Oracle Benefits of Outsourcing The Management Of Oracle

Oracle – Benefits of Outsourcing The Management Of Oracle Software Anirudha Sharma Bhamidipati Systems Architect Dayco Telecom C. A. ,

Daycohost Relationship with Oracle • Daycohost is a Oracle Partner with Oracle for : – General technology hosting. – OPP Member - i. Platform CP. • Fair % of Daycohost projects involve Oracle platform: – More than 30 technical personnel with expertise in various levels across the range of Oracle products – Solutions hosted using both 8 i, 9 i Technology and 11 i Applications across multiple Operating systems. • Daycohost works closely with Oracle across various technology deployments

Agenda: . . . Present day Information Technology (I. T) Crisis. Solution – Outsourcing. Why Outsource? ASP. How does ASP model work? Advantages: Focus – Oracle. Tips to Successful – ASP Outsourcing Migration Issues. How is the existing infrastructure affected? Why Linux? Building the case for Linux. Tests – Linux RH Advanced Vs. Solaris 8. Case Study : Messaging in ASP model. . Q & A.

Present day Information Technology (I. T) Crisis § § § § Growing needs of users , providers & customers. High Capital Expenditure. Lower and still shrinking I. T budgets. Growing bandwidth costs. Growing complexity of Business Processes. Fast Growing Business Content. Higher Logical Security requirements. Better Management of I. T processes expected. Greater Integration of I. T investments expected -Defacto. Higher expectations from low investments in IT. Low Manpower hiring rates. Tough Political, Economic situations facing most Countries. Failing I. T returns due to Complexity and heterogenity. Result : Greater focus on Optimization, cost reduction, centralization and faster changes and decisions in I. T management.

Outsourcing Introduction to Outsourcing: Outsourcing of I. T Applications, implies that corporations, companies who assign their I. T responsibilities to 3 rd Partie(s) who will maintain and effectively respond to complete these responsibilities facilitating the Client concentrate on core business issues. Outsourcing also is divided into the following areas: §I. T Infrastructure. §Business Apps. §Human Capital for I. T. §I. T Change Management. Based on which providers are divided into two areas: § ASP ( Application Service Providers ) § Development Oursourcing Providers

Why Outsource? Outsourcing is a method to achieve : § § § § Better control on Core Business Issues. Non-Obsolute I. T Capital investments. Effective use of existing I. T Capital goods such as Hardware and Software. Lowest Software Acquisition costs. Lower Costs in Manpower. Proven Logical and Physical security. Growing needs of users , providers & customers. Better bandwidth management to lower costs. Proper control over growing complexity of Business Processes. Fast Growing Business Content is easily managed. Effectiveness in the Management of I. T processes. Greater Integration of I. T investments. High expectations from low investments in I. T achived through Agreements. Valuable Consultancy and resources. Effective reuse of existing Human Capital.

ASP – Application Service Provider is one who provides the following: § § § § Technology Expertise. Project Management Expertise. Business Domain & Integration Expertise. 24 x 7 x 365 Application Support. 24 x 7 x 365 Infrastructure Availablity & Network Operations Center. 24 x 7 x 365 Highly Trained Technical Tier based Support. 24 x 7 x 365 Backup & Restore Services. 24 x 7 x 365 Data Replication Services. 24 x 7 x 365 Data storage on Demand facility. 24 x 7 x 365 OOB (Out Of Band)Infrastructure. 24 x 7 x 365 Network management. 24 x 7 x 365 Multiple Bandwidth Providers. OSS Billing. Branch office Connectivity. 24 x 7 x 365 Global Load Balancing. § § § 24 x 7 x 365 SLAs (Service Level Agreements) 24 x 7 x 365 Electrical Facilities along with Alternate Power Facilities. 24 x 7 x 365 Service Resolution. Anti-Sesmic & anti-Flooding Facility. High physical Security complex. CRM (Customer Relationship Management). Online Ticketing. Business Continuity Planning Capabilities. Flexible pricing structure. Highly available Logical security. Remote connectivity & diagnostic tools. Multiple alliances with Software & hardware providers.

How does the ASP model work? ASP Customization Software ISV Change Management End-User / Clients Technical Support Apps On Rent Apps Management Data Center Facility Apps Installation Telecom - Connectivity Network Services Carrier / ISP

The ASP Value Chain Customer ASP Partner Management Value Chain Solutions Provisionin g • Production and creation of content • Application creation development • Provide software applications enabling application technology • Administration of enabling application technology Solutions Distribution • Provide data center and collocation services • Administration of enabling network technology • Provide network access and connectivity Service Integration • Provide application customization services • Provide business process design and integration • Provide application aggregation services Customer Interface • Manage customer relationship • Provide single point of contact for all issues • Marketing and sales Source: Lucent NPS 2003

Importance of Competencies When Selecting an ASP Source: Lucent NPS 2003

Trends ASP Source: Lucent NPS 2003

Biggest Web Service Challenges For I. T. Management Source : Infosys

Advantages: Focus – Oracle. Traditional Application ISV / In-house ASP ISV / In-house Product Support Implementation Application / H. W / S. WAdministration OSS Data Center Telecom - Connectivity Customer Customer Authorized Partner Authorized Hosting Technology Partner

Oracle Management – ASP. One of the most effective methods to manage your Oracle database and applications is via web with OEM (Oracle Enterprise Manager)

Features of OEM is used to monitor the following issues: § Business Impact reporting. § End to End monitoring and problem response. § Application health Assesment. § Service level monitoring. § Event Monitoring. § Administrative impact reporting. § Automate repetive Administration tasks. § Instance Management. § Storage management. § Security management. § Collaborative management. § Replication management. § Automated Discovery. § Associating Managed targets. § Blackout periods. § Service performance optimization. § Schema and Data management.

Tips to Successful – ASP Outsourcing §Bring ASP in early. §Present specific Business Issues to be presented as a Tech Solution to check TCO factors. §Collaborate, don't dictate it stops 2 way communication. §Be clear about what you need from the ASP. §Be decisive after visiting the Data Center facility. §Prioritize on what u need from the ASP. §Set clear goals for the project and the SLA’s. §Think in versions of all software and hardware and its applications. §Ask questions regarding all factors including 24 x 7 support. §Learn the implications and train to administer apps. §Ask about implications. §Smile , nod and then GO ahead.

Migration Issues. General Issues: §Hardware Comparision. §Network Performance. §Oracle Versioning and binaries comparision. §Operating system comparision. §Telecom Facilities. § 24 x 7 Support facilities. §OOB management. §Patch Management. §SLA compliance Levels. §Response time compliance and penalties. §Apps support.

Migration Issues. Oracle Issues: § Installation of Oracle Database. § Java SDK Version, Kernel version, FS type. § Hard disk space and partitions. § TNSlistner Configuration. § Database Features. § Database Layout (Oracle Binaries. Control files, Logs, Misc. Undo tablespace, Users tablespace, Indexes) and SQL queries, PL/SQL scripts. § OEM (Oracle Enterprise management) § Data Guard. § Clustering and Load Balancing § O. S – Security, logfiles, tuning parameters. § Hardware Performance ( CPU(s) behaviour, hard disk I/O, Memory refresh rates, NIC performace, Uplinking bandwidth)

How is the existing infrastructure affected? § Lowest I. T Acquisition Costs. § Lower I. T Administration Costs. § Less Intensive I. T management. § Proactive alignment with Business requirements. § Lower bandwidth requirements ( OOB via VPNs). § Better and firm control over Core Business. § Required Internal Service levels are insight. • “More with less is achieved in the STP(shortest time path)”.

So …. Why Linux? ‘ The HUMAN MIND once streched by a NEW IDEA never goes back to its ORIGINAL Dimension. ’ – Oliver Wendell Holmes

Building the Case for Linux § 30 – 40 % lower hardware costs. §Open License on use of Linux OS distributions. No hidden costs. Most secure O. S & with proven Industry standards in DB. §Oracle Support for both Linux and its products. This means lower support costs. §One of the largest and most technically invovative products are being migrated to Oracle on Linux. §Collaboration is a integral part of this solution. §Largest and growing Linux users group worldwide. §Messaging costs one of the lowest and most customizable. §Ongoing Improvement of services and client demands can be met effectively.

Building the Case for Linux -TCO

Building the Case for Linux Pros § Effective when primary consideration is reduced cost. § Appropriate when analysis of the whole business is not feasible due to time, scope, or § limited access to existing apps. § Java based apps. § Highly mobile and secure on the non secure internet. § Easy Remote Management and administration. § High level of Data Security and availability. § Efective failover clustering and load balancing including over WANs. § Great for BCP (Business Continutity Planning) requirements. § Minimal impact on business context to client (user) base. § Highest Level of customization of content FOR & BY THE USER can be achieved. § Administrators have better sleep. § Great management tools like OEM (Oracle Enterprise Manager & Data Guard), provide proactive reporting, recovery from human , system errors and disasters. Cons § Doubts on Little-to-no emphasis on benefits or value-added services of Linux § § distribution manufactures. O. S. rapid Change management. Hidden Costs – Like O. S. Support. Training Costs. Apps Non-availabilty and Migration to Linux.

Sample Prices of Hardware Dell Power. Edge 6450 Dell Power. Edge 8450 Sun Enterprise 4500 Operating System Red Hat Linux Advanced Server 2. 1 Solaris 8. 0 7/01 CPU 4 x 700 MHz Pentium III Xeon 8 x 700 MHz Pentium III Xeon 4 -CPU: 4 x 450 MHz 8 -CPU: 8 x 450 MHz Ultra. SPARC-II CPU L 2 Cache 2 MB 8 MB Memory 4 GB 8 GB 4 -CPU: 4 GB 8 -CPU: 8 GB Internal Disk 4 x 18 GB* 2 x 36 GB* External Disk Power. Vault 210 S - 10 x 18 GB* Power. Vault 210 S – 10 x 18 GB* Stor. Edge D 1000 – 8 x 36 GB* NICs 2 x 100 Mb/s (1 internal, 1 PCI card) 2 x 100 Mb/s (1 PCI card) 1 x 100 Mb/s (I/O card) RAID Controller 2 x PERC/2 Dual Channel A 3500 FC RAID Controller Video On-board Remote console Height 4 Rack Units (4 U) or 7 -inches 7 Rack Units (7 U) or 12. 25 -inches 8 Rack Units (8 U) or 14 inches Price as configured $23, 827 $52, 310 4 -CPU: $147, 085 8 -CPU: $228, 885 Source http: //www. dell. com 5/7/02 http: //www. sun. com 5/7/02 Database Server Comparison: Power. Edge 6450 and 8450 vs. Sun Enterprise 4500

Sample Oracle Pricing Oracle pricing is per CPU and is the same on all platforms. Some sample list pricing from Oracle’s web site is provided below. 4 CPUs 8 CPUs Oracle 9 i Database Server Enterprise Edition $136, 000 $256, 000 Source http: //oraclestore. oracle. com 5/7/02 Hosting - ASP 4 CPUs 8 CPUs Oracle 9 i Database Server Enterprise Edition $ 4, 000 $8, 000 Source Daycohost *

Tests The workload consisted of simultaneously running the eight queries and measuring the elapsed time with the Oracle timing function. Simultaneous execution was achieved by starting each query in background mode in a simple shell script using the SQLPLUS command. The scripts were run directly on the database servers. Three runs were performed on each system, with the results averaged. Four- and eight-CPU test results are shown in below and overleaf, respectively. System Average Query Time (sec) Performance: Dell Advantage Price as Configured (see Table 1) Price: Dell Advantage Price/| Performance: Dell Advantage Sun Enterprise 4500 w/ 4 CPUs 66. 85 1 $147, 085 1 1 Dell Power. Edge 6450 w/ 4 CPUs 39. 58 1. 69 X $23, 827 6. 17 X 10. 43 X Hosting ASP Pricing – Dell Power. Edge 6450 w/ 4 CPUs per month X X $ 2779. 81 X x Note : 4 -CPU Test Results: Power. Edge 6450 vs. Sun E 4500 w/ 4 CPUs In the 4 -CPU comparison, the Dell Power. Edge 6450 completed the eight queries in an average time of 39. 58 seconds, 69% faster than the Sun E 4500’s 66. 85 seconds. The Dell system tested was 6. 17 times less expensive than the Sun, giving Dell an overall price/performance advantage of 10. 43 X.

Tests System Average Query Time (sec) Performance: Dell Advantage Price as Configured (see Table 1) Price: Dell Advantage Price/ Performance: Dell Advantage Sun Enterprise 4500 w/ 8 CPUs 35. 54 1 $228, 885 1 1 Dell Power. Edge 8450 w/ 8 CPUs 22. 92 1. 55 X $52, 310 4. 38 X 6. 79 X Note: 8 -CPU Test Results: Power. Edge 8450 vs. Sun E 4500 w/ 8 CPUs The 8 -CPU comparison between the Dell Power. Edge 8450 and the Sun E 4500 is similar: the eight queries take an average of 22. 92 seconds on the Dell system, 55% faster than the 35. 54 seconds on the 8 -way Sun. With a price 4. 38 times less than that of the comparably equipped Sun E 4500, the Power. Edge 8450 has a 6. 79 X price/performance advantage. Based with DELL whitepaper ESG.

Why is Messaging so Important? § It’s all about EAI (Enterprise Application Integration) and the Portal. § § Inside companies ( E-mail users) B 2 B – Business to Business B 2 C – Business to Customers B 2 G – Business to Government (E-Governance)

A Little Bit of History Business Logic Message Management ( Ticket Tracking) Message Routing and Transformation Message Distribution Business Logic Message Management (Journalizing, Tracking …) Message Routing and Transformation Message Oriented Middleware Networking API’s The Network Business Logic Business Event Management Business Intelligence Workflow Tracking/Auditing Routing – Publish/ Message Oriented Subscribe Middleware Transformation Distribution

Integration within an Enterprise • To implement cross-departmental business processes Operations Marketing Finance Internet LAN Intranet Sales

B 2 B - Business to Business • For efficient supply-chain management • To integrate with partners, vendors and customers • To expand delivery channels Supplier Internet LAN WAN Customer Manufacturer

B 2 C - Business to Customers § To improve customer responsiveness Customer Support Internet Web Server Sales Force Automation Marketing Front Desk Accounting Intranet Manufacturing Human Resources Back Office Corporate data

Introducting the most complete Messaging Suite Fax Voice Microsoft Outlook Web Wireless Voicemail Calendar Files Search E-mail i. Meeting

App View Email Calendar Files Voicemail

System Architecture View

Web based…. . 30, 000 Users Per Database

Case Study : Messaging in ASP model. • All Information In The Database and Encrypted. (15 Security Certifications) • Single search for all data sources with ultra search. • Less disk space usage for user data. • Single backup. • Anti-virus features for E-mail. • Inbound, outbound emails retain and archive. • Server side rules. • Web based user interface and access to popular email clients. • Multiple domains can be hosted effectively. The above makes Oracle Collaboration suite Service Provider friendly.

Features of Oracle based Email. § Industrial strength, standards based email server § IMAP 4, SMTP, POP 3, HTTP § Rich SPAM and Virus checking / blocking tools § Built in List-server capabilities § Webmail client § Native support for Oi. D § Support for Outlook through Oracle Connector for Outlook § Migration Tools from popular servers § Exchange, Notes, Group. Wise, Open. Mail

Features of Oracle based Calender. § Rich resource scheduling § Book resources based upon attributes or hierarchy § Approve/reject resource request through workflow integration § Real-time scheduling § i. Meeting integration § Schedule and Join an i. Meeting through calendar § Access i. Meeting archive through Calendar § Connector for Outlook § Presents Oracle Calendar in Outlook § Server-side rules including Out-of-office Assistant § Delegated management of email folders § IMAP performance optimizations

Features of Oracle based Files. § Collaborate on creation: share, edit, version. § Flexible user access. § Web user interface and Windows Explorer access.

Features of Oracle based i. Meeting. § Cobrowse - Synchronous HTML-based browsing of Internet or Intranet sites § Document Presentation - Present MS Office, HTML, text, and image files § Whiteboard - Select from a palette of tools to draw or annotate on screen § Desktop Sharing - Share any region, application, or entire Windows PC desktop § Chat - Public, private, or group chat with Online Presence in a meeting § Voice Streaming - Listen-only voice streaming from any telephone to attendees § Store - Store all documents and transcripts securely in database. § Playback - Playback recorded meetings from the Archives § Deploy - As Hosted Service or Enterprise License.

Features of Oracle Voicemail & Fax § Voice Messages accessible from the phone and other devices § Substantial cost savings in consolidating voice & email infrastructure in the Data Center Wireless Email Voicemail Fax Web or Client Analog

Features of Oracle Wireless & Voice • • • Integrated wireless Voice Collaboration Personalized access to critical messages Information finds you where you are Standards support

Features of Oracle Synch Server § § § Sync. ML server built into Collaboration Suite Many existing Sync. ML clients § Nokia § Ericsson § And other manufacturers. Information is automatically synchronized with clients § No additional coding required

Features of Oracle Ultra. Search Documents Files Conferences Ultra Emails Web Pages Search Appointments Voicemails

Case Study in ASP Model Messaging and collaboration – TCO Study based on the similar Hosting services in Venezuela. TCO in Venezuela. Under ASP Model for 1000 users with all ASP Services including the general configuration: § 2 – Front-end Oracle 9 i AS servers with Red. Hat linux 9 Professional. § 2 – Back-end Oracle 9 i DB RAC servers with Red. Hat linux AS.

Case Study in ASP Model Description Cost Front End Web Servers – 9 i. AS(Dell 2650 – 2 CPU @Xeon GAL 2. 8 GHz, 12 GB RAM / 2 x 36 GB SCSI Raid 1, RHLinux 9 Professional) as on 17 august 2003 dell-ven $ 24, 530 Front End Web Servers – 9 i. AS(Dell 2650 – 2 CPU @Xeon GAL 2. 8 GHz, 8 GB RAM / 3 x 73 GB SCSI Raid 5 ) as on 17 august 2003 dell-ven $ 42, 720 Cost of Oracle Licensing(Including Support of both Oracle apps and Linux) per month $ 8, 000 Cost of Infrastructure / year (Bandwidth + Electricity + Housing + Administration of 4 hours a month + 5 GB Backup) $ 20, 000 Final Costs per month ( Given that contract period is 2 years) $ 11, 635. 42 Per User Cost (1000 users) $ 11. 63

Why spend more…. . when u get the very best for Less!

Q& A Q U E S T I O N S A N S W E R S

Anirudha Sharma Bhamidipati Systems Architect Dayco Telecom C. A. , Caracas, Venezuela. Website: http: //www. daycohost. com E-mail: as@daycohost. com Direct: +58 -212 -999 -9080 Fax: +58 -212 -999 -9011 Mobile: +58 -416 -7272611