Theme Speech at PMI Pear

1. Convergence of Cloud Computing & Project
Management
V. Srinivasa Rao (VSR)
Past Chairman, PMI Team India
Senior Vice President, Mahindra Satyam
13th April 2012 1

2. INFORMATION is the KING and
INFORMATION is the ASSET to take timely
decisions, corrective/preventive actions for
growth and transformation of businesses
2

3. Technology has been playing a role in providing
real time & accurate information
Agile, Lean & integrated
Business processes
Business REPEAT THE SUCCESS
Processes
Technology generates
COMPUTING POWER that
Technology over automates Business
internet for ‘All’ at an Cloud Information processes, captures and
‘affordable’ price Computing Technology mine the data, and provides
information & intelligence
for successful business
MINIMIZE TECHNOLOGY IMPROVE BUSINESS
DIVIDE AMONG MSML PERFORMANCE
businesses
(Micro, Small, Medium & Large INFORMATION, INSIGHT
Businesses)
& FORESIGHT
3

4. Computing Power from Technology Engine
• Compliance Management • Contract Management • Logistics & Transportation
• Risk Assessment & Monitoring • Designs/ Virtual Construction • Legal Management
• Finance Management • Document Management
Business
• Project Portfolio Management
• Program Management • Insurance Management • Communication Management Processes
• Project Management • Workforce Management • Decision Management
• Procurement Management • Assets Management • Knowledge Management
Desktop , Enterprise
or Mobile Applications
PLATFORM
PLATFORM
PLATFORM
Middleware Machines Middleware Machines Middleware Machines Development &
Integration Platform
Database Machines Database Machines Database Machines to build/implement
Applications
INFRASTRUCTURE
INFRASTRUCTURE
INFRASTRUCTURE
Operating System Operating System Operating System Infrastructure
Platform
Network Network Network
for
Storage Storage Storage
Computing
Hardware (Servers) Hardware (Servers) Hardware (Servers)
Power
4

5. Availability of Computing Power at an
affordable price would change the world
Computing Power is the asset and
is changing the world at rapid speed
5

6. It took 150 years to provide affordable
electric power
• In 1831, Michael Faraday devised a machine that generated
electricity from rotary motion, but it took almost 50 years for the
technology to reach a commercially viable stage
• In 1878, in the US, Thomas Edison developed and sold a
commercially viable replacement for gas lighting and heating
using locally generated and distributed direct current electricity.
It took almost 150+ years for India to take serious steps for electrification
of urban and Rural India.
6

7. Speed is the Essence!
We can not wait for another 150 years
to have commercially viable
Computing power in India
7

8. PLATFORM
Middleware Machines In the Real Time Scenario, we require
Database Machines
many Technology
Engines
INFRASTRUCTURE
Operating System
Network
Storage
Hardware (Servers)
(DATA CENTER)
to generate HUGE COMPUTING POWER to
support thousands of IT applications
The challenge is to get reliable COMPUTING
POWER at an affordable PRICE
8

9. Interesting facts on Data Centers
1. Government & Industry have established large data centers (many Technology
Engines)
2. Micro & Small enterprises do not have the required money to build their own data
centers
3. World wide carbon emissions from Data Centers would quadruple by 2020
4. World wide 44 million servers consume 0.5% of electricity
5. Data Centers consume near 25% of total corporate IT Budgets
6. Electricity consumption by data centers was equivalent to 14 power plants (The total
electric bill to $7.2 billion worldwide)
7. Average utilization of hardware (technology engines) is only 5%-15% of the total
capacity
8. 25-30% of overall IT Budget is spent on managing Data Centers (this is serious
concern)
9

10. Interesting facts on Data Centers (Contd..)
9. Micro & Small enterprises: No money for establishing Data center, still WANT
Technology support to drive business
10. Occasional usage of IT applications not in regular use – example: Virtual construction
and simulation of capital assets 6 times during project duration.. Why to invest on
permanent hardware & software?
11. Urgency in setting up the project operations due to business demand: In weeks not in
months? (e.g.: financials, procurement to comply with regulatory etc.,)
12. Technology experimentation zones for developers/team: Set up in days not in months
13. Most importantly how to use the hardware (Technology engines) at a capacity of 50%-
60% as against 5%- 15% today
10

11. SMART DATA CENTERS HAVE TO BE
ESTABLISHED
• Low energy consumption Technology Innovation is available today to build
smart Data Centers:
• Low carbon emissions
• Virtualization
• Effective (near full capacity) utilization of
hardware through Elasticity • Multi Tenant Applications
• Low cost of maintenance of applications • Access through Internet
11

12. You have a choice…
Own vs. Rent
Smart Data Centers
Owning Smart Data Centers is called Private Cloud Computing
Renting Smart Data Centers is called Public Cloud Computing
When to go for what?
Public clouds are playing the key role in providing
Commercially viable Computing Power
12

13. In Public Cloud…Smart Data Centers are available as
Service
Applications are provided as a Service –
Software as a Service (SaaS) – pay per usage
(utilities based)
PLATFORM
Middleware Machines
Platform as a service (PaaS) – Pay per usage
(utility based) Database Machines
INFRASTRUCTURE
Operating System
Infrastructure as a service (Iaas)– Pay per usage Network
(utility based)
Storage
Hardware (Servers)
Metering for charge back is the key feature of renting… like we do for
other utility services (power, water etc)
13

14. Emergence of New Projects due to Cloud
Computing & impact on Project Management
14

15. Emerging Technologies like CLOUD COMPUTING have been
increasing uncertainty and complexity in delivering different
type of projects. Many unknowns are causing the failure of
Project Managers to deliver faster, better, cheaper & steadier
services
15

16. Cloud Computing: the Project Matrix
Public Cloud Private Hybrid Cloud Community
Cloud Cloud
Business Projects Projects Projects Projects
Process as a
Service
(BPaaS)
Software as a Projects Projects Projects Projects
Service
(SaaS)
Platform as a Projects Projects Projects Projects
Service
(PaaS)
Infrastructure Projects Projects Projects Projects
as a Service
(IaaS)
21st Century Project 16

17. Cloud Computing: Project Categories (Illustrative)
21st Century Project 17

18. Cloud Computing: IT Strategy & Architecture
Projects
S. No Project Type
Develop Cloud Computing Strategy
1
Develop Cloud Computing Architecture
2
Build Cloud Path Finder
3
21st Century Project 18

19. Cloud Computing: Organization Capability
Improvement Projects
S. No Project Type
Build Cloud Computing Learning Assets
1
Develop Disaster Recovery & Business Continuity Plan for Cloud Computing Environment
2
Develop Cloud Computing Procurement & Contract Management Processes & Governance
3
Develop Cloud Computing Governance, Processes, Practices and Policies
4
Develop Cloud Services Standards & Guidelines Development
5
Develop Cloud Computing Credibility, Reliability and Vendor Locking Analyzer
6
Develop Cloud Computing Pricing Models
7
Develop Business Case for Cloud Computing
8
Develop Cloud Computing Security & Risk Management Processes/Practices
9
Develop Cloud Computing Legal Issues Management framework
10
Introduce Change Management due to Cloud Computing
11
Develop Cloud Computing Data Governance Management
12
Credibility and Reliability analysis of Cloud Platform Provider (in multiple dimensions)
13
Develop Estimation/Pricing Models for different cloud computing projects
14
15 Develop Contract Management/ Revenue Models – Annual Contracts to Pay per use models?
21st Century Project 19

20. Cloud Computing: Development, Integration &
Migration Projects
S. No Project Type
Cloud Aggregation Brokerage - Aggregation of services from multiple service providers (Fixed)
1
Cloud Arbitrage Brokerage - Aggregation of services from multiple service providers (Not fixed)
2
Integrate Public Cloud & Private clouds
3
Integrate On-Premise and Cloud applications
4
SaaS Applications Development (PaaS)
5
Migrate Applications to Private Clouds
6
9 Virtualize Applications
21st Century Project 20

21. Cloud Computing: Testing & Validation Projects
S. No Project Type
Dry Run for Disaster Recovery & Business Continuity for Cloud Computing Environment
1
Testing and Validation of Cloud Integrations/Migrations
2
Testing and Validation of SaaS Applications (Development)
3
Testing and Validation of Virtualized Infrastructure
4
Performance Testing of Integrated Apps in Cloud (multi Clouds)
5
21st Century Project 21

22. Cloud Computing: Infrastructure Projects
S. No
Build Private Clouds
1
Migrate from Traditional Data Center to Private Cloud Data Centers
2
Virtualize Infrastructure/Hardware
3
Virtualize Database
4
Virtualize Storage Networks
5
21st Century Project 22

23. Cloud Computing: Product Development Projects
S. No Project Type
Build Infrastructure Platform for Cloud Computing
1
Develop Cloud Computing Application Development Platform
2
Develop Virtualization Technology
3
Develop Enterprise Applications
4
Develop Desktop Applications
5
Develop Mobile Applications
6
21st Century Project 23

24. I have shown nearly 43 different
types of cloud focused projects
(Illustrative only)
Presentation Title 24

25. How Cloud Computing would impact the Project
Management System (PMS) ?
S. No Impacted Areas in Project Management (PM) due to Cloud
Computing
1 Project life cycles / Work Breakdown Structure
2 Global Delivery Model (GDM)
3 Contract & Procurement Management
4 Project Governance Structure
5 Best Practices/ case studies
6 Lessons Learnt/case studies
7 Checklists/standards/guidelines/ templates
8 Estimation techniques
9 Competency Building Engine (skills/learning)
10 Multi country and multi industry rules/regulations on data security
11 The 9 Knowledge areas of PM Body of Knowledge
25 25

26. How Cloud Computing would impact the Project
Management System (PMS) (Contd..)
S. No Impacted Areas in Project Description
Management (PM) due to Cloud
Computing
1 Project life cycles (Work New (or)
Breakdown Structure - phases, Customizing existing project life
tasks etc) cycles
2 Global Delivery Model (GDM) Intelligent Work Breakdown
Structure among multiple providers
(customer, cloud provider (s), India
Inc)
3 Contract & Procurement Security, Privacy, DR/BC, SLAs,
Management multi-party agreements
4 Project Governance Structure Multi-Party governance (Customer,
India Inc, Cloud provider 1, Cloud
provider n…)
5 Best Practices/ case studies New
26 26

27. How Cloud Computing would impact the Project
Management System (PMS) (Contd..)
S. No Impacted Areas in Project Description
Management (PM) due to Cloud
Computing
6 Lessons Learnt/case studies New
7 Checklists/standards/guidelines/ New (Or)
templates Customizing existing
templates
8 Estimation techniques New (Or) Customizing
existing templates / tools
9 Competency Building Engine New (Or)
(skills/learning) Customizing existing engine
10 Multi country and multi industry Extraordinary knowledge is
rules/regulations on data security required
11 Nine Knowledge of PM Body of New or Tailoring of existing
Knowledge knowledge areas
27 27

28. Can Cloud computing impact Global Delivery
Model (GDM) ?
Intelligent
Work
Compete & Collaborate Breakdown
Cloud Platforms Structure
Continuous
Optimal Cost
Learning
Private Clouds
Faster IT Infrastructure
provision
Extended Partners
Cloud Providers
Knowledge
Management
GDM Abundant
Talent
GDM Analytics
Mobility & Cloud
Quality Follow the
Green Management Sun
Optimized IT Infrastructure
Presentation Title 28

29. Few skills what Project Managers have to
refine to work in Cloud environment
• New/tailored project life cycles and methodologies
• Country law/regulatory compliance practices
• Security standards
• Cloud provider agreements, SLAs, Penalties
• Multi Cultural Team management
• Prediction of Risks in cloud environment
Presentation Title 29

30. Few challenges what Project Manager must
aware of while managing Cloud projects
• Lack of standards and multiple clouds integration
• Vulnerability to Cyber Attacks
• Network Incompatibility between Cloud Providers & IT Service providers
• Legal issues & heavy penalties
• Network bandwidth issues, SLAs failure and heavy penalties
• Talent preparation on Cloud Computing technology/environment skills
Presentation Title 30

31. Let us prepare ourselves
• Project Management is the key for India
to become Global Leader in delivering
variety of Cloud Computing Projects …
Let us prepare ourselves!
Presentation Title 31

32. Convergence of Cloud Computing & Project
Management impact the Economy
32

33. Economy : Gross Domestic Product (GDP)
2007 2008 2009 2010
India 1,242,426,253,335 1,215,992,812,024 1,377,264,718,251 1,727,111,096,363
China 3,494,055,944,791 4,521,827,288,304 4,991,256,406,735 5,926,612,009,750
USA 13,995,000,000,000 14,296,900,000,000 14,048,056,670,216 14,586,736,313,339
GDP = (C + I + G + NX) where C is private consumption or consumer expenditure,
I is business investments, G is government expenditure, NX is gross exports -
gross imports.
Presentation Title 33

34. Computing Power enables economy growth
at rapid velocity
Minimize IT Divide Providing Leapfrog Creating new
between Emerging opportunities to businesses and
and Developed emerging jobs
economies economies
ECONOMY ECONOMY ECONOMY
Source: World Economic Forum
34

35. Computing Power enables Industry growth
at rapid velocity
Minimize IT Divide See the future of Collaborative design
between Small and your business with supplier and
Large enterprises through simulation customers
BUSINESS BUSINESS BUSINESS
Source: World Economic Forum
35

36. Computing Power enables providing better
healthcare services
Massive and Real Time health Shared Platform for
flexible computing monitoring and alert Health and
power for drug distribution Insurances Services
discovery
HEALTHCARE HEALTHCARE HEALTHCARE
Source: World Economic Forum
36

37. Computing Power enables education growth
Interactive / Access to teaching Low cost
collaborative resources from all simulation
learning over the world
EDUCATION EDUCATION EDUCATION
Source: World Economic Forum
37

38. Thank You
VSR
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Presentation Title 38