App Modernization Pitch Deck.pptx

Editor's Notes

• #2: Hello, my name is [INSERT NAME] and I am the [INSERT DESIGNATION] for Azure Digital Apps and Innovation product group at Microsoft. Today, we’re going to talk about what are some business outcomes that companies want to achieve when they modernize existing enterprise applications to the cloud. We’ll then talk a bit about how the platform-as-a-service or PaaS offerings from Microsoft Azure can help you achieve some of these outcomes, as part of a comprehensive digital apps and innovation portfolio of tools.
• #3: The way we live and work has changed. Industry leaders are shifting their engagement with users, shoppers, patients, and voters from physical to digital channels. Their customers are more informed. 60% of consumer are more likely to buy from companies that are transparent in all that they do. Organizations have different reasons to modernize, but everyone is in on it. In many cases, it is a competitive necessity so as not to be left behind by market forces. In other cases it may be driven by industry regulation and the imperative to use the latest security technology. Modernization is also a compelling way to shed capital expenditure and reduce costs by becoming more nimble in how you use available resources.
• #4: But many modernization projects don’t achieve the intended outcomes. There are several reasons, and they usually related to a mismatch between business needs and the technology chosen. Over 50% developers are outside the tech industry and they are great at building innovative apps, but they may not be fluent in cloud-native skillset. They can be more successful if the cloud “just worked” out of the box for them. Most companies cannot afford the luxury of separate teams, one that figures out cloud transformation while the other keeps churning out releases at 7X the speed compared to a few years ago. These conflicting priorities end up creating trade-offs where security often becomes an after-thought. With 17% increase in data breaches, all it takes is one unpatched vulnerability in the underlying infrastructure to push the modernization effort back by weeks or months. Even where companies can take care of these factors, sometimes their resources simply cannot keep up with their ambitions. Customers now demand a certain quality of service no matter where they are located. When the majority of enterprise apps are not written for the cloud, how does one leapfrog those expectations? CIOs have a difficult task – to adjust to this new reality and prepare for an uncertain future. Most are moving to the public cloud as a default, whether that is to modernize existing applications or build new future-proof apps. They also need to enable their teams to succeed in the cloud-first environment. All this while keeping costs down.
• #5: There are many ways you can approach the cloud app migration and modernization challenge, each with their own pros and cons. One of the key questions we hear from our customers is how to select the right tool for hosting their applications, whether they are modernizing existing apps or building new technology to power their business. Today developers have options that span from more control to more productivity. Microservices based development methodology that runs on Kubernetes containers require investment in additional tooling, automation, and management to take full advantage, especially if you’re coming from a monolith app approach. Such Infrastructure as a Service or IaaS technologies give you more control over the underlying configuration, whether that is virtual machines or containers, if you’re willing to manage it yourself. For many enterprise customers, a viable alternative is managed platforms, also known as Platform as a Service or PaaS. Here, you only manage the applications and services you develop, and the cloud service provider typically manages everything else. In the rest of this session, we will dig deeper into the business impact, capabilities, and solution components of PaaS. Before we go on, it is important to note that this is not necessarily an either-or decision. While our discussion is focused on PaaS, organizations can and do implement more than one of these approaches simultaneously. We can share additional resources if you wish to learn more about the alternatives. [OPTION A – Ask the audience which approach they are interested in and use slides from the appropriate deck. This deck focuses on managed platform or PaaS] [OPTION B – If the audience is undecided, present the business and technical capabilities related to Azure PaaS to help achieve the business outcomes]
• #6: As we said before, for app modernization projects to succeed the important thing is to align the technology to your business needs. What outcomes are you seeking from this project? What are your priorities and success criteria for the app modernization projects in mind? We want to tailor the rest of this session to your business outcomes. [OPTION A – pause to encourage audience to share their key outcomes and, if different from the above, capture it for later discussion] [OPTION B – present the rest of the slides and come back to audience later] Based on our conversations with customers, we identified three business outcomes that are top of mind for most. First, do more with less and reduce IT spend. Avoid overkill that runs up unnecessary costs and risk where it is not justified by the business case. Mitigate skill shortage by using readily available technologies. Security and performance is a close second. Integrate security, resilience, and performance throughout the entire software development lifecycle to enable teams to deliver secure, high-quality software at a global scale quicker than ever before. Finally, app innovation is the reason we’re all here to begin with. Provide the best tools and technologies so developer teams focus single-mindedly on innovating at the speed and quality that is required to compete and stay ahead of today’s market demands. Let’s look at these business outcomes one by one and discuss what long-term plans can help you achieve the business impact you’re looking for. We will also discuss some of the business practices and processes targeted for change, and technology features of the proposed solution that will empower the upgraded processes.
• #7: Managed platform, also known as PaaS, or Platform-as-a-Service, is a cloud computing model that provides customers a fully-managed hosted platform for developing, running, and managing applications without the cost and complexity that often comes with building and maintaining that platform on-premises, or as virtual machines, or as Kubernetes containers. Typically customers pay a fee to the cloud vendor who then hosts and manages everything—servers, networks, storage, operating system software, databases, development tools—on their behalf. A recent study found that it is more profitable to deliver new products and higher-value customer experiences with.NET apps using Azure PaaS. Your gain up to 54% lower total cost of ownership compared to on-premises infrastructure and up to 35% cost saving compared to non-Azure cloud. Also, in the cloud, you can leverage economies of scale rather than build custom technology stacks which lowers your overall technology cost structure. This allows you to keep up the momentum in competitive economic environments. And let’s not forget, by offloading the routine IT tasks of managing the infrastructure to PaaS vendor, you can increase the job satisfaction of your developers who now have more time to prioritize things they love doing such as app innovation and testing new business ideas.
• #9: This need to use technology as a value driver pervades every aspect of business today, but no large organization is operating a greenfield operation with carte blanche to innovate and accelerate. They need to work with, through, and around existing systems and applications that are a core asset that drive both revenue and value and ensure the smooth operation of the business. Rationalization has long been the dream in such environments, but the reality is that rewriting applications from scratch is rarely an option. Many organizations choose to simply migrate the virtual machines hosting the application to the cloud. These migrations are the simplest and often the fastest, but they cause the organization to miss out on many of the benefits of moving to the public cloud. Replatforming an application, aka “move-and-improve,” represents a happy medium point between the two extremes of rewriting and lift-and-shift. In a replatforming migration, the application components are moved to a Platform-as-a-Service offering like Microsoft Azure App Service. Companies get the benefit of having the cloud provider manage the underlying infrastructure and software of the platform, while only needing to make minor changes to their applications. Alongside potential cost reductions, benefits of replatforming include: Increased productivity using dev/test and staging environments, Enhanced features and Access to innovation using modern devops practices such as continuous integration/ continuous delivery. Azure landing zone accelerators are an open-source collection of architectural guidance and reference implementation to accelerate deployment of Azure services at scale. They are part of the Cloud Adoption Framework which brings together cloud adoption best practices from Microsoft employees, partners, and customers. The framework provides a tools, guidance, and narratives. The tools it includes help you shape your technology, business, and people strategies to achieve the best business outcomes possible through your cloud adoption effort.
• #10: The challenge is that in this critical moment when cybersecurity has reached an inflection point, it is getting harder every day for organizations to build and maintain a full security team, let alone one with the ever-expanding skillset required to meet the range of today’s security demands. In the US alone, nearly one in three—or 2.5 million—security jobs are vacant. And, even when talent is available, access to highly skilled expertise remains a challenge. For innovation to happen, people must feel safe. One way to get peace of mind, innovate faster, and reduce the burden on your teams is to get comprehensive security help from the company that invests more in cybersecurity than anyone else. A strong security posture increases your customer’s trust in your services and is often a competitive advantage. When you enable non-security experts to easily incorporate security and compliance in app dev using cloud security, you not only reduce your security spending but also increase uptime of your apps. You will be able to scale up seamlessly when your app becomes popular. Customers reward app reliability and resilience with increased loyalty and stickiness. Using cloud analytics and insights, you can understand your customer behaviour better and evolve your app strategy.
• #11: To improve performance and reduce time-to-market for key customer-related apps, Jotun employed an App Modernization approach for 9 on-prem apps. Jotun used the Azure Migration and Modernization Program for guidance, support, and training.   Jotun leveraged App Service to refactor apps and scale them independently. Use of App Service deployment slots minimizes downtime during updates and facilitates traffic redirection. Azure resources are built and deployed through a new Azure DevOps-based pipeline. All nine apps were in production in nine months, in addition to related dev, test, and QA environments. Software upgrades take 5-10 minutes, with no unplanned downtime.
• #12: Quickly build, deploy, and scale web apps and APIs on your terms with built-in continuous integration and continuous delivery (CI/CD) and zero-downtime deployments. Work with .NET, .NET Core, Node.js, Java, Python, or PHP in containers, or running on Windows or Linux. Meet rigorous, enterprise-grade performance, and security and compliance requirements with a trusted, fully managed service. Technology features of the solution that will empower the upgraded processes include the following: Support multiple programming languages , such as .NET, Java, NodeJS, and Python on Windows and Linux. Take advantage of Azure App Service, Azure Spring Apps, Azure Kubernetes Service (AKS), and Azure Red Hat OpenShift for hardware and software infrastructure management. Dedicated tools in Visual Studio and Visual Studio Code streamline the work of creating, deploying, and debugging. Build, debug, and deploy .NET and Java applications on Azure using your favorite IDEs, including Eclipse, IntelliJ, and Visual Studio Code for Java. Use build and automation tools like Maven, Gradle, and Jenkins for your continuous integration and continuous delivery needs. Quickly add services and capabilities, including managed MySQL, PostgreSQL, and SQL databases, performance monitoring, and secrets management. Connect your applications with integration services like Azure Service Bus and Azure API Management. Create rich, more personalized experiences for your customers and your employees with Machine Learning and AI. Customers attest to the value of flexibility and support for open-source portfolio. In their customer story, Daimler said "We've brought Java, Tomcat, Docker containers, Red Hat Enterprise Linux, SUSE Linux, and many other open-source tools into DevTest Labs, and they all work great.” Microsoft Customer Story-Daimler embraces the cloud to innovate faster
• #13: Developers lie at the center of digital transformation and empowering them to achieve more requires accelerating developer velocity. What that means is to remove barriers and points of friction for developers using best in class development tools, better working practices and an aligned culture on their work environment. Experimentation is key to innovation, but making changes tends to be complex and costly in traditional software development. Once you modernize your apps, you gain the ability to deploy different versions in production simultaneously, learn from the behavior and user feedback, and roll back if needed. The agility to release new customer experiences faster and more frequently helps you stay more relevant and competitive with your customers. Time is another key factor in creating an environment where innovation thrives. If developers are not spending time on routine, non-productive IT tasks such as keeping their development environments running, they have the mental bandwidth and enthusiasm to chase new ideas. Cloud managed services also help increase customer satisfaction with your apps because you always have access to the latest software updates without fire-drills to apply emergency patches only when things break. High developer velocity has a direct impact on the business profitability, driving up to 4-5X revenue growth.
• #14: Another great customer example is COFCO International. Situation: COFCO International is the overseas procurement platform for COFCO Corporation, China’s largest food and agriculture business. From its sugar mills in Brazil to its grain silos in Australia, COFCO International, with revenues of $31 billion, operates across 35 countries and regions and handles more than 100 million tons of related commodities. Like many fast-growing companies, COFCO International’s data—spanning storage, freight, trade, risks, finances, and more—was spread across systems, businesses, and regions, and was hosted in systems run by individual business groups, and in several overseas datacenters. The new Centre of Excellence in Porto, Portugal, was running its own analytics from the European datacenters, while the Research and Development Center built its own datacenter in Argentina. These disparate big data clusters were increasingly expensive to license and manage, and the company lacked a centralized view into its customers and operations. The leadership needed more visibility into operations based on more accurate data, so the company decided to consolidate its data collection and storage solutions. Solution: With Azure, COFCO International was able to consolidate the data hosted in different regions and the information stored in an on-premises enterprise resource planning (ERP) system. With Azure managed services and serverless compute options, such as Azure Logic Apps and Azure Functions, developers created new solutions for application integration, data aggregation and reporting, and data governance. These projects are helping the COFCO International analytics team to increase the visibility of the company’s data. With improved analytics and access to trustworthy data, decision-makers at COFCO International can better meet the global demand for vital agricultural commodities. Reference: Microsoft Customer Story-COFCO International analyzes global food chain using Azure
• #15: Successful companies in today's business world are the ones that put the customer at the center of what they do. One easy way to facilitate that is by providing customer-friendly web applications and services that enable high-quality service and support. Platform as a Service or PaaS is a set of cloud-based services that enable business users and developers to build applications at a speed that on-premise solutions cannot match. As it’s a cloud-based service there’s no need to worry about the set-up and maintenance of servers, patching, upgrades, authentication so developers can focus on creating the best user experience possible. PaaS also delivers a set of additional services such as workflow and design tools and rich APIs all intended to help business users and developers create applications that delight their users. Technology features of the solution that will empower the upgraded processes include the following: Use a managed hosting environment, where you can deploy your application without needing to manage VMs or networking resources. Take advantage of platform-embedded security, load balancing, autoscaling, and automated management capabilities. Spend time writing great apps and let Azure automatically patch and maintain the OS and language frameworks for you. PaaS allows you to avoid the expense and complexity of buying and managing software licenses, the underlying application infrastructure and middleware, container orchestrators such as Kubernetes, or the development tools and other resources. You manage the applications and services you develop, and the cloud service provider typically manages everything else.
• #16: - Outcomes from app mod are great, but modernizing your app estate is a big journey and tactically we need to figure out where the best place to start for your organization is. - let me talk through how MSFT approached this same challenge and let's see what parallels we can draw to your organization
• #17: In addition to working with thousands of customers, our own internal IT team (Core Services Engineering) has been on a complex, multi-year journey to adopt cloud computing across the enterprise. Part of our cloud adoption strategy is moving and modernizing approximately 2,100 line-of-business (LOB) applications to the cloud platform. These applications are spread across eight datacenters worldwide and comprise over 40,000 distinct operating system instances. Through the cloud adoption efforts, a deep understanding of the portfolio is driving engineering to identify and optimize applications that are aligned to business functions and to reduce waste.
• #19: As you go down your own cloud-native journey, you have many choices to help you start to modernize. Azure provides all you need to create, modernize, and run the next enterprise apps in the cloud. From managed platforms such as Azure App Service, to Spring Apps and Red Hat Open Shift for Java workloads, integration services such as API management and Logic Apps, and serverless functions, to planet scale managed databases with high-quality vision, speech, language, and decision-making AI models.
• #20: When it comes to App Modernization, we generally find that for most customers the fastest and most cost-efficient path can broadly be grouped in three buckets. Modernizing .Net apps, modernizing Java apps, and modernizing their integration services. There are different ways to modernize, and Azure PaaS offers one of the fastest, simplest, and most cost-effective options for many customers. Let’s consider the reasons why.