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IBM Cloud / © 2018 IBM Corporation
Better Total Value of Ownership (TVO)
for Complex Analytic Workflows with the IBM &
Hortonworks Analytic Solutions
2
Speakers IBM and Hortonworks Strengths
IBM Cloud /2018 IBM Corporation
Jerry Green
WW Open Source Sales Leader
IBM Analytics
Nadeem Asghar
VP – Partner Engineering
Hortonworks
Srini Chari
Managing Partner
Cabot Partners Group
3
 #1 Pure Open Source Hadoop Distribution
 1300+ customers and 2100+ ecosystem partners
 Employs the original architects, developers and
operators of Hadoop from Yahoo!
 Best-in-class 24x7 customer support
 Leading professional services and training
 #1 SQL Engine for complex, analytical workloads
 Leader in Data Science (Source: Gartner)
 Leader in On-premise and Hybrid Cloud solutions
 OpenPOWER performance leadership
 Software defined storage with unmatched scalability
+
The Power of ONEOne enterprise end-to-end solution for big data
#1 open source Hadoop platform + IBM’s leading value adds
4
= The Power
of ONE
IBM Big
Replicate
IBM
Spectrum
Scale
IBM Big
Integrate
Big Quality
IBM Power
Systems
Best Server
for Enterprise
AI
Improve Data
Governance
for Hadoop
#1 Disaster
recovery
solution for
Hadoop
Up to 60%
reduction in
storage
footprint
IBM Data
Science
Experience
#1 Data
Science
Platform
IBM
BigSQL
#1 SQL
Engine for
HadoopData in
Motion
HORTONWORKS
DATA FLOW
HDF
HORTONWORKS
DATA PLATFORM
HDP®
Data
at Rest
5
September
2016
IBM Power
Systems
partnership
February
2017
IBM Spectrum
Scale
Certification
Announced
April
2017
HDP®
Delivered for
Power Systems
August
2017
BigSQL and
DSX on HDP®
December
2017
HDF Delivered
for Power
Systems
June
2017
HDP® and HDF
Certified for
Spectrum Scale
Analytics
Partnership –
Hadoop & Data
Science
IBM and Hortonworks: Our Journey
6
Big Data is a journey – big data projects are starting small but can grow very rapidly leading
to major cost, risk, skills, and performance challenges.
IBM + Hortonworks has a prescriptive approach to success with big data:
Why We are Different?
1. Lay the foundation with a purely open source Hadoop distribution - control cost, no vendor lock-in
2. Control cluster sprawl with more efficient infrastructure - reduce up to 30% infrastructure cost
3. Optimize data warehouses by shifting the right workloads to Hadoop - reduce up to 70% of DW cost
4. Establish and enforce the enterprise data governance and security policies in Hadoop - reduce risk
5. Explore new business models with machine learning at scale with Data Science projects - new revenue
7
HDP+IBM : Key Differentiators
Security & Governance
HDP remains best for enterprise-grade Security & Governance
Single-pane authorization, Row/Column Security for SQL, Metadata
management & governance, Tag-based policies
Comprehensive & Fast SQL
Near full-fledged EDW capabilities, ACID, Merge, Security,
In-memory & fast, Cloud-ready
Improve Enterprise readiness, HDP remains best for Spark
Row/Column Security to SparkSQL, Management & Monitoring,
Latest Spark, Data Science Studio
SQL / Hive
Spark & Data Science
SmartSense
We support you better and your cluster just runs better!
Tools and services for faster case resolution, proactive issue detection and activity
reports/visualization
Cloud
Hortonworks Data Cloud
Fast, opinionated cloud-based HDP and HDF, powered by Cloudbreak
BigSQL
DSX
Softlayer
8
Total Value of Ownership (TVO) Assessment of the
IBM + Hortonworks (IBM + HW) Solution for Analytics
Drs. Ajay Asthana and Srini Chari
Cabot Partners
info@cabotpartners.com
© Copyright 2018. Cabot Partners Group. Inc.Total Value of Ownership (TVO) Assessment for IBM + Hortonworks
http://cabotpartners.com/Downloads/TVO-IBM-Hortonworks-and-Cloudera.pdf
2018
9
Disclosures
• Work sponsored by IBM Corporation.
• Copyright® 2018. Cabot Partners Group. Inc. All rights reserved. Other companies’ product names, trademarks, or
service marks are used herein for identification only and belong to their respective owner. All images and supporting
data were obtained from IBM or from public sources. The information and product recommendations made by the
Cabot Partners Group are based upon public information and sources and may also include personal opinions both
Cabot Partners Group and others, all of which we believe to be accurate and reliable. However, as market conditions
change and not within our control, the information and recommendations are made without warranty of any kind. The
Cabot Partners Group, Inc. assumes no responsibility or liability for any damages whatsoever (including incidental,
consequential or otherwise), caused by your or your client’s use of, or reliance upon, the information and
recommendations presented herein, nor for any inadvertent errors which may appear in this document. This paper was
developed with IBM funding. Although the paper may utilize publicly available material from various vendors, including
IBM, it does not necessarily reflect the positions of such vendors on the issues addressed in this document.
© Copyright 2018. Cabot Partners Group. Inc.Total Value of Ownership (TVO) Assessment for IBM + Hortonworks
Outline
10
• To Maximize Business Value from Analytics, Technology Matters throughout the Workflow
– Continuing Growth of Data
– Analytics Lifecycle – Descriptive to Predictive to Prescriptive to AI/Machine Learning
• Total Value of Ownership (TVO) Framework
– Cost and Value Drivers for IBM + Hortonworks (IBM + HW) Solution vs. Cloudera
• Cost/Value Drivers Detailed
– Reduced Costs
– Enhanced Productivity
– Higher Revenues and Profits
– Mitigated Risks
• Results of TVO Analysis (Total Benefits – Total Costs)
– Small, Medium and Large
• ROI and Payback Period for IBM+HW Better than Cloudera
• Discussions and Summary
Total Value of Ownership (TVO) Assessment for IBM + Hortonworks
Intertwined Technologies Driving Data Growth and
Analytics
11Total Value of Ownership (TVO) Assessment for IBM + Hortonworks
• 18-fold Increase in Data Volumes in 10 Years
• 4.3 Exabytes in 2018 over 90% Unstructured
• Analytics Infrastructure – Hadoop growing for
generating Actionable, Time Critical Insights
Infrastructure Matters to Deploy High Value
Analytics Workflows
12Total Value of Ownership (TVO) Assessment for IBM + Hortonworks
• Data Scientists spend about 79% of their time on cumbersome data preparation and cleansing tasks
• Need a single platform for data integration, governance and quality for the entire Analytics workflow
• Descriptive to Predictive to Prescriptive and to Artificial Intelligence/Machine Learning
• IBM + Hortonworks (IBM+HW) provides this single platform combining IBM Db2 Big SQL, IBM Data
Science Experience, IBM Unified Governance and Integration and IBM Spectrum Scale with the
Hortonworks Data Platform (HDP)
• Client is responsible for
building and supporting
Analytics initiatives
throughout workflow
• Infrastructure built and
supported by client
• Software for a range of
Analytics but with limited
enterprise-grade
capabilities and integration
with other systems
• Not as high-performance
for infrastructure
• Fully supported and
Enterprise Level
capabilities for the entire
workflow – with quality,
governance, high-
performance, integration
and more
Three Infrastructure Alternatives Considered
13
cloudera
IBM Unified
Governance
Value Added
Components
Total Value of Ownership (TVO) Assessment for IBM + Hortonworks
© Copyright 2018. Cabot Partners Group. Inc.Total Value of Ownership (TVO) Assessment for IBM + Hortonworks
Business
Technical
Derived
Direct
Size of circle depicts impact on total value
1. Costs (TCO)2. Productivity
3. Revenues/Profits 4. Risks
Deployment Costs (each
model)
Acquisition
Costs (HW)
Software Costs
(License)
Maintenance Costs
Operations Costs (Facilities +
People)
Value Drivers for Analytics
Personnel Productivity & Skill Leverage (Data
Scientist, Engineer, App Developer)
Organizational Productivity (Initial set
up, integrations, Analysts)
Improved Revenue
(Innovation/ New
Business) (quality)
Faster Time to Value
(Expedited ETL)
Reduced Risk of
Failure (ecosystem,
data quality)
Improved Data Governance
(reduced errors)
15
Assumptions: Configurations and Personnel
© Copyright 2018. Cabot Partners Group. Inc.Total Value of Ownership (TVO) Assessment for IBM + Hortonworks
Number of Hours per Year IBM+HW Cloudera Hadoop IBM+HW Cloudera Hadoop IBM+HW Cloudera Hadoop
Data Scientist Hours 975 1050 1500 1550 1625 2500 2320 2480 4000
Data Engineer Hours 1625 1750 2500 2480 2600 4000 4640 4960 8000
Application Developer Hours 975 1050 1500 1240 1300 2000 4640 4960 8000
Business Analyst Hours 1400 1500 2000 2680 2900 4000 5200 5600 4000
Administrator Hours 950 1000 1100 1840 2000 2400 3600 4000 5200
Total Personnel Hours 5925 6350 8600 9790 10425 14900 20400 22000 29200
SMALL MEDIUM LARGE
Small Configuration IBM+HW vs. Cloudera
16
Small ROI and Payback Period
9.57
14.93
0.00 2.00 4.00 6.00 8.00 10.00 12.00 14.00 16.00
IBM-HW
Cloudera
Payback Period in Months (lower is better)
56%
Improvement
47%
73%
0%
10%
20%
30%
40%
50%
60%
70%
80%
Cloudera IBM-HW
Return on Investment over 3 years (higher is
better)
56%
Improvement
© Copyright 2018. Cabot Partners Group. Inc.Total Value of Ownership (TVO) Assessment for IBM + Hortonworks
Benefits from IBM + Hortonworks Solutions vs. Cloudera (Small)
© Copyright 2017. Cabot Partners Group. Inc.
Small Configuration Costs and Benefits ($K)
Direct
1. Costs (TCO)2. Productivity
3. Revenues/Profits 4. Risks
Derived
© Copyright 2018. Cabot Partners Group. Inc.Total Value of Ownership (TVO) Assessment for IBM + Hortonworks
Business
Technical
Cloudera Costs IBM + Hortonworks Costs Cloudera Benefits IBM + Hortonworks Benefits
$62
$323
$21
$1,429
$39$57
$420
$18
$1,361
$24
-$100
$100
$300
$500
$700
$900
$1,100
$1,300
$1,500
Acqusition Software Maintenance Operations Deployment
Lower is Better
$252
$517
$288
$697
$0
$100
$200
$300
$400
$500
$600
$700
$800
Reduced Risk of Failure Improved Data Governance
Higher is Better
$297
$264
$347
$268
$0
$50
$100
$150
$200
$250
$300
$350
$400
Personnel Productivity Organziational Productivity
Higher is Better
$430
$1,426
$644
$1,584
$0
$200
$400
$600
$800
$1,000
$1,200
$1,400
$1,600
Faster Time to Value Improved Revenue
Higher is Better
Medium Configuration IBM+HW vs. Cloudera
18
Medium ROI and Payback Period
68%
110%
0%
20%
40%
60%
80%
100%
120%
Cloudera IBM-HW
Return on Investment over 3 years (higher is
better)
63%
Improvement
7.04
12.75
0.00 2.00 4.00 6.00 8.00 10.00 12.00 14.00
IBM-HW
Cloudera
Payback Period in Months (lower is better)
81%
Improvement
© Copyright 2018. Cabot Partners Group. Inc.Total Value of Ownership (TVO) Assessment for IBM + Hortonworks
Benefits from IBM + Hortonworks Solutions vs. Cloudera (Medium)
© Copyright 2017. Cabot Partners Group. Inc.
Medium Configuration Costs and Benefits ($K)
Direct
1. Costs (TCO)2. Productivity
3. Revenues/Profits 4. Risks
Derived
© Copyright 2018. Cabot Partners Group. Inc.Total Value of Ownership (TVO) Assessment for IBM + Hortonworks
$324
$2,802
$365
$3,701
$0
$500
$1,000
$1,500
$2,000
$2,500
$3,000
$3,500
$4,000
Reduced Risk of Failure Improved Data Governance
Higher is Better
Business
Technical
Cloudera Costs IBM + Hortonworks Costs Cloudera Benefits IBM + Hortonworks Benefits
$202
$1,075
$68
$2,331
$66$184
$1,390
$59
$2,222
$47
-$100
$400
$900
$1,400
$1,900
$2,400
Acqusition Software Maintenance Operations Deployment
Lower is Better
$546
$421
$593
$685
$0
$100
$200
$300
$400
$500
$600
$700
$800
Personnel Productivity Organziational Productivity
Higher is Better
$537
$2,880
$1,504
$3,168
$0
$500
$1,000
$1,500
$2,000
$2,500
$3,000
$3,500
Faster Time to Value Improved Revenue
Higher is Better
Large Configuration IBM+HW vs. Cloudera
20
Large ROI and Payback Period
93%
160%
0%
20%
40%
60%
80%
100%
120%
140%
160%
180%
Cloudera IBM-HW
Return on Investment over 3 years (higher is
better)
72%
Improvement
5.62
11.00
0.00 2.00 4.00 6.00 8.00 10.00 12.00
IBM-HW
Cloudera
Payback Period in Months (lower is better)
96%
Improvement
© Copyright 2018. Cabot Partners Group. Inc.Total Value of Ownership (TVO) Assessment for IBM + Hortonworks
Benefits from IBM + Hortonworks Solutions vs. Cloudera (Large)
© Copyright 2017. Cabot Partners Group. Inc.
Large Configuration Costs and Benefits ($K)
Cloudera Costs IBM + Hortonworks Costs Cloudera Benefits IBM + Hortonworks Benefits
Direct
1. Costs (TCO)2. Productivity
3. Revenues/Profits 4. Risks
Derived
© Copyright 2018. Cabot Partners Group. Inc.Total Value of Ownership (TVO) Assessment for IBM + Hortonworks
$1,823
$3,737
$2,025
$4,935
$0
$1,000
$2,000
$3,000
$4,000
$5,000
$6,000
Reduced Risk of Failure Improved Data Governance
Higher is Better
Business
Technical
$441
$2,150
$137
$4,953
$131$423
$3,005
$127
$4,721
$95
$0
$1,000
$2,000
$3,000
$4,000
$5,000
$6,000
Acqusition Software Maintenance Operations Deployment
Lower is Better
$1,277
$2,171
$1,411
$2,715
$0
$500
$1,000
$1,500
$2,000
$2,500
$3,000
Personnel Productivity Organziational Productivity
Higher is Better
$3,222
$5,760
$4,296
$11,290
$0
$2,000
$4,000
$6,000
$8,000
$10,000
$12,000
Faster Time to Value Improved Revenue
Higher is Better
47%
68%
93%
73%
110%
160%
0%
20%
40%
60%
80%
100%
120%
140%
160%
180%
Small Medium Large
Return on Investment Over 3 years
(Higher is Better)
Cloudera
IBM + Hortonworks
Better ROI and Payback Period with IBM + Hortonworks vs. Cloudera
© Copyright 2018. Cabot Partners Group. Inc.
56%
Improvement
Total Value of Ownership (TVO) Assessment for IBM + Hortonworks
63%
Improvement
72%
Improvement
14.93
12.75
11
9.57
7.04
5.62
0 2 4 6 8 10 12 14 16
Small
Medium
Large
Payback Period in Months
(Lower is Better)
IBM + Hortonworks
Cloudera96%
Improvement
81%
Improvement
56%
Improvement
• As the volume and variety of data grow and as organizations implement higher-value Analytics
and Hadoop for their Cognitive Computing journey, they need enterprise-grade solutions to
produce more realistic, reliable, actionable and time-critical analyses.
• The cost-benefit analysis and business case are compelling for all configurations. IBM+HW
consistently delivers better TCO, Productivity, Revenues/Profits and Risk Mitigation.
• The business value and ROI/Payback Period differential improve as configurations get larger.
• This investment is protected and can continue to deliver even greater marginal value for more
complex analytics including the rapidly growing use of Artificial Intelligence and Machine
Learning (AI/ML) techniques coupled with the Internet of Things (IoT) – all areas where IBM
continues to make substantial investments.
• IBM and Hortonworks are reliable partners and offer one of the most comprehensive Enterprise
Data Integration, Quality, and Governance solutions.
23
Why IBM + Hortonworks for Analytics Workflows
© Copyright 2018. Cabot Partners Group. Inc.Total Value of Ownership (TVO) Assessment for IBM + Hortonworks
24
Questions?
© Copyright 2018. Cabot Partners Group. Inc.Total Value of Ownership (TVO) Assessment for IBM + Hortonworks
info@cabotpartners.com

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Better Total Value of Ownership (TVO) for Complex Analytic Workflows with the IBM & Hortonworks Analytic Solutions

  • 1. IBM Cloud / © 2018 IBM Corporation Better Total Value of Ownership (TVO) for Complex Analytic Workflows with the IBM & Hortonworks Analytic Solutions
  • 2. 2 Speakers IBM and Hortonworks Strengths IBM Cloud /2018 IBM Corporation Jerry Green WW Open Source Sales Leader IBM Analytics Nadeem Asghar VP – Partner Engineering Hortonworks Srini Chari Managing Partner Cabot Partners Group
  • 3. 3  #1 Pure Open Source Hadoop Distribution  1300+ customers and 2100+ ecosystem partners  Employs the original architects, developers and operators of Hadoop from Yahoo!  Best-in-class 24x7 customer support  Leading professional services and training  #1 SQL Engine for complex, analytical workloads  Leader in Data Science (Source: Gartner)  Leader in On-premise and Hybrid Cloud solutions  OpenPOWER performance leadership  Software defined storage with unmatched scalability + The Power of ONEOne enterprise end-to-end solution for big data #1 open source Hadoop platform + IBM’s leading value adds
  • 4. 4 = The Power of ONE IBM Big Replicate IBM Spectrum Scale IBM Big Integrate Big Quality IBM Power Systems Best Server for Enterprise AI Improve Data Governance for Hadoop #1 Disaster recovery solution for Hadoop Up to 60% reduction in storage footprint IBM Data Science Experience #1 Data Science Platform IBM BigSQL #1 SQL Engine for HadoopData in Motion HORTONWORKS DATA FLOW HDF HORTONWORKS DATA PLATFORM HDP® Data at Rest
  • 5. 5 September 2016 IBM Power Systems partnership February 2017 IBM Spectrum Scale Certification Announced April 2017 HDP® Delivered for Power Systems August 2017 BigSQL and DSX on HDP® December 2017 HDF Delivered for Power Systems June 2017 HDP® and HDF Certified for Spectrum Scale Analytics Partnership – Hadoop & Data Science IBM and Hortonworks: Our Journey
  • 6. 6 Big Data is a journey – big data projects are starting small but can grow very rapidly leading to major cost, risk, skills, and performance challenges. IBM + Hortonworks has a prescriptive approach to success with big data: Why We are Different? 1. Lay the foundation with a purely open source Hadoop distribution - control cost, no vendor lock-in 2. Control cluster sprawl with more efficient infrastructure - reduce up to 30% infrastructure cost 3. Optimize data warehouses by shifting the right workloads to Hadoop - reduce up to 70% of DW cost 4. Establish and enforce the enterprise data governance and security policies in Hadoop - reduce risk 5. Explore new business models with machine learning at scale with Data Science projects - new revenue
  • 7. 7 HDP+IBM : Key Differentiators Security & Governance HDP remains best for enterprise-grade Security & Governance Single-pane authorization, Row/Column Security for SQL, Metadata management & governance, Tag-based policies Comprehensive & Fast SQL Near full-fledged EDW capabilities, ACID, Merge, Security, In-memory & fast, Cloud-ready Improve Enterprise readiness, HDP remains best for Spark Row/Column Security to SparkSQL, Management & Monitoring, Latest Spark, Data Science Studio SQL / Hive Spark & Data Science SmartSense We support you better and your cluster just runs better! Tools and services for faster case resolution, proactive issue detection and activity reports/visualization Cloud Hortonworks Data Cloud Fast, opinionated cloud-based HDP and HDF, powered by Cloudbreak BigSQL DSX Softlayer
  • 8. 8 Total Value of Ownership (TVO) Assessment of the IBM + Hortonworks (IBM + HW) Solution for Analytics Drs. Ajay Asthana and Srini Chari Cabot Partners info@cabotpartners.com © Copyright 2018. Cabot Partners Group. Inc.Total Value of Ownership (TVO) Assessment for IBM + Hortonworks http://cabotpartners.com/Downloads/TVO-IBM-Hortonworks-and-Cloudera.pdf 2018
  • 9. 9 Disclosures • Work sponsored by IBM Corporation. • Copyright® 2018. Cabot Partners Group. Inc. All rights reserved. Other companies’ product names, trademarks, or service marks are used herein for identification only and belong to their respective owner. All images and supporting data were obtained from IBM or from public sources. The information and product recommendations made by the Cabot Partners Group are based upon public information and sources and may also include personal opinions both Cabot Partners Group and others, all of which we believe to be accurate and reliable. However, as market conditions change and not within our control, the information and recommendations are made without warranty of any kind. The Cabot Partners Group, Inc. assumes no responsibility or liability for any damages whatsoever (including incidental, consequential or otherwise), caused by your or your client’s use of, or reliance upon, the information and recommendations presented herein, nor for any inadvertent errors which may appear in this document. This paper was developed with IBM funding. Although the paper may utilize publicly available material from various vendors, including IBM, it does not necessarily reflect the positions of such vendors on the issues addressed in this document. © Copyright 2018. Cabot Partners Group. Inc.Total Value of Ownership (TVO) Assessment for IBM + Hortonworks
  • 10. Outline 10 • To Maximize Business Value from Analytics, Technology Matters throughout the Workflow – Continuing Growth of Data – Analytics Lifecycle – Descriptive to Predictive to Prescriptive to AI/Machine Learning • Total Value of Ownership (TVO) Framework – Cost and Value Drivers for IBM + Hortonworks (IBM + HW) Solution vs. Cloudera • Cost/Value Drivers Detailed – Reduced Costs – Enhanced Productivity – Higher Revenues and Profits – Mitigated Risks • Results of TVO Analysis (Total Benefits – Total Costs) – Small, Medium and Large • ROI and Payback Period for IBM+HW Better than Cloudera • Discussions and Summary Total Value of Ownership (TVO) Assessment for IBM + Hortonworks
  • 11. Intertwined Technologies Driving Data Growth and Analytics 11Total Value of Ownership (TVO) Assessment for IBM + Hortonworks • 18-fold Increase in Data Volumes in 10 Years • 4.3 Exabytes in 2018 over 90% Unstructured • Analytics Infrastructure – Hadoop growing for generating Actionable, Time Critical Insights
  • 12. Infrastructure Matters to Deploy High Value Analytics Workflows 12Total Value of Ownership (TVO) Assessment for IBM + Hortonworks • Data Scientists spend about 79% of their time on cumbersome data preparation and cleansing tasks • Need a single platform for data integration, governance and quality for the entire Analytics workflow • Descriptive to Predictive to Prescriptive and to Artificial Intelligence/Machine Learning • IBM + Hortonworks (IBM+HW) provides this single platform combining IBM Db2 Big SQL, IBM Data Science Experience, IBM Unified Governance and Integration and IBM Spectrum Scale with the Hortonworks Data Platform (HDP)
  • 13. • Client is responsible for building and supporting Analytics initiatives throughout workflow • Infrastructure built and supported by client • Software for a range of Analytics but with limited enterprise-grade capabilities and integration with other systems • Not as high-performance for infrastructure • Fully supported and Enterprise Level capabilities for the entire workflow – with quality, governance, high- performance, integration and more Three Infrastructure Alternatives Considered 13 cloudera IBM Unified Governance Value Added Components Total Value of Ownership (TVO) Assessment for IBM + Hortonworks
  • 14. © Copyright 2018. Cabot Partners Group. Inc.Total Value of Ownership (TVO) Assessment for IBM + Hortonworks Business Technical Derived Direct Size of circle depicts impact on total value 1. Costs (TCO)2. Productivity 3. Revenues/Profits 4. Risks Deployment Costs (each model) Acquisition Costs (HW) Software Costs (License) Maintenance Costs Operations Costs (Facilities + People) Value Drivers for Analytics Personnel Productivity & Skill Leverage (Data Scientist, Engineer, App Developer) Organizational Productivity (Initial set up, integrations, Analysts) Improved Revenue (Innovation/ New Business) (quality) Faster Time to Value (Expedited ETL) Reduced Risk of Failure (ecosystem, data quality) Improved Data Governance (reduced errors)
  • 15. 15 Assumptions: Configurations and Personnel © Copyright 2018. Cabot Partners Group. Inc.Total Value of Ownership (TVO) Assessment for IBM + Hortonworks Number of Hours per Year IBM+HW Cloudera Hadoop IBM+HW Cloudera Hadoop IBM+HW Cloudera Hadoop Data Scientist Hours 975 1050 1500 1550 1625 2500 2320 2480 4000 Data Engineer Hours 1625 1750 2500 2480 2600 4000 4640 4960 8000 Application Developer Hours 975 1050 1500 1240 1300 2000 4640 4960 8000 Business Analyst Hours 1400 1500 2000 2680 2900 4000 5200 5600 4000 Administrator Hours 950 1000 1100 1840 2000 2400 3600 4000 5200 Total Personnel Hours 5925 6350 8600 9790 10425 14900 20400 22000 29200 SMALL MEDIUM LARGE
  • 16. Small Configuration IBM+HW vs. Cloudera 16 Small ROI and Payback Period 9.57 14.93 0.00 2.00 4.00 6.00 8.00 10.00 12.00 14.00 16.00 IBM-HW Cloudera Payback Period in Months (lower is better) 56% Improvement 47% 73% 0% 10% 20% 30% 40% 50% 60% 70% 80% Cloudera IBM-HW Return on Investment over 3 years (higher is better) 56% Improvement © Copyright 2018. Cabot Partners Group. Inc.Total Value of Ownership (TVO) Assessment for IBM + Hortonworks
  • 17. Benefits from IBM + Hortonworks Solutions vs. Cloudera (Small) © Copyright 2017. Cabot Partners Group. Inc. Small Configuration Costs and Benefits ($K) Direct 1. Costs (TCO)2. Productivity 3. Revenues/Profits 4. Risks Derived © Copyright 2018. Cabot Partners Group. Inc.Total Value of Ownership (TVO) Assessment for IBM + Hortonworks Business Technical Cloudera Costs IBM + Hortonworks Costs Cloudera Benefits IBM + Hortonworks Benefits $62 $323 $21 $1,429 $39$57 $420 $18 $1,361 $24 -$100 $100 $300 $500 $700 $900 $1,100 $1,300 $1,500 Acqusition Software Maintenance Operations Deployment Lower is Better $252 $517 $288 $697 $0 $100 $200 $300 $400 $500 $600 $700 $800 Reduced Risk of Failure Improved Data Governance Higher is Better $297 $264 $347 $268 $0 $50 $100 $150 $200 $250 $300 $350 $400 Personnel Productivity Organziational Productivity Higher is Better $430 $1,426 $644 $1,584 $0 $200 $400 $600 $800 $1,000 $1,200 $1,400 $1,600 Faster Time to Value Improved Revenue Higher is Better
  • 18. Medium Configuration IBM+HW vs. Cloudera 18 Medium ROI and Payback Period 68% 110% 0% 20% 40% 60% 80% 100% 120% Cloudera IBM-HW Return on Investment over 3 years (higher is better) 63% Improvement 7.04 12.75 0.00 2.00 4.00 6.00 8.00 10.00 12.00 14.00 IBM-HW Cloudera Payback Period in Months (lower is better) 81% Improvement © Copyright 2018. Cabot Partners Group. Inc.Total Value of Ownership (TVO) Assessment for IBM + Hortonworks
  • 19. Benefits from IBM + Hortonworks Solutions vs. Cloudera (Medium) © Copyright 2017. Cabot Partners Group. Inc. Medium Configuration Costs and Benefits ($K) Direct 1. Costs (TCO)2. Productivity 3. Revenues/Profits 4. Risks Derived © Copyright 2018. Cabot Partners Group. Inc.Total Value of Ownership (TVO) Assessment for IBM + Hortonworks $324 $2,802 $365 $3,701 $0 $500 $1,000 $1,500 $2,000 $2,500 $3,000 $3,500 $4,000 Reduced Risk of Failure Improved Data Governance Higher is Better Business Technical Cloudera Costs IBM + Hortonworks Costs Cloudera Benefits IBM + Hortonworks Benefits $202 $1,075 $68 $2,331 $66$184 $1,390 $59 $2,222 $47 -$100 $400 $900 $1,400 $1,900 $2,400 Acqusition Software Maintenance Operations Deployment Lower is Better $546 $421 $593 $685 $0 $100 $200 $300 $400 $500 $600 $700 $800 Personnel Productivity Organziational Productivity Higher is Better $537 $2,880 $1,504 $3,168 $0 $500 $1,000 $1,500 $2,000 $2,500 $3,000 $3,500 Faster Time to Value Improved Revenue Higher is Better
  • 20. Large Configuration IBM+HW vs. Cloudera 20 Large ROI and Payback Period 93% 160% 0% 20% 40% 60% 80% 100% 120% 140% 160% 180% Cloudera IBM-HW Return on Investment over 3 years (higher is better) 72% Improvement 5.62 11.00 0.00 2.00 4.00 6.00 8.00 10.00 12.00 IBM-HW Cloudera Payback Period in Months (lower is better) 96% Improvement © Copyright 2018. Cabot Partners Group. Inc.Total Value of Ownership (TVO) Assessment for IBM + Hortonworks
  • 21. Benefits from IBM + Hortonworks Solutions vs. Cloudera (Large) © Copyright 2017. Cabot Partners Group. Inc. Large Configuration Costs and Benefits ($K) Cloudera Costs IBM + Hortonworks Costs Cloudera Benefits IBM + Hortonworks Benefits Direct 1. Costs (TCO)2. Productivity 3. Revenues/Profits 4. Risks Derived © Copyright 2018. Cabot Partners Group. Inc.Total Value of Ownership (TVO) Assessment for IBM + Hortonworks $1,823 $3,737 $2,025 $4,935 $0 $1,000 $2,000 $3,000 $4,000 $5,000 $6,000 Reduced Risk of Failure Improved Data Governance Higher is Better Business Technical $441 $2,150 $137 $4,953 $131$423 $3,005 $127 $4,721 $95 $0 $1,000 $2,000 $3,000 $4,000 $5,000 $6,000 Acqusition Software Maintenance Operations Deployment Lower is Better $1,277 $2,171 $1,411 $2,715 $0 $500 $1,000 $1,500 $2,000 $2,500 $3,000 Personnel Productivity Organziational Productivity Higher is Better $3,222 $5,760 $4,296 $11,290 $0 $2,000 $4,000 $6,000 $8,000 $10,000 $12,000 Faster Time to Value Improved Revenue Higher is Better
  • 22. 47% 68% 93% 73% 110% 160% 0% 20% 40% 60% 80% 100% 120% 140% 160% 180% Small Medium Large Return on Investment Over 3 years (Higher is Better) Cloudera IBM + Hortonworks Better ROI and Payback Period with IBM + Hortonworks vs. Cloudera © Copyright 2018. Cabot Partners Group. Inc. 56% Improvement Total Value of Ownership (TVO) Assessment for IBM + Hortonworks 63% Improvement 72% Improvement 14.93 12.75 11 9.57 7.04 5.62 0 2 4 6 8 10 12 14 16 Small Medium Large Payback Period in Months (Lower is Better) IBM + Hortonworks Cloudera96% Improvement 81% Improvement 56% Improvement
  • 23. • As the volume and variety of data grow and as organizations implement higher-value Analytics and Hadoop for their Cognitive Computing journey, they need enterprise-grade solutions to produce more realistic, reliable, actionable and time-critical analyses. • The cost-benefit analysis and business case are compelling for all configurations. IBM+HW consistently delivers better TCO, Productivity, Revenues/Profits and Risk Mitigation. • The business value and ROI/Payback Period differential improve as configurations get larger. • This investment is protected and can continue to deliver even greater marginal value for more complex analytics including the rapidly growing use of Artificial Intelligence and Machine Learning (AI/ML) techniques coupled with the Internet of Things (IoT) – all areas where IBM continues to make substantial investments. • IBM and Hortonworks are reliable partners and offer one of the most comprehensive Enterprise Data Integration, Quality, and Governance solutions. 23 Why IBM + Hortonworks for Analytics Workflows © Copyright 2018. Cabot Partners Group. Inc.Total Value of Ownership (TVO) Assessment for IBM + Hortonworks
  • 24. 24 Questions? © Copyright 2018. Cabot Partners Group. Inc.Total Value of Ownership (TVO) Assessment for IBM + Hortonworks info@cabotpartners.com

Editor's Notes

  • #2: The hybrid Enterprise Data Warehouse of the Future – Do More with your Data     The Enterprise Data Warehouse (EDW) has traditionally been the foundation for data storage. So how do you leverage current investments while remaining relevant and competitive? It is important for your organization to continue to evolve, accelerate development/deployment times, provide high performance and to provide a cloud-ready platform.     Thank you for joining us today. In this webinar we will talk about current data challenges, and how Data Science and Machine Learning is driving the need for advanced analytic decisioning. We will also discuss the need for a Hybrid data strategy, and how the Enterprise Data Warehouse of the future remains an integral part of that strategy. Finally we will talk about IBM’s future vision and how current and future innovative, scalable, and flexible technology is harnessing growing data for even your most advanced workloads,\. While providing your data scientists with a platform for advanced analytics.   
  • #4: Presenter: Hortonworks & IBM Together, we are better able to address the changing dynamics we’ve just outlined, solve the associated challenges and create valuable outcomes. By joining forces, we have brought together Hortonworks deep expertise in data with IBM's data science platform which was a leader in the Magic quadrant and the best SQL Engine broadens our toolset to be able to help you accelerate their business. So why did we hook up? Suggestion: IBM spokesperson outlines Hortonworks experience, and Hortonworks spokesperson outlines IBM’s thereby outlining the key strengths and underlining our partnership.
  • #5: Let’s talk briefly about the strong capabilities that are behind this value. First is the base Hadoop platform. Unlike other vendors who focus primarily just on the Hadoop container, the combined platform allows us to sell the #1 Open Hadoop distribution HDP, along with the top open source solution for managing data in motion, HDF and then expand on that foundation with key IBM value add technologies. For example in Hybrid Data Management we have Big SQL to deliver the Common Analytic Engines to Hadoop where you can leverage your existing SQL and analytics tools to take advantage of evolving ecosystem. We also have Big Replicate to deliver unmatched capability for Active/Active disaster recovery, upgrade and migration to ensure we synchronize data across clusters. Across analytics, we bring the ability to expand the data governance and movement capabilities in HDF with the extensive capability and market place presence of the Unified Governance Portfolio with Big Integrate and Big Quality. Likewise we bring the #1 Data Science platform in the market with the capabilities of DSX and SPSS for visualization and creating/running models to help move clients up the AI ladder. Also important to note is that the relationship is driving innovation in our own products as well and goes far beyond just analytics. There are key offerings from the Power and Storage teams that clients can also use to achieve an optimized platform. The relationship is strong and expanding. In fact Hortonworks just named IBM as their partner of the year for 2017 in recognition of how much we’ve been able to accomplish together in such a short time. This value is key to our strategy and how we succeed. We aren’t here to convert existing Hortonworks clients to IBM paper, but we can add lots of new value to their client base and drive new clusters and additional growth in those accounts. We also are not out to be the lowest cost commodity Hadoop provider. We’ll lose if all you do is sell the cheapest repository. Let Cloudera and Mapr win the race to the bottom while we win clients through value.
  • #6: Together, we are better able to address the changing dynamics we’ve just outlined, solve the associated challenges and create valuable outcomes. By joining forces, we have brought together Hortonworks deep expertise in data with IBM's data science platform which was a leader in the Magic quadrant and the best SQL Engine broadens our toolset to be able to help you accelerate their business. So why did we hook up? The ITIC survey result: "In its ‘mainstream’server category the survey found that IBM Power Systems achieved the highest levels of reliability and uptime when compared with 14 server hardware options and 11 server hardware virtualization platforms. " Press Release with more details: http://www-03.ibm.com/press/us/en/pressrelease/52693.wss
  • #7: Presenter: Hortonworks & IBM Together, we are better able to address the changing dynamics we’ve just outlined, solve the associated challenges and create valuable outcomes. By joining forces, we have brought together Hortonworks deep expertise in data with IBM's data science platform which was a leader in the Magic quadrant and the best SQL Engine broadens our toolset to be able to help you accelerate their business. So why did we hook up? Suggestion: IBM spokesperson outlines Hortonworks experience, and Hortonworks spokesperson outlines IBM’s thereby outlining the key strengths and underlining our partnership.
  • #15: The TVO framework categorizes the interrelated cost/value drivers for CAE solutions long the horizontal axis, the drivers are arranged based on whether they are primarily Technology or Business drivers. Along the vertical axis, drivers are arranged based on ease of measurability: Direct or Derived. The cost/value drivers for CAE are depicted as a circle whose size is proportional to the potential impact on a manufacturing client’s Total Value (Benefits – Cost) of Ownership or TVO as follows: Total Costs of Ownership (TCO): Typical costs include: one-time acquisition costs for the hardware and deployment, and annual costs for software, maintenance and operations. Improved Productivity/Quality: The TVO model quantifies the value of productivity gains of administrators, engineers and the organization. It also estimates improvements in product quality. Revenue and Growth: Faster time to value with a better optimized and more comprehensive CAE ecosystem. Greater innovation capabilities for manufacturers spur growth, revenues and improve profits. Risk Mitigation: A streamlined process, lower system downtime and better business and IT understanding/collaboration with suppliers minimize cumbersome iterations in rework and delays. Improved security, process consistency and data quality mitigate risks of failed/poor analysis outcomes.   The TVO for both HPE and white box systems typically grow by CAE solution size, with key differentiated features in the HPE solution driving added value over white box alternatives.
  • #18: Results for a Small CAE Configuration: The costs and benefits mapped by each quadrant and value driver. HPE’s (Apollo 2000) slightly larger acquisition and maintenance costs are more than offset by higher client benefits in enhanced productivity and quality, higher revenues/profits and lower risks. Costs: Compared with white box clusters, HPE Apollo systems lower data center facilities, power and cooling costs, and require fewer systems administrators to manage CAE environments; reducing operations costs (annual). Often pre-configured in the factory, HPE systems have easy to use integration templates for commonly deployed CAE applications. This helps lower deployment times (one-time cost) and improve productivity. Productivity/Quality: With fewer downtimes and better streamlined/performance-optimized CAE solutions, HPE systems enhance the productivity of engineers. Systems administrator productivity for HPE systems is also enhanced with turnkey HPC cluster solutions and software for comprehensive ongoing node to rack to job management. Organizational productivity is further enhanced with other HPE value-added services tailored for the Manufacturing industry. Manufacturers can improve the quality of products and the CAE process by easily integrating with other HPE Manufacturing solutions: Edge, IoT, Machine Learning, etc., and detecting problems faster to reduce rework and costs. Greater Quality benefits accrue with larger configurations that enable more realistic Multiphysics CAE models. Revenues and Profits: HPE solutions also deliver faster time to value through a better and more comprehensive ecosystem of CAE partners whose applications are optimized for predictable performance, scale, ease of deployment and integration. Value added HPC software from HPE and partners enable manufacturers to optimize complex CAE workflows and automate cluster installation which becomes very cumbersome for white box clusters as configuration size grows. Risks: Manufacturers must mitigate risks which typically grow with configuration size. Better reliability, availability and serviceability (RAS) and security features in enterprise-grade HPE systems for CAE help manufacturers contain downtime and security expenses. HPE solutions also promote better collaboration with suppliers to further lower risks and drive revenues/profits.
  • #20: Results for a Small CAE Configuration: The costs and benefits mapped by each quadrant and value driver. HPE’s (Apollo 2000) slightly larger acquisition and maintenance costs are more than offset by higher client benefits in enhanced productivity and quality, higher revenues/profits and lower risks. Costs: Compared with white box clusters, HPE Apollo systems lower data center facilities, power and cooling costs, and require fewer systems administrators to manage CAE environments; reducing operations costs (annual). Often pre-configured in the factory, HPE systems have easy to use integration templates for commonly deployed CAE applications. This helps lower deployment times (one-time cost) and improve productivity. Productivity/Quality: With fewer downtimes and better streamlined/performance-optimized CAE solutions, HPE systems enhance the productivity of engineers. Systems administrator productivity for HPE systems is also enhanced with turnkey HPC cluster solutions and software for comprehensive ongoing node to rack to job management. Organizational productivity is further enhanced with other HPE value-added services tailored for the Manufacturing industry. Manufacturers can improve the quality of products and the CAE process by easily integrating with other HPE Manufacturing solutions: Edge, IoT, Machine Learning, etc., and detecting problems faster to reduce rework and costs. Greater Quality benefits accrue with larger configurations that enable more realistic Multiphysics CAE models. Revenues and Profits: HPE solutions also deliver faster time to value through a better and more comprehensive ecosystem of CAE partners whose applications are optimized for predictable performance, scale, ease of deployment and integration. Value added HPC software from HPE and partners enable manufacturers to optimize complex CAE workflows and automate cluster installation which becomes very cumbersome for white box clusters as configuration size grows. Risks: Manufacturers must mitigate risks which typically grow with configuration size. Better reliability, availability and serviceability (RAS) and security features in enterprise-grade HPE systems for CAE help manufacturers contain downtime and security expenses. HPE solutions also promote better collaboration with suppliers to further lower risks and drive revenues/profits.
  • #22: Results for a Small CAE Configuration: The costs and benefits mapped by each quadrant and value driver. HPE’s (Apollo 2000) slightly larger acquisition and maintenance costs are more than offset by higher client benefits in enhanced productivity and quality, higher revenues/profits and lower risks. Costs: Compared with white box clusters, HPE Apollo systems lower data center facilities, power and cooling costs, and require fewer systems administrators to manage CAE environments; reducing operations costs (annual). Often pre-configured in the factory, HPE systems have easy to use integration templates for commonly deployed CAE applications. This helps lower deployment times (one-time cost) and improve productivity. Productivity/Quality: With fewer downtimes and better streamlined/performance-optimized CAE solutions, HPE systems enhance the productivity of engineers. Systems administrator productivity for HPE systems is also enhanced with turnkey HPC cluster solutions and software for comprehensive ongoing node to rack to job management. Organizational productivity is further enhanced with other HPE value-added services tailored for the Manufacturing industry. Manufacturers can improve the quality of products and the CAE process by easily integrating with other HPE Manufacturing solutions: Edge, IoT, Machine Learning, etc., and detecting problems faster to reduce rework and costs. Greater Quality benefits accrue with larger configurations that enable more realistic Multiphysics CAE models. Revenues and Profits: HPE solutions also deliver faster time to value through a better and more comprehensive ecosystem of CAE partners whose applications are optimized for predictable performance, scale, ease of deployment and integration. Value added HPC software from HPE and partners enable manufacturers to optimize complex CAE workflows and automate cluster installation which becomes very cumbersome for white box clusters as configuration size grows. Risks: Manufacturers must mitigate risks which typically grow with configuration size. Better reliability, availability and serviceability (RAS) and security features in enterprise-grade HPE systems for CAE help manufacturers contain downtime and security expenses. HPE solutions also promote better collaboration with suppliers to further lower risks and drive revenues/profits.
  • #23: Key financial metrics for a 3-year time horizon for all three configurations for HPE and White Box clusters include: Return on Investment (ROI) and Payback Period (PP). For all cases, the ROI and Payback Period improve as configuration sizes grow from small to medium to large. This is expected. As HPC systems scale, the marginal value increases because of the very large business benefits for manufacturers driven by innovation and the ability to solve intractable problems; both critical for new product development.   The percent improvements in ROI and Payback Period for HPE systems over white box clusters also grow with configuration size. This means as manufacturers grow their CAE footprint to drive more innovation, HPE systems will deliver better marginal value compared to white box clusters. HPE systems are also simpler to manage and operate. The 3-year TVO analysis presented here quantifies all these cost/value drivers holistically for three configurations: small, medium and large. The ROI for an HPE solution ranges from 100% (small) to 386% (large) while an equivalent white box cluster delivers an ROI of 56% (small) to 192% (large). This implies that HPE systems deliver a considerable ROI improvement of 78% (small) to 101% (large) over corresponding white box clusters.   Likewise, the Payback Period (PP) in months for an HPE solution ranges from 5.01 (large) to 7.72 (small) while the corresponding white box cluster delivers a PP in months of 6.18 (large) to 8.82 (small). This implies that HPE systems also deliver better Payback improvements from 19% (large) to 12% (small) over corresponding white box clusters.