STRATEGY FOR MARKET ENTRY

HPS DATA CENTER INFRASTRUCTURE

MANAGEMENT SOLUTION

PGSEM FINAL PROJECT

Faculty Guide: Prof. S Raghunath
STUDENTS:
Saayantan Roy [1012051]
Samuel John
[1012053]

Premise for Differential Firm

Performance
STRATEGY
matters

Competition
Management of
firm
Firm
characteristics

Leads to
Competitive
advantage
Privileged
Resources
Privileged
Position

CHOICE
matters

LEADERSHIP
matters

It is the leaders of
the organization
who make the
choice.

Differential
choices made
by firms
Balancing
tradeoffs

What are the drivers of

Strategic Choice?
Sensing and
Seizing
OPPORTUNITIES

Defining and Embedding

AMBITION

Building and Leveraging

ADVANTAGE

What is the opportunity?

Evolution of Data Centers

Enabler

Source of Competitive Advantage?

Need for Management

solutions
Avoid sprawl (Optimize the usage of
hardware and space)
Sky-rocketing energy costs
Meet SLAs
Dynamic workload assignments and reallocation.
Private cloud and burst in to public cloud

Existing problems
Disconnect between management
solutions
IT and Facilities disconnect
No integrated view of data center

WAY FORWARD DCIM?

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DCIM Solution stack

Quantifying the Opportunity

What do the industry analysts

say?
According to Markets & Markets
The global DCIM market is estimated to
grow from $307 million in 2011 to $3.14
billion in 2017

According to IDC:
"DCIM's combined software and services
revenue will grow from $179.4 million in
2010 to reach $557.7 million by 2015.

According to Gartner:
By 2014, Data Center Management tools
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and processes will become mainstream

Leveraging the HP Advantage

HP commands an impressive market share
of
Servers
Storage
Network equipment
Power Distribution Units (PDUs)
HP provides
Management software for the hardware
Support and customization services
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AMBITION
The HP DNA Hardware Company with
IT INFRASTRUCTURE at its core
HPs Ambition
Expand the CORE with SOFTWARE, add
value via SERVICES and ultimately
provide an end to end SOLUTION

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Is DCIM critical part of HPs

AMBITION?
How DCIM fits in with HPs ambition
- Software that enhances the core
- Services and customization add
further value
However the future growth depends on
end to end solutions
- BIG Data
- Analytics
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Challenges

Limited expertise in power and cooling

Who knows better?
Evolving standards in power and cooling
Potential target for acquisition?
Break the best in class buying

Recommendation
Become a complete DCIM player
Acquisition or Strategic partnership with a
facilities company
Build and extend support for 3rd party
hardware
Provide Integrated management of Solution
deployed in the data center (eg. BIG Data /
Analytics / Telco etc.)

Educate the Customers - Best in Class

Pricing: Free with HP h/w, separate license
to manage non-HP gear

A sustainable advantage?
Valuable: Will drive hardware sales
Rare: Vast Portfolio and multiple offerings
Non-Imitable: Scale, financial strength
Non-substitutable: Data centers are here
to stay

THANK YOU

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