JP Morgan Data Center Technology Town Hall 2008

Global Technology InfrastructureGlobal Technology Infrastructure

Data Center Technologies Town HallData Center Technologies Town Hall

January 30January 30thth, 2008, 2008 v1.0F v1.0F

Data Center TechnologiesData Center Technologies 2

AgendaAgenda

2008 DCT Game Plan John Napier

Welcome John Napier

Agenda Topic Presenter

Business Management / Risk & Resiliency David Johnson

Data Center Operations Mike Gotimer

Enterprise Computing Services Doug Rennie

Regional Management - EMEA Andy Maxey

Questions & Answers --

10 minutes

Time

25 minutes

5 minutes

10 minutes

10 minutes

10 minutes

5 minutes

2008 DCT Promotions & Recent Appointments John Napier 10 minutes

Architecture / Infrastructure Technology Management

Adam Richards / Otto Noack

5 minutes


WelcomeWelcome&&

Review of Firm’s ’07 Review of Firm’s ’07 ResultsResults

John NapierJohn Napier

January 2008 DCT TownhallJanuary 2008 DCT Townhall


Review of 2007 Financial HighlightsReview of 2007 Financial Highlights

2007 Full Year Financial Highlights

Record earnings of $15.4B on record revenue of $74.8B

Record EPS of $4.38 up 15% from 2006 on continuing operations

Return on tangible common equity of 23%

Total credit reserve increased by $2.3B to $10.1B

Wholesale credit reserve strengthened by $769MM to $4.0B; 1.67% of loans

Consumer credit reserve strengthened by $1.5B to $6.1B or 2.01% of loans

Maintained strong Tier 1 capital ratio of 8.4% (estimated)

4Q07 Financial Highlights

Earnings of $3.0B on revenue of $18.3B

EPS of $0.86, down 21% from 4Q06 on continuing operations


FY 2007 Managed ResultsFY 2007 Managed Results


4Q’07 Managed Results4Q’07 Managed Results


20082008DCT Game PlanDCT Game Plan

John NapierJohn Napier



2008 Key DCT Themes & Financial Goals2008 Key DCT Themes & Financial Goals

Increased standardisation across products and processes Significantly reduce problems and improve/automate technology resiliency/failover Innovate with new technology & scale-up (Carlstadt, Belleville, Sydney, Site

Consolidations, MF2010) Optimisation of assets and automation Drive increase in efficiency, utilising automation and faster cycle times (i.e. server

installs) with improved quality of end-to-end process Reduce cost and maintain focus on quality and control Continued excellence in people development, diversity, skill acquisition, and

reward/recognition

ThemesThemes

FinancialsFinancials


2008 Key DCT Metrics2008 Key DCT Metrics

Service Delivery Project Execution

Financials / Controls People Development

’08Target

’08Target

80%

100%

Drive an average of 20-40 hrs of appropriate Training to DCT Employees

Goals, Development Plans, and Direct & Actionable Mid-year / Year-end Reviews Completed

’08Target

On time,

within Budget and

within scope

ECS: Somerset Exit, MF2010, SBPlex Resiliency

DCO: Carlstadt, Belleville, Sydney, TPrime

SDCM: 4,000 Servers Migrated, 7 DCs exited

Asset Optimisation, Sustainability and Utilisation

Establish Merger Playbook

’08Target

+/-3%

$33MM

Monthly & Full-year Budget Actuals to Plan Variance

CSAs/SOX/Risk Action Plans completed on time (original date pre-extensions)

Close Financial Plan Gap to Target

95%

’07Baseline

Internal/External Audit (inclu. SAS70s) issues identified during prior CSA/SOX testing

95%

33

30%

Reduce P1S1 Volume by 20%

Improve Production Change Success

Reduce P2/P3 Volume by 30%

99.85%

41

--

99.77%

90(by Q4)

Improve ATTR (P1S1s) – mins. 119(‘07 avg)

50% Deliver Metrics Training to DCT

Employees


Data CenterData CenterOperationsOperations

Mike GotimerMike Gotimer



2008 Key Themes & Financial Goals – DCO2008 Key Themes & Financial Goals – DCO

Project Execution: Builds - Carlstadt, Belleville, 340 McCoy, NOCV, MCC, CDC Restack; 7 Exits, 2,200 SDCM Migrations, 1 Workflow Toolset Prime, 1 DCO Monthly Report

Controls: T+1 Tape Handling with <1% internal break rate, 1 Tape Tracking System (ETRS) with a continuation of C2B, R2C Phase II/III and the Failed Drive Program

Focus on RSO Locations: migration to strategic DC’s over 2,200 servers, 300+ sites People Development via Skills Assessment and Rotational Assignments DC Sustainability and the Syracuse DC Working LAB Programs Focus on Project Mgmt and Key Metrics leading to staff reallocation and saves

ThemesThemes



2008 DCO Project Execution2008 DCO Project Execution

Q2’08 Q3’08Q1’08 Q4’08D

ata

Cen

ter

Builds

Stra

tegi

c D

ata

Cen

ter

Mig

rati

ons

Aug 15: Belleville Production Ready

(65K sq.ft.)

Sep 2: Carlstadt Production Ready

(120K sq.ft)

Jul 15: 340 McCoy Production Ready

(4 Containers)

TPrime Rollout

3CMC Media Bunker: Tape Migration

Complete

June 30: NOC5 Production Ready

(2 Containers)

1201 N. Market (DE) Exit

4NYP 7th Flr. Exit

IBM North Harbour (UK) Exit

1111 Fannin 9th Flr. Exit

73 Tremont Exit

10 Aldermanbury (UK) Exit

London Wall (UK) Exit


2008 DCO Service Stability Plan2008 DCO Service Stability Plan

Improve Customer Experience with the installation of PRIME - globally One Toolset, One Process Define & track exceptions on ‘hard demand’ submission within 90 days (partnering w/ ICP) Based on 2007 end to end review, the target for rack mounted install will move to 10 days Track delivery to commitments made for custom/free standing installations

Enhance Capacity Management Metrics Enhance metrics to allow more detailed view of demand trending (historical, forecast, and

actual PRIME’s) vs. power/space/rack unit capacity Working with CREGS – enhance allocated to actual metrics to demonstrate use of built data DCS reporting on server utilization & mapped to power allocation to ensure sweating of assets

Reduce Control Issues and Improve Operations of RSO Locations CSA for all DC and RSO sites under management with improvement programs Apply consistent processes across all sites and expand to LOB managed sites Drive the migration of work out of RSO sites and into strategic sites

Implement the Core 2 Bunker and Remote 2 Core Program – Phase II/III Reduce risks of lost data Speed the delivery of restoring data Continue Failed disk and shredding program

DCO Service Stability Plan


2008 Key Metrics – DCO2008 Key Metrics – DCO



’08Target

’08Target

’08Target

100%

100%

Deliver 2008 Planned Data Center Builds: 200,000+ Raised Sq. ft.

Execute on the forecasted 2,200 migrations to support DC strategy

Exit 7 Data Centers in 2008

100%

’08Target

80%

10%

Complete skills assessment & target individual programs for staff

Job Rotations

15%

$12+MM

Reduce Third Party Vendor obligations associated with Tape

Realize reduced expenses associated with Site Consolidations

95%

95%

Accuracy of Install/Decom. Demand Volume to Forecast

Reduce Problem Tickets via analysis, preventative programs & elimination

Accuracy of Install/Decom. Demand - % Forecast submitted

10%

Improve average number of days to install a server

10 Days


EnterpriseEnterpriseComputing ServicesComputing Services

Doug RennieDoug Rennie



2008 Key Themes & Financial Goals – ECS2008 Key Themes & Financial Goals – ECS

Service Delivery Improvement to the Business

Key Program Management Execution (Somerset Exit, North Harbour Exit, MF2010, Software Rationalization Program, iSeries Consolidation)

Efficiency Agenda (Resource Strategy, Demand Reduction with LoBs)

Product Governance and Financial Transparency

ThemesThemes



2008 ECS Project Execution2008 ECS Project Execution

Q2’08 Q3’08Q1’08 Q4’08

LOB E

vents

Con

solidat

ions

Soft

war

e R

atio

nal

izat

ion

Pro

gram

Everg

reen

MR2-07 Implementations

MR1-08 Implementations

ER207B ‘Go-Live’

PB Rehost Complete

IWP: STAR ‘Go-Live’

ER108 ‘Go-Live’

Collegiate Funding ‘Go-Live’

Vision Drive Tape Media Clean up

Somerset HP Decom. Complete

Somerset: ECS Equipment

Install Complete

Somerset Mainframe Migration ‘Go-Live’

Somerset Site Exit

Automon/RDO to ASG CATS Conversion

Compuware Exit

Diversified JobScan Conversion to CA-

JCLCheck

MOBIUS US Exit

Convert BMC

Mainview Monitors to Omegamon

Convert BMC AutoOperator to IBM SA/ZOS

BMC Data Accelerator to IBM SMS

Network: Remediate HODS

Network: Remediate 3745s, SNAsw

CHF: z/OS 1.7 Upgrades Complete

CMCz Production Cutover

HP OpenVMS Site Consolidation: ‘Go-Live’

HP OpenVMS IDSS-G ‘Go-Live’

Cast Manager Stratus: Decom. Complete

HP OpenVMS Site Consolidations: Ph2 ‘Go-Live’

File App. Server: Implement Perf. Application on OVMS System


2008 ECS Service Improvement Plan2008 ECS Service Improvement Plan

Service Delivery Improvement will be ECS’s #1 Objective

A formal program structure is being established & will be led by Barry Scheetz and Mary Kropczynski

Goal of program is to significantly improve service delivery to the businesses by reducing P1S1s, MTTR, & Customer Impacts

Implementation items will be cross-ECS to ensure consistency and effectiveness of execution

Program deliverables to be communicated in February

ECS Service Improvement Plan


2008 Key Metrics – ECS2008 Key Metrics – ECS



’08Target

691K

30

Reduce # of External Customer Impacts



11

’08Target

’08Target

90%

100%

Key Projects completed on time and on budget

PM Feedback – Projects w/ survey responses

Project Governance - Projects w/ monthly governance meetings

100%

’08Target

’07Baseline

987K

37

14

100%

4

Goals, Development Plans, and Direct & Actionable Mid-year / Year-end Reviews Completed

FTEs engaged in zUniversity program

+/-3%

100%

Monthly & Full-year Budget Actuals to Plan Variance

Risk Action Plans closed on or before original due date

Recover all Products on a full year basis

90%


RegionalRegionalManagement:Management:

EMEAEMEA

Andy MaxeyAndy Maxey



2008 Key Themes & Financial Goals - DCT EMEA2008 Key Themes & Financial Goals - DCT EMEA

Improve the stability, resiliency and predictability of service delivery; inclu. 24X7 onsite support for all UK Data Centres

Exit of North Harbour DC and build out of in-house Tape Bunker at Basingstoke Consolidation to new i570/DS8300 environment & deployment of z/Linux Roll out integrated TPrime toolset under ITAM SDCM: decommissioning & removal of 973 servers, install 420 servers & forklift 285 servers Software Rationalisation and Standardisation DC Optimization: instigate best-in-class power efficiency ratings across data centers Evergreen Deployments: z/OS, Adabas, MQ, CA-Spool, NDM, XCOM, CICS Web, NPP, etc.

ThemesThemes



2008 EMEA Project Execution2008 EMEA Project Execution

Q2’08 Q3’08Q1’08 Q4’08

Med

ia

Libra

rySD

CM

24 x

7

Suppor

t

DCO

NH

BR

SRS

&

SM/S

AiS

eri

esz/

Linux

ECS

Basingstoke Media Library Construction Complete

Media Movement Complete

North Harbour Application Exit

Complete

10 Aldermanbury Application Exit Complete

London Wall Application Exit Complete

24 x 7 Live33% Staff Accredited

66% Staff Accredited

Site ReadyNorth Harbour Exited

iSeries Infrastructure

Ready

Production Ready StatusOmegamon, MQ, and NDM Production Deployments

Commence

North Harbour Exited

TADDM Deployed

Refresh Complete

Omegamon z/OS and CICS Live

VPS, $AVRS, and ViewDirect Migrated

Omegamon MQ, DB2 and Networks Live


2008 Key Metrics - DCT EMEA 2008 Key Metrics - DCT EMEA



’08Target

2,369

195

Reduction of Problem Tickets by 20% (no more than 12 P1Sx)

Improve Production Change Success

Improve ATTR (P1S1s) by 30% - Mins.

99.85%

’08Target

’08Target

6/08

7/08

North Harbour Exit (application)

iSeries Consolidation/Migration

Basingstoke Media Library

11/08

’08Target

’07Baseline

2,961

278

99.7%

100%

100%

Objectives and Development Plans in PMC & agreed by end of February

All Staff to have Two Appraisal Reviews

$5MM

>$5MM

Deliver on Regional EMEA Productivity

Plan Reduction Target(BAU & Initiatives)


Architecture /Architecture /Infrastructure Infrastructure

Technology ManagementTechnology Management

Adam Richards / Otto NoackAdam Richards / Otto Noack



2008 Key Themes – Architecture / ITM2008 Key Themes – Architecture / ITM

Leadership role for the GTI architecture forum (AF) Leverage the strategic technology themes to produce an integrated, multi-year GTI

technology plan Facilitate cross-tower architectural planning; produce reference architecture designs Advise the GTI management team on project/investment prioritization Engage the firm-wide AB to ensure alignment with LoB requirements Engage the EB to turn architecture designs into engineered solutions Cultivate relationships with key technology suppliers; influence product development

Themes - ArchitectureThemes - Architecture

Themes - ITMThemes - ITM

Continue to provide basic infrastructure technology governance Renovate the Engineering Board: membership, meeting format and content, focus Commitment to develop enterprise-wide solutions: focus areas determined on 2/27 Drive cost/energy efficiencies through the Optimization steering committee Host EB technology briefing series: timely, relevant topics by industry leaders Innovation leadership: IT industry research


BusinessBusinessManagement / Management /

Risk & ResiliencyRisk & Resiliency

David JohnsonDavid Johnson



2008 Business Management / Risk & Resiliency Themes & Metrics2008 Business Management / Risk & Resiliency Themes & Metrics

Enhance DCT metrics to include predictive/projected modeling

Implement a Balance Scorecard for DCT Optimise the Global Business

Management Agenda to deliver efficient products and services

Market, internally and externally, the successes of and the challenges overcome by the DCT organisation

Themes Metrics

BusinessManagement

Risk & Resiliency

Maintain fundamental control and risk focus for operations (CSA, SOX)

Improve accuracy of action plan timeline to close issues (Audit, CSA, SOX)

Ensure all projects are built in compliance with all IT Risk policies and standards (Secure from the Start)

Perform operation and control threats/vulnerability assessments and deep dive risk reviews

Implement risk monitoring utilities (ESM) and remediate exceptions

’08Target

100%

>95%

CSA/SOX tests, in all cycles, completed on-time

Pre-identification of issues raised by non-DCT reviews

Action plans completed on/before their original due date

>95%

Open SOX SAD items by the end of 2008

0

Major projects assessed against SFTS by 4Q’08

100%

>90%

<1%/2%

Monthly effort and cost efficiency coverage

Delivery on new productivity

Monthly and End of year resource actuals versus forecast/plan

$20MM

>90% Execute on communication events

across DCT, within group and region (completed)


2008 DCT VP & Associate Promotions 2008 DCT VP & Associate Promotions

Matthew Aldridge Thomas Farruggia Bernard George Donald Hunker Robert Jones Jeff Lang Paul Mason Laila Sholy Michael Trakan Darryl Wylie

Vice President

DCO SDCMECS

Patrick Androsik Joseph Franze Clifford Gerber Douglas Greenleaf Martin Hastings Sherill Holston Jr. Robert Husted Dave McFadden

Jill Alves Sandi Robbins

Jereme Buuck Gary Chapman Kimberly Delaney Mark De Villiers Michael Murdoch John Oliver

Associate

DCO ECS

Babar Ahmad Simon Casey Sandra Hague Catherine Hall Nathaniel Hurley Octavia Ratliff Jason Warner

Shaikh Qadeer Tyler Rigby Cynthia Smith Terrence Vickers James White Robert Wilkerson

Anthony J Montera Jeffrey Osick Stephen Rees James Schleter Thomas Skeen Mohammed Khalil

Ullah Joseph Varanelli


2008 Key Appointments2008 Key Appointments

Welcome Sunil Khatri -- new head of Data Center Technologies, Asia

Pacific effective February 1, 2008.


2008 DCT People Agenda Calendar2008 DCT People Agenda Calendar


Q&AQ&A


JP Morgan Data Center Technology Town Hall 2008

Technology

Transcript of JP Morgan Data Center Technology Town Hall 2008