aws re:invent 2016: preparing for a large-scale migration to aws (ent212)

© 2016, Amazon Web Services, Inc. or its Affiliates. All rights reserved.

Mario Thomas, AWS Professional Services

Greg Cope, Financial Times

November 29, 2016

Cloud Readiness & MigrationGetting ready for a large-scale migration to AWS

ENT212

What to Expect from the Session

• Find out what we mean by ‘large-scale migration’

• Why are you migrating?

• What you should consider before migrating

• Are you ready for a migration?

• Is your organization mature enough?

• Hear from a customer that has been there

• Preparing the business case for migration

A large-scale migration typically involves migrating

hundreds of servers and/or application workloads to

AWS. We often talk to customers who are moving

more than 500 servers and/or application

workloads to AWS.

A workload is all of the constituent parts of an

application needed to make it available to end users;

connectivity, data centers, servers, software, people

and 3rd parties.

Why migrate?

Why migrate?

• A change of organizational leadership / ownership /

strategy

• Introduction of a new compliance regime

• Experiencing regular service issues

• The customer base is growing and becoming more

geographically dispersed

• We can’t stay ahead of the curve when it comes to

security

Why migrate?

• We’re maintaining technology debt

• We don’t have the IT resources to maintain competitive

advantage

• We don’t have the agility to keep up with disruptors

entering our market

• We can’t grow our business because our IT cannot keep

pace with that growth

• We don’t innovate

Why migrate?

• Pay for what you need

• Reduced capex and reduced opex

• Improved productivity

• Improve security

• Enter new markets / fail fast

• Cost avoidance

• Operational resilience

• Business agility

How did we get here?

• IT and the loss of innovation

How did we get here?

• IT and the loss of innovation

• The dot com boom and bust

• Maintaining technical debt

• Enter the cloud

• The return of IT as an innovator

• Addressing technical debt

• The need to migrate

Migration considerations

Migration considerations

• Do you know what you want to move and by when?

• Do you have the buy-in of the business?

• Do you have cloud ready people in your organization?

• Do you know what your cloud security posture is?

• Do you know how cloud will impact your people?

• Do you know how cloud will impact your customers?

• Do you have the resources for the migration?

Migration readiness

Are you ready for the cloud

• How do I know what workloads I have?

• Which workloads should I migrate and in what order?

• How much is it going to cost me to migrate?

• How long will the migration take?

• What impact will there be on people and partners?

• How much will I save by migrating?

• What other business benefits will I gain?

Organisational maturity

Organizational maturity

• Business

• Platform

• Process

• People

• Maturity

• Operations

• Security

Organizational maturity

• Use Cloud Adoption Framework (CAF) to perform a

maturity assessment

• Use the results to identify gaps in organizational maturity

for the adoption of cloud

• Address gaps either as an activity within the migration or

prior to commencing the migration – do not leave until

after the migration

Recap

1. We covered what we mean by a large-scale migration

2. We discussed why you would embark on a migration to

the cloud

3. What to consider before embarking on a migration

4. Determining if you’re ready for a migration

5. Evaluating your organizational maturity for the cloud

Case Study: Financial Times

Smart Cloud MigrationFinancial Times approach

Greg Cope

What I am going to cover

Introduction

FT’s approach in detail

Challengettes

Summary

1

2

3

4

Introduction

Financial Times

Brexit slide…

Me…

Head of Platform Architecture and Security

Been at the FT a while

AWS Certified

Based here…

1

2

3

4

FT’s approach in detail

It’s not always about…

£££

FT’s strategy…from our 2014 business case

Speed to market

Delivery efficiency

Reduce capex / opex

1

2

3

Speed to market

Delivery efficiency

Reduce capex / opex

Challengettes

You might have a great strategy

Upskilling the organisation

Cost control (the smart bits…)

1

2

Avoid…

Most techies (me included)

The smart bits of cloud are all…

Most techies / organisations (me included)

Upskill the organisation

Consultants ($$$$$$$$...vs short)

Hire in ($$$$...quick)

Train staff ($$...long time)

• Takes commitment from organisation

• Takes time

Hybrid (Consultants & training)

1

2

3

4

Upskill the organisation

Costs…uh oh

How can you avoid the classic story

FT’s Smart Cloud use strategy

Dedicated team (thanks FT’ers!)

Use AWS higher level services rather than ‘instances’

Switch off non-production

Review operating systems costs

Use newer instance types

Reserved instances

1

2

3

4

5

6

Obligatory server-less slide

Metric: on-demand as a % of the overall bill

Switch off non-production

Metric: non-production less than 16 instance

hours/day ~ weekends 2 hours

Review operating systems costs

How much does your OS cost you?

• Simple CPU costs vs $?

• Licence/subscription costs overheads?

With uServices and 12 Factor applications become less

coupled to their OS

1

2

Metric: Less expensive OS instances as % of

whole estate

Newer instances

New instances are often more performant, at around

25% cheaper:

Metric: zero old instance types

Previous Gen. Current Gen. % Saving Saving Per Hour

t1.micro t2.micro 7.5% $0.006

m1.large m4.large 23.2% $0.058

m1.xlarge m4.xlarge 26.2% $0.115

Reserved instance types

FT’s 1-year Reserved Instances (RIs) savings estimate

of ~34%

Only useful afterall of the previous steps are

done…otherwise you are buying the wrong RI

1

2

Metric: X number of RIs applied

Challengettes

Roll-out approach

Work with a team to demonstrate:

• that it is possible

• That it works (saves $$$$)

• Act as techy evangelists

Other challengettes

IP firewall rules broken when hosts come up with new IP

Monitoring noise

Schedulers broke

Differences between similar OS’

1

2

3

4

Game it (team dashboards)

Summary

FT’s strategy…reminder

Speed to market

Delivery efficiency

Reduce capex / opex

1

2

3

But…much higher instance productivity + $$$

saved

Did we achieve our business case?

Thanks,

For listening …

To all the lovely FT people who have worked on this over

the years

AWS Cost optimisation; http://goo.gl/M9hLC3

https://github.com/Financial-Times/ec2-powercycle

http://goo.gl/M9hLC3

https://github.com/Financial-Times/ec2-powercycle

[email protected]

Preparing the Business Case

Establishing an effective business case for the

adoption of AWS for your application workloads

requires knowledge of how your organization does

things now.

By understanding your existing on-premises or co-

location environments as well as the things that sit

around them you will be able to lay the groundwork

for an effective business case.

Preparing the Business Case

Discovery ConfirmationBusiness

Case

Collection of key data

points:

• People Costs

• 3rd Party Costs

• Infrastructure Costs

• Application Costs

• Migration Costs

• Current intangibles

Current Budget

Customer sign off of

current budget review:

• Review of budget by

customer

• Customer to confirm

it is accurate

• Budget used as basis

for business case

Business Case

AWS prepare business case:

• AWS analyze data points

• Multiple operating models

considered and presented

• Costs for future state

included

• Comparative budget’s

included

• Cash flow forecast included

• Measuring value benefits of

the migration

The Role of Cloud Economics


• Concerned with the cost savings achievable in the cloud

• A focus on tangible benefits of the cloud:• migration bubble

• total cost of ownership

• cost optimization

• payback period

• And intangible benefits:• time to market

• developer productivity

• agility


$

1 2 3 4 50

TCO

Migration Cost

Cost Optimising / BAU

Current / Do Nothing

AWS Environment

Payback

Period

Time

Cost

Intangible

Benefits


• Leads to development of a cloud business case• internal rate of return

• net present value

• return on investment


Migration Bubble

Discovery TCO

Cost Optimisation

o Application

discovery

o Current

costs of

applications

o Exit costs of

migration

o Compare

on-prem/co-

lo to cloud

o Consider

like-for-like

o Recalculate

for six R’s

o 11 principles

of cost

optimization

o Apply to

TCO models

Confirmation

Current Budget

Customer sign off of

current budget review:

• Review of budget by

customer

• Customer to confirm

it is accurate

• Budget used as basis

for business case

Collection of key data

points:

• People Costs

• 3rd Party Costs

• Infrastructure Costs

• Application Costs

• Migration Costs

• Current intangibles

Total Cost of Migration (TCM)

$

1 2 3 4 50

TCO

Migration Cost



AWS Environment

Payback

Period

Time

Cost

Intangible

Benefits


• All migrations have a cost, even small migrations

• The investment needed to achieve the migration is often

called the migration cost or the migration bubble

• Costs typically include:• discovery, planning and assessment costs

• proof of concept (POC) activities

• migration tooling

• application readiness

• staff readiness and training

• software licensing changes


• Continued…• running duplicate environments during migration

• lease penalties

• redundancies / restructuring / re-deployment

• external consultancy

• The migration bubble can be controlled• Migration planning can help

• Migrations can be optimized for cost, speed and risk or

balanced for all three

Total Cost of Operation / Ownership (TCO)

$

1 2 3 4 50

TCO

Migration Cost



AWS Environment

Payback

Period

Time

Cost

Intangible

Benefits

Total Cost of Operation / Ownership (TCO)

• TCO provides a comparative total cost of ownership

analysis for on-premises workloads as compared to the

cloud• Is valid up until migration actually takes place

• Doesn’t consider use of higher level services

• Is not a price quote or forecast of your future spend

• Answers the question: “How much would it cost to keep

all of this in the cloud”

Cost Optimization (CO)

$

1 2 3 4 50

TCO

Migration Cost



AWS Environment

Payback

Period

Time

Cost

Intangible

Benefits

Cost Optimization (CO)

$ $

Paying for what

you use

Paying for what

you need

Cost Optimisation (CO)

Simple Stimulating Stretching

Consolidated Billing

Permissions

Tagging

Idle Resources

Design for Elasticity

Instance Right Sizing

Storage

Purchasing Options

OS Licencing

Offloading Architecture

Higher Level Services

Tangible vs. Intangible Benefits

Intangible Benefits

$

1 2 3 4 50

TCO

Migration Cost



AWS Environment

Payback

Period

Time

Cost

Intangible

Benefits

Tangible cost savings associated with migration to

the cloud are not the only benefits to be gained from

it. Analyzing the intangible benefits a migration

could have on your business and your bottom line

can lead to a more rounded business case for

justifying it and a greater urgency to complete the

migration.

Intangible Benefits

$tangible

benefit

intangible

benefits…

Intangible Benefits

• Intangible (value) benefits will depend on your business

• There are numerous KPIs and they can even be

applicable across industries

• You may already be measuring them

• You may already be reporting performance against them

Discovery of Data Points

Data Points and Effort

Data Points

Eff

ort

High effort,

many data

points. Leads

to a high

quality

business case.

Low effort, many

data points.

Difficult to build

compelling

business case.

Low effort, few

data points.

Unusable

business case.

High effort, few

data points.

Leads to an

inaccurate

business case.

Discovery of Data Points

People

Costs

3rd Party

Costs

Infrastructure

Costs

Application

Costs

Migration

Costs

Discovery of Data Points – People

People Costs

People costs include (and are not limited to):

• Direct people costs (employees):

• Recruitment, retention, replacement and retirement costs

• Activity costs including undertstanding time and motion

• Training and development costs

• Direct people costs (contractors):

• Recruitment, retention, replacement and retirement costs

• Cost per hour/day/week/month

Discovery of Data Points – 3rd Party

3rd Party Costs

3rd Party costs include (and are not limited to):

• Contract related costs

• Fixed costs (maintenance, etc.)

• Variable costs (innovation, change requests, etc.)

• Variation penalties / early termination penalties

• Software licences (e.g., orchestration tools / multi-cloud)

• Activity costs including undertstanding time and motion

Discovery of Data Points - Infrastructure

Infrastructure Costs

Infrastructure costs include (and are not limited to):

• Data centre costs

• Lease term remaining

• Lease termination penalties

• Cost of reduced footprint

• Connectivity

• Leased lines to the data centre

• Servers

• Number of physical servers

• Number of virtual servers

• Virtual servers mapped to their physical counterparts

• Specification (CPUs, cores, RAM)

• Performance characteristics (CPU/RAM/IO min/max/avg.)

• Storage (SAN, NAS, direct-attached)

• Network connectivity (peak throughput)

• Dependencies on other servers

Discovery of Data Points - Infrastructure

Infrastructure Costs

Infrastructure costs include (and are not limited to):

• Upcoming refreshes

• Existing end of life plans

• Date purchased / instantiated, time remaining on capex

• Cost of purchase / instantiation, cost remaining on capex, lease penalties

• Depreciation / amortization approach

Discovery of Data Points - Applications

Application Costs

At the same time as you perform server discovery, you should also be

establishing what applications (“workloads”) you are running. The more

data points you can collect about your applications, the better equipped you

will be to make a decision about how they will feature in the migration:

• Number of application workloads

• Map workloads to the underlying servers

• Establish workload dependencies (both server and other workloads)

• Perform a “Six Rs” analysis of each workload

• Review OS licensing and the underlying OS (move to Amazon Linux?)

• Understand upcoming application changes

• Re-examine the Six Rs analysis and understand scope for:

• R1 > R2 or R5

• R3 > R4

• R5 > R4

• R6 > R5 or R4

Discovery of Data Points - ApplicationsPattern

Label

Migration

Pattern NamePattern Description Examples

Retain

• Client will keep host / application in their source environment

• Minimal analysis/validation of scope and application affinity

• Dependency on integrating service management

Unresolved Physical Dependencies

Mainframe/AS400

Non x86 UNIX Applications

Retire

• Application and host decommission on source

• No migration to target

• Application owner approvals needed

Existing Decommission Program Scope

UNIX, AIX, SCO;

Clustered host for DR, alternative HA hosts

Re-Hosting

• Like for Like application migration to target cloud

• Minimal effort to make the application work on the target cloud infrastructure (Minimal

application layout change)

• Storage migration will be needed (without conversion)

• UAT - Some level of application testing

Simple to Medium V2V, P2V

Storage: Local to DASD

RHEL 6 above

Win 2008 above

Re-Platform

• Up-Version of the OS and/or Database onto the target cloud

• Storage migration will be needed (without conversion)

• Some level of application changes

• Application reinstallation on the target

• UAT is highly recommended

• Database to AWS RDS

W2K3 to Win 2012; Win 2008 below; RHEL below;

Oracle 8 to 11; All databases

New application releases

All clusters (MS cluster, DR)

MS SQL same technology (RDS)

Re-Factoring

• OS and/or Database porting

• Middleware and application change to cloud service offering

• Data conversion; Database transition to MySQL, Aurora, etc.

• UAT required

AIX to Linux

Oracle to SQL; SQL to Aurora

Middleware, IBM products

Re-Architect

• Application architecture changes may also require Up-Version or Porting

• Middleware, data modernization; application consolidation / stacking

• UAT required; HPC Grid, No ITIL

Any custom application change

Complex / Highly complex application migration

R1

R2

R3

R4

R5

R6

Ap

plicati

on

Mo

dern

izati

on

/ C

han

ge E

ffo

rt

Discovery of Data Points - Applications

• Application maintenance costs

• Innovation / ongoing development / bug fixes

• Managed service organisation

• Licensing landscape

• Licenses in place

• Transferability of licences

• Upcoming licence renewals

• Economics of R1 and possibly R2 will change following migrations of

other workloads

Discovery of Data Points - Migration

Migration Costs

We need to establish the costs of migrating your workloads. This will be

based upon which ‘R’ the workload falls into.

• Planning and designing migration

• Development effort

• Testing effort

• Acceptance effort

• Deployment effort

• Landing zone configuration

• Licensing

• Data migration

• Cut over

• Roll back plan

Discovery of Data Points - Migration

Migration Velocity

The speed of your migration to AWS will directly affect the size (cost) of the

Migration Bubble. Creating a migration rhythm will drive the entire business

to work to achieve the migration.

• Identify which apps can move most easily

• Create prioritized move groups

• Organize in sprints and sprint teams for fast results

• Be able to forecast the entire project timescale

• Create a high-level multi-year/month project plan

• The migration should be fast paced and demonstrate a commitment to

migrating the workloads because of its velocity

Current Budget Review



The data points we collect are collated into a budget statement which will

present back to you the run rate cost of your current workloads. Key points

of review:

1. Planned capital expenditure

2. Monthly operations budget

3. Depreciation / amortization

4. Overall budget review

Once agreed, the budget statement can then be used as a baseline for the

business case comparison.

Business Case Preparation



Following sign-off of the budget statement, we will set about creating the

business case:

1. Review current budget

2. Review all data points

3. Licence review and future state forecast

4. Instance right-sizing

5. Higher-level service review

6. Total cost of migration modelling

7. Total cost of operation modelling

8. Cost optimization modelling

9. Final business case reviews

10. Executive summary

11. Backing data

Next Steps

Next Steps

1. Business case is finalized

2. Models and assumptions in business case tested

3. Business case updated with any changes

4. Business case finalised for business and Board review

5. Business case approved

Recap

1. We covered what we mean by a large-scale migration

2. We discussed why you would embark on a migration to

the cloud

3. What to consider before embarking on a migration

4. Determining if you’re ready for a migration

5. Evaluating your organizational maturity for the cloud

6. Building the business case for migration

Questions

Thank you!

Remember to complete

your evaluations!

Related Sessions

• ENT204

• ENT218

• ENT304

• ENT308

aws re:invent 2016: preparing for a large-scale migration to aws (ent212)

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