Presentation to be given at the IAITAM Annual Conference in New Orleans, May 2016.

1. ITAM 2017-2022
How IT Asset Management is evolving in the Digital Enterprise

2. +Virtualisation
Virtual machines
Network deployable software
Capacity-based licensing
2005-
2011
The PC Revolution
Physical machines
Point installs
Install-based licensing
1985-
2005
2015-
+The digital enterprise
Digital Services
Internet of Things
Hybrid cloud
Containerization
2011-
2014
+Cloud and mass mobility
Industrial virtualisation
Mass-mobility and BYOD
Rapid shift to XaaS
Usage-based licensing
IT is changing

3. What is a Digital Service?

4. IT Service | ʌɪˈtiː ˈsəːvɪs |
noun
1. A Service provided to one or more Customers by an IT Service
Provider. An IT Service is based on the use of Information
Technology and supports the Customer's Business Processes. An
IT Service is made up from a combination of people, Processes
and technology and should be defined in a Service Level
Agreement.
Source: ITIL v3
PROVIDER
FOCUSED

5. "You‘ve got to start with the
customer experience and work
back toward the technology - not the
other way around.”
Source: Steve Jobs
CUSTOMER
FOCUSED

8. “The digital enterprise runs on diverse technologies,
from mainframe to mobile, from hybrid cloud to the
Internet of Things.
This infrastructure must be open, scalable, stable, agile,
cost-effective, and entirely transparent to consumers”
BMC White Paper (2015) - Powering Innovation and Growth with Digital Enterprise Management

9. Digital Services
New stakeholders
More focus on financials
New devices and components
More shared infrastructure

10. Some key Asset types
underpinning the Digital revolution
Internet of Things Cloud Services & Infrastructure Containerization
https://www.flickr.com/photos/28681973@N00/11140100424/

11. •
Rise of the Internet of Things
0
5
10
15
20
25
30
2009 2015 2020
4.9bn
0.9bn
Source: Gartner Predicts 2015: The Internet of Things
25bn
Number of connected
things (billion)

12. Oracle Software Investment Guide
“Oracle’s Forklift”

13. …is now a reality
“Today’s smart forklift includes
diagnostics that allow the
equipment to signal when it
needs to be serviced, speed
controls, anti-slip technology
that monitors wheel spin and
improves traction, collision
detection, fork speed
optimization,
and more…”
Forbes, 16th March 2015

15. PC based
Proprietary components
Hardware differentiated
Mobile based
Smartphone components
Software differentiated
Old vs new

16. Distinct devices, priced per unit Homogenous devices, priced by
feature consumed
Before… Now…
The IoT is a Software revolution

17. “…to secure additional
revenue, manufacturers need
to recognize the role that
embedded software and
applications play in the IoT,
and they need to monetize
this value”
Gartner - Software Licensing and Entitlement Management Is the
Key to Monetizing the Internet of Things (April 2014)
Laurie F.Wurster, Gartner

18. Software-style licensing comes to hardware

19. Challenges
• Security issues
• PCI compliance
• HIPAA
• Licensing
• Software maintenance
• Discovery

20. The Cloud: An IT Asset perspective
On-Premise
Servers
Storage
OS
Middleware
Application
IaaS PaaS SaaS
Servers
Storage
OS
Middleware
Application
Servers
Storage
OS
Middleware
Application
Servers
Storage
OS
Middleware
Application

21. Cloud is usurping traditional datacenters

22. 6am 9am Noon 3pm 6pm
DATABASE SERVER
7am 7pm
REPORTING
SERVER
Dedicated instance spun-up
for daily reporting job
Additional database capacity at
peak customer access time
Evening discovery jobMorning discovery job
Discovery has limitations

23. The Growth of SaaS

24. 148 169 211 209 226 259 258
309 313
397
457
548 529
605
638 665
774
841
0
200
400
600
800
1000
1200
Q3 2013 Q4 2013 Q1 2014 Q2 2014 Q3 2014 Q4 2014 Q1 2015 Q2 2015 Q3 2015
Consumer Enterprise
Cloud Service Sprawl
Source: SkyHigh Networks

25. “The groups building the cloud
often inadvertently become the
asset managers.
People can accidentally take on
the role of asset management
without intending to”
Anthony Hillier, CTO of CiRBA, in
CIO.com, April 2014

26. +Virtualisation
Virtual machines
2005-
2011
The PC Revolution
Physical machines
1985-
2005
2015-
+The digital enterprise
Hybrid cloud
Containerization
2011-
2014
+Cloud and mass mobility
Industrial virtualization
Instance-based
licensing
CPU-based licensing
Core-based licensing
“Value unit” licensing
Dynamic capacity
licensing
?
Software licensing challenges

27. APP
APP
APP
APP
APP
APP
APP
APPS APPS APPSAPPS
VIRTUAL MACHINES
HARDWARE HARDWARE
HOST OPERATING SYSTEM HOST OPERATING SYSTEM
CONTAINERS
OS OS OSOS
LIBRARIES LIBRARIES
HYPERVISOR DOCKER ENGINE
Containers: the next virtual revolution

28. Why?
“For one simple reason: You
can stick a lot more
containers on a single server
than you can VMs.
How many more? Try two to
three times more!”
Steven J. Vaughan-Nichols,
in ZDNet, 2014.

29. Oracle 11g Enterprise Edition
What’s in that container?

30. IBM MQ Advanced for Developers
What’s in that container?

31. MOVE
ADD
DELETE
CHANGE
Instantiate new instance in
Private Cloud
Decommission Desktop-as-a-
Service instance and cancel
app subscriptions
Purchase more file storage for
cloud instance
Relocate server to new
Datacenter
Provision and deploy
new physical server
Retire user’s PC, and reclaim
software licenses
Add bigger hard drive to
physical server
Transfer Amazon instance to
new Availability Zone
Core ITAM principles still hold

32. STATIC RAPID
SHARED
CONSUMPTION
INDIVIDUAL
OWNERSHIP
PUBLIC
CLOUD
DEVOPS
INSTANCESEND-USER
DEVICES
SAAS
SERVICES
PHYSICAL
SERVERS
VIRTUAL
SERVERS
IoT
COMPONENTS
PRIVATE
CLOUD
PERIODIC DATA DISCOVERY
SERVICE CONTEXT
PERIODIC DATA DISCOVERY
DEVICE CONTEXT
ACTIVE DATA COLLECTION
SERVICE CONTEXT
ACTIVE DATA COLLECTION
DEVICE CONTEXT
Rapid vs Static, Shared vs Individual

33. Line of Business,
Partners & customers
CUSTOMERVIEW
CUSTOMER
IT, HR, Facilities
SERVICE
FRONT-END
SUPPLIERVIEW
+ + +
NEW
ASSETS
EXISTING
ASSETS
+ + ++
SUPPLIER PROVIDED
ASSETS
PRIVATE
SUPPLIER
ASSETS
SERVICE ORG INTERNAL PROVIDER
EXTERNAL PROVIDER
INTERNAL
ITSM
PLATFORM
EXTERNAL
ITSM
PLATFORM
ITAM at the point of Service Brokerage

34. Fundamental truth #1
Digital Service Managers can’t fully understand
their services without understanding the Assets
on which each service depends.

35. Fundamental truth #2
IT Asset Managers can’t optimize the
organization’s Assets without understanding
the Services they are there to underpin.

36. Chief Technology Officer
• Enable innovative digital
services at the front-line of
business.
• Transform the customer
experience
• Provide technology basis for
innovation and delivery of
digital products
• Maximize value of the digital
technology stack
Digital Service Owner
• Manage the operation and
development of frontline
digital services.
• Leverage internal and
external asset resources to
deliver, run and grow a
service.
• Manage the P&L of the
digital service.
Chief Marketing Officer
• Transform legacy customer
offerings into the digital era.
• Drive new digital channels of
income for the business.
• Grow revenue and
profitability through digital
channels.
Key Executive Roles in the Digitally
Transformed Enterprise

37. ITAM’s key financial perspective
Service Viewpoint (CTO)
Digital Service
Assetcost
Projectcost
ServiceCost
Laborcost
Etc…
Asset financials
Software Hardware XaaS
Digital Service
Assetcost
Projectcost
ServiceCost
Laborcost
Etc…
Vendor Management Viewpoint (CFO)
Vendor
Spend
Trends
Compliance
Vendor
Spend
Trends
Compliance
Asset Viewpoint (ITAM)

38. What next?
• Identify your Digital Services and the business
priorities driving them
• Map the Asset landscape, align to services
• Differentiate rapid/static, shared/individual…
and manage accordingly.
• Make ITAM indispensable