FUT2051BE Sustainability as a Competitive Advantage or ... · determine power vs efficiency and...

Nicola AcuttRob Glanzman

FUT2051BE

#VMworld #FUT2051BE

Sustainability as a Competitive AdvantageImperative!

VMworld 2017 Content: Not fo

r publication or distri

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Agenda

1 Sustainability as a Competitive Imperative

2 VMware Commitments & Results

3 VMware’s Emerging Technology Innovations

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• This presentation may contain product features that are currently under development.

• This overview of new technology represents no commitment from VMware to deliver these features in any generally available product.

• Features are subject to change, and must not be included in contracts, purchase orders, or sales agreements of any kind.

• Technical feasibility and market demand will affect final delivery.

• Pricing and packaging for any new technologies or features discussed or presented have not been determined.

Disclaimer

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Sustainability as a Competitive

Imperative

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What is “Sustainability” in the Context of IT?

Sustainable, or "green" IT is a catch-all term used to describe the manufacture, management, use and disposal of information technology in a way that minimizes damage to the environment.

The term has many different meanings, depending on whether you are a manufacturer, manager or user of technology.

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Sustainability as a Competitive Imperative

Carbon Disclosure is not mandatory…yet.

Shareholders now expect companies to disclose how resilient its portfolio and strategy is.

CDP data is now fed into Bloomberg terminals

Importance of disclosing as it effects the supply chain.

Credit Rating

Agencies have cited ESG transparency as rational for changing credit ratings.

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Sustainability as a Competitive Imperative

Risk/Insurance Industry Now Heavily Weigh Sustainability in Their Assessments

• Whether you believe or not in climate change, increasingly unpredictable and powerful weather events increase the importance of businesses being able to prove the resilience of their mission-critical infrastructure.

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The VMware Business Imperative

GRI1997

ESG Data in Bloomberg Terminal

COP 21 Paris Agreement

TRANSPARENCY & MANDATES

Blackrock Letter & World Fed of Exchanges

EU Directive2017

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CUSTOMER DEMAND

Increase of companies reporting to CDP since 2000

EcoVadis customers are VMware customers

GRI1997

EU Directive2017

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Actual Examples From Recent Customer RFP's

Do you currently have an in-house documented environmental management system which we are able to inspect upon demand?

Does VMware have a policy regarding social, environmental and ethical standards expected in their supply change?

Has the proposed software code been optimized from the design phase to reduce resource consumption? Which Green IT Code criteria did you follow?

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CUSTOMER DEMAND

MARKET DYNAMICS3

Carbon Charge for each BU

AWS targeted by Greenpeace

Integrated Reporting tied to Value ChainGRI1997

EU Directive2017

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CUSTOMER DEMAND

MARKET DYNAMICS3

RESOURCE SCARCITY4

Carbon Charge for each BU

AWS targeted by Greenpeace

Integrated Reporting tied to Value ChainGRI1997

EU Directive2017

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VMware Commitments & Results

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SUSTAINABILITY PILLARS

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Science-based

Target for Carbon

Emissions

Carbon Neutrality

Across

Global Operations

Aggressive

Conservation

1 2 3 4 5

90% Waste

Diversion and

Zero E-waste

50% Socially

Responsible

Diverse Suppliers

PLANET GOALS

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100%Internal IT Ops

Virtualized!

72%Global Operations

Powered by

Renewables

100% Renewable Energy Powers Palo

Alto and Wenatchee Datacenters

94%Palo Alto HQ Waste

Diverted

PROGRESS ON OUR GOALS2017

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2017VMWARE BUSINESS OPERATIONS ROI

Green Power for

Facilities in India

>$420K Annual Savings

Each LEED Building

Investment >$70K

OpEx Annual Savings

$2 MILLION

Energy Cost Annual

Savings

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VMware’s Emerging Technology Innovations

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SUSTAINABILITY PILLARS

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Incorporate Sustainability

into Every Product

Empower Customers

to Run Cleaner Clouds

Integrate Sustainability into

our Customer Experience

PRODUCT GOALS

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Whitepaper

• Details “A Sustainability Life Cycle “

• Overview of a number of concrete examples that illustrate areas in which VMware has implicitly improved sustainability through technical means throughout its entire product suite and throughout the development cycle.

• The improvements are the result of establishing a resource goal first and then solving key technical challenges.

• Similar to any disruptive technology, you can’t just “turn on” a sustainability strategy overnight. It takes a determined and concerted effort of incremental technical and cultural shifts over many years.

“Sustainability as a first-class metric for developers and end-users”

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Whitepaper

VMware Hands on Labs – Over 1 Million Served (12/2016)!

– Reduced footprint even though the number of labs increased by a factor of 1.5x!

– Improvement in reducing wasted worldwide real time resources on average is over 21%

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Power Efficiency Testing

2014: Initial testing conducted on ESX5.5 and Ivy Bridge to determine power vs efficiency and optimal CPU saturation level.

2016: Retested on ESX6.5 with the same H/W and saw a 2-3% increase in efficiency. Impressive considering this was just a S/W upgrade from 5.5 to 6.5

– 6.5 NUMA Scheduler enhancement to take advantage of Haswell+ Intel p-State granularity

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2017 Power Efficiency Testing

• 1.5X (50%) performance increase!– VMmark score: R930 = 8.01; R940 = 12.06

• 2.1X (100+%) increase in # of VMs!– R930 = 9 tiles; R940 = 19 tiles (note: each “tile” is 19 VMs, so the R930 cluster ran 171 VMs, the

R940 cluster ran 361 VMs)

• Performance/watt efficiency gain of ~9%!!

Dell R13

Broadwell PowerEdge R930

Dell R14

Skylake PowerEdge R940

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CARES: Carbon Aware Resource Energy Scheduler (current research)

• How many know what DPM is?Great idea! Feature since ESX 4. Hardly ever used! Why?

• SO, what’s the next lowest common denominator for maximum energy savings, minimal risk and minimal effort?

• Let’s try something “unnatural”. Unbalance a cluster, intentionally, using power consumption as a first class metric! “Theoretically” possible with Predictive DRS, vROPS, and some creative

automation!

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Introducing Peak Shift in

• Powered by, Peak

Shift enables IT administrators to

control when batteries are charged on

devices managed by AirWatch

• Potential savings of $50,000/year* with 10,000 devices, assuming Peak Shift is enabled for 4 hours/day, and there is a difference of $0.1/kWh between peak and off peak rates.

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Private Cloud Public Cloud

Efficient & Below Cost

Auction-style Matching

Usage-based Chargeback

Distributed Cloud on

VMware Stack

Secured Network

Cloud Exchange - Project Preview

“An AirBnb model for Cloud.” “Like Netflix vs. Blockbuster”

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Carbon Avoidance Meter (CAM) - Project Preview

• Extending on an internal “Carbon Scoring” project, we wanted to move from a average scoring to a highly accurate, real-time carbon score based upon VMware Skyline™ product usage data.

• This will provide customers with a highly accurate and reliable carbon score, based on emerging worldwide regulations

• Basically, a virtual "Green Advisor". We want you to be prepared!

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VMware’s Biggest Impact: YOU - Our Customers!

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340 Million Metric Tons is the equivalent of having eliminated almost…

1.5 TRILLION Automobile Kilometers Driven!

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The CO2 avoidance in 2016 Alone is the Equivalent of Removing over 15 Million Cars from the Road and the

avoidance of having driven over 273 Billion Kilometers

That's ~$20 Billion Euros in energy savings alone!

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WE’RE NOT DONE YET!

Additional Efficiency Gains with VSAN and !

IDC study determined cumulative infrastructure avoidance related

savings can quickly go north of 20-25% when firms proportionately complement their vSphere installations with

VSAN and NSX!!

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Company Leadership Awards & Recognition

• CDP: A- Leadership Level

• EcoVadis: Silver Recognition

• EPA: Leadership Club #14 on Top 30

• 9 LEED Certified Buildings

• PA Best Workplaces for Commuters 2017

• National CSR Award 2017: Overall Excellence in Corporate Responsibility

• All achieved in less than 2 years!

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Conclusion: Sustainability as a Competitive Imperative!

1. ESG disclosures, environmental-related regulations are inevitable.

2. Sustainability can have solid business ROI

3. VMware’s approach to sustainability is embedded in the innovation engine of the company - the Office of the CTO

4. VMware can help your company not just comply but, take advantage of the competitive opportunities. VMware can be a part of capturing the imperative.

5. Our wish is that you have been inspired by our story and take action!

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Resources

• VMware Xplorer & xLabs blogs

– https://octo.vmware.com/author/xplorer/

• VMware Sustainability

– https://www.vmware.com/company/sustainability.html

• VMware Office of the CTO

– https://octo.vmware.com/

• Carbon Disclosure Project

– https://www.cdp.net

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FUT2051BE Sustainability as a Competitive Advantage or ... · determine power vs efficiency and...

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