Advantages to Adoption the Microsoft Cloud - Microsoft Customer Executive Summit
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Advantages to Adoption the Microsoft Cloud - Microsoft Customer Executive Summit
- 1. Microsoft Executive Summit Business Transformation in a Mobile & Cloud First World
- 2. Microsoft Executive Summit Business Transformation in a Mobile & Cloud First World • Where Are You Spending Today? • Value Of Microsoft Cloud • Realize The Value Of The Cloud Faster Agenda
- 3. Microsoft Executive Summit Business Transformation in a Mobile & Cloud First World • Where Are You Spending Today? • Value Of Microsoft Cloud • Realize The Value Of The Cloud Faster Agenda
- 4. Microsoft Executive Summit Business Transformation in a Mobile & Cloud First World • Why don’t you make the tires for your company vehicles? • Why don’t you grow the wheat to make the bread that goes into the sandwiches at your cafeteria? • Who generates electricity more efficiently, your organization or someone with a large generator and know how? • If a particular IT service is ubiquitous and the same at every company (like generating electricity or water service) is that a differentiator? What Services Should You Run In House?
- 5. Cost Management: Where are you spending? Gartner: “How Best to Reduce I&O Costs in Midsize Enterprises” 10/27/14 Document: G00270371 Midsize Enterprises spend more on “running” what they have, rather than growing or transforming
- 6. Microsoft Executive Summit Business Transformation in a Mobile & Cloud First World • Where Are You Spending Today? • Value Of Microsoft Cloud • Realize The Value Of The Cloud Faster Agenda
- 7. Microsoft Executive Summit Business Transformation in a Mobile & Cloud First World • Where Are You Spending Today? • Value Of Microsoft Cloud • Realize The Value Of The Cloud Faster Agenda
- 8. Technology Cost Savings Office 365 $944K in benefits resulting from infrastructure costs, implementation efforts, and licenses. - Forrester Improve agility, reduce costs, and provide the tools to work efficiently 40% Less “Less internal effort and professional services fees.” - Forrester $400K “To provide all the 365 features on- prem in servers and storage.” – Forrester $150K “Shrinking LAN by 50% resulted in $150K savings per year.” – Forrester VS
- 9. Azure #1 Reason for adopting cloud services is to lower IT costs. Followed by better/faster access to data and operational savings (beyond IT) – IDC Improve agility, reduce costs, and provide the scale to work efficiently Technology Cost Savings 40%-60% “Cooling costs will make up as much as 40% to 60% of a data center's electricity costs.” (Hype Cycle for Data Center Power and Cooling Technologies, 2014 - Gartner) 80% “By 2018, 80% of enterprise data centers will place low- performance unstructured data into public cloud storage, leaving only business-competitive capabilities on-premises.” - Gartner
- 10. Support Cost Savings 20% “Our help desk costs have gone down roughly 20%.” – Forrester Office 365 $1.43M in benefits resulting from IT support costs being reduced by more than half. - Forrester Improve agility, reduce costs, and provide the tools to work efficiently 50% “Moving to Office 365 is part of a program to cut support costs in half” - Forrester 3 to 1 “We had 3 (FTE) Exchange admins and now only need one. The freed-up resources are now working on projects that deliver more value.” - Forrester Stuff That Matters VS
- 11. Azure 25%+ “Through 2017, at least 70% of enterprises can reduce I&O run total cost of ownership by 25% or more.” - Gartner Improve agility, reduce costs, and provide the tools to work efficiently Support Cost Savings 2000+ People “Microsoft has over 2000 people in cloud infrastructure engineering and operations with 30,000+ software engineers involved in cloud-based activities.“ 30 Seconds “Using Azure we can spin up a new website for a product in less than 30 seconds. That is having an impact on how responsive Marketing sees IT in our business…”
- 12. Always On Availability Global “The existing infrastructure was not big enough to provide the needed global redundancy.” - Forrester Office 365 $Priceless? Not just that it’s up and running, but that it’s a service managed by Microsoft financially backed by an SLA - instead of your team. Improve uptime, access, and provide the tools to work efficiently $80K “Savings of $80,000 over three years compared with maintaining DR capabilities in-house.” - Forrester 98% to 100% “Availability for the Microsoft solutions has gone from 98% to practically 100%.” - Forrester
- 13. Azure $Priceless? in avoiding the expense and complexity of building and managing your own secondary location across more workloads. Improve uptime, reduce costs, and provide the tools to recover quickly Improve Disaster Recovery 15 Billion “Microsoft has invested over 15 billion dollars in global datacenter infrastructure.” 19 Regions “With regions around the world we truly have global availability now.” About 8.6 million citizens lost electricity in the U.S. during the storm. 600K Servers “We have over 600,000 servers in one of our Azure regions alone.” Source: U.S. Department of Energy, Office of Electricity Delivery and Reliability situation reports. Chart data reflect situation posted at 3:00 PM EST on November 9 2012.
- 14. Azure $Priceless? in avoiding the expense and complexity of building and managing your own secondary location across more workloads. Improve uptime, reduce costs, and provide the tools to recover quickly Improve Disaster Recovery Orchestration and Replication: Hyper-V Replica, SQL AlwaysOn Microsoft Azure Site Recovery Windows Server On-premises to On-premises protection Microsoft Azure Site Recovery Communication Channel Replication channel: Hyper-V Replica SAN Replication Primary Site Windows Server Recovery Site Windows Server Microsoft Azure Site Recovery Download Scout Replication channel: InMage Replication Primary Site Physical/ VMWare Recovery Site VMWare InMage Scout InMage Scout Primary Site 15 Billion “Microsoft has invested over 15 billion dollars in global datacenter infrastructure.” 19 Regions “With regions around the world we truly have global availability now.” 600K Servers “We have over 600,000 servers in one of our Azure regions alone.”
- 15. VPN Mobility Empower More “…with over half of our system users being mobile users. All roads lead to mobile first, and we needed to support it through the cloud.” - Office 365 $2.81M in total productivity savings for employees on the road over 3 years. - Forrester Enable employees to work from almost anywhere on any device $2M to $3M “We no longer need to open remote offices everywhere… We expect to save $2-3 million per year in office costs.” - No VPN “Our employees can now get their data and apps from anywhere without having to mess with VPNs.” - Forrester
- 16. Azure $3.5M Average cost to a company in US dollars for data breaches. Up 15% from last year. - Ponemon Enable employees to work from almost anywhere on any device Mobility 40 to 60% “…virtual desktop adopters have complained that storage costs can be as high as 40% to 60% of the entire SHVD budget” - Gartner (Storage Design Alternatives for Virtual Desktop Deployments) 62% “62 percent of employees think it is acceptable to transfer corporate data outside the company on personal devices and cloud services. And the majority never delete the data, leaving it vulnerable to data leaks.” - Symantec
- 17. Business Intelligence 30 Minutes Per Day “This time savings can be used to complete additional value-add work as well as avoid the need for new hires.” - Forrester Office 365 $3.25M in production gains from better and faster access to the right information. Provide greater insights into business performance. 8.5% Less “Time-to-decision has definitely decreased. People can find the information they need, and there has been 100% system availability.” - Forrester
- 18. Communication & Collab Office 365 $247K in benefits from better communications and eliminating redundant tools. - Forrester Provide greater insights into business performance. $135K “Reported reducing telephone costs by $75,000 per year and eliminating other web conferencing solutions with an annual cost of $60,000.” - Forrester High Use “People are using a lot more Lync-based collaboration… These ad hoc meetings are critical.” - Forrester 6 to 3 “Previously we had 6 conference rooms fitted with telepresence conferencing. In this new office we only have 3. People are more productive now than when we had twice as many enabled conference rooms.” - Forrester
- 19. Social Collaboration Office 365 365% in composite organization ROI from better collaboration and eliminating redundant social tools Empower the organization with collaborative tools that help increase results Direct Cost Savings “Additionally, the social aspect of Office 365 has resulted in direct cost savings by being able to eliminate other social and collaboration services” - Forrester Integration “Integration with Yammer has improved collaboration. We are seeing knowledge sharing increase.” - Forrester
- 20. Azure 3.5M The cost of achieving regulatory security compliance is on average $3.5 million each year. – Ponemon Institute Help protect important data and ensure compliance Control & Compliance 300+ People “Over 300 people focused on data privacy, including: Software Engineers, Scientists, IT Pros, Marketing and Lawyers.” - Microsoft 75% or More “Orgs cited ‘better in the cloud’ spam management, security reporting, less disruptions, more up to date antivirus, compliance, recovery, and efficiency keeping up to date.” 11+ Certs “Microsoft products and services hold all of the key certifications, attestations and authorizations that we need.” - Customer
- 21. Microsoft Executive Summit Business Transformation in a Mobile & Cloud First World • Where Are You Spending Today? • Value Of Microsoft Cloud • Realize The Value Of The Cloud Faster Agenda
- 22. Microsoft Executive Summit Business Transformation in a Mobile & Cloud First World • Where Are You Spending Today? • Value Of Microsoft Cloud • Realize The Value Of The Cloud Faster Agenda
- 23. Microsoft Executive Summit Business Transformation in a Mobile & Cloud First World • Go beyond deployment with adoption planning. • Connect with your Microsoft account team. • Take advantage of the experience of Microsoft partners and the exclusive offers our partners provide. Realize The Value Of The Cloud Faster
- 24. Microsoft Executive Summit Business Transformation in a Mobile & Cloud First World • Where Are You Spending Today? • Value Of Microsoft Cloud • Realize The Value Of The Cloud Faster Agenda
Editor's Notes
- Timing: 30 Seconds Key Points: This is a generational moment for businesses To avoid being disrupted, careful consideration of your aspirations is necessary Talk Track: What an incredible moment for businesses. The global economic outlook is positive for the coming years. Unprecedented amount of cash stockpiles. According to Bank of America Merrill Lynch, companies have over $4.5 trillion available. Small and medium business confidence is the highest it has been in the recent past (GE Ideas Lab: European SME CAPEX Barometer is 33% for Q1 2014 compared to 15% same quarter last year). Incredible pace of startup activity and innovation. Venture Capital partnerships invested $9.5 billion in 951 deals during the first three months of 2014 (source: MoneyTree report by PricewaterhouseCoopers, April 2014). Money is flowing. Ideas are happening. Enterprise software investments and interest are at an all-time high. All of this represents our defining moment.
- Call out offers – How they are great ways of saving money and driving positive change… ($$$s, %s, & Data)
- Call out offers – How they are great ways of saving money and driving positive change… ($$$s, %s, & Data)
- Technology is more critical than ever when it comes to helping organizations grow today. Yet IT budgets are often decreasing and IT is being asked to do more with less. If we don’t find better ways of delivering technology in our organizations while still saving money our entire organization may fall behind. We believe that if you haven’t already embraced and begun investing in the Microsoft cloud you are missing a significant savings opportunity and spending money that could be better used. During this next session consider what has been holding back your cloud investments and contrast them with the benefits that perhaps you haven’t yet realized. If you do that, we are confident you will see significant gains the cloud can provide in your organization and will be ready to adopt it even more to help meet the new demands our IT future holds.
- Call out offers – How they are great ways of saving money and driving positive change… ($$$s, %s, & Data)
- Call out offers – How they are great ways of saving money and driving positive change… ($$$s, %s, & Data)
- “Had a traditional on-premises deployment… been implemented, the internal effort and professional services fees would have been 40% greater.” All of the interviewed companies saved money on back-end hardware and hosting. One company said, “If we wanted to provide all of the Office 365 features in an on-premises solution, we would have had to invest $400,000 in servers and storage.” Another reported shrinking its LAN by 50%, which resulted in a $150,000 savings per year. $272K Implementation cost savings (40% less than for a comparable on-prem solution) The Office 365 implementation consisted of three phases (see the Costs section for more detail). Had a traditional on-premises deployment of Microsoft 2013 solutions been implemented, the internal effort and professional services fees would have been 40% greater. This savings across all phases equaled $272,000 $672,791 Server, hardware and hosting cost savings The move from the 2010 version of the Microsoft solutions to the Office 365 cloud-based solution meant that new infrastructure did not need to be purchased, installed, and maintained. In total, 30 highly virtualized physical servers were not added over the life of the study, and SAN requirements were reduced by half. The total savings to purchase, maintain, and host the hardware amounted to $672,791. $1.43M IT support savings (manpower to support is reduced by more than half) The total number of resources required to maintain and grow the Microsoft solutions — Office Professional Plus, Exchange, Lync, SharePoint, Yammer, and OneDrive — was reduced by Year 3 of the study from nine down to four full-time employees (FTEs). Much of this is in the form of avoiding additional hires as well as redeploying two existing system administrators who could focus on other, higher-value activities. The three-year associated savings was $1.42 million.
- Do you have a size limit on e-mail boxes? How big? Why is that? Cost of Storage? Cost or retention / recovery? “Cooling costs will make up as much as 40% to 60% of a data center's electricity costs.” (“Hype Cycle for Data Center Power and Cooling Technologies, 2014“ http://www.gartner.com/document/2809729)
- “Overall, operations maintenance tasks have dropped significantly compared with our on-premises solutions. We used to have three full-time equivalent (FTE) Exchange administrators and now only need one. The freed-up resources are now working on projects that deliver more value.” “We have avoided a lot of new hires on our system administration teams.” “Moving to Office 365 is part of an overall program to cut support costs in half. To do that we needed to move to more of a consumer style support model.” ~Director of information systems and services $272K Implementation cost savings (40% less than for a comparable on-prem solution) The Office 365 implementation consisted of three phases (see the Costs section for more detail). Had a traditional on-premises deployment of Microsoft 2013 solutions been implemented, the internal effort and professional services fees would have been 40% greater. This savings across all phases equaled $272,000 $672,791 Server, hardware and hosting cost savings The move from the 2010 version of the Microsoft solutions to the Office 365 cloud-based solution meant that new infrastructure did not need to be purchased, installed, and maintained. In total, 30 highly virtualized physical servers were not added over the life of the study, and SAN requirements were reduced by half. The total savings to purchase, maintain, and host the hardware amounted to $672,791. $1.43M IT support savings (manpower to support is reduced by more than half) The total number of resources required to maintain and grow the Microsoft solutions — Office Professional Plus, Exchange, Lync, SharePoint, Yammer, and OneDrive — was reduced by Year 3 of the study from nine down to four full-time employees (FTEs). Much of this is in the form of avoiding additional hires as well as redeploying two existing system administrators who could focus on other, higher-value activities. The three-year associated savings was $1.42 million.
- Disaster recovery capabilities are now part of the Office 365 hosted solution. For one company, that meant a savings of $80,000 over three years compared with maintaining DR capabilities in-house. Improved uptime. “Availability for the Microsoft solutions “has gone from 98% to practically 100%.” Microsoft’s service- level agreements (SLAs) are better than the previous internal ones. This is very important since email is one of the most mission-critical applications.” Interviewed companies reported less downtime. One organization gave an example of a remote data center that went down for 2.5 days, which severely impacted productivity for 10% of the workforce. The existing infrastructure was not big enough to provide the needed global redundancy. Example – How much it costs to do this on prem. (Look up studies/data)
- Geo redundant storage
- Geo redundant storage
- Moving to Office 365 makes organizations inherently more flexible. IT organizations can more quickly provision users and roll out the latest features to make workers more productive. One organization reported using Office 365 to more quickly integrate two merged companies. It said, “It has given us tremendous agility.” Another interviewed organization described a use case that has resulted in millions of dollars in additional revenue: “Opening an office used to take three to four months. Our latest opening, using Office 365, took 18 days. When we get a grant, we can only start to invoice once we begin to perform work. That means we were losing three months of revenue.” This amounted to nearly $200,000 per month for one office, and five offices were being opened in a typical year. “We no longer need to open remote offices everywhere since people can work from home. We expect to start savings $2 to $3 million per year in office costs next year.” “Our employees can now get their data and apps from anywhere without having to mess with VPNs. Office 365 is really intuitive and simple to use.” “It is now more convenient for our US workers to support locations around the world at odd hours of the day.” “We were reaching a tipping point with over half of our system users being mobile users. All roads lead to mobile first, and we needed to support it through the cloud.” ~IT director “Office 365 has made things much easier for our home workers. They comprise roughly 7% of the organization.” Three hundred highly mobile “road warrior” employees save 1 hour per day by Year 3. Out of the knowledge workers using Office 365, 300 salespeople and engineering consultants are on the road the vast majority of their time. They save a lot of time from not having to use VPNs to access systems and having better collaboration tools and access to information. This increased productivity grows from a quarter hour per day in Year 1 up to 1 hour per day in Year 3 as more Office 365 solutions are rolled out, e.g., Lync and SharePoint, and as the users become more comfortable using them. The total productivity savings, discounted 50% since not all productivity gains result in more work accomplished, was $2.81 million.
- 8.5% Respondents also said that, on average, Office 365 has led to an 8.5% decrease in time-to- decision. 30 minutes saved per day “.
- “We moved into a new office building last year. Previously we had six conference rooms fitted out with telepresence conferencing capabilities. In this new office we only have three. People are more productive now than when we had twice as many enabled conference rooms.” “People are using a lot more Lync-based collaboration. In the past they would book a conference room or email spreadsheets. Now they can just share a desktop. These ad hoc meetings are critical.” “Presence has been huge. We are definitely seeing benefits for our geographically disperse organization.” Eliminated web conferencing solutions Eliminated long-distance phone charges Eliminated communication technologies “Tight integration between Office 2013 and Lync is absolutely resulting in productivity improvements.” Another reported reducing telephone costs by $75,000 per year and eliminating other web conferencing solutions with an annual cost of $60,000.
- In 2011 TEI of Yammer showed the composite organizations ROI to be 365%. “Additionally, the social aspect of Office 365 has resulted in direct cost savings by being able to eliminate other social and collaboration services” “Integration with Yammer has improved collaboration. We are seeing knowledge sharing increase.” “Our employees can start communities, use SharePoint social tools, and blog. It all works very well together.”
- Microsoft Trustworthy Cloud Survey 2000+ respondents. Control & Compliance Azure Active Directory Azure RMS Compliance Stuff
- Call out offers – How they are great ways of saving money and driving positive change… ($$$s, %s, & Data)
- Call out offers – How they are great ways of saving money and driving positive change… ($$$s, %s, & Data)
- Call out offers – How they are great ways of saving money and driving positive change… ($$$s, %s, & Data)