data center consolidation in california
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Data Center Consolidation in California. March 21, 2006 Anna Brannen & Mitzi Houston California Department of Technology Services. Agenda. Why and What California Consolidated? Value From Consolidation Lessons Learned Our New Direction Conclusion. Round Numbers. - PowerPoint PPT PresentationTRANSCRIPT
Data CenterConsolidation in California
March 21, 2006
Anna Brannen & Mitzi HoustonCalifornia Department of Technology
Services
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1. Why and What California Consolidated?
2. Value From Consolidation3. Lessons Learned4. Our New Direction5. Conclusion
Agenda
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Round Numbers
• IT Expenditure in CA State – $2 billion annual expenditure.– 6,000 state IT professionals.– $500 million annual telecommunications
contract.• Scope of Consolidation– Two data centers with an annual expenditures
over $200 million.– Telecommunications and CALNET contract.– Full range of data center services.– 800 IT professionals.– Seven facilities.
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Why California Consolidated
• Tactical– Budget crisis – Leveraging buying power – Increase efficiency
• Strategic– Opportunity for shared services– Retirement crisis– Improve security and risk
management
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Baby DTS is 7 Months Old!Teale Data Center Telecomm. Div.
Human ServicesData center
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Where is the Savings (aka Tofu)?
• Software Licenses• Computing Infrastructure• Facilities• Networks• People
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What Went Well?
• Limited scope creep.– Pick one process and implement!
• Communications.– Different settings for different people.– All forms of communications were used.
• High Level Support.– Cabinet, State CIO, and Budget Office.
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Lesson Learned
• It’s all about people!– Melting pot of different cultures.– No such thing as over-communication.
• Project management– Not a data center strength.
• Technicians are not analysts.– We’re in religious wars.– There is hope!
• Co-location would have helped.– Make facilities changes ASAP.
• Managing financial expectations– Pressure to deliver efficiency fast.
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Our New Direction
• Current situation• A context for our business
(shared IT services)• 5 Strategies
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Current (almost past) Situation
• Each entity had its own approach built around service reps– Accept service requests and convey to
appropriate internal entity such as Operations, Engineering, or Administration
– Primarily reactive– No real process measures or service levels– Occasional measurement of customer
satisfaction– Customer Perception: Varied
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Why DTS Shared Service?
• Economies of scale• Security• Process consistency• Standards
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DTS Shared Service Model
DesktopSupport
Public Meeting Videos
State Portal
Shared Services
LegacyTransformation
Server BasedComputing
LAN Support
DTSCustomersDTS
Customers
CoreServices
MainframeHosting
Servers
Telecomm.
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Strategy 1: Engage the Customer• Build a community• Develop a Customer Advisory Committee
– 8 Largest customers (60% of revenue)– 1 Medium and one small department– Guides the evolutions of new services and programs– Endorse standards for shared services
• Director’s Advisory Board– AIO’s
• Develop programs to engage departmental directors– Executive briefings; Building IT strategic roadmap
• Service specific governance– Empower the customer– E.g. email, State Portal
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Strategy 2: Organize for Delivery• Elevate Customer Service to a major
division– Incorporate all customer facing functions
• Assign account managers for major customers– Proactive; peer level interface with the CIO– Engage in strategic as well as tactical issues– Build relationships– Quarterly account review with customer and Director
• Operations and Engineering divisions behind Customer Delivery Division
• Develop the customer delivery staff– Internal educational conferences
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Strategy 3: Plan for Customer Service
• Add “customer service” as a balanced scorecard item– Financial, Customer Service, Employees,
Innovation• Create strategic plan objectives for
customer service improvement• Hold managers accountable for
measureable improvements• Staff training in customer skills
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Strategy 4: Process Improvement and Measurement
• Implement “Best Practices” – ITIL– Start with Service Request process
• Start process measurement– Implement level 1 service level
agreements
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Strategy 5: Leadership and Communications
• Innovation Lab• Mini-conference Center– Statewide IT event calendar, public and private– Expanded training services
• Monthly newsletter– State specific news– Relevant technology news
• Improvement website
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Conclusion
• Consolidation was successful• Once you complete consolidation
move forward• Use consolidation to address
long standing issues