Enabling the Virtual Organizationawsmedia.s3.amazonaws.com/CustomerPresentation_Amylin_ExecS… ·...
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Enabling the Virtual Organization
Steve Phillpott, CIO [email protected]
Amylin Pharmaceuticals, Inc. 10 Nov, 2009
Safe Harbor Statement
This presentation contains forward-looking statements about Amylin. Our actual results could differ
materially from those discussed due to a number of factors, including: BYETTA and/or SYMLIN may
be affected by competition, safety or other issues; clinical trials not being completed in a timely
manner or achieving the intended clinical endpoints; NDAs or sNDAs not being submitted in a
timely manner or receiving regulatory approval; expense reductions not being as large as we
expect; our label update not being finalized in a timely manner; or manufacturing and supply
issues. The pace of market acceptance and rate of patient adherence may also affect the potential
for BYETTA and/or SYMLIN. These and other risks and uncertainties are described more fully in
Amylin’s most recently filed Form 10-Q. Amylin disclaims any obligation to update these forward
-looking statements.
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10%–14% <10%
25%–29% 20%–24%
No Data 15%–19%
≥30%
Diabetes Prevalence
Who is Amylin? Diabetes and Obesity Focused
Obesity Prevalence
Source: CDC BRFSS 2005 BMI 30 kg/m2 (~ 30 lbs. overweight for 5’ 4” person)
5%–6% <5%
>8% 7%–8%
No Data
6%–7%
Obesity now recognized as a disease (CDC & NIH) Over 60 million in the US, and 400 million
worldwide
Over 24M in the U.S with Diabetes and 171M worldwide. These #’s will double by 2030. Approx 3.2M people die each year from Diabetes or related
complications(6 every minute).
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Where is our business model headed > “New Age of Innovation” as a guide
– R=G - Resources are Global – N=1 - Focus on Individual Customer Experience
Implications > Increase in strategic partnering > Global reach & integration even if commercially focused on US > Need for high level of flexibility > Highly complex business model > Focus on leveraging external expertise
Virtual Business Model further opened the door for Cloud Computing
Use of the Cloud aligns perfectly with Virtual Business Model - variable cost/pay-per-use model critically important
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Enabling the Virtual Organization Reframing IT Away From Thinking of “The App”
Visibility to Processes and Data across the “organization”
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Amylin Virtual Data Center Delivering Business Value: “The Right Tool For The Right Job”
> Data Centers (DC) at 100% capacity > $2M - $5M required for more capacity > Critical apps such as ERP are on-site
Cloud Computing Platform
Off-site, On-line Storage
SaaS Applications accessed via Net
Provide pay-per-use computer capacity to business faster and at reduced costs.
Improved Disaster Recovery (DR) and to defer off-site DR expense
Applications with minimal Capital, reduced Expense, more Functionality and improved DR
Virtual Data Center
Build new Applications for the business quicker and at reduced cost
Physical Data Center
Cloud SW Dev Tools and Platforms
San Diego Campus Two data centers with high-availability failover architecture.
Leverage Virtual Server Technology to
minimize footprint
Leverage Private Cloud to optimize internal utilization
Data Center 2 Production Datawarehouse ERP CRM Data Storage
Data Center 1 Production Email Document Mgt Collaboration Data Storage
Private Cloud Computing
Trusted Cloud (validated apps)
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Application Rationalization Driving toward Optimum Strategic Right-Sourcing Alignment
Com
mod
ity
Diff
eren
tiato
r
Internal External
Type
of C
apab
ility
Provider of Capability
Optimum Strategic Right-Sourcing Alignment
Loss of competitive
advantage
Waste of internal resources
Commodity apps such as eMail
Business Intelligence
Alliance Partnership
Other Applications
Business capabilities and processes should fit near this line for optimum strategic fit.
Moving away from the line results in:
• Internalizing capabilities that are commodities
• Externalizing differentiators (core competencies)
Both misalignments reduce competitive posture and potentially increased costs.
Optimum alignment (the right tools for the right job) results in:
• Increased cost agility and • Sustainable investment in core
competencies
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Successes with the Cloud
Organizational / Stakeholder Education Success – Sell what’s in it for the business
As with “Location” in Real Estate it is “Executive Support” that is critical in making a move to the Cloud
> Have experienced success in educating stakeholders in the merits of the Cloud > Amylin business function leaders are eager to see Cloud POCs using their IT assets > Agreement, Endorsement, Excitement for a new IT technology > Advertise the Successes.
Financial Success
> Stakeholders believe in the cost comparison methodology
> Have developed a highly detailed cost modeling tool comparing on-premise and Cloud costs. Models validated by Finance Department. > Analysis in each case has shown 30% to 50% cost reductions
Success in Using the Cloud - Applications
> HR/Performance Management Apps, Time and Attendance Collection, Employee Expense Processing are deployed, several more getting close (DEV/TEST, etc) > Email hosting – move to SaaS/archiving service currently underway > 2 Large costly, on-premise apps with ~$3m annual cost savings
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Challenges
• People
• Process
• Technology
• Focus
Measures Taken
Create Appropriate Environment for Success
• Establish new processes to provision, monitor and manage cloud platforms
• Ensure good change control processes are implemented and integrated with different support teams
• Align IT to provide strategic value to the business. Role more than just supporting the applications.
• Engage/Educate IT/Customers on Cloud Computing
• Security: Implemented LDAP to manage cloud.
• Implemented VPN solution to ensure secure transport.
• Identify applications fit for cloud computing model
• Continue to look at applications, infrastructure purchases than can be off-set by leveraging the cloud
• MUST have solid understanding of internal costs.
Challenges and Lessons Learned
You will find issues with moving to the “cloud”.
Start small and grow maturity
Cloud Requires Strong Integration and Identity Management Strategies
Use of SaaS and Cloud Driving an: Increased # of user logins and passwords
Increased workload provisioning for system administrators
Integration On-Premise to SaaS/Cloud Between SaaS/Cloud Solutions
Data Management Extract data from the Cloud Data Load into Cloud Service
Where to start: Determining What Goes to the Cloud
Review your portfolio of
IT Services and their costs
Virtualized Data Center Rationalize and
prioritize services against appropriate Cloud Use Cases
Cost/Benefit ROI (TCO-Based)
Performance and Architectural Fit
Control / Governance Data mgt, Customization, etc
Security / Risk Mgmt Privacy, Compliance, etc
Not everything is an appropriate “use case” for the cloud delivery model
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Where to Start? How to evolve Amylin’s Cloud Evolution…continues to evolve
Educate
Experiment
Migrate
Outcome Defined
Build Expertise
Implement
Play
Learn
1993-95
IT Supports Business Strategy
Executive Buy-In – CEO, CIO, InfoSec, etc
Reduce Cap-ex, Optimize DC usage
IT Enables New Cloud Capabilities
Kno
wle
dge
• Team Involvement • Conferences • Vendor Briefing
• Expert Services
• Best Practices • Collaborate with
other companies
• Team Approach • Hands-on approach • Understand the value
proposition • Understand
constraints
• Migrate dev/test environments
• Migrate or launch new apps on the cloud
• Embrace success • Showcase cost
savings • Build an enterprise
cloud strategy • Learn from each
experience • Expand
accordingly
Awareness Understanding Transition Commitment
• Indentify app fit for cloud computing
• Define new processes
Q&A
• “The Cloud” is here. – Not a matter of if, but when.
• Not all applications are appropriate for the Cloud.
• But some applications are VERY appropriate for the Cloud.
• Our job is to find the balance.