leveraging virtualization at hud

03-23-05June 2007

Leveraging Virtualization at HUDLeveraging Virtualization at HUD

•Leveraging Virtualization at HUD June 2007

OurHUD, OurTrends

Office of the Chief Information Office of the Chief Information OfficerOfficer


Increase homeownership, support community

development, and increase access to affordable housing

free from discrimination.

HUD’s MISSION

Invests approximately $300M annually in IT

•Increased Home Ownership

•Promote Decent Affordable Housing

•Strengthen Communities

•Ensure Equal Opportunities in Housing

•Embrace High Standards of Ethics

•Enhance Management and Accountability

•Promote Participation of Community-Faith Based Organizations

HUD IT Portfolio Distribution

FY-03 FY-04 FY-05 FY-06

$336M $389M $366M $279M

$100M

$200M

$300M

$400M

StaffDevelopment

Maintenance

Infrastructure

Federal Housing Commissioner

Community Planning & Development

Policy Development & Research

Government National Mortgage Assoc.

Public & Indian Housing

Fair Housing & Equal Opportunity

Healthy Homes & Lead Hazard Control

Faith-Based & Community Initiatives

Secretary of Housing & Urban Development

New Development

HUD Business Overview


HUD Leads The Vision of Infrastructure Optimization….


Business Needs

Agility of Response:Respond Faster

The need for business speed means … … IT must change.

IT reliably detects/reacts in real time to the

business.

IT strategy is tied to business strategy.

IT has unpredictable reliability and reacts slowly to business

requirements.

IT organization owns IT strategy.

CIO = business leader.CIO = manager of IT resources.

HUD’s Leadership in Infrastructure Transformation


TheTheChallengeChallenge

• Consolidate and transition to one streamlined and standards-based commercial facility

• Transform from rigidity and lack of integration to integrated, standards-based services.

• Centralize help desk functions and support of desktops and field services, improve customer satisfaction

• Ensure business continuity capability and improved disaster recovery capability, increased mobility and flexibility.

• Modernize antiquated IT infrastructure without disruption – while reducing costs

• Measure IT performance through SLAs


TheTheApproachApproach

• SLA driven IT infrastructure services

• Massive data center modernization

• Capacity on demand

• Optimum utilization for improved business application performance

• Maximum standardization on fewer hardware and software platforms

• Continuity of operations with minimum down-time to HUD’s critical business applications

• Enterprise-wide wireless solutions

• Enterprise-wide Help Desk support and centralized field dispatch


TheTheResultsResults

• Achievement of “green” rating on the President’s Management Agenda

• Received A+ on FISMA Score Card

• Enterprise Architecture Ranked Number 1 by OMB

• Improved customer satisfaction to 93%!

• Shared IT services cost savings of 20%

• New and measurable efficiencies drive increased performance

• Adoption of agency-wide SOA standards

• Enhanced data integrity via security

• ISO 9001 and ITIL standard based services

• Massive expansion of wireless services leading to increased productivity


Objective

Ability to Change

Pricing Scheme

Business Interface

Resource Utilization

Organization

IT Management

Processes

Basic

Rationalized Virtualized

Service-Based

Standardized

Reduce complexity

Economies of scale

Flexibility, reduce costs

Service-level delivery

React

WeeksWeeks to

daysWeeks to minutes MinutesMonths to

weeks

Fixed costsReduced,

fixed costsFixed shared

costsVariable usage

costsNone, ad hoc

Infrastructure resources pooled

Services managed holistically

Uncoordinated infrastructure

Standard resources, configurations

Consolidate to fewer

Policy/Value-Based

Business agility

Minutes to seconds

Variable business

costs

Dynamic opt. to meet SLAs

Class-of-service SLAs

Class-of-service SLAs Flexible SLAs End-to-end

SLAsNo SLAs

Known Rationalized Shared poolsService-based

poolsUnknown

Central control Consolidated Pooled ownership

Service-orientedNone

Business SLAs

Policy-based sharing

Business-oriented

Reactive —ProactiveLife cycle

management

ProactiveMature problem

mgmt.

ProactivePrediction, dynamic capacity

ServiceEnd-to-end

service management

Chaotic — ReactiveAd hoc

ValuePolicy

management

The Roadmap to Infrastructure Optimization


• Why Virtualize?

• What to Virtualize?

• HUD’s Virtualization Tools

• Benefits of Virtualization

• Lessons Learned


HUD Server architecture - Before and After HUD Server architecture - Before and After VirtualizationVirtualization

Traditional Infrastructure Virtual Environment

2-CPU Server

2-CPU Server

2-CPU Server

2-CPU Server

2-CPU Server

2-CPU Server

2-CPU Server

VMware

Win 2003 Win 2003

Solaris

SolarisWin 2003

Solaris

Web AD

DatabaseCust. App

Application ApplicationPhysical to

Virtual Converter

Win 2003Web

Win 2003AD

SolarisDatabase

Win 2003

Cust. App

Solaris

Application

SolarisApplication

One OS and One App per Physical Server

Many Independent Virtual Servers per Physical Server


Why Virtualize?Why Virtualize?

• Large number of physical servers requiring time consuming maintenance

• Low per server resource utilization

• Lengthy disaster recovery times

• Various development, testing and migration issues

• Application outages impacting users

• Business impacting downtime due to server/OS maintenance

• Lengthy time to provision and deploy new services


What to Virtualize?What to Virtualize?

• Production Application Servers

• Test/Dev Environments

• File & Print Servers

• Underutilized Web and Application servers

• Firewall Servers

• Database servers with few to moderate users

• New applications


Virtualization Tools UsedVirtualization Tools Used

• On Unix servers, used the Solaris 10 OS container technology which allows the creation of “zones”

• Grouping of application processes and tasks with resource controls applied

• Provides virtualization, isolation and granularity

• On Windows servers, used VMware technology

• Hosts multiple Virtual Machines, virtualized processors and a network accessible management interface

• Provides secure logical partitioning, strong fault and security isolation and dynamic allocation of system resources


Key Business BenefitsKey Business Benefits Achieved Achieved

• Reduced infrastructure costs

• Increased capacity utilization

• Reduced applications outages due to server failures

• Enabled seamless and uninterrupted support of HUD’s business in developing new business applications

• Ensured compliance with OMB and FISMA standards

• Reduced complexity resulting in improved recoverability of HUD's business applications from logical and physical disasters

• Increased stakeholder satisfaction


Data Center BenefitsData Center Benefits

• Reduction of hardware costs for servers, HBAs, network cards

• Reduction of space usage and power consumption

• Improved asset utilization

• Automated monitoring reduces human error and outages

• Improved disaster recovery

• Reduction of technical support needed due to automated processes

• Reduction of server/OS maintenance downtime

• Rapid provisioning and deployment of new servers


Increased Agility and FlexibilityIncreased Agility and Flexibility

• Address changing business and infrastructure requirements more rapidly

• Automate and reduce time for resource provisioning and problem resolution

• Dynamic workload distribution based on application demand and asset availability

• Increase/decrease compute capacity as workloads vary

• Faster deployment of new servers

• Quicker recovery times on existing non-high availability environments

Average Utilization

Peak Utilization

Growth Buffer

Fudge Factor


Improved Service and DeliveryImproved Service and Delivery

• Automated monitoring and management reduces human error and outages

• Re-provisioning application environments quickly when failures occur

• Dynamic workload movement between servers prior to problem detection

• Achieve affordable business continuity and disaster recovery solutions

• Management of environment becomes easier (change management, software provisioning, DR planning, IT cost mgmt, availability planning)

• Virtual relocation prevents planned downtime from affecting performance


HUD Vision 2010: What Has Been Accomplished

• The Business Challenge: Lessons Learned from Katrina – No Centralized Location to Search for Available Properties

• The Solution: Single Web Portal to Locate Affordable Housing Nationwide

• The Results: Implemented in January 07 – Over 30,000 Properties now available For Though real-time web search by PHAs and First Responders

The HUD National Housing Locator


Enterprise Income Verification System

The Business Challenge: HUD’s rental assistance programs designated as high-risk by GAO - estimated high level of improper rental subsidy payments of $3.2 billion in fiscal year 2000 - 70% of these errors were attributable to tenant under reporting of income.

The Solution: HUD created EIV to match/verify income data for all public housing programs with the existing HHS National Directory of New Hires

The Results: The annual subsidy loss associated with administrative errors and unreported income was reduced by ~$1B, which representing a 52% decrease in the annual subsidy error, and correct subsidy determinations has increased from 55.7% to over 66%

HUD Vision 2010: What Has Been Accomplished

Past - 2004Rigidity

Technology

• Lack of Standardization• Outdated IT Infrastructure• No Documented Enterprise

Architecture• Heavy Dependence on Proprietary

Technology• Inefficient Use of IT Capacity• Limited IT Integration• Low Awareness of Infrastructure

Problems

Business

• Many Silos/limited Integration• Inconsistent Standards• Limited IT Governance• Limited Enterprise Solutions• Lack of Consolidation and

Integration of Business Systems• Under Utilized Data Sharing

Work Force

• No Measurement of Satisfaction• Limited Problem Resolution

Tracking• Paper Intensive Processes• Inefficient Work Flow

Outcome

• Red on PMA• High IT Cost• Low ROI• Low Confidence -

COOP

2005 – 2006Consolidation

Technology

• ISO 9001 Standards• Massive IT Modernization• Improved Web Applications• E-authentication• Nationwide IT Help Desk• E-mail Modernization• Wireless Solutions

Business

• Technology Solutions for Core Business Needs

• Interactive Business Processes• Improved IT Governance

• 84% Satisfied With HITS Support• Access to Problem Resolution Tracking• Enabled Mobile Workforce• Upgraded 5000 Desktops / Tools• Expanded Network Connectivity• Electronic Access to Core Business

Data

Outcome

• Green on PMA• Predictable IT Spending• High-confidence COOP• Measurable SLA Performance• Rapid Disaster Relief Mobilization• Significant Paperwork Reduction• Improved Core Business Transaction

Times

2007 – 2009Streamlining

Technology• ITIL Standards• Continuous Technology

Refreshment• Integrated Approach to Remote

Access• Integrated IT Enterprise

Architecture• Secure Wireless Access to HUD

Data

Outcome• Increased Compliance• Improved Program Effectiveness

Through Financial and Performance Data

• Adoption of HSPD-12• Assured COOP• Decreased Development Time for

New Requirements

2010Agility

Technology

• Predictive Scaling of IT• Zero Dependence on Proprietary

Technology• Edge Computing• Always On IT Resilience

Outcome

• Faster Time From Policy to Implementation

• Increased Stakeholder Productivity Through Self-service Solutions

• Streamlined Access to HUD Data• Maximized Resource Utilization• Agency-wide SOA Standards• Enhanced HUD Data Integrity• Centralized Data Management• Simplified End-to-end Business

Processes

Work Force

Work Force• Self Service Solutions• Web-enabled Tele-worker• Integrated Access to Collaboration

Tools

Work Force• Increased Ability to Perform

Business Functions

Business

• Build Once, Service Many• Elimination of Duplicate Data Entry

to Multiple Systems• Convenient Web-based, End-user

Access• Enterprise Identity Management• Enterprise Content Management

Business

• Enterprise Business Solutions• Real-time Access to HUD

Knowledge Repository

HUD VISION 2010 ROADMAP

Technology Driven Technology Driven ArchitectureArchitecture

Business Driven Business Driven ArchitectureArchitecture

leveraging virtualization at hud

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