Cloud Computing @ SAP

SAP UK Worldtour

Frank Stienhans
BST Innovation Center
SAP
frank.stienhans@sap.com

July 15th 2009

© SAP 2009 / Page 1

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© SAP 2009 / Page 2

 Organization and Disclaimer

Description SAP Business Solutions and Technology (BST)

Product Organization:
Large Enterprises: SAP Business Suite, SAP Large Enterprise On Demand
SME: SAP All in One, SAP Business byDesign, SAP Business One
Technology: SAP Business Objects, SAP NetWeaver

Description
Organization: SAP BST Innovation Center
Explore innovation potential of new market and technology trends including
On Demand, Virtualization, Cloud Computing,
Web 2.0, Co-Innovation Communities, Rich User Experiences

Description Disclaimer
1. The following content represent ideas and prototypes – not product announcements or commitments to
productize
2. SAP is very interested in understanding the use cases and requirements you see.

© SAP 2009 / Page 3

 Cloud Computing Agenda

Description Agenda
nIntroduction
nValue
nGeneral Use Cases
nConclusions

Theme

What could you do, if SAP would incorporate advanced forms of virtualization into our
product and service offerings?

© SAP 2009 / Page 4

 Cloud Computing Definition

Trends
Definition from Consumer Perspective
Cloud Computing allows On Demand Software Provisioning with Zero-Installation &
Automatic Configuration at low cost and immediate access in Scalable Data Centers.

Application Providers Platform Providers Infrastructure Providers Service Providers

400,000 Developers + ISVs

Selected Cloud Consumers & ISVs

© SAP 2009 / Page 5

 Trends and Value of Cloud Computing

Industrialization of IT Utility Computing On Demand Fulfillment

From Manufacturing to From inflexible and long-term From long running customer
Automation and Standardization contracts to payment of projects to immediate fulfillment
of IT Business metered usage
of customer needs

Value

Increase Business Agility, Increase R&D Efficiency

Breakthrough Consumption Experience of SAP Solutions

Reduce IT Costs/CAPEX for SAP, Customers and Partners

© SAP 2009 / Page 6
 Traditional Hosting vs. Amazon Cloud
Hosting Costs of ERP for Development

Traditional Hosting Amazon ec2

Min Term 500 € / month 0.30 € / hour
Provisioning Time Min 1 week 6 min

Tradition
al
Hosting

© SAP 2009 / Page 7

 Cloud Scalability
Amazon Customer: Animoto http://blog.animoto.com/
 On April 14th 2008 Animoto provided a new plugin for facebook …
 Mon Tue Wed Thu Fri
Apr 14th
Animoto Members 25,000 50,000 250,000

ec2 Server Instances 100 400 900 2800 3400

© SAP 2009 / Page 8

 Impact on SAP Business Solutions and Technology

Description Business Needs

Improve R&D Efficiency Minimize Cost of New Product Innovations
consuming SAP Solutions New Service Innovations
(TCO)

Phase 1: SAP R&D
Provide SAP Internal Cloud
Piloting with SAP NetWeaver
CE
1.Reduce IT Costs
2.Increase Developer Efficiency
Opportunities
Phase 2: Customer/Partner POC
March 2009: Validate value of
Cloud Enablement with
customers and partners
Phase 3: Products/Service
Potential for new products and
services

Status
> 300 SAP employees as direct users Customer Validation started
from 16 countries
> 4000 systems provisioned
> 180.000 € Hosting Cost Savings

© SAP 2009 / Page 9

 Cloud Use Cases

Description Critical Use Cases: Current Potential

Non-Mission
üDevelopment / Patching / Customizing
üTesting (Manual, Automated, Scalability)
üTraining
üDemo / Workshops / Events
üTrial / Evaluation

Description
Cloud Computing is a maturing approach
ØIntegration with customer IT: Network, Operations, Billing
ØService Level Agreements: Security, High Availability, Performance

Description
Mission Critical Use Cases: Future Potential
ØDisaster Recovery, …
ØOn Premise: Provisioning of productive landscapes
ØOn Demand: Provisioning of productive services

© SAP 2009 / Page 10

 SAP Employee Cloud Self Service
DEMO 1

SAP

Amazon AWS (Cloud Infrastructure)

SAP Employee SAP Employee

SAP Network
Cloud Segment

Configuratio
SAP Solution Provisioning Metering
n
hosted on EC2 SAP Cloud Enabling Services
powered by SAP NetWeaver CE

Amazon Network

Amazon Web Services Configuratio

[ ec2 | s3 | SQS ] Metering
n

© SAP 2009 / Page 11

Virtualization
 Lock-in Danger

Situation Today
nPrivate and Public Cloud Infrastructures are a dominant trend
nNo single Cloud Infrastructure today is ideal for all use cases (SLAs, Integration, Costs)
nEvery Cloud Infrastructure so far has significant proprietary elements in their interface, creating lock-in effect for
consumers
nSAP, Customers and Partners are interested in Standardization of Cloud APIs

SAP Employee SAP Employee

Configuratio
SAP Solution Provisioning Metering
n
SAP Cloud Enabling Services
powered by SAP NetWeaver CE

! !
Cloud Infrastructure Metering
Configuratio
n

© SAP 2009 / Page 12

Virtualization
 Cost Characteristics of Cloud Infrastructures
Real World Examples of using one SAP ERP System

Monthly
Consumption

Workshop Customer Demo Local Development Central Systems

1 day incl. 1 week Development 10h / Workday 24h / 7 days
1.4% 7.5% 30.0% 100%

© SAP 2009 / Page 13

 Cloud Production Chain
(SAP Internal)

New SAP Suite

Content NetWeaver Composite

De
De

plo
plo

y
y

OS
Cloud
OS +
Instances
NW
Cr

Cr
ea

ea
te

te
Ap

te
te

Ap
tia
tia

pli

pli
tan
tan

an

an
c

Ins
Ins

ce
Virtual
Appliance Operating OS + OS + NW +
System SAP NetWeaver Suite Composite
Library

© SAP 2009 / Page 14

 Automated Functional Tests
(SAP Internal)

Effect
Parallelize test case execution via
Allocated machines

Cloud Computing at
No additional cost

Automated Test
Controller

Cloud Services

Amazon Virtualiza
ec2 tion

T T T T T T T T Legend
Test Case
time
Machine
8 night hours
© SAP 2009 / Page 15
 (HW) Virtualization, Application Virtualization
and Cloud Computing

SAP Solution &

Platform
Virtualization Virtualization
Application

Automatic Operations
Abstraction Layer

Operating System
Hardware

Abstraction Layer

Hardware

Ideal Cloud Computing Infrastructure

Reap the benefits &

Do not pay the price of
complexity

© SAP 2009 / Page 16

 SAP NetWeaver CE in the Cloud Trial Usage
DEMO 2
in control of
Customer SAP Cloud Account
Customer Administrator
SAP
Amazon

Virtual Appliance: Developer Studio

NWDS VPN Client Cloud Plugin SAP Employee

SOA Interface
Configuratio
NW CE VPN Server Provisioning Metering
n
Customer: SAP NetWeaver CE SAP Cloud Services
hosted on EC2 hosted on EC2 and powered by SAP NetWeaver CE

Amazon Web Services Configuratio

Metering
n

© SAP 2009 / Page 17

 Cloud Segments

SAP SAP Cloud

Firewall
Appliance Cloud Segment
Cloud
Gate Gate Accounting
VPN &
Operations
(Multi-Tenant)

ISV
Firewall

Appliance Cloud Segment

Gate
Gate Gate
VPN

Customer
Firewall

Appliance Cloud Segment

Gate Gate
VPN

© SAP 2009 / Page 18 Gate= Appliance for Secure Network Integration

 Cloud Landscape: CRM
DEMO 3

SAP CRM Landscape

CRM Application Analytics

TREX
CRM Server
Server
BW Server

CRM DB BW DB

<Landscape name=“CRM Landscape" description=“Experimental CRM Landscape" >

<Servers>
<Server id=“CRM_Application" imageid="ami-abb057c2:snap-addf37c4" description=“CRM" />
<Server id=“CRM_Analytics" imageid="ami-abb057c2:snap-acdf37c5"
description=“Analytics">
<Param name="hostname.ISABW.cloud.sap.corp" value=“CRM_Application" type="put" />
<Param name="hostname.ISASLES.TCS.SAPCOD.CORP" value="CRM_Application"
type="get" />
</Server>
</Servers>
</Landscape>

© SAP 2009 / Page 19

 Cloud Landscape: SAP NetWeaver Cluster
DEMO 4

SAP NetWeaver Cluster

SAP NetWeaver Web Dispatcher

SAP NetWeaver SAP NetWeaver

Central Instance Dialog Instance

SAP MaxDB Instance

© SAP 2009 / Page 20

 Hardware Utilization with System Landscapes
Today’s Situation

Challenge
nAvg. Utilization is <=10% with SAP Customers
Utilized Machines

Outage

Waste
Sizing

Source: Amazon AWS

© SAP 2009 / SAP World tour / Page 21
 Cloud Landscape: Dynamic
DEMO 5 SAP NetWeaver Cluster

SAP NetWeaver Cluster

Load Monitoring Service
SAP NetWeaver Web Dispatcher

SAP NetWeaver SAP NetWeaver Dynamic Provisioning

Central Instance Dialog Instance Controller

Provisioning Service
SAP MaxDB Instance

Amazon Web Services

© SAP 2009 / Page 22

 Usage of SAP Employee Self Service
Recent Survey Result

© SAP 2009 / Page 23

 Conclusions

Summary
‒Cloud Infrastructures are a clear trend in IT, increasing the business agility,
decrease IT costs, and allow to consume SAP solutions in new ways
‒
‒Significant potential value in the domain of non-mission critical use cases exist today
‒
‒SAP is exploring options to provide additional value in form of
product and/or service innovation

Please fill out the Cloud Survey

‒Interested in a Proof of Concept?

More Information

‒Blog: https://www.sdn.sap.com/irj/scn/weblogs?blog=/pub/wlg/14095
‒
‒mail to: frank.stienhans@sap.com

© SAP 2009 / Page 24

 Thank you!

AP
© SAP
20092009
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