Crimson Consulting Group: „Oracle® Enterprise Manager: Erkenntnisse aus der Praxis über Unternehmenseffizienz und Return on IT Investment“

WHITE PAPER Oracle® Enterprise Manager: Real-World Insight into Business Impact and Return on IT Investment April 2010 A CRIMSON CONSULTING GROUP BUSINESS WHITE PAPER www.crimson-consulting.com © 2010 Crimson Consulting Group WHITE PAPER CONTENTS Executive Summary .................................................................. 1 Approach and Research Methodology 1 Participants Report a Significant Impact on Key Performance Indicators 1 Potential Financial Benefits 1 Overview of Oracle Enterprise Manager ................................... 2 Application Performance Management 2 Configuration Management 2 Lifecycle Management 2 Application Quality Management 2 Key Findings ............................................................................. 3 Two Phases of Deployment 3 Benefits Translate into Financial Gain 3 Detailed Benefits: A Deeper Look at Customer Experiences .............................................................................. 4 IT Productivity Improvements 5 Reduced Server Expenditures 6 Greater Business Productivity 8 A Sample Financial Analysis ................................................... 10 Benefits 10 Costs 11 Return on Investment 11 Conclusion .............................................................................. 12 About Crimson Consulting ...................................................... 12 Appendix: Description of Survey Participants ......................... 13 Oracle, JD Edwards, PeopleSoft, and Siebel are registered trademarks of Oracle Corporation and/or its affiliates. Other names may be trademarks of their respective owners. www.crimson-consulting.com i WHITE PAPER Executive Summary Today, more and more companies rely on information technology (IT) to conduct business. The fast pace of business change, including mergers and acquisitions and rapidly changing IT technologies, makes it ever more challenging for IT organizations to keep business systems available and performing optimally. With a variety of tools available on the market, it can be difficult to determine which solution might deliver the greatest value for the business. In early 2010, Crimson Consulting Group conducted a study to examine the benefits of one particular IT management software suite: Oracle Enterprise Manager. The purpose of the study, commissioned by Oracle, was to help organizations better understand the business cost savings and return on investment of deploying Oracle Enterprise Manager to ease the IT management burden. The study focused on the impact on core business metrics when deploying various solutions within the Oracle Enterprise Manager suite. The results showed organizations could achieve a three-year return on investment (ROI) of 149 percent. For the typical organization defined in this study, this resulted in a net benefit of more than $6.5 million over three years. Approach and Research Methodology Crimson conducted structured, in-depth interviews with IT directors and managers at 11 companies – representing multiple industries and geographies – that have deployed Oracle Enterprise Manager. The study included different stages of deployment as well as varying combinations of capabilities within Oracle Enterprise Manager being utilized by study participants including broad management of applications, middleware, databases, and servers. Crimson aggregated the interview results and created baselines for effort, costs, and benefits. Then a hypothetical organization was created with characteristics similar to those of the study participants. Crimson used this hypothetical organization to determine “typical” costs and benefits to use in the ROI calculations. Participants Report a Significant Impact on Key Performance Indicators Customers in the study reported a significant and immediate impact on business drivers, key performance indicators (KPIs), and operating and capital expenses by deploying Oracle Enterprise Manager. Specifically, participants achieved: • 30-90 percent reduction in downtime • 40-75 percent reduction in the length of downtime incidents • 50-95 percent reduction in time to resolve IT tickets (e.g. downtime incidents, performance incidents, etc.) • 10-30 percent increase in systems supported per IT FTE (full-time employee) • 10-20 percent decrease in the frequency of purchasing new infrastructure to support database and application growth • 30-100 percent increase in the number of IT projects completed each year Potential Financial Benefits The financial analysis conducted by Crimson Consulting shows that organizations implementing Oracle Enterprise Manager can achieve: • Up to 75 percent improvement in annual IT staff productivity • Up to 20 percent reduction in annual server expenditures • Annual revenue preservation representing up to 10% of the annual IT budget due to improvement in business productivity from reduced unplanned downtime www.crimson-consulting.com 1 WHITE PAPER Overview of Oracle Enterprise Manager Oracle Enterprise Manager is a business-driven IT management solution for the enterprise software stack, with management capabilities at each layer: applications, middleware, database, operating system, hardware and virtualization. Additionally, Oracle Enterprise Manager provides a comprehensive set of solutions for testing, deploying, operating, monitoring, diagnosing, and resolving problems in complex IT environments. According to interviewed customers, it delivers enhanced manageability and automation across the lifecycle of applications and systems for both Oracle and non-Oracle technologies to reduce the cost of managing modern data centers. For the purposes of this study, Crimson focused on the following four categories of capabilities within the Oracle Enterprise Manager offering: Application Performance Management Application Performance Management enables application owners to proactively monitor end- user performance and quickly trace root causes of performance problems to and from top-level components such as portals, business process execution language (BPEL), Web services and an enterprise service bus (ESB) to application components (e.g. class, method or SQL query) and/or infrastructure components (e.g. network, middleware or database). This solution includes end user experience monitoring using real and synthetic workloads, correlated analysis of service- oriented architecture (SOA) and/or Java application performance, and integrated drill down into database and other infrastructure components. Configuration Management This solution automates IT processes by incorporating discovery, asset tracking, analytics, change detection, system comparison, compliance assessments, and reporting. It also automates real-time IT configuration change management through comprehensive, continuous detection, validation and reporting of authorized and unauthorized configuration change. Configuration Management can be used to ensure that controls are in accordance with regulatory and industry standards like Sarbanes-Oxley, PCI and ITIL. Lifecycle Management This solution enables automated deployment of software, applications, and patches to help lower the cost of provisioning and patching large numbers of systems. The Lifecycle Management solution enables provisioning for the entire software stack including: the operating system, middleware and database, and is complemented by comprehensive reporting tools to make broad data center provisioning scalable. Application Quality Management Application Quality Management lets organizations identify and address performance issues in production applications before going live. This solution enables organizations to manage application changes, infrastructure changes, and test data in a test environment to ensure better quality, scalability, and availability of packaged, as well as Web and SOA-based, applications and their underlying infrastructure. Oracle Enterprise Manager Desktop Widgets While not specifically part of this study, many interviewees commented on the advantage of Desktop Widgets, which enable users to monitor systems right from their desktops without being logged in to Oracle Enterprise Manager. One study participant commented: “It’s a tremendous productivity boost. We’re looking forward to having more of them to use.” www.crimson-consulting.