Blogs

RedMonk

Skip to content

Links for March 9th through March 21st

Disclosure: see the RedMonk client list for clients mentioned.

Categories: Links.

Buying part of a tech company, share-price – Back of the Envelope #002

When you buy a technology stock, what exactly are you buying “a piece of”? What’s the end game, the reason for buying, and what types of innovations and business trends (both good and bad) are you looking for from the company? Those are some of the questions we go over in this second episode of Back of the Envelope:

In addition to clicking play above, you can download the episode directly or subscribe to the Back of the Envelope podcast feed (in iTunes or wherever) to have this episode automatically downloaded for your listening pleasure.

As always, I’m joined by co-host Ed Goodwin (@egoodwintx). I had to call in from the motorcycle parking lot (see picture above) of SXSW 2011, so the audio is less than ideal. Indeed, the first 15 minutes of the show mysteriously disappeared.

Since Ed works in a highly regulated job as a portfolio manager, his lawyers require this exciting disclaimer, which you’ll get to hear my friend Charles Lowell read at the beginning of the episode:

This podcast is for entertainment purposes only. The content and opinions expressed in this podcast are merely the opinions and observations of Mr. Goodwin and Mr. Cote. Michael Cote is a technology analyst who may have conflicts of interest concerning the companies mentioned. Ed Goodwin is an investment adviser to various funds that may have a financial interest in any companies mentioned. This podcast should not be construed as investment advice of any kind. Both Mr. Goodwin and Mr. Cote may be buying or selling any of the securities mentioned at any time; either for themselves or on behalf of clients of theirs. The content herein is intended solely for entertainment purposes only. This podcast is not a solicitation of business; all inquiries will be ignored.

Seriously, don’t rely on this podcast for investment advice. Ever.

Now sit back and enjoy the show.

Categories: Back of the Envelope.

Tags: , , , ,

Doing business at SXSW: tips from Alcatel-Lucent's Mike Maney

Drinking and partying your brains out at SXSW is an easy enough task, but how do you come to this massive conference to do business? I pulled aside Alcatel-Lucent’s Mike Maney to hear how his team makes sure to fit into “the vibe” of the conference and get business value out of it, as well as have plenty of fun, as you’ll see.

The highlights:

  • Alcatel-Lucent setup the #ElevenAPI lounge and was able to host the Angry Birds folks there with several announcements and, as you’ll see in the background, live-action Angry Birds playing.
  • This year, there’s a lot more good conversation, good business conversations with folks big (like Johnson and Johnson, NBC, JC Penny’s) and small.
  • People like that it’s not vey corporate in here. It facilities conversation.
  • Measuring: tacking hash-tags and measuring interest from people in conversations. (Also, there’s some things like driving seven hours just to play Angry Birds that you can’t really measure).
  • If you didn’t have a lounge: look for sessions that interest you, check out the planned networking opportunities, or just walking down the street and meeting people.
  • For a large company, you have to be a little looser and casual to fit into “the vibe.”
  • The effect: We’ve had lines out the door every day with people hanging out, and getting cool folks making the lounge a base.
  • How far ahead of time do you start planning for SXSW? Mike’s team started for 2012 during the 2011 SXSW.
  • Problems: Bigger parties with long lines, people who are just hanging out vs. working, but, really, “we haven’t had a lot of bad experience here.”

Transcript

As usual with these un-sponsored episodes, I haven’t spent time to clean up the transcript. If you see us saying something crazy, check the original audio first. There are time-codes where there were transcription problems.

Michael Coté: Well, hello everybody! Here we are at the Alcatel-Lucent Angry Birds’ Lounge at South by Southwest. We have a returning guest here, this time visually, to talk about how the South by Southwest is going. Do you want to introduce yourself?

Mike Maney: Sure! Hi Michael! I am Mike Maney. I am the Head of Influencer Management at Alcatel-Lucent.

Michael Coté: And as you can see, you are very into the Angry Birds.

Mike Maney: I am into the Angry Birds, yes. They are good people.

Michael Coté: So what I wanted to ask you is, I guess people can predict that things are going well by your willingness to put on this awesome suit. But last time we talked we were just kind of talking about the sort of PR and Influencer Management tools and things like that.

So I thought you would be a good person having this Lounge here to kind of go over, has this South by Southwest thing been worth it? Like how is it fitting in to the thing you do for Alcatel?

Mike Maney: So it’s our second year back, and it’s kind of nice when we get a lot of returning folks back to the Lounge. It’s the ELEVEN API Lounge, because it does go up past 10 to 11, that’s sort of what we are doing here. It has been really good.

I think one of the changes that we have seen this year is that we have really seen a lot of good conversation with people, like real business. We have had folks like Johnson & Johnson, NBC, JCPenney’s, folks that are from the enterprise world coming in to talk about APIs and development and non-enterprise stuff.

Michael Coté: And do you get a good audience for that?

Mike Maney: Yes, you get a really good audience for that. I think they are drawn in by a lot of the excitement that we do and the fact that what we do is not very corporate in here. Not very corporate at all. And they just come on in. They have a really good time and it facilitates conversation, which is really what the networking of South by Southwest is all about.

Michael Coté: So I mean, is that the kind of thing that you can measure somehow, or is it sort of like, you just like, hey, trust me, people are coming in and they like this stuff?

Mike Maney: I would like to say that it’s a little bit of the gut feel, and trust me, we know when it’s going well, but for my corporate marketing folks, yeah, I will find a way to measure it somehow.

Michael Coté: Right. Yeah, it’s seems like Twitter is probably a nice way to do that, right?

Mike Maney: We hashtag it with ELEVEN API, so we are measuring volume that way and taking a look at the content of the conversations that are happening there. We are also just sort of gauging interest from comments from folks that we are having interactions with.

Michael Coté: So outside of the Lounge area, which we will get back to, like —

Mike Maney: Wait, there is a place outside of here?

Michael Coté: What about the rest of the conference, have you gotten a feel for what — so like with the rest of the conference, like what — and having been here two years, what do you think of — if someone didn’t have a Lounge going on, what would be kind of the way you would interact with the rest of the conference?

Mike Maney: Well, I do what a lot of the tips say. So I go and I look for the sessions that interest me and I make that list. I try and get to them, and I know they didn’t blow up on day one, and I would do what — South by Southwest’s probably best act is the networking opportunities with peers, with people that you don’t know, walking down the street and seeing somebody with a Gluecon shirt last night, and being able to introduce them to Eric Norlin, being able to do stuff like that.

Michael Coté: Yeah, I notice that in the schedule they actually have a lot of like meetups for different types of categories, which is — I haven’t been to one of those, but it seems nice.

Mike Maney: I tried to get to the Photo one, didn’t make it. But for a large corporation, there are some that I think will do it right, some that won’t, and you have to really be a little bit looser and have the ability to not take yourself as seriously, to be part of the vibe that is South by, and part of what it’s about and embrace it.

I think we have done that here coming back for the second year. We have got Angry Birds in the Lounge, which has been — we have had lines outside the door every single day. What time is it now? It’s 11:30. We have been going since 10, 10:30 today, with lines outside the door.

People playing live action Angry Birds. We have got RCR Wireless broadcasting live. We have had the guys from the Yobongo in here. I mean, I would venture to say we have had the two hottest companies at South by Southwest hanging out and making the Alcatel-Lucent Lounge their home base; the Yobongo and Angry Birds.

Michael Coté: For people who don’t know Alcatel-Lucent very well, I mean, can you kind of explain how those — how that kind of fits into your business? Like why do you want to have this stuff running around with each other?

Mike Maney: Well, we want to have it running around with each other because a lot of people, you are right, they don’t know who we are, they don’t know what we do, but they use our stuff everyday without knowing.

Alcatel-Lucent sits at the very heart and core of all of the networks that all these games, all of these apps, everything runs on. All these devices connect to some sort of Alcatel-Lucent innovation and technology. We just want to be able to have people understand this is the company that’s helping to make that possible.

Michael Coté: Yeah, Cisco does a lot of moving bits around, but you guys do a lot of moving bits and voice and switches, like all the gear.

Mike Maney: Exactly! Exactly! We do all of that stuff that nobody every sees and is really vitally important. It’s really tough work and it’s fun.

Michael Coté: So a couple more little operational questions. So how far ahead of time do you start planning for South by Southwest?

Mike Maney: Oh, we started last Thursday. I mean, this year we actually just started today for next year. So we had a meeting this morning and we are already planning and booking stuff for next year. Thinking about what we can do differently, how we can make it even better, how we can make it a little more interactive, and shift stuff around to keep it fresh.

Michael Coté: Right. So I mean, there has been a lot of positive things you have been seeing, but what are some things that you would like to see work out better or that just flat out don’t work when you are coming here?

Mike Maney: That’s a really good question. I think some of the bigger parties with the lines, that’s always a challenge. People that are here for just hanging out at the parties versus the actual networking, that will always be a challenge, again, embracing the culture of it.

We really have not had a whole lot of — we really haven’t had a whole lot of bad experience here, it has worked out really, really well. We just look for incremental ways to make it that much better.

Michael Coté: Right, right, right. Okay. Well, great! Well, I think unless there is any other sort of like tips or trip report experiences you want to relate to us, I think that was pretty good.

Mike Maney: Thanks a lot, Michael.

Michael Coté: Yeah. We will talk to everyone next time.

Mike Maney: Yeah. Bye.

Categories: Conferences, Marketing, RedMonkTV.

Tags: , , , , , , , ,

dev/ops in action, with Ernest Mueller – IT Management & Cloud Podcast #085

Ernest Mueller

At SXSW this year, we finally got a chance to talk with Ernest Mueller about the dev/ops work he’s been up to at National Instruments. He’s written about the topic over at his blog TheAgileAdmin.com and spoken about various aspects – it was great to get our own chance to grill him about the topic.

Download the episode directly right here, subscribe to the feed in iTunes or other podcatcher to have episodes downloaded automatically, or just click play below to listen to it right here:

Transcript

As usual with these un-sponsored episodes, I haven’t spent time to clean up the transcript. If you see us saying something crazy, check the original audio first. There are time-codes where there were transcription problems.

Michael Coté: Well, hello everybody. This is another special South by Southwest edition of the IT Management Cloud Podcast. As always John Willis and I are here. We’ve got a guest with us, a local Austinite and why don’t you introduce yourself?

Ernest Mueller: Well hello, I’m Ernest Mueller. I’m a Web Systems Architect for National Instruments here in town.

Michael Coté: What do these National Instruments guys do? I know they are sort of like Goldman Sachs best place to work or something like that. No, no not Goldman Sachs, whoever does that.

Ernest Mueller: Forbes.

Michael Coté: There you go.

Ernest Mueller: That’s right. Well we make both hardware and software for data acquisition, industrial control, kind of test and measurement. One of our big, our big software product is called LabVIEW which kind of most engineering students over the last however many years have used in college. And some of the trivial uses of our dark powers are the LEGO MINDSTORM NXT, a control block that makes the LEGO Robots, we do the software that the kids used to program.

Michael Coté: Okay, so you do controlling stuff and measuring the stuff I guess like –

Ernest Mueller: Exactly, exactly.

Michael Coté: And, I mean you are a technology company, but you are sort of like a old school technology company not like a software company.

Ernest Mueller: That’s right, that’s right, desktop software, and hardware, and both embedded hardware like few J stuff, and parts to put in your PC and dedicated chassis and then that sort of thing.

Michael Coté: And have you sort of worked there all of your professional life or?

Ernest Mueller: No, no, when I graduated long, long ago, I would work in FedEx Corporate IT for number of years. Then I worked for an internet startup in Memphis, Tennessee. And, then I moved up to Rhode Island for a little bit, did some consulting and then I got opportunity, moved back down here on the Texas —

Michael Coté: So before we get into the technical stuff, like you know few episodes ago I went off on a tangent about burgers and fanny packs. So, you know let me ask you about Rhode Island. So now maybe John has something quite sincere from that neck on the woods if you will. But the only impression I have on Rhode Island —

John Willis: Yeah, yeah, I mean yeah.

Michael Coté: The only question I have about Rhode Island is from this one episode of the Sopranos, where they have the cousins who live in Rhode Island. And, ever since then it’s stuck in my head that Rhode Island is a little weird. And, like so is Rhode Island kind of like weird?

Ernest Mueller: Rhode Island is a little weird they take inordinate pride in how many times their governor gets indicted. Of course, I guess we are not all that different down here. But, yeah it was an odd place, but good Italian food.

John Willis: We love the burgers, plenty good burgers there?

Ernest Mueller: No, not really.

Michael Coté: What’s your impression of Rhode Island?

John Willis: I don’t know; it’s a place that you cut through sometimes when we are going up North.

Michael Coté: All right, all right, so we got that.

Michael Coté: When I’m going in to office venue, I have to go through — but of course and you know that whole Nantucket Moby Dick, it’s a very odd scene, its one of the — that’s perhaps the best part of the whole book is the whole Rhode Island scene like what you are going to do. So I know John, you have — why don’t you launch and do it John?

John Willis: Yes, so I was thinking about this, so, you know, we’ve been following each other for a while here you’ve been in DevOps, since DevOps was put through but the —

Michael Coté: All right, go ahead.

John Willis: The, I guess I was thinking about just kind of introducing what are your thoughts about DevOps, but I guess I was thinking more about, since you do work for a large enterprise what does DevOps really mean, and with a spin from an enterprise view in your view?

Ernest Mueller: Well let’s see, from an enterprise view I don’t know that the over all view is any different than the normal DevOps view. It is somewhat more complicated to implement sometimes. But, the whole concept of bringing your development folks and your web operation folks together and actually embedding on a team together to deliver a product is really the core concept there. Scale becomes the issue, just like with Agile in general. In Agile methodology it sounds all simple, you got your small gang of developers, you embed the business on a — if you are in the DevOps you embed an operations person on them and you go, and if you have an eight person company that’s — it’s reasonably straight forward to understand how to do that.

Maybe you are dealing with 5000-person company like we are, the path to get there is little more oblique. And, to be honest we — the way we got our feet wet was like green fielding an internal team with both developers and operation staff and who are on it, to get knowledgeable enough in it that we could then perhaps figure out how to spread it to the rest of the organization. You have to do a small project first.

Michael Coté: You have do small projects first.

[0:05:02.6]

Michael Coté: Right, right.

John Willis: So, Michael thinks that we were all full of crap when you were to talk about culture, at the previous episode if you will. So like — well school about why DevOps, what actually in more like his point as we tend to say, like in 0:05:23 world we use culture as this kind 0:05:26 okay, I am going to stop talking now, we are going to throw the culture out there, like why is this — why do we 0:05:31 about kind of behavior and culture in DevOps?

Ernest Mueller: Well, because I think it’s the grease that makes the wheels turn right. There are many, many opportunities for friction in any organization and the more moving parts you have for example, in bigger organization more opportunities for friction you have.

If people approach a process from an attitude of collaboration, then things are probably going to work out all right. If they are approaching process being, kicking and screaming or hostilely or reluctantly, they will innovate ways to make it not work, and I think one of the difficulties especially with operation staff is historically we’ve been trained to accomplish certain goals. Those goals are availability, but unfortunately sometimes more importantly cost efficiency, and reduction of risk, and once you do that for a while that becomes part of your DNA.

Well, so if you just get thrown on to a team with the goal of let’s deliver shipping products, you really have to be bought into that from a cultural point of view or else you’ll just drag your feet and that’s the big, I mean having had to go through that transition myself as an operations person, I understand if it is — it is difficult that it’s not nothing and there was a interesting post early on OpsOps.

It’s like before DevOps we need OpsOps, because the nature of the burden that’s been put on IT infrastructure departments, it’s not like they’re all happy and collaborative with each other and hate developers, right. They pretty much have been siloed, and sub siloed, and thought to defend their sub silo and that’s a hard thing to get over it.

Michael Coté: Yeah, I mean that’s the point that I like to make with a lot of people is the moral lapse as I would call this. They are only the creation of their situation, I mean they’re doing what they’re been asked to do.

They are how they are because yeah they were made that way, people fall to that. Yeah, I mean I think, I think that’s one thing that John got me thinking about when we are talking about the, my hatred of the cultural argument is that it is like thinking about, and you are kind of touching on this, this is thinking about instead of doing service management, doing a product management, kind of having that by and to like own the stuff.

I think that is, it’s like, more so than just like subtle trickery with words. It does like change what you think about as an ops person, what it is you are doing like —

Ernest Mueller: Absolutely.

Michael Coté: You are not just — you are not just satisfying SLAs and up time, you are not keep something up and running, you are looking at how I can make this product better, this thing better than on running.

Ernest Mueller: That’s a very good point because we had experimented with ITIL and then eventually visible ops, and had started to try to bring that sort of structured service management approach to our work when that 00:08:51 in our R&D department, run a team that’s developing SAAS products, but I was in our IT department heading up our systems side of our corporate website and we tried to push the service management aspect. We have a lot of friends in the business, the Director of Web Marketing was very supportive of setting FLAs, and figuring out how to accomplish them.

But, in the end we only achieved success to a certain degree despite the fact that, we have a lot of great people working there in all the different sectors, and it became apparent to me, our team was always, we were all respected, but we were always the bottleneck. Eventually I kind of got sick of being the bottleneck, I said, look there has to be a different way of doing things, we have optimized our processes as much as we can.

We developed the systems development process that we would use to engage development teams, very waterfall.

[00:10:02]

But brought together many years with expertise and streamlining it, but even so we couldn’t achieve the pace of delivery that the business wanted and then when you stepped back and looked at it was not unreasonable.

Michael Coté: And I mean, can we go into like why, if you’re taking a service management type of approach where and correct me where I’m kind of wrong, where you’re sort of focused on providing some SOAs that you have, and providing the infrastructure that something runs on. You’re kind of providing, I don’t know, the infrastructure stuff runs on, I’m repeating myself. But I mean, what would happen that would cause you guys to be a bottleneck like because you’re doing like ITIL or Visible Ops — a service oriented —

Ernest Mueller: Well, yes, I don’t think it’s, I don’t think we were a bottleneck, because we were doing ITIL and Visible Ops is just those things were not sufficient to stop us from being the bottleneck, because we had — we have like a 100 programmers to a team of like six ops guys.

Michael Coté: So, it’s not that they were slowing things down. It was more than they weren’t sufficient to give you the tools to move at the speed the development wanted?

Ernest Mueller: That’s right, they absolutely held. Right, we had a great kind of internal initiative where we sat down with our senior development managers and the business managers and we put together these, kind of, core goals and SLAs.

It was great because it aligned a lot of the things like hearing the business people say that performance and uptime are two of the top five things they care about, right, helped us make that case to the development teams, and to other business teams that frequently were pushing for release even if they knew something was terribly wrong.

So, it was very helpful, but we just kept bumping up against a kind of glass ceiling where we just — we couldn’t hit that higher rate of speed that when you stepped back, and looked at the pace of delivery, you still said, hey that some just seems wrong there, why it does take that long.

Michael Coté: I guess, I mean it probably is actually a metric in various processes or whatever. But it’s not a metric you hear too about it. It’s the — I don’t know time to deliver new features —

Ernest Mueller: Well, absolutely.

Michael Coté: Or something, I don’t know what you’d call that.

Ernest Mueller: That was the source of one of the — kind of, more bitter arguments surrounding that whole effort. We came up with this kind of five killers that were important to the business was performance, availability, total cost of ownership, and then fairly we call that became proportion between new development and maintenance, and agility.

One of the senior development managers that kept trying to axe Agility, he is like well, how do you put a metric on that, how do you like — and I said, we go back and talk to the business director, I guarantee if we asked him which one of these five things was most important, he would say that one. So, even though we can’t come up with a sound metric for it, I don’t really care.

So that’s true, it’s hard because what — you start getting, you start going down the rabbit hole of feature points, lines of code, it’s all BS right and in the end you have to kind of wet your finger and stick it up to the air and say, so feel like the wind is moving fast enough, no it doesn’t.

Michael Coté: And have you come across people measuring something like that John like its sort of like, I mean I don’t know I would almost think it’s sort of like business guy wants something, never mind the scale of it necessarily, and is kind of like some measurement of how quickly relative to the scale of it that you can get into production.

John Willis: Well, I think if you start looking at like the companies that like are boasting their deploys per day. I mean that’s definitely, I mean that’s a sign of agility. I mean to some who aren’t — we talked about it in the flash podcast and some who are not ready to fulfill all the pieces of that that could be a disaster like, it’s just like, okay we’re going try to do 30 deploys a day, right. That ain’t going to work if you don’t have faster developing, if you don’t have some type of goal-oriented monitoring or just some, all the things implies that make that type of pipeline work.

But, I think that becomes — but I’ve been a big fan of the finger in the air, feel where the way wind is blowing. I’ve been saying it like we used to talk about clouds in the early days, and I’d say, well, it’s just a cloud, it’s just a cloud, I tell you. I can’t tell you what makes the cloud but I could tell you when I see one.

[00:15:00]

And I think that — I think that that’s the — like you will know you’re agile, you will know that your business is agile, when you’re agile, I mean it will be clear, right. I mean look at 00:15:13 you look at — and a 00:15:15 it goes into velocity of innovation. The stories where these companies can, like a marketing guy can get on a phone with the developer guys and say, I got a big deal right now, and then you can show these guys this feature and they can put it together on a couple of hours, and they launch it with the feature flag, the only that customer sees it. You know, that’s our job, right. I mean that’s our job, —

Michael Coté: Yeah, yeah. I mean that kind of scenario is — it always drive developers kind of by rate, but I think that’s because kind of joins back into the thread of conversation, it’s because traditionally that’s a very dangerous thing to do, to have the sales person developer connection.

John Willis: Yeah, right traditionally, but, I mean, this is all about like breaking down a lot of tradition —

Michael Coté: Yeah, exactly.

John Willis: Like doing 30 deploys a day gets people sick, right 00:16:13 when you here the first time. But, having a sales guy — a marketing guy call a development guy and say I want this, that like breaks all the rules of traditional. But in a new world, it’s pretty freaking full — I was telling Ernest earlier today, I was in this trading company recently, where they have the developer’s and the trader’s path, they sit next to each other all day long and a developer like he says, why did you do that, the trader says, well, normally I have to do three steps to get this. It is like hold on and it’s a new world, I mean I think that’s –

Ernest Mueller: That’s a good point. I think the problem that someone is faced with from an enterprise point of view is how much does that scale, right, because when you are — so many of the start ups are very narrowly focused and, they are being encouraged to be very narrowly focused as at a king of the, Lean: King of the Apps Show down — South by Southwest, people are going up and showing their apps and giving their spiel and getting fatigued.

Michael Coté: Like, this is an app that tracks the growth of a potato plant.

Ernest Mueller: Well, exactly and so,

Michael Coté: Not any plant, potato.

Ernest Mueller: So, one guy showed his app and Robert Scoble was like, Yeah, you need to take half of your features out. I said, well, okay, hold on. I could see he needs a simpler interface right but I have got 20 Apps on my phone to do one thing, that when I step back, I think why don’t I have one app that does all these things. How many Google maps mash ups do I need?

Michael Coté: If any thing the apps that I really like, I really want them to do a lot more, like something like Evernote, like I wish you would just — there is this great, this fun little app called Momento that you hook up to all your 00:17:59. It’s like pulls it all and you can see like, for this day you take to these places in first grade put this, took these photos and its fun, right. But like that’s kind of thing we were like, oh, I wish, I wish Evernote gets that and like stored it, like so I would like it to do a whole lot of stuff.

Then there is another example, there is this Instagram application. It’s fun, it’s like a fun way to take pictures and it’s kind of like I want that to integrate with everything. I don’t want it to be it just takes some pictures anyways.

Ernest Mueller: Well and that’s a — and that’s the dilemma so.

Michael Coté: It’s the individual enterprise requirement process. I wanted to do everything right now.

Ernest Mueller: Right, because, it’s just on our website, right. We have like 300 applications in production, right. It’s not we don’t do one thing; we do a lot of things and too much segmentation right, breeds chaos. In fact, that was one of the challenges that my web systems team faced, was the business team was siloed by, here is E-commerce, ECRM support community on down the line, and they would all do things differently, and so it’s hard to get together standards, and make things work. But on the other hand, I think corporate IT has gone too much the other way, right, there is always a balance between centralization, and standards, and innovation.

Michael Coté: Well, let me float this theory that I just was thinking this — as you were talking about this 00:19:28. It almost seems like, so in the past, let me over contextualize this as always, in the past enterprise, I mean like high scale and fast and performance and WebSphere MQ, and all those kind of stuffs, whereas nowadays that’s not the exclusive domain of enterprise, like Twitter does enterprise scale stuff with, and that is not enterprise. I mean whatever, and so it’s almost as if nowadays to the point of what you are saying enterprise kind of means complex.

Ernest Mueller: Absolutely.

Michael Coté: And lots of stuff.

[00:20:00]

Ernest Muller: That is a great insight. So, on our website we didn’t have more than four servers that did the same thing. Internally we might have had somewhere a group of ten servers that did the same thing but, that’s not our — but that’s not the problem we have, we don’t have the Google problem, the Flickr problem, when me and my colleagues go to Velocity, and hear about, oh, here is how we solved this problem for Facebook, like we are jealous that our problem would be that simple, right.

Michael Coté: Right, exactly. That’s kind of something I even thought about till you’re going over it. Is it is, it’s almost a cultural, a business culture problem of — the business doesn’t want to have a simple business, or can’t have a simple business, they have a complicated business.

Ernest Muller: Well, exactly like it, the 00:20:48 coding the scale presentation yesterday, they came out, admitted that they’ve made their application more monolithic so that they can support that higher rate of deploys per day.

They used to be service oriented and basically they’ve smashed it together, and said well, we’ll worry about that later. Then when you have a very large organization where you have you know Oracle ERP systems, and all these other things, it’s really the complexity which is the challenge. We still have the Lotus Notes users, and not because we love it for email, like for just for email be out there tomorrow and we’ll have something else then, but it’s all the little applications.

We have hundreds and hundreds and hundreds of little applications because Lotus Notes solved that pluming problem for you, it’s like, hey, I can write this little app. I can distribute it you know from here to Aachen, Germany to Hungary to Tokyo all the places we have offices, great done, right and still nothing has actually emerged to do that as well.

John Willis: Right, right, right. Yeah, I mean that is the reason just to stick with notes. Sure.

Michael Coté: Yeah, I mean that’s interesting — yes, please, that’d be great, thank you. Yeah, so what should we be talking about next John?

John Willis: Well I’m a big fan of your open source projects if you can or your stuff that you’ve been kind of contributing, you want to talk about that?

Michael Coté: Oh yeah, Let’s talk about technology.

Ernest Muller: Sure.

John Willis: Technology, yeah, sure.

Ernest Muller: Sure, well, so we are still working on the open sourcing part, but one of the things that we did when we started this new team to develop software’s as a service products for National Instruments, I made the decision early on that it need to be all Cloud based. The nature of the products that we were developing, for example, let’s say FPGA Compiled Cloud, they all needed to be multi-tenant, they all needed to be scaled very well, and in certain cases with fairly custom algorithms. We knew we needed it to happen quickly.

So we decided that we needed to write a Cloud based provisioning environment that would allow us to really hit that, both the velocity but also the flexibility that we needed.

Michael Coté: To be agile.

Ernest Muller: That’s right. That’s right because —

Michael Coté: Not to be agile, to have agility.

Ernest Muller: To have agility, it’s all different —

Michael Coté: Yeah, to add the L1.

Ernest Muller: Absolutely, because these products, we didn’t know which ones are going to go over well, not go over. We didn’t know how we were going to develop on this true, kind of, agile development story like it’s not like somebody came to us with a clear business case, and they wanted these things to do.

It’s like we’ve, I don’t want to have this thing and is going to run on the cloud, and let’s figure all that out. Right so like one of our major tasks in every sprint is going and grabbing the business guy by the 0:23:58 and shaking him until he tells us what the licensing model should be right.

Alright, it’s like we are doing this utility billing, or what you know shake, shake, shake. So, we were developing the systems infrastructure and code and the business process all at the same time.

So, what we ended up doing, we have this thing called PIE and, my colleague Peco Karayanev is the main developer on it. You’ll always see us wondering around as a unit, he’s not here because he at a wedding today. But it stands for Programable Infrastructure Environment and what we wanted to do and especially because we just gotten into DevOps, and we are trying to internalize what, how we could really maximally collaborate with our developers we said, hey we need our provisioning to not simply be automated, right.

To be programable it needs to be something you can code and you can code too and so —

[00:25:00]

Michael Coté: And who is the “you” in that case?

Ernest Mueller: The developers writing the more kind of the functional parts of the system and ourselves, right. So, the operations guys have always wanted to have more automation, but we tend to want automation in ways that makes sense to us, but not ways that make sense to a developer, and in the end that sort of self service is the goal. We did — it’s in the side, but in our role in IT, we did two big implementations where we really pushed a lot of stuff to self service to our developers. There was this Splunk Log Management Implementation, and then OPNET Panorama like APM tool implementation where we put them in and we pushed the maximally to the developers instead of having them do the Ops tools and in each of those cases —

Michael Coté: Like the SA guys are talking about.

Ernest Mueller: Exactly, so a huge response like actually saying, hey, this isn’t a thing we’re going to do anymore, we’re going to expose it to you, so you can do it. Like that’s when we got into it — that’s when people were seeking us out instead of us finding them.

Michael Coté: So like rattling on that a little bit, like what is it that it made the developers interested in that, what excited this. That direct, that direct access, and direct ability to see how their own handiwork is working in the production environment. And so was it they — like what you’re saying there I just want to sort of observe their handiwork, but was it bad or was it also like so that they could guide in those problems?

Ernest Mueller: Absolutely, I mean that was our goal, right. I mean our goal was to get them to diagnose problems, but that’s not what got them to open Gooey and click on it in the first place.

Michael Coté: They were just curious.

Ernest Mueller: That’s right. It’s like, oh, I wrote this thing, I cast it over the wall. The admins occasionally yell at me about it, what is it really doing and, if I pull open live log-tailing and then go hit it, what am I going to see because — they don’t necessarily no, right.

Michael Coté: What were you’re saying?

John Willis: I was saying, I think it’s like giving them a lot of a control, I was down and self services is about breaking that barrier of — we throw it over the wall, ask question on the wall, get the –it’s the e-mail version of the communication, right, whereas give me the control —

Ernest Mueller: That’s right and a lot of it is just enabling my people to be doing value-added work, right. Carving up log files, and sending them to a developer is one key-work, that’s why we invented computers, right. That’s not something that a highly skilled person should be spending their time on, and by doing that sort of self service we didn’t free up people’s time to hopefully innovate a little bit more, yeah.

Michael Coté: It’s like when people asked me where something is, and I just want to tell them to look it up on Google Maps.

Ernest Mueller: Exactly. I mean move on to similar high value activity in their life. So recurring back up to PIE, so we device the system, and essentially there is some XML based system model, which is somewhat familiar to those who have looked at Amazon Cloud Formation. It’s kind of like that, except it, except it’s more generic. It’s not just for Amazon, right, it’s more a generalized system model. From that we use that as a — as kind of documents for our developers to collaborate with the system administers, all right. It’s like you’re building out your actual system, and how the applications are distributed and all that.

Michael Coté: Because, the developers are saying, here is the type of server that needs to run, and here is the kind of resources, the speed when it’s in production, which it gets to the point of that programable infrastructure or whatever it is. It’s you got the developers to specify the infrastructure, their applications needs to run on.

Ernest Mueller: That’s right.

Michael Coté: And its part of what they’re coding.

Ernest Mueller: Well, exactly and as part of that also we have kind of quickened replacement, so that if an application needs something that’s box specific or environment specific that can all get filled in from configuration that’s part of that model.

So, we got into a point where you could spin up an entire, we call them cloudlets because nobody has really come up with a better word, right. It’s a specific multi-server, multi-role, instance of one of our applications, maybe it’s a dev environment, and maybe it’s a test environment, right. But, spin up an entire cloudlet off of that model without manual prevention. Both, kind of bringing up the cloud systems and getting core software on them and doing application deploys, kind of getting it all, already to run.

[00:29:55]

Then we have a — we use a ZooKeeper based registry which when all the systems, as they come up, they register with it and is used to hook events, and do orchestration amongst the servers. Finally enough like — this is one of the things we’ve been not entirely of our own volition but we’ve been moving some of our applications to Microsoft Azure.

Those are the two things that they have that really are very forward thinking when you create your app, there is a model that describes, and then there is a runtime registry they call it the Fabric that knows what’s going on, and you can hook for events and those two concepts —

Michael Coté: The AppFabric stuff, right? Oh yeah, that’s more like the bus that runs.

Ernest Mueller: Yes, well, yeah with their branding and sometimes a little hard. Yeah, but there is essentially a Azure Fabric API that, it’s like Amazon Instance Metadata, but then also dynamic stuff, also events.

Michael Coté: That’s right, yeah, I forget like Fabric is one of the, Fabric is a term they used in 00:31:07 they kind of mean everything. So, basically they are using ZooKeeper as sort of a combination, a combination asset database catalogue and orchestration engine.

Ernest Mueller: Well, exactly so the concept of a CMBB is all been busted, right like –

Michael Coté: I mean you told, right, I don’t know.

Ernest Mueller: We tried, we poked around with them in IT for a longtime, and finally we just ran screaming. So we are somewhat, a 100% of our systems aren’t cloud, we actually have a couple on from a system integration with this but because they’re mostly cloud. We said, hey, we really need something that it just —

Michael Coté: You’ve got a hybrid cloud. That is fantastic.

Ernest Mueller: We do. That is just super highly dynamic so instead of, yeah instead of writing things down in the database, or sort of running discovery or whatever, we have a model that describes what the system should look like. We spin it up, and registry knows what the system does with the client. Sometimes people confuse those two things, right. When you only have half of that equation, well here is my config and certainly my tool eventually get it to that config, it’s like yes well maybe but maybe not. There’s monitoring right, the monitoring is a course-grained.

John Willis: Who is that?

Michael Coté: It’s Roger Ebert.

Ernest Mueller: Oh, yeah Roger Ebert.

Michael Coté: Awesome, there he goes.

John Willis: I’ll see if he wants to come in DevOps.

Michael Coté: I don’t think he can talk anymore unfortunately, yeah. But otherwise I’m sure he would.

Ernest Mueller: He’s got more opinionated.

Michael Coté: Sorry to be interruption.

Ernest Mueller: No problem –

Michael Coté: But, see you have the real state of the things, and the desired state of things. And, again it’s because when you are — nodes or whatever come up, they register with the ZooKeeper, for instance you have —

Ernest Mueller: Exactly, especially because of the dynamic scaling in the cloud right. So the model is probably not the right place for how many app servers do I want, like because that’s not something I care about our priority, I want there to be as many as there is traffic, right. So, that’s something within the registry can do and that’s —

John Willis: Well, I mean this is the problem, I think you guys, now when I see this all over, this idea that people are, I mean the products like Chef and Puppet, cfengine deal with the model state, but like so you decide okay, there is thing called the web server, configuration then can be involved in having instances of that, and typically they don’t, right. And then even the state of 00:33:53 of things that come and go, right. So, I think there really is a second home, for a new kind of solution, like you guys are doing, it has to sync with the model space, but also with a separate problem solution, which is state awareness you know.

Ernest Mueller: Well, exactly. And I think like we wouldn’t have to wrote our own kind of simple provisioning as part of PIE, but eventually I see it integrating with, integrating with Chef and Puppet were not, because it’s, it tries to abstract things one level higher, right. So, we kind of referred to it as the tool belt for the tool chain, because you end up getting all these tools, and they all have their own —

Michael Coté: That’s a good metaphor.

Ernest Mueller: They all have their own models. They will have their own ways of interacting with them, but I want one canonical, right. I’m never going to teach my developers to read Chef recipes, and Nagios configs, and all the, I mean that’s why we have ops guys, right, who are experts in a hundred different 00:34:56 apps config format.

[0:34:58.9]

So, I want to be able to construct one model that, and the thing that we like about our model, it goes down to the application level, like hey, there is — there is this service here, it talks to this service over on this other tier, on this port, right.

Michael Coté: Yeah, yeah, yeah.

Ernest Mueller: We automatically generate Amazon Security Groups out. It’s like this needs to talk to that on port 443, okay, that will be automatically opened and —

Michael Coté: I mean, you guys are going to have like the dream of a scene to be on those, right that you’re modeling everything including the actual state of things, down to which ports are connected to what he does and 00:35:37.

Ernest Mueller: Exactly, and so it’s been good, like it’s — it’s not as fast as it could be, although some of that is because we’re using –

Michael Coté: And, then so you guys are going to source that, is what the –

Ernest Mueller: Well we’re going to — we’ve gotten kind of management 00:35:51

Michael Coté: That would be the first thing as open source or?

Ernest Mueller: Not the very first but probably the most substantial item like they’ve actually been working on open source like a little stream capture tool, that one of our programmers in Hungary, wrote which is pretty cool. But, this is a kind of a bit larger than that.

Michael Coté: And, then so also, if I remember you guys are kind of window-shop right —

Ernest Mueller: That’s right.

Michael Coté: — like how would you describe the makeup of your platforms?

Ernest Mueller: Okay, that’s a good point. So, on our IT side, right, our website it was 90% Linux, Java et cetera. But all of our desktop development is fundamentally Windows based, right, lot of .Net, a lot of stuff like that. So, for these Software as a Service products, we are having to bring both worlds together to a degree. So for example our FPGA compiled cloud, the thing that powers it is LabVIEW FPGA, which primarily –-

Michael Coté: Is that something like C and C++ or something like that?

Ernest Mueller: Right, right.

Michael Coté: So, which of course you can only work here on Windows.

Ernest Mueller: Yes, well, and that’s another reason that we ended up needing to develop our on solution was we needed both UNIX and Windows support. And, that’s considered to be a myth for whatever reason in the industry. I know that Chef has recently gotten decent Windows support, but —

Michael Coté: Yeah, I know, I mean, I see this all the time in the management start up innovation spaces that Windows is the last thing people think about, or one of the last thing for whatever reason.

Ernest Mueller: Well, absolutely –

Michael Coté: I think it seems to be that you have to do Microsoft program in the Windows, and a lot of the people who are programmers and startups don’t do Microsoft coding.

Ernest Mueller: That’s right, I mean, it’s a little bit of a, it’s kind of religious — because I made this point at the Austin Cloud User Group, I took a show of hands, it’s like okay, who here has to deal with both UNIX, and Windows systems, and everybody raises their hands, right. That’s a reality. You’re a six person startup, great, you can afford to pick the one specific platform, and do whatever you want, but that’s not with the rest of the world —

Michael Coté: I think, that’s what startups deal.

Ernest Mueller: Exactly, Mac client, Linux server are good to go. So, we needed both, and now that we’re bringing up a product on Microsoft Azure, our path to do that, because actually been simplified, because we’re going to take our model and essentially compile it down to the Microsoft Azure model. Now that Amazon has come out with cloud formation, we’re like, oh, well we can essentially perform an extract of our model to various domain specific model and great, we can use it.

Michael Coté: Are you finding that kind of cross-platform support is working out with sort of across EC2 and Azure and like you’re kind of alluding.

Ernest Mueller: Yes, so right now, we have Windows and Linux support on Amazon and we’re working on adding support for Azure. The most, really the most challenging part was just understanding Azure in the first place, which the majority of that is cutting through the Microsoft marketing message to –

Michael Coté: You got to cut through fabrics.

Ernest Mueller: Yeah, to what it actually is, and once you understand what actually is, and you’re like, oh, okay, yeah, that seems doable, right. So that’s where we are right now, we’re building that up.

Michael Coté: I guess, another way of asking the question is, in doing sort of SaaS and Cloud stuff, how aware are you having to be — I’m running Linux, so I’m running Windows, like where does that bubble all the way up to the top so to speak or is it more like I’m running on a service somewhere.

Ernest Mueller: Well, so something somewhere has to know about it, but we try to keep that encapsulated as lower level as possible0. So yes, in the model there is a service and then there is a machine spec.

[0:40:04.5]

That machine spec says, hey, this is Linux or Windows because you probably going to want to know whether you are 00:40:11 to it, or not doing something not offered to it, but it allows the developers do not have to worry about, about that when they’re — because the developers are the ones that you really want interacting with the model most of the time.

Because we set it up, you are like okay, server tier, memcache tier, database tier, and then we don’t have to do that much fiddling with it. It’s the developers that then fiddle with it time after time again, oh, new version, new version for my application, oh, I need to switch it from HTTP to HTTPS, because I finally got around to doing that, and we are trying to give them maximum flexibility to do that without really even having to involve us. In fact the HTTP, HTTPS is a fun example we have.

One of the developers, it’s like, okay, I need to change — I need to change my colors for our licensing from HTTP to HTTPS. I said, great, here go right there in the model and change it. He said, oh, okay, then he is like, okay, well now I need to — I need to call the DBAs and get that calls that’s coming up from our Oracle licensing system to be HTTPS.

Well, that’s spawned two weeks worth of phone calls, and meeting and, cajoling.

Michael Coté: This is John’s theory, you’re involved in Oracle DBA, your agility metric down.

Ernest Mueller: Well, you know, cajoling with the DBA is trying to get it figured out, what about the Oracle Wallet Manager like and that’s for two weeks, and the developer and he is like, oh, okay I see why we’re doing this, now like click it, completely clicked with them all, like I see you are all just doing weird crazy stuff. I understand the value now.

Michael Coté: Yeah. So, somebody asked another interesting measuring question is, well interesting to me I guess, is how often it does a developer’s — how often does a developer drive the infrastructure towards 00:42:03 like a developer like put something in the model or says, You know 00:42:06 like, oh, I guess we need get this new kind of infrastructure like, oh! Now, we need to get a new server for I think, I need just for the profile or something.

Ernest Mueller: A good but we’ve tried to keep it at a pretty, pretty collaborative level with the group with that we have greenfielded. We’ve been very lucky, we essentially have an Applications Architect; a Systems Architect myself, and then a number of developers, and App Developers, and then head of a Systems Developer right. Because we are all working as part of the same sprint and same step review process with all of that —

Michael Coté: The same team more or less.

Ernest Mueller: Exactly that, that when somebody starts coming up with something and needs a spec to be reviewed, myself and the application architect look at it. And I say, hey, that’s not going to fit on our current one, and sometimes that gets complicated.

I mean we recently had a engaging discussion right about, we are working on a product that does a lot data upload to the cloud, and we had conflicting dev and ops requirements about it, right the developers are like, hey, I really want one Rest API, that I can, that I can get in post and delete the same API.

And I said, well we really have to split them out into different servers because we need the data collection to be extremely high up time, extremely low late, and its going to be stable.

Michael Coté: Yeah, now that’s a good example.

Ernest Mueller: And, we are going to be adding other stuff to the reading, and that’s going to be very.

Michael Coté: Yeah, and that’s exactly along of the lines of a potential example. It’s sort of like, well, if you architect the system this way, we are going to need to get CDNs and we got to put a load balancing thing over here and like we are going to need a 100 gig Ethernet instead of a 10 thing that we — I mean it’s kind of like — that would be the kind of collaboration between development, and operations, I would expect to see a lot of this, sort of development people being kind of not aware of the infrastructure that their architecture is driving.

You know exactly what you’re saying, if you have you’re reading and deleting on the same service that implies a lot, and depending on your throughput about your enterprisingness of that service. But if you separate them, then maybe you could get some leeway that an operations person might understand this better a lot more than a developer would.

Ernest Mueller: Absolutely, and so our ability to really collaborate on those issues, and sometimes they’re very sticky. I mean we’ve been talking through authentication issues, and how are we going to do multi-cloud authentication, and ideally integrated with our legacy user repository.

Michael Coté: That thing, you know, are using 00:44:51 or something.

Ernest Mueller: Exactly that’s where we are going, and that takes a lot of iterating, right because a lot of times the developers think, well, why can’t it be simpler, why can’t I just call from Azure to Amazon across the Internet, every time somebody makes an API call, all right.

[0:45:14.9]

It’s like, hey, so, multiply the availabilities together, and you’ve got extra performance like you have to continuously explain it especially we’ve — one of our biggest challenges, we brought web developers over with us to see this team, but we’re working with our traditional desktop software developers for a lot of the product functionality. They’re right, it’s historically very much been a, you just test in your lab.

It’s not well what about if you’re over a low latency connection, what about fault testing, if the network just goes down for 20 seconds and then comes back, does your thing completely freak out because cloud rebooted, is not —

Michael Coté: And it will, whatever.

Ernest Mueller: — as its 0:46:00 you know a solution in a SaaS environment right, and so that’s been one of the biggest challenges to kind of teach and inform, but when people see it they really get into it. One of our LabVIEW FPGA developers happened to cross the video of from Velocity about Facebook, and how many deploys a day they do. And he came wandering over to us, hey, have you guys doing this. Like, yeah, we are at the conference, but we like that you’re excited about that.

Michael Coté: Yeah, now, I was with my friend Charles from the Drunk & Retired podcast, one of his employees here Daniel. And at the 0:46:37 thing last night, they had that same kind of reaction of like wow that looks great. I mean, instead of like thinking about like how I could use that in my job.

So, it is, whereas much as we spend like blowing up, sucking in air about talking about DevOps, it’s important to remember that not every –developers are up on developers stuff, they’re not necessarily up on operations theory and stuff. There is a lot of things to show them that are fun. Well, I only had one more thing to ask, I don’t know if you wanted to —

Ernest Mueller: Yeah, absolutely.

Michael Coté: It was basically, this is the responsible analyst would be asking this question. So we’ve gone over this exciting like technology and practices and stuffs. So, then when you go back to the guys who have lapels, which is going to be one the dress codes for ANI, business people must have lapels, they can be grabbed and shaken.

So, when you go back to the lapel guys like when they look at what you guys have done or see the effects of what you guys have done like — how do they assign business value to it. Like to them what it is like, how do they come to the conclusion hopefully. That all the shaking you’re doing of them and the time and money you’re spending on it is paying off like what’s the business value for it.

Ernest Mueller: Well, actually there is two answers to that, one is that we’re reasonably lucky, and that we don’t have a lot of lapel guys like our CEO is still the electrical engineer that started the company and so our — my management chain is all people with engineering degrees right. So to a degree that streams on some of the communication issues.

Michael Coté: And they probably also have an implicit sort of faith and technology if you will.

Ernest Mueller: Well, absolutely true, and they were willing to let us prove it, right, so —

Michael Coté: Yeah, exactly.

Ernest Mueller: When we did it we — I mean we developed and delivered two software as a service products over the course of one year, and it’s hard to argue with that, it’s hard to argue that in terms of agility. It’s like, hey, we had to spend extra time and effort on making this PIE thing, that directly have a customer impact, but look, we can just, now, we can just stamp these things out.

Michael Coté: So, that was the first thing, is that they gave you the time to establish a foundation.

Ernest Mueller: Yes.

Michael Coté: And, then the way that they rated the success of that is that you could then, is that you then had agility, and that you — in a relatively small amount of time you could put out two releases because you built this. And, so there was business value there and that you could get more stuff out.

Ernest Mueller: Exactly.

Michael Coté: And then I mean is there — and then there’s actual sort of — how are they running their business side of it differently sort of selling the product, or selling whatever it is based on because it’s built this way.

Ernest Mueller: Well so —

Michael Coté: Or is it just that it’s a SaaS, people want to access stuff as a SaaS?

Ernest Mueller: People want to access stuff as a SaaS, like there’s a big cloud, by cloud and we do that too. And customers, to a degree they just want it to work, but on the other hand, they just want it to work right, if you’re overcapacity on a given day, or you’re down on a given day, that spooks people off because with our systems we’re talking about things where people are submitting extremely valuable intellectual property, right.

[00:50:01]

So far FPGA compiled cloud, people are like, hey, you know the things I am compiling, you know, the things that we generally have corporate espionage, people trying to get out of us, right, and I am outsourcing it to you on the cloud, saving my files there, I am saving my data there, is this really, is this really rock solid and secured.

Now, the good thing is we’ve really haven’t had a lot of trouble selling people on that, like you kind of hear that well, like cloud security is the big bug there. Well, it is if you don’t have your act together with cloud security, right, but, and it was the first question out of the mouths, out of our customers, right well what about security.

We can say, hey, we are doing this, and doing this and we have the CISSP on staff, and there is how we make sure nobody ever sees your data, and then they are like, okay, fair enough like they are not just, like – that are not just random spooked.

Michael Coté: They had to make sure you got it covered internally.

Ernest Mueller: Exactly yeah.

Michael Coté: That’s sounds like another — your value, is basically your customer’s base, they want to outsource that infrastructure of compiling things to you and they want some service to do this for, and they want to own it all.

Ernest Mueller: Absolutely it’s humbling having come from IT, but the people that come to us with big dollar opportunities, and they say, yeah and I wanted to do this because, you know I am smart and I program and I could have done it myself, but I would have to go to get a server from IT and I would rather give you all a briefcase full of money. That’s — gets messed up from one point of view, but we’ll take it from the other point.

Michael Coté: So, you are sort of enabling some of your customers, I won’t say all, maybe does all, but to basically do rogue IT to not to deal with their own IT departments to get their job done?

Ernest Mueller: It’s very true, I mean or at least or at least a different sort of engagement, right. If you consume it as a service even if your IT department is engaged and has oversight on that, it has to be less of a bottleneck, it takes less time to evaluate a SaaS vendor and then to build out a system.

Michael Coté: Yeah, the same SaaS dynamics that works in the CRM and application space work in the FTP or whatever.

Ernest Mueller: Absolutely the hardcore engineering people, there is all kinds of mobile apps, it’s like here is an oscilloscope on your iPhone. I mean it’s the exact same social media, mobile cloud, they are just as compelling to propel our heads as to whatever the course 00:52:42

Michael Coté: It’s not FPG, or is that – it is FPGA.

Ernest Mueller: FPGA.

Michael Coté: There you go, it’s not a first person anyway. I am way beyond my theme, once there is three dimensional objects involved. All right, well 00:52:56 is there anything else you guys want to talk about. I think that was great, I mean didn’t wanted to sit down for a while and just kind go over.

Ernest Mueller: Yeah, thanks for having me.

Michael Coté: — what you guys doing, I think it’s nice to talk to someone who is implementing all these technologies and practices and a business of doing it, not just sort of the tooling and all that kind of stuff so, so great and I appreciate it.

Ernest Mueller: Thank you.

Michael Coté: We’ll see everyone next time.

Disclosure: see the RedMonk client list for clients mentioned.

Categories: Cloud, IT Management Podcast, Systems Management.

Tags: , , , , ,

IBM Pulse 2011 Recap, with Noah Kuttler – IT Management & Cloud Podcast #084

Noah Kuttler

While running around SXSW, I caught up with IBM’s Noah Kuttler to discuss the happenings at IBM’s Tivoli conference, Pulse. Also, be sure to check my trip report from this year’s Pulse – there’s some good discussion in the comments.

Download the episode directly right here, subscribe to the feed in iTunes or other podcatcher to have episodes downloaded automatically, or just click play below to listen to it right here:

Transcript

As usual with these un-sponsored episodes, I haven’t spent time to clean up the transcript. If you see us saying something crazy, check the original audio first. There are time-codes where there were transcription problems.

Michael Coté: Alright, well hello everybody again, it’s another special South by Southwest edition of the IT Management and Cloud Podcast. And we got a guest here, John and I are still here at The Driskill Bar, so you can hear the lovely soundtrack. Why don’t you introduce yourself?

Noah Kuttler: Hi! I am Noah Kuttler and I work at IBM, and I am in Integrated Service Management Marketing.

Michael Coté: You were just saying you had been at IBM like 10 years or so right? Like what do you have been doing that whole time?

Noah Kuttler: Well, I’ve often been called The Wandering Jew of IBM Austin, because —

Michael Coté: Like those purple ivy plants, right?

Noah Kuttler: Pretty much. Well, I seem to have a new manager every other month, but actually I’ve been consistent over the past couple of years working for Cameron, who you probably know.

Michael Coté: Oh! Right, right sure.

Noah Kuttler: He is a great guy, and yeah, I worked in pSeries, I was an Offering Manager for the P630 and for the P610. I worked on SMP projects in pSeries then worked in Deep Computing for about three years, doing business intelligence, everything in marketing from strategy, offerings, channels, you name it.

Michael Coté: Right, right.

Noah Kuttler: Then, moved over to Tivoli organization, I think about three, three-and-a-half years ago and have been working on this integrated service management marketing team, where we are really trying to champion the category of integrated service management and promote that with our customers.

Michael Coté: Why don’t you tell us what integrated service management organization is to the Tivoli organization?

Noah Kuttler: Sure. Many of you folks listening to this have individual Tivoli products. TSM or you have Maximo products maybe and integrated service management is where we talk about service management extending across many things.

It’s still the visibility control and automation that we’ve always been talking about and that seems to resonate with our customers and with folks like you who are analysts, but when we talk about integrated service management, we not only talk about the data center, we also talk about industries, so industry-specific solutions and there is lot of Maximo in there.

Michael Coté: This is I mean the way, correct me if this isn’t the path that it is, but the way I explain this to people is, you know, imagine if everything was IP addressable then, if you can manage a network you can manage everything, essentially what that is.

Noah Kuttler: Exactly and I would even point people to the blog that you wrote post pulse, because you transmitted all of that information very well and probably better than us, but yeah, and everything is transmittable, and then that also leads to something we call design and delivery, which Pete Marshall is working on.

Design and delivery is about well, if everything is IP addressable and everything is intelligent, well then the software and the services that you are creating, you maybe needing to think about creating those a little bit differently, so that development isn’t throwing those things over the wall to ops, and they’re using different tools and different processes.

They’re able to communicate issues back and forth a little bit better.

Michael Coté: I mean, this has been a big theme for — well all of software group for a while, but for Tivoli is the — what do you want to call like industry framework or solution, I mean, it’s had lots of names and it’s basically, I don’t know, I mean the way I look at it is, it’s finding new markets for IBM software brands that are more, that are not, what is it, they are not traditional IT markets.

Another way of looking at it, is if everything is a computer nowadays that — you can do complier stuff, then you can get into that. In the rational brand, you have the buy and sell a lot, which brings them into system stuff, which is doing non-IT stuff and you guys bought — I always call it Maximo, but it was actually MCO is that what it or —

Noah Kuttler: MRO, MRO.

Michael Coté: It was MRO, which got into keeping track of people’s pencil holders, just anything, valves and things like that?

Noah Kuttler: Yeah, and it really is fantastic, because if you think about it, the assets of IT are such, because that’s what was available to time. Your computers are what they manage, but now you have an iPhone, I have an iPhone, these things can be, these things should also be managed. They should also be a part of the enterprise, but then also things like a building, you know, everything in a building can be instrumented and we can start to control that.

Michael Coté: And then, so do you guys have — like what’s the partnership angle when you’re doing this kind of stuff, and the reason I ask this is because, I mean traditionally IBM doesn’t do stuff outside of its own domain, that’s kind tautologically putting it.

Noah Kuttler: Right, certainly.

Michael Coté: Sort of like, you don’t live outside, you live — your home is your house anyways. And so, like in building, I mean I know you guys partner with Johnson Controls and ultimately people like that. So, do you guys sort of have like the bevy of partners that you go with in various things or are you more trying to sort of takeover those things? Like what’s the strategy that you go in there with?

Noah Kuttler: Well, that particular area I don’t know personally, because I’m not dealing with that. I do know that we do have a number of partners like you said, Johnson Controls that we deal with. And it’s kind of a mix, we have a number of different business partners that we work with that all play in different areas and then there are some things that we go alone where we go with our services organization as well, but your point about Johnson Controls, that was a good example of they make the chips that go into buildings and some of that type of thing and we did a partnership with them where we turned Armonk and Rochester into smarter buildings.

Michael Coté: Right, right.

Noah Kuttler: And, yeah, you probably —

Michael Coté: Yeah, and I guess the other thing that — the other premise or theory or whatever your operating theory being that, I hate to use a word like substrate or wide space or something, but there is this area of need for management to software that didn’t really exist before.

Various executives and keynotes kind of a pulse and other kinds of maintenance that when it came to whether it’s managing a building or managing a factory or managing a pin holder, there really wasn’t the ability to manage it before.

Now, that kind of exists, and there is sort of a vacuum of software that yourself and others could kind of fill as well.

Noah Kuttler: Right, well let’s look at it like this. If you think about the budget of any customer or anybody listening your budget that’s a pot of money, it’s not getting bigger, it’s getting smaller, if anything.

IT budgets sometimes are reducing year-to-year, even budgets that are allocated are reducing. If you think about your average building, there was a great speech that President Obama or for us our President the U.S. President Obama gave at Penn State where he was talking about smarter buildings and he had mentioned us there.

One of the statistics he used that 45% of the energy in the United States goes to buildings or halls. So, outside of payroll, buildings become one of the largest expenses to a company.

So, if you think about yourself and you think about your dwindling IT budget, it’s basically just going into the ether on heating and nonsense like that, whereas if you had an intelligent building, you’re doing smarter buildings that might allow you as an IT organization to have more money or to do things more intelligently with the type of services that you offer.

Michael Coté: Yeah, it reminds us of a conversation I had with one of our clients, Syntela who basically they have, what do they have? They have software that helps you sort of monitor and if not monitored directly, you can figure out and estimate how much power usage various servers have and things like that.

Then kind of cross that with how much power you’re getting in, and the whole point being that you want to optimize the power that you’re using. And back when there was the barrel of oil, and whatever it used to be back when everyone suddenly went green freaky, and then it came down, and everyone kind of forgot about it.

Like, he was saying that a lot of the issues that when they talk with some people, that the IT people are kind of like, “Why do we need this for? We don’t pay that bill.” But then he said that there are some stories of people where, they’re like, we’ve got like a petabyte of storage sitting on the loading dock, because we don’t have the electrical capacity to plug it in.

It’s kind of like well, there you go, there is your problem. It’s like — and the point there being that there’s almost and without getting myself down in too many rabbit holes, I’ll line them up here. But, it’s almost as if in order to do your IT job, it may start to become necessary to do these other things, like worry about power management and things like that.

Know that we have to worry about the power coming in here, because then we can’t plug in our drives.

Noah Kuttler: You have to be a citizen of the world per se.

Michael Coté: Right, right.

Noah Kuttler: It’s funny you say that because, before I was with IBM I was with a small software company in New Jersey and we were about 15 people. When I tell you that I did about everything, I can tell you I did about everything.

In fact, in addition to being the marketing director there, I was the exchange administrator, which how those two jobs fall into the same category is beyond me. But, it’s made me hypervigilant to the fact that all these things are important to know about.

So, I remember being on the phone with someone at IBM, and they said to me, “Oh, such and such is free.” I said, “Oh great, then let’s do that.” The woman says, “Okay, I need your division and your department number.” And I said, “Lady, anytime someone asks you for division and department number, it’s not free.” I’m getting billed for it in some way, shape, or form.

So, those types of shadow budgets that people don’t think about, they factor in.

Michael Coté: Yeah. Why don’t we yeah, I know that make sense. It is like, it’s funny that in the previous episode that we had just five minutes ago as it were.

Noah Kuttler: Right.

Michael Coté: We were talking about how people need to have a sense of purpose or kind of be more plugged into the business. And then may be this is another example of it is kind of being aware of what’s going on beyond your cubicle and like how or what you are doing plugs into that and impacts, all right and —

Noah Kuttler: Well, the DC Water guy at Pulse, and I forget the gentleman’s name and I apologize to him, but the customer that we had from DC Water even talked about it with — when they provided a service back to the end customer as well as internally, all of a sudden they had all of these people throwing money at them saying, “Hey, can you do this project, can you do this?” And when you become valuable to the organization by providing them the things that they need, they are going to make sure you are well taken care of.

Michael Coté: Yeah, yeah.

Noah Kuttler: You know.

Michael Coté: Yeah, I mean it just — that’s the challenges of taking that leap of faith. They are doing — we are doing this project is getting like into that point, but it is —

Noah Kuttler: No question.

Michael Coté: That is like — I think there is sort of an intersection of easy things to say and also the helpfulness of it. And I think that’s the thing, that’s a good, the thing that this concept is at that point of, if you are successful at like making whoever you are delivering your service to happy, they are going to ask for more of it, right? It kind of does beg the question of like well, how do I do that or whatever, but it is kind of — there is no arguing about it, if you could pull it off, then it’s going to work for you.

Noah Kuttler: A great consultant once said to me, there are three steps to being a great consultant. It’s understanding the problem, delivering on-time and under budget, asking for more work.

Michael Coté: That’s right, definitely. Now, that makes sense.

Noah Kuttler: Yeah.

Michael Coté: So lets, I mean lets talk about the Pulse Conference itself for a little bit. I mean, what would you describe the agenda of it, like what the themes were or whatever?

Noah Kuttler: The theme was integrated service management, and it really was a valid communicating both the broader story, but you know one of the things that I would point out is that we are not forgetting about the data center customers by any means. What we have done is, we are working on progression paths, and entry points, so that if you are a TPM customer and you’re really just interested in, “I need to get a better virtualization strategy going on.”

We have those solutions and those are available to you, and we actually — the reason I mentioned TPM is because we had a new announcement around Federated Image Management, but that’s not here or there.

Michael Coté: Right, right.

Noah Kuttler: But, I’m sorry, it’s so transparent how much of a marketing guy I am, because I’m just like plug and you know but —

Michael Coté: And that’s — I mean when people go to a conference, let’s say you are going to conference, they want to know about the analysis stuff, right.

Noah Kuttler: Well, and also I was the one that was the cat herder for that list. That list that you probably saw when the 00:13:13 where they showed the list of — I was the one that cat herded that, so that’s why I know that. But it’s also about the broader perspective of service management when you start to think about industry solutions, you start to think about design and delivery and you start to think about things like intelligent network, metering network management.

I was you know roll off of that one, where like real time asset locator for healthcare. Where you are starting to think about services that are offered, that are not traditional IT, but there are things that IT can implement that are going to provide value to the business.

Michael Coté: Yeah. I mean, it’s Internet of thing stuff, right?

Noah Kuttler: Yes.

Michael Coté: That’s the other moniker.

Noah Kuttler: Yeah. And, I really like that as a concept as well.

Michael Coté: Yeah. I mean, to your point of the data center stuff, I mean the thing that I notice is — while on the keynote it was very focused on integrated service management stuff or whatever to be all proper in my phrasing.

Noah Kuttler: Right.

Michael Coté: If you went down to like the 00:14:15 it is like little boost, it was like, you can like throw a rock, or I guess like whatever else you would have. There would be people who are just like, here is image management, here is service things, like all the technical products were actually down on the floor that you just have to kind of go dig them up.

Noah Kuttler: Because that never goes away.

Michael Coté: Right, right.

Noah Kuttler: At the end of the day there is a bill of materials that needs to be addressed in terms of what the customers are using and again, there are some customers that are very gung ho that are saying yeah, we’re going to do real time asset location for healthcare and we are ready to go. There are other customers that just say, “Give me my TSM, let me be happy and move on.”

Michael Coté: And so, while you are the integrated service guy here, like since you did cat herd the other the list of announcements, like can you sort of like go over what those other announcements were?

Noah Kuttler: Sure. There were a number of different product announcements one of the most exciting things that’s happened recently is, where we’ve taken the big fixed products, and those are now officially the Tivoli Endpoint Manager product. So, that was a really nice announcement.

Michael Coté: Yeah, I mean that was a very practical pragmatic bite and that was in 2010, right, when you guys got that. It’s just desktop management patching or endpoints but you know —

Noah Kuttler: Right, and, you know, the thing and I’ll be honest with you, the thing that I love about the acquisitions that we make is the — in addition to new technology and new things that come in from there, we also get great new people. And there are people that come in that provide very unique or different perspectives that we then as maybe longer term IBM or start to learn from and start to incorporate their thinking, so that’s also good to have those folks in there.

Michael Coté: Right, right. So you had the BigFix announcement and well —

Noah Kuttler: Right, the BigFix announcement, we had Tivoli Provisioning Manager, where we talked about a federated image management.

Michael Coté: That’s the thing that — was that the thing that was in beta that —

Noah Kuttler: Oh, I’ll get to that, but federated image management, part of that is there were some — there were two really good cloud announcements. And I’m laughing because when you asked about it, the name was a code name and now it’s another name.

Michael Coté: Yeah, yeah. That’s why I didn’t ask by name, because I think there are many different names for it.

Noah Kuttler: You know, this is not “ask for it by name” type of situation unfortunately. We refer to it internally as high-scale low-touch.

Michael Coté: That’s right.

Noah Kuttler: That’s what’s in beta, and Jamie talked about that in her keynote and really what we are — it kind of says what it is, and is what it says, whereas if you’re doing a cloud environment and you are doing an image rollout, you don’t have time to configure all those things. It needs to be “boom, boom, boom, boom, boom.”

So, high-scale low-touch deployment is about that, making it very simple to rollout and implement those images. Now, the other thing that we talked about was a tech preview of the hybrid cloud integrator that’s based on cast iron technology.

That is about services that are public and/or private and having those as a kind of just a service catalog where you just pull from those, it doesn’t matter if they are public or private they’re all in the service catalog. We also talked about Tivoli Storage Manager for virtualized environments and we have some really good features there in terms of the way we backup with VMware.

It’s a lot more efficient, it’s a lot quicker.

Michael Coté: Then, there was some security stuff, which is something I don’t pay really close attention to, so I often miss but —

Noah Kuttler: Yeah, the security — it was a security intrusion prevention device. It’s a new box, as an old hardware guy, shiny metal always catches my attention and so —

Michael Coté: That’s right or black metal maybe I don’t know.

Noah Kuttler: Yeah, well yeah, exactly the black yeah. But yeah, it actually won an award at RSA. It’s the GX50 700 I believe was the product name.

Michael Coté: Good IBM name, yeah.

Noah Kuttler: Let me tell you. If there is anybody that knows how to name things and I’m not being sarcastic either you know, personal computer, you’re welcome.

Michael Coté: GX2000.

Noah Kuttler: You’re welcome exactly. So, we had a couple of those announcements, we also had some announcements around like I said, real time asset locator. We did a statement of direction around smarter cities, and then also ran smarter buildings, and so yeah, so a number of them we’re starting to think, there’s anything that was —

Michael Coté: Yes, I remember there was basically some virtualization stuff, and there was the high-touch or low-touch high-thing, and I mean that was kind of interesting.

Noah Kuttler: There was a network manager bundle that we had with OMNIbus, and that was also a nice thing. They kind of bundled a bunch of those products together and the nice thing, it’s funny. The nice thing about the network manager is you know, I referred to it on the blog, the intelligent network — crap I always screw up this name, Intelligent Metering Network Management Product.

Michael Coté: There you go.

Noah Kuttler: Which is around smarter — thank you, which is around smarter grids and smarter electricity. That’s one of those, I refer to it as the Reese’s peanut butter cup, two great tastes that taste great together, because you have the Maximo, which is the asset management and you have the network products, which is around the networking.

You put those together, and you have this great product for reading these meters, and the efficiencies on the network for reading those meters at a home site, as opposed to having to send out a guy or a girl that’s being chased by dogs, and God knows what —

Michael Coté: The truck rolls, and all that business.

Noah Kuttler: Oh yes, truck rolls, I love that.

Michael Coté: That was another, I think, I mean, if having followed like all this integrated stuff at Tivoli for like three years or so now. There is a certain lexicon of — there is a kind of like truck roll, CenterPoint Energy, San Francisco always, DC Water now is one, but there is, yeah like similar things that pop up. It’s fun to catalog those.

I spoke to myself and forgetting what I was going to say next, which is always exciting for me, but I mean, what was I going to say? I had one last thing I was going to talk about, terrible, terrible that I have forgotten it.

Noah Kuttler: Oh, I thought terrible was like a code name for something.

Michael Coté: No, no, no, that’s my own project code names.

Noah Kuttler: Okay, well, yeah we have many acronyms at IBM.

Michael Coté: Oh, I know what you are going to say, because there was also, I forget, I think, it was like the business service community, but there is some community site that you guys —

Noah Kuttler: Oh yes.

Michael Coté: You actually launched it, it’s kind of a soft launched a few weeks ago. But it’s kind of like developerWorks for ops people or something.

Noah Kuttler: Danny will kill me, because I forgot about it, but yeah, and the reason I forgot about it, was because it was in — as I look at the chart in my head. It’s on the bottom there under a kind of a cross thing.

Service Management Connect, is a site that we put on developerWorks and Service Management Connect, the reason that that’s important is, this is Subject Matter Experts at IBM, business partners, you as customers, all of these people coming together to collaborate and share content and share technical content.

It’s not just IBM who is providing content, it’s customers providing content, it’s interaction and collaboration, so it’s really building a community.

Michael Coté: Yeah.

Noah Kuttler: And one of the things around this community that’s in service management connect is the Request For Enhancements tool.

Michael Coté: Yeah, right, right, right.

Noah Kuttler: And we’ve been starting to role that out, so customers can vote on features that they want in products, vote them up, vote them down, comment on them, which is a really great feature.

Michael Coté: Yeah, yeah. I mean, it would be great if in the enterprise management space, you guys could help create as lively a community, that for example Spiceworks has a small and medium community.

Noah Kuttler: Right.

Michael Coté: And kind of bring beyond like these forums, bring the layer of functionality of sharing best practices, and technologies, like you were saying, kind of like voting on features, because it is I don’t know, I continually on this podcast complain here and there, but it is hard to find that body of that community around operation stuff. It’s easier to find in the developer world. So, I mean, hopefully that will work out.

Noah Kuttler: Yeah. Business service management was the first area that we’ve launched and we’re going to launch other areas around it. But yeah, it’s one of the things that I found fascinating and Pulse was the — the Tivoli user group that we have online that 00:23:02 is now managing. Then, like our customer lounge, one of the biggest things that people wanted to do was the customer connection thing, where we were putting customers like in oil and gas, finding them other oil and gas customers, so they could sit down and talk to those folks.

Michael Coté: Yeah, SAP has a community like that. I think that’s pretty popular, it’s called the business process exchange or something and you know, it’s always a little dicey when you get people on the same industry who are theoretically competitors swapping how they run their businesses.

Noah Kuttler: Right, but, right.

Michael Coté: And then, there is also some IT — it’s a little more complicated than infrastructure, but I don’t know, it is nice to be able to facilitate talking to peers.

Noah Kuttler: Yeah, in the developerWorks community, that’s something that we’ve been doing for quite some time is kind of opening that up to customers and getting them involved and interacting. And so, I think that this is kind of the next step, and I hope that it’s a community that is engaging.

Michael Coté: Yeah, yeah, you know, yeah, we’ll see, I mean, it takes a lot of work to make that happen, but you guys have the resources.

Noah Kuttler: Certainly, certainly.

Michael Coté: Well, great, well. I mean, you know, you had reached out so, like I had to do this podcast. And I think it was a good idea to like to sit down and kind of rehash it over kind of what was going on there. I think there is always a lot of confusion about what Tivoli is doing talking about waste water management now. Hopefully, it’s helpful to people who care about Tivoli to, kind of, like get new ideas, new explanations of that.

Noah Kuttler: Well and one thing I would say is, that it’s very interesting, so, you know Ivor Macfarlane, right?

Michael Coté: I think so, yeah, yeah.

Noah Kuttler: Okay. So, Ivor runs a simulator workshop that we do in person. Now, one of the things that we were showing at Pulse was this virtual stimulator game.

It’s a game that we developed with G2G3, because they also helped us with the simulator, the impersonator, but it’s this game that we do online where customers have projects that they have to pick. Then they have to figure out what the solutions are that they are going to put in and all of the time they are losing money, they are losing their stake in the field that they are in.

The game kind of will lead people to maybe you want to do one of these workshops. It’s a four-hour workshop, we do it in person, people take different roles CMO, CFO, CIO. What is astounding is, when you come out of the game, you start to have to a realization of how much larger the problem could potentially be.

The way that I talk about it with people is, it’s kind of like twitter people can tell you about twitter till they’re blue in the face.

Michael Coté: You got it steep in the soup.

Noah Kuttler: Until you have that one scenario and for me, the scenario was a certain Telco, who will remain nameless, was billing my mother for three boxes that they never installed for a television service. She was very frustrated, and I said to her, “Mom, I’m going to go on twitter. I’m going to see what I can do.” I put the name of the company up at fail, about a little while later I get a contact form a person there, she says, “Hi! My name is Jenny send me your mother’s information.”

I sent it to my Mom, they get a dedicated rep that’s working with her and yeah, it took some time, but eventually they got it off of her bill.

Michael Coté: Yeah, yeah, that’s not too shabby.

Noah Kuttler: So my mom calls me up, and she is just like shellshocked, she says, “I don’t know what I would have done, if you hadn’t done this.” She is like now I understand what this twitter thing is that you’ve been talking about.

Michael Coté: Yeah, yeah. No, it’s like reintroducing people into the whole scheme of things talking with each other.

Noah Kuttler: Yeah and so yeah, the Tivoli products, and you know working on those in the data center is something that we continue to do, but as our customer start to see their needs go outside of the data center, then we want to have those solutions and we want to have integrated service management across all of that. And so, that’s what we were doing.

Michael Coté: Yeah, now that makes sense. Well, great well thanks for being a guest here.

Noah Kuttler: Oh, no problem. No problem. Thank you. And next time we have to do like over Rudy’s or something local, you know —

Michael Coté: That’s right. We’ll have some food in a hotter place than this. It’s getting kind of cold in here.

Noah Kuttler: Yeah, I was going to say — I think we are sitting like right under the air vent.

Michael Coté: Definitely.

Noah Kuttler: I mean that’s under the —

Michael Coté: It’s kind of 00:27:27 kind of keeps you up.

Noah Kuttler: Is that a how or is that — what’s that hanging from the wall?

Michael Coté: Over here?

Noah Kuttler: Yeah.

Michael Coté: Yeah, it’s a longhorn.

Noah Kuttler: Okay, that is a longhorn hanging from the wall, because we are in Austin and of course that just makes sense.

Michael Coté: You just inherit those and your wife doesn’t want them so you bring it to work. That’s what you do. All right, well on that note, we’ll see everyone next time.

Disclosure: see the RedMonk client list for clients mentioned, including IBM.

Categories: Conferences, IT Management Podcast.

Tags: , , , , ,

The problem with dev/ops culture – IT Management & Cloud Podcast #083

John Willis

Recently, people have been talking about dev/ops as more than technology, but as culture. In this episode, I play a bit of the irate straw-man to suss out exactly what that means in more detail. We recorded this during SXSW 2011 at the lovely Driskill bar, so pardon the background noise.

Download the episode directly right here, subscribe to the feed in iTunes or other podcatcher to have episodes downloaded automatically, or just click play below to listen to it right here:

Transcript

As usual with these un-sponsored episodes, I haven’t spent time to clean up the transcript. If you see us saying something crazy, check the original audio first. There are time-codes where there were transcription problems.

Michael Coté: Hello everybody! It’s a special edition that we are recording of the IT Management Cloud Podcast. We are here at South by Southwest in the lovely Driskill Bar, where dedicated podcast listeners will know we recorded, not you and me necessarily, but I have recorded many episodes in here. So what do you think of the South by Southwest so far, John?

John Willis: Pretty cool, makes me want to live in Austin.

Michael Coté: Well, you actually said you wanted to live in like San Marcos or something, right?

John Willis: Yeah, so it’s —

Michael Coté: Because you are staying down there.

John Willis: Yeah, I am staying there, because I couldn’t get a hotel last minute, so I am staying at a hotel in San Marcos. I actually flew into San Antonio because the price of airfare was half price. On the way there I was thinking, being halfway between San Antonio and Austin might not be a bad gig.

Michael Coté: Yeah, definitely! Like I was saying, there are a lot of people who live up and down I35 there.

So you got here yesterday and ostensibly you are some sort of like IT cloud guy, and as I recall, the South by Southwest is about like Foursquare and Twitter. So how are these things joining together for you? What’s going on here?

John Willis: Oh, jeez, hit me out with a question. I don’t know for any of that stuff, Michael, and by the way, this is John Willis.

Michael Coté: That’s right.

John Willis: johnmwillis.com.

Michael Coté: You have probably been drinking plenty of the water, picking up the —

John Willis: They got a Bloody Mary bar here and it’s only 1 o’clock. So we are doing the Cloudies Award Tuesday night. So I primarily came in for that.

So I had, near the end of last year, Dave Nielsen, who runs CloudCamp had asked me if I would want to put the Cloudies, kind of contribute it — I don’t know if people know me, I run these really just silly Cloudy Awards in 2008-2009. I give out awards for somewhat meaningful, but somewhat silly things, and David asked if we could do it through the CloudCamp.

So he is having a big old party Tuesday night by the Dining Guys (ph), they are sponsoring it. So I am coming in for that, to kind of be the co-host of that. But I looked at the schedule and there was some really cool kind of party events.

Michael Coté: Yeah, like last night we went to the Etsy Ops con fab. I have been trying to use the word con fab a lot. I don’t know what that means.

John Willis: So Etsy was — they did a presentation on how they do continuous delivery and code by design I guess is what they call it.

Michael Coté: It was pretty good. It was detailed with — it could have been a lot more detailed, but it was detailed enough. Then they spoke for like an hour.

John Willis: Yeah, it was enough to cover in an hour. Probably if you have never really kind of seen the gory details of all that stuff, it would seem kind of confusing at a high level. But they went through — Etsy’s John Allspaw, the kind of king of DevOps most people consider, was the guy at Flickr who kind of started, not started, but really drove the multiple deployments today, at Flickr, and really kind of changing the way people look at just deployments in general.

And he has taken a part of the team that was at Flickr and himself, they have really done it to perfection at Etsy. They went over this, kind of idea, they do like 30 deploys a day.

Michael Coté: At Etsy?

John Willis: Yeah. That continuous delivery model.

Michael Coté: Did they say what’s in those deploys, because I mean, I am not an Etsy user, but I don’t feel like I have heard that there are like 30 new big features that they have?

John Willis: No, and that’s the whole thing. That’s the whole idea of this continuous delivery is small chunks of code. A lot of — there is a lot of philosophy behind the continuous delivery model, things — when people see it first they are like, I can never do that, or my God.

When I present — I have been doing some presentation on continuous delivery, and the first thing I do is I ask people, how many people have seen the movie ‘Saving Private Ryan’? People raise their hands, and I am like, remember that first five minutes where you just thought this was the most horrible thing and you were going to walk out of the movie. That’s what I tell them, like be prepared for this when you hear about doing 50 deploys a day.

But yeah, I mean, they do small coaching. It’s an idea of getting completely out of this idea of like building up releases, even like two week releases, and always delivering from trunk and I think like 15 lines of code would be a production deploy.

Michael Coté: I guess, I came in maybe a third of the way through when they were talking about dashboards and monitors a lot.

John Willis: You were eating a burger at that burger joint?

Michael Coté: That’s right, Casino El Camino, and I had to wait an hour for that. It’s a good burger. And I should have gotten a medium rare. It’s a tip, don’t get it medium, get it medium rare, because it’s juicy anyways.

The part of the safety net they went over was as, they have a lot of monitoring and log analysis and stuff going on for all of that stuff. So they are basically deploying knowing that they are going to need to be checking for errors and finding things like that.

The other thing that was interesting about it, and John is probably chuckling to himself a little bit, because after the talk I railed against how it was a terrible talk. But that’s about it.

John Willis: You didn’t say that. You had a lot of questions about it.

Michael Coté: That’s right. But another thing that is clear is that, they use a lot of sort of custom things, because they are using a lot of advanced — well, advanced technology is the wrong word. There needs to be a word for like using MongoDB or using a NoSQL technology or using — and it’s not unsupported. I don’t know what this body of stuff is, but it’s sort of like open source infrastructure that’s not mainstream, right?

John Willis: Yeah.

Michael Coté: They are not using like WebSphere or they are not even using Tomcat for things that vendors would be supporting so they have to fit out a lot of that stuff to monitor on their own. And consequently, they have built, as you were saying, some nice monitoring things like Statsy and other stuff.

John Willis: Well, what’s interesting; a couple of things. The one point I wanted to make about their ability to do delivery. I mean, I think any company that you see that talks about doing this continuous delivery, the first thing they are going to talk about is, there are some really important points like, don’t even try this unless you are going to invest heavily in test driven development, and you are going to really have tight code coverage.

And then some companies even try to start thinking about immune system, like predeploy immune systems and really going all out on kind of behavior driven monitoring, behavior driven or test driven development and all that. So if you have that stuff, then this idea of being able to do that, then you put yourself in a kind of a bulletproof position.

But to your point about just technology in general, it’s funny, I think that it’s — we are seeing kind of — it’s funny, when we first started talking about like open source tools, there was this kind of migration of open source. Early on, we saw things like MySQL and JBoss and stuff like that. And everybody was like predicting the next wave to be the IT infrastructure stuff, and in some ways it was kind of a false start.

We saw Zenoss, and not that those aren’t great products, but we saw this wave, but we didn’t solve anything. What we are seeing now though is this like third wave of not so much product with technology, it’s technology that’s leaking out from large corporations.

Like, for example, one of the things that made Statsy interesting is a time series database called Graphite, that was developed at —

Michael Coté: Yeah, and you have nothing but praise for that; I need to look into it.

John Willis: It’s pretty cool! It was developed at Orbitz. So what we are seeing is this leakage of things that large — in this case it was Orbitz, but large companies like Amazon and Google and all these companies that kind of did their own, they wrote their own solutions from massively scale infrastructure and we are starting to see a lot of variations or leakage of those technologies that they had to build, because there was nothing out there to solve their problem.

Now it’s becoming commoditized. I mean, this is a — to take a program Chef, that’s what we say is, not that Chef came from Amazon, but a lot of our guys came from Amazon. So we like to think that the kinds of things that Amazon were doing, we have commoditized.

Michael Coté: Yeah, and building on that. We have talked about technology from high scale web stuff for a while now, and I think what’s interesting is there are companies trying to figure out how they would apply that to the way they run their business.

For me like that’s kind of an interesting thing to sort out, because it is interesting to think how — wow, that’s a tall Bloody Mary.

John Willis: Yeah, they do a good job here.

Michael Coté: They left about a fourth of a cup space for you to put some tomato juice in.

John Willis: Well, what’s cool is they have got like — I guess because South by Southwest is international, they have got the clamato juice. So man, you put me in heaven here.

Michael Coté: You can take a Michelada, maybe you should try that.

John Willis: Because the only place I ever get like clamato or what they call a Bloody Caesar is in Canada. So I am in heaven.

Michael Coté: Yeah, you should try, I mean, after this one, a beer and you can have a Michelada.

John Willis: Well, the thing is the bar here is, you have got to take a picture, they have got like every — you name it and you’ve got like asparagus — so that’s my lunch, man.

Michael Coté: I mean, you are pretty much set, right?

John Willis: I am just piling it on. So, yeah, just piling in all the vegetables with your Bloody Mary or your Bloody Caesar.

Michael Coté: So anyways, I interrupted myself, because I realized that talking about Bloody Mary would be much more interesting than whatever I was rambling about.

John Willis: Bloody Caesar.

Michael Coté: That’s right. But yeah, that’s the thing that I am looking forward. I just want to see how normal people use these technologies.

(00:09:57)

It’s almost like — and there is a good confluence of the demand for mobile applications to do SaaS based or cloud based things that I think kind of drives the need for that. They didn’t exist so much when these high scale technologies were out there. So if more normal companies want to have a mobile site, whether it’s for their internal employees or external employees, and if they want to have external facing things, then you sort of need to run your stuff this way.

John Willis: It’s funny, because it’s a lot about what DevOps is all about, like is the — a lot of what’s going on now is — I get a lot of questions like how do you do this?

Like you look at an Etsy and another company that I am a big fan of is Wealthfront, used to be KaChing, and you look how they are doing this continuous flurry, and it’s amazing, but it’s like purpose-driven, you know what I mean? It’s like, how do you get a large corporation to change to that and the answer is, it’s hard, because it’s cultural — it’s across the board, it’s not just the tool.

You don’t just like say, okay, you guys go use Graphite now, done, end of story, right? It’s like these guys have purpose, they are a startup, Etsy, those guys are like pretty excited about what they are doing, every one of them.

11:11, the guy who is dumping metrics into the Graphite database, he was up there. They are all pretty damn excited about what they are doing, and I think that’s the secret sauce is, how can the enterprise —

Michael Coté: I mean, would you call that sort of like a passion they have or like what or is it more that they have a more defined — like you were saying they have a purpose, like they have more defined roles of what they are doing?

John Willis: Yes. So I have been reading this guy, like I have been trying to do a little more research on kind of DevOps culture, just because I got into DevOps for the technology, pure, but what became a fascinating part of the discussion of DevOps is that I didn’t think I would get this interested and is the DevOps, the culture part of it, the behavior patterns.

So I have been doing a little research and there’s some guy — I can’t remember his name right now. He is a guy that goes into large corporations and tries to change behavior and leadership patterns, and one of things he says that he tries to —

Michael Coté: Is this one of those five effective habits or —

John Willis: It’s one of those kind of guys.

Michael Coté: One of those guys?

John Willis: Yeah. He has written like a bunch of books. I can’t think of his name right now, but he has got a blog that he runs on leadership on Forbes.

Anyway, so one of the things he talked about that I realized that — so all the stuff I have been learning about like DevOps culture and behavior, then I started reading this guy, taking it from this kind of leadership and large corporations, and the one thing that would seem common is that, you see that one of these you have got the force of this sense of urgency, and they go into big companies and tries to get this sense of urgency. It starts at the top and it kind of explodes down, and I think that’s the thing that startups have.

Startups live and die by the sense — you wake up in the morning — you don’t sleep the whole night, there is a sense of urgency. And as you grow, you start losing that sense of urgency. Like these transitions from — like you are a guy that handles like 15 different things and then you hire a guy that’s going to do marketing and now you only do ten things and then you hire a guy that does. And the sense of urgency starts becoming siloed by definition.

And that’s the beauty of these companies like Etsy and Wealthfront is, they still figure out how to grow by keeping that, whether it’s purpose or urgency, and if you don’t have that, again, like you were asking me like, well, I don’t see much in — I am paraphrasing what you were asking me about the logging and monitoring, so big deal. You collect a lot of metrics and you graph it, right?

Michael Coté: Right.

John Willis: And I was actually fumbling on how to explain, no, it really is a big deal, but I can’t tell you why. But I think it is, it has got to go back to that behavior or the culture that like, if you have got that, then the purpose of — why do you put something like, not to pick on Zenoss, but put Zenoss in and just collect data, big shit. Like, go ahead and have a purpose and then figure out from that purpose or urgency why you want to collect data, now shit happens.

Michael Coté: Yeah, yeah. No. I mean, that’s another nice thing about the Etsy presentation is, they are very application focused, which I mean, correct me if I am wrong, but my perception is, a lot of IT management is — it’s very — this is like the old saw, but it’s very siloed, in that you are not necessarily focused on an application or even a service, you are kind of focused on whatever your part is.

And to have that bigger — that sense of purpose or application, if you will, like we worry about people be on the list things to buy and sell things to buy. Or there is the old cliché about Amazon, the only thing we watch is how much people are buying, that’s our number one metric. Like that is like a nice practical way I think to connect the management and monitoring that you are doing to some sense of purpose, like why do we have all this crap.

(00:14:59)

John Willis: Right. You start from a purpose driven — like the guys at Wealthfront talk about monitoring, but they don’t think of this monitoring for monitoring’s sake, they monitor for behavior or they monitor for business behavior or business goals. They call it Business Goal Monitoring.

Again, it sounds clichéd. There is a lot to it, and I think the key — the more and more I think about it like, I think about the sins of IT software is that we just never focus. We talk the big game about process and people and all this stuff.

I get this famous saying now — famous, I made it up, so it’s famous in my head, but it’s something that you will love I know is that — people were asking me about ITIL. What is ITIL in DevOps? And I said, it’s funny that ITIL is about process over people.

Michael Coté: Right, right, right.

John Willis: Right, no doubt about it. ITIL is like, you are so broken, put this in and at least you won’t be broken. May not be perfect, but at least you are broken anymore.

But what DevOps is about — what’s the beauty of DevOps is, it’s about people first, process second. It is all about the people and then once the — even process. We don’t come in and just say, DevOps is process, rule number one, put this on.

People try to say continuous delivery is DevOps. Well, with like bad culture or like putting continuous delivery model in will be a freaking disaster.

Michael Coté: Yeah, yeah, yeah. Well, to give you a chance to eat a little bit.

John Willis: No, I am good, I am good.

Michael Coté: Let me go on a little monologue. The other thing I was railing about while we were waiting for that burger was how I always get upset about how —

John Willis: You are like — your life kind of revolves around burgers. I mean, it has taken me a couple of years to get this, but like your slide decks have burgers in them.

Michael Coté: I love a good burger.

John Willis: Your metaphors are burgers.

Michael Coté: Yeah, yeah. I think it’s just — I think Lord Sandwich was on. Delicious piece of meat and you get good pieces of bread and you basically have your side, it’s kind of a complete handheld efficient meal, and it’s delicious. And you get French fries with it.

I have a mixed relationship with French fries. I feel like French fries are kind of a crap food. Like I could be spending my time eating something better, and yet, they are delicious. I am not a big fan of the potato. That’s the whole thing.

John Willis: What’s like — yeah, I think I agree on the potato. I mean, you can have a good two pair carrot, and the hamburger is like the top dog. Maybe it’s like Batman and Robin, right?

Michael Coté: Oh yeah.

John Willis: The fries are Robin.

Michael Coté: It’s sort of like — like so for example, let me highlight why I think French fries are — I think French fries are — they take up space that could be taken up by something better. For example, have you ever had like sort of deep fried Polenta Sticks?

John Willis: No.

Michael Coté: See, that’s good. That’s a good sort of thing. I sort of like — I don’t think it would cost anymore to have Polenta instead of like French fries, if it kind of had the same supply chain mechanics behind it, right?

John Willis: Right. It would really screw to say that, but yeah, it would e all right.

Michael Coté: Anyhow, so we were waiting for the burger and I was saying how — I get upset when DevOps people are talking and things are going on, they are like, well, it’s just all about culture. Like DevOps is all a cultural thing, and of course I exaggerate to make a very narrow point. So it’s much more nuance than that.

But what I do and let me think, the reason that I like that is because back in the, I don’t know, late 90s, early 2000, when people were like arguing all hot and heavy about agile development. The same way they early on are kind of arguing about DevOps and talking about it, like the same thing would come up and it would drive me crazy.

You would be talking about like, well, how do we do this and how do we introduce it, and this, that, and the other, and people are trying to figure out like — well, a large part of people were trying to shoot down the idea because they just want to keep doing what they are doing.

And other people are like, I really like these ideas and I am going to go back to work, and it’s just not going to work, and like help me figure out how to make it work.

And then the thing that would — kind of like a dead end of helpfulness would be like, well, it’s really a cultural issue for agile. You have got to change the culture. You have got to — and then as an individual contributor, as a small fry, you are kind of like, so what you are telling me is the CEO needs to come in and mandate it to happen.

Kind of like — and again, I haven’t really gone to DevOps, but in agile world it’s sort of like, if you are telling me I need to change the culture that means, A, I am going to do a lot of work that I am not going to be compensated for. B, I am going to be doing a lot of work. C, I don’t have the power to change culture, like I am basically going to have to do something.

(00:20:01)

And so that’s kind of where my reaction with DevOps come from, and the more nuanced thing is, if culture means, now we are going to spend a lot of time talking about processes and procedures and best practices and how you effect changes and/or we are also going to say, yeah, like the whole organization has to kind of like change the way it thinks about running the business, just like any big organizational change, and that’s really difficult. Then that’s acceptable, definitely.

But I feel like if you just kind of say culture kind of offhandedly, that’s kind of a way of saying, screw you, it’s culture.

John Willis: Yeah.

Michael Coté: But like you were just walking through a bunch of things, that we are like the iceberg under the water.

John Willis: Yeah. So in other words, you are saying what I am saying is a bunch of shit, right?

Michael Coté: No, no, no. And to put it another way, whenever someone says that some sort of technology driven thing requires a cultural change, it just begs the question, okay, what is the way that we change the culture? I always try to avoid begging the question sort of statements.

John Willis: A couple of points I will make. One is, I think one of the things that I learned early on from Lloyd Taylor, who is a DevOp guy. He used to work with Google, he like ran Op for Google. Had some really interesting positions in the Valley. He says, and I firmly believe this, you don’t change culture, you change behavior.

Michael Coté: Right.

John Willis: So if you look at it from like how do you change behavior and what are the things that can force behavior change? One technique I think is this idea of sense of urgency, like leadership trying to drive a sense of urgency. Hey, this project is urgent. By the way, wake up everybody, we are getting our ass kicked for the first time ever in this division.

I think the do now, ask forgiveness later behavior change works. We have seen — in the cloud we have seen classic examples of that. The Best Buy Blue Shirt Nation is a great do now, ask forgiveness later. Those guys went and changed — and they changed the culture. I mean, they put in a Drupal website that made it available to all the guys.

Michael Coté: And this is, correct me if I am wrong, but basically there was a bunch of employee or some employees at Best Buy and they have essentially set up their own community site.

John Willis: Yeah, they got tired of all the storage doing the —

Michael Coté: To sort of swap best practices and —

John Willis: Yeah. And what turned out a year-and-a-half after, the board started looking — going to like, before we put this out, let’s check with the Blue Shirt Nation, see if they —

Michael Coté: Right, and nowadays this would be considered like, oh, this is Enterprise 2.0. I mean, this is like social business essentially.

John Willis: I talked to those guys. I saw an interview of them, I get confused. And they were asked like, what if you had to ask for corporate approval? They were like, never would have happened. The famous ‘New York Times’ story in the cloud where they did like four terabytes and whatnot, whatever it was, like that’s another do now, ask forgiveness later, right?

Michael Coté: Yeah.

John Willis: So there are two ways to approach it. They had phenomenal success, now the culture has changed in ‘New York Times’ that cloud is okay.

We have talked about stories where Tivoli self-service story I have told many times, where these guys just changed the cultural behavior of how monitoring and self-service went.

So I think that’s another approach is, take a project that’s so broken or everybody is so mad at, change it, and then if it works, they will come. The behavior — other groups would be like, wow, how comes those guys are doing so cheap so well?

Michael Coté: Getting into that ask for forgiveness later mentality, I mean, it gets back to what you were saying earlier. You first have to establish a sense of purpose, because you sort of have to know what you are going to do and then ask for forgiveness. Like you can’t sort of — if you are kind of a passive IT person who is just kind of like responding to service requests and responding to tickets, you are kind of — there is not really that opportunity to take a risk and do something. Like it’s almost as if you have to think like, oh, here is something that the business isn’t asking me for.

John Willis: Right.

Michael Coté: Or maybe the business could be asking you for something, and here is a nontraditional way that we could satisfy that request, but just like with you, I mean, the Blue Shirt thing is a good example. It’s almost as if like you have to find someone to come up with a project out of the external channels, just because you are not going to be given the opportunity to do that.

It’s almost as — I mean, this — and this gets to a bigger philosophic question of like, what the hell is the point of a big company if everyone is always telling you to subvert the big company, to do stuff in big company?

But I mean, it is as if — I mean, that’s another cultural thing is, you almost want somehow the big company to kind of have that mentality in its employees is, we are going to establish stable business processes that we know are reliable and make money and we don’t screw with. But there is also some percentage of whatever that we want you to experiment and try new things out, because that’s going to be where we are going to come up with new stuff.

(00:25:03)

John Willis: Well, I think that’s part of the culture too. I mean, there are a couple of other patterns that I was going to mention is, a pattern I see a lot, which seems to work is take an Ops guy and put him in the Dev team. So that’s another one where kind of forcing —

Michael Coté: What do you think of that Bandolera thing, just a little break? So this lady just walked by, and they sell these in Austin, and I think they make them here. It’s basically like a fanny pack that you wear like a Bandolera and it seems — here is the whole issue, we will get back to practices and everything, but this is the South by Southwest special edition.

The whole issue is, you are familiar with the merse, the man purse? I mean, that’s a great idea, like I don’t want to carry around a big gigantic — like I want a purse, purse is wonderful, but you can’t do that. I don’t know. I am not secure enough in my identity that I can carry around a merse.

John Willis: I have got a cure for that.

Michael Coté: What’s that?

John Willis: Flat 50 in short.

Michael Coté: So this Bandolera thing is kind of like, it’s another way to kind of go for that, and I was thinking about it. It seems — and the alternative is the journalist’s vest, the fishingman’s vest, but that’s out too. Basically, the middle ground I have found is a sports jacket. One of the main reasons I wear a sports jacket, other than it kind of like makes people like think that you are better, is it has a lot of pockets in it, you can put stuff in there. Anyways —

John Willis: I am like — my next life, definitely sports jackets, all the way, from 20 on, next life, about 20 I am going to have like a killer set of like those plaid ones and really —

Michael Coté: Oh yeah.

John Willis: Not fancy color ones, but the browner or dark black.

Michael Coté: I think some plaid, I think you would do good in a sports jacket. So I was interrupting about introducing practices and patterns.

John Willis: Well, it’s kind of crossing functions, like in other words, put an Ops guy in Dev and have him like on a dotted line, to like the VP of Engineering, and it causes some interesting changes. I have seen it.

So I think there are ways to kind of — innovative ways that force behavior changes and when it works, then it becomes a groundswell, right? So I think that’s —

Michael Coté: And similarly, in the agile world, I think at about the point where people were running around talking about culture, there was this deluge of books of patterns, like people love doing agile patterns and, again, they were bittersweet — there should be a word that’s bittersweet, but it’s like frustrating sweet, it was like frustrating sweet to read because you would read this and you were like, that is totally the way people need to operate and run.

But it’s also like la la fantasy, like how am I going to — it’s like, how do you go in and get people to care about their dev?

And then the other dead end answer, and this is like a retrospective, sort of like I bet this stuff will come up again, and it even came up during the Etsy thing, the other dead end reply after culture, and then the counter reply to the counter reply as well, you have got bigger problems. That’s the other one, that once I hear that I like go off the wall, because it’s like, you don’t get it, it’s not that I have bigger problems, it’s that those are the problems I have.

John Willis: Here’s the reality, and this is the theme that I have had since the beginning of this, which is, the technology and the opportunities for companies are that, the more you ignore this crap, the more likely you are going to go out of business. And I don’t care who you are, we talk about this all time, there’s a boat that’s going this way and a boat that’s going this way, and back in the Internet boom, it was just the kind of retailers that got sacked, but the guys who did insurance and banking and all those guys, they were like, oh, that could never happen to us, Barnes & Noble versus Amazon, no problem. But today it’s anybody.

I mean, any business is —

Michael Coté: So let me interject some ideas here. So one of the — we are going to record another episode with an IBMer who is coming along here, or at least I am, I don’t know if you are going to stick around, and we are going to talk about IBM Pulse, so we won’t get into that here. But one of the things that I was delighted to hear one of the Pulse guys talking about is they use this term technical debt, which is sort of, 29:40 that’s one of his big things. He has done very well capitalizing on it, if you will.

Anyway, I think you are brushing up against one of your favorite things that I don’t think really has a phrase, but it’s kind of — it’s almost the opposite of technical debt and it’s like —

John Willis: It’s a business debt.

(00:29:59)

Michael Coté: It’s stuff you are not taking advantage of that can make your business better. Whereas technical debt is like technical decisions you have made that are going to hold you back in the future, because you didn’t do the right thing.

If you can measure the second thing, I think technical debt plus the second thing would be a tremendous forcing effect.

John Willis: There is a debt there. Yeah, partly technical debt, partly business debt, whatever it is. So there are companies now that make so much money and the inefficiencies are like, well, yeah, we can change it, but the story was somebody tried to go into one of the large credit card companies and they just hold case for like cloud and agile operations and infrastructure, but it was very compelling, a lot of money being saved, like billions being saved.

They are like, yeah, that’s great, but I can get one of these genius kids here to shave something — do some algorithms on credit card interest rates and make hundred contacts in a day.

And I would say, well, yeah, I mean, that’s the problem that you run up against in these large companies is that in some case —

Michael Coté: IT is kind of insignificant.

John Willis: Right. Or the significance of changing it compared to like other things they can do to make money.

Michael Coté: As they would say, changes in IT don’t move the needle enough to motivate changing a company.

John Willis: Right. But I think that is a form of debt, and it goes back to that Barnes & Noble and Amazon, they woke up like day one, but everybody else was like, well, we don’t have to be efficient, because — you don’t say that, that way, but you take, for example, I haven’t really followed them too much, but Simple Bank. It’s a startup bank. You know what I mean? And sooner or later those inefficiencies, that debt will pile up, and assuming that it will always be this way, based on what we have seen over the last three to five years of technology changes, it’s a dangerous way to play this game.

Michael Coté: I mean, essentially, it’s that you are not fortifying yourself against disruption. You are not protecting yourself against disruption. Like someone is going to come along and disrupt your business model.

John Willis: And by then it’s too late. Then it’s like, how do you react to — then it might be too late to change the game.

Michael Coté: You don’t have to worry about making noise. This is our guest for the next episode. Yeah, and I guess that’s —

John Willis: I am glad you brought that up, because that’s something I have been — there was a discussion about this last week about the whole — the inefficiencies of the enterprise, but does it really matter, but it’s debt that’s piling up.

Michael Coté: Because I feel like that’s the point things come to when you start talking about it’s culture and whatever is — it’s essentially like, tell me the three graphs I can show the management team that tells them to give me control to make these changes.

One of them is like sort of, whatever, technical. The other one is maybe like this idea of whatever it is, business debt or disruption problems. And I don’t know what the third is. But you need sort of something that’s — if it’s going to be cultural change it’s kind of like, oh yeah, the way we are doing this is crap, even though we don’t really care and we need to do something that gives us the main stuff. And then after that it’s the details of —

John Willis: I think the only thing I see, obviously, how to solve the enterprise cruft, if you will, or whatever, I don’t know. It’s a hard problem. Even Ernest Mueller, who is going to be doing a lot of stuff with us this week, at National Instruments, it’s a hard problem. I mean, you have got years of silos and groups, but I think the only pattern that I see working reasonably well is this idea that the kind of siloed new group, you have got a new project that’s on the horizon, treat it the way Amazon and Google, you build a team.

I heard a phrase at one of the DevOps meeting where they said, products not projects. In the enterprise we tend to think of projects. We put a couple of guys on it. Then when it’s done they go off and do something else, and the project is — whereas, no, no, this is a product, and it lives or dies based on its success. You might spend the rest of your life on that product, or you may transfer to another product, but the group is — these silos and then drive those as purpose driven and —

Michael Coté: Yeah. To wrap up this short episode so we can jump to the next one.

John Willis: I have got to get my Bloody Mary too.

Michael Coté: That’s right. I think that’s a good metaphoric way of thinking about it is, maybe you should transition from service management to product management, and like if you can understand that shift, then that kind of encapsulates a lot of what all the cloud and DevOps people are talking about as far as owning the IT that you are delivering and working with Dev people.

(00:35:00)

And basically because the whole point is, the whole thing that you are always trying to get Ops people to do is have a stake in the business. Like not a stake —

John Willis: A purpose.

Michael Coté: Have a stake beyond getting bonuses. Yeah, a purpose, but be involved in it and own it. And if you are just managing a bunch of services, you don’t really have a stake in it if you are managing a product in the same way.

John Willis: Well, the thing I think is — another promising thing I have heard of is this idea like, a lot of what — if you listen to Etsy and then the Wealthfront guys, they attribute a lot of this like what they are doing to that kind of Lean Startup movement, which actually originally comes from Steve Blank’s ‘Four Steps to Epiphany’ and then Eric Ries, who is kind of a disciple of that.

Michael Coté: Yeah, they had a whole track about that yesterday, over at the AT&T Executive Center.

John Willis: Was it a track or was this —

Michael Coté: The hotel that dare not call itself a hotel.

John Willis: I thought that was just — kind of looked like more like a VC hoopla.

Michael Coté: Yeah, yeah, yeah.

John Willis: But anyway, so they all kind of — you can trace them back to that kind of Lean Startup. There really Eric Ries has driven pretty hard, but I think what I heard recently was this idea of maybe the Enterprise Lean Startup. Again, that same silo approach.

The next time the enterprise wants to try out a new product, if you will, start it as kind of a — follow all the traits of these really successful lean startup business and do that internally, funded, given like $2 million and cherry-pick a team, build a silo team. And I think make me king for a day, and you are a large enterprise and you ask me how do I even start to kick the ball for DevOps, I would say, that’s what I would do.

Michael Coté: It’s almost as if you want to go back to like 1983 and reread ‘In Search of Excellence’, basically the whole pitch of that book. And there is a great follow on to that book called ‘In Search of Stupidity’, that was written in the 90s. And the whole pitch of ‘In Search of Excellence’ was, I forget the dude’s name, but now he is one of these famous management consulting types, and he profiled a bunch of companies, and I think one of his major conclusions was that at these big companies, they would run, they were entrepreneurial. Like they would allow people to run little products and projects with DevOps. It made sense.

John Willis: You can’t — like if you look at — again, I am a fan boy of these Wealthfront guys and if you look at what they have done in probably less than two years, and probably less than a couple of million dollars, they are a mini E*TRADE.

Here is the thing, so we talk about how does the large companies change, Damon Edwards says this, and I love this, that E*TRADE woke up one day and when they found out that the crust that Ameritrade was charging their customers was less than their internal cost to process trade. Like that’s when you have to wake up and say, holy shit!

Michael Coté: That’s your business debt or whatever your concept is.

John Willis: Right. It’s like, that’s the day, like holy shit, what are we going to do?

Michael Coté: The disruption onslaught.

John Willis: You would rather be in a position where you are at least like we are running some projects and prototypes that — anyway, well, it’s —

Michael Coté: Yeah, I think we have actually come up with some interesting ideas instead of just talking a bunch of crap.

So we are just going to take a break so you can get your Bloody Mary and then we will see everyone in the next episode, which for us would just be a few minutes.

John Willis: Right.

Disclosure: see the RedMonk client list for clients mentioned.

Categories: Cloud, IT Management Podcast, Systems Management.

Tags: , , ,

Links for March 5th through March 9th

Cormac's truck fleet

Disclosure: see the RedMonk client list for clients mentioned.

Categories: Links.

Thunder in the Clouds – SXSW Panel, March 14th at 12:30

Driskell Widow Maker Statue

I’ll be moderating a panel on cloud computing this year at SXSW, “Thunder in the Clouds.” It’s a pretty general focused panel with Parker Harris (who originally arranged the session, of Salesforce.com) and Javier Soltero (VMWare/SpringSource/Hyperic), but with those two there should be plenty of good conversation. Here’s the abstract:

After many years there now appears to be agreement from traditional software vendors to web-based companies that we are now shifting from the desktop to the cloud. Is there truly harmony in the industry or are there still disagreements over how the cloud is delivered and utilized? This panel of cloud pioneers and experts will debate the state of cloud computing and where its future lies. Where does the cloud stand for consumers vs. the enterprise? How do mobile, social and open trends impact the cloud? And what is the future of the cloud – will one cloud win out over all others or will there be seamless data sharing across multiple clouds of a customer’s choice?

It’d be great to see you there and have you come ask questions. For all your scheduling app madness:

And if you can’t make it, I’m always interested in the questions you, dear readers, would ask or like to see discussed if you were there.

Categories: Cloud, Conferences.

Tags: , , ,

A PaaS IDE? VMWare buys WaveMaker – Quick Analysis

VMware announced it’s acquisition of WaveMaker this morning. VMWare, of course, has the Spring portfolio as its application development group, and WaveMaker being an in-browser IDE for developing Spring-based Java applications looks to be a technological and business fit.

Technologically, VMWare is interested in seeing wider Java-based application development, esp. in the “line of business” area that the easier to use WaveMaker tool targets. As I so often quip, you don’t hear about Rapid Application Development (RAD) anymore, but the need for tools that allow more junior (or just cheaper) programmers to create applications hasn’t ever gone away. I discussed this with Chirs Keene last fall in this RedMonk interview:

More forward looking, WaveMaker is a good fit for a PaaS, having a sort of wiki approach to applications running in the cloud. As Rod Johnson says, “WaveMaker as a service will fit naturally with our cloud computing strategy, including Code2Cloud.”

Related to this is the recently announced Eclipse Orion project which is seeking to make an in-browser IDE. So far, it’s looking interesting – check out this webinar from a few days ago. And, of course, Bespin/Skywriter has had a lot of interest historically in this space.

More

Disclosure: VMWare and WaveMaker are clients, as is the Eclipse Foundation.

Categories: Cloud, Development Tools, Quick Analysis.

Tags: , , , , ,

Your very own OpenStack Cloud – Quick Analysis

  • Rackspace is now offering paid support for OpenStack-based clouds, seeding the team with their acquisition of Anso Labs and partnerships with hardware, cloud management, and cloud servicing companies.
  • Rather than try to take over the entire support market for OpenStack, Rackspace wants others to join in the market, leaving Rackspace to do the higher level support.
  • Dell, Opscode, and Rackspace also announced the beta of an (unnamed?) offering that combines Dell Power Edge C class hardware, OpenStack, and Chef to create bare-metal, bootstrapping clouds.

Cloud Builders

“The one thing we’ve heard [from businesses] is that people need a commercial entity to back an open source project,” Collier says. “Free and open source is great and all, but they want someone they call when they run into problems. Rackspace is the natural company to do that.”

Rackspace announced it’s support plan for OpenStack cloud installs today, Cloud Builders. Here’s the quick summary:

  • Rackspace is starting a new line of business to support uses of OpenStack beyond its own data centers, “Rackspace Cloud Builders.” This support would be anything from training, helping setup clouds, to high level escalation of problems with those clouds.
  • They purchased Anso Labs, creators of a core part of OpenStack and a cloud services company, to help seed this business. Rackspace expects the team to be 30-40 people this year, but draw on the 3,000+ support staff in the rest of Rackspace.
  • Rather than displace other companies who are looking to build businesses on OpenStack, Rackspace would like to be the “third level” support for these folks and others. As Mark Collier put it, “we’re not trying to be Accenture or anything like that.”
  • Momentum around OpenStack continues to be strong as gauged by “big” community members (such as Cisco, Canonical, and Dell) as well as the features road-map (pulling in more hyper-visors, upping storage limits, and providing more networking options). Indeed, RedMonk is asked about OpenStack frequently, both by users and other vendors.
  • In addition to Rackspace’s new team, they’ve put together partners: Opscode, Dell, Equinix, Cloudscaling, and Citrix. Presumably, these folks will help build and service the various clouds (private and otherwise) being supported. See below for an example of that between Rackspace, Dell, and Opscode.

For an introduction to OpenStack, see this RedMonk interview with Rackspace’s Jonathan Bryce (there’s a full transcript if you prefer):

Cloud Body of Knowledge

As part of this new business, Rackspace will be generating a lot of material around best practices, architectures, and other “documentation” and practices for running various types of clouds. I asked if that would be “open,” to which the answer was more or less “yes,” or at the very least, “that’s a good idea.”

RedMonk fields a lot of inquires around cloud best practices and experiences, so there’s obviously a hunger for it. Keeping this material “open” versus close-to-the chest (as big consulting outfits would do) would be very beneficial to Rackspace: the more OpenStack-based clouds there are out there, the wider the pie for their support offering. Additionally, being the “owner” and (potentially) “biggest user” of OpenStack would have plenty of benefits to Rackspace even if they didn’t monetize support.

OpenStack Installer, Dell-based clouds

Building a hyperscale cloud requires a different mindset (we like to call it “revolutionary”) compared to a traditional enterprise virtualized infrastructure. This means driving a degree of simplicity, homogeneity, and density that is beyond most enterprise systems.

The core lesson of these large systems is that redundancy moves from the hardware into the software and applications. In fact, the expectation of failure is built into the system as a key assumption because daily failures are a fact of life when you have thousands of servers.

Bootstrapping OpenStack Clouds

The Dell, Opscode, and Rackspace offering is the launch of a beta program for OpenStack clouds, based, of course, on Dell hardware (they’re actively seeking people to do PoC’s). As Dell sums it up: it’s an “OpenStack installer that allows bare metal deployment of OpenStack clouds in a few hours (vs. a manual installation period of several days).” In addition to using, of course, OpenStack, Dell is looking to use Chef for not only the on-going automation (“configuration management,” if you prefer) and initial setup. Their nicely detailed paper on the topic sums it up:

The most obvious challenge for hyperscale is the degree of repetition required to bring systems online (aka provision) and then maintain their patch levels. This is especially challenging for dynamic projects like OpenStack where new features or patches may surface at any time. In the Dell cloud development labs, we plan for a weekly rebuild of the entire system [Try that on your traditional data center, where changing anything once it’s in production is a frightening task. -Coté].

To keep up with these installs, we invest in learning deployment tools like Puppet and Chef. Our cloud automation leverages a Chef server on the Admin and Chef clients are included on the node images. After the operating system has been laid down by PXE on a node, the Chef client will retrieve the node’s specific configuration from the server. The configuration scripts (recipes and cookbooks in Chef vernacular) not only install the correct packages, they also lay down the customized configuration and data files needed for that specific node. For example, a Swift data node must be given its correct ring configuration file.

Additionally, these bootstrapped clouds use Ganglia and Nagios for monitoring, and the overall architecture goes on the proscribe networking and storage configurations.

While this offering is clearly built on technologies and good domain knowledge, whenever you see the word “beta” and a call for Proof-of-Concepts, you have to be aware that the offering is very early. Essentially, they’re looking to move into much more road-testing of the setup. As Dell’s Joseph George put it, “The code base has evolved enough for telcos, managed service providers, and hosters to start testing.”

This adds yet another method of cloud to Dell’s cloud portfolio. Giving people maximim option for building clouds makes sense for Dell, who’s motivated to do one thing: move hardware. While having lots of options can be confusing (should I get a Eucalyptus, OpenStack, VMWare, Joyent, or some other based cloud?), at the moment it’s better than the alternative of not being technical enough or just choosing one stack. Still, in the near future, Dell will need to stream-line, or at least do a lot of hand-holding to the answer, “what type of cloud should I build?”

Rackspace, of course, would just like to see more people using OpenStack. They have a rare, genuine interest in seeing people use their open source software without trying to up-sell them to commercial offerings. Certainly, they want to provide paid support for some, but they at least don’t speak in the traditional terms of “conversion rate”: how effective are we at making money off stuff we freely give away?

For Opscode, there’s two angles: getting more use of their open source Chef which brings both (more) legitimacy and also hopeful conversions to their commercial offering, the SaaS “Opscode Platform” (hosting your configuration management in the cloud). Many operations oriented people still can’t wrap their heads around putting IT management in the cloud (“what if the network goes down?!”), but there’s a certain appeal to the near-statelessness that you could achieve for managing a (private) cloud with this whole setup. Meanwhile, some are taking that leap, like Rhapsody and 3,000 others who’ve signed up (there’s a free option for 5 nodes of less) to use the Opscode platform.

More

Disclosure: Rackspace, Dell, Opscode, Eucalyptus, VMWare, and Cloudscaling are clients.

Categories: Cloud, Open Source, Quick Analysis, Systems Management, The New Thing.

Tags: , , , , , , ,