Cloud Enablement Engine: A
Practical Guide
Prescriptive Guidance for Establishing a Cloud Enablement
Engine
July 14, 2021
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© 2021 Amazon Web Services, Inc. or its affiliates. All rights reserved.
Contents
Introduction .......................................................................................................................... 1
AWS CEE perspective on implementation ...................................................................... 1
Build the team .................................................................................................................. 2
Train and coach ................................................................................................................ 3
Pilot projects ..................................................................................................................... 3
Architect for the cloud ...................................................................................................... 4
Operate in the cloud ......................................................................................................... 4
Continuous improvement ................................................................................................. 4
Getting started: Service offerings ........................................................................................ 5
Core services.................................................................................................................... 5
Additional services ........................................................................................................... 7
Considerations ..................................................................................................................... 8
Patterns for success ............................................................................................................ 8
Executive leadership ........................................................................................................ 8
Cloud Steering Committee ............................................................................................... 9
Project Management Office (PMO) ................................................................................. 9
Training ........................................................................................................................... 10
Core CEE team dynamics .............................................................................................. 10
Pragmatic and practical governance ............................................................................. 11
Provide early value ......................................................................................................... 11
Mandate AWS Well-Architected Reviews ..................................................................... 11
Practice operations ........................................................................................................ 12
Community of practice ................................................................................................... 12
Anti-patterns Actions to avoid ........................................................................................ 12
Believe in build it and they will come ............................................................................. 12
Underestimate the power of middle management ........................................................ 13
Organizational and culture change ................................................................................ 13
Mismatched guardrails ................................................................................................... 13
Lack of or incomplete upskilling strategy ....................................................................... 14
Cloud agnostic tool chains ............................................................................................. 14
Build an ivory tower ........................................................................................................ 14
Staffing the CEE with Enterprise Architects .................................................................. 14
Personal credit card usage ............................................................................................ 14
Keep the same processes and tools ............................................................................. 15
Let the CEE become a blocker to cloud adoption ......................................................... 15
Conclusion ......................................................................................................................... 15
Contributors ....................................................................................................................... 16
Document Revisions.......................................................................................................... 16
Appendix A: Evolution of an Enterprise CEE.................................................................... 17
Appendix B: The Amazon.com story ................................................................................ 17
Appendix C: Two Pizza teams and Productization........................................................... 20
Appendix D: Cloud Operating Model ................................................................................ 21
Appendix E: Migration ....................................................................................................... 22
AWS CSMatrix - Capability Assessment tool ................................................................ 22
Migration Portfolio Assessment (MPA) for TCO and ROI ............................................. 22
Experience Based Accelerators (EBA) .......................................................................... 22
Appendix F: Prescriptive Guidance................................................................................... 23
Appendix G: Operations KPIs ........................................................................................... 23
Abstract
This paper is a practical playbook for defining, establishing, and implementing a Cloud
Enablement Engine (CEE). It collates and summarizes the lessons learned and anti-
patterns gathered from the CEE journeys successfully navigated at Amazon and other
large enterprise companies. Much has been written about the need to establish a CEE,
the benefits of moving to a productization mindset, and the business value of tribes,
guilds, and two-pizza teams. However, larger organizations are still struggling with a
CEE 30-60-90-day plan, and the essential components of the CEE during its first six
months in existence.
The prescriptive guidance in this document provides pragmatic and tactical advice for
establishing a Cloud Enablement Engine (CEE), also referred to as a Cloud Center of
Excellence (CCoE) or Cloud Enablement Team. This paper serves as a step-by-step
guide for the initial setup activities, and the top ten best practices that have been
extrapolated from working across a large number of customers.
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Introduction
A key focus of the Cloud Enablement Engine (CEE) is transforming the information
technology (IT) organization from an on-premises operating model to a Cloud Operating
Model (COM). The transformation to COM and the charter of a CEE are highly
correlated and interconnected. During the nascent stage of the CEE, the focus of the
CEE is the infrastructure components of a COM. These components include the
operations, security and control, platform architecture and governance, and
infrastructure provisioning and configuration management functions. Amazon Web
Services (AWS) understands that enterprise (on-premises) operating models are based
on Information Technology Infrastructure Library (ITIL). The cloud transformation from
an on-premises operating model to a COM includes mapping ITIL to a cloud, agile, and
DevOps based capabilities and processes. ITIL 4.0 embraces DevOps, cloud, and agile.
First, the CEE must focus on the needs of business (line of business [LOB] and product
owners) and internal IT customers (development, operations, security, database, and
infrastructure teams). Establishing a CEE is not instantaneous or a single operation, it is
an iterative process. Organizational and cultural change takes leadership commitment
and time. Most customers begin with a landing zone, a lab environment, and three to
five re-hosted test applications, and scale out as they become more comfortable. The
first CEE results, in the form of production cloud adoption, can be achieved within three
months. To leverage the full benefits of cloud in terms of operations, management,
provisioning, and cloud native architectures, the process can take a year or more.
AWS CEE perspective on implementation
Philip Potloff, the Head of Enterprise Strategy at AWS, describes a CCoE (using the
traditional name of a CEE) in this Challenging Conventional Wisdom About How to Build
a Cloud Center of Excellence. “The CCoE is a multi-disciplinary team that is assembled
to implement the governance, best practices, training, and architecture needed for cloud
adoption in a manner that provides repeatable patterns for the larger enterprise to
follow”, says Philip. This blog post focuses on the instantiation and composition of the
initial team, advising the team be a combination of cross functional team members that
have not worked closely together, and a group of A-team players that have a long track
record of close collaboration and success.
The building out of a CEE starts with one person, a Cloud Sponsor an executive that
is accountable by success of CEE. This sponsor ensures that the CEE key performance
indicators (KPIs) and objectives are directly aligned to company business goals.
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As explained in Appendix A: Evolution of an Enterprise CEE, the CEE evolves over time
to be less centralized, and the services offered in the decentralized structure is
assumed by the lines of business. details the organizational, process, tools, and
architecture change that Amazon.com undertook during its transformation to service
orientated architectures (SOA), microservices, freedom from monolithic relational
databases (Oracle), two-pizza teams, and product operating model.
Five activities are required to start building out a CEE:
Build the team
Train and coach
Pilot projects
Architect for the cloud
Operate in the cloud
Continuous improvement is an additional activity that should be kept in mind and will
become paramount after the CEE has been functioning for a year or more.
Build the team
The first activity is defining the roles and responsibilities, and identifying team members
through staff structure maps. An aspect of mapping team and staff structure involves
mapping traditional roles to cloud roles. This scenario includes mapping architecture,
infrastructure, operations, security, business and IT alignment, project management,
data, and applications on-premises roles. The necessary skills and competencies to
successfully fill the positions are critical.
This document does not provide details on CEE roles and responsibilities,
and the mapping of on-premises to cloud roles. For more detailed
information on this topic, contact your local AWS Professional Services
Advisory team.
It is important to indicate the initial roles that are crucial to the success of the
instantiation of the CEE. The initial team member should be knowledgeable across
AWS services, networking, security, operations, application development, migrations,
databases, and infrastructure. They should be passionate about technology, but also
have business acumen, the ability to internally evangelize technology and the value of
the CEE, and have enough internal political capital to directly access and communicate
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to line of business (LOB) leaders. Organizations typically limit the initial CEE to 3-5
people. This models the Amazon two-pizza team approach, and ensures an agile team
that is empowered to make quick decisions.
The first resources include:
1. Infrastructure and operations person (such as a cloud architect)
2. Security and networking or migration specialist (depending on the CEE initial
focus)
3. Cloud Platform Engineering (such as a scripting SME)
4. CEE leader that is hands-on and a respected member of the IT organization.
Part of building the team involves identifying the core services that will be offered, and
setting the team goals, metrics, and KPIs. At the initial creation of the team, less is
more. We recommend keeping the list of services offerings and capabilities offered to
under six in the first 2 to 6 months.
Train and coach
The second activity is training and coaching. This activity should be conducted before
activities three through five. The training and coaching activity involves building a cloud
web portal (e.g. wiki, web site, etc.), identifying training gaps (LNA Learning Needs
Analysis), creating a training plan, internally training and/or identifying partners, rolling
out the training, and getting people involved by running workshops, hackathons,
immersion days, lunch and learns, etc. The CEE is not responsible for delivering all the
training. The CEE will work with the internal corporate training team to do the following:
create the learning paths
identify certification training vendors (for example, Linux Academy, A Cloud
Guru)
deliver initial training
train the trainers in the corporate training team
Pilot projects
The third activity is Pilot Projects and enables the CEE team to get hands-on
experience with AWS. The team will experiment and play with some selected pilot
projects using a lab environment. This approach gives the team the fastest ramp-up of
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skills and ability to build out knowledge in-house. The CCE team will be trained on AWS
Well-Architected, and become familiar with AWS reference architectures, AWS Quick
Starts, and AWS Solutions. The goals are to increase agility, document lessons learned,
and develop best practice policies.
Architect for the cloud
The fourth activity is architecting for the cloud and involves defining the AWS end state
architecture for development, test, performance testing, QA, and production
environments. The cloud identity access control policies are set, and the AWS account
structure and IAM roles are defined. The billing and financial management processes
are configured using AWS tagging and billing. Governance policies are set for access
request, security, and usage, and service limits are set. AWS offers solutions for many
of the deliverables of this activity such as AWS Landing Zone and AWS Control Tower.
Operate in the cloud
The fifth activity is operating in the cloud and focuses on how a company should
operate in the cloud using the Cloud Operating Model (COM). For more information, see
Building a Cloud Operating Model.
Operation capabilities include the following: infrastructure as code, code repositories
and version control, monitoring, alerting, notifications and reporting, escalation policies,
financial tracking and auditing, service deployment policies, and examination of
opportunities for DevOps practices. This activity often involves creating an Operation
Readiness Review (ORR) document and process, focused on infrastructure, to ensure
new workloads moved to AWS are production ready. For more details on Cloud
Operating Models, see Appendix D: Cloud Operating Model.
Continuous improvement
The sixth activity is continuous improvement and includes regular project reviews and
post mortems, keeping up-to-date with latest technologies and innovations, automating
everything (NoOps), tracking costs, KPI reviews through a KPI portal, monthly review
meetings, and continuous training. It also involves using machine learning (ML) for
operations, provisioning, alerting, and management.
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Getting started: Service offerings
The primary function of the CEE team is to provide an enterprise ready AWS platform
that is easily consumable by end-users. The cloud team is responsible for overall
security hardening of the platform, which includes defining standard AWS Identity and
Access Management (IAM) roles and policies, evaluating security, enabling AWS
services using IAM policies, and platform SSO/AD federation. In addition, the cloud
team is responsible for defining standard security groups (required backend systems),
company standard OS AMIs, and managing the following: accounts and account
strategy, billing and cost optimization, VPC builds, CI/CD toolchain (Jenkins, Ansible,
etc.), API platform, and application onboarding.
Core services
The CEE team should offer the following core services in the first six months after
becoming established.
FinOps
This service offers rigorous financial management processes for financial forecasting,
monitoring, reporting, optimization, and allocation. Evaluate architectural solutions for
cost efficiency in both architecture and infrastructure and recommend the most cost-
efficient solution. Continually optimize allocated vs. utilized cloud assets to maximize
utilization. Provide transparent reporting and forecasting through self-service
dashboards to internal customers and stakeholders to help them manage their budget
effectively. Analyze cloud invoices and allocate cost by internal customers and
stakeholders. Ensure that cloud cost is optimized to deliver maximum business value at
lowest possible cost by implementing the right financial controls.
Cloud Governance
This service refers to the decision-making processes, criteria, and policies involved in
the planning, architecture, acquisition, deployment, operation, and management of a
cloud computing capability. Cloud Governance covers a broad set of capabilities
including: setting Service Level Objectives, governance of AWS including account
strategy, security policies, account management, billing and cost controls (chargeback
and show back), setting and measuring metrics and KPIs, and workload compliance to
industry standards. The CEE team is responsible for updating, and implementing
policies and practices to support governance models required to enable the workloads
to be compliant with business operations (for example, PCI DSS, HIPAA, and
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FedRAMP. The CEE will audit workloads from both a technical and a business
compliance perspective, and report the current status to the executives and the board.
Migrations
This service enables the CEE team to create the AWS migration strategy, define the
methodology, and develop and share migration best practices. This strategy includes
recommendations on migration tools, decisions on when to apply one of the 6-Res to
an application (rehost, replace, rearchitect, re-platform, and re-engineer). The strategy
includes a portfolio assessment, architecture review, security review/strategy,
application migration planning, TCO analysis, application integration, deployment, and
on-going operations. The teams will use this experience as the foundation for best
practices and lessons learned focused on Migration, Modernization, and DC
Consolidation.
The CEE team should become familiar with the AWS Migration Portfolio Assessment
(MPA) tool, Experienced Based Accelerators (EBA) and Customer Success Matrix
(CSMatrix) framework (built and maintained by AWS Account Teams). The EBA is a
bank of interactive workshops that accelerates organizational change, portfolio
rationalization and application migrations to the cloud. AWS CSMatrix is a framework to
evaluate the current state of an organization's cloud capabilities with respect to six
perspectives. The Business, People, and Governance perspectives focus on business
capabilities and the Platform, Security, and Operations perspectives focus on technical
capabilities. For more information on the AWS MPA and CSMatrix, see Appendix E:
Migration.
Platform Configuration and Optimization
This service provides guidance to the company for the direction of the overall platform,
provisions initial AWS environments, creates golden-image AMIs, automates
infrastructure deployments through scripting, and optimizes the platform by deploying
reference architectures. Provisioning of the AWS environment includes the initial
account and billing structure, security, identity and assessment, logging, monitoring, and
network structure using AWS Landing Zones and AWS Control Tower. Provisioning
procedures help plan, implement, and maintain a stable technical infrastructure to
support the organization’s business processes. The CEE team will use the AWS Well-
Architected Framework to implement the latest AWS best practice advice and step-by-
step guidance to address any gaps and to drive architecture using data. The team will
continuously update reference architecture stacks and roadmaps based on business
priorities. The objective of platform architecture service is to build the most effective
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architectural solutions for recurring architecture patterns and promote reuse with
appropriate customization required.
Operations
This service is offered for support, maintenance, monitoring, and incident management
of the cloud platform. The CEE supports integration of enterprise tools and assets with
cloud tools and assets. This service validates and orchestrates a business continuity
plan (BCP) and disaster recovery (DR) scenarios and works with cloud platform
engineering team to automate these scenarios. The team is responsible for establishing
how the support structure will work in the cloud, including working with existing
centralized support teams to establish the support model. The team also helps drive
automation and change to existing processes, such as automation to update change
records. The team also creates the initial application onboarding support, troubleshoots
issues, and helps drive crowd sourcing for addressing support issues.
Process and Organizational Change Management
Technology is just one component of a cloud transformation. People, process, and
organizational transformation are critical to a cloud transformation. Cloud drives
pervasive change, including automation, across many critical functions including
engineering, operations, security, compliance, finance, and more. The service also
creates opportunities to organize more efficiently by creating cross-functional DevOps
product teams. Change organization structure and relevant functions as appropriate to
take advantage of the efficiency that cloud use introduces.
This service drives change across the organization in a carefully orchestrated manner. It
assesses scope of change introduced by the cloud in various functions and works with
stakeholders to plan how the organization will roll out the changes across these
functions. It provides timely and targeted communication of change initiatives across the
organization as it undertakes them. The organization change management team goes
beyond the cloud technology initiatives to drive required changes to people and process
across the organization.
Additional services
The second phase of the CEE typically provides additional services such as DevOps
Engineering, Site Reliability Engineering (SRE), automated application deployment and
CI/CD tool chain specialist, Cloud Operational Readiness and Cloud Operational
Readiness Review (ORR) support, and pilot/proof-of-value support.
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A mature CEE should contain two distinct teams: Cloud Business Office (CBO) and
Cloud Platform Engineering (CPE). The CBO is focused on PMO, governance, process,
and organizational change management. It also aligns the solutions and best practices
delivered by the CPE team to the needs of the customers (Business, Development, and
Operations) and key stakeholders (Finance, HR, EA, and Security).
The CPE team provides the enterprise standards as self-service capabilities that enable
development teams to meet governance requirements while accelerating adoption.
They are the hands-on doers. In the initial creation of the CEE, there will be one CEE
organization.
Considerations
Establishing a CEE, identifying the correct resources, getting their time, identifying skill
gaps, filling those gaps, building a landing zone, creating services, training, and
integrating the CEE into your existing operations and accounting systems is a complex,
time consuming, and non-trivial exercise. It is usually iterative, typically starts small and
scales over time. Spending the time to build the correct foundation, processes,
experimenting, fixing, and training will accelerate the total process. Verifying that the
customers and senior managers have a clear understanding of the timeline and not
overcommitting are important. Define requirements, build, test, and review with key
stakeholders before committing to migration schedules or application go-live dates.
Patterns for success
Focus on these patterns for success in the first 90 to 100 days of CEE establishment.
Executive leadership
Executive leadership an essential prerequisite to secure the right level of organizational
support to establish a CEE. Create an Executive Steering Committee made up of C-
level executives. These executives are not part of CEE, but they serve as the North Star
for CEE. This team ensures that the CEE is creating value and aligned to corporate and
board level goals and objectives. The executive leadership provides guidance on course
correction and removes impediments.
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Cloud Steering Committee
This steering committee helps to ensure progress, remove roadblocks, and help with
any critical decisions (that is, decisions around changing existing processes). The
steering committee should empower the cloud team to think differently and challenge
the status quo. At the beginning of the journey, when many of the critical decisions are
being made, the committee should meet on a weekly/biweekly basis. As the team and
processes mature, the cadence of the meetings can be reduced and eventually
eliminated.
Project Management Office (PMO)
The PMO typically consists of technical scrum masters/project managers that
coordinate work across all IT verticals, across the cloud team, and with application
teams. However, scrum and agile are the vision. Initially, the PMO communicates
executive updates, communications across all verticals, establishes cloud communities,
contributes to IT newsletters, coordinates lunch-n-learns, produces internal articles,
shares best practices, ensures technical/end-user documentation is in place, and
engages in issue resolution across all verticals.
A PMO office is critical to the long-term success, but should not be burdensome (over
engineer the communication and information sharing processes) when cloud usage is
low in the company. Communication is key when the CEE is in its infancy, and the goal
of the team should be communicate, communicate, and then communicate again. A
Cloud Manifesto or PR/FAQ are a great communication asset to start with, and has
been successfully used by AWS customers. The cloud manifesto includes the guiding
principles and tenets of the modernization and transformation to AWS. The manifesto
can be used to guide the decision making regarding the people transformation, process
changes, organizational change, cloud architecture, and cultural change. The Cloud
PMO can also make an impact facilitating and leading weekly cloud forum call.
Prescriptive guidance documents are another great mechanism for sharing best
practices and lessons learned in a specific domain such as hybrid cloud, application
modernization, and Operational Readiness. The Enterprise Transformation Community
of Practice has created prescriptive guidance documents discussing hybrid cloud on
AWS, application resiliency, migration acceleration, disaster recovery, and application
modernization. These documents can be used by customer CEEs and can be made
available to account teams with an NDA.
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Training
The CEE team is responsible for collaborating with the internal training organization to
ensure the completion of training for corporate resources, CEE team members, and/or
core AWS resources. The CEE validates that the training requirements of the
organization cover all four spectrums of training and education: mass awareness,
certifications, custom workshops, and Just in Time (JIT) training. AWS 100 and 200
level webinars and lunch-and-learns can bring awareness of AWS and cloud concepts
to a majority of the company. A few examples can be found on the AWS Online Tech
Talks site.
AWS Solution Architect Associate and Professional certification training creates a
foundation of AWS knowledge, and is an important outcome to build strong delivery,
implementation, and managed services capability within the CEE and IT organizations.
Custom workshops for migrations, security, networking, AWS architecture
fundamentals, and operating AWS are all key foundational training opportunities. The
CEE members are the mentors, champions, and key enablers of AWS and cloud
awareness and knowledge. In addition to training the technical resources across the
company, training the executives is critical. Executives that are part of the steering
committee, in particular, need to understand cloud capabilities, services, processes,
tools, and methodologies so that they can provide effective support and guidance.
Core CEE team dynamics
CEEs are typically staffed by a team of open-minded change agents, tasked with
initiating and implementing a fundamental shift in how the organization functions. The
team comprises specialists across the spectrum of IT roles including networking,
security, database, application development, operations, and program
management. The individuals in the CEE are hands on, big picture thinkers who are
ready to lead business transformation by using cloud services, tools, and technologies.
CEE resources are typically structured from an organizational perspective into one of
the following configurations:
centralized model, where one team reports into one leader
decentralized model, where the team is embedded in the lines of business and
has a dotted line to the IT organization,
federated model, where the organization shares characteristics of the centralized
and decentralized models
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Pragmatic and practical governance
Day one involves establishment of a tagging strategy. Next, establish and standardize
cost optimization through show back/chargeback, standardize cost management,
identify and measure metrics and KPIs (example incident response operation KPIs can
be found in Appendix G: Operations KPIs), and implement optimization tools such as
AWS Trusted Advisor, and partner solutions, such as CloudHealth, CloudCheckr, and
Cloudability.
Other initial governance tasks include:
Identifying and documenting compliance through configuration management
Managing software licenses
Managing AWS accounts and billing
Defining IAM policies
Implementing processes for how to handle service limit increases across
accounts (service limit incidences can account for over 50% of support
incidences in customers new to AWS)
Provide early value
Demonstrate early value by delivering three to five small applications (Drupal, LAMP, or
AWS supported ISV SaaS application), delivering lift-and-shift migrations to AWS that
reduce run time and operational costs, or developing and delivering an infrastructure-
as-code system for AWS. The CEE must deliver two to three tangible results that drive
business value and outcomes in the first 90 days. Early value can also be demonstrated
through certifying a certain number of resources on AWS, or creating a FinOps model.
Gamification of these early accomplishments can help you drive success.
Mandate AWS Well-Architected Reviews
AWS Well-Architected Reviews should be mandatory for all applications running on
AWS. Well-Architected Reviews can be executed for on-premises workloads as well. In
fact, over 7000 (10% of all reviews) have been completed on on-premises workloads.
Performing these reviews on applications before they are moved to AWS can prepare
these applications and corresponding workloads for migration or modernization to AWS.
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Practice operations
Use events such as AWS GameDay to practice incident response. AWS GameDay is
workshop that immerses teams into a fictitious scenario where they are challenged to
build and maintain highly available and highly scalable solutions. Netflix Chaos Monkey
is an open source tool that was inspired by AWS GameDay and is aimed at training
developers and operations resources in the management of production incidents.
Community of practice
In conjunction with the development of a CEE, AWS has observed that developing a
Community of Practice (CoP) is beneficial. The CoP identifies and shares best practices
and supports upskilling and crowdsourcing efforts. These efforts are helpful to evolve
the culture and federate expertise across different business units, teams, and roles.
These communities of practice provide safe zones where peers can help each other,
and share real-world issues. Sometimes, organizations that have not established CoPs
have had their adoption efforts stalled as the number of teams needing support exceeds
the capacity of the CEE. The CoP enables community members to help each other,
reducing the workload on the CEE. The CoP is analogous to a Guild in the Spotify
implementation of DevOps. Amazon and AWS have Technical Field/Feedback
Communities (TFCs).
Anti-patterns Actions to avoid
These anti-patterns are focused on actions, strategies, and approaches taken by
enterprise CEEs that can have negatives consequences on the success of a CEE.
Believe in build it and they will come
The consumers of cloud are the customer. In the case of a CEE, the consumers of the
cloud are the line-of-business owners, product owners, finance, marketing, and the IT
teams; infrastructure, operations, application development, security, and database.
Understand their needs and provide the services and tools that support those needs.
The CEE needs to ensure CEE backlog is driven by the internal customer’s clearly
defined needs and requirements. Building the perfect AWS landing zone does not
ensure lines-of-business will move to the cloud. Developing a sophisticated cloud
monitoring platform does not mean lines-of-business nor operations will embrace this
new concept. For example, a global manufacturing company developed an AWS
monitoring platform. The CEE team went to roll out this platform and discovered that
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one of the lines-of-business had developed their own monitoring platform that was
similar. The line-of-business, of course, chose to continue using the platform they
developed.
Underestimate the power of middle management
More so than talent mismatch, we have seen that the biggest blocker to change, and
therefore cloud adoption is buy-in from leaders one level down from executives. With
the previous global manufacturing company example, this company struggled for almost
three years to fully migrate to AWS (beyond the innovation group). Once they were able
to achieve cloud adoption across the company, they were able to successfully migrate
to AWS. Keep in mind that many decisions during a cloud transformation are (including
what to migrate first) made because of political reasons, not business outcomes or the
right technology.
Organizational and culture change
Although, organizational change doesn’t happen overnight and is one of the forced
multipliers of Amazon innovation formula (Charlie Bell; formula for innovation), many
cloud modernization, digital transformation, and cloud transformation efforts fail or stall
because a company attempts to change an organization, or move to DevOps, Agile, or
two pizza teams. The reality is organizational change is difficult and disruptive, and
cultural change (culture is essentially the unwritten, inexplicable way people make
decisions, interact with each other, and interface with partners and customers) isn’t in
the short term. The success of technology and process change influences
organizational and cultural change. Do not change your organizational structure without
launching cloud projects. For example, implement a CI/CD pipeline. This change will
force changes to tooling, architecture and technology, and processes, which will force
organizational structure and culture to change. It took Amazon over 10+ years to fully
change organizational structure and architecture/technology to move to cloud. Amazon
did not have as much legacy technical debt, had a defined culture of innovation
(leadership principles, two-way and one-way doors, etc.), and was only a 6+ years old
company when it started.
Mismatched guardrails
Mismatched guardrails refers to building too much security for workloads that don’t need
it; or, conversely, not building any. The guardrails should be appropriate for the portfolio
at the time. That said, there are minimal guardrails that must be established at the
beginning and are difficult to redo (one-way door).
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Lack of or incomplete upskilling strategy
Common anti-patterns can range from: Customers training everyone but don’t have a
plan to provide these individuals with hands on experience which leads to illusion of
expertise; Nobody is trained, so those that know get overwhelmed or frustrated with the
many that don’t; No formal way to share best practices. Connecting experts with
newbies via meetups, summits, and communities of practice is a way to slowly increase
the skill of the employees.
Cloud agnostic tool chains
In terms of actual implementation, enterprise customers have few actual production
systems that provide cloud brokerage, management, provisioning, and operations
across multi-clouds. Enterprises can spend an inordinate amount of time on CEE tools,
technologies, and processes that are cloud agnostic before getting one public cloud
implementation right. For example, a customer may iterate over various vendor
solutions that provided cloud portability for CI/CD, operations, and management space
and then finally decide to go on AWS first.
Build an ivory tower
The CEE should not be staffed with thought leaders and thinkers only. The CEE team
members should be builders with hands-on skills. All members of CEE team should
have direct access to their customers, listen to their needs and build CEE’s backlog
based on business requirements.
Staffing the CEE with Enterprise Architects
Correlated to point six, consider the amount of Enterprise Architects that are involved in
the cloud initiative. Studies have been done that show an inverse relationship between
the number of Enterprise Architects on a cloud initiative and the success of the cloud
initiative. Think of the “too many cooks in a kitchen” phrase.
Personal credit card usage
Personal credit card usage to create test, pilot, or development accounts create
irrevocable challenges in terms, of cost control, cost reduction, potential loss of
intellectual property (IP), or even loss of service. This is both a cost and an IP issue.
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Keep the same processes and tools
Developers, operations, system administrators, application developers, and DBAs are
interested in keeping the same tools. Project managers, auditors, risk and compliance,
and governance teams desire to keep the same processes in place. It is the role of the
CEE to educate these individuals that without process change and new tooling, the full
benefit of the cloud cannot be realized, such as new pricing models, on-demand
compute, ephemeral and immutable architectures, agility, flexibility, and global
expansion. Part of this education is mapping current ITIL-based processes to new cloud
friendly capabilities and processes. The argument made for keeping the identical tools
and processes is that AWS, is just another co-lo facility. This perception will stifle the
process, cultural, and organizational change that will an enable a transformation from
an on-premises operating model to a COM.
Let the CEE become a blocker to cloud adoption
A CEE is intended to be an enabler of cloud adoption. However, if the CEE does not
produce results, retains the same on-premises operating model processes, or becomes
the single point of validation for all AWS deployments, the CEE will be perceived as an
impediment to cloud adoption.
Conclusion
A minimal viable product (MVP) approach should be taken to building the CEE team,
and its offerings. Although a fully automated infrastructure and application deployment
using CI/CD supported by DevOps engineers may be the ultimate objective, the CEE
needs to first establish a foundation architecture with the appropriate security, logging
and monitoring, AWS service tagging, infrastructure as code, and a resilient network in
place. The CEE needs to put guard rails in place for the operations of the AWS
environment, and establish and govern the metrics and KPIs used to ensure operational
excellence. The service level objectives (SLO) and service level indicators (SLIs) will
enable the portfolio companies to measure success, and establish a baseline for
continuous improvement. The CEE will learn, iterate, and provide more capabilities.
There is no compression algorithm for experience.
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Contributors
Contributors to this document include:
Tom Laszewski, Americas Private Equity Enterprise Technologist, AWS
Andrei Savine, WW Enterprise Transformation Architect, AWS
Document Revisions
Date
Description
July 2021
Revisions for clarity.
August 2020
First publication
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Appendix A: Evolution of an Enterprise CEE
Amazon Web Services (AWS) has observed two high level approaches to a CEE
prescriptive and advising.
In the prescriptive approach, the CEE directly oversees or implements all cloud projects.
Engaging with the CEE early in project implementation is a mandatory step for the
business unit or line of business. A common use case for when this approach is taken is
when an enterprise is undergoing a mass migration to AWS driven by data center
closure or an all-in strategy. A prescriptive CEE is usually temporary (1 to 3 years) and
provides a residence for cloud expertise until wider adoption is reached. This approach
is implemented by companies that start their cloud journeys.
In the advising approach, the CEE team members serve as internal SMEs for cloud
projects. This type of CEE performs an advising function, advising on architecture,
services available, and best practices. They provide standards, along with secure, and
repeatable solutions for teams to consume so they can be self-sufficient. The advisory
CEE accelerates cloud application projects implementation, but is not responsible for
implementing them. The primary use cases are new projects and application migrations
to AWS driven by business case or a tech refresh (cost avoidance) strategy. The
advisory approach is used by advanced cloud companies, such as Amazon.com.
Customers frequently begin with the prescriptive approach and move to an advising
approach as the adoption of cloud scales across an enterprise. This metamorphosis
from prescriptive to advising fits well with the evolution of enterprise IT from traditional
operations to the future-state of IT operating models (cloud operating models) that AWS
is adopting.
Appendix B: The Amazon.com story
In 2001, Amazon.com was a monolithic application with monolithic teams. The
monolithic application was written in Perl using an Oracle database as persistent
storage. The application contained all display, business, and database logic across all
business functionality. This included all the logic and functionality that Amazon
eventually became famous for: one-click ordering, similarities, and recommendations.
The first big milestone was the release across all of Amazon.com of a deployment
service called Apollo. This service become AWS CodeDeploy. In 2009, Amazon.com
conducted an internal study to find out where inefficiencies might still exist. What they
found was that many teams were still being slowed down by manual processes and
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work flows. This was the reason around the Amazon development of a code pipeline
tool; this tool was the foundation for AWS CodePipeline. During the cultural,
organizational, technology, and process journey from 2001 to 2009, Amazon.com
moved from projects, centralized IT, and ITIL-based processes to productization, two
pizza teams, and implemented tools such as Apollo and code pipeline. The outcome
was the ability for Amazon.com to achieve 50 million deployments a year in 2016.
Werner Vogels discusses aspects of the Amazon.com business and technology
transformation in A Conversation with Werner Vogels: Learning from the Amazon
technology platform. Amazon.com migrated to Amazon Elastic Compute Cloud
(Amazon EC2) (lift and shift style) in 2012. On October 15, 2019 Amazon.com turned off
its final Oracle database, having migrated to open source relational databases: NoSQL
(Amazon DynamoDB), Amazon EMR, Amazon Redshift, and Amazon Simple Storage
Service (Amazon S3). Traditionally, the relational database has been the database
option for all data persistence use cases. The new world model is to use the database
that best supports the use case.
The guiding principles of the Amazon.com transformation were:
design for failure (everything fails all the time)
centralized monitoring and management
automation is not a phase
continuous improvement
SSH into servers not allowed
support agile SDLC
promote best practices without being restrictive (guardrails)
decentralized ownership (self-service)
continually looking for horizontal concepts
Seven technology areas that the effort focused on were:
APIs
microservices management
continuous integration/delivery
technology agnostic
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infrastructure as code
monitoring/metrics/logging/APM
communication and collaboration (ChatOps)
The lessons learned were:
shared culture matters as much as tools, technologies, process, and strategy.
Teams need to be highly autonomous product-based.
Products not projects.
This organizational structure drives ownership.
The product teams share toolchains; the best tools become the de facto
standard.
There is no center of excellence, it is everywhere.
A focus on cloud platform engineering, not a centralized CEE, is the best long-
term approach.
Another lesson Amazon learned during the transformation is that it’s not only the
technology aspect that was improved by using products accessed by APIs and
migrating to cloud. The development and operational process benefited from APIs,
CI/CD, and DevOps. The product model was a key enabler in creating innovate
solutions quickly with a strong customer focus. Each product team is completely
responsible for the product, from scoping out the functionality, to architecting it, to
building it, and operating it. Governance is achieved with thorough onboarding/training,
regular technical and business metrics reviews, regular sharing of new tools, services,
technologies, public sharing of correction of errors (COEs), and configuration
management and provisioning (CI/CD).
The implementation of AWS Identity and Access Management (IAM) utilizes managing
permissions in a centralized fashion at the API level and as an internal identity broker
service. Automation is achieved using automated deployment (AWS CodeDeploy),
continuous delivery (AWS CodePipeline), and infrastructure as code (AWS
CloudFormation). Continuous monitoring is implemented using Amazon CloudWatch,
alerting on business workflow in addition to on CPU or low-level infrastructure metrics,
monitoring web services (metrics on services), and AWS X-Ray (end to end monitoring).
Continuous improvement is achieved with narratives, PR/FAQs for new features,
products, business process improvements, new initiatives, and other ideas,
improvement Ninjas (centralized team that analyze current processes and makes
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recommendations for improvement), COEs (Amazon mechanism where anyone can
raise a concern about a process or product), AWS PFR (customers can submit
product feature requests), and an APIs first mentality. The user interface can be
continuously improved if it accessed via an API. The console can be continuously
improved if it is written using an open, REST-based API.
Appendix C: Two Pizza teams and
Productization
Amazon and Amazon Web Services (AWS) utilize a product mindset to ensure great
customer experiences. A product in this context is defined by: performing a constrained
number of common tasks very well; having clearly defined inputs and outputs; being
useful to multiple customers; and continuously improving to meet the needs of those
customers. For example, Amazon.com uses multiple product teams to run their
customer website. Product definition is important as it's the interrelationship between
products, the customers that use the products (consumers), and the teams that create
the products (suppliers). These interdependent relationships highlight where product
teams are both consumers and suppliers. This interdependency requires an additional
level of ownership, accountability, and scrutiny so that each team is incented to provide
higher quality products and services.
When organizations do not effectively define and operate their systems as products,
they often experience foundational failures that cross-product accountability would
inherently handle or avoid. With each product team fully functional from business to
operations, they are wholly accountable for all aspects of their services. Even shared
service providers are product owners and offer a service that other product teams can
choose to use (although, the products should be in demand or we should question their
existence). Regardless, the core outcome is the same. The product team owns
accountability and does not surrender this responsibility to any other product supplier.
Finally, owning the operation of a product all the way to the end customer
(internal/external) cultivates empathy with the customer's perspective. As product
owners choose to enter into contracts with other product owners, a supplier/consumer
relationship is created and trust is developed. Empowering product teams to make their
own choices on how they solve problems and which other products they use enables
the full and complete accountability for the product and how it is perceived by their
customers.
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Appendix D: Cloud Operating Model
AWS Professional Services Advisory defines a Cloud Operating Model as the alignment
of IT and Business objectives through the formation of cross-functional empowered
Product Teams that are customer obsessed; able to iterate and deliver value quickly;
and optimize benefits from the Cloud. It is a best-practice prescriptive solution that
transforms the way technology and business relationships work. There are 17 key
operational domains of the cloud operating model:
Strategy & Change
Organization Design
CBO: Platform Architecture & Governance
CBO: Operational Reporting
CBO: Vendor Management
CBO: Product Management
CBO: Financial Management
CBO: Training & Onboarding
Resource/Estate Management
CPE: Provisioning & Configuration Management
CPE: Availability & Continuity Management
CPE: Capacity Management
CPE: Lifecycle Management
CPE: Core IT Processes
CPE: Operational Health
CPE: Security Management
Data & Analytics
For more information, see Building a Cloud Operating Model
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Appendix E: Migration
AWS CSMatrix - Capability Assessment tool
The CSMatrix is a questionnaire to determine the current state of company’s
IT/engineering capabilities in terms of business, governance, people, security,
operations, and platform. This matrix is based on the AWS Cloud Adoption Framework
(AWS CAF).
CSMatrix consists of 192 questions equally divided among the six CAF business and
technical perspectives. Each question is assigned a rating from one to five that maps to
the cloud stages of adoption - project, foundation, acceleration and migration, optimize
and reinvention, and disrupt. A report including highlights and observations, CSMatrix
radar chart, key takeaways, a functional rating (one to five) with recommendations to
increase the rating across each of the six CAF perspectives is generated from the
assessment.
Migration Portfolio Assessment (MPA) for TCO and
ROI
The Migration Portfolio Assessment (MPA) tool is a migration cost and TCO tool. The
tool is based upon actually customer migrations, empirical customer data points, and
industry averages and assumptions. The tool generates reports for TCO (AWS run time
costs) analysis and ROI (cost savings - migration costs) report. The estimated time to
completion of the migration in months with the estimated number of resources is
generated. The tool also provides the migration person hours, including the migration
costs for AWS, customer resources, and a certified AWS migration partner.
The online tool can be run by AWS resources or AWS Partners participants.
For online APN training on Cloud Economics, see AWS Partner: Cloud Economics
Accreditation. This training requires you to be logged into APN prior to starting.
Experience Based Accelerators (EBA)
Through completing thousands of applications migrations, AWS has learned that there
is no substitute for hands on experience, repeatable pattern design and teamwork in the
early stages of cloud transformation. Both application teams and business organizations
find comfort in knowing they aren’t the first to experience large scale changes of people,
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process and technology. As a result, AWS has developed the Experience Based
Acceleration program (EBA). The EBA was designed based on experience gained
through thousands of migrations and hundreds of customer transformations. During the
EBA, AWS brings experienced talent and methodology to work with and train customer
resources to develop the best possible migration scenarios based on individual
customer requirements. The EBA workshop is 4-5 days with preparations starting 3-4
weeks prior to the workshop.
Appendix F: Prescriptive Guidance
CEE created guidance, scoped to a specific technology or transformation topic. For
example, guidance for how to approach a hybrid solution with their existing on-premises
applications and assets, or how to effectively leverage the AWS Cloud in a disaster
recovery strategy. Points of View have been created by the Americas Enterprise
Technologist team that can be shared with partners and customer under NDA on
demand:
Application Resiliency and Productization
Hybrid Cloud
Disaster Recovery (Business Continuity)
Migration at speed
Monolithic to microservices decision tree
Appendix G: Operations KPIs
Business value becomes an organization wide imperative when it creates organization
wide visibility of metrics that measure the business value. Metrics make business value
real, immediate, and important. C-level leaders typically build a benefits realization
workstream utilizing a Value Score card that measures key metrics relevant to their
business objectives (M&A, New Markets, Operational Efficiency, Competitive
Advantage). Therefore, it is important for the CEE to identify, measure, and report on
key performance indicators (KPIs) based upon the services being offered. It is advised
to start with no more than 10 metrics for each service. As metrics continue to turn
green, they can be deprioritized, and new metrics can be added based on prioritized
business objectives. The CEE should establish dashboards that report important
metrics, and make them available to employees as appropriate.
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Align with Needs of Internal Customers
Number of Target Teams Engaged: Number of features in product backlog
above watermark.
Percentage of Target Teams Engaged: Number of target teams engaged / total
number of target teams.
Percentage of Features Originating from Customers or Stakeholders:
Number of features in the product backlog from customers or stakeholders, and
total number of features.
Improve Cloud Literacy and Fluency
Cloud Literacy in Target Teams: Percentage of employees with cloud literacy
in the target teams.
Cloud Certification in Target Teams: Percentage of employees with cloud
certification in the target teams.
Build Effective Reusable Solutions
Number of Solutions Available
Number of Times Solutions Reused
Times Solutions Are Reused: Number of times solutions Are reused / total
number of times requests received
Accelerate Customer Onboarding
Time to Onboard Team: The time it takes to onboard a team with appropriate
credentials and provide required access
Time to Provision Solution for Team
Time to Train Team on Solution
Number of Applications in Dev/Test
Number of Applications in Production
Number of Applications Migrated
Number of Cloud Native Apps
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Improve Effectiveness of Applications Team
Deployment Frequency: Number of times software is deployed to production
during a time period
Deployment Time: Time taken to deploy software to production after it’s
committed to version control
Change Volume: Average volume of change in a deployment
Deployment Failure: Number of times deployment leads to unexpected outages
or unplanned failures
Mean Time to Detection: Average time to detect failure after a deployment
Mean Time Between Failures: Average time between failures
Mean Time to Recovery: Average time to recover from failures
Improve Security and Compliance
Security Controls Implemented: Number of security controls in place
Compliance Controls Implemented: Number of compliance controls in place
Security Controls Automated: Number of security controls automated
Compliance Controls Automated: Number of compliance controls automated
Percentage of Security Controls Automated
Percentage of Compliance Controls Automated
Operations
Incident Management Metrics
Incident Management (IM) is a critical service and the IM service can usually be broken
down into several sub-components:
Service Desk
o Metrics: Time to answer call, time to create ticket, number of calls matched
against known error database.
Log Generation
o Metrics: Number of production incidents with logs available, number
production systems recording logs, age of available records.
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Event Capture and alerting
o Number false positives, number false Negatives, number events raised via
alert vs manual, time taken to create tickets from automation alerts, uptime
of central incident API, average number of Sev 1/2/3 incidents in prior
month.
Incident Triage and Classification
o Number production applications with agreed upon triage plan, number
incidents over/under classified, number of assigned resolver groups
unavailable, average time taken for resolver groups to respond.
Incident Workflow
o RTO compliance, average time taken to close Sev 1/2/3 incidents.
Critical Incident Management
o Number critical incidents, average resolution time for critical incidents,
number hours production business applications uptime lost during critical
outages.
User Communications
o Number Incidents with communications released, average time to notify
affected users, time to release critical post-incident analysis.
Automation Metrics
Percentage of operations activities automated in target functions
Percentage of operations activities automated vs delivered manually in target
functions