Embrace Shadow IT

September 2014

Chris Haddad@cobiacomm

http://blog.cobia.net/cobiacomm

Embrace Shadow IT

• Why Teams Lean Towards Shadow Activity• Trends Impacting IT Budget and Centralized

Enterprise IT Authority • The Enterprise IT Delivery Gap• Building a Common Team Mindset

Who is Shadow IT?

Image Source: : http://www.apriso.com/blog/wp-content/uploads/2012/08/Shadow_IT_continued.jpg/

Who is Shadow IT? YOU - Just Follow Human Nature

FREEDOM

OWNERSHIPEGO

Image Source: http://upload.wikimedia.org/wikipedia/commons/thumb/8/85/Aromatase_3EQM.png/1280px-Aromatase_3EQM.png

FREEDOM

Shadow IT Teams value the freedom to • Create• Innovate• Set Development Pace and Scope• Choose Cost Structure

OWNERSHIP

Manage and operate at your own pace under your own control. Shadow IT teams value:

• Fast, iterative schedules• Low Cost Structure• Minimizing delivery hurdles

– Easy to build and spin up a business solution

EGO: I know what I know.

I am what I am.

What I know is good enough to deliver business value.

• Skills and Expertise• Best Practices• New

– Tools– Patterns– Processes

Source: http://rap.genius.com/Xeezy-x-man-lyrics#note-1312310

Shadow IT Team View

By operating independently, Shadow IT teams gain:

• Immediate access to needed resources• Rapid, creative experimentation without red tape

hurdles• An ability to tailor solution towards specific business

requirements

Source: http://rap.genius.com/Xeezy-x-man-lyrics#note-1312310

Driving Shadow IT GrowthExternalize, Consumerize, Democratize (ECD) Trend

• Externalize – Capabilities sourced from outside your

enterprise– Restrict to non-core business functions

• Consumerize– Bring Your Own (BYO*) trend– Employees and partners expect a usable and

rich user experience• Democratize

– Everyone can perform task or acquire capability

– Adoption hurdles removed

Driving Shadow IT GrowthExternalize, Consumerize, and Democratize (ECD) Trend

• Externalize (Cloud services)– Infrastructure: Amazon AWS– Dev Platform: WSO2 Cloud– Software: SalesForce.com

• Consumerize (BYO*)– Smartphones: iPhone– File Sharing: DropBox, Flickr– Contact Lists: LinkedIn

• Democratize (Lower cost/expertise)– Point and click development– Virtualization, containers

Are you delivering what business teams want?

80% of executives today can name a critical piece of information they need but that IT is unable to provide• Source: http://www.informationweek.com/it-leadership/gartner-2013-tech-spending-to-hit-$37-trillion/d/d-id/1106985

80% of the respondents said they used SaaS applications that had not been approved by IT• Source: http://www.computerworld.com/article/2598551/malware-vulnerabilities/shadow-cloud-services-pose-a-growing-

risk-to-enterprises.html

Can you meet business team delivery date?

Shadow Solutionsare within reach!

Common Operating Principle:Beg for Forgiveness,

Don’t Ask For Permission

Source: http://upload.wikimedia.org/wikipedia/commons/thumb/2/26/Gingerbread_Cookies_1.jpg/1076px-Gingerbread_Cookies_1.jpg

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35% of enterprise IT expenditures will happen outside of the corporate IT budget in 2015.

37% of respondents say the rate of outside spending is on the rise, up from 22% last year. 21% of CIOs retain full spending authority

Shadow IT Teams are Well-Funded(and autonomous)

Shadow IT Team Reality

• Shadow IT project funding is outside Enterprise IT oversight.

• Shadow IT infrastructure selection is outside Enterprise IT

oversight.

• Shadow IT team resource pool has limited interaction and

collaboration with Enterprise IT.

• Cloud services (IaaS, PaaS, SaaS) provide compelling and

useful solutions for Shadow IT with few adoption barriers

The Enterprise IT – Shadow IT battle

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Dev Teams

Biz Users

IT

I have a solution, but can’t deploy

I need a quick solution for problem ‘x’

Not compliant with the policies

I can fund and provide hosting.

?..#@$%

CFOCIO

♬♪

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2

3

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Shadow IT Dangers

• Security holes• Non-compliance with corporate policies • Poor Quality of Service (QoS)• Hidden costs (management, monitoring, security, agility)

Enterprise IT Exists To Protect Against IT Danger

• Deliver exceptional quality of service at scale

• Enforce corporate security policies• Control cost• Reduce IT management burden• Apply team resource pool, skills,

infrastructure, and tools across multiple IT projects

Enterprise IT Challenges when working with Shadow IT teams

• Architecture• Development Lifecycle Processes• Governance• Tooling

Enterprise IT Goals

• Embrace Shadow IT by making the right thing to do the easy thing to do for Shadow IT.

• Find common ground between Shadow IT goals and Enterprise IT goals

• Bridge the divide between Enterprise IT compliance and Shadow IT experimentation

Enterprise IT Mandate

• Address barriers preventing Shadow IT

from adopting Enterprise IT standards

• Extend Enterprise IT solution reach across

heterogeneous Shadow IT teams

• Merge Enterprise IT policy with Shadow IT

development and run-time environments

Enterprise IT Roadmap

1. Building easy to adopt Enterprise APIs [e.g. master data, business processes, identity]

2. Extend your identity management model to embrace Shadow IT development agencies and Software as a Service identity repositories

3. Add software development lifecycle processes, governance, and security models that are Shadow IT friendly

4. Offer a DevOps PaaS enabling Shadow IT development.

5. Offer approved Software as a Service, APIs, and applications via an Enterprise App Store

Building Block Evaluation Criteria

• Provides On-demand Development Team Self-service• Fosters Team Collaboration• Adapts to multiple Governance Models• Conforms with Flexible Cost Models and Fiscal

controls• Presents Project Visibility, Policy Compliance

Dashboards, and Audit Trails• Establishes Enterprise Management and Monitoring

across heterogeneous environments and infrastructure

• Federates Identity and Access Control across multiple identity, attribute, and policy information points (PIP)

• Promotes Re-use

Embrace Shadow IT

• Understanding the Shadow IT mindset• Bridge the divide• Accelerate solution development• Empower every team to build in an enterprise-

safe manner.