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Demonstrating IT Relevance to Business Aligning IT and Business Goals with On Demand Automation Demonstrating IT Relevance to Business Aligning IT and Business Goals with On Demand Automation Solutions Robert Le. Blanc General Manager Tivoli Software IBM

Adaptive. . . Organic. . . Real Time. . . On Demand An on Adaptive. . . Organic. . . Real Time. . . On Demand An on demand business is an enterprise whose business processes —integrated end-to-end across the company and with key partners, suppliers and customers—can respond with flexibility and speed to customer demand, market opportunity or external threat. 2

How do you begin the journey to on demand? Where you start depends on How do you begin the journey to on demand? Where you start depends on YOUR organization’s priorities. sin Bu IT Operating Environment ess ENTRY Pro ces ENTRY ses Business Transformation Flexible Financial & Delivery Options Increasing flexibility is a key—business models, processes, infrastructure, plus financing and delivery 3

On Demand Automation Helps You Build an On Demand Operating Environment Integration Business flexibility On Demand Automation Helps You Build an On Demand Operating Environment Integration Business flexibility through integration of people, processes and information within and beyond the enterprise Infrastructure Management Reduce complexity and cost of IT management based on business policies through automation and virtualization technologies. 4

Demonstrate Business Value with On Demand Automation Manage and optimize operational processes and IT Demonstrate Business Value with On Demand Automation Manage and optimize operational processes and IT services based on business policies by automatically sensing and responding to changes Reduce Cost and Increase Productivity Increase Business Flexibility to Support Change & Innovation Improve Service Levels (Qo. S) Demonstrate and Measure IT Value to the Business Source: e-business on demand attributes and capabilities study, IBM 2003 5

Business and Technology Trends Driving On Demand Automation Rapid Introduction of New Technology § Business and Technology Trends Driving On Demand Automation Rapid Introduction of New Technology § § § § Grid Computing Pervasive Devices SOA Vo. IP Video Conferencing Web Services Wireless Networks Business Expects More from IT § Facilitate faster, more predictable service § Achieve app efficiencies, support faster growth § Compliance with security policies § Increase competitiveness § Reduce time to market On Demand Automation 6 Shifting Paradigms Forcing Silos to Break Down § Compliance § Life-Cycle Management § Security Threats § Virtual Organization

A Structured Approach is Key to Achieving On Demand Automation Success Business Focus IT A Structured Approach is Key to Achieving On Demand Automation Success Business Focus IT Focus Element Management § § On Demand Management IT Service Management Manual processes Ad hoc practices Reactive and tactically aligned Resource intensive § § Automated processes Local expertise Proactive and Predictive Automated provisioning § Integrated processes § Best practices § Automated, self managed environment § Dynamic provisioning On Demand Predictive Basic 1 Managed 2 3 Levels of On Demand Automation 7 Adaptive 4 5

On Demand Automation: Tangible and Lasting Benefits Individual effort in days Department effort in On Demand Automation: Tangible and Lasting Benefits Individual effort in days Department effort in weeks Service Leve Predictability Maturity Cycle Basic-Managed Predictive-Adaptive Time 8 On Demand Automation

Relationship of Technology Adoption to Process Basic On Demand Automation Technology Adoption Process lo Relationship of Technology Adoption to Process Basic On Demand Automation Technology Adoption Process lo o. Process Maturity Cycle Techn Elapsed Time 9 n io Adopt gy

On Demand Automation: Basic to On Demand Maturity Cycle Process §Incident Mgmt §Configuration Mgmt On Demand Automation: Basic to On Demand Maturity Cycle Process §Incident Mgmt §Configuration Mgmt §Problem Mgmt §Asset Mgmt §Service Mgmt §Availability Mgmt §Capacity Mgmt §Change Mgmt § Automated Release Management § Security Management § Service Continuity Management Elapsed Time Technology Adoption Maturity Cycle §Transaction Performance §Storage Mgmt §Access Mgmt §Event Automation §User Provisioning §Help Desk §Resource Monitoring §User Mgmt §Software Distribution §Inventory § Federated Identity Mgmt § Capacity Analysis § Automated Problem Resolution § Load Distribution § Orchestration § Virtualization Elapsed Time 10 Source: 2003 Tivoli Customer Study, Management Insight Technologies

On Demand Automation Addresses your Needs Increase Business Flexibility to Support Change & Innovation On Demand Automation Addresses your Needs Increase Business Flexibility to Support Change & Innovation Reduce Cost and Increase Productivity Improve Service Levels (Qo. S) Improving IT Operations Sense § § § § Inventory Monitoring Remote Management Access Management Directory Integration Backup / Restore Virtualization Change § § § Improving Business Flexibility Integrated Data Model Provisioning Distribution Identity Management Information Integration Business Integration § § § Correlate Event Management System Automation Workload Scheduling Capacity Planning Provisioning Business Service Management Based on IT Process Models (ITIL, CMM, etc. ) Levels of Automation 11 Govern § Intelligent Orchestration § Web Infrastructure Orchestration

New On Demand Automation Offerings and Partners! Increase productivity, business flexibility, and service levels New On Demand Automation Offerings and Partners! Increase productivity, business flexibility, and service levels Improving IT Operations Sense § Infrastructure Simplification § Identity Management § System Automation Change Improving Business Flexibility Correlate § Provisioning (Storage, § Compliance Server, Software, Grid) offerings §Patch Management §Test Environment § Industry Offerings § 15 new OPAL partners § IGS Automation Assessment § Virtualization Engine Govern § Intelligent Orchestration “IBM is the most credible sponsor of On Demand Automation – 88% of respondents likely or very likely to invest in blueprint” — SWG MI Study 2004 12

Key Takeaways! Rapid Introduction of New Technology Business Expects More from IT Shifting Paradigms Key Takeaways! Rapid Introduction of New Technology Business Expects More from IT Shifting Paradigms Forcing Silos to Break Down Business processes must keep pace with technology adoption Provide a secure, available and resilient infrastructure that meets the increasing service-level requirements and changing business priorities. Horizontally integrated processes are required to meet business priorities On Demand Automation 13

Take the next steps now! 1. Get educated § Case studies § User groups Take the next steps now! 1. Get educated § Case studies § User groups & Networking § Visit the IBM Solution Center at Giga. World 2. Develop your strategy § Reduce Cost § Improve Service Levels § Increase Business Flexibility 3. Assess your strengths § Talk to your IBM sales rep or business partner about an on demand Automation Assessment 4. Get started § Pilot on demand automation projects on demand automation helps you move to the on demand world 14