Kamal Shah, Red Hat & Kirsten Newcomer, Red Hat | Red Hat Summit 2021 Virtual Experience
>>Hey, welcome to the Cubes coverage of Red Hat Summit 2021, the virtual experience, I'm lisa martin, I have two guests joining me. One is a cube alum kamal Shah is back, he's now the VP of cloud platforms at Brent had come on, it's great to have you back on the program. You're in a new role, we're going to talk about that. Thank you. And Kirsten newcomer is here as well. She's the Director of cloud and Death stickups strategy at Red Hat, Kirsten, Welcome and thank you for bringing the red hat vibe to the segment. >>Absolutely, very happy to be here. >>So looking forward to this conversation that we're going to be having in the next 20 minutes or so. We're gonna be talking about the last time come on, you were on, you were the ceo of stack rocks In January of 2021. The announcement that red hat plans to acquire stack rocks, it wouldn't be talking all about that. But I'd like to start with Kirsten, give us your perspective from red hats perspective, why is red hat a good fit for stack rocks? >>You know, there are so many reasons first of all as as you know, right? Red hat has been working with product Izing kubernetes since kubernetes one dato. Right, so so open shift three dato shipped with kubernetes one dot Oh, so we've been working with kubernetes for a long time, stack rocks embraces kind of is kubernetes native security embraces the declarative nature of kubernetes and brings that to security. Red hats, Custer's red hat enterprise customers, we have a great set across different verticals that are very security conscious and and during my five years at red hat, that's where I spend the majority of my time is talking with our customers about container and kubernetes security. And while there's a great deal of security built in to open shift as it goes to market out of the box, customers need the additional capabilities that stack rock springs. Historically, we've met those needs with our security partners. We have a great ecosystem of security partners. And with the stack rocks acquisition, we're now in a position to offer additional choice. Right. If a customer wants those capabilities from Red hat tightly integrated with open shift, we'll have those available and we continue to support and work with our broad ecosystem of security partners. >>Excellent customers always want choice. Come on. Give me your perspective. You were at the helm the ceo of stack rocks as you were last time you were on the cube. Talk to me about the redhead acquisition from your seat. >>Yeah. So as as Kirsten mentioned, we were partners of red hat. You're part of the red hat partner ecosystem. And uh, what we found is that was both a great strategic fit and a great cultural fit between our two companies. Right? And so the discussions that we had were how do we go and quickly enable our customers to accelerate their digital transformation initiatives to move workloads to the cloud, to containerized them, to manage them through kubernetes and make sure that we seamlessly addressed their security concerns. Right? Because it continues to be the number one concern for large enterprises and medium sized enterprises and frankly any enterprise that uh, you know, uh, working out today. So, so that was kind of the impetus behind it. And I must say that so far the the acquisition has been going on very smoothly. So we had two months in roughly and everybody and has been very welcoming, very collaborative, very supportive. And we are already working hand in hand to to integrate our companies and to make sure that we are working closely together to make our customers successful. >>Excellent. We're gonna talk about that integration in a second. But I can imagine challenging going through an acquisition during a global pandemic. Um but that is one of the things that I think lends itself to the cultural alignment. Kamal that you talked about, Kirsten. I want to get your perspective. We know we talk about corporate culture and corporate culture has changed a lot in the last year with everybody or so many of us being remote. Talk to me about kind of the core values that red hat and stack rocks share >>actually, you know, that's been one of the great joys doing during the acquisition process in particular, Kamal and and ali shared kind of their key values and how they um how they talked to talk with their team And some of the overlap was just so resonated so much for all of us. In particular the sense of transparency, uh, that the, that the team the stack rocks executive team brings and approaches. That's a that's a clear value for red hat um strongly maintained. Uh, that was one of the key things the interest in um uh, containers and kubernetes. Right. So the technology alignment was very clear. We probably wouldn't have proceeded without that. But again, um and I think the investment in people and the independence and the and the strong drive of the individuals and supporting the individuals as they contribute to the offering so that it really creates that sense of community um and collaboration that is key. Uh and and it's just really strong overlap in in cultural values and we so appreciated that >>community and collaboration couldn't be more important these days. And ultimately the winner is the customers. So let's dig in. Let's talk about what stack rocks brings to open shift Kirsten take it away >>man. So as I said earlier, um so I think we we really believe in continuous security at red hat and in defense and depth. And so when we look at an enterprise kubernetes distribution that involves security at the real core os layer security and kubernetes adding the things into the distribution, making sure they're there by default, that any distribution needs to be secured to be hardened, auditing, logging, identity, access management, just a wealth of things. And Red hat has historically focused on infrastructure and platform security, building those capabilities into what we bring to market stack rocks enhances what we already have and really adds workload protection, which is really when it comes down to it. Especially if you're looking at hybrid cloud, multi cloud, how you secure, not just the platform, but how you secure your workloads changes. And we're moving from a world where, you know, you're deploying anti virus or malware scanners on your VMS and your host operating system to a world where those work clothes may be very short lived. And if they aren't secured from the get go, you miss your opportunity to secure them right? You can't rely on, you know, you do need controls in the infrastructure but they need to be kubernetes native controls and you need to shift that security left. Right? You never patch a running container. You always have to rebuild and redeploy if you patch the running container the next time that container images deployed, you've missed, you've lost that patch. And so the whole ethos the whole shift left. The Deb sec ops capabilities that stack rock springs really adds such value. Right? You can't just do DEF SEc or set cops. You need to do a full infinity loop to really have def SEc ops and stack rocks. I'm gonna let Kamal tell you about it, but they have so many capabilities that that really drive that shift left and enable that closed loop. We're just so excited that they're part of our offerings. >>So can you take us through that? How does stack rocks facilitate the shift left? >>Yeah, absolutely. So stack rocks, which we we announced at summit is now being rebranded as red hat. Advanced cluster security was really purpose built to help our customers address the use cases across the entire application lifecycle. Right? So from bill to deploy to run time. So this is the infinite loop that Kirsten mentioned earlier and one of our foundations was to be kubernetes native to ensure that security is really built into the application is supposed to bolt it on. So specifically, we help our customers shift left by securing the supply chain and we're making sure that we identifying vulnerabilities early during the build process before they make it to a production environment. We helped them secure the infrastructure by preventing miS configurations again early in the process because as we all know, MIS configurations often lead to breaches at at runtime. Right? We help them address uh compliance requirements by ensuring that we can check for CS benchmarks are regulatory requirements around the C I P C I, hip hop and this and and that's uh you know, just focusing on shift left, doesn't really mean that you ignore the right side or ignore the controls you need uh when your applications are running in production. So we help them secure that at runtime by identifying preventing breaches the threat detection, prevention and incident response. >>That built in security is you both mentioned that built in versus bolt on Kirsten? Talk to me about that, that as really kind of a door opener. We talked a lot about security issues, especially in the last year. I don't know how many times we've talked about miS configurations leading to breaches that we've seen so many security challenges present in the last year. We talked to me a little bit Kirsten about >>what >>customers appetites are for going. All right now, I've got cloud native security, I'm going to be able to, I'm going to feel more comfortable with rolling out production deployments. >>It's, it's a great place to go. So there are a number of elements to think about. And if I could, I could, I could start with by building on the example that Kamal said, Right, So when we think about um I need to build security into my pipeline so that when I deliver my containerized workloads, they're secure. What if I miss a step or what if a new vulnerability is discovered after the fact? Right. So one of the things that stack rocks or redhead a CS offers is it has built in policy checks to see whether a container or running image has something like a package manager in it. Well, a package manager can be used to load software that is not delivered with the container. And so the idea of ensuring that you are including workload, built in workload, protect locks with policies that are written for you. So you can focus on building your applications. You don't necessarily have to learn everything there is to know about the new attack vectors that are really just it it's new packaging, it's new technology. It's not so much there are some new attack vectors, but mostly it's a new way of delivering and running your applications. That requires some changes to how you implement your security policies. And so ensuring that you have the tools and the technology that you're running on have those capabilities built in. So that when we have conversations with our security conscious customers, we can talk with them about the attack vectors they care about. We can illustrate how we are addressing those particular concerns. Right? One of them being malware in a container, we can look for stack. Rocks can look for a package manager that could be used to pull in, you know, code that could be exploited and you can stop a running container. Um, we can do deeper data collection with stack rocks. Again, one of the challenges when you're looking at moving your security capabilities from a traditional application environment is containers come and go all the time. In a kubernetes cluster nodes, your servers can come and go in a cloud native kubernetes cluster, right? If you're running on on cloud public cloud infrastructure, um, those things are the nodes are ephemeral to, they're designed to be shut down and brought back up. So you've got a lot more data that you need to collect and that you need to analyze and you need to correlate the information between these. Right? I no longer have one application stack running on one or more VMS, it's just things are things are moving fast so you want the right type of data collection and the right correlation to have good visibility into your environment. >>And if I can just build on that a little bit. The whole idea here is that these policies really serve as god rails right for the developers. So the it allows developers to move quickly to accelerate the speed of development without having to worry about hundreds of potential security issues because there are guardrails that will notify that with concrete recommendations early in the process. And the analogy I often use is that you know the reason we have breaks in our cars, it's not to slow us down but to allow us to go faster because we know we can slow down when we need to write. So similarly these policies are really it's really designed to accelerate the speed of development and accelerate digital transformation initiatives that our customers are embarking on >>and come on. I want to stick with you on the digital transformation front. We've talked so much about how accelerated that has been in the last year with everything going on in such a dynamic market. Talk to me Kamal about some of the feedback that you've gotten from stack rocks customers about the acquisition and how it is that maybe that facilitator of the many pivots that businesses have had to do in the last year to go from survival mode to thriving business. >>Yeah. Yes, absolutely. The feedback from all of our customers bar none has been very very positive. So it's been it's allowed us to invest more in the business and you know, we publicly stated that we are going to invest more in adding more capabilities. We are more than doubling the size of our teams as an example. And really working hand in hand with our uh the broader team at Red had to uh further accelerate the speed of development and digital transformation initiatives. So it's been extremely positive because we're adding more resources, We're investing more. We're accelerating the product roadmap uh based on uh compared to what we could do as a, as a start up as you can imagine. And and the feedback has been nothing but positive. So that's kind of where we are today. And what we're doing with the summit is rolling out a new bundle called open shift uh, Open shift platform plus, which includes not just Red hat A CS which used to be Stock rocks, but also red hat open shift hybrid cloud platform as well as Red hat advanced uh container cluster management, ACM capabilities as well as create the container registry. So we're making it easier for our customers to get all the capabilities that they need to for the drive digital transformation initiatives to get. It goes back to this whole customer centric city team that red hat has, that was also core value of stack rocks and and the winner and all of this, we believe ultimately is our, our our customers because that's where we exist to serve them, >>right. And I really like that if I could chime in kind of on top of that a little bit. Um so, so I think that one of the things we've seen with the pandemic is more of the red Hat customers are accelerating their move to public cloud and away from on premises data centers. Uh and and you know, that's just part partly because of so many people working remotely. Um it just has really pushed things. And so with Hybrid cloud becoming even more key to our joint customer base and by hybrid cloud, I mean that they have some environments that are on premises as they're making this transition. Some of those environments may stay that footprint may stay on premises, but it might be smaller, they may not have settled on a single public cloud. They could, in fact, they often are picking a public cloud based on where their development focuses. Google is very popular for ai and ml workloads. Amazon of course is just used, you know, by pretty much everybody. Um and then Azzurri is popular with um a subset of customers as well. And so we see our customers investing in all of these environments and stack rocks red hat A CS like open shift runs in all these environments. So with open shift platform plus you get a complete solution that helps with multi cluster management with a C. M with security across all of these environments, right? You can take one approach to how you secure your cluster, how you secure your workloads, how you manage configurations, You get one approach no matter where you're running your containers and kubernetes platform when you're doing this with open shift platform plus. So you also get portability. If today you want to be running an amazon maybe tomorrow you need to spin up a cluster in google, you can do that if you're working with the K s or G K E, you can or a Ks, you can do that with red hat a CS as well. So we really give you everything you need to be successful in this move and we give you back to that choice word, right? We give you the opportunity to choose and to migrate at the speed that works for you. >>So that's simplicity. That streamlining. I gotta ask you the last question here in our last couple of minutes. Come on, what's the integration process been like? as we said the acquisition just a couple of months in. But talk to me about that integration process. What that's been like? >>Yeah, absolutely. So as I mentioned earlier, the process has been very smooth so far, so two months in and it's largely driven by the common set of culture and core values that exists between our two companies. And so uh you know, from a product standpoint, we've been working hand in hand because I mentioned earlier, we were partners are working hand in hand on accelerating the road map the joint roadmap that we have here uh from a go to market perspective teams are well integrated. We are going to be rolling out the rolling out the bundle and we're gonna be rolling out additional uh options for our customers. We've also publicly announced that will be open sourcing uh red hat A. C. S. Uh formerly known as Stock Rock. So stay tuned for further news and that announcement. And, and so you know, uh, again two months and everybody's been super collaborative. Super helpful, super welcoming. And the team is the well settled and we're looking forward to now focusing on our primary objective is just to make sure that our customers are successful. >>Absolutely. That customer focus is absolutely critical. But also so is the employee experience. And it sounds like we both talked about the ethos and the and the core value alignment. They're probably being pretty critical to doing an integration during a very challenging time globally. I appreciate both of you joining me on the program today, sharing what's going on stack rocks now asks the opportunities for customers to have that built in cuBA and the security. Thanks so much for your time. >>Thank you. Thank >>you for Camel shaw and Kirsten newcomer. I'm lisa martin. You're watching the cubes coverage of Red Hat Summit, The virtual experience. Mhm
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at Brent had come on, it's great to have you back on the program. the last time come on, you were on, you were the ceo of stack rocks In January of 2021. security embraces the declarative nature of kubernetes and brings that to security. Talk to me about the redhead acquisition from your seat. And so the discussions that we had were Um but that is one of the things that I think lends the individuals and supporting the individuals as they contribute to And ultimately the winner is the customers. You always have to rebuild and redeploy if you patch the running container the next time or ignore the controls you need uh when your applications are running in production. We talked a lot about security issues, especially in the last year. I'm going to be able to, I'm going to feel more comfortable with rolling out production deployments. And so ensuring that you have And the analogy I often use is that you know the reason we have breaks in our cars, the many pivots that businesses have had to do in the last year to go from invest more in the business and you know, we publicly stated that we are going to You can take one approach to how you secure your cluster, how you secure your workloads, But talk to me about that integration process. And so uh you know, from a product standpoint, we've been working hand in hand because the opportunities for customers to have that built in cuBA and the security. Thank you. you for Camel shaw and Kirsten newcomer.
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Team Coco, Kazakhstan | Technovation World Pitch Summit 2019
>> from Santa Clara, California It's the Cube covering techno ovation World Pitch Summit 2019 Brought to you by Silicon Angle Media Now here's Sonia to Gari >> Hi and welcome to the Cube. I'm your host, Sonia to Gari. And we're here at Oracle's Agnew's campus in Santa Clara, California covering techno vacations World Pitch Summit 2019. Ah, pitch competition in which girls from around the world developed mobile lapse in order to create positive change in the world with us. Today we have Team Coco from Kazakhstan. Welcome. The members are, um Dilma as camel Over and Mallika Bree by Ava Uh, Donna Ulanova and Lube of do Chen Kuo Welcome. And congratulations on being finalists. Thank you. So your app is called tech Go. Can you tell us more about it? >> Yes. Uh so so techo in three d mobile application, which has a minute reality and as connected to the hardware which has dedicated for the behavioral change of people for so that they can become more conscious and like a friendly. >> And can you tell us more about how it works? Yes, >> of course there is. Luba, who can explain this? Okay. S >> o r application is about an astronaut who needs to save the planet. S O Firstly is there is a game in which a person needs to save your hair. Virtual airs by selling some ecological problems in it so that he or she wrote, be educated to both real life scenarios. And I also have a step counter which tracks your carbon footprint and encourages people to trust Morgan Friend the transportation options And that's a rare make really impact is that we connect our application with a special trash boxes in our city. All those locations are shown on the map, and coming to this place is user received trash box. And since Rosa Garbage and then because he has restaurants carriage here, she will get some points and your impact will be realized in the eventuality. Yeah, >> So what impact in society do you hope that this app will help change >> Rapids three t mobile application and it's a game. That is why Gamification and theater magic reality, which is a r which is inside this game a cz more visually in psychological attractive to people and those challenges that we provide a game are intensified so that most of the people. When they accomplish their goals, they might get, like, have a certain profit out of it so that they can become worker friendly and gain benefits. This is how we want to make sure that people might gain my changed a behavior for the sake of ecology. >> That's awesome. So you're using essentially a game incentivize people to make better choices in their everyday lives. That's great. And so how >> did you >> come up with this idea? >> So look, I will explain >> this. Actually, there were before some eco trash boxes in our school because like the thing off, ecological problems and recycling is one of the most talked about topics in Kazakhstan nowadays. And like in our school, the students try. Thio make this echo charge boxes, but they were always empty because students wasn't incent ified to recycle the garbage. And we tested our up in our school and we already launched it in our school and this ups incentivize our students. And now this I could trash boxes with our hard way always full. So >> that's awesome. See, you already found some success with your app. Thank you. Do you think that that this is a problem in the bigger community. >> Oh, maybe Donna Comptel. >> So we're saying that we started locally, but we got to go globally within that, uh, a pollution, like a pollution global problem and we trying to solve all over the world. So in our game, we have the whole world that you become an astronaut. So you should be aware for hold the problem that was happening in the earth. So we are trying to engage and educate people to be more global on to be more responsible for our final for our home. >> It sounds like everyone in the world should download that app. Yes, I do hope Thio uh, expand if you get the funding. >> Yes, um, we plan to expand not only in our country, Kazakhstan on only locally, but also globally. And we would like to create the eco friendly community across Central Asia since we want to make sure that consciousness is global in our area. >> And what struggles have you faced trying to create this app? >> Um, probably there were some struggles and off course in the realization and, uh, the realization of technical part of this project and creating a business model, since we are not very experienced in this kind of things. But since we have participated in techno vacation and we were immersed in this protest and were modified Thio motivated. Yeah, and we're motivated to learn all this things and acquire those skills. And this is why we became more experienced in this stuff. So right now, uh, those struggles that we face before not longer problem for us. So yeah, this what we faced? >> So techno vacation has definitely helped. Do you improve your app and yes, right houses. Tech innovation Helped you? >> Yeah, Um, probably someone else wants to ask you this question. >> How is SECNAV ation help? You were What skills have you learned from this journey? For >> example, one of the most important skills, I guess iss a teamwork. Like after we started to work on the one project, we started to listen each other excavation actually helped us too. Um, I understand the opinions off other people and like to understand the problems in our society. We start to dream bigger to think bigger, wider kind of that >> That's amazing. And also take Novation helping us >> to explore new companies to be more like open a person to come to The company's asked about the help on not like B just like see the problems and trying to solve trying to find a solution and be the people of the world and be responsible for our planet for what's happening in our local community on be aware of everything. >> And, um So I heard you guys had an amazing week. Um, you you went to whoever You went some other places. So can you tell us more about your week >> you want? So we went to amazing places in a Silicon Valley in a San Francisco San Jose and we so, like it'd, for example, Golden Gate Bridge. And also the Alcatraz so were so impressed by their architecture by the people by the nature on DDE. We just expected a lot of Onda. We just got this old expectations come to the reality on dhe. We hope that that kind of dream will come true in our future, and we gonna to work in a one of the big companies that were located here. I know all the universities. So >> how is it like going to the different tech companies and seeing it in real life. >> So we >> visited Uber Company and Google Ventures, and both we I have seen people who work is there, and we're really impressive on. And we really like it. It? Yeah. And, uh, I think so. Before, like in my childhood, I dreaming to be to be in Silicon Valley, to goes there and, like, meet people who are work already working you And now, like my dream came through. >> That's awesome. And you get to see California And you you might be able to win today. So thank you so much for being on. I wish you all the best. And I hope you haven't amazing pitch tonight. Thank you. This has been Team Coco from Kazakhstan. I'm your host, Sonia to Garey. This is the Cube. Stay tuned for more
SUMMARY :
Can you tell us more about it? and as connected to the hardware which has dedicated for the behavioral of course there is. And that's a rare make really impact is that we connect our application with a special trash This is how we want to make sure that people might gain And so how And like in our school, the students try. See, you already found some success with your app. So in our game, we have the whole world that you become an astronaut. Thio uh, expand if you get the funding. And we would like to create the eco friendly community across Central Asia So right now, uh, those struggles that we face before not longer problem Do you improve your app and yes, right houses. Like after we started to work on the one project, we started to And also take Novation helping us and be the people of the world and be responsible for our planet for what's happening So can you tell us more about your week So we went to amazing places to goes there and, like, meet people who are work already working you And And I hope you haven't amazing pitch tonight.
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Joe Dickman, Vizuri and Michael Quintero, LogistiCare - Red Hat Summit 2017
>> Narrator: Live from Boston, Massachusetts, it's the Cube. Covering Red Hat Summit 2017, brought to you by Red Hat. (techno music) >> Welcome back to Boston, everybody. And welcome back to Red Hat Summit. This is the Cube, the leader in live tech coverage. My name is Dave Vellante, and I'm here with my co-host, Stu Miniman. Stu, we were saying this is your 100th Red Hat Summit, so congratulations on reaching that milestone. Joe Dickman is here. He's the senior vice president of Vizuri. Cool name, love it. And Michael Quintero, or Quintero if you prefer, of LogistiCare. He's an enterprise solutions architect. Gentlemen, welcome to the Cube. >> Thank you. It's a pleasure to be here. >> So Vizuri. Love the name. It strikes a visualization. It's (mumbles) trendy. Tell us about Vizuri, and tell us about your relationship with LogistiCare, and we'll get into it. >> Vizuri is the private division of a company called AEM Corporation. We created the brand to serve the commercial market for research and development. We became partners with JBoss before Red Hat's acquisition, so we jumped into open source in like 2003. And since then, we've built a business around open source technologies, and market leading technologies that bring value. We found LogistiCare because they solicited us for some work to help them transform their organization. And it's worked out well. I mean, Michael and I have been working together for about 18 months. >> So, tell us a little bit about LogistiCare. >> So LogistiCare is the world's largest provider of non-emergency medical transportation. So, we service the health market around people have benefits. The insurance companies don't provide transportation, and the members come to us and we broker the transportation for them. Been in business for quite some time. Do about 70 million trips a year, a little bit more. And we have roughly 80% of that market. And we just want to stay on top of, and be recognized as the world leader in that capability with the best services and the care for our members. >> So JBoss of course was like the second pillar for Red Hat after Red Hat (mumbles) Rob Bearden, who was a CEO at the time, and Cube alum and friend. But so, how did you utilize that capability, the sort of whole middleware, and how does that affect your digital transformation? And where did you guys all fit together? >> So, well digital transformation is a business strategy, not a technology. So, we looked at our need to be more flexible, and dynamic, and innovate. Our legacy, our what we call classic internally, software stack is limiting. It's not service oriented. It's not extensible. It's a compiled, executable, distributed -- serves the business very well. In fact, we're still using it today in some aspects. We haven't fully replaced it. But it's long in the tooth, and it's difficult for us to reach that new business requirement and test and deliver it scale. So, I joined the company to help modernize that architecture. Very quickly recognized that in order to get to scale, and loosely coupling, and massive customization, that microservices was a good solution for us. And when we surveyed the market for a partner that could help take us there, software wise, Red Hat has the most complete stack. They offer everything we need to do, and then they have the things we think we're going to do in the future. So, we looked around for somebody who could help us get to the Red Hat, enable to that, with Docker, and get to an auto-scaling kind of solution so we have infrastructure on demand. And we found Vizuri as a partner. They were able to help us enable the technology and teach us how to do things that we weren't presently doing. Because we didn't have any kind of scale solution in-house, it was just put more web servers out there. >> We started small, it started with a Business Process Management System. If you think about all the logistics that are necessary for coordinating medical transport, "I'm a dialysis patient. I'm somebody that is home-bound. I need to get to a physician appointment." We took that domain knowledge, that's part of one of the pillars of digital transformation. It's infrastructure, it's integration, and it's knowledge management. We started with knowledge management. Think about all the complex business rules for manage care organizations, reimbursement, right? Which is what LogistiCare does. Quickly after we solved that problem, we looked at integration, and we said, "Well now we have all these trading partners." So we guided LogistiCare into their next purchase which was Fuse. So now we had an API strategy for publicly linking them to other consumer providers, because they are a logistics organization for reimbursement. And as Michael said, we started building data centers. Or LogistiCare did. But guess what? Containers and OpenShift came in and we started provisioning our development environments to Amazon Web Services. And when they saw the cost-savings, they abandoned building out on-prem data centers, and went Cloud-native. >> So there's also a revenue drive, or component, as well, right? >> It is. It is. It's an OpEx (mumbles) and the CapEx cost-savings. >> Let's unpack both of those. >> Joe: Sure. >> Where do you want to start? Cost or the telephone numbers? (laughs) >> So, we're mostly a call center based company in history. Right? We have 20-something call centers around the country. We service most of the U.S. And we have a variety of contracts with medical care providers, like Aetna, and Wellpoint, and Blue Cross, and those type people. And then the managed care organizations come in. So, we look to reduce our OpEx by diminishing the number and the interfaces that we have with our call centers. People don't have to call in to the call centers to do business with us. You know, something like one-minute reduction in call-time is about a six or seven million dollar a year benefit for us. And there's a lot of things that people can do for themselves. I mean, you can call in and cancel a trip that they've had scheduled. We figured that about 30% of the cancellation rate, if we could get that done through a service interface, through an IVR, where you can come in and say "I'm not going to go." and cancel it. That's a five or six million dollar savings for us right there. Just in 30%. >> Michael, I'm curious. Was there any hesitancy inside to say, "Okay. I'm going to kill data centers, going to go to a public Cloud." You know, how did that transition go? And anything, you know, kind of the good, the bad, and the ugly that you could share. >> So, well, we're a healthcare company. HIPA and HITRUST certified coming. And there's a certain amount of fear on Cloud migration. So we had to demonstrate the knowledge, skills, and abilities around getting secure, scalable solutions out to the Cloud. And this is our core application. If we don't do this well, we could become Blockbuster and go away. Right? So we don't want that. So, we had Vizuri come to the table and help us understand just how secure we can be, how OpenShift is helping us make sure our information is never violated. There's great integrity in it. And then we did prototyping, and we actually evaluated it, and we have third parties that come in and take a look at our solution and say, "Can I penetrate that? Can I get into your information?" So, and, we also are subject to audit, not only by the federal government, but by all of our payer partners. So we have to be above the line in every criteria, and we think that we are. >> The other thing that you mention was, when we talk about OpEx, right? That's human capital. He talked about the minute per time on a call. We also reduce tribal knowledge. Think about all these new managed care organizations in health care. Is it the call center representative, is it our responsibility to train them on this car, and this company requires a car service, this company requires an ambulance. That knowledge, if we could eliminate that and put that in the middle tier. Now what we do is we have given them a business scale. Now they have a business strategy for taking on new managed health care organizations. Do you have different compliance rules? Do you have different knowledge? It is no longer us having to go back out to those 20 call centers and re-train everybody, because you never know where the consumers are coming from. So, what they do is they answer the phone, they put their information into the system, and the system makes the deterministic call as to what car service, when, and how it's reimbursed. >> So, you say you automated essentially that tribal knowledge. >> Joe: We did. >> Eliminated it. >> And we reduced it so it not only reduced the calls per time frame, but it sped up our time of getting a call center agent from three weeks of training down to basically one. >> Yes, and we have the ability now to support all of our contracts from any call center. So if there's disaster recovery models, or, you know, Phoenix for instance is one of our larger call centers and they get heavy downpours of rain there. There are times when people can't get to work, or they have outages. We can't afford for that function to be offline. So those skills are very easily moved to another call center to support the members that would call in there. Just route the calls. And there's no local knowledge about, you know, my contract in Arizona does a certain thing, or in the Southwest, so it's very simple to support our population from any call center. That gives us the benefit of providing very high quality service, 'cause people when they call in, they expect us to service them. >> Joe, I want to follow up. We were talking about kind of, you know, hesitancy, healthcare tends to be a little bit conservative. I hear things like microservices, and containers. You know, these are still relatively new things. Is (mumbles) -- sorry, OpenShift the solution that allows you to deliver that with confidence to your customers? >> Yes. OpenShift. (laughs) >> Yeah, sorry about that. (laughs) >> No worries. (laughs) OpenShift does. What happens is the Docker container format enables us to pre-configure those servers and those workloads, and we talked about microservices. We wanted to reduce the business decisions or the integrations into the smallest component. What we also wanted to do was provide some taxonomy with them. These are for billing, these are for scheduling, these are for a different aspect of the business. By that, we can change, and we can change often. >> Mhm. >> How long did it take before if we wanted to make a change to some of the infrastructure? >> So. >> Weeks? Months? >> Well, even longer. I mean infrastructure is hard to acquire. And you only talk about CapEx expense. It's very easy, I mean there's a refresh cycle for equipment that you get. So even when you have it, you have to pay attention to maintenance and keeping that thing going forward. As you add scale to your business, you got to go acquire more storage. And it's not a dynamic thing. You have to plan -- the planning cycle is very difficult. We moved to the Cloud. Now we have infrastructure on demand. There's a myriad of choices of platforms and solutions that we can apply to our business model. Things we hadn't even thought of before. We're actually looking now at potentially moving our call centers away from our in-house standard, and moving to an Amazon provided call center solution. Because it can scale. And we can consolidate. And we can provide service from anywhere in the world. That's a big benefit to us. >> It is. So call center as a service, essentially. >> Michael: Yes. >> Is something you're evaluating. >> Think about how big they are. 80 million rides, right. What they didn't want to do is be disintermediated by the newcomers. Right? The Uber's, the Lyft's. They had a large footprint. So, he used the word Blockbuster before, and that's what they use a lot internally. >> Dave: There's one left, in Alaska, I heard. (laughs) >> Who remembers Blockbuster? And then they remember how Blockbuster was no longer in business. So what they wanted to do is to ensure that -- they agilely transformed not only the software engineering discipline, but their firm beliefs. So, everybody from business analysis through implementation has this new agile approach. And one of the features that we developed, we used to send people home after four hours of dialysis in taxi cabs. So, an executive, or team, at LogistiCare said, "We need dependency. We need certified drivers." They actually entered into a business relationship with Lyft. And you want to talk about an agile enterprise? We developed a custom interface into Lyft with a scheduling service that never existed, within five weeks. >> Michael: That's right. >> We would never have been able to do that. And we moved our first ride after five weeks, and since then, we're currently up to about five or six thousand. But it's going to scale to thousands. And the goal is to, again, as Michael said, let people interface with LogistiCare by their device of choice. If we don't have to have people call in to cancel rides, or call in to schedule, then the business scales, and it scales without human capital. >> And the enablers there, (mumbles) we always talk about it, people, process, and technology. So the technology behind that was, what, you're living this API economy that everybody talks about. >> Michael And Joe: We are. >> Joe: That is exactly what we did. >> And then you've got underneath that, OpenShift, what else is sort of there that you're leveraging? >> BPMS, BRMS. So, Business Process Management System. Business Rules Management System. JBoss fused for an integration strategy and Camel Routes. And then Openshift, and then we do Ansible for doing server provisioning. >> And I have to ask you about the security question again. Stu was (mumbles) poking at it before. We've heard from a lot of practitioners that the security in the Cloud is just fine, it is great actually. The challenge is, it doesn't necessarily exactly map the edicts of our organization. So, is that, did you find that? And did you have to maybe change the way in which you plugged into AWS, or was it just sort of out of the box for you? >> So, you have to understand the shared responsibility model when you move to the Cloud, right? I mean they're very good at the security in the Cloud, or of the Cloud, and you have to be good at the security in the Cloud. You can choose bad technology at Amazon and be insecure. But they have a published, HIPA standard, that if you use these technologies, then you can be HIPA certified. We applied our HITRUST certification standards to our choices. We're making very solid -- and this isn't willy nilly. I mean I've been in a HIPA solution for 20 years. So it's not like I don't know what is required, and what the auditors are going to ask us. So, but I do want to redress one point that we can't go past. Is that (mumbles) Our customers are getting better service from all this we're doing. >> Joe: I agree. >> When somebody calls us and says, "I'm ready to go home from the doctor." and they didn't know what time they were going to go home when they scheduled their ride to the doctor, we can get somebody there in 10 minutes now to come and get them and take them home. >> Dave: Wow. >> That's a great satisfier. Rather than having to wait 90 minutes for us to find somebody that can go pick them up. That world has changed, right? And that's a great customer satisfier and that is why they're going to love continuing to do business with us. >> Great business outcome from something that you probably couldn't have done, you know, five years ago? Even maybe two years ago. >> They're a social caring organization. One of the largest rides that they do is for kidney dialysis. And those people, I mean, I've never had it, but somebody sitting there after four hours of dialysis, the last thing you want to do is wait 90 minutes for a cab. You want to go home. You also want to have an authoritative source that the drivers are credentialed drivers. And that's something that we're working on so that not only do these older generations, right? And think about the baby boomers, which I'm actually part of. >> Michael: Me too. (laughs) >> The age population is growing. So the need for these types of services is growing too. And we become accustomed and we get set in our ways. And people might be fearful. Any taxi showing up, versus now, a Lyft shows up, you know who the driver is. You see the car, you see that. There's a high degree of confidence that LogistiCare has the best interests of their constituents. So they manage that type of business. So it's not just technology, it really is a caring and methodical organization. >> But we have the ability to follow patterns that are already established. We look at how Netflix handles their widely distributed kinds of interface devices. You know, how do they figure out what kind of data-stream to send back to what he's got in his hand versus what I have. We're following the same kind of model, and we're using the technology platform to our best advantage to make sure that we're talking to someone who's got a flip-phone differently than we are talking to someone who's got a (mumbles) Plus, right? (Dave laughs) Because the payload can't be the same, but the backend services don't need to know that. We built a solution here that can examine the request and return the right data-stream. So, "Where's my ride?" Might be "Just around the corner." or it might be a map with a breadcrumb trail and a picture of the driver and all of that. Like you get with a Lyft or an Uber. So, you know, we're building it. >> Great case study, gentlemen. Thanks very much for coming to the Cube and sharing it. >> Well, thank you very much for having, we enjoyed the time. >> Alright, keep it right there everybody. We'll be right back with our next guests. This is the Cube. We're live from Red Hat Summit in Boston. Be right back. (electronic music)
SUMMARY :
brought to you by Red Hat. This is the Cube, the leader in live tech coverage. It's a pleasure to be here. and tell us about your relationship with LogistiCare, We created the brand to serve the commercial market and the members come to us and how does that affect your digital transformation? and then they have the things we and we said, "Well now we have all these trading partners." It's an OpEx (mumbles) and the CapEx cost-savings. and the interfaces that we have with our call centers. And anything, you know, and help us understand just how secure we can be, and the system makes the deterministic call So, you say you automated And we reduced it so it not only Yes, and we have the ability now that allows you to deliver that with confidence (laughs) (laughs) and we can change often. and solutions that we can apply to our business model. So call center as a service, essentially. is be disintermediated by the newcomers. Dave: There's one left, in Alaska, I heard. And one of the features that we developed, And we moved our first ride after five weeks, And the enablers there, (mumbles) and then we do Ansible for doing And I have to ask you about the security question again. and you have to be good at the security in the Cloud. and they didn't know what time and that is why they're going to love that you probably couldn't have done, the last thing you want to do (laughs) You see the car, you see that. We built a solution here that can examine the request Thanks very much for coming to the Cube and sharing it. we enjoyed the time. This is the Cube.
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