01.21.07
The other Monopoly
Christopher Koch had already posted The Monopoly that Matters More than Microsoft in November last year. In his piece for CIO Magazine he compared Microsoft’s perceived (but irrelevant) OS monopoly with SAP’s underestimated (but really mattering) monopoly in the enterprise applications market
“SAP has long dominated the enterprise application market for big companies, but today, you can safely call it a monopoly in that sphere. Let’s consider the numbers, all from AMR Research. In the traditional core market of enterprise applications, ERP (Enterprise Resource Planning), SAP’s 2005 market share of 42 percent was more than double the 20 percent of its nearest rival, Oracle (whose share would be a lot smaller if it hadn’t acquired some of its ERP rivals in recent years). All other companies, mostly niche providers serving smaller companies or specific industries, were in the single digits.
But the real story is in other areas of enterprise applications, because these demonstrate the real market power of SAP. In supply chain software, procurement software, and customer relationship management software, SAP is now number one. In HR applications, it is merely second by one percentage point to Oracle. The only market in which it lags at all is product lifecycle management. Together, these categories comprise nearly all of the major business processes of a large company.“
Interestingly to notice that more and more enterprise customers combine the two monopolies for improving their business operations and adding additional value to the business.
Mr. Koch also connects SAP’s success to the immaturity of IT in general (quoting Alan Greenspan) and to the lack of innovation.
Very worthwhile reading.
01.10.07
IT mono-culture: Benefits of infrastructure optimization
RedmondMag recently sang the song (Real Simple) of pure Microsoft-IT shops. Yes, it is more cost efficient. Just think about economies of scale, skill readiness, operational efficiency, etc. The potential flip side: Running a single-vendor monoculture might be risky, especially if the vendor is bound to falter before the end of a customer’s IT life-cycle. In addition to several customer statements, outlining the financial benefits of an IT mono-culture, the article also quotes Mike Gilpin, vice president and research director at Forrester Research Inc.:
“Interestingly, you hear a lot about the risks of mono-culture. It’s a subject on which many people tend to theorize. However, I have yet to see a business case that would demonstrate to me the sheer business value of taking a heterogeneous approach simply to avoid a mono-culture.”
I love that statement so much that I’d really like to prove the irrelevance of the theory – but my bandwidth is too limited. And Microsoft IT has already proven it anyway. An insert to the article quotes the financial benefits gained from applying Microsoft’s Infrastructure Optimization model in a large IT shop:
“Microsoft touts reduced integration hassles, improved desktop management and intrinsic simplicity from an all-Microsoft approach. The company boasts about its own internal gains as well, which include:
47 percent reduction in patch management and update time
93 percent reduction in the number of Exchange sites
30 percent reduction in infrastructure servers
200 percent increase in storage capabilityIn terms of return on investment, the software giant claims it has saved $3 million in support costs and driven Internet costs down $6.5 million.”
Does Microsoft IT really operate a mono-culture? Yes, concerning infrastructure and application platform.
Supporting the business needs of 100,000+ users, integrating tens of thousands of vendors with its own value chain and connecting to hundreds of millions of customers doesn’t seem feasible with a single enterprise application package. For example: In addition to leveraging the benefits of the products developed by Microsoft’s own Dynamics business unit, Microsoft is also a very large SAP ERP shop. Running mission-critical (1) business operations on its own application packages is a competitive differentiator and therefore not widely disclosed (with few exceptions). Maintaining basic business processes – non-core – by utilizing a third-party ERP applications is common sense, and the experiences gained can be publicly shared as best practices.
The event series How Microsoft does IT provides a high-level video (IT Showcase: Using SQL Server 2005 at Microsoft IT), two best practice web casts
- TechNet Webcast: How Microsoft IT Runs SAP on SQL Server 2005 (Level 300)
- TechNet Webcast: Microsoft IT: Upgrading SAP to SQL Server 2005 (Level 300)
and technical white papers, such as Using SQL Server 2005 with SAP R/3.
Limiting the application of the maturity model (which originates from MIT’ Sloan’s Center for Information Systems Research) to the infrastructure would be shortsighted. Especially for a mature IT organization which is supposed to provide significant value to the business, and not only saving cost. The technical solution brief titled Infrastructure Optimization at Microsoft contains a chapter on Application Platform IO (APIO) model that provides further assistance when aiming to aligning IT with business goals:
“Following the APIO model can help grow business through five key areas of investment. APIO efforts at Microsoft have focused on these key infrastructure capabilities that, for Microsoft, have helped align IT with business goals:
- Business Intelligence. Describes the business intelligence infrastructure that ties information together across an organization. A single framework can remove barriers to finding and using data, which helps people throughout the organization to collaborate and make informed decisions.
- Data Management. Describes infrastructure strategies and management processes that help companies of all sizes store (according to security guidelines) and manage ever-increasing amounts of data from disparate sources. It can also help ensure that business-critical systems and applications stay running.
- Software Development. Describes the integrated development environment for all types of development, including Microsoft Windows®, Microsoft Office, Web, and mobile applications. Helps an organization respond to business priorities by offering the right level of visibility, collaboration, and control within the software development process.
- Service-Oriented Architecture and Business Process Management. Provides proven best-practice guidance on how to establish and manage flexible, repeatable, and connected business and IT processes within a service-oriented architecture.
- User Experience. Describes what organizations should consider implementing in their IT infrastructures to help guarantee superior user experiences that drive employee productivity, customer loyalty, and business growth.”
The APIO model can help grow business through focusing on these key areas of investment for adding business value beyond traditional boundaries.
(1): Like Gartner, I’m of the opinion that the term “mission-critical” has to include the component of unrecoverable losses:
“Overall lost revenues, impact on meeting customer commitments and negative impact on customer satisfaction rank as the three most important factors in determining the mission critical nature of a system.”
A system therefore is only mission-critical if it supports, enables or drives a core business process, a process, service, or product vital to the customers business.
01.09.07
Training: SAP Interop Technical Workshop, January 23
Another SAP Technical Workshop will be held on January 23, 2007 in Redmond where customers, system integrators, developers, and consultants will have a great opportunity to learn the latest in-depth technical knowledge of Microsoft technologies in relation to SAP. The targeted audience is enterprise architects, SAP solution architects, SAP technical specialists, developers, and consultants. This is an opportunity to gain in-depth technical knowledge of Microsoft and SAP interoperability including the latest implementation best practices for Duet.
Sixty-five percent of new SAP installations choose Windows Server and Microsoft SQL Server is the fastest growing database platform for SAP. Now, you will learn more of how the overall Microsoft .NET platform and how Microsoft Office can integrate with SAP.
How current is your knowledge of interoperability between the Microsoft platform and SAP NetWeaver? Are you equipped with the latest information on interoperability, performance, scalability, management, and cost of ownership information?
The overall goal of this workshop is to provide attendees with technical information on how Microsoft is providing options for customers to better integrate Microsoft and SAP solutions, reduce complexity, and have a continued focus on TCO.
Session topics (subject to change):
- Maximizing the Value of Your SAP Investment
- Duet Technical Architecture and Implementation Best Practices
- Integrating Microsoft Office SharePoint Server and SAP
- Using SQL Server 2005 for SAP Solutions
- Microsoft BI for SAP NetWeaver Business Intelligence
- BizTalk Server and SAP Interoperability
Registration for this free event is limited and happens on a first-come first-serve basis. The workshop will take place on Tuesday, January 23, 2007 at the Microsoft Conference Center – Baker Room (Building 33) in Redmond, WA 98052 – USA.
Further information on this event, as well as announcements of future events, can be found at the Microsoft-SAP CTSC Web Site which is jointly operated by Microsoft and SAP.
01.08.07
Resources for Microsoft® SQL Server™ 2005 Service Pack 2
One can assume that backwards compatibility of products will be somehow limited when a vendor introduces a major new version of the underlying platform technology.
As a result, one could also assume that the introduction of Microsoft Windows Server ‘Longhorn’ (Microsoft’s next server operating system for mission-critical enterprise applications) would work very well with the latest version of Microsoft’s database server product: Microsoft® SQL Server™ 2005 Service Pack 2 (SP2), but not necessaryily with older database version which have already been discontinued and are not supprted any longer.
If both assumptions would be correct, and if one would like to leverage the benefits of ‘Longhorn’, it could be a wise move to evaluate the differences between SP2 of SQL Server 2005 and previous versions. Microsoft’s product information site delivers comprehensive information on the features introduced with SQL Server 2005, resulting in faster transaction processing, advanced business intelligence solutions, and enhanced developer productivity.
The subsequently released services packs then introduced a broad range of additional new features. Juergen Thomas recently listed some benefits addressing primarily the needs of high-end datacenters (DB size largern than 10 TB, several thousand concurrent users) still runing on SQL Server 2000:
- NUMA support. Providing performance benefits of 25% over SQL Server 2000 on the same datacenter server hardware.
- Online Index Maintenance. A huge advantage – especially with table sizes of several hundred 100GB – by allowing to build indexes online without locking.
- Dynamic Management Views: Possibility to analyze bottlenecks much more in detail in order to optimize performance.
- Database Mirroring: Great high-availability feature, which for example works absolutely great with SAP.
Careful preparation and proper planning, leveraging the knowledge and best practices provided by Microsoft, should allow a smooth upgrade to SQL Server 2005.
Moving further: Microsoft’s documentation notes for SP2 (chapter 5 of the online Readme for Microsoft SQL Server 2005 Service Pack 2) describe how to use SQL Server 2005 SP2 to upgrade instances of SQL Server 2005 (except Express Edition) to SQL Server 2005 SP2. This service pack can be used to selectively upgrade one or more instances of SQL Server 2005, SQL Server 2005 shared tools, and other components installed by SQL Server 2005 Setup. SQL Server 2005 service packs are cumulative, and this service pack upgrades all service levels of SQL Server 2005 to SP2.
5.1 Database Engine
5.5 Windows Vista Considerations
Additional sources for asisstance and information are listed in the online product documentation on MSDN in the chapter “Getting SQL Server 2005 Assistance”:
as well in the Community Technology Preview of Microsoft’s SQL Server 2005 Books Online Service Pack 2.
01.06.07
Virtualization
Whomever you want to ask, from Gartner to McKinsey: Virtualization is a hot topic in 2006 and beyond.
For example, Information Week’s David Strom mentions five disruptive technologies that could change the face of business over the next 12 months:
“2007 will be the year when a host of hot technologies which have been percolating around the mainstream rise high on the radar screens of CIOs and IT managers. For example, radio-frequency identification, frequently viewed as a standalone tagging technology, will begin to ramp up the data loads IT centers must handle, as the tags become more pervasive. Web services, long touted as the next big thing, is poised to begin presenting workaday challenges, as managers are tasked with integrated Web-based apps into the enterprise. Mobile security is a no-brainer as a hot technology for the coming year, as far-flung workforces face newer and more troubling threats.
Most challenging may be two technologies which will begin their ascent in 2007, but may take a bit longer to assume a dominant role in the enterprise. Those would be virtualization and advanced graphics. The latter will get a big boost from the advent of Microsoft’s Vista operating system.”
Good to know that Microsoft seems to address at least one of these “futuristic” areas. But maybe the colleagues in Redmond have some more to offer. If you first want to familiarize yourself with the topic, IBM provides this opportunity. The well known Microsoft partner recently recently published Tim Jones’ (Consultant Engineer from Emulex) article on Virtual Linux. To Mr. Jones excuse I’d assume that he hadn’t vistited the last LinuxWorld and therefore missed Microsoft’s announcement to the Linux community. However, aside from the fact that Mr. Jones completely ignores Microsoft’s existence, academic contributions or it’s products (e. g. the free downloadable Microsoft Virtual Server 2005 R2), he provides good insight on history and concepts:
“Virtualization means many things to many people. A big focus of virtualization currently is server virtualization, or the hosting of multiple independent operating systems on a single host computer. This article explores the ideas behind virtualization and then discusses some of the many ways to implement virtualization. We also look at some of the other virtualization technologies out there, such as operating system virtualization on Linux.
To virtualize means to take something of one form and make it appear to be another form. Virtualizing a computer means to make it appear to be multiple computers or a different computer entirely.
Virtualization also can mean making many computers appear to be a single computer. This is more commonly called server aggregation or grid computing.”
Hardware related virtualization is definetely not the focus of this thread. Microsoft’s Hardware Developer Central offers sufficient background on WIndows Virtualization. Digging really deep, for example are the following three presentations:
- Windows Server Virtualization Scenarios And Features. Jeff Woolsey (Lead Program Manager. Windows Virtualization. Microsoft Corporation)
- Windows Virtualization Architecture. Mark Kieffer (Group Program Manager. Windows Virtualization, Microsoft Corporation)
- Windows Virtualization Best Practices And Future Hardware Directions. Benjamin Armstrong (Program Manager, Virtualization, Microsoft Corporation) and David Wooten (Hardware Architect, System Integrity Group, Microsoft Corporation)
I’d rather like to focus on the application related aspects of this topic. Giovanni Marchetti (Architect, Microsoft UK) offers a nice simplistic definition in his Architectural Assessment of Virtualisation during the Microsoft Architect Insight Conference in March 2006:
“Virtualisation is a technique to pool computing resources in a way that masks their physical boundaries to the resource users.
And isn’t architecture always about the abundance of complexity? Another flavour of Microsoft’s point of view was offered by David Hitchen(Technology Solution Professional, Microsoft UK) during a TechNet event in November 2006, and made available for download: Virtualisation Unplugged. Let me teturn to David Strom’s piece. Here’s where I slightly disagree: The adoption rate of the new technologies mentioned, especially virtualization. Virtualization won’t be hot in the future, it is already hot – and I’m rather following McKinsey’s view point here. The consultants claim – in a footnote to their latest survey of CIOs Agenda – that this trend was already evolving for quite some time:
“In our summer 2005 survey of 77 senior IT executives, 38 percent said that they planned to consolidate servers and to adopt virtualization techniques that make better use of hardware by improving the distribution of server tasks among machines. In our most recent survey, the numbers rose to 72 percent and 64 percent, respectively. Also, in our 2005 survey, 38 percent of the respondents said that they planned to buy software as a service. (For more details, see Kishore Kanakamedala, Vasantha Krishnakanthan, and Roger P. Roberts, ‘Two new tools that CIOs want,’ McKinsey on IT, Number 8, Summer 2006, pp. 32–3.) In our 2006 survey, that number rose to 61 percent.”
If you’d accept, that basic functionality is commoditized, an as a result, that at least some parts of IT is being industrialized, then McKinsey’s perceived trend of lean manufacturing makes a lot of sense. And it becomes quite clear, once again, that this conversation is not about technology, but about business:
“The second trend poised to strengthen in 2007 is the application of lean-manufacturing principles to data centers. In our recent survey, 28 percent of the respondents said that they had already applied or decided to apply lean principles to improve their data center operations. Lean, of course, isn’t a technology but rather a methodology applied to processes—originally in manufacturing operations but increasingly within services, including IT.
Data centers have grown tremendously over the past 10 to 15 years as IT spending has increased and cost-conscious CIOs have consolidated smaller centers into fewer and larger ones. A data center for a typical large enterprise has hundreds of millions of dollars in capital equipment (server farms, mainframes, networking gear, and storage devices), consumes large amounts of electricity, and requires hundreds of highly skilled engineers and technicians to operate. In particular, the labor costs have grown significantly with the commitment of resources to processes such as incident response, problem management, and change management. Applying lean principles can help reduce waste and improve labor productivity by as much as 40 percent in some processes. Nearly one-third of our survey respondents aim to apply lean principles in these centers—a significant share, suggesting that the initial positive results from early adopters are encouraging a wider field of IT organizations to explore this methodology. We will continue to track these trends—and their implications for business and IT leaders—during 2007.”
Nonetheless, some people still need to understand technology because, ultimately, they will deploy and operate the technology fueling these buseiness driven concepts. Therefore back to Microsoft and its offering: The concept of virtualization was prominently highlighted at the European TechEd 2006 in November, and several the sessions are available as video-downloads. Here’s the link list:
- Using Application Virtualization to Decrease Your Application Management TCO. Bill Corrigan (Director of Project Management, System Center Marketing Team, Microsoft Corporation) and Chad Jones (Group Product Manager, Windows Client Virtualization, Microsoft Corporation): This session will introduce the newly acquired SoftGrid, an exciting new technology that has proven to reduce customers’ application management costs by upwards of 95%. This session will give the attendee a strong overview of the application virtualization and streaming technology and how it can be used to augment existing systems management infrastructure. We will share real-world case studies and demonstrate the Softricity products working in conjunction with other Microsoft technologies, including Active Directory, Terminal Services and Systems Management Server.
- Transitioning to Windows Server Virtualization. Mark Kieffer (Group Product Manager, Windows Core OS Team, Microsoft Corporation): Join this session to learn more about Windows virtualization, a new technology in Microsoft Windows Server code-named ‘Longhorn’. We introduce the key scenarios for Windows virtualization and new features and improvements in Microsoft Virtual Server, including better performance. Find out how you can start adopting Microsoft Virtual Server today and transition to Windows virtualization by leveraging the unified format.
- An Overview of Microsoft’s Vision for Virtualization. Rajiv Arunkundram (Product Manager, Windows Server Marketing, Microsoft Corporation): In this session we focus on virtualization technology and we offer an introduction to Microsoft Virtual Server 2005 R2. We also outline Microsoft’s vision for the technology over the next few years. This session provides a high-level overview of the different solutions that you can implement with virtualization.
- How to Virtualize Infrastructure Workloads. Robert Larson (Architect, Microsoft Services): Join this session to learn about virtualization of infrastructure workloads such as Active Directory (AD), file and print, Web servers and the benefits of mixed workload virtualization. We discuss details, tips, and tricks for creating an effective virtualization environment. During this session, we walk you step by step through the process of planning, deploying, and managing a virtual environment for infrastructure workloads.
A good start, if you want to learnmore about Microsoft’s offering, would be a visit to Virtualization and Consolidation. While you download Virtual Server 2005 R2, you might want to evaluate Anil Desai’s (an independent consultant and MVP based in Austin, TX) TechNet article Do More With Less: Exploring Virtual Server 2005. Beyond all this technical documentation, tools and downloads already referenced, Microsoft provides even more knowledgeware through several events. From January to March and throughout the world, Microsoft offers his partners two series of opportunities to familiarize with Microsoft’s product and service offering. A 1-Day summit, specifically for technical decision makers, is designed to provide the necessary knowledge and technical details of Microsoft Virtual Server R2 and related technologies to determine and plan a virtualization roadmap. During a 3-Day hands-on workshop virtualization experts will teach developers how to take advantage of the Microsoft Virtual Server 2005 R2.
Back to the business section again - after all, since this blog is about enterprise computing, high-end dabases, SAP applications, etc., readers might even be able to answer this fancy question:
“With Microsoft SQL Server in an active or passive failover scenario, an organization has two virtual machines, with one virtual processor in each. Only one virtual machine is running or active (one processor); the second virtual machine is off or inactive (one processor) and used only as a backup. Should the organization purchase only one SQL proc license and use the active or passive rights for the second installation? Will that rule still apply in a virtual environment?”
The Virtual Server 2005 Frequently Asked Questions won’t help you here as they are clearly focussing on technical questions, such as sizing or configuration. And don’t ask me (Hint 1 – Hint 2 - Hint 3) for an answer – I’ve promised myself to never ever digg into licensing details
01.04.07
Training: SAP-SQL Workshop – Jan 16 to 18, Redmond/WA
Microsoft Windows is the most popular operating system for SAP solutions with over 65% of new SAP installations based on Windows, and Microsoft SQL Server continues strong growth with over 30,000 SAP installations.
Administering SAP Solutions on Windows and SQL Server is a three-day technical workshop for IT Professionals and IT Consultants. This hands-on course targets SAP system and database administrators who want to better understand how to install and maintain a SAP on Microsoft SQL Server 2005. The course addresses configuration, high availability scenarios, monitoring and performance tuning for SAP Solutions on the Microsoft platform. Course concepts are reinforced through hands-on lab exercises. Targe audience:
- For SAP customers: Application administrators and DBAs working with SAP NetWeaver server components who are interested in or are currently working with / deploying SAP on Windows and SQL Server
- SAP partner organizations wanting to improve readiness of their SAP Basis consultants, database or application architects.
SAP customers and partners will definitely benefit from this in-depth perspective of the SAP ERP application running on Microsoft Windows and SQL Server 2005. The goal for this training course is to provide attendees with a better understanding of how to install and maintain SAP NetWeaver on Microsoft SQL Server 2005. The course addresses installation, configuration, high availability scenarios (including the database mirroring), monitoring, and performance tuning. As well, course concepts will be reinforced through hands-on lab exercises. Students will perform a full installation of SAP NetWeaver on SQL Server 2005 and then learn how to tune, monitor, and configure high availability. Agenda Highlights:
- Porting SAP Solutions to SQL Server 2005
- Hardware Architecture
- Windows Server Optimization
- SQL Server 2005 Configuration
- SQL Server 2005 High-Availability in a SAP NetWeaver/mySAP ERP Landscape including database mirroring
- Monitoring an SAP / SQL Server 2005 Installation
- SQL Server 2005 Query Performance Tuning
- Monitoring Disk I/O
- SAP NetWeaver Security Landscape
- SAP NetWeaver and x64/IA64
Registration for the few remaining seats of the upcoming workshop is still possible. Cost per student is 850 USD. Please also note the schedule for the remaining workshops in FY07:
| Waltham | 2/20/2007 – 2/22/2007 |
| Washington | 3/20/2007 – 3/22/2007 |
| Redmond | 4/10/2007 – 4/12/2007 |
| Washington | 5/15/2007 – 5/17/2007 |
| Mountain View | 6/12/2007 – 6/14/2007 |
01.02.07
Podcasts: SQL Server 2005 for IT Professionals.
A series of TechNet webcasts is also provided as podcasts. Two interesting series provide insights on optimiing SQL Server 2005:
- SQL Server 2005 for the IT Professional (11 parts)
- How Microsoft Maximizes Its IT Investment Through Infrastructure Optimization
(Found at JobsBlog)
01.01.07
Council of the EU tagged incompetent …
… apparently because it cannot support Linux, according to Slashdot. The tag is related to a piece mentioning the EU Council’s use of the WMV media format. Lots of comments: nice flame war, few facts.
My favorite comment:
“The really funny part of this story is you also can’t watch those videos if you’ve got the version of Windows Vista with media player ripped out due to the EU’s antitrust rulings (unless you download media player or some other WMV-capable player, of course). Hah hah.“
PS: If you’d search Slashdot for articles tagged with “incompetence”, you wouldn’t find any. I like beta software
PPS: Bulgaria and Romania are two new EU member states as of today. I wonder if this will further decrease Linux 0.37% or 3.2% market share


