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White PaperEnterprise DevOpsBuilding a ServiceOriented Organization

We believe that two of the critical indicators of improved IT performanceare shorter lead times and increased reliability; DevOps enablesimprovements along both of these axes simultaneously.In this paper we will describe why securing these improvements isimportant for the vast majority of organizations, whether they buildsoftware products, provide IT services or outsource their IT requirementsto 3rd party providers.We define what DevOps is and briefly describe the practices that supportit before focusing in more detail on two aspects of DevOps that can beparticularly challenging for enterprises: creating the right organizationalstructure and managing the transformation.For organizational structure we describe why it is necessary to think ofteams within an organization as a set of interacting services. Then we lookat how Kanban is not just an appropriate method for managing the workof these teams, but also a proven, low-risk method for enabling a DevOpstransformation. We conclude with case studies illustrating the results thata successful DevOps implementation can deliver.For some organizations many of the approaches we describe may alreadybe commonplace, whilst for others they will seem revolutionary. Thisreality is consistent with our characterization of DevOps as a journey: oneon which different organizations have travelled different distances and atdifferent speeds. By providing you with key takeaways and action pointswe hope that we can help you to take the next steps on your DevOpsjourney.02Enterprise DevOps: Building a Service Oriented Organization

Contents The DevOps imperative4Why IT performance is critical for success in a digital world The DevOps journey6DevOps is a philosophy for how to build software Organizational structure10Choosing an organizational structure that supports DevOps at scale Organizational transformation14Using Kanban to evolve collaboratively towards DevOps Conclusion18Taking the next steps on your DevOps journey AcknowledgementsEnterprise DevOps: Building a Service Oriented Organization1903

The DevOps imperativeWhy IT performance is criticalfor success in a digital worldEffective development, deployment, operation and maintenance ofsoftware are critical factors for business success for the vast majorityof organizations, leading some to say that “now every company is asoftware company”1. This is borne out by the level of investment thatorganizations are making in IT: 95% of all capital projects include anIT component and 50% of all capital spending is technology related2.And often IT is driving business success. For example, one leading UKhigh-street retailer attributed their entire revenue growth purely to anincrease in online sales3.Responsiveness is no longeroptionalMany organizations now operate in business environments that areunpredictable and changing rapidly4. One key to success in theseenvironments is short lead times for software development, both tokeep up with competitors and to rapidly try out new features andservices with customers. To quote Gartner on this topic: “The digitalworld demands greater enterprise dexterity in creating value fromtechnology.”5In practice, many organizations struggle to achieve this “enterprisedexterity”. Only 25% of enterprises feel their software deployment anddelivery is effective6 and the perception of the business is often that ITis too slow or is working on the wrong things7.For example, after a period of significant growth, Salesforce foundthat their release cycles had become “long and unpredictable” whichled to late feedback on new features8. In another example, one teamat Microsoft “had the worst reputation for customer service they hada five-month lead time on change requests and this, along with theirbacklog of requests, was growing uncontrollably”9. In both of thesecases the need for change was recognized: unresponsiveness insoftware development was hurting their business.Reliability is criticalReducing lead times for software development is important inunpredictable business environments. But for any organization thatdepends on software systems for their business success, reliability isalso critical: in order for technology to drive revenue and profitability,it has to be operational. This was a significant concern for onlinemarketplace company Etsy in 2008 when “deployments wouldroutinely fail with no easy way to restart the services or rollbackchanges” 10. Just like the teams at Salesforce and Microsoft, they alsorecognized the need for change though, in their case, it was pooravailability, rather than long lead times, that was hurting their bottomline. Like Salesforce and Microsoft, they were also successful intransforming their software development capability. We will return toeach of these stories at the end of this paper to understand how eachtransformation was achieved.A new way of consuming softwareservicesThe necessity for reduced lead times and increased reliability doesnot only apply to in-house software development. Organizations thatbuy software services from 3rd party providers will often have exactlythe same needs. However the challenges for these organizations aredifferent.In many cases funding custom development will be replacedaltogether by the use of software, platforms and infrastructure thatare provided “as a service”. In these cases organizations will consumeonly what they need, when they need it, and pay only for what theyuse. Doing this enables them to avoid the costs, timescales and risksassociated with rebuilding something themselves which is alreadycommercially available. Instead they can focus their resources ondevelopment activities where they can add the most value.1 ow-every-company-is-a-software-company/2 devops-matters/3 -delivery-at-John-Lewis.html4 http://ascent.atos.net/devops-or-die/5 Bimodal IT: How to Be Digitally Agile Without Making a Mess, Gartner, 20146 hold-the-key-to-enterprise-mobile-app-dev/7 2-Speed IT, Atos White Paper8 rise-agile-revolution-368526/21-Lack of visibility at all9 Kanban: Successful Evolutionary Change for Your Technology Business, David J. Anderson, ect-management/04Enterprise DevOps: Building a Service Oriented Organization

Where a 3rd party is needed for custom software development,supplier selection will need to focus more on the provider’s capabilityto work collaboratively on incremental features which are deliveredinto production more frequently. Rather than demonstrating that theycan manage a large delivery with fixed scope, cost and timescales,suppliers will need to show a willingness to refine and change scope,cost and timescales within an agile framework agreement. Whereboth sides understand how this relationship can work to mutualbenefit, we have seen this approach be highly successful11.Organizations that contract in this way will also need to learn newways to plan and budget for software development. Their role willchange from signing-off large batches of work at key milestones (e.g.requirements, functional design and user acceptance) to providinga continuous stream of prioritized requirements and workingcollaboratively with the supplier to validate the software as it is built.The urgency for DevOps adoptionAs we described earlier, many organizations now rely on software fortheir business success, and many find themselves operating in rapidlychanging business environments. We believe that the extent to whichthese factors apply to your business can help you understand howurgent DevOps adoption is for you (see Figure 1):Software isfundamentalSoftware issupportiveDifferentiation Through SoftwareFully digitalPrioritized:Bi-Modal IT2-Speed ITUrgent:DevOps EverywhereBusiness Environment DynamismSlow movingPredictableHighly competitiveTo avoid Digital Complacency it is important to consider not only yourcurrent position but where you will be in the future and how ready youare to respond to that change. As a cautionary tale consider that in theyear 2000 video rental firm Blockbuster enjoyed a dominant marketposition (and would have been placed somewhere in the bottomleft of this diagram). However, 10 years later, they found themselveson the bottom right: a traditional company using software only in asupportive role but now operating in a market that was undergoingmassive digital disruption. Unable to respond quickly enough to thatchange they lost market share, ultimately resulting in them filing forbankruptcy14.Our journey from New Norm toDevOpsIn 2009 Atos published “Emerging Business Technology – UnleashingDigital Potential” 15 in which we identified how organizational thinkingneeded to change towards a “New Norm” in order to deliver results ina digital world. Our work applying this thinking with numerous clientsacross many different markets enabled us to refine these conceptsfurther and led to our publication of “2-Speed IT” in 2014. In that paperwe analyzed how the demand for IT has increased over time whilstthe capability to meet this demand has declined, and we outlinedhigh-level approaches to closing this gap based on the successfulresults we had achieved with our customers.Beware:Digital ComplacencyMinimalreliance onsoftware If you do not use software at all (or use it only in a supporting role)then you may not need to implement DevOps anywhere. Butbeware of Digital Complacency: even if you don’t see software as adifferentiator for you today, it may still be a vital component of yourbusiness strategy tomorrow. If software is a differentiator for you but you operate in a relativelystable business environment then you may wish to prioritize andtarget your DevOps implementation using models such as Bi-ModalIT12 and 2-Speed IT13 which can help you identify where the returnon investment will be greatest. If your entire business is built around software (fully Digital) and yourbusiness context is undergoing significant disruption (Digitalization)then implementing DevOps across your entire enterprise will be anurgent concern.DigitalizationFigure 1 : Urgency for DevOps AdoptionThis paper represents the next evolution in our thinking: DevOps as anenabler for business success in a digital world.Urgency for DevOps Adoption Model developed by the AtosScientic Community DevOps trackBimodal IT: How to Be Digitally Agile Without Making a Mess, Gartner, 20142-Speed IT, Atos White 011-315Emerging Business Technology – Unleashing Digital Potential, Atos White Paper1213Enterprise DevOps: Building a Service Oriented Organization05

The DevOps journeyDevOps is a philosophy for howto build softwareDevOps is not a highly prescriptive set of rules. Instead we define it asa philosophy for how to build and operate software that encouragesteams to focus on business value, work collaboratively, deploysoftware more frequently in smaller increments and build reliablesolutions. DevOps promotes continuous improvement across all ofthese dimensions and, as such, is a journey without a final destination16.Business valueWork is managed across the entire end-to-end software value stream(from initial idea through to release and maintenance of featuresthat are meeting the business need). Teams self-organize around thework17, taking full responsibility for the development of the softwareand the operation and maintenance of it in production. By collectingmetrics over the entire value stream, teams can optimize themselvesfor the delivery of business value using paradigms such as The Theoryof Constraints18.CollaborationDevOps aims to break down silos and remove any “us and them”mentality between different departments. In fact, this is where theterm DevOps stems from: the idea that the people developingsoftware and the people deploying and maintaining it in productionshould collaborate closely together, often in the same team, or evenwithout any role distinction. However this increase in collaborationshould not be restricted just to development and operations. Weare seeing the emergence of terms like BizDevOps (to emphasizecollaboration with the business), CusDevOps (to emphasizecollaboration with the customer) and DevSecOps (to emphasize thateveryone has responsibility for security). But these new terms canbe unnecessarily limiting: DevOps promotes greater collaborationbetween all stakeholders including (but not restricted to) end users,customers, security experts, compliance managers, sales people andbusiness executives.Increased collaboration also improves organizational resiliencebecause knowledge is shared across the team (thus reducingdependency on any one individual). One specific technique thatsupports this is pair programming, where developers work on codein pairs, thereby ensuring quality control through peer review isimplemented at the time new code is being written (and avoidingrework). In the case of Extreme Programming all code is written in thisway and team members rotate who they work with every day.Frequent deploymentBy promoting more frequent delivery and deployment of software,DevOps enables more business value to be delivered faster19.Deploying more frequently enables rapid feedback from endusers about how features are being used and what new featuresare required, which can then be used to validate and inform futuredevelopment activities. One example of this approach is ExperimentDriven Development supported by A/B testing (where differentversions of software are live in production at the same time and usagepatterns are monitored). Another example is IBM’s Design Thinking20which also aims to create a rapid feedback loop between end usersand system designers. One positive outcome of these approachesis an end to throw-away proofs-of-concept: rather an initial versionis created and then, if it delivers value, continually evolved based onfeedback. This avoids costs because you do not need to build thesame thing twice (once as a prototype and then again for real usage).Deployment PipelineOne technique that is heavilyassociated with DevOps is having adefined and highly automated methodof moving a change from the point atwhich a developer has finished codingit through to it being in production andavailable for all users.To effectively support DevOps theDeployment Pipeline should: Be highly automated Detect errors early (both throughautomated testing and monitoring ofthe software in production) Reduce the risk of a deploymentcausing downtime Enable straightforward roll-back incase of -everything/Kanban from the Inside: Understand the Kanban Method, connect it to what you already know, introduce it with impact, Mike Burrows, 201418The Goal: A Process of Ongoing Improvement, Eliyahu M. Goldratt and Jeff Cox, nking/161706Enterprise DevOps: Building a Service Oriented Organization

To support frequent delivery and deployment, many activities areextensively automated: testing, code inspection, software build,deployment and monitoring of the software once it is in production.The extensive automation required for successful DevOps is oftensupported by the use of cloud based tooling and especially IaaS(Infrastructure as a Service) and PaaS (Platform as a Service). Forexample, in one case we have worked with clients to setup a PaaS witha self-service portal to automatically provision environments for thedevelopment, delivery, testing and deployment of applications in orderto reduce lead-times.ReliabilityDevOps places a strong emphasis on delivering software that isreliable in the broadest sense: a combination of meeting the businessneeds and being available. Practices such as Peer Review and TestDriven Development help to ensure that reliable software is developedin the first place. Building Self-Healing Resilient Software (described inTable 1) keeps availability as high as possible even if issues arise withthe software itself or the underlying infrastructure: some organizationseven intentionally create failure scenarios in production on a randombasis in order to incentivize teams to build fault-tolerant systems21.ITIL and DevOpsWe do not consider that ITIL and DevOpsare contradictory approaches. We seealignment in many areas (for exampleITIL’s Continual Service Improvement).However, we do recognize that the wayITIL is often implemented in practicemeans that it can be associated withoverly bureaucratic processes (suchas every change needing approval at aChange Advisory Board) which are notconsistent with the DevOps philosophy.Practices, technology and toolingThere are a number of practices that support DevOps which havebeen extensively documented and are well supported by technologiesand tools. We believe that some of these can be classed as “BestPractices” for software development: they are widely regarded as thebest approach and are practices that organizations should be usingnow (see Table 1). Others we have classed as “Next Practices”. Thesepractices are already being used successfully by many organizationsand we expect that many will become Best Practices in the next 2-3years. These are practices that organizations should be evaluatingtoday and planning to use in the future. Evaluating and adoptingthese practices (and the supporting techniques and tooling) canbe achieved through a combination of consultancy, training andcoaching. The fundamental approach will be similar whether anorganization has 5 employees or 50,000.Where larger organizations have a unique challenge is how theyorganize themselves to enable DevOps and apply this at scale. This isthe topic we will cover next.DevOps Word Cloud by Atos Scientific Community DevOps mlEnterprise DevOps: Building a Service Oriented Organization07

Best PracticesPracticeDescriptionSupporting techniques(listed alphabetically)Example supportingtechnologies/tools(listed alphabetically)Key DevOps enablerContinuous IntegrationFrequent integrationof code into a sharedrepository which is verifiedby an automated build.Branch by AbstractionBuild AutomationFeature BranchFeature ToggleTest AutomationTrunk BasedDevelopment Frequent deploymentContinuous DeliveryDelivering every changeto a quality assuranceenvironment and ensuringbusiness applicationsand services function asexpected through rigorousautomated testing.IaaSInfrastructure as codePaaSAlien4cloudAnsibleAWSAzureChefCloud FoundryDockerGoCDKubernetesOpenShiftPuppetFrequent deploymentTest Driven DevelopmentWriting automated testsbefore writing code.RefactoringMocking frameworksxUnit familyReliabilityPeer ReviewPeer review of code andtest cases.Pair ProgrammingPull RequestsBitBucketGerritGitHubPhabricatorReview BoardCollaboration08Enterprise DevOps: Building a Service Oriented Organization

Next PracticesPracticeDescriptionSupporting techniques(listed alphabetically)Example supportingtechnologies/tools(listed alphabetically)Key DevOps enablerContinuous DeploymentAutomatic deployment intoproduction of changes thatpass all automated tests.Blue/Green DeploymentCanary ReleasesDark LaunchingDeployment PipelineIaaSInfr

The DevOps journey Frequent deployment By promoting more frequent delivery and deployment of software, DevOps enables more business value to be delivered faster19. Deploying more frequently enables rapid feedback from end-

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