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Expert guidance on how to use Amazon Web Services to supercharge your digital services business In Transforming Your Business with AWS: Getting the Most Out of Using AWS to Modernize and Innovate Your Digital Services, renowned international consultant and sought-after speaker Philippe Abdoulaye delivers a practical and accessible guide to using Amazon Web Services to modernize your business and the digital services you offer. This book provides you with a concrete action plan to build a team capable of creating world-class digital services and long-term competitive advantages. You'll discover what separates merely average digital service organizations from the truly outstanding, as well as how moving to the cloud will enable your business to deliver your services faster, better, and more efficiently. This book also includes: * A comprehensive overview of building industry-leading digital service delivery capabilities, including discussions of the development lifecycle, best practices, and AWS-based development infrastructure * Explanations of how to implement a digital business transformation strategy * An exploration of key roles like DevOps Continuous Delivery, Continuous Deployment, Continuous Integration, Automation, and DevSecOps * Hands-on treatments of AWS application management tools, including Elastic Beanstalk, CodeDeploy, and CodePipeline Perfect for executives, managers, and other business leaders attempting to clarify and implement their organization's digital vision and strategy, Transforming Your Business with AWS is a must-read reference that answers the "why" and, most importantly, the "how," of digital transformation with Amazon Web Services.
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Seitenzahl: 415
Veröffentlichungsjahr: 2021
Cover
Title Page
Introduction
Reader Support for This Book
Part I: Understanding the Digital Transformation Challenges
Chapter 1: The Digital Economy's Challenges, Opportunities, and Relevance of AWS
Understanding the Digital Economy's Impacts
Changes in the AWS Implementation Paradigm
Key Takeaways
References
Chapter 2: What Is a Digital Product?
Differences Between Digital Products and Digital Services
Anatomy of the Digital Product
Impacts on Digital Product and Service Development
Key Takeaways
References
Chapter 3: Digital Product and Service Development Challenges
What Is Digital Product and Service Development?
Digital Product and Service Development Approach Evaluation
Challenges of Current Digital Product Development
Key Takeaways
References
Chapter 4: Industrializing Digital Product and Service Development
The Total Quality Management and Mass Production Heritage
Industrialization Factors
Understanding DevOps as the Framework for Implementing Your Digital Product and Service Development Platform
AWS Industrialization Factors
Key Takeaways
References
Part II: Digitizing the Business Model Using AWS
Chapter 5: The J&S Food Digital Transformation Project
History of J&S Food, Inc.
Transformation Journey's First Stage: Planning the Transformation
The Kickoff Meeting
The J&S Food Digital Transformation Project's Statement of Work
Key Takeaways
References
Chapter 6: Rethinking J&S Food's Business
Transformation Journey's Second Stage: Rethinking the Business
Understanding J&S Food's Current Business
Assessing the As‐Is Operational Model
Defining the Future Digital Business Model
Integrating J&S Food's Digital Operational Model with the Organization
Key Takeaways
References
Chapter 7: Digitizing J&S Food's Business Model Using AWS—Implementing the VPC
Transformation Journey's Third Stage: Digitizing the Business Model
Defining J&S Food's AWS Migration Strategy
Sharing J&S Food's Digital Business Model
Defining the J&S Food's Digital Business Application Portfolio
Specifying J&S Food's Virtual Private Cloud Architecture
Executing J&S Food's AWS Migration Strategy
Key Takeaways
References
Chapter 8: Implementing J&S Food's DevOps Platform Using AWS PaaS
Transformation Journey's Third Stage: Implementing J&S Food's DevOps Platform
Understanding What J&S Food Is Trying to Achieve
Understanding the DevOps Implementation in the AWS Computing Environment
Implementing J&S Food's Digital Product and Service Development Platform
Key Takeaways
References
Chapter 9: Developing J&S Food's Innovation as a Service Platform Using AWS
Transformation Journey's Third Stage: Developing J&S Food's Innovation as a Service
Software Engineering Methodology for Innovations Development in the AWS Cloud
Implementing the Microservices Architecture of the Digital Product and Service
Key Takeaways
References
Part III: Developing World-Class Digital Products and Services Using AWS
Chapter 10: J&S Food's Smart Shopping Bag Digital Product Project
Transformation Journey's Fourth Stage: Experimenting with the Digital Business Model
The Smart Shopping Bag Project Overview
The Smart Shopping Bag Project's Organization
The Smart Shopping Bag Project's Opportunity Statement
The Smart Shopping Bag Project's Objectives
The Smart Shopping Bag Project's Scope
The Pilot Project Management
Key Takeaways
References
Chapter 11: Specifying J&S Food's Smart Shopping Bag Digital Product
Transformation Journey's Fourth Stage: Specification of the Smart Shopping Bag Digital Product
Specifying the Smart Shopping Bag Digital Product's Scope
Specifying the Smart Shopping Bag's Functions Using Sequence Diagrams
Specifying the Smart Shopping Business Rules Using Class Diagram
Key Takeaways
References
Chapter 12: Designing J&S Food's Smart Shopping Bag Digital Product
Transformation Journey's Fourth Stage: Designing the Smart Shopping Bag Digital Product
The Agile Operational Model Confirmed as the Foundation of J&S Food's Work Organization
The Resulting Smart Shopping Bag's Architecture
Acquired Digital Business Competency: Digital Products and Services Architecture Design
Key Takeaways
References
Chapter 13: Prototyping J&S Food's Smart Shopping Bag Using Innovation as a Service
Transformation Journey's Fourth Stage: Prototyping the Smart Shopping Bag's Application
Sharing the Prototyping Process Goal and Approach
The Smart Shopping Bag Application Prototype
The Business Logic, Technological, and UI Microservices Prototyped
Key Takeaways
References
Chapter 14: Implementing J&S Food's Smart Shopping Bag Application
Transformation Journey's Fourth Stage: Implementing the Smart Shopping Bag's Production Release
The Smart Shopping Bag App: Production Release
Understanding the Pivotal Role Played by Agile Methodologies
The Development Team's Feedback: Lessons Learned
Key Takeaways
References
Chapter 15: Launching J&S Food's First Digital Food Product
Transformation Journey's Fourth Stage: Deploy J&S Food's Digital Business
Defining J&S Food's Go‐To‐Market Strategy
Understanding J&S Food's Go‐To‐Market Strategy
Declaring J&S Food's Digital Business Opened
Key Takeaways
References
Chapter 16: Maintaining and Supporting J&S Food's Digital Business on a Daily Basis
The New J&S Food Day‐to‐Day Business
J&S Food's Customer Value Creation Virtuous Circle
Customer Insights Management on a Daily Basis
Customer Value Increase Management's Day‐to‐Day Operations
Digital Product and Service Releases Development
Key Takeaways
References
Index
Copyright
Dedication
About the Author
About the Technical Editor
Acknowledgments
End User License Agreement
Chapter 3
Table 3.1: J&S Business Context, Challenges, Opportunities, and Requirements
Table 3.2: The Weaknesses of the Current Digital Product Lifecycle
Table 3.3: The Challenges of the Current Technology Stack
Table 3.4: The Challenges of the Current Organizational Model
Table 3.5: Human Capital Asset Challenges
Chapter 4
Table 4.1: The Methodologies Identified as Industrialization Factors
Table 4.2: Technologies Identified as Industrialization Factors
Table 4.3: Operational Excellence Design Principles, Promised Value, and Der...
Table 4.4: Security Design Principles, Promised Value, and Derived Best Prac...
Table 4.5: Reliability Design Principles, Promised Value, and Derived Best P...
Table 4.6: Performance Efficiency Design Principles, Promised Value, and Der...
Table 4.7: Cost Optimization Design Principles, Promised Value, and Derived ...
Chapter 5
Table 5.1: The Factors Making J&S Food's Workforce Irrelevant
Table 5.2: The Factors Weakening J&S Food's Operational Model
Table 5.3: The Factors Weakening J&S Food's Organizational Model
Table 5.4: The Factors Making J&S Food's Technology Stack Irrelevant
Chapter 6
Table 6.1: The As‐Is Buy Use Case
Table 6.2: The As‐Is Fulfill Order Use Case
Table 6.3: The As‐Is Pay Use Case
Table 6.4: The As‐Is Perform Customer Service Case
Table 6.5: The As‐Is Manage Supply Chain Use Case
Table 6.6: The As‐Is Maintain Website Use Case
Table 6.7: The As‐Is Develop Food Product Use Case
Table 6.8: Overview of the Assessment Findings and Recommendations
Table 6.9: The Primary Activities of the Original Value Chain Framework
Table 6.10: The Support Activities of the Original Value Chain Framework
Table 6.11: The Primary Digital Business Activities of the Original Value Ch...
Table 6.12: The Support Digital Business Activities
Table 6.13: Digital Business Organizational Model Design Questionnaire
Table 6.14: J&S Food's Responsibility Assignment Matrix (RAM)
Table 6.15: The Interactions and Collaboration Mechanisms Implemented
Chapter 7
Table 7.1: Concerned Business Domains and Related Applications
Table 7.2: The AWS 6R's Model
Table 7.3: The Characteristics of T2.2Xlarge Instance Type
Table 7.4: Features of the AMI Supporting WebSphere Liberty
Table 7.5: The J&S SNS Topics and Messages
Table 7.6: Data and Functions of the Microservice Geolocate
Table 7.7: Data and Functions of the Delivery Person Microservice
Table 7.8: Two‐Sided Marketplace Software Module Architecture and Developmen...
Table 7.9: The Two‐Sided Marketplace Validation Tests
Chapter 8
Table 8.1: The Digital Business Primary Activity Specification Matrix
Table 8.2: Functions of the AWS CodePipeline Stages
Table 8.3: The Technology Mobilized Across the Delivery Pipeline Stages
Table 8.4: The Source Platform's Actions and AWS Services
Table 8.5: The Build Platform's Actions and AWS Services
Table 8.6: The Staging Platform's Actions and AWS Services
Table 8.7: The Production Platform's Actions and AWS Services
Table 8.8: The Primary Activities of J&S Food's Business Model
Table 8.9: J&S Food's Digital Product and Service Development Team
Chapter 10
Table 10.1: The Smart Shopping Bag Project's Scope
Table 10.2: Roles and Responsibilities Within the Project's Task Force
Chapter 11
Table 11.1: Actors of the Smart Shopping Bag Ecosystem
Table 11.2: The Smart Shopping Bag Use Cases Identified
Table 11.3: Objects Implementing the Use Case Press Start to Begin Shopping
Table 11.4: Objects Implementing the Use Case Respond to In‐Store Customer B...
Table 11.5: Objects Implementing the Use Case Detect Product Code Put in the...
Table 11.6: Objects Implementing the Use Case Send EEPROM Data to Billing Sy...
Table 11.7: Objects Implementing the Use Case Respond to RFID Reader Queries
Table 11.8: Objects Implementing the Use Case Calculate the Bill Amount
Chapter 12
Table 12.1: Roles and Responsibilities in the Smart Shopping Bag Design Proc...
Table 12.2: J&S Food's Satisfaction with the Agile Operational Model
Table 12.3: Description of the In‐Store Customer Package's Constituents
Table 12.4: Description of the Shopping Session Package Constituents
Table 12.5: Description of the Smart Shopping Bag Package Constituents
Chapter 13
Table 13.1: Iterations That Led to the Microservices and Application Prototy...
Table 13.2: Microservices Architecture Validation Criteria
Table 13.3: The Prototyping Team's Structure, Roles, and Responsibilities
Table 13.4: Microservices Discovery Table
Table 13.5: The Smart Shopping Business Logic Microservices Documentation
Table 13.6: Additional Smart Shopping Bag Business Logic Microservices Docum...
Table 13.7: The Smart Shopping Bag IoT Gateway Microservices Documentation
Table 13.8: The Smart Shopping Bag IoT Gateway Microservices Documentation
Table 13.9: The Smart Shopping Bag AWS IoT Core Microservices Documentation
Table 13.10: Additional Information About AWS IoT Core Microservices Documen...
Table 13.11: The RFID Reader Microservices Documentation
Table 13.12: The Information About the RFID Tag Microservices Documentation
Table 13.13: The Information to Know About the UI Microservices Documentatio...
Chapter 14
Table 14.1: J&S Food's AWS Innovation Microservices Library
Table 14.2: The AWS Virtual Infrastructure Resources Underpinning the Smart ...
Table 14.3: Lessons Learned and Go/No Go‐To‐Market
Chapter 15
Table 15.1: The Key Elements of J&S Food's Go‐to‐Market Strategy
Chapter 16
Table 16.1: The Big Data Analytics Activity at J&S Food
Table 16.2: The AI/ML Activity at J&S Food
Chapter 1
Figure 1.1: COVID‐19 impact on unemployment
Figure 1.2: Overview of the AWS Universal Architecture
Figure 1.3: Overview of the AWS Site‐to‐Site VPN principles
Figure 1.4: Principles of VMware Cloud on AWS
Chapter 2
Figure 2.1: The digital product anatomy
Figure 2.2: The AWS IoT ecosystem supporting organization's innovative digita...
Figure 2.3: Amazon SageMaker complete operational environment
Figure 2.4: Overview of AWS EMR
Figure 2.5: Digital product evolutionary trajectory
Chapter 3
Figure 3.1: The agile stage‐gate SDLC supporting today's digital product deve...
Figure 3.2: The assessment matrix for digital product development platforms
Figure 3.3: Ingredients of a successful digital product and service developme...
Figure 3.4: The five requirements model for a successful digital business
Chapter 4
Figure 4.1: Overview of the industrialization factor families
Figure 4.2: Overview of the AWS Enterprise Cloud Migration design pattern
Figure 4.3: Functional overview of a standard DevOps platform
Figure 4.4: Overview of XP development lifecycle
Figure 4.5: Scrum Agile software development lifecycle
Figure 4.6: Overview of the Kanban activities
Figure 4.7: The AWS Enterprise Cloud Migration pattern
Figure 4.8: The industrialization matrix for AWS
Chapter 5
Figure 5.1: J&S front‐office and back‐office organizational model
Figure 5.2: J&S front‐ and back‐office information systems in the early 2000s...
Figure 5.3: Planning the transformation stage
Figure 5.4: J&S Food sales over the past 9 years
Figure 5.5: The Five Competitive Forces Matrix
Figure 5.6: The five whys tool
Figure 5.7: Overview of the strategy map tool
Figure 5.8: J&S Food's digital strategy
Figure 5.9: The digital transformation roadmap
Figure 5.10: The simple digital transformation roadmap development
Figure 5.11: The J&S digital transformation roadmap
Chapter 6
Figure 6.1: Rethinking the business stage
Figure 6.2: J&S Food's as‐is use case
Figure 6.3: J&S Food's current data model
Figure 6.4: The online customer journey underpinning the digital food experie...
Figure 6.5: J&S Food's as‐is operational model
Figure 6.6: Overview of how the smart shopping bag works
Figure 6.7: Overview of J&S Food's next marketplace platform
Figure 6.8: Michael Porter's original value chain
Figure 6.9: The value chain for digital business
Figure 6.10: J&S Food's future digital business model
Figure 6.11: The digital business organization model
Figure 6.12: The J&S Food's organizational model
Chapter 7
Figure 7.1: The digitizing the business stage
Figure 7.2: J&S Food's AWS migration strategy
Figure 7.3: J&S Food's digital business model
Figure 7.4: The digital business application portfolio development process
Figure 7.5: The J&S Food's VPC
Figure 7.6: Overview of J&S Food's extended EC2
Figure 7.7: Implementation of J&S Food's VPC architecture using AWS CloudForm...
Figure 7.8: J&S Food's ecommerce website's as‐is architecture
Figure 7.9: Overview of J&S Food's two‐sided marketplace platform
Figure 7.10: Amazon SNS
Figure 7.11: J&S Food's digital business microservices
Figure 7.12: Overview of the application migration process with AWS Elastic B...
Figure 7.13: The modern application development on AWS framework
Chapter 8
Figure 8.1: The DevOps implementation phase
Figure 8.2: DevOps as part of the digital business value chain
Figure 8.3: The DevOps implementation framework for AWS
Figure 8.4: The DevOps implementation process for the AWS computing environme...
Figure 8.5: J&S Food's digital product and service development platform
Figure 8.6: J&S Food's next agile operating model
Chapter 9
Figure 9.1: The microservices development phase
Figure 9.2: Typical UML class diagram
Figure 9.3: A typical UML package diagram
Figure 9.4: The blueprint of the AWS Amplify platform
Figure 9.5: The innovative digital product development lifecycle for the AWS ...
Figure 9.6: UML sequence diagram example
Figure 9.7: UML class diagram example
Figure 9.8: AWS Amplify back‐end creation framework
Figure 9.9: AWS Amplify back‐end deployment framework
Figure 9.10: AWS Amplify application deployment
Figure 9.11: The microservices architecture of the digital product and servic...
Chapter 10
Figure 10.1: The experimental phase of J&S Food's digital transformation jour...
Chapter 11
Figure 11.1: The digital product's specification phase of J&S Food's digital ...
Figure 11.2: The smart shopping bag context diagram
Figure 11.3: The smart shopping bag's use case diagram
Figure 11.4: The sequence diagram specifying the use case Press Start to Begi...
Figure 11.5: The sequence diagram specifying the use case Respond to In‐Store...
Figure 11.6: The sequence diagram specifying the use case Detect Product Code...
Figure 11.7: The sequence diagram specifying the use case Send EEPROM Data to...
Figure 11.8: The sequence diagram specifying the use case Respond to RFID Rea...
Figure 11.9: The sequence diagram specifying the use case Calculate the Bill ...
Figure 11.10: The smart shopping bag's class diagram
Chapter 12
Figure 12.1: The digital product design phase in J&S Food's digital transform...
Figure 12.2: J&S Food's new digital products and services development organiz...
Figure 12.3: J&S Food's staff satisfaction with the new operational model
Figure 12.4: The smart shopping bag component diagram (designed with Lucidcha...
Chapter 13
Figure 13.1: J&S Food's prototyping using AWS Amplify
Figure 13.2: J&S Food's digital products and services prototyping process
Figure 13.3: J&S Food's AWS Amplify development platform
Figure 13.4: J&S Food's Princeton development team's satisfaction with the pr...
Figure 13.5: The microservices development process in the AWS Amplify Environ...
Chapter 14
Figure 14.1: The implementing the Smart Shopping Bag's Production Release pha...
Figure 14.2: The blueprint of the production release of the smart shopping ba...
Chapter 15
Figure 15.1: The deploy the Digital Business phase of J&S Food's digital tran...
Figure 15.2: The go‐to‐market strategy development framework
Figure 15.3: J&S Food's go‐to‐market strategy
Chapter 16
Figure 16.1: J&S Food's virtuous circle for creating customer value
Figure 16.2: J&S Food's data science infrastructure
Figure 16.3: J&S Food's AI/ML development environment
Figure 16.4: Dynamic of J&S Food's digital product development activity
Cover Page
Title Page
Copyright
Dedication
About the Author
About the Author
Acknowledgments
Introduction
Table of Contents
Begin Reading
Index
WILEY END USER LICENSE AGREEMENT
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Philippe Abdoulaye
The origins of this book can be traced back to March 2019, after four conference presentations I gave in France at the Econocom DevOps Summit. All participants—from 15 prestigious international companies representing the energy, aviation, aerospace, defense, and banking industries—agreed that the ongoing wave of IT infrastructure migrations to cloud computing was only the preparatory phase for a more strategic milestone: equipping businesses with the digital products and services development platform that they need to compete.
As one who was consulting and writing on both cloud computing and digital transformation, my objective over the most recent three-year period has been to raise awareness about the key role that digital products and services will play in business competitiveness and on the importance of properly transforming a business into a high-quality digital products and services development organization.
This book explains how businesses can take advantage of the rich set of Amazon Web Services (AWS) services and features to transform themselves into world-class digital products and services development organizations. It's written for CEOs, CIOs, CTOs, and enterprise architects seeking an actionable vision, best practices, and solutions to digital transformation. Above all, this book seeks to guide the implementation of world-class digital products and services development platforms.
While there are numerous digital transformation books on the market, I've found that none of them addresses this topic comprehensively. In this book, you will learn about the fundamentals of world-class digital products and services development organizations, how they build on AWS to deliver high-quality digital products and services, and how to take advantage of AWS cloud services to implement such organizations.
Throughout the 16 chapters of the book, you will learn about the strategic perspectives and approaches for taking advantage of critical AWS capabilities such as the following:
DevOps acting as the framework for the digital products and services development organization's value chain.
Integration of various AWS Application Deployment Services into a technology platform supporting the organization's digital products and services development strategy.
Containers, container management solutions, and microservices as the foundation of the architecture of the organization's digital products and services development platform.
Enterprise architecture design patterns for the cloud used as the means to abstract technical complexity and provide AWS executive insights.
Agile organizational principles, processes, and tools as the foundation of digital products and services development effort.
This book will contribute to standardizing sound digital transformation practices that not only stress infrastructure implementation but also profitable digital products and services development. Transforming Your Business with AWS: Getting the Most Out of Using AWS Cloud to Modernize and Innovate Your Digital Products and Services examines AWS, its services, and its features from the executive standpoint to provide the big picture needed to develop informed digital strategy and implement world-class digital products and services development platforms.
Early in this book project, I spent time identifying and understanding the issues that make digitalization efforts so challenging. The findings included a lot of improvisation resulting from the lack of proven engineering practices in areas like artificial intelligence (AI), big data analytics, Internet of Things (IoT); confusion between software development for business applications and software development for digital products and services; mismatch between AWS operational benefits and the organization of the product development effort; design approach ignoring the importance of usability; and many more. I concluded that a Universal AWS Cloud Architecture was needed to take digital transformation practices using AWS to the next level.
The book consists of 16 chapters grouped into three parts:
Part I
: Understanding the Digital Transformation Challenges
includes
Chapters 1
–
4
. It discusses the disruptive impacts of the growing digital economy on industries, and by extension on business competitiveness, and it explains why world-class digital products and services development platforms based on AWS are the essential competitive advantage.
Part II
: Digitizing the Business Model Using AWS
covers
Chapters 5
–
9
. It shows how via a variety of infrastructure as a service (IaaS) solutions, AWS helps to meet the digital transformation challenges discussed in
Part I
. Through a case study of a fictitious company, J&S Food, which is the backbone of this book, it illustrates comprehensively, step-by-step, the business model digitalization process.
Part III
: Developing World-Class Digital Products and Services Using AWS
spans
Chapters 10
–
16
. It addresses the other key aspects of the digital transformation project: the development of the business's digital products and services using AWS. Through the case of a smart shopping bag digital product, it illustrates how the Unified Modelling Language (UML) methodology is leveraged to specify and design not only digital products and services but also microservices architecture. It comprehensively explains the digital products and services implementation process consistent with DevOps principles using AWS services as varied as Amplify, Containers, Lambda, and Modern Application Development.
By providing AWS insights for executives, the material contained in this book will greatly help CIOs, CTOs, and enterprise architects not only perform rapid, easy, and successful digital transformations but also how AWS features and services are pivotal to any business transformation initiative.
If you believe you've found a mistake in this book, please bring it to our attention. At John Wiley & Sons, we understand how important it is to provide our customers with accurate content, but even with our best efforts an error may occur.
To submit your possible errata, please email it to our Customer Service Team at [email protected] with the subject line “Possible Book Errata Submission” and book title.
Companies that successfully complete their digital transformation have all adopted a holistic approach that considers cloud computing, agile operational models, and digital products and services as the epicenter of their business model. These companies are correct because ongoing digital disruptions are changing industry structures and by extension the way that companies do business.
Part I, consisting of Chapters 1–4, highlights the changes introduced by the growing digital economy and its impact on businesses, but above all, it shows why it is urgent for companies to transform as a whole the four pillars of their business model: technology, people, processes, and organizational structure.
Chapter 1, “The Digital Economy's Challenges, Opportunities, and Relevance of AWS,” addresses the digital economy's challenges and opportunities with which businesses have increasingly had to deal with, and it introduces the concept of AWS universal architecture to highlight the operational and technological features that make AWS the essential competitive advantage.
Chapter 2, “What Is a Digital Product?” and Chapter 3, “Digital Product and Service Development Challenges,” discuss the second key part of the digital transformation initiative: digital products and services and the development approach. These chapters elaborate on the digital products and services building blocks, the overall ecosystem, and the underlying AWS technology stack.
In Chapter 3, a framework for evaluating digital products and services development platforms is presented, which aids in improving quality, efficiency, and time to market.
Chapter 4, “Industrializing Digital Product and Service Development,” discusses how companies can leverage DevOps, AWS architectural design patterns, and agile and object-oriented methodologies to industrialize their digital products and services development process.
Digital transformation isn’t a technology makeover. It’s a business revolution.
—Kaan Turnali
It's a fact that the expansion of the digital economy is accelerating, it’s affecting industries and businesses worldwide and confirming its disruptive nature.
Businesses will have to adapt to the changes and requirements of their competitive environment.
Although the habit in IT is to overlook business considerations in favor of rapid technology implementation, the fact is, if you don't understand how the digital economy impacts your company, chances are that you will miss out on the benefits of going digital and fail.
This disruptive digital economy affects your industry and by extension your company's business and operational models; without a 360-degree view into how far your work organization, processes, and underpinning IT have been made irrelevant, the only thing you'll get is a technology platform disconnected from your businesses' priorities.
Make no mistake, without a big picture mindset that highlights not only the challenges but also the business opportunities that you can take advantage of using cloud-based solutions such as Amazon Web Services (AWS), there is no way that your company can survive the economic crisis.
This chapter discusses the expanding digital economy's challenges and opportunities, as well as its impact on the business and IT; it highlights the benefits that businesses can derive from cloud-based solutions, including AWS, to build successful digital products and services development organizations.
We're in the midst of a pandemic that's confirming four trends that industry experts have been observing in connection with the digital economy. Businesses will deal directly with their industry's disruption, and tackling issues head-on including work from home, ecommerce, data science, and innovation are among the competitive advantages they will need to survive and thrive. These trends are the new business normals. Let's discuss them now.
The first new normal is the notion that the conditions for frequent industry disruptions are here to stay. The reason is that the world is in the midst of a wave of innovation that's expected to last for decades. This will lead to repeated disruptions forcing businesses to adapt. That's what is meant by digital disruption and that the COVID-19 crisis should be understood as an industry disrupter.
As you can see in Figure 1.1, there's a correlation between the pandemic and ongoing job destruction. In 2020, in the United States and France, unemployment hit a yearly total of 8.9 percent, in Italy 11 percent, and in Brazil 13.4 percent. As you probably have realized, surviving industry disruptions will be part of your business challenges over the next three to five years.
Figure 1.1: COVID-19 impact on unemployment
Source: International Monetary Fund (IMF)
The second new normal is the emergence of work from home, ebusiness, data science, and innovation as the digital economy's opportunity enablers. A quick look at the handful of companies doing well in this crisis shows that in addition to competitive pricing, superior customer experience, and short time to market, they rely on these four pillars.
As to work from home and the related collaborative technologies, you must keep in mind that these are the competitive assets that your business needs to retain staff and preserve production capacity.
With regard to ebusiness, consider that having such an infrastructure is another asset; it allows the business not only to adapt to the emerging digital economy but also to compensate the activities destroyed by the economic crisis.
Data science capabilities relate to utilizing and analyzing data to inform or enhance the company's processes, decision-making, and even revenue model.
Innovation is the ability of your organization to take advantage of technology, including AWS, to develop highly profitable digital services that guarantee superior customer experience, differentiate your company, and help it reap profits.
Work from home, ebusiness, data science, and innovation will be discussed throughout this book. For now, what you need to remember is that they're the foundation of the digital transformation strategies that will help your organization succeed in the highly competitive environments that are taking place around the globe.
The next section elaborates on the theme that technology, particularly AWS, provides the levers that businesses need to survive and succeed in this disruptive digital economy.
Last but not least of these new normals is the emergence of leading cloud solutions including Microsoft Azure, Google Cloud, and, specifically, AWS, the topic of this book. They're the hub of successful digital business models and are essential for implementing the competitive advantages discussed previously.
The AWS Universal Architecture is a logical cloud architecture model whose objective is to facilitate AWS learning and understanding.
The AWS Universal Architecture is an achievement of this book's author who earned the AWS Hero 2020 award for the best contributions to AWS practices.
As illustrated in Figure 1.2, the AWS Universal Architecture conceives AWS through four components including infrastructure as a service (IaaS), platform as a service (PaaS), innovation as a service, and AWS integration. Each building block supports specific cloud functions; IaaS provides virtual infrastructure resources over the internet while PaaS provides complete application development platforms. Building blocks are composed of what is referred in this book as AWS extended services. Extended services are aggregations of formal AWS services that perform specific functions such as computing, networking, security, or storage.
AWS IaaS
AWS PaaS
Innovation as a service (INNaaS)
AWS integration
Figure 1.2: Overview of the AWS Universal Architecture
These features effectively enable the work from home, ebusiness, data science, and innovation capabilities. Here is what you need to know about the AWS Universal Architecture fundamentals.
Think of the AWS IaaS building block as the representation of your organization's virtual datacenter; it acts as the virtualized facility that hosts and provides three categories over the Internet of AWS virtual infrastructure resources including compute, network, and storage.
The objective of the AWS compute resources is to host and run applications efficiently that support your business activities including customer use of digital services. Examples include Elastic Compute Cloud, Elastic Load Balancing, and Containers. Let's briefly discuss them.
Amazon Elastic Compute Cloud (EC2) by analogy acts as a virtual server in the AWS environment to provide secure, resizable computing capacity. Its primary goal is to host and run applications supporting the business activities including customer use of digital services. EC2 has the same features as physical servers including CPU, memory size, internal storage, and network interface. Amazon Machine Image (AMI), which defines the EC2's software configuration, and the instance type, which describes its computing power configuration, are what should matter to you. The instance type provides eight families of computing power configurations, each of which are comprised of combinations of CPU, memory, storage, and networking capacities. Examples of EC2 benefits are as follows:
Contribution to your organization's competitive pricing resulting from the cost saved due to EC2's affordability
Superior customer experience with your organization's digital service resulting from robust networking and security due to the EC2 location in
Amazon Virtual Private Cloud (VPC)
99.99% availability of your organization's digital services
Wide array of computing capacity and software configurations
AWS Elastic Load Balancing (ELB) deserves the same attention; it's the load balancing service for AWS deployments. Its purpose is to ensure superior customer experience with applications and digital services by increasing their availability and fault tolerance. In addition, it builds on health check mechanisms to monitor the health of your computing resources and sends requests only to the healthy ones.
ELB distributes incoming application or network traffic across the AWS resources involved in providing optimized and secure computing capacity such as EC2 instances and containers.
ELB scales your load balancer as traffic to your application evolves. Accordingly, it adds and removes compute resources as your needs change. Examples of ELB benefits include the following:
High availability of your organization's digital services due to ELB's native awareness of failures that allows it to add capacity automatically
Robust monitoring capacity through its ability to monitor application health and performance
Robust security features including integrated certificate management, user authentication, and SSL/TLS decryption
Integration with other AWS services including EC2, ECS/EKS, and CloudFormation
Amazon containers merit your attention as well. They provide a standard way to package your developer's application code, configurations, and dependencies into a single and easy-to-manage object.
AWS containers are lightweight, and by providing a portable software environment to run and scale applications easily from one computing environment to another, they not only make the developer's job easy but they also shrink the application deployment process and speed your organization's time to market.
With its Amazon Elastic Container Service (ECS) or Amazon Elastic Kubernetes Services (EKS), AWS offers a wide range of services for storing, running, and managing containers. Examples of benefits include the following:
Highly portable applications resulting from the fact that they can be deployed to a wide array of operating systems and hardware platforms
IT operations efficiency resulting from the fact that containers allow applications to be deployed, patched, and scaled more rapidly
Containers support Agile and DevOps efforts to accelerate development, test, and production cycles
The objective of networking resources is to route traffic effectively back and forth between the Internet and your AWS cloud. Examples of resources include Amazon VPC, Internet Gateway (IGW), and subnets. The following are the key things to know about them.
Amazon VPC is a virtual network dedicated to your company's AWS account and supports traffic generated by AWS resources. Its primary purpose is to ensure privacy and security and, more importantly, prevent loss of proprietary data. Some of its benefits include the following:
VPC provides advanced security features including
subnets
,
route tables (RTs)
,
network access control list (network ACL)
, and
security groups (SG)
to secure traffic within your cloud.
VPC acts as a virtual facility that hosts the infrastructure resources of your AWS cloud.
IGW is also a VPC component that allows communication between VPC and the Internet. Without it, the virtual resources within your AWS cloud cannot be accessed from the Internet.
Subnets are VPC components used either to allow communication with the Internet or to prevent it. Subnetting is its main benefit. It allows virtual network segmentation into public subnets permitting access from the Internet and private subnets preventing it.
The primary goal of virtual storage resources is to store data safely and effectively manage it. Examples include Simple Storage Service, Elastic Block Store, and Redshift. Let's discuss them briefly here.
Simple Storage Service (S3) is an AWS service that provides object storage through a web interface. It stores objects in resources known as buckets. Additional S3 use cases include the following:
Storage for Internet or cloud applications
Backup and recovery, which creates and stores copies of data used to protect organizations against data loss
Disaster recovery, which allows organizations to regain access to their IT infrastructure after events like natural disaster
Data lakes for analytics purpose
Archiving for long-term storage of end-of-lifecycle object
Elastic Block Store (EBS) volumes are another AWS storage solution. They're attached to EC2 instances to provide raw block-level storage and to support uses like formatting devices with a filesystem, snapshotting, and cloning. EBS benefits include the following:
Data and application replication to prevent loss
Data persistence achieved through its off-instance storage nature where EBS can persist even if the instance is stopped and restarted
Snapshots, which are the ability for EBS to create backups of any EBS volume and write a copy of the data in S3 buckets
Amazon Redshift is a fully managed data warehouse service in the AWS cloud. It's a system used for reporting and data analysis. Consider it a core component of your organization's data science capability. It is a collection of resources called nodes, which are either computing resources or datastores holding the data to query. Nodes are organized into groups called clusters. Redshift is utilized through client connections with varied applications including business intelligence (BI) reporting, SQL query, and analytics tools. It optimizes storage and query performance through a combination of mechanisms including massively parallel processing (MPP), columnar data storage, and data compression.
You can think of the AWS PaaS building block as a collection of software deployment platform options that you can use to implement digital products and services. However, from the enterprise architecture perspective, the PaaS layer is a representation of your organization's application or digital service development and deployment platform. Examples of software deployment platform options include Elastic Beanstalk, CodeDeploy, and CodePipeline. The following sections tell what you need to know about them.
Elastic Beanstalk is a service that simplifies the deployment and management of applications that your developer uploads to your AWS cloud. The process is as simple as this: the developer uploads and deploys the application, and Elastic Beanstalk automatically provisions and configures the desired computing environment including the EC2 instance and the required security, load balancing, autoscaling, and health monitoring mechanisms. Examples of benefits include the following:
Greater focus on application deployment instead of worrying about the underlying resources
Ability to deploy applications in a variety of programming languages including Java, Python, Ruby, Node.js, and PHP
Selection of the most appropriate EC2 instance types required by your applications
Ability to adjust the overall computing environment configuration
Elastic Beanstalk is combined with AWS CodePipeline to implement DevOps in AWS computing environments.
CodeDeploy is a service used to automate code deployment to EC2 instances as well as additional AWS services such as AWS Fargate, AWS Lambda, and on-premises servers. It scales with the cloud infrastructure to allow application deployments to thousands of instances. Additional benefits include the following:
Allows deployments of both traditional applications on servers and serverless-based applications
Full automation of application deployments across development, test, and production environments
Enables tracking deployment status through the CodeDeploy console
CodeDeploy is combined with AWS CodePipeline to implement DevOps in AWS computing environments.
CodePipeline is a service used to automate your software deployment process based on DevOps principles. It provides your developers with a graphic user interface to model the configuration of the workflow supporting the organization's continuous delivery approach. Additional benefits include the following:
Enhances developer's productivity and accelerates time to market through automation, which removes the complexity and overhead in building applications
Cost savings resulting from the use of more efficient application development and deployment tools
Integration with not only other AWS resources but also with existing IT infrastructure and tools
Over the next three to five years, innovation should be viewed as the ability to improve the customer's experience continuously with a digital service and product using technology. From that perspective, the innovation as a service building block represents the set of AWS technologies supporting digital service and product innovation. Examples of such technologies include AWS Machine Learning, AWS Internet of Things, and Amazon Elastic MapReduce. Let's briefly discuss them.
AWS Machine Learning (ML) is a product that allows developers to discover patterns in data through algorithms, construct mathematical models based on these patterns, and then create predictive applications. Primary use cases include the following:
Image recognition
: This is used to perform machine-based visual tasks, such as labeling image contents with meta tags.
Speech recognition
: This allows users to interact with their mobile devices through speech.
Product recommendation
: This seeks to predict and show the services that a customer is likely to purchase.
Fraud detection
: This analyzes millions of transactions to detect fraudulent behavior.
AWS Internet of Things (IoT) is a platform that collects and analyzes data from Internet-connected devices and sensors and connects that data to AWS cloud applications. Examples of IoT-supported innovative products and services include the following:
Smart watches, fitness trackers, and wearables developed by companies such as Apple, Fitbit, and Misfit
Home connections to the Internet enabling your household electronics to perform varied voice-activated functions
Machine-to-machine (M2M) connected devices that allow two machines to communicate without human intervention
As a reminder, big data is large and complex dataset collections supplied from varied new data sources. The data is so voluminous that traditional data processing techniques are ineffective.
Amazon Elastic MapReduce (EMR) is Amazon's big data solution. It's based on Apache Hadoop's MapReduce algorithm, and like Redshift, it relies on an architecture structured around cluster and nodes implemented as instances running Apache Hadoop's MapReduce algorithm.
The Hadoop MapReduce algorithm processes data in two phases: Map and Reduce. Map tasks deal with splitting and mapping input data in parallel to create smaller chunks, while Reduce tasks are about shuffling, reducing, and aggregating data.
Amazon EMR is primarily used for processing and analyzing significant amounts of data. Additional uses include the following:
Processing data for analytics goals including finding meaning in data and using derived knowledge to inform decisions
Mining data for business intelligence goals including transformation of data into actionable business insights
Transformation and movement of data into and out of other AWS data stores and databases
Support for real-time data streaming
The integration of public clouds with entities such as your organization's on-premises infrastructure and your business partner's infrastructure, along with the need to implement hybrid cloud and multicloud platforms, is an increasing priority. This is the goal of the AWS integration building block.
AWS offers varied solutions to address cloud integration issues. Examples of AWS integration services include AWS Site-to-Site VPN and VMware Cloud on AWS. Let's briefly discuss them now.
AWS Site-to-Site VPN is a service that enables access to your organization's on-premises infrastructure or remote network from your VPC.
As illustrated in Figure 1.3, an AWS site-to-site connection involves three components on both sides of the connection including: a virtual private gateway on Amazon's side, a customer gateway on your remote network's side, and two encrypted VPN endpoints, also known as encrypted tunnels.
Figure 1.3: Overview of the AWS Site-to-Site VPN principles
VMware Cloud on AWS (VMC) is a hybrid cloud service whose core principle is to run a VMware software-defined data center (SDDC) in the AWS public cloud. This joint initiative between VMware and Amazon seeks to enable the combination of a wide variety of VMware tools with the flexibility and simplicity of the AWS cloud.
As illustrated in Figure 1.4, AWS provides an elastic bare-metal infrastructure on top of which VMware implements its SDDC platform. You should view VMware SDDC as a datacenter with no physical intervention; all components including compute, storage, and network are virtualized, and their management including provisioning, load balancing, backup and restore, and disaster recovery are entirely automated by software.
Figure 1.4: Principles of VMware Cloud on AWS
Most VMC-based use cases are derived from the organization's need to extend their datacenter to the AWS cloud and take advantage of its flexibility. They include the following:
Easy configuration of on-premises compute, storage, and network infrastructure without knowing SDDC tools
Easy configuration of load balancing mechanisms resulting from the use of AWS Elastic Load Balancing
Contrary to widespread opinion, cloud migration projects fail far more than it is believed. The reason is that today's lift-and-shift paradigm is booming. The majority of companies still struggle to achieve the business benefits that they expect.
Lift-and-shift is about migrating applications to the cloud with minimal or no changes at all. Cloud infrastructures, including AWS, are considered freight depots where applications are stored hoping that the promised benefits happen instantaneously and miraculously. The problem with lift-and-shift as it is currently applied is that it's based on a combination of failure factors incompatible with the digital transformation stakes. Let's examine the flaws of the lift-and-shift paradigm migration mentality.
Cloud migrations fail for a variety of reasons, but most cloud computing thought leaders and influencers agree on the following reasons:
Migrating without a business purpose
Lack of cloud migration strategy
Mimicking on-premises environment
Migration at once
Rushed migration
As suggested, migrating without a business purpose is the IT-centric practice in which applications are migrated to AWS without a specific business objective. Absence or inadequate cloud strategy alignment with the business goals results in sophisticated cloud platforms that, unfortunately, don't bring in the expected business benefits.
Lack of cloud migration strategy is a practice based on improvisation in which applications are migrated regardless of unknowns, uncertainties, and risks. Overlooking the development of cloud adoption business cases including feasibility, risk analysis, return on investment (ROI), and migration roadmap results in unstable and failed cloud platforms.
Mimicking on-premises environment is a practice wrongly based on the belief that replicating on-premises IT in the cloud guarantees the same levels of security, reliability, and performance. Not using reliable architecture frameworks doubled with improvised architecture design based on erroneous assumptions results once again in unstable and failed cloud platforms.
Migration at once is the irresponsible belief that a workload can be migrated all at once instead of moving it a little bit at a time. Lack of hindsight and experience results in unstable and failed platforms.
Rushed migration is another irresponsible practice in which haste is confused with speed. As with the previous failure factor, lack of hindsight and experience results in unstable and failed platforms.
The five cloud migration failure factors show that using AWS as a business opportunity demands a new migration paradigm tailored to deliver business value.
Enterprise Architecture (EA) for AWS is a cloud migration approach inspired from traditional EA principles. It seeks to help businesses use their AWS cloud platform as business value enablers. Just as traditional EA promulgates rules like “Group individual applications into independent business domains
