costs in education and government agencies IT Solutions 1 As organizations grow and evolve, their data centers can quickly multiply to serve a myriad of needs. With computer rooms being established and managed by diverse groups across the organization, it can be difficult to manage costs and quickly respond to individual user needs. This segmented approach to IT management leads to server sprawland inordinate costs for floor space, cooling, system management, and more. Moreover, this means exciting new initiatives can go unfulfilled. Theres no easy way to bring applications online quickly to support these endeavors. To solve these challenges, organizations need a more strategic approach to data center management. After all, a data center is not mere space. It is the heart of the organization. Its the people, processes, and technology that keep operations pumping. In this paper well discuss key techniques for achieving productivity gains across the data center. This paper will explore the numerous steps Verizon Business can take to help make the most of the resources that drive each business. These steps can transform data centers into finely tuned operations, poised to support strategic goals and objectives. TODAYS DATA CENTER CHALLENGES Unquantifable costs We all know data centers are expensive to build and maintain. Whats often unknown is what are the full costs involved, where can those costs be reduced, and how can the organization gain a strong return on its investment in the data center. With new servers cropping up in far flung data closets across the enterprise, its difficult to know what resources exist, let alone optimize them. But doing so is crucial to the success of the business. The ever-changing IT environment requires active management and review to align with evolving business goals. Poor server utilization Often new servers are established and dedicated to a particular function or application, and are sized to fulfill that need during peak periods. Yet this means much of the time, a portion of the machines processing capacity may sit idle. This can result in unnecessary server capacity and related expenses. Poor server utilization can also waste money on excess computing power and associated management and electric/cooling costs. Unforeseen and uncontrolled power and cooling costs As servers have sprung up across the enterprise, HVAC needs have grown exponentially. In fact, power and cooling expenses are growing four times as fast as new server spend. Whats more, energy usage at data centers has doubled between 2000 and 2006, and is expected to double again by 2011. Organizations are looking to reduce power and cooling needs, both in an effort to reduce their carbon footprint and to drive down escalating costs. Some energy efficiency gains can be made through means such as improved transformers, direct liquid cooling systems, and power management. However, the most significant energy savings will result from aggressive server consolidation. To that end, in its Report to Congress on Server and Data Center Energy Efficiency, the EPA advises that the greatest efficiency improvements will likely result from a comprehensive approach. Space constraints Its quite easy to bring new servers online but theres usually no process in place for retiring these servers when an initiative ends or the persons using that machine leave the company. This leads to server sprawl. By 2011, more than 70 percent of company-run U.S. enterprise data centers will face tangible disruptions related to energy consumption, floor space, and/or costs, according to Gartner, Inc. But its not just space that organizations need. They require high-density data centers with room to support their growing needs, built to meet stringent security requirements. This space comes at no small price. Industry experts estimate that converting office space to data center space triples the cost of construction. Business continuity planning Organizations must find ways to maintain the availability of key systems and business processes during an outage or disaster. In addition, many Many public agencies and educational institutions are seeking to answer the Presidents call for greater efficiency, yet this is no easy feat. Theyre often mired down by rigid technologies and old processes that make change painful. WHITE PAPER Data Center Transformations: Gaining agility and reining in escalating IT costs in education and government agencies 2 government entities and other industries such as healthcare and financial services must also create business continuity plans that meet privacy and security standards. However, its often difficult for organizations to determine if their existing plans are sufficient to meet any unanticipated disruption. Frequently they dont realize the shortcomings of plans until an unexpected incident occurs. Physical and logical security Countless organizations today are grappling with a host of security threats. In 2008 alone, Verizon Business conducted forensic investigations involving more than 285 million compromised business records. Nearly all these records were compromised from online assets. To safeguard their prized information, companies need strong physical and logical security in place. However, they often find methods such as biometrics or dedicated 24x7x365 security guards cost-prohibitive. This is especially true when an organizations servers are spread among multiple data centers, or even when multiple business groups with differing security requirements share data center space. TACKLING TOUGH DATA CENTER CHALLENGES Verizon Business understands that data centers arent mere rooms with servers and rack space. They represent the epicenter of the organization. Keeping them running at peak efficiency requires a keen understanding of more than just technology. Thats why Verizon takes a holistic approach to improving both the systems and processes that support the organization. This distinctive model of data center management and rationalization helps organizations to: Control data center costs Improve efficiency and agility Strengthen security Become better environmental stewards. Verizon Business has a comprehensive yet modular portfolio, built over 15 years of experience and validated with numerous vendor certifications as well as process and security reviews. Objective assessment It all starts with a comprehensive assessment of the multiple facets of an organizations IT infrastructure and associated processes. To help organizations improve server utilization, for example, Verizon Business provides a complete inventory and objective assessment of the entire IT infrastructure, identifying where clients can benefit from consolidation. But we look beyond the technology to help organizations: Enact efficient processes for deploying new applications Identify old or underutilized equipment Retire or reallocate resources to prevent future sprawl Secure confidential information Develop and test disaster recovery plans For an even more tailored approach, Verizons professional services team can be utilized onsite on a contract or retainer basis for an in-depth, on-the-ground assessment. By immersing themselves in the clients organization, our Verizon consultants can make the best recommendations based on the real dynamics and needs of the organization. Consolidation capabilities Verizon analyzes current CPU, disk, network, and I/O utilization to locate excess capacity that could be applied elsewhere in the organization. Verizon Businesss in-house experts examine not just available resources but usage patterns and other pertinent data before making any recommendations. Based on these insights, the company helps clients to harness the computing power of every data center square foot. Clients can usually gain compression ratios between 6:1 and 10:1 from the consolidation effort alone. This approach helps organizations to keep servers from languishing once they are no longer needed, and conversely, prevent servers that users rely on from being inadvertently retired. This consolidation initiative can help clients use available hardware much more efficiently, and control associated power, storage, real estate, and management costs. For example, a major metropolitan transportation agency found it was able to improve productivity by consolidating down from four data centers to one. The consolidation process also reduced the need for physical rack space, cable plant, switch port capacity, and more. Server virtualization Many government and educational organizations can realize cost control from virtualizing servers. The impressive financial advantages of virtualization have made it a key initiative for organizations looking to identify cost saving opportunities. However, virtualization needs to be approached prudently to achieve cost efficiencies, without disrupting operations or hampering security. Organizations need sound guidance to determine the appropriate server and applications best suited for virtualizationand a roadmap for continuous improvements. As a Gold Partner in the VMware Authorized Consultant (VAC) Program, Verizon Business provides a complete suite of virtualization services, including cost/benefit analysis, design, configuration/ installation, migration, and monitoring of the virtual infrastructure. This top tier of the VAC Program provides Verizon Business with immediate access to VMware tools, methodologies, and its newest offerings. Verizon Business brings a wealth of experience managing complex applications and virtualized environments. The company also recently undertook its own virtualization efforts, decommissioning 1,700 of its own servers and converting 2,100 to virtualized machines. These servers are now running at 60-80 percent capacity. Learning from its own experience and those of its many customers, Verizon Business brings valuable insights to help organizations gain maximum efficiency from their existing IT resources. Risk assessment Verizon Business performs a wide range of vulnerability assessments on applications, wired and wireless networks, and associated infrastructure to identify and resolve any security gaps. The company provides design, implementation, and management services for multi-layered security solutions, including firewalls, intrusion detection systems, and network access controls (NAC). Perhaps more importantly, Verizon Business advises clients on managing risk and responding to security attacks such as denial of service, malware propagation, and other critical security events. Data Center Transformations: Gaining agility and reining in escalating IT costs in education and government agencies 3 Verizon Business has considerable expertise in this area. This wealth of knowledge enhances the teams ability to pinpoint likely areas of risk within customer environments and foresee vulnerabilities in emerging technologies. Partial or full data center outsourcing Data center outsourcing is another very effective approach many agencies take to enhance productivity and manage real estate, IT, and power/ cooling costs. With Verizon Business, operations needing to augment or replace their existing data centers can choose to locate their IT operations at one of our world-class data centers around the globe; or have Verizon build and manage a fully customized data center. The company designs, builds, and tests data centers in a timely manner. Once the data centers are up and running, our strategic services team helps to fine-tune system availability, performance, and security. Co-location services With co-location, organizations can house their IT equipment at Verizons secure data centers. Clients taking advantage of co-location opportunities can leverage Verizons capital investment in the necessary infrastructure, expert staff, and proven processes to help protect their critical business applications and data. They also gain direct access to one of the worlds fastest, most expansive IP networks. They can choose from standard data center support to premium support, which includes 24x7 on-site security and remote hands and eyes support. Data center outsourcing Verizon can also manage an organizations entire data center offsite at any number of secure data center locations around the globe. The company offers a complete suite of data center outsourcing services for all major platforms. Data center build-out and customization Agencies can also choose to have Verizon Business build out and operate a customized data center residing in one of Verizons secure switching facilities, also known as a central office. As Verizon has replaced older telephone switching systems with newer, much more compact technology, this has freed up central office space within Verizon facilities for clients to house their computing equipment. Each of these facilities possesses the infrastructure elements to immediately begin data center construction efforts. This reduces the time and effort spent searching for just the right building and constructing a center from the ground up. By leveraging Verizons cost-effective data center design and construction expertise, agencies benefit from a single point of contact for vetting the system design, managing the design-build process, and advising the organization on ways to make the most efficient use of data center resources. In addition, these facilities sit on top of the Verizon network. Many organizations have realized improved performance from outsourcing data center functionality to Verizon Business. For example, a major metropolitan airport had considered a data center build-out to consolidate nearly 200 communication rooms. Instead, they decided to move to one dedicated, secure Verizon central office location, cutting construction time while gaining access to Verizons private fiber network as well as full-time data center support. Similarly, Verizon Business also built out a data center for a large prison healthcare system, supporting applications that help improve patient care. Application hosting Application hosting is another alternative for organizations looking to free themselves of the burden of software management, and avoid getting stuck with outmoded applications. However, any hosting environment should bring simplicity, not more complication, to the organization. Most data centers today encompass a wide array of hardware, operating systems, and applications. Thats why Verizon Business is committed to a vendor neutral approach. Its multi-platform operations host more than 50 different applications, giving clients considerable breadth and depth of expertise. Verizons IP Application Hosting solution is SysTrust certified, confirming effective controls in production environments around the globe. By providing SLA-backed services for a broad set of applications, Verizon Business frees companies from the worry of data center management so they can focus on their core competencies. Cloud computing Cloud computing is a cost-effective option for agencies dealing with unpredictable fluctuations in system utilization. With cloud computing, organizations gain exactly the system resources they need, on demand. They can also benefit from high levels of performance, availability, and security. Verizons cloud computing platform, Computing as a Service (CaaS), delivers a highly resilient computing infrastructure that enables customers to employ computing resources in the quantities and duration dictated by their business. At the heart of the CaaS platform is the Advanced Workflow and Automated Resource Engine system, a custom designed management application that speeds implementation, and gives organizations control over their architecture so they can deploy resources quickly to be more responsive to customers needs. A large school district that outsourced its mainframe functions to a Verizon IT data center has experienced improved network reliability while avoiding unexpected staffing and support costs. Data Center Transformations: Gaining agility and reining in escalating IT costs in education and government agencies 4 CONCLUSION Ironically, amidst all the belt tightening occurring in the wake of this challenging economic period, data center management is a relatively untapped opportunity for cost control. This is an opportune time to gain control of IT resources. As schools and government agencies face this tough financial climate, it is impractical to allow their data centers to remain the great unknown business expense. Every IT investment dollar must be accounted for and used to the advantage of constituents, students, and educators. But the ultimate goal of data center management goes beyond that. Data centers are the heart of any organization. Keeping them running smoothly is important to the health of the organization. With the right people, processes, and technologies in place, the data center serves as an enabling forceready to tackle the next big challenge. NEXT STEPS Most data center managers are too busy keeping the operation humming to have the time to plan the in-depth strategic activities necessary to continually enhance system performance. Verizon Business has the professional expertise and data center acumen to provide objective insights to help organizations resolve performance bottlenecks, mitigate security vulnerabilities, and control IT costs. A good place to start is by having a consultative session to identify opportunities for improving data center performance. For more information about data center solutions, please contact your local Verizon Business account manager or visit www.verizonbusiness.com. Worldwide Software 2008-2012 Forecast Summary, IDC, July 2008 Report to Congress on Server and Data Center Energy Efficiency, Environmental Protection Agency, August 2, 2007 Data Breach Investigations Report, Verizon Business RISK Team, April 2009 verizonbusiness.com 2009 Verizon. All Rights Reserved. WP13985 10/09 The Verizon and Verizon Business names and logos and all other names, logos, and slogans identifying Verizons products and services are trademarks and service marks or registered trademarks and service marks of Verizon Trademark Services LLC or its affiliates in the United States and/or other countries. All other trademarks and service marks are the property of their respective owners. Verizon Business, a unit of Verizon Communications (NYSE: VZ), is a global leader in communications and IT solutions. We combine professional expertise with one of the worlds most connected IP networks to deliver award-winning communications, IT, information security and network solutions. We securely connect todays extended enterprises of widespread and mobile customers, partners, suppliers and employeesenabling them to increase productivity and efficiency and help preserve the environment. Many of the worlds largest businesses and governmentsincluding 96 percent of the Fortune 1000 and thousands of government agencies and educational institutionsrely on our professional and managed services and network technologies to accelerate their business. Find out more at www.verizonbusiness.com. About Verizon Business