Bob Black & Luis Benavides, Deloitte | Dell Technologies World 2019
live from Las Vegas it's the cube covering Dell technologies world 2019 to you by Dell technologies and its ecosystem partners welcome back to the cube Lisa Martin with Dave Volante hey Dave you too day two of the cubes coverage of Dell technology world 2019 from Las Vegas and as John Ferrier said yesterday with you guys did your open this is a a cube cannon of content we've got two sets three days of coverage excited to welcome to light back to the program but a couple of new guys from Deloitte joining us we have Bob black Dell technologies Global Alliance lead and principal from Deloitte Bob it's great to have you on the program thank you're having us both of you and Louise spend vanina's VP of cloud business development at Deloitte thanks so much for joining us welcome so guys yesterday's keynote was fantastic it really started with this electric and I think that started with the fact that Michael Dell came out to Queen music which I loved but also today Jeff Clarke shot out of a cannon as well one of the things that he talked about was the Dell technologies five key imperatives for IT modernization one of them being hybrid cloud strategy for multi cloud journey we've been talking about multi cloud for a long time it's a big theme here we're gonna get into that with you guys and specifically get the rise of hybrid cloud but before we get into that Bob let's start with you kind of set the stage about your tenure at Deloitte you are an industry veteran so tell us a little bit about your expertise and kind of some of your thoughts on some of the things you've heard the last two days sure well thanks for that for having us so again my name is Bob black I'm the global lead alliance partner for the deltek for Deloitte I've been with the firm for about a little less than three years now I actually came to the firm because I really my former employee really neglected to focus a lot on infrastructure and hybrid cloud right so when I saw this as an opportunity to come to going and and really fashion what that what that should look like at the marketplace and so I think as serving in this role you know we've been able to really drive a lot of what that hybrid cloud messaging throughout the white for a lot of our customers and Louise tell us a little bit about your background well thank you I've been with the firm now for about two years actually came in via an acquisition of a company called day one solutions where we helped kind of provide a shot in the arm in our overall cloud go to market but my experience is I've worked at cloud providers like AWS I've worked with the technology OEMs as well so I've seen this seen the space change for quite some time so this is the second Dell technologies world lots of news yesterday this whole journey a lot of collaboration yesterday as well between really kind of VMware as a linchpin of driving a lot of what Dell technologies is doing we saw a Microsoft on stage everything is about collaborating listening to the customer and enabling customers to be successful in this challenging but very true multi cloud world talk about some of the announcements Bob we'll start with you some of the things that you're hearing and what that without Deloitte can help Dell technologies customers with a successful hybrid cloud strategy what are some other trends you're seeing and hearing well yeah so thank you so I mean it was something else was yesterday we're very fascinating and you know one of the things that we have been seeing in the marketplace is a lot of our clients are restarting to repatriate their applications back from public cloud fact on-premises and that's not to you know say anything bad about the public cloud but what we're seeing is a lot of our clients have thousands or if not tens of thousands of applications in a legacy portfolio that simply are not conducive for public cloud and when there was a shift out to public cloud I think that you know a lot of our clients adopted this lift and shift or Rijo sling type of methodology and most of our clients really didn't find the value in there that they thought they were going to get right they weren't able to modernize the application they weren't saving any money they had dual IT fractured operations and so for because of our reason we're starting to see a lot of that repatriation back on premises and Ilana and I think a lot of our clients see that it's somewhat of a failure but I think what we see this is an opportunity right you know public cloud is a great tool in the toolbox and when it's incorporated with as you heard here up on the stage yesterday you know the data center other other areas on premises and the edge right you can really put together a cohesive hybrid cloud strategy and that's what's really going to drive value of our clients so we've you know we've worked successfully with a number of clients on things like BMC and AWS and yesterday's announcement on VMware and Microsoft and now of course Dell cloud I think is only going to accelerate the adoption of those technologies and solutions to help our clients adopt a hybrid multi cloud strategy I'll add to that I think it's it's kind of an evolution relieve our industries if you go back to the ten years of history of the cube look at how much has changed and and software-defined OEM abstract eight the OS or application away from the hardware component that's been happening for some time and you're now starting to see you know the other side of that from the public cloud moving to on-premises as well so you know really the hybrid definition if it's seamless data and applications across environments will just continue to move to that model and there's some ironies that I want to come back to but I want to ask you Bob but you said some of your clients feel like it was a failure do you feel like it was an edict from up on high go to the cloud and they really didn't have a clear strategy to affect the operating model and that's why they ended up where they are or were there other factors I think so we kind of dubbing at some one times as a management by in-flight magazine if you will right you know this you know I remember talking about client she told me that she had to move everything all her storage out to cloud and when we asked her why this is well that's what everybody else is doing I assume I have to do the same thing right so I looked you know we're not here to disparage anything in the public cloud it is a great you know tool for a lot of our clients it's just making sure that we have that integration that seamless integration of applications and data between you know both on-premises and cloud and that really starts with a really well thought out strategy it actually starts out even before that with trying to understand your applications many of our client made the application and this is hard for me saying this as an infrastructure guy right but the application should drive the placement right and I think a lot of our clients struggle with what makes up their application portfolio right what are the attributes that that make up the application that will help determine the placement of of those applications themselves well that's why I mean I'm interested in how Deloitte looks at infrastructure because Bob you were saying your previous firm really wasn't all in on infrastructure kind of infrastructure I met but when you think about a firm like Deloitte global capabilities deep industry expertise application you know keep those infrastructures more horizontal how do you guys look at the the opportunity why does it form structure so important to you well it's really to support next generation applications right again going back to if you think of hybrid as an approach of seamless integration across environments and you start developing these new applications towards you know different operating models or service oriented models the underlying infrastructure is not really built for that so you're gonna need to go through IT modernization refresh is within a new type of technologies and maybe what you were doing before so these applications I think move away from kind of legacy environments to more modernize type environments cloud or on-premises ultimately you're gonna have to address that IT on-premise need so what is that path for a customer who like you were saying Bob who thought well we've really failed at this they they went to public cloud because everybody else was suddenly I mean we all know time is a major issue that with any every business transforming because first survival and for competitive advantage how do you help a customer take that what they perceive as a failure and a lot of times that can be a positive effort right gotta opportunity to learn align exactly give us an example it may be a favorite customer by name or industry where you said alright we let's step back we have to have a strategy you're evaluating all these applications letting them as you said both drive where they should be run how they should be deployed how they should be secured how do you kind of help that repatriation it from a speed perspective so they can get to market faster and turn that failure of a failure into a success yeah I'll give you one example I mean we working with we're working with a retail client not too long go and you know they had they bought the you know they drank the kool-aid in decided they went through everything on some public clown right but again what they found was unless you're willing to refactor an application right to take advantage of cloud-based services and more agile nature of application development what they found was and it wasn't really providing the value that they were hoping for right and so again when you're left with that lift and shift with a tree hosting strategy it just didn't really provide anything so what we wanted to do is work with them to kind of put together a business case a more well defined strategy to say hey look let's let's let's accept the fact that these applications are not conducive to the cloud and right and how do we drive value across the entire application portfolio across both on-premises and in the public cloud right and then I think the other thing that we need to talk about too is I think a lot of times and it's been brought up here several times is I think a lot of lot of clients out there they talk about public cloud and the data center but that's it right there we're going to start to see distributed computing in the edge right we're going I think a lot of clients forget that people need to get to the cloud there's going to be this edge competing right so the journey starts there but it certainly doesn't end there either yeah it kind of comes to mind another insurance client that we had a large insurance company and they're a major cloud adopter but overall it represents still a small portion of their overall IT but they need that speed to market so leveraging technologies like pivotal to be able to quickly obtain that and then but as far as their overall application strategy every net new generation app they're gonna try to they're a cloud first mandate as well and we're seeing that a lot more prevalent from I will explore this a little bit because I saw stat I had some IDC survey so the 80% of companies say that half their workloads are gonna come back on Prem by I don't know when but anyway that repatriation conversation so okay so the insurance company their claims app going into the cloud but if if I'm a CIO and you're gonna bring back workloads I want that experience to be very cloud like I want the tool chains to be similar so obviously some of the announcements here today but that's non-trivial so I presume that's where you guys come in okay you guys you guys do well with complex so how do you help customers create that cloud variants that can substantially mimic the public cloud on-premise yeah and so very much we took first take a look at the operating model right if the in the way that they've adopted cloud mostly Cline's have been kind of a workload by workload and you start having these siloed environments of operations but what they want is the premise of you know how you operate cloud we know for the way that you do the rest of your legacy applications for IT so the evolution has been is they want to take a look at this holistically across all of their enterprise portfolio but not just from a technology enablement organization change you know can you bring in the right talent can you retain the right talent you know and is this the kind of environment where you can enable them to go create you know those things that might provide a bit of bigger ROI to market as well as automate and relentlessly where you can in how you approach services so I have a thesis I want to test with you guys so and I've been saying a few times this week at multi cloud it's all the hype but I think it's been a symptom of multi vendor shadow IT line of business initiatives and now we sort of have this you know airline magazine home s and and I think executives are realizing wow we have to get control of this provide the agility of the cloud the cost structure potentially but also the corporate edicts of security and compliance is that a valid premise is that how we got here has it been more deliberate than that and you know where do you see it going yeah I mean we've seen somebody even from this M&A right well you might be all-in with one cloud provider predominantly and you're continuing to move in that direction so you can gain some maturity before you introduce a multi cloud model but what happens we can just made an acquisition of something very strategic to your company oh crap they're on there with some other completely different kind of provider and then but you still have to roll that into how your overall IT governance so again these are just areas of the conversation where it's at a completely different level than you know which console are you going to use we'll try to manage all and that's and it's it depends whether or not you've sort of migrated into the the acquirers cloud or you leave it alone yeah but but how do you make how do you help customers make that distance I mean you're at the board level you're dealing with CIOs application heads line of business heads I mean your Deloitte you get some visibility I think we'll just kind of go back to what I was saying earlier right I think having a better view of the application portfolio is what's going to start that process right you know again going back to what I said earlier the we have clients who have thousands and thousands of applications and and they have they don't have the slightest clue on what's in that portfolio let alone the attributes that make up those those applications right so really starting there to understand you know what's important to them what are their requirements understanding that application portfolio a little bit more right and and marrying those with those requirements that's what's really going to drive a lot of these decision-making we have one of our methods of engagement is something we start off with in a kind of a shorter sprint model or our cloud value calculator and really trying to quantify what's that what's that investment really worth what are we what do we expect back you know are you moving it for TCO reasons or is there something that more profound that can happen back to the bottom line of the business and really try to put it in those type of terms then you know just a technology move yeah because I was thinking you know the cost of repatriation has got to be pretty significant so in terms of looking at and working with say the retail customer that you mentioned or the insurance example Luis that you mentioned when you're helping them identify the right strategy and really looking at the business imperatives for doing this quickly this repatriation what are some of the business outcomes that say this retailer is achieving that makes this repatriation cost expense very much worth it yeah I think it's I think it's peak right you know I mean we talked about cost a lot but I mean cost has become less of a factor in decision-making I mean our clients regardless the industry they're looking for speed to market right you know how do I deliver services how do I change faster than my you know my competitors right you know so it's it's it's it really right now it's all about speed how do I do things faster you know obviously cost is a factor of that right but you know beating your competitor out to the month I mean we always talk about you know regardless with the company is there everybody's a technology company all right and I actually believe that right you know so if the faster that you can do the faster you get your products and services to market that's what spread that's what's really does this customer this retail customer have it hey where we are 2x faster to market now that we've gone through this yeah as a matter of fact I don't know if we can't talk about some of those specifics but yeah they have definitely seen an uptick in the speed the market to be able to deliver new services to help drive business with the strategic foundation that they derive with you guys yes I'll add you know the other thing is regulations are changing worldwide right every day when Tina data sovereignty laws whatever it may be and if your cloud provider is not in that region or doesn't have the same level of services that you have say in the US what do you do so again other reasons for kind of having those does that reap retried it repatriated model so that you can kind of go wherever you need to go as far as your business expansion excellent guys I wish we had more time there's so much to talk about here but Louise Bob thanks so much for stopping by the Conservatives County with David mean we appreciate it have a great rest of your show Thank You Jay thank you Lisa our pleasure for Dave Volante I'm Lisa Martin live from Las Vegas if you thought your heard dogs barking by the way you weren't imagining that we are right next to Michael's angel paws one of my favorite parts of this entire event with about 15,000 people or so you're watching the cube live from day 2 of our coverage of gel technology world 2019 thanks for watching [Music]
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