converged infrastructure needs and vendor performance, a management insight technologies’ report,...
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Converged Infrastructure Needs and
Vendor Performance
Understanding evolving needs of IT infrastructure decision-makers from enterprise organizations in the converged infrastructure market and how CI vendors are meeting those needs
December 2013
Management Insight Technologies
Converged Infrastructure Needs & Vendor Performance
© 2013 Management Insight Technologies
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Table of Contents Executive Summary ....................................................................................................................................... 3
Research Methodology ................................................................................................................................. 3
Definition of Converged Infrastructure ........................................................................................................ 3
Triggers for Deploying Converged Infrastructure ......................................................................................... 4
Legacy Infrastructure Compatibility Drives Vendor Selection ...................................................................... 5
CI Poised for Expansion, Upgrades and Wider Scope ................................................................................... 6
CI Implementation Drivers & Vendors Deployed .......................................................................................... 7
Perceived Competitive Positioning of CI Vendors ........................................................................................ 8
About HP Converged Infrastructure Solutions ........................................................................................... 12
About Management Insight Technologies .................................................................................................. 12
Converged Infrastructure Needs & Vendor Performance
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Executive Summary
Reducing costs, building a foundation for the cloud and increasing agility are among the top objectives
that Converged Infrastructure is being deployed to address.
Six of seven organizations that have adopted CI plan to expand or upgrade their CI solutions in the next 12
months.
System functionality and flexibility to meet needs are the top 2 most important brand selection attributes
when IT decision-makers are considering CI vendors.
In perceived performance ratings of CI vendors by IT decision-makers, HP rates higher than other vendors
on most metrics.
Research Methodology Management Insight Technologies, an independent market research company commissioned by HP, conducted
interviews via an online survey instrument of IT decision-makers who have system-wide authority for technology
solutions. By intended design of the survey respondent requirements, 73% had implemented Converged
Infrastructure (CI) solutions in the past 24 months, and 27% intended to use CI in the next 12 months. The total
respondent base was 476: USA (207), UK (104) and China (165). All respondents were from enterprise
organizations as defined by 1,000+ employees in the USA and 500+ in UK and China. Interviews were completed in
August 2013.
Definition of Converged Infrastructure
Throughout the survey, respondents were asked to use the following definition for Converged Infrastructure:
Converged Infrastructure Needs & Vendor Performance
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Triggers for Deploying Converged Infrastructure CI is being used most frequently to meet such business objectives as reducing capital expenses and increasing
agility. When it comes to IT objectives, lowering TCO and building a foundation for the Cloud are the most
frequent uses for CI. (See figures 1 and 2).
For which of these needs or objectives are you using converged infrastructure?
Figure 1: % Using CI for Business Objectives
85%
85%
83%
80%
79%
78%
Reduce capital expenses
Increase agility
Improve operational efficiencies
Reduce operating expenses
Improve employee productivity
Improve customer experience
91%
90%
82%
82%
82%
80%
Lower TCO
Build foundation for the Cloud
Reduce IT operational costs
Improve IT utilization
Create a flexible IT foundation
Improve quality of service
Figure 2: % Using CI for IT Objectives
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Legacy Infrastructure Compatibility Drives Vendor Selection
Compatibility with existing infrastructure and system functionality are the highest impact drivers among
IT decision-makers when they are selecting a vendor for CI solutions. Service and support, providing a foundation
for cloud computing and other factors are considered “price of entry” capabilities for prospective CI vendors
among IT decision-makers. (See figure 3).
We would like you to tell us how important these items are to your organization in selecting a primary vendor
of converged infrastructure solutions.
Figure 3: Vendor Decision Drivers
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Total
CI Users 73%
Total
CI Intenders 27%
CI Poised for Expansion, Upgrades and Wider Scope Most organizations that have adopted CI plan to upgrade or expand their CI solution. Among organizations already
deploying CI, six of seven are considering expansion or upgrade in the next 12 months. (See figure 4).
Based on the definition of converged infrastructure we have provided, which of the following best describes your organization’s approach to converged infrastructure?
Figure 4: Status of CI
The scope of CI utilization within organizations is expected to increase in 12 months, from mostly national or
site-specific to more international or enterprise-wide deployment. (See figure 5).
To what degree is converged infrastructure (CI) deployed across your organization?
To what degree do you intend to deploy converged infrastructure (CI) across your organization within the next
12 months?
Figure 5: Degree of CI Deployment – Today vs. Expected
16% 28%
3%
6% 17%
34%
48%
25%
15% 6%
CI deployment today
Expected CI deployment in
next 12 months
Don't know
Single site/location
Several sites/locations, within one country
Several sites/locations across countries
Specific LOBs
Enterprise-wide
10%
63%
27%
Adopted CI solutions in past 24 months, not considering upgrading or expanding
these solutions in next 12 months
Implemented CI solutions, are considering upgrading and/or expanding these
solutions in next 12 months
Considering first-time adoption of converged infrastructure solutions in next
12 months
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HP IBM Cisco
Improve operational efficiencies
Reduce operating expenses
Improve customer experience
Drive growth
Improve employee productivity
Reduce capital expenses
Increase agility
Integrate acquired, merged assets
Green, energy-saving initiatives
Regulatory or industry compliance
Vendor Usage*
Higher than avg.
usage of brand
Average usage of
brand
Lower than avg. usage
of brand
CI Implementation Drivers & Vendors Deployed Top business objectives driving CI implementations are improving operational efficiencies, reducing operating
expenses and improving customer experiences. Vendor deployment rates vary based on the objectives. HP is
deployed on a higher-than-average rate, for instance, when the organization is deploying CI to improve customer
experiences or reduce capital expenses. (See figure 6).
Which of the following are important needs or objectives driving your organization’s overall business [AND]
which vendor(s) is your organization using [or considering] to provide converged infrastructure solutions?
Figure 6: Implementation Drivers & Vendors Deployed to Meet Objectives
*Vendor usage = use of brand among those who say objective is important, as compared to total use of that brand.
Biz
Ob
ject
ive
Imp
ort
ance
Biz
Ob
ject
ive
Imp
ort
ance
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HP IBM Cisco
System functionality
Flexible solutions to meet our needs
Service and support
Compatibility with existing infrastructure
Solutions suited to enterprises
Support of virtualization
Ease of use
Overall system cost
Foundation for cloud computing
Integrated management of overall system
Comprehensive inventory of sys components
Best-of-breed components
Positive history with vendor
Recognized leadership in CI
Vendor Usage
Perceived Competitive Positioning of CI Vendors Based on CI vendor ratings by IT decision-makers, HP is perceived as ahead of the overall competition on the four
most important CI brand selection attributes. (See figure 7).
Please rate [the vendor] using a scale of 1 to 9, where 9 means that you “strongly agree that this attribute
applies to [the vendor] and 1 means that you “strongly disagree that this attribute applies to [the vendor].
Figure 7: Competitive Vendor Positioning (1 of 4)
Biz
Ob
ject
ive
Imp
ort
ance
Higher than avg.
across brandsAverage across brand
Lower than avg.
across brands
Att
rib
ute
Imp
ort
ance
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As part of the research analysis, the CI brand selection attributes were grouped into overall categories. Data maps
using the categories were developed, and the vendor ratings by the IT decision-makers were plotted within the
maps. Figure 8 shows the following overall category:
*Technical Leadership: Best-of-breed components; Foundation for cloud computing; Recognized
leadership in CI
This map shows how the top CI vendors are perceived by the market on Technical Leadership. The size of each
sphere represents the proportion of organizations that view a brand as their primary CI vendor. CI customers
perceive HP as slightly superior to Cisco on Technical Leadership.
Figure 8: Competitive Vendor Positioning (2 of 4)
HP
Cisco
IBM
Low High Technical Leadership
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Figure 9 shows the following two overall categories:
*Seamless Usage: Ease of use; Service and support; integrated management of overall system; System
functionality
*Experience with Vendor: Positive history with vendor
This map shows how the top CI vendors are perceived by the market on Seamless Usage and Positive History with
Vendor. The size of each sphere represents the proportion of organizations that view a brand as their primary CI
vendor. HP is seen as the market leader on Positive History with Vendor and Seamless Usage.
Figure 9: Competitive Vendor Positioning (3 of 4)
HP
Cisco
IBM
Seamless Usage
Po
siti
ve H
isto
ry w
ith
Ven
do
r
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Figure 10 shows the following two overall categories:
*CI Enterprise Solutions: Solutions suited to enterprises; Comprehensive inventory of system
components; Flexible solutions to meet our needs
*Overall System Cost: Overall system cost
This map shows how the top CI vendors are perceived by the market on CI Enterprise Solutions and Low Overall
System Cost. The size of each sphere represents the proportion of organizations that view a brand as their primary
CI vendor. HP is perceived as providing relatively lower overall system costs across the enterprise.
Figure 10: Competitive Vendor Positioning (4 of 4)
HP
Cisco
IBM
(Lo
w)
Ove
rall
Syst
em
Co
st
CI Enterprise Solutions
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About HP Converged Infrastructure Solutions For more information about HP Converged Infrastructure Solutions, go to www.hp.com/go/ci.
About Management Insight Technologies
Established in 1993, Management Insight is a full-service market research consulting firm dedicated to helping
technology companies find answers and insights that lead to superior business performance.