Click here to close now.

Welcome!

Microservices Journal Authors: Carmen Gonzalez, Liz McMillan, Yeshim Deniz, Elizabeth White, AppDynamics Blog

Related Topics: Cloud Expo, Java, Microservices Journal, Virtualization, AJAX & REA, Web 2.0

Cloud Expo: Article

Avoiding the Hidden Costs That Derail Cloud Projects

The Challenge: Making Your Private Cloud Fit Your IT Infrastructure Puzzle

Most companies that have embarked on a private cloud journey find themselves in one of two unfortunate positions: they've already spent much more than they had planned or they're struggling with how to make sure costs don't get out of hand. These are typically companies with sophisticated IT organizations - organizations that ask tough questions and put detailed plans in place. For example, an international bank spent millions of dollars and six months of professional services time before scrapping their existing cloud project and restarting it with a completely new approach and toolset.

The Challenge: Making Your Private Cloud Fit Your IT Infrastructure Puzzle
Cloud automation vendors make deploying a private cloud sound easy. If you take their basic out-of-the-box capability, the good ones will probably take you anywhere from a few hours to a few days to get a simple self-service private cloud working. While that may make a nice proof-of-concept demo, will that actually meet the needs of how you manage your infrastructure or will you need to replace prior technology and best practice investments to make your cloud work?

Cloud management is not a standalone entity. For your cloud to be successful, it needs to integrate and work with your existing management infrastructure and best practices. As you evaluate cloud management platforms, you need to assess how each tool works with your current and future management ecosystem. Your cloud management choice will not only impact prior investments, it can also limit your future choices. In order to avoid some of the hidden private cloud costs, evaluate how cloud management options will fit with your existing IT ecosystem.

  • Deployment Technologies
    Does your cloud management plaform work with the current technologies used to deploy your infrastructure? This includes both the private resources in your data centers and public cloud resources. Does it support the operating system, server virtualization tools, and desktop technologies being used today as well as the ones you may want to use in the future?
  • Management Infrastructure
    Typically, the delivery of a private cloud service requires a work order ticket to be generated, an internal database accessed, and that specific tools be used to deploy software, monitor the environment and take corrective action. How easily does your cloud management platform work with your current management tools and processess? Will you need to replace these tools or pay for extensive customization to make your cloud management solution work?
  • Best Practices
    As part of continuous process improvement, companies should always be looking to streamline and improve their processess. Deploying a private cloud is a large paradigm shift and some process changes will likely be needed to facilitate end-to-end automation. However, your cloud management software should not force changes on you that don't make sense within the guidelines established for your company. Remember that substantial changes required by the vendor are likely to be costly in terms of time and effort, if not also technology.
  • Custom Self-Service Portal
    All cloud management products provide some level of self-service capabilities. An out-of-the-box self-service portal simplifies initial deployment. However, what if your company already has a self-service portal or existing work order ticketing system? The last thing you will need is yet another portal. How easily can your existing portal be integrated with your cloud management services and will you need to spend time and money reproducing all the security in the custom portal?

Cloud Management Extensibility
Extensibility is also a critical factor in private cloud costs. Wikipedia defines extensibility as: "In systems architecture, extensibility means the system is designed to include hooks and mechanisms for expanding and enhancing the capabilities without having to make major changes to the system infrastructure." Often this means making modifications at runtime without requiring changes to the original source code.

Most cloud automation products will only automate a portion of your provisioning, ongoing management, or decommissioning processes. Therefore, an extensible architecture, combined with multi-vendor support, are fundamental components of cloud management platforms as they're needed to facilitate integration with the current IT infrastructure and management ecosystem.

With regard to extensibility, cloud management software products typically fall into one of the following two categories:

  • Prescriptive Tools
    Many cloud management solutions were built for a specific problem, like lab management, and have prescribed processes, limited interoperability, and lack the extensibility features needed to adapt to more broad-scale deployment requirements.

Any tool that requires drastic changes to existing management tools, infrastructure components, or operational processes will result in additional capital costs required to replace existing technology as well as additional investment in people who can use this new technology and processes.

The other challenge is that your company will likely be unable to achieve the savings you have envisioned because the automation solution will not meet the needs of the various business units. These business groups will either stay with their current manual process, reducing the percentage of your infrastructure that can be moved to an on-demand cloud, or they will implement a different cloud solution that does not provide your company with the operational scalability and savings you could have had with a single integrated solution.

  • Automation Toolkits
    Some vendors provide very basic cloud management capabilities and augment their cloud management offering by providing separate run book toolkits or "orchestration" products. This option allows companies to completely customize their cloud solution. However, there are multiple hidden costs associated with this implementation choice:

Initial services costs outweigh the software costs
These solutions tend to require lengthy and expensive custom services projects where services typically cost three times as much as the software.

Customized solutions are not easily extended to other business
In addition to the higher upfront costs, cloud automation solutions built with an automation toolkit tend to be built specifically for the needs of a single business. When companies try and expand the use of the highly customized solutions, they either have further customization costs or suffer from limited adoption across the enterprise.

Customized solutions make upgrades to newer release difficult
Many customizations strand the implementation at a specific release, making upgrades to newer versions difficult and costly.

Mitigating Private Cloud's Hidden Costs
Hopefully you now have a better understanding of some of the hidden cloud deployment costs and how your automation choice can not only affect costs but also impact your actual savings. It's important that you can adapt and expand automation with tools targeted at both IT operations as well as developers. In order to enable the quickest time-to-cloud value, companies should consider the following capabilities when evaluating cloud management platform software:

  • Comprehensive out-of-the-box functionality
    First and foremost, you will want a cloud management solution with a comprehensive set of out-of-the-box cloud management features. Many vendors only focus on initial provisioning capabilities. Make sure your cloud management platform automates the complete life cycle including ongoing management, resource reclamation, and decommissioning including archiving. The more features available out-of-the-box, the less need for costly custom services to extend the product's core functionality.
  • Broad multi-vendor support
    When evaluating cloud management options, make sure that the tool you choose can orchestrate end-to-end delivery across all the technology and management components that make up your implementation. Most vendors only support components from their own offerings. Unless you're a single-vendor shop, that means you may need to discard your prior investments and be locked into that vendor's technology in the future. Multi-vendor support includes technologies used in your private cloud as well as public cloud resources.
  • Policy enabled extensibility
    How extensible is your cloud management platform by just changing configuration parameters? Can you select different provisioning workflows, collect custom data, define resource limits and service levels, or create custom approvals or reclamation workflows? These are just a few of the many customizations you should be able to make via policies. The more you can customize your cloud deployment via policies, the quicker and more cost-effectively you will be able to deploy a private cloud infrastructure that meets company's specific needs.
  • Business-aware governance
    Being able to modify the behavior of your cloud via policies is important, but just as important is the granularity of the policies that can be configured. They must be granular enough to allow different business groups to have different services that are built and constructed using different processes, resources and service levels. For example, the way you provision and manage IT resources can be quite different for dev/test vs. production vs. desktops. Business-aware governance and control is fundamental to meeting the unique needs of each business and driving broader cross-group adoption of cloud services.
  • Modify out-of-the-box automation
    Can you easily add tasks or call scripts at various states in the machine's life cycle? Is there a visual workflow editing tool and a library of predefined activities that simplify the customization process? For example: How easily can you add a self-service command to perform a specific function, access/retrieve information from a custom DB as part of the provisioning process, or execute a script to customize a machine configuration? Are you modifying the workflows that ship with the product or is this a separate run book automation or "orchestration" tool that you need to bolt onto the cloud management tool?
  • Automate additional tasks
    Can the cloud automation platform be used to automate additional tasks that go well beyond simple modifications to out-of-the-box processes? For example, one company extended the process used to provision new desktops to also automate the process of onboarding new employees. If you need this level of extensibility, one factor that should be considered is the availability of developers with this skill set. Automation tools based on de facto standards like Visual Studio and .NET will be much easier to find developers for than a vendor-specific automation tool.

Implementing and managing a private or hybrid cloud doesn't have to be so expensive. Make sure you're armed with the knowledge needed to fully evaluate your cloud vendor's offerings for potential hidden costs. Otherwise your business may find itself putting cloud projects on hold or having to justify a much-increased budget.

More Stories By Rich Bourdeau

Rich Bourdeau is VP of Marketing at DynamicOps. He has over 20 years of experience in developing, managing and marketing IT infrastructure management solutions for enterprises. Rich has spent the last four years at DynamicOps helping companies deploy and manage their private cloud infrastructures. He is a regular contributor to the DynamicOps blog and has authored papers on Must Have Cloud Management Capabilities as well as Building the Business Case for Private Cloud. Rich can be reached at [email protected] if you want to learn more about cloud management.

Comments (0)

Share your thoughts on this story.

Add your comment
You must be signed in to add a comment. Sign-in | Register

In accordance with our Comment Policy, we encourage comments that are on topic, relevant and to-the-point. We will remove comments that include profanity, personal attacks, racial slurs, threats of violence, or other inappropriate material that violates our Terms and Conditions, and will block users who make repeated violations. We ask all readers to expect diversity of opinion and to treat one another with dignity and respect.


@MicroservicesExpo Stories
The cloud has transformed how we think about software quality. Instead of preventing failures, we must focus on automatic recovery from failure. In other words, resilience trumps traditional quality measures. Continuous delivery models further squeeze traditional notions of quality. Remember the venerable project management Iron Triangle? Among time, scope, and cost, you can only fix two or quality will suffer. Only in today's DevOps world, continuous testing, integration, and deployment upend...
Chuck Piluso will present a study of cloud adoption trends and the power and flexibility of IBM Power and Pureflex cloud solutions. Speaker Bio: Prior to Data Storage Corporation (DSC), Mr. Piluso founded North American Telecommunication Corporation, a facilities-based Competitive Local Exchange Carrier licensed by the Public Service Commission in 10 states, serving as the company's chairman and president from 1997 to 2000. Between 1990 and 1997, Mr. Piluso served as chairman & founder of ...
To manage complex web services with lots of calls to the cloud, many businesses have invested in Application Performance Management (APM) and Network Performance Management (NPM) tools. Together APM and NPM tools are essential aids in improving a business's infrastructure required to support an effective web experience... but they are missing a critical component - Internet visibility. Internet connectivity has always played a role in customer access to web presence, but in the past few years u...
Working with Big Data is challenging, especially when decision makers depend on market insights and intelligence from your data but don't have quick access to it or find it unusable. In their session at 6th Big Data Expo, Ian Khan, Global Strategic Positioning & Brand Manager at Solgenia; Zel Bianco, President, CEO and Co-Founder of Interactive Edge of Solgenia; and Ermanno Bonifazi, CEO & Founder at Solgenia, discussed how a revolutionary cloud-based BI along with mobile analytics is already c...
Operationalizing the network continues to be a driving force behind DevOps and SDN. The ability to solve real problems using programmability to automate and orchestrate infrastructure provisioning and configuration across the application release process remains the hope for many interested in one or the other - and often times both. A recent Avaya sponsored, Dynamic Markets survey (reg required) dove deep into the demesne of SDN and found that many of the problems companies have - and expect ...
We just finished the first O’Reilly Software Architecture Conference and the overwhelming most popular topic was microservices. Why all the hype about an architectural style? Microservices are the first post-DevOps revolution architecture. The DevOps revolution highlighted how much inadvertent friction an outdated operations mindset can cause, starting the move towards automating away manual tasks.
This is my first blog post at AppDynamics, and I have to say that it’s great to be aboard. It’s been a hectic first couple of weeks, but the energy, enthusiasm and friendliness of everyone I have met has made me very excited about 2015! AppDynamics has a market leading APM and analytics platform but it also takes great people to make a great company – and AppDynamics has a wealth of talent! So to start my blogging life at AppDynamics I want to focus on something that is a red-hot buzzword in IT...
What’s hot in today’s cloud computing world? Containers are fast becoming a viable alternative to virtualization for the right use cases. But to understand why containers can be a better option, we need to first understand their origins. In basic terms, containers are application-centric environments that help isolate and run workloads far more efficiently than the traditional hypervisor technology found in commodity cloud Infrastructure as a Service. Modern operating systems (Linux, Windows, e...
Software is eating the world. Companies that were not previously in the technology space now find themselves competing with Google and Amazon on speed of innovation. As the innovation cycle accelerates, companies must embrace rapid and constant change to both applications and their infrastructure, and find a way to deliver speed and agility of development without sacrificing reliability or efficiency of operations. In her Day 2 Keynote DevOps Summit, Victoria Livschitz, CEO of Qubell, discussed...
SYS-CON Events announced today that Vicom Computer Services, Inc., a provider of technology and service solutions, will exhibit at SYS-CON's 16th International Cloud Expo®, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. They are located at booth #427. Vicom Computer Services, Inc. is a progressive leader in the technology industry for over 30 years. Headquartered in the NY Metropolitan area. Vicom provides products and services based on today’s requirements...
SYS-CON Events announced today that Blue Box has been named “Bronze Sponsor” of SYS-CON's DevOps Summit New York, which will take place June 9-11, 2015, at the Javits Center in New York City, NY. Blue Box delivers Private Cloud as a Service (PCaaS) to a worldwide customer base. Built on a technology platform leveraging decades of operational expertise in cloud and distributed systems, Blue Box Cloud is a managed private cloud product available in both hosted and on-prem versions. Each Blue Box ...
Lacking the traditional fanfare associated with any technology that can use the word "container" or mention "Docker" in its press release, Ubuntu Core and its new Snappy system management scheme was introduced late last year. Since then, it's been gaining steam with Microsoft and Amazon and Google announcing support for the stripped-down version of the operating system. Ubuntu Core is what's being called a "micro-OS"; a stripped down, lean container-supporting machine that's becoming more pop...
This is a no-hype, pragmatic post about why I think you should consider architecting your next project the way SOA and/or microservices suggest. No matter if it’s a greenfield approach or if you’re in dire need of refactoring. Please note: considering still keeps open the option of not taking that approach. After reading this, you will have a better idea about whether building multiple small components instead of a single, large component makes sense for your project. This post assumes that you...
This digest provides an overview of good resources that are well worth reading. We’ll be updating this page as new content becomes available, so I suggest you bookmark it. Also, expect more digests to come on different topics that make all of our IT-hearts go boom!
The stack is the hack, Jack. That's my takeaway from several events I attended over the past few weeks in Silicon Valley and Southeast Asia. I listened to and participated in discussions about everything from large datacenter management (think Facebook Open Compute) to enterprise-level cyberfraud (at a seminar in Manila attended by the US State Dept. and Philippine National Police) to the world of entrepreneurial startups, app deployment, and mobility (in a series of meetups and talks in bot...
SYS-CON Events announced today the DevOps Foundation Certification Course, being held June ?, 2015, in conjunction with DevOps Summit and 16th Cloud Expo at the Javits Center in New York City, NY. This sixteen (16) hour course provides an introduction to DevOps – the cultural and professional movement that stresses communication, collaboration, integration and automation in order to improve the flow of work between software developers and IT operations professionals. Improved workflows will res...
I woke up this morning to the devastating news about the earthquake in Nepal. Sitting here in California that destruction is literally on the other side of the world but my mind immediately went to thinking about my good friend Jeremy Geelan. See Jeremy and his family have been living in Kathmandu for a while now. His wife, in fact, is the Danish Ambassador to Nepal!
SYS-CON Events announced today that B2Cloud, a provider of enterprise resource planning software, will exhibit at SYS-CON's 16th International Cloud Expo®, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. B2cloud develops the software you need. They have the ideal tools to help you work with your clients. B2Cloud’s main solutions include AGIS – ERP, CLOHC, AGIS – Invoice, and IZUM
Containers and microservices have become topics of intense interest throughout the cloud developer and enterprise IT communities. Accordingly, attendees at the upcoming 16th Cloud Expo at the Javits Center in New York June 9-11 will find fresh new content in a new track called PaaS | Containers & Microservices Containers are not being considered for the first time by the cloud community, but a current era of re-consideration has pushed them to the top of the cloud agenda. With the launch ...
SYS-CON Events announced today that MangoApps will exhibit at SYS-CON's 16th International Cloud Expo®, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY., and the 17th International Cloud Expo®, which will take place on November 3–5, 2015, at the Santa Clara Convention Center in Santa Clara, CA. MangoApps provides private all-in-one social intranets allowing workers to securely collaborate from anywhere in the world and from any device. Social, mobile, and eas...