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									Is Outsourcing the Hosting and
Management of Our SharePoint Solution
the Right Choice for My Organization?

    Jeff Becraft, Solution Engineer
    AT&T Hosting & Application Services
    jeff.becraft@att.com
    http://twitter.com/jeffbecraft
    http://facebook.com/BecraftsBlog
    http://www.BecraftsBlog.com
                                    AT&T Proprietary
                 Not for use or disclosure outside the AT&T companies
                            except under written agreement
Agenda
Is Outsourcing the Hosting and Management of Our SharePoint
Solution the Right Choice for My Organization?

         • Should we host on-premises or with a provider?
           (Can we do both?)
         • Do we need a dedicated solution, or is
           multi-tenant going to work for our needs?
         • If we make the leap, what do we lose?
           What do we gain?
         • What questions should we be asking
           potential providers?
         • Who are the leading providers?
         • How do we select the right provider
           for our unique needs?
         • How do we make the business case internally?

Page 2
Agenda
Is Outsourcing the Hosting and Management of Our SharePoint
Solution the Right Choice for My Organization?

         • Should we host on-premises or with a provider?
           (Can we do both?)
         • Do we need a dedicated solution, or is
           multi-tenant going to work for our needs?
         • If we make the leap, what do we lose?
           What do we gain?
         • What questions should we be asking
           potential providers?
         • Who are the leading providers?
         • How do we select the right provider
           for our unique needs?
         • How do we make the business case internally?

Page 3
Should we host on-premises or with a
provider? (Can we do both?)

Why might you host and manage on-premises?
• You have only a single location (i.e., LAN connectivity only) and
  limited or no WFH
• You already have sophisticated, mature, strategically located data
  center assets that you want to continue to invest in
• You already have a well-rounded SharePoint team in-house
  (technical, admin, information architect, helpdesk, et al.)
• For SharePoint and related infrastructure, you have a 99.9%
  uptime Service Level Agreement with IT and they are meeting it
  consistently
• You have an effective SOP for Change Management that provides
  auditability of notable changes to your SharePoint environment
• “We need to manage all of our stuff ourselves”


Page 4
Should we host on-premises or with a
provider? (Can we do both?)

Why might you host and manage with a provider?
• You have numerous locations in multiple regions (largely WAN or
  Internet connectivity) and/or many WFH
• You lack sophisticated, mature, modern data center assets that
  are strategically located with your users
• SharePoint technology and your SharePoint content are not well-
  understood by those currently tasked with supporting it
• You wish to have a well-rounded SharePoint team at your
  disposal, but don‟t have time or resources to recruit, hire, train
  and retain scarce SharePoint expertise
• Internal IT is unable to meet your uptime and performance SLA
  requirements consistently
• Currently Change Management is inadequate or non-existent
• “We don‟t want to be in the hosting business.”

Page 5
Should we host on-premises or with a
provider? (Can we do both?)

Why might you do both?
• You want to manage certain highly sensitive content in a very
  particular way, but other content doesn‟t have such strict
  requirements (works in either direction!)
• You want LAN users to be able to access certain content over the
  high speed network, but remote and WFH users just need to
  access it over the Internet with a VPN connection
• SharePoint technology and/or your SharePoint content are not
  well-understood by those tasked with supporting it. You need
  knowledgeable people minding your most important stuff
• You only have time and resources to recruit, hire, train and retain
  SharePoint expertise for certain key functions
• Internal IT is unable to meet your 99.9% SLA consistently for
  content that requires it, however some content doesn‟t have such
  strict requirements
Page 6
Should we host on-premises or with a
provider? (Can we do both?)

Why might you do both? (Continued)
• Governance/Change Management is inadequate or non-existent
  where it counts, yet isn‟t a major concern for a large portion of
  your content
• You have different needs for your intranet and extranet users, and
  want to provide different levels of support for each
• You want to use SharePoint as both an internal collaboration
  system, but also as a web site CMS system. You do not want to
  host the web site
• “We are intrigued by the option of getting hosting and
  management from a provider, but want to „try it out‟ first.”




Page 7
Agenda
Is Outsourcing the Hosting and Management of Our SharePoint
Solution the Right Choice for My Organization?

         • Should we host on-premises or with a provider? (Can we
           do both?)
         • Do we need a dedicated solution, or is
           multi-tenant going to work for our needs?
         • If we make the leap, what do we lose?
           What do we gain?
         • What questions should we be asking
           potential providers?
         • Who are the leading providers?
         • How do we select the right provider
           for our unique needs?
         • How do we make the business case internally?

Page 8
Do we need a dedicated solution, or is
multi-tenant going to work for our needs?
Wait…. What exactly is a multi-tenant solution?
• “Multitenancy refers to a principle in software architecture
  where a single instance of the software runs on a server,
  serving multiple client organizations (tenants)… With a
  multitenant architecture, a software application is designed
  to virtually partition its data and configuration so that each
  client organization works with a customized virtual
  application instance.”
• “Multitenancy is contrasted with multi-instance architecture
  where separate software instances (or hardware systems)
  are set up for different client organizations.”
                 http://en.wikipedia.org/wiki/Multi-tenant




Page 9
Do we need a dedicated solution, or is
multi-tenant going to work for our needs?
  Is there a 3rd option?

“An increasingly viable alternative route to
  multitenancy that eliminates the need for
  significant architectural change is to use
  virtualization technology to host multiple
  isolated instances of an application on one
  or more servers.”
              http://en.wikipedia.org/wiki/Multi-tenant




Page 10
Agenda
Is Outsourcing the Hosting and Management of Our SharePoint
Solution the Right Choice for My Organization?

          • Should we host on-premises or with a provider? (Can we
            do both?)
          • Do we need a dedicated solution, or is multi-tenant going
            to work for our needs?
          • If we make the leap, what do we lose?
            What do we gain?
          • What questions should we be asking
            potential providers?
          • Who are the leading providers?
          • How do we select the right provider
            for our unique needs?
          • How do we make the business case internally?

Page 11
  If we make the leap… What do we lose?
  Details can vary significantly by provider and hosting model…
                              So ask questions!

            On-Premises            Hosted Multi-Tenant                Hosted Dedicated

• Limited To Internal IT‟s:   • No LAN connectivity speeds      • No LAN connectivity speeds
  • capabilities              • Typically, significantly        • With some provider
  • focus                       reduced feature set               solutions, it can be difficult
  • resources                 • Typically, constraints on         to scale dynamically
  • standards                   growth in data, capacity        • With some provider
                                available to you                  solutions, infrastructure is
• Often sub-optimal for
                              • Typically offers very limited     typically designed for peak
  widely geo-distributed
                                customization options             times, but rarely utilized at
  users
                                                                  or even near capacity
• Can be difficult to scale
                                                                • Alternately, some provider
  dynamically
                                                                  solutions are undersized,
                                                                  and offer limited ability to
                                                                  scale dynamically




  Page 12
If we make the leap… What do we gain?
Details can vary significantly by provider and hosting model…
                     So ask questions!




Page 13
Agenda
Is Outsourcing the Hosting and Management of Our SharePoint
Solution the Right Choice for My Organization?

          • Should we host on-premises or with a provider? (Can we
            do both?)
          • Do we need a dedicated solution, or is multi-tenant going
            to work for our needs?
          • If we make the leap, what do we lose? What do we gain?
          • What questions should we be asking
            potential providers?
          • Who are the leading providers?
          • How do we select the right provider
            for our unique needs?
          • How do we make the business case internally?



Page 14
What questions should we be asking
potential providers?
Service Level Agreements
•         Do you provide a 99.9% or higher Service Level Agreement for
          uptime? Does that include SharePoint itself? What about
          Windows, SQL Server, the infrastructure, the network?
•         Do you offer any performance SLAs for the network and/or
          SharePoint itself?
•         What other Service Level Agreements do you offer?
•         What is the contractual penalty to the vendor for missing SLAs?
•         How have you designed your infrastructure to ensure that you do
          not miss these SLAs?
•         What level of customization is available without eliminating the
          SLA? Can you support 3rd party and custom code?




Page 15
What questions should we be asking
potential providers?
Security/Compliance
•         How is single sign-on access to SharePoint achieved?
•         How is secure connectivity “from anywhere” achieved?
•         Are your data center operations audited for SAS 70 Type II
          compliance, and/or other appropriate standards? PCI,
          HIPAA, ITAR, etc? Can we see your audit reports?
•         Do you have an audited, layered security model that
          encompasses the application itself, as well as the logical,
          network and physical security of the solution as a whole?
•         If we want to perform pen testing with an external
          provider, can you accommodate that?
•         Which components of your offering are within your direct
          control, and which do you sub-contract with external
          companies for?
Page 16
What questions should we be asking
potential providers?
Connectivity/Bandwidth
•         Where are the primary and DR data centers located?
          Is replication bandwidth already included?
•         How much bandwidth is allocated for this solution?
•         How are my bandwidth costs calculated?
•         How are bursts/overages billed?
•         Do you offer WAN optimization capabilities?
•         Do you offer Content Delivery Network capabilities?




Page 17
What questions should we be asking
potential providers?
Solution Design
•         Is your solution multi-tenant? Dedicated? A hybrid?
•         Does your solution offer full-featured SharePoint or a
          reduced feature set?
•         What level(s) of redundancy is included?
•         How does your solution provide High Availability?
•         What level of DR is included? What levels are optional?
•         Can we re-use our existing software licenses?
•         Has the solution been designed to incorporate
          infrastructure that exists for applications we already host
          with you?
•         Can parts of this solution‟s infrastructure be leveraged for
          other hosted solutions in the future?
Page 18
What questions should we be asking
potential providers?
Support
•         How are admin privileges divided between our
          organization and yours? Which admin tasks are included
          in our monthly fees?
•         How can we access support resources in your
          organization? Toll-free number? Email? Web portal? All?
•         Is there a distinct individual we can call for escalations
          who stays well-informed about our specific solution and
          business needs?
•         How much detail and support information is available on
          your web support portal?




Page 19
What questions should we be asking
potential providers?
Maintenance
•         How are critical patches coordinated and deployed?
•         How are non-critical patches coordinated and deployed?
•         How about 3rd party web parts?
•         Custom code?
•         What forms of proactive and reactive monitoring are
          included/available? When alerts fire off, who reacts and
          how fast? How is status communicated to our team?
•         When we need assistance beyond the scope of our hosting
          and management contract, what options are available
          within your organization, and with external
          partners/providers?


Page 20
What questions should we be asking
potential providers?
Pricing/Contracting
•         What are the initial setup fees, and what will we pay each
          month?
•         Can we manage our upfront/CapEx costs by financing
          initial setup fees over the term by adjusting the monthly
          fees accordingly?
•         Are migration costs already included in the setup and/or
          monthly fees?
•         What variable fees may apply? (e.g., bandwidth, storage)
•         How will potential scale up and scale out accounted for in
          pricing and monthly fees?
•         Will we receive a contracted fee schedule for capacity
          increases, professional services, recurring specialized
          needs, etc?
Page 21
What questions should we be asking
potential providers?

                       …and
            keep asking questions
                   until you are
              completely comfortable
          with the provider‟s capabilities,
              advantages, limitations,
          expertise, and solution design!
Page 22
Agenda
Is Outsourcing the Hosting and Management of Our SharePoint
Solution the Right Choice for My Organization?

          • Should we host on-premises or with a provider?
            (Can we do both?)
          • Do we need a dedicated solution, or
            is multi-tenant going to work for our needs?
          • If we make the leap, what do we lose?
            What do we gain?
          • What questions should we be asking
            potential providers?
          • Who are the leading providers?
          • How do we select the right provider
            for our unique needs?
          • How do we make the business case internally?

Page 23
   Who are the leading providers?
          The Gartner “Leaders Quadrant” for
  Web Hosting and Hosted Cloud Infrastructure Services




Magic Quadrant for Web Hosting and Hosted Cloud Infrastructure Services (On Demand) by Lydia Leong, Ted Chamberlin (07/02/09) is copyrighted by Gartner, Inc. and is reused with
permission. The Magic Quadrant is a graphical representation of a marketplace at and for a specific time period. It depicts Gartner‟s analysis of how certain vendors measure against criteria
for that marketplace, as defined by Gartner. Gartner does not endorse any vendor, product or service depicted in the Magic Quadrant, and does not advise technology users to select only
those vendors placed in the “Leaders” quadrant. The Magic Quadrant is intended solely as a research tool, and is not meant to be a specific guide to action. Gartner disclaims all warranties,
express or implied, with respect to this research, including any warranties of merchantability or fitness for a particular purpose. This Magic Quadrant graphic was published by Gartner, Inc.
as part of a larger research note and should be evaluated in the context of the entire report. The Gartner report is available upon request from AT&T.


    Page 24
Agenda
Is Outsourcing the Hosting and Management of Our SharePoint
Solution the Right Choice for My Organization?

          • Should we host on-premises or with a provider?
            (Can we do both?)
          • Do we need a dedicated solution, or
            is multi-tenant going to work for our needs?
          • If we make the leap, what do we lose?
            What do we gain?
          • What questions should we be asking
            potential providers?
          • Who are the leading providers?
          • How do we select the right provider
            for our unique needs?
          • How do we make the business case internally?

Page 25
How do we select the right provider for our
unique needs?
Do you have a current consulting provider for your on-
   premises SharePoint solution(s)? Do they partner with a
   leading hosting provider?
•         Can they provide this service themselves at the level you
          require?
•         Can they make a well-reasoned recommendation of a
          specific provider(s) or guide you through the vendor
          selection process?
•         Does your consulting provider leverage a leading
          provider‟s hosting platform through an existing alliance
          partnership?




Page 26
How do we select the right provider for our
unique needs?
Do you already have other applications hosted with a leading
   hosting provider(s)?
•         Does the provider already host Exchange for you? How
          about OCS?
•         Does the provider host any other SharePoint-integrated
          applications, such as Project Server, Dynamics apps or
          Commerce Server for you?
•         Are you likely to integrate other applications hosted by the
          provider into your SharePoint portal over time?
•         Does the provider offer hosting and management of other
          applications in your IT portfolio that you may want to
          outsource in a similar fashion later? (Oracle, PeopleSoft,
          SAP, etc.)


Page 27
How do we select the right provider for our
unique needs?
 Do you have existing contracts for other services (software,
    hardware, telecom, networking, mobile devices, other)
    with any leading hosting providers?
•         Is this service already available to you on an existing
          pricing schedule from this provider?
•         Does the ability to leverage an existing master agreement
          with this provider simplify the procurement process for
          your organization?
•         Do you stand to benefit from purchasing additional
          services with that provider in the form of discounts on
          hosted SharePoint and/or certain other services?




Page 28
How do we select the right provider for our
unique needs?
 To cut down on latency, does the provider have a data
    center(s) available to host your application, that is in
    regional proximity to your user base?
•         Does the provider own and/or control multiple data
          centers around the globe that are relevant to your key
          locations?
•         Does the provider manage your networking and/or WAN?
•         Is WAN optimization easy to include in the solution?
•         Is the use of a Content Delivery Network a useful tool for
          improving performance of downloads? Does the provider
          offer a CDN?




Page 29
Agenda
Is Outsourcing the Hosting and Management of Our SharePoint
Solution the Right Choice for My Organization?

          • Should we host on-premises or with a provider?
            (Can we do both?)
          • Do we need a dedicated solution, or
            is multi-tenant going to work for our needs?
          • If we make the leap, what do we lose?
            What do we gain?
          • What questions should we be asking
            potential providers?
          • Who are the leading providers?
          • How do we select the right provider
            for our unique needs?
          • How do we make the business case internally?

Page 30
How do we make the business case
internally?
Describe the business need and how it contributes to the
  overall business strategy
• Compliance
• Higher quality support for important extranet users
• Centralization of SharePoint “in the wild”
• Easier allocation of IT support costs for charging back to
  business units
• “We do not want to be in the data center business.”




Page 31
How do we make the business case
internally?
Explain why the decision to move to outsourced hosting is
  timely
• Want to align upgrade to SharePoint 2010 with ongoing
  outsourcing strategy
• New acquisition looming, integration of legacy content will
  add users who are geographically dispersed
• Recent staff reductions have highlighted need for better
  enterprise content and knowledge management




Page 32
How do we make the business case
internally?
Describe the key benefits your organization will receive
• Centralization of SharePoint
• Governance
• Compliance
• Simplified Management
• More time for internal IT to focus on strategic initiatives
• Easy access to a team of experts with deep knowledge of
  all functional and technical aspects of your solution
  (network, platform, Windows, Active Directory, SQL Server,
  SharePoint, 3rd party admin tools and web parts, et al.)




Page 33
How do we make the business case
internally?
Describe the key risks and how they are mitigated
• Security concerns
   • SAS 70 and other audits
   • layered security model
   • patch strategy

• Performance concerns
   • dynamic scaling of solution
   • network connectivity
   • performance SLA

• Long-term viability of the provider
   • track record in the industry
   • current excellence
   • future-looking roadmap for SharePoint and other applications in
     your IT portfolio
Page 34
How do we make the business case
internally?
Identify the critical success factors for your organization and
  how they will be measured, such as…
• Target utilization of SharePoint for large files will reduce
  Exchange storage requirements by X% within 1 year
  (measured via Exchange)
• Improved end user performance (measured by page load
  times from several points around the world that are
  relevant to your organization) will increase productivity for
  remote offices
• Lossless migration of content from older, on-premises
  version of SharePoint to provider-hosted SharePoint
• Includes both High Availability primary environment and DR
  in a geographically distinct data center

Page 35
How do we make the business case
internally?
Identify the main stakeholders
• The broader the impact on the business, the better, but
  beware the appearance of this being an overwhelming task
  or initiative
• Note the name of the most senior sponsor for this initiative
  and of course be certain you have his/her full buy-in
• Look beyond IT to note the business units, teams, and
  types of users that are going to receive direct productivity
  improvements because of this solution




Page 36
How do we make the business case
internally?
Describe how the proposed solution meets the organization‟s
  objectives and current priorities
    Examples
•    CIO has indicated that the organization will not continue to build out and maintain its
     own data centers
•    Executive team wishes to provide IT services to the business units using a
     chargeback model. Hosting and management can help facilitate this process.
•    IT staff lacks people, skills, focus for SharePoint maintenance, enhancement, end
     user training and ongoing support
•    Geographically dispersed user community requires round-the-clock support, but IT is
     not staffed to support accordingly
•    Compliance requirements for the organization favor clear separation of duties
     between administrative staff, development team, and end users
•    Current SharePoint on-premise solution lacks effective governance that hosting and
     management brings
•    Provide rationale for trade-offs in choosing multi-tenant vs.
     dedicated



Page 37
How do we make the business case
internally?
Provide cost/benefit analysis (be realistic!)
• Compare costs to hire, train and retain appropriate depth of
  SharePoint expertise for advanced SharePoint work
  internally vs. tapping into provider team only as needed
• Compare costs to provide round-the-clock support
  capabilities internally vs. provider
• Compare costs to build and maintain infrastructure and
  servers internally vs. leveraging provider‟s existing platform
• Demonstrate ease of facilitating chargeback model with
  business units based upon vendor‟s billing mechanism
• Consider value of leveraging CapEx vs. OpEx budgets for
  line items including software licensing
• Consider savings resulting from elimination of obsolete
  systems (e.g., Lotus, eRoom, etc.)
Page 38
Session Evaluation
Please complete and turn in your
   Session Evaluation Form so we can
   improve future events.
Presenter:
•   Jeff Becraft
Session Name:
•   Is Outsourcing the Hosting and
    Management of Our SharePoint
    Solution The Right Choice For My
    Organization?




Page 39
Thanks to our Sponsors




Page 40
Questions & Discussion


Jeff.Becraft@att.com
http://twitter.com/jeffbecraft
http://facebook.com/BecraftsBlog
http://www.BecraftsBlog.com
http://www.linkedin.com/in/jeffbecraft
                         AT&T Proprietary
      Not for use or disclosure outside the AT&T companies
                 except under written agreement

								
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