3rd Party/
Virtual/Physical Environment Cloud Services
DB App Web Load
Mainframe Servers Servers Servers Balancers Major
ISP
Storage
Network Content
Delivery
Networks
Web Mobile WAN
Services Components Optimization Mobile
Carrier
Devices
Employees Employees

28. The Application Performance Challenge:
The Cloud Has Arrived
The Application Delivery Chain
Cloud Customers
Private Public Browsers
Local
Data Center ISP
3rd Party/
Virtual/Physical Environment Cloud Services
DB App Web Load
Mainframe Servers Servers Servers Balancers Major
ISP
Storage
Network Content
Delivery
Networks
Web Mobile WAN
Services Components Optimization Mobile
Carrier
Devices
Employees Employees

29. The Application Performance Challenge:
Problems Everywhere Along the Delivery Chain
The Application Delivery Chain
• Resource
contention
• Capacity issues
Cloud • Slow bursting
Customers
Private Public Browsers
Local
Data Center • Inconsistent geo performance ISP
• Bad performance under load 3rd Party/
Virtual/Physical Environment
• Blocking content delivery Cloud Services • Poorly
performing
DB App Web Load • Network JavaScript
Mainframe Servers Servers Servers Balancers Major peering • Browser/
ISP problems device
• Poorly performing • Network incompatibility
Java or .NET problems • Bandwidth
methods throttling • Pages too big
• Bandwidth • Network
• Slow contention • Inconsistent • Low cache
Storage SQL or Web
services • Improper load
peering connectivity hit rate
transactions
Network problems Content
balancing • Outages
• Server performance Delivery
Networks
Web Mobile WAN
Services Components Optimization Mobile
• Configuration issues
• Oversubscribed POP Carrier
• Poor routing optimization Devices
Employees Employees
• Low cache hit rate • Network resource shortage
• Faulty content transcoding
• SMS routing / latency issues

30. 5 Core Capabilities of APM
Performance Measurement
The ability to
measure application
performance from
the end-user’s
perspective across
the entire application
delivery chain

31. 5 Core Capabilities of APM
Performance Measurement
The ability to identify
incidents, isolate
Problem Resolution fault domain,
determine root cause
and resolve
application
performance
problems

32. 5 Core Capabilities of APM
Performance Measurement
The ability to
Problem Resolution
continuously identify,
prioritize , implement
and measure the
Performance Improvement results of application
improvement
opportunities

33. 5 Core Capabilities of APM
Performance Measurement
Problem Resolution The ability to ensure
user experience can
scale with load prior
Performance Improvement to launching new
applications or
deploying
infrastructure
Production Readiness changes

34. 5 Core Capabilities of APM
Performance Measurement
Problem Resolution
Performance Improvement The ability to provide
role-specific insight
that enables superior
decision-making
Production Readiness
Performance Reporting

35. Performance Measurement
Adopt a Customer/User Point of View
Test/monitor your app the way your users access it:
• What they do The Application Delivery Chain
(key transactions)
• Where they do it (geographic locations)
• How they do it (browsers and mobile devices)
Prioritize and resolve issues Cloud Customers
• Measure the business impact Public
Private (users) Browsers
Local
Data Center • Isolate root causes ISP
3rd Party/
Virtual/Physical Environment Cloud Services
DB App Web Load
Mainframe Servers Servers Servers Balancers Major
ISP
Customer/user point of view
Storage
Network Content
Delivery
Networks
Web Mobile WAN
Services Components Optimization Mobile
Carrier
Devices
Employees Employees

36. Problem Resolution
Pay Attention to All Fault Domains
Cloud Customers
Private Public Browsers
Local
Data Center ISP
3rd Party/
Virtual/Physical Environment Cloud Services
DB App Web Load
Servers Servers Servers Balancers Major
Mainframe ISP
Storage
Network Content
Delivery
Networks
Web Mobile WAN Mobile
Services Components Optimization Carrier
Devices
Employees
Employees

37. Problem Resolution
Pay Attention to All Fault Domains
Automate root cause analysis
across the application delivery
chain
Cloud Customers
Private Public Browsers
Local
Data Center ISP
3rd Party/
Is it my Is it an Is it a Is it a
Virtual/Physical Environment
DB App Web Load
Cloud Services
ISP or the 3rd party browser
Major
data
Mainframe Servers Servers Servers Balancers
ISP
center or Internet? provider? or device?
Storage
Network
WAN? Content
Delivery
Networks
Mobile
Web Mobile WAN Carrier
Services Components Optimization Devices
Employees
Employees

38. Performance Improvement

39. Performance Improvement
Prioritize Initiatives Based on Business Impact
Benchmark placement Evaluate based on end user
against competition impact, not just application
infrastructure
End-user experience
response time

40. Production Readiness
Test Across the Entire Application Delivery Chain
The Application Delivery Chain
Load Testing 2.0
Load Testing 1.5
Load Testing 1.0 Cloud Customers
Private Public Browsers
Local
Data Center ISP
3rd Party/
Virtual/Physical Environment Cloud Services
DB App Web Load
Mainframe Servers Servers Servers Balancers Major
ISP
Storage
Network Content
Delivery
Networks
Web Mobile WAN
Services Components Optimization Mobile
Carrier
Devices
Employees Employees

41. Production Readiness
Test Across the Entire Application Delivery Chain
The Application Delivery Chain
Load Testing 2.0
Load Testing 1.5
• Drive peak load that meets business
objectives
Load Testing 1.0 Cloud
• Identify performance problems caused by
Private Public Browsers
Customers
third-party content and services Local
Data Center ISP
• Test key device and browser combinations
3rd Party/
Virtual/Physical Environment Cloud Services
DB App Web Load
Mainframe Servers Servers Servers Balancers Major
ISP
Storage
Network Content
Delivery
Networks
Web Mobile WAN
Services Components Optimization Mobile
Carrier
Devices
Employees Employees

42. Performance Reporting
Focus on the Business, Not the Infrastructure
• Role-based dashboards
• Prioritize business issues
• Real-time SLA tracking & reporting
• Contextual drill-down

43. How To Deliver Quality Web And Application
Experiences To Users – Performance Journey
LEVEL 5
P E RVA S I V E
LEVEL 4
• Active
OPTIMIZED management
LEVEL 3 of the application
• Broad EUE visibility
EFFECTIVE and deep dive delivery chain
LEVEL 2 diagnostics across • Real-time
• EUE & transaction
AWARE app delivery chain visibility used to
visibility across the
LEVEL 1 • Automation of orchestrate
• Basic awareness of app delivery chain
REACTIVE problem analysis service delivery
EUE app • Accelerated
performance and diagnosis • Leverage
problem resolution
• Limited awareness of • Initiatives “collective
• Can identify via deep-dive
end-user experience prioritized based intelligence”
problems, but diagnostics
(EUE) app on business impact across the
root-cause analysis • Problems
performance with deep root internet
takes too long prioritized by
• Reactive problem cause insight
• Performance business impact
resolution and
baselined and Business
frequent war rooms
trends tracked Agility and
• Technology-centric, Optimize Competitive
element-level Prioritize App & IT Edge
visibility by Business Performance
EUE
Impact
Visibility

44. Questions?
Compuware Customers Enjoy
Measurable Benefits
• Increased revenue 25%
• Reduced revenue loss by
92% and $737,251 annually
• Reduced home page load time
from 11.3 seconds
to 3.4 seconds
• Saved 50%+ in staff and fees
• Reduced downtime 45%
• Improved first-hour problem
resolution rate to 80%
• Improved annual
troubleshooting efficiency by
97%, saving $784,000
• Reduced SAP license costs by
$475,000 per year
For more information visit compuware.com

45. © 2011 Compuware Corporation — All Rights Reserved