Download The Truth about Networking OPEX

March 25 – 27th, 2014 І Orlando, FL
The Truth about Networking OPEX
Bryan Marklin
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March 25 – 27th, 2014 І Orlando, FL
The Truth about IT OPEX
How Avaya is changing the game
©©2014
2014Avaya
AvayaInc.
Inc.Avaya
Avaya– –Confidential
Confidential& &Proprietary
Proprietary
DoDo
not
not
duplicate,
duplicate,
publish
publish
oror
distribute
distribute
further
further
without
without
the
the
express
express
written
written
permission
permission
of of
Avaya.
Avaya.
#AvayaATF
#AvayaATF
Experts Say:
“IT budgeting is both art and science,
combining financial management expertise
and executive judgment”
Gartner, 2012
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3
The Networking “Pie”
Sally just took
12.5% of the
pie to procure
her network!
Our experience and most experts agree- 10-20% of the “Pie” goes
towards evaluating and implementing a network…
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4
Where does the money go?
>40%
of OPEX budget goes
towards labor
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5
A significant amount goes to churn activities




Configuration changes
Scripting
Change control & fallback
Overtime
Is this really the best use of your top talent?
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6
The Simple Truth
Networks are largely managed
and operated as they were
over ten or more years ago
Brute force, CLI, scripts, spreadsheets
and chasing spanning tree or OSPF
gremlins is more often than not, the
norm.
…why?
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7
Rome wasn’t built in a day… neither was the “network”
The “Shaky” protocol stack
Ethernet has been built
upon “one floor at a
time” Adding on when
necessary
Multiple functions to
support:
Loop prevention, L2
& L3 forwarding,
management,
virtualization &
multicast
Number of control planes
Instability
Stability
Protocols run independently
& are
provisioned and
managed separately. This
can cause flapping and
instability.
802.1
Good Intentions with Unintended Consequences
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8
But the Nagging Question is…WHY?
• Why are we still doing moves, adds & changes manually?
• Why do we “live with” unstable networks causing application
downtime?
• Why do we build “overlay” network for critical applications?
• Why, when OPEX =/> 80% budget, do we settle for
complexity?
• Why, when labor is the largest line-item expense, do we make
it so labor-intensive to plan, configure & maintain a network?
Where’s the ‘Executive Judgment’ side of IT budgeting?
© 2014 Avaya Inc. Avaya – Confidential & Proprietary
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9
Perhaps it’s Time For a Change…
WHAT IF?
You could reduce time to service to 1/10 of the effort
Conduct adds moves and changes in minutes not weeks
Significantly simplify change management & reduce overtime
Deliver sub-second resiliency for all services (even multicast)
Streamline the number of protocols in the network
Completely eliminate Spanning Tree (or localize it)
Deliver scalable and reliable multicast without PIM
Eliminate core VLANs and turn up services at the edge only
Easily separate traffic regulatory / security (PCI compliance)
© 2014 Avaya Inc. Avaya – Confidential & Proprietary
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10
Avaya Fabric Connect
A new way to design, manage and operate networks
 Shortest Path Bridging: One of the only protocols co-developed by
IEEE and IETF
 A Higher Level of IT Agility and Network Survivability
 Combines the Best of Ethernet with the Best of IP
 Forwarding is based on an Ethernet ISID; essentially a next generation
VLAN which is more scalable & secure
 Control plane is based on IS-IS routing
 Endorsed by major networking vendors
 3 public interoperability tests complete with the latest at Interop 2013
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11
Revolutionizing the “old”…
OAM
One control plane
One protocol
supports all
functions:
Loop prevention, L2
& L3 forwarding,
management,
virtualization &
multicast
Stability
SPBm
Network “Constructs”SPB
Single protocol also greatly
simplifies provisioning,
management and time to
service
802.1
Rather than adding on further, 802.1aq provides the benefits
in a single protocol while massively increasing scale
© 2014 Avaya Inc. Avaya – Confidential & Proprietary
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12
To reduce IT OPEX
Fabric Connect Difference
Corresponding OPEX saving
Reliability Single protocol eliminates
flapping & contention between protocols
resulting in faster restoration (~50ms)
Eliminates IT intervention – No
application impact or need to restart
processes manually
Simplicity Provision end points only, no
need to touch the core
Fraction of Labor Effort & Cost – Inservice maintenance; auto discovery of
new nodes and new links
Scalability Supports massive scaling
natively (16M ISIDs)
Eliminates Complexity & Labor
required to add L3 ports and/or
implement MPLS to increase scalability.
Manageability Single protocol requires
a fraction of the effort.
© 2014 Avaya Inc. Avaya – Confidential & Proprietary
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Reduce time to service to 1/10th;
Faster and/or Immediate time to service!
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13
And make a difference to your bottom line…
Very Small Sized Network
Small-Mid Sized Network
Labor costs to provision
4 switches including ToR
Labor costs to provision
6 switches including ToR
Cost of VLAN
Fabric Connect
STP/MSTP
Per add/change
Annual Cost
Cost of VLAN
$5.72
$1,430
Fabric Connect
$23.90
$5,896
STP/MSTP
© 2014 Avaya Inc. Avaya – Confidential & Proprietary
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Annual Cost
$5.72
$4,004
$40.94
$28,660
WHERE WOULD YOU
INVEST AN EXTRA
$24,000 A YEAR?
75% REDUCTION
IN ANNUAL COSTS
Assumptions:
1. VLAN changes per month 20.8 (based on 250 annually)
2. Labor is based on a skilled (CCIE type) network engineer. Annual
salary ~$94,000 = ~$45 per hour
3. Time to add VLAN from ToR to edge:
• Fabric Connect - 7.6 mins ToR & edge only
• STP/MSTP - 31.8 mins ToR-agg-core-edge
• Time to provision based on Miercom results
Per add/change
Assumptions:
1. VLAN changes per month 58.3 (based on 500 annually)
2. Labor is based on a skilled (CCIE type) network engineer. Annual
salary ~$94,000 = ~$45 per hour
3. Time to add VLAN from ToR to edge:
• Fabric Connect - 7.6 mins ToR & edge only
• STP/MSTP - 54.4 mins ToR-agg-core-core-agg-edge
• Time to provision based on Miercom results
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The Fine Print (Assumptions)
1. Configuration changes per month and annually
2. Labor is based on a skilled (CCIE type) network engineer. Annual
salary ~$94,000 = ~$45 per hour, .75 cents per minute
 I know, your CCIEs make more than $94k a year!
3. Time to add VLAN from ToR to edge:




STP/MSTP Edge/ToR:
STP/MSTP Agg/dist:
STP/MSTP Core:
Fabric Edge ToR:
4.6 min each
11.8 min each
10.8 min each
3.8 min each (less commands needed)
4. Times to provision based on published Miercom results


Fabric Connect provisioned at edge (ToR & edge) port
STP/MSTP provisioned at each switch it could traverse
© 2014 Avaya Inc. Avaya – Confidential & Proprietary
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15
The larger the network, the better the savings!
Very Large Sized Network
Edge
Dist
Core
Agg
Labor costs to provision
74 switches including ToR
ToR
Cost of VLAN
Per add/change
Fabric Connect
STP/MSTP
Annual Cost
$5.72
$6,840
$306.40
$367,685
WHERE WOULD YOU
INVEST AN EXTRA
$360,840 A YEAR?
Users
Apps
© 2014 Avaya Inc. Avaya – Confidential & Proprietary
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Assumptions:
1. VLAN changes per month 100 (based on 1200 annually)
2. Labor is based on a skilled (CCIE type) network engineer. Annual salary
~$94,000 = ~$45 per hour
3. Time to add VLAN from ToR to edge:
• Fabric Connect - 7.6 mins ToR & edge only
• STP/MSTP – 408.5 mins ToR-agg-core-core-agg-edge
• Time to provision based on Miercom results
#AvayaATF
16
What if I do more than 100 changes a month?
All Networks- (Data Center and Enterprise)
Fabric Connect Network
Config changes
100
300
500
800
Month
$570
$1710
$2850
$4560
Per Year
$6,840.00
$20,520.00
$34,200.00
$54,720.00
Month
$30,640
$91,921
$153,202
Per Year
$367,685.25
$1,103,055.75
$245,123
$2,941,482.00
Traditional STP/VLAN Network
Config changes
100
300
500
$1,838,426.25
800
Your savings increase!
© 2014 Avaya Inc. Avaya – Confidential & Proprietary
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17
Other OPEX Factors Worth Consideration
 Change Control






Change planning prep & meetings
Change scripting
Change fallback scripting
Overtime for the actual change
Loss of productivity (engineers out after change)
Related application & systems support (bringing up/down)
 Unplanned Network Outages
 It is estimated that human error causes between 37% (Yankee) & up to 80%
(Gartner) of network outages (many times due to changes gone bad!)
 Lost revenue or productivity due to outage
 Change lag time
 90% of all IT projects are delayed or cancelled
 2 weeks to 2 months to implement changes
The Gartner Group estimates that the average cost of network downtime is $42k per hour!
The average Data Center outage cost is $5,600 dollars per minute! (The Ponemon institute)
What do these cost your organization?
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18
Real Life Proof Point …
The largest temporary network in the world!
•
•
•
•
Interop 2011- Vendor A sent 20 network engineers to hot
stage
Interop 2012- Vendor B sent 25 network engineers to hot
stage
Interop 2013- Avaya sent 3 network engineers to hot stage
Interop 2014- Hot Staged in record time and ready to go for
March (Under 3 Days!)
“Four system engineers completed the network installation in three days - 1/10 the resources of
previous events. Then, for the next five days, the show tested the mettle of Shortest Path Bridging …
Avaya Fabric Connect met the challenge without a single incident related to the Avaya solution. Layer
2, Layer 3, Unicast and Multicast services ran flawlessly over Avaya Fabric Connect the entire event.
Mission accomplished.”
“This year's InteropNet demonstrated that, ideologically motivated
debating points aside, SPB just works.”
© 2014 Avaya Inc. Avaya – Confidential & Proprietary
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19
The Experts Say…
Trying to reduce the TCO of a data center through savings on network
hardware is fools gold as network infrastructure accounts for less than
4% of overall data center spending. Rather, IT leaders should focus on
technologies that can streamline or automate processes to reduce the
operational costs in the data center. Currently, Opex costs account for
about 40% of data center TCO. Even a small reduction in Opex can
have a big impact on overall costs.
Zeus Kerravala
ZKResearch
© 2014 Avaya Inc. Avaya – Confidential & Proprietary
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20
Takeaway
 If your network vendor isn’t talking to you about really
reducing your OPEX, you should talk to Avaya
 Revolutionizing networking with Avaya Fabric Connect.
 A new way to design, manage and operate networks
 Significant OPEX reductions
© 2014 Avaya Inc. Avaya – Confidential & Proprietary
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21
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BEST OF ATF
SPEAKER AND TEAM AWARD
BE SURE TO
TWEET YOUR FEEDBACK
ON THIS PRESENTATION
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Winners will be announced at closing of event
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Network Outage Flow Chart
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