Wednesday, September 28, 2022

Hybrid Work is the Future, and Innovative Technology Will Define It


Transcript of a discussion on the drivers and opportunities to get the future of hybrid work right as soon as possible.

Listen to the podcast. Find it on iTunesDownload the transcript. Sponsor: Citrix.

 

Dana Gardner: Hi, this is Dana Gardner, Principal Analyst at Interarbor Solutions, and you’re listening to BriefingsDirect.

 

Gardner

We’re all now part of a massive worldwide experiment about the very definition of work. Remote, in-office — or tightrope walking along some sliding scale between the two? How each business and each worker finds the next new work-life balance remains an ongoing "work in progress."

 

In the post-rapid adoption of remote work world -- a full two and half years after the onset of COVID -- there’s no definitive answer on which approach to hybrid work works best. And the technology tools and solutions — many designed for an earlier in-office era — are not necessarily up to the task.

 

The perceptions and preferences of bosses and workers alike are in a seemingly unending transition. Nothing quite seems fit for the new, still-to-be-defined purpose. 

 

So, what is the eventual end-state of hybrid work? Will the process of finding it provoke new forms of innovation, opportunity, and technological success? Or will productivity and work-life balance suffer amid a period of tension, power plays, and years of seesawing trial and error approaches to hybrid work? 

Stay with us now as we explore the drivers and opportunities to get the future of hybrid work right -- perhaps sooner rather than later.

To learn more about what makes hybrid work move to an arc of opportunity, and not wallow in a trough of complexity and confusion, please join me now in welcoming Amy Haworth, Founder and CEO of Nobody Makes it Alone. Welcome back, Amy.

 

Amy Haworth: Thanks, Dana.

 

Gardner: We’re also here with Tim Minahan, Executive Vice President of Strategy at Citrix. Good to have you with us.

 

Tim Minahan: Thanks, Dana. I’m excited to be part of the dialogue.

 

Gardner: Amy, there seems to be an interminable debate nowadays about the future of work. The previous models don’t give us a lot to easily fall back on as precedent for hybrid models. Companies are struggling to find the best fit for them and their employees.

 

So, are most workers going to be fully remote? Mostly in the office in the nine-to-five, five-days-a-week model of yesteryear? Or will there be some yet-to-be-defined golden mean, or equilibrium, between the two sides of the equation?

 

Employees opt for hybrid-work

 

Haworth: I’m so glad we’re having this conversation because you’re right. Companies are struggling. We’re seeing that in headlines every day about which employees are being called back into the office full time as a reaction that’s becoming a top-down mandate.

 

Haworth
That’s been the trend. Companies are trying to figure this out. Do they work fully remote? If they do go hybrid, are they mandating a certain number of days in the office versus allowing employees the flexibility to choose?

 

And I love what you said about the “arc of opportunity” in comparison to a “trough of complexity.” It feels like that’s becoming the choice. Are companies going to hang on the arc of opportunity versus those that are returning to what they perceive as more certain, which really is the model of yesteryear.

 

Citrix recently did a global survey and the results to me are fascinating. They started by asking employees what they preferred. The data shows that 57 percent of employees prefer hybrid models that allow them to work remote or in the office. And 69 percent, that’s a big number, 69 percent said they’re going to leave their job if they aren’t given that option.

 

This tells us, from an employee point of view, that demand for flexibility is clearly there. And I hope companies realize, if they haven’t already, that to truly attract and retain talent for the long term, they’re going to have to figure out how to make this choice an option and make it a permanent part of their workforce strategy.

 

Gardner: Looking at some of the other findings, it seems that the hybrid work model – even as it was foisted on us -- does work well for many people. I see that 69 percent of the hybrid workers surveyed said they feel “productive,” compared to 64 percent of remote workers, and 59 percent of office employees.

 

So that flexibility is paying off from their perception. Also, nearly 70 percent of hybrid workers say they feel “engaged” compared to a much lesser degree, 55 percent of remote workers, and 51 percent of in-office employees.

 

So why is there ongoing tension? Why do we have this demand to return to the past when the current new hybrid state seems to be working for so many people?

 

Haworth: There’s an interesting dynamic I’m starting to sense. Typical human behavior is that in times of great uncertainty, the human brain tends to latch on to that which feels certain. And so even if we think about the macro environment outside of work, there’s still a lot of uncertainty.

The results from the Citrix survey show 70 percent of hybrid workers have a strong emotional connection to their organization and leadership, as compared to 60 percent of remote workers and 58 percent of in-office workers.

For example, we thought we had hit our uncertainty high during 2020 when COVID peaked. But what’s come at us is more and more uncertainty. One hypothesis is that this is an organizational reaction to try to control what feels uncontrollable.

 

But there’s a real risk because the impact on outcomes, results, and costs is driving outcomes and accountability within the ethos of an organizational culture. Going backwards -- to dictate how we work, almost like a parental order – is perceived as a top-down ruling. But the cost to workers is going to come in the form of a detriment to well-being, both physical and mental.

 

When we look at the results from the Citrix survey, 70 percent of hybrid workers say they have a strong emotional connection to their organization and leadership team. That’s compared to 60 percent of fully remote workers, and 58 percent of in-office employees. Similar numbers show up when it comes to well-being, with 70 percent of hybrid workers report good well-being, compared to 61 percent of fully remote workers, and 60 percent who are only in the office.

 

What struck me about all these numbers is in-office employees scored lower across all of these categories: productivity, engagement, emotional connection, and well-being. We really need to pay attention to both what’s not working and to also dive into what is working. Clearly something is working across all these domains for the hybrid worker. And that’s really important, because being inspired by our work, as we know, drives performance. It drives commitment, it drives loyalty. It drives innovation.

 

Organizations need to be asking the big question -- not necessarily which model is right, but which drives the best outcome for organizations and people. And from there, we can figure out how to make this work.

 

Gardner: Tim, given these findings, why are so many companies still resisting flexible and hybrid-work models? It seems as if what we saw over the past year and a half is backtracking. Why do you think that’s the case?

 

Trust is a must

 

Minahan: People like to label of a lot of things. It’s not a remote-work issue. It’s not a return-to-office issue. It’s not a quiet quitting issue. What we have here is a trust issue.

 

Minahan
Despite clear findings from countless studies -- from Citrix, from PwCJournal of Economic Perspectives, and countless others -- showing that remote work yields measurable improvements in productivity and retention, leaders -- including those that tend to pride themselves on being “data driven” -- are just ignoring the facts by pushing employees to return to the office.

 

In fact, our latest research at Citrix finds that nearly half of managers, despite all the evidence and experience they had in their own companies during the pandemic, just don’t trust employees to get work done when they’re outside the office.

 

In a recent study we did, 48 percent of managers reported using tracking software on their employees’ machines to measure their keyboard time when working remotely. I know, Dana, we’ve had conversations before on best practices for hybrid work, and during those, I warned that the biggest risk to getting all the benefits that Amy talked about by embracing more of a hybrid-work model was creating policies and culture and a technology stack that gave employees all equitable access to the applications, the information, as well as career advancement opportunities -- regardless of where they work, in the office or remotely.

 

Unfortunately, some leaders are now valuing face time over business outcomes. And you know, researchers have labeled this dynamic as proximity bias, and at its core is really a lack of trust and outdated ways to measure employee contributions and engagement.

 

Gardner: Of course, Tim, trust is hard to measure in a data-driven world. Do you have any sense of how trust can be measured as a business success indicator?

 

Minahan: The orientation is all about productivity. For example, The Journal of Economic Perspectives researchers ran an experiment in which they selected an unnamed NASDAQ-listed company and they randomly assigned call center employees to work from home and had a control group working in the office.

 

They found that working from home not only resulted in a 13 percent increase in productivity -- those workers working remotely actually were more productive than those in the office -- but they had a 50 percent lower attrition rate. When you think about dynamics like that, especially in the tight labor market that we have right now, there are real business benefits and real ways to measure the benefit of embracing a much more flexible work environment.

 

Gardner: Amy, you’ve been coaching a lot of companies that are working to find the right work balance. What is top of mind for you when it comes to the keys to hybrid work success?

 

Connected work creates better outcomes

 

Haworth: Piggybacking on this idea of trust that Tim brought up, what I’m hearing is a needed emphasis on trust and connection. Sometimes what we’re going for and what we’re trying to explain -- and what my clients are trying to explain – revolves around connection or trust.

 

What is that secret sauce to attain that? If we step back, and think about our lives outside of work, what creates trust and connection between people? It far exceeds anything we’re doing organizationally, but it can absolutely be put into our organizational structures.

 

Think about that. Why do you decide to trust someone? Most likely, it’s because you found a place where you shared something, perhaps a vulnerability, and it’s been reciprocated and held in a safe and shared space. Or you connected because you found some sort of similarity.

 

I’m seeing organizations having a knee-jerk reaction because they’re sensing that this idea of connection, which is fuel for trust, is missing. And so, they’re putting the workplace as the proxy for building that. The challenge is that in the last couple of years, we’ve distributed our workforce. If we’re using workplace as the proxy for connection making, we are leaving out, in so many cases, people who are not in the office anymore. That is one of the challenges with hybrid.

If companies are mandating that employees who have the option to be in an office, come into the office a certain number of days, they’re actually going to start to find that unless they teach organizations how to create connections, that they’re fueling disparity. And they need to be focused across-the-board on new ways of creating connection. How do we make it okay to not have our meetings be all about getting things done? We know that this style of working drives productivity, but we also need to be thinking about how it can drive connection -- and not just for one group who has access to an office, but for everyone.

 

The key is to help organizations be successful by naming what is missing in their culture, and then to set up focused efforts to build that capability so that there is fairness, safety, belonging, and connection for everybody.

 

Minahan: Amy and I have had this discussion before. It really boils down to those companies that are most successfully leveraging this moment to create entirely new work models that benefit both their organizations and their employees. It means delivering meaningful work, giving employees the tools, information, and assignments needed to drive innovation and creativity and the business outcomes for the company.

 

Certainly, there is a value in bringing employees together, that connectivity that Amy mentions. The ability to do strategic planning, the ability to collaborate in certain ways, and the ability to meet with customers. It’s about creating social networks with your fellow employees, so you see them as humans rather than, you know, a bodyless face on a video call. All of that has value.

But for those companies that are figuring out the secret sauce, it boils down to providing meaningful work and purposeful office time.

 

Gardner: As we talk about meaning and trust, that strikes me as closer to a relationship than a transaction. Much of the technology has been developed around transactions. Technology is inherently transactional. It seems to me that we need to look differently at technology as a way to increase the richness and value of the relationship between the employee and the employer.

 

Amy, is that the case? Are we not using technology appropriately? Do we need to think differently about the use of technology to foster better relationships that lead to more trust that then can deliver higher productivity?

 

Technology enhances work interactions

 

Haworth: Technology has a huge opportunity to be a catalyst to help create better connections in the way we see and experience each other. At its core, it’s about human experience. People need to be seen and heard.

 

There are some exciting innovations when it comes to the tools, even in my world of the human resources (HR) stack. We’re starting to see an amplification of recognition tools, of coaching platforms, of new and exciting ways to learn that are leveraging mobility and looking at how people want to work and to meet them where they are, rather than saying, “Here’s the technology, learn how to use it.” It’s more about, “Hey, we’re learning how you want to work and we’re learning how you want to grow, and we’ll meet you there.” We’re really seeing an uptake in the HR tech space of tools that acknowledge the humaneness underneath the technology itself.

 

Minahan: During the pandemic, we introduced new tools to allow employees to execute work in the most efficient way possible and collaborate in a more virtual sense. I believe we’re now getting to the point where the metaverse is blending with the workplace.

 

When you think about tools that companies embraced during the pandemic out of necessity -- communication and collaboration platforms such as SlackTeams, and Zoom – they were emulating the physical world and physical collaboration environments. That includes things like digital whiteboard tools, and content collaboration tools, for redlining and sharing, and all of that.

A top priority for IT executives everywhere is creating the optimal hybrid work stack. ... We're emulating the physical world and physical collaboration. 

But right now, one of the top priorities for IT executives everywhere is creating the optimal hybrid work stack. And that stack has multiple layers. One certainly is the collaboration layer, as we talked about. How do I bring together all the collaboration tools necessary to allow employees to work effectively, execute work effectively, and collaborate effectively when working remotely or in a distributed way?

 

The second layer consists of the business applications we’ve come to know and love. Those include HR apps, business applications, supply chain applications, and financial applications, et cetera. Certainly, there is a major role in this distributed work environment for virtual application delivery and better security. We need to access those mission-critical apps remotely and have them perform the same way whether they’re virtual, local, or software as a service (SaaS) apps -- all through a trusted access security layer. And then finally we need a suitable device layer, ensuring that employees can work across any device and location.

 

In our experience at Citrix, in working to bring some of those virtual environments into the physical workspace, for example, we’re retrofitting all of our conference rooms to be team-centric. No matter where anyone is working, they are part of a teams-based collaboration activity because we recognize that in most cases our meetings are going to involve a hybrid model.

 

Some employees and stakeholders are remote, and some are physically in the office. We’ve therefore also retrofitted our environment with circular cameras so that everyone has an equal box on Teams, we put cameras on the whiteboard so that everyone can be included in every part of the conversation, and they all have equal access to the shared information. We’re not alone in that. A whole host of our customers are examining those environments too, including bringing that metaverse approach into the workplace.

 

Gardner: Amy, even with all things equal in getting the right technology in place, it seems to me that there’s another part to the equation. Some organizations just foist the technology on their people, and it remains the workers’ job to be the integrator, to find the right process mix among all the different applications.

 

I wonder if that’s the best way because this isn’t just about accommodating all remote or all in-office work tech; it’s also about the process innovation. Are there some lessons in your experience about how to better deliver technology as part of a business solution?

 

Are your clients recognizing that workers are not systems integrators and that just logging into umpteen disjointed SaaS apps isn’t going to work if you don’t provide some other ways to help people work with the technology -- rather than be overwhelmed by it?

 

Keep it simple, secure, accessible

 

Haworth: Yes, Dana, I see a new hybrid work stack emerging. It’s about unifying, simplifying, and securing the work without an employee needing to figure out how to make that happen. The last thing we want is for the employee to feel like they are part of the IT department.

 

Instead, we want to rely on our IT counterparts to do what they do best. And then the employees across the organization can focus on what they do best, which is to fulfill their roles using the skills they were hired for.

 

I believe employees are going to continue looking for what unifies the technology, so there aren’t 60 SaaS logins. How can they work securely without carrying that burden? We need to make sure the work is simplified, and -- where possible – employ machine learning (ML) or virtual assistance to augment what they’re capable of. It amounts to guiding and automating the work so that the employee is free from that tech friction or noise and can perform at their best.

 

Gardner: Tim, we’ve been talking about how this impacts employers and employees, but how does this impact the IT people? It seems to me, based on what Amy said, that there might need to be a rethinking of IT. It might be along the lines of instead of them being systems support, they’re actually work support, in that they’re in the business of helping people work.

 

Minahan: You summed it up, Dana. IT’s number-one priority should be creating an equitable, consistent, and secure work environment for their employees so that employers and employees have the luxury of testing out different and flexible work models. That includes allowing employees to have the flexibility to work remotely using new collaboration tools, new work execution tools, and new tools in the workplace, ones that provide a seamless experience and involve everyone across these distributed teams so they can collaborate and execute work efficiently.

 


And then the last part is a mission-critical need today, and that’s who does the work. Prior to the pandemic, we had a global shortage of medium- to highly skilled talent. In fact, McKinsey estimated that we had a shortage of 95 million such workers. And that was most acute in those most-in-demand-skills necessary to digitize, advance, and modernize your business.

 

Well, that hasn’t gone away. It’s only gotten worse. But smart companies, having proven the model of hybrid and remote work, are now using that as a platform to reconsider their workforce acquisition strategies. This includes being able to tap into distributed pools of talent, blending contractors who might have a unique expertise around things like multi-cloud, security or artificial intelligence (AI) and bringing them together with full-time employees in work groups that are connected by a hybrid work stack that IT is creating to optimize employee productivity, experience, and engagement.

 

Gardner: Amy, when we redefine the objective or the mission of IT and the business around getting work done in the best way -- fostering the best relationships and trust between the players -- it seems that where they’re doing this all becomes far less relevant. And yet we’re hung up on location or proximity bias, as Tim pointed out. Do we need to further shake the bush and ask people why they’re hung up on location instead of why they’re not focusing on the quality and a new definition of the most effective work?

 

Change is hard but necessary

 

Haworth: Absolutely. Dana, I think you’re getting at the big challenge we’re facing right now. And that is, are we asking the right questions? Are we solving for the right problems? Going back to your “arc of opportunity” statement, we need to be very realistic that massive disruption is going to continue across the world.

 

Companies are going to need to figure out how to strategize, plan, and implement ways to build agility and create new organizational and workforce structures -- as well as IT structures -- that not only allow them to respond quickly to change, but actually allow them to thrive when they do. At the heart of this is massive risk mitigation. Unless organizations are thinking about disruption as a potential risk, they’re going to miss the mark. Putting more structure around where people work is the opposite of agility.

 

We need to be thinking about how we leverage everything that we have learned in the last two to three years and make it a foundation to build upon -- versus taking everything that we have learned and then going back to 1992. We need to be planning, to be strategic, and to expect disruption.

 

Then we can build both the technology capability as well as the human capability to thrive during disruption -- and that means overall agility. As Tim said about who’s doing the work, that will continue to ebb and flow. How can we react in a way that makes how we work ongoing more dynamic? And we need to get away from trying to answer the wrong questions, quite honestly.

 

Gardner: Before we go to our crystal ball and predict how things are going to unfold, even in a very disruptive period over the next year or two, I’d like to look at this through a different lens. We’ve been talking about the softer metrics of productivity and trust, but there are also hard metrics around the underlying economics of hybrid work.

 

As organizations look at their total cost of employee ownership, if you will, that has to include big office buildings in very expensive cities. It involves hour-long commutes in each direction on public transportation that’s probably aging and inefficient, or sitting in a car in traffic.

 

Tim, are there some purely economic reasons why companies should be more open-minded when it comes to location of workers? It seems to me that there’s more than just productivity, that there’s actually a bottom-line indicator here that flexibility and hybrid work pays.

 

Minahan: Yes, absolutely, Dana. In fact, there were countless studies done during the pandemic indicating that there are real business benefits to remote work. You mentioned key ones around real estate reduction, despite companies looking to get employees back into the office in some cases.

 

Almost every employer is looking at right sizing their real estate needs in new ways, particularly in major metropolitan areas.

If you are working remotely, commuting costs savings certainly put benefits back into both the employers' and employees' pockets.And there are major sustainability benefits as companies look to reduce their carbon emissions.

Secondly, you mentioned commuting. Commuting costs certainly put benefits back into both employers and employee’s pockets, if they’re working remotely, even part of the time, especially in light of the current prices of energy. There are major sustainability benefits as companies look to reduce their CO2 emissions by adopting cloud, reducing their real estate footprint, and reducing the necessity for employees to do two-hour commutes every day.

 

But I don’t see the benefits around improved productivity and business outcomes that our employers are trying to achieve as soft at all. They should be accelerated and enhanced by embracing a much more flexible work model, including hiring those hard-to-find skills because you can reach them in a remote fashion.

 

A good example is a hospital network right here in the Boston area, Dana, that during the pandemic saw their telemedicine visits go up to over 200,000 per month from 9,000 per month or a 27-times increase.

 

Well, guess what? Coming out of the pandemic, they’re not rotating all the way back. They’re increasing their telemedicine experience. They recognize that they can use that same platform to find in-demand talent around things such as oncology and can staff them not in the Boston area where it’s highly competitive and highly costly to hire them, but remotely in the Midwest or elsewhere. These are the types of real business benefits that have come from people embracing much more flexible work models.

 

Gardner: Tim, how do you see things playing out in the year ahead? Are we going to continue to have this back-and-forth debate over remote work’s value, or is there a new end state or settlement of this discussion?

 

Expect demands for meaningful work

 

Minahan: I think natural market factors will balance it out. Employees, including those very top employees who want to do meaningful, creative, and innovative work -- but in a more self-serving flexible work model -- will vote with their feet. We’re already seeing it from the great resignation and the like. And despite the blustering at the top level around getting folks back into office, the reality is that companies are recognizing the critical importance of employee experience.

 

In fact, the study we just did of 10,000 IT leaders, 60 percent said they’re investing more in internal innovation projects to improve the employee experience. They said they are investing in digital workspace technology to support consistent and reliable access to the applications and information employee’s need across any device and location to ensure security.

 


And so, in short, after years of investing to digitize and enhance customer experience, companies are now giving some much needed and long overdue attention to enhancing the employee experience. Those are the people, after all, who are responsible for innovating, creating, and improving the customer satisfaction levels.

 

I think the market is going to balance itself out, with companies making these investments in order to appear more attractive to needed workers. And as part of that, it’s not just about the hybrid stack for technology for hybrid work, it’s also about the policies and cultural changes you’re going to need to make to support that hybrid work model to make you an attractive employer of choice.

 

Gardner: How does this new stack shape up, Tim? What are some of the major components that people should be looking for?

 

Minahan: We covered a good portion of that before, Dana. We see a number of layers to the stack. Certainly, the newest one that’s getting the most attention is the collaboration layer. The need to invest in new tools to foster greater work execution and collaboration in a distributed model. Those would be things like the communication collaboration tools that we use, like Teams and Slack and others.

 

There’ll be some of the new kind of turning physical work methods into digital work methods like a digital whiteboard such as Miro, etc. And bringing those into your stack where a few years ago they probably didn’t really exist or weren’t used at scale as they are now.

 

The second layer refines and modernizes your traditional business applications stack. All those tools you can use to run your business, your enterprise resource planning (ERP), your business applications, et cetera. So, employees in functional layers can execute the work they need to get done, can execute those transactions.

 

There is also the rising importance of ensuring that you have a virtual desktop and security layer in there, one that leverages those mission-critical applications and virtualizes them at scale to your employee base, whether they’re full-time employees or contractors in a very quick and efficient way, and then wrapping that in a zero trust security layer.

 

Finally, the last layer is around the devices, ensuring that employees can have equitable access to applications and information regardless of what device they’re using and regardless of what location they’re accessing from.

 

Gardner: Amy, what does your crystal ball tell you about how things are going to shape up in the coming year or two?

 

Haworth: There’s going to be a realization that we need to continue to learn and experiment. I would love to see organizations and employees both set that as the expectation. So rather than swing all one way at an enterprise level, that there are parcels, pieces, incubators for innovation when it comes to both technology and ways of working. These incubators are generating insights, and those insights are fueling future decision making.

 

So, a really important aspect of this is that we don’t give up too soon. We have come so far, and what is taking place is a continuation of transformation. Transformation inherently means ambiguity. Humans don’t love ambiguity, but rather than abandon and go back to where we felt “certain” back in 2019, we need to push forward and lean into these spaces of uncertainty. That way we can continue to experiment, learn, try new things, innovate, solve real problems, and mostly not give up.

 

Gardner: And you know, Amy, I always like to ask about examples and real-life results. When you look at the new hybrid work stack, as Tim described it, and from the number of organizations you’ve been working with, any early adopters? Has anyone understood the need for this new approach and put in place some of these improvements to foster trust and relationships? What’s working? And when you do this right, what do you get?

 

Learn, innovate, motivate

 

Haworth: I am seeing some new best practices, and I love that idea of leaning into the bright spots. So rather than target what’s not working, let’s talk about what is working. One organization in particular is investing in their manager layer.

 

Throughout the last two or three years, we’ve heard how much middle managers have taken the brunt off of supporting teams and people. And one organization in particular is investing in their managers at unprecedented levels because they understand that employee experience is dependent upon manager experience. And they’re seeing some really good results so far. They’re early in the game.

Organizations like startups are making choices both in technology and in workplace best practices. They're looking at how people are motivated today -- not only within the team but to their work and solutions overall. 

Another place is in the startup community. Organizations that are building fresh right now are making choices both in the technology and in workplace best practices. There’s a lot of good learning to be had there because they’re looking at how are people motivated today. You know, it’s not, “We have to bring everyone into the office for a learning event.” What this organization is doing is thinking more about how much being in a work community and serving the community leads to feeling a sense of motivation and commitment -- not only to the team, but to their work and the solution overall.

 

So, they’re coming together in person with organizations in their community to do service together, versus coming together just for strategic planning. That is not to undermine strategic planning. It’s more about getting out and about seeing an impact in big ways is feeling a sense of loyalty and commitment as a result.

 

These are some non-traditional ways of stepping back and saying, “What do people need today? Where are we today?” It includes being willing to let go of the things that worked in the past in favor of something new and fresh.

 

Gardner: Tim, any examples of what the new hybrid work stack is capable of, particularly when companies recognize that it’s work that’s their mission and not about location?

 

Minahan: Yes, but I think it’s important to say that this stack isn’t just about enabling traditional work models. It’s about embracing new ones. And a very good example is Teleperformance SE. As one of the largest business-process outsourcers in the world, they are optimizing and focused on providing contact-center services for some of the world’s largest enterprises.

 

They recognized that this is a moment for them to be able to scale their business and to embrace new work models that simultaneously allow them to attract more talent and lower their costs. They’re using the hybrid work stack -- not just the collaboration tools we mentioned, but specialized tools related to call centers. They have been able to virtualize that as well as using their voice over Internet protocol (VOIP) services to enable a hybrid call-center model through which they can equally as well recruit remote workers, stay-at-home workers, to support contact center efforts as well as in their physical call centers. And that allows them flexibility.

 

Some of our customers are fully embracing the home-based force. They are able to, in this case, staff the call centers with the best talent possible anywhere and at the lowest cost. We have other customers who are saying, “Hey, no, I still want to have a physical call center in one of our major locations.” And they have the flexibility now to use hybrid models to deliver a higher level of service at a lower cost with a much more engaged and retained workforce than they could pre-pandemic.

 

Gardner: Tim, there’s so much new research and information. And people are thirsty for new insights dealing with these unprecedented issues. Where can they go to find out more to best continue their journey?

 

Minahan: I recommend they go to Citrix Fieldwork, our thought leadership platform where they can find much of the research that both Amy and I referenced today.

 

Gardner: Amy, how can Nobody Makes It Alone help? Where are your resources located? How can people learn more about finding the right path to a successful hybrid work?

 

Haworth: I’d love to connect with anyone on LinkedIn. I also author a newsletter on LinkedIn as well as the website, nobodymakesitalone.com and look forward to being a thought partner and helping to understand what’s going to make organizations successful no matter what happens in the world outside.

 

Gardner: I’m afraid we’ll have to leave it there. You’ve been listening to a sponsored BriefingsDirect discussion on finding the most productive approach to hybrid work. And we’ve learned how new forms of innovation, opportunity, and technology stack solutions can both empower workers and reward their employers with higher productivity, satisfaction, and innovation.

 

And so, a big thank you to our guests, Amy Haworth, Founder and CEO of Nobody Makes It Alone. Thank you so much, Amy.

 

Haworth: Thanks, Dana.

Gardner: And a big thank you as well to Tim Minahan, Executive Vice President of Strategy at Citrix. Thank you so much, Tim.

 

Minahan: Thanks, Dana. Looking forward to speaking again soon.

 

Gardner: And a big thank you to our audience as well for joining this BriefingsDirect future of hybrid work discussion. I’m Dana Gardner, Principal Analyst at Interarbor Solutions, your host throughout this series of Citrix-sponsored discussions.

 

Thanks again for listening. Please pass this along to your community and do come back next time.

 

Listen to the podcast. Find it on iTunesDownload the transcript. Sponsor: Citrix.

 

Transcript of a discussion on the drivers and opportunities to get the future of hybrid work right as soon as possible. Copyright Interarbor Solutions, LLC, 2005-2022. All rights reserved.

 

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Tuesday, September 13, 2022

How Deep Observability Forms the Gift that Keeps Giving for Hybrid IT Security, Performance, and Agility

Transcript of a discussion on gaining the best visibility into all aspects of the hybrid- and multi-cloud continuum to close the gap between daunting complexity and today’s performance and security requirements. 

Listen to the podcast. Find it on iTunesDownload the transcript. View the videoSponsor: Gigamon.

Dana Gardner: Hi, this is Dana Gardner, Principal Analyst at Interarbor Solutions, and you’re listening to BriefingsDirect.

Gardner

For those tasked with delivering unwavering performance of their apps and data, there have never been more unknowns to account for and manage. That’s because today’s hybrid clouds and mixed-network environments come with a multitude of dynamic variables -- and an unprecedented degree of complexity.

Yet modern digital business demands that the entire constellation of these far-flung cloud services, resources, and application constituent parts coalesce perfectly. The end result must be real-time and always-on user experiences that delight, and business transactions that are both highly secure and never fail.

Bridging the gap between such daunting complexity and awesome performance and security requirements means gaining the best visibility into all aspects of the hybrid- and multi-cloud continuum.

Stay with us now as we explore the ways that deep observability moves past the limitations of metrics, events, logs, and traces to deliver far richer and faster data-driven insights. By exploiting these new means of pervasive deep observability, the highest levels of security, performance, and agility can be attained by nearly any business and organization.

To learn how, please join me now in welcoming our guest, Bassam Khan, Vice-President of Product and Technical Marketing Engineering at Gigamon. Welcome, Bassam.

Bassam Khan: Hello, it’s good to be here. Thank you, Dana.

Gardner: Bassam, what are the main pain points you’re seeing for the cloud security operations (SecOps) and network operations (NetOps) teams as they strive to keep their environments performant, dynamic, and responsive -- given all of this difficulty and complexity?

Khan: Yes, it’s about being dynamic, performant, secure, and economical -- that’s the other aspect we keep hearing about. The pain for operations teams nowadays is to stay out of the way of progress, and to not get in the way of application development, business transformations, workload modernization, and application modernization. Progress can be defined truly as an organization’s ability to move fast by leveraging all of the applicable cutting-edge technologies out there today.

Khan
The pain is also about allowing developers to move very fast, without any involvement from IT groups -- particularly from operations -- unless something goes wrong. That could be when an application breaks, costs overrun, or the worst case -- some kind of security incident. The operations teams tend to be an afterthought -- until there is a problem.

Gardner: For those Ops teams then -- rather than there be a lag, rather than be reactive -- you want to be proactive and to get out in front of these potential problems as much as possible. That requires more visibility, more knowledge, and more understanding about what’s going on before the problems set in.

Khan: Exactly.

Gardner: What are some of the obstacles to getting to that forward-looking approach? How do you get out in front of security risks and be able to deliver a rapid remediation response?

Get out in front of risks early

Khan: One of the main obstacles is being able to get involved early. Development teams can move very fast using their own cloud platforms du jour, their favorite environment. Now, having visibility from an operations and security perspective into any infrastructure du jour is not easy. Every platform, preferred infrastructure, cloud container, and hyperconvergence environment has their own way of providing visibility. They all have a different methodology for accessing traffic information on how to scale up, or for seeing all the virtual machines (VMs) and containers as they pop in and out of existence. That’s the hard part -- because the orchestration and automation for every platform is different. That’s what makes it very, very challenging.

For example, in some environments you have simple things like virtual private cloud (VPC) mirroring to analyze all the packets coming in so I can get the visibility I need from a security perspective. Yet some environments -- let’s say Microsoft Azure -- don’t quite have such a packet mirroring capability. There are also other ways -- eBPFSidecar, and other technologies -- involved in container insights.

There is value that can be extracted from the IT and network infrastructure information. Accessing that is how the security, network, and IT ops teams can bring value back to the developers, DevOps, and CloudOps teams.

So, the best way that operations teams can get involved early is by showing and adding value that’s tangible and front-and-center for cloud developers, for DevOps, and for the cloud operations (CloudOps) teams. To this day, the development team, the cloud team, the DevOps team -- they tend to not look at the infrastructure. In fact, they don’t want to worry about the infrastructure. It’s something they’re built to not have to deal with. However, there is value that can be extracted from the IT and network infrastructure information. Accessing that is how the security, network, and IT operations teams can bring value back to the developers, DevOps, and CloudOps teams.

Gardner: Today we have a mixed bag of deployment options, each with many different variables in how to gather and share infrastructure information. But even that doesn’t necessarily give a complete picture. We also have a chasm between what the developers are doing and what is going to happen in hybrid operations, post-production.

How do we achieve the almost impossible – the end-to-end and full lifecycle levels of insights?

Khan: There are many different ways of seeing what’s going on in your environments, and ways of getting the data points from all of those insights. There’s something called MELT, which is metrics, events, logs, and traces. It consists of the most common ingestion telemetry and input data that all of the cloud tools operate with.

As you know, logs are quite informative and provide a very broad view, whether it’s from on-premises or cloud-type workloads. Logs are a good normalization mechanism. However, that’s not sufficient because logs only track the environment creating the log files. There could be more hosts out there, there could be communications not generating the level of log files needed from a security perspective.

We’re finding that -- while lot of people feel comfortable with the MELT data -- when we bring up the larger pool of telemetry-based communications happening between the hosts -- not just for managers, but for all hosts in the systems, and all the communications -- our customers say, “Wow, that is something that’s very cool, very helpful, and was never possible before.”

Gardner: How do we get past the MELT data and advance into deep observability? How do we excise that data and provide the fuller, richer, and faster view of what’s truly happening across all relevant activities?

Cooperate, collaborate for security’s sake

Khan: We have been talking to a lot of customers over many months and years about where the industry is headed. If you talk to IT industry analysts and other industry gurus, they describe where things are headed from a technology perspective.

But we took a different approach by doing research through more than 100 closed-door conversations, looking at our customer’s futures, by talking to our partner vendors, and based on other knowledge we have about the industry. Our approach evolved from a teams, tools, and telemetry perspective.

First, there are the people. What are their roles and responsibilities? In most of the cloud initiatives, there are different teams responsible for deploying and managing various workloads. You have developers on one end, all the way through to operations, and also all the way over to the NetOps side.

Now, these teams have tended to not be very cooperative or collaborative. The DevOps team is not pulling in the SecOps and NetOps as early as possible, as they should be. As a result, the SecOps team has to play catch-up. The NetOps team has to go into a mode of mean-time-to-innocence, to say, “Hey, this was not an infrastructure thing. This was some other application-related issue.”

What we have found, Dana, is these relationships are beginning to improve. People are starting to become more collaborative. It’s not overnight, but it’s getting better because of -- security. Security is the common denominator and common cause across all of these groups.

Nowadays, a DevOps person is much more conscious and spends more time working on security-related issues. The same thing with NetOps. Today, we find much better collaboration between networking and security.

Nowadays, a DevOps person is much more conscious and spends more time working on security-related issues. The same thing with NetOps. I joined Gigamon about four years ago, and I’ve had lots of conversations with NetOps teams and SecOps teams. There was a much deeper chasm between these two groups before.

But today, we find much better collaboration. It’s not perfect yet relationship-wise, but it’s better collaboration. You cannot be a network operator today and not spend at least half of your time working on security-related issues.

Now, as we said, security spans a lot of different areas. When we talked to customers, we talked to C-suite-level people in very large IT organizations. When it comes to detection, that’s not going to change; that’s going to stay a SecOps function and will stay in the security operations center (SOC), as far as we can tell.

However, when something is detected, like a breach or cyber threat activity, that’s when the other teams become involved in making the response, working on remediation, and then an even further, more-proactive stance around vulnerability mitigation. Detection and management -- that’s where all of the teams are involved working together.

Once you set down a zero trust approach, which is starting to pick up adoption as an architecture, the DevOps, NetOps, and SecOps teams are much more involved.

Now, the challenge has been that MELT consists of very powerful information. However, the tools that people use to leverage that information are siloed. They tend to be defined based on the ingestion data that they’re getting. So, when you look at metrics, events, logs, and traces, that’s the ingestion point for the tools that the developers are working with.

When you look at security-related tools, particularly data center security-related tools, which all of compliance is built on -- controls, knowledge base, all of that -- that tends to be more around packet-type information because that’s what you had in the data center. This chasm is causing a lot of problems. It prevents, for example, a DevOps person from doing security work because they’re missing out on endpoints that are not managed and don’t have an observability agent.

They’re not seeing the unmanaged traffic. There are not many security use cases that they can get to. That’s the chasm. That’s what we’re hoping the industry can address and we can help out with in the IT world.

Gardner: I completely agree that the security imperative provides a common denominator that joins disparate IT cultures, which is a good thing. If security drives a common purpose, an assimilation value, we need to get the right data to spur on that common security value proposition. How does the deep observability pipeline help get the right information to empower security as an imperative and then bring these groups together to take the proper action?

Visibility fabric sees past siloes

Khan: If the two worlds remain separate, even though a DevOps person wants to do security, they’re not able to. That’s true even using in-house observability tools based on Kibana and Grafana. These tools and the data ingestion approach is causing the groups to stay siloed, which is not ideal.

Instead, based on what we have seen over the years at Gigamon, and at other vendors as well, we have developed the notion of a visibility fabric.

Here’s why. The tools on the left-hand side cannot ingest network information, like packets and flow records, and do deep packet inspection. Yet that information is essential. We open up the packets, look at what’s inside, and create a bill of materials of what’s in the packets. We send that to the tools using such means as Kafka or JSON, depending on the tools.

Now, you’re able to use the observability tools to look for more security use cases, such as self-signed certificates, which are usually a red flag. Are there any old Secure Sockets Layer (SSL) ciphers out there in production today? That’s another vulnerability that needs to be flagged.

So, now the observability tools can be used for security functions, and not just for managed hosts, but unmanaged hosts as well.

Where the observability pipeline comes in, Dana, is something Gigamon has introduced quite recently. We have stretched the value out further so it’s not just security information, saying, for example, that Bassam is running cryptocurrency mining activity on some AWS instance. But we can also now say where Bassam downloaded an application, identify a command control communication, and determine how and where the crypto mining software was installed. All of this is packaged into a contextualized export -- a very targeted and small export -- that gets sent to an observability tool, such as New RelicDatadog inventories, or even a security information and event management (SIEM) tool like a Sumo LogicSplunk, or QRadar.

Based on the new level of network visibility, we can deliver much more contextualized data. The deep observability pipeline approach not only provides much stronger defenses in depth, which is what security wants, they are able to democratize a lot of the functions of security. That means they are much more efficient. A lot of the preventative and proactive vulnerability management can be done by other teams, very voluntarily. They are getting pulled into cloud projects earlier, and the DevOps people are very accepting of the security use cases.

They’re very open to it, and they’re very fast to deploy the security use cases because now they have that capability. And the vendors such as the New Relics and the Datadogs and others are now saying that the security use cases are their number one goal because there’s a lot of value.

Are they looking to move into the system-on-a-chip (SOC) and become a SOC tool? Probably not for a while. And they’ll tell you that if you talk to them. However, being able to do security functions is very important for the DevOps and the developer sides. So, they’re bringing in that capability.

The last point is kind of interesting. We’re now finding that the DevOps people don’t want to have to go into a deep observability pipeline and deploy tools that collect and aggregate network traffic. That’s infrastructure stuff.

Instead, they say, “Hey, Mr. or Ms. NetOps, can you please come over and help me deploy this because the metadata value that I’m getting out of that traffic is super useful to me.” So now the NetOps people teams are being called in early.

Based on a new level of network visibility, we deliver much more contextualized data. The deep observability pipeline approach provides much better defenses and democratizes a lot of the functions of security. That means they are much more efficient.

And here’s the side effect that we’re seeing. I’m going to date myself. I started my career in IT in the 1990s and for an investment company in Boston. We didn’t have a network team when I first joined. We had a telecoms team, and this team went through a transition throughout the 90s because they were wiring phones. But they’re also wiring network connections -- Ethernet cabling all over.

What we found is that over the years, there was a split within that group. Some of the group decided to stay in telephony and they ran the telephone systems and switches. But part of that group became the networking group -- network engineers and then ultimately architects and operators. We saw that split happen.

Now, some 20-odd years later, we’re seeing a similar kind of split happening because of this observability technology, which allows the NetOps teams to be much more involved in the cloud projects. We are seeing a split in careers as well. A lot of the network engineers are contributing and becoming much more involved -- and almost forward-looking -- with cloud initiatives. It’s kind of cool.

Gardner: Well, now you have raised another group that we should be addressing, the NetSecOps people.

Increase visibility in the cloud and network

Khan: Yes, NetSecOps becomes even more relevant because what they’re now able to do is provide a lot more value to the essential cloud operations, cloud applications, and application modernization efforts by getting more contextual information from the networks.

A lot of the cloud migration and the cloud mentality is, “Oh, I’m moving this to the cloud. It’s a cloud workload now. I don’t have to worry about the network.” And that’s true. The cloud service provider will guarantee your up-times, response rates, and bandwidth -- all of that is guaranteed. You don’t need to worry about that.

However, it’s a little bit like the baby with the bathwater, there is important information you can glean from network communications – and you don’t want to throw it all out. Now, we like to say, the network analytics data is less about gathering intelligence about the network. It’s much more about intelligence derived from the network -- and that’s where NetSecOps and even NetOps teams are playing bigger and bigger roles.

Gardner: All right, let’s unpack the packets, if you will. When we go to the network to get the intelligence, the data there can be overwhelming. Also, is there a performance hit from the tools and the analysis? What are some of the nuts and bolts, brass tacks, if you will, about practically accessing that crucial and more strategic data in a meaningful way from the networks and then sharing it in an impactful way?

Khan: You hit the nail on the head. If not done correctly, costs can overrun very quickly. I am talking about data and communication costs. The two use cases are packets, which are still very relevant in the cloud, we are finding. As people move closer to the cloud, they realize that, “Hey, we’re not able to have as much control over and visibility to the data that we need.”

For example, we recently had a conversation with Lockheed Martin about Cybersecurity Maturity Model Certification (CMMC) 2.0 compliance. As part of their requirement from a CMMC compliance perspective they need to inspect the packets -- even in the cloud workloads. The problem is you have multiple tools.

There are the CMMC compliance tools, a network detection response (NDR) tool, and more. So, you have three, four, five tools. The packets are flowing all over the place to the instances, where the tools are running in the VMs. The compliance reporting is running, and all of this can get pretty expensive. You’re paying for bandwidth over and over and over -- and not all tools need to see all the traffic.

If you take the entirety of your VM traffic, pull it all together, and send it over the wire, it’s going to get really expensive. This is where the cost-optimization comes in. It can find the tool and say, “You know what? This tool is only going to see this needed traffic.”

Not all of your monitoring tools -- or even security tools, for that matter -- need to look at all the kinds of traffic. If there’s a multi-GB Windows update, for example, not all tools need to see that traffic as well.

The deep observability pipeline approach allows customers to fine-tune -- from a packet perspective – both what types of protocols they want to see, and also, very specifically, what applications to exclude. That way we can get very, very efficient. That’s the packet inspection efficiency use case.

The second big efficiency use case is the notion of metadata, which is very important because of its capability to extract important elements from the traffic and send that off. If, for example, you have 1 gigabit per second of traffic, metadata exploitation will bring that down to less than 1 percent of the traffic coming in because it extracts intelligence about the traffic.

And, as we mentioned before, MELT data is great for a lot of purposes, particularly if there’s an agent running. If there’s an agent running on a host -- whether it’s an application, device, or a user machine or laptop endpoint -- it can get a lot of information. It can go deep into that host, find out how much CPU consumption is being taken, how much memory is left, and what are all the different services running on the machine.

However, what if there are certain data aspects it’s not able to deliver? What if that host does not have an agent? What if it doesn’t have the observability agent generating the needed level of visibility?

And there are security considerations, which are really important, particularly for our US federal agencies that use Gigamon, which is all 10 major agencies. What we hear over and over is network data is the ground truth. It’s something that’s been around for a very long time, and it’s still very true.

One of the first things a threat actor will do once it reaches the system is they’ll try to cover their footprints. The way they do that is by turning down logging levels, by hiding themselves from the logging.

Well, you can’t hide the fact that Bassam’s machine went out and talked to this command-and-control system or moved laterally. Just can’t hide that. And, so, the network data is immutable. Also, importantly, the network insights are passive in the sense that when you put an agent on a system, it’s going to impose some level of resource consumption and from a maintenance perspective. There’s patching, upgrading, and a certain level of work involved in that.

But when you’re listening to network traffic, it’s completely passive. There’s no impact on the hosts themselves, whether they are managed or unmanaged. It could be an Internet of things (IoT) device, a printer, a surveillance camera, a heart machine, or even a fish tank. There was a case of a breach in a fish tank a while ago. But the point here is that these are the two big different use cases, and the two come together to make what we call a deep observability pipeline.

Gardner: All right. Given how important this network traffic information is, let’s get deeper into what Gigamon does, specifically that is differentiated and brings this information out in such a way that it can be used across different personas, use cases, and by both the security and  operations teams.

Deep observability pipeline to all the data

Khan: Our deep observability pipeline has four basic functions. The workload can run on any platform, any container, or on any physical endpoint, it doesn’t matter. We worry about the access mechanism, and we support every native data access mechanism so that our customers don’t have to worry about it. So rather than plugging in their 50 different tools that need access to network data or metadata, having to plug those tools into all of the different parts of infrastructure, we plug it in, they plug those tools on our port, either physical port or virtual port depending on whether it’s cloud or not.

We are responsible for accessing all the data. Then we can broker that out to any tool that wants packet data or metadata about the traffic. And that supports about 24 different – what we call GigaSMART applications -- where we’re cleaning up the traffic. Not all tools need to see all your traffic.

One of the most deployed functions that we have, for example, is called packet deduplication. When you have any kind of infrastructure you end up with duplicate packets because it’s an artifact of any complex type of infrastructure. And when you have duplicate packets, you’re flooding the tool with duplicate information. There’s absolutely no need for it. So, by deduplicating the duplicate packets, you’re saving a lot of traffic. A lot of organizations we go into have some 30, 40, or 50 percent duplicate packets, sometimes more. By deduping, you are instantly able to double the capacity of the tool because you’re not losing any fidelity of the data because the duplicate packets don’t do anything.

The 24 different traffic optimization and transmission capabilities come into any tool in any format that people may want. And we have been providing a lot more context around the data itself.  

The 24 different traffic optimization and transmission capabilities come into any tool in any format that people want. As for Gigamon’s unique capabilities, a lot of these things are part of the visibility fabric that we talked about. The investigation part is something that’s unique where we’re contextualizing the data using our NDR technology that we have in providing a lot more context around the data itself.

Our integration with cloud-based observability tools is super unique. When you have a managed host, whether it’s running in the cloud or on physical devices, or hybrid IT, the cloud versions of the observability tools, of the SIEMs, need access to the data, and that comes in over an agent. For example, you install a Datadog agent to all of your managed hosts out there or whatever your observability tool of choice might be and you’re able to send it.

Gigamon’s GigaVUE V Series forms the intelligence, the brains, of another product. We get the traffic using our own tapping, or using native packet mirroring, if that’s available. Then using the same agent, we collect and send that data as events to the tools. It’s a completely different perspective that complements existing observability dashboards, in your queries, the alerts, and everything else your DevOps person has set up.

Again, this enables being able to do security use cases. Again, it’s not necessarily intelligence about the network -- it’s intelligence from the network. And it’s the entire network. It’s managed and unmanaged hosts. It’s hosts that are talking without any kind of agent running on them.

A simple use case: Let’s say your SIEM, your Splunk, is supposed to be tracking all of the activities of all the hosts running in your system. What our customers find, as soon as they bring in this level of visibility, is some things are missing. All the hosts are supposed to be tracked by your SIEM but there’s a delta. You’re not seeing all of the hosts. Some applications or APIs are running that are unsanctioned. Something weird is going on. They need to worry about that.

That is an example of a vulnerability, assessment, and management detection that’s now within the realm of a DevOps person who has never done that before. And in order to get this sorted out, typically, a NetOps person will come in and make sure that the agent is installed, and the V Series is running and sending the needed data over. The NetOps people get pulled in early because there’s a lot of value that the DevOps person, the right-hand side, is able to get from this and the use cases.

Gardner: We can’t do this just based on what the cloud provider has served us in terms of visibility. We can’t do this just from what we had inside our respective data centers because it doesn’t consider the entire hybrid cloud extensions of our workloads. And there may be unseen hosts. But we need to track it all.

To attain this new level of deep observability, what do people need to put in place to get there?

See all data in all the directions

Khan: The capabilities come in basically two different groups. One is the packet-type of capabilities. It is a better level of security from a NDR perspective, and from a compliance perspective.

For example, Five9, one of the largest cloud-based contact centers, needed PCI-compliance when needed they moved to a public cloud. You can’t do that without having this deep level of observability having your arms around all of the communications going on. Keep in mind this is not just for the edge, north-south communication is their public cloud. This is for east-west traffic as well, which includes VM-to-VM as well as container-to-container traffic.

For such, larger organizations with multiple on-premises and cloud workloads, the attack surface grows, which makes the need for this high visibility into packets foundational as a security requirement. The second big round-up bucket of benefits comes from the metadata.

I’ve talked a lot about the DevOps-ready pipeline. Let’s see what it looks like. As I mentioned, there are multiple partners we use. In this case, I shall go into New Relic. And what we’re seeing here is a dashboard that we have created.

We have the data coming into an agent and into the New Relic observability tool. This data is completely derived from network intelligence, from the deep observability pipeline. This is the first-ever capability of having this level of network intelligence. There will be some red flags going off. There’s SSL running in this environment, even if there’s one or two flows, one or two hosts talking SSL; that’s a big red flag. That should not be happening. Some weak cypher is running. This is the type of information that people find very valuable -- and even more so because this is being sent to a DevOps person.

Are there any Dynamic Host Configuration Protocols (DHCPs)? Are there any Domain Name Server (DNS) redirections going on? For example, I might have installed a browser plug-in, so if I type in Gigamon.com rather than just using the on-premises DNS name resolution, it’s going into a third party and that’s a big red flag. It’s just not an acceptable security practice.

I mentioned some security use cases, but they’re also performance use cases. What we can show, for example, is the HTTP response time. We also have a widget that shows the Transmission Control Protocol (TCP) response time. When data calls up and says, “Help, my application is running slow.” If the NetOps person or even the DevOps person in this case can see that TCP response time is trending flat, it hasn’t changed. But HTTP response time has spiked. That means guess what? It’s not a network connection issue, it’s an application issue because it’s at the TCP level, it’s an application-level issue. So, there is instant resolution for some of these troubleshooting types of issues.

We can also see, via simulated data, that BitTorrent is running. So peer-to-peer (P2P) traffic, which is the thing by the way. Side story, we went into one of our government agencies and when they turned on what we call this application intelligence capability, I said, “This is great. I can see all the applications. I can see what’s running.” But it’s not right because it says we have BitTorrent running in our environment, and this is a pretty secure environment. And then our sales engineer said, “No, that’s what it says and then their NetOps person looked into it like, “Come with me.” He just grabs our sales engineer’s laptop and drags him into their SOC, and says, “Guys, we have BitTorrent running.” And everybody in the room said, “No, that’s not possible.” But when they looked into it, sure enough, they had BitTorrent running. Somebody, somehow, installed that.

So even in a very safe environment, you will find unknown applications called rogue applications. Where it gets interesting is that these are sometimes crypto mining applications. There was a case a couple of years ago, where Tesla’s AWS infrastructure was compromised and rather than attacking using some direct attack onto Tesla’s applications, bringing down systems, the actor installed cryptocurrency mining called Monero, which is actually this MINEXMR, Monero, and they sat there for months and months just mining cryptocurrency.

Google report came out about seven months ago. They looked at all of the breaches that happened in Google Cloud. They found that 86 percent of the time the attacker came in and installed cryptocurrency mining. The attackers did other things, that’s why the percentages can be over 100; they did other nefarious activities. People install cryptocurrency mining, why? Because this is the shortest route from point A to point B, which is monetization.

Gardner: How does this then relate to zero trust architectures? How does the deep observability pipeline relate to zero trust now that it’s being mandated in the public sector and it’s becoming a de facto standard in the private sector?

Gigamon at the core of the zero-trust

Khan: Yes, zero trust has been advancing in the federal space, where Gigamon has a strong presence. We’ve been going on that journey with our customers. And we’re starting to hear more about it in the enterprise business world as well.

One of the foundational approaches to zero trust is about policies. It’s about identities and segmentation. The policy engine input assumes that all of the communications are being captured. If you have blind spots, if you’re not looking at inspecting Transport Layer Security (TLS) traffic, encrypted traffic, you should be. If you’re not looking at east-west communications, container communications, that’s going to lead to blind spots, and zero trust assumes that there is visibility in all of the traffic in all of the communications that are going on.

That’s where Gigamon comes in. We provide the core foundation to what John Kindervag, a Forrester analyst, first wrote about around zero trust more than 12 years ago. He used to call it the DAN, the Data Access Network. The foundation to zero trust is being able to have access to all of the data, and that’s where Gigamon comes in.

We provide the needed telemetry, the visibility, and the blind spot elimination that are foundational for every zero-trust journey. So as a result, we’re baked into almost all of the federal organizations and federal department agency projects to build a zero-trust journey on. And we’re starting to see that happen more and more on the enterprise side.

Gardner: We’ve talked in general terms about the deep observability value, and it certainly sounds very compelling. It makes a great deal of sense given the hybrid and dispersed nature of workloads these days. Going to the network for the required insight is absolutely something that you can’t deny. But we haven’t talked about metrics, or public key infrastructures (PKIs). Do you have any demonstrative definitions, qualitative or quantitative, of when you do deep observability in these complex environments what you can get as security performance agility cost savings?

Khan: There are a number of ways our customers measure how efficiently Gigamon helps. By optimizing traffic, we are also helping all the other tools, too. So, people say, “Hey, you have this intrusion detection system (IDS) tool, you have this web application firewall (WAF), you have this application performance monitoring (APM) tool that we pay for. If I’m going to ask for additional budget to buy more of those tools, it is because I’m running this as efficiently as possible.” Gigamon shows how much traffic is coming into each tool and how much it’s been made efficient.

The first metric really is around return on investment (ROI). If you have a tool that does not need to look at, as I mentioned before, for example, Netflix traffic, they can say this is exactly what’s being excluded and this is how we’re running this tool very, very efficiently. We have six to nine months of ROI for our product itself, but then after that it’s all efficiency. And we have a very powerful ROI model that’s been used by over 200 customers. And in many of those cases we find the non-vendor spreadsheet model shows how efficiently their IT organizations are running. And a lot of our customers use that to justify additional budget.

When they put a proposal in to buy anything in the data center, we find they staple the model to the actual proposal to their finance group on why they need more equipment. That’s because we have visibility and all the data in motion to quantify the benefits from a cost-savings perspective, which is a big factor given all the budget uncertainty that’s happening right now.

Gardner: You mentioned deep observability as a force accelerator among the tools ecosystem. It frees the network data for use by many insights and analysis values. You work in an ecumenical orientation. What do your partners say to that?

Khan: Most of the new customers we work with are brought to us by partners, both technology and channel partners. We allow their deployments to be much more successful. We do that by eliminating blind spots. They need to see, for example, decrypted traffic to do their job, but they don’t need to see things that are not essential. Things like masking technologies that we provide allows a much safer way of decrypting with compliance and that allows tools to be much more efficient and effective.

The new category of deep observability pipeline and tools is where the real innovative work is happening. It’s an expansion of a DevOps person’s ability to look at 10 to 20 percent of an infrastructure that have agents running and opening their eyes to the entire 100 percent of the infrastructure by seeing all communications happening from a security and vulnerability perspective. That’s where we’re seeing a ton of traction and new partners coming to us saying, “Hey, I heard you do this. Let’s work together.”

Gardner: That’s exciting because oftentimes when you provide new capabilities into the field, people will be innovative and find creative new ways of using them that hadn’t been determined before. And it certainly sounds like we’re right on the cusp of some of that innovation using deep observability.

Khan: That’s right. Exactly.

Gardner: I’m afraid we’ll have to leave it there. You’ve been listening to a sponsored BriefingsDirect discussion on bridging the gap between daunting complexity and awesome performance requirements by getting the best visibility into all aspects of hybrid and multi-cloud continuum deployments.

And we learned how pervasive deep observability brings the highest levels of security, performance, and agility to nearly any business and organization. So, a big thank you to our guest, Bassam Khan, Vice President of Product and Technical Marketing Engineering at Gigamon. Thank you so much, Bassam.

Khan: Thank you. My pleasure, Dana.

Gardner: And a big thank you as well to our audience for joining this BriefingsDirect Cloud Complexity Risk Reduction discussion.

I’m Dana Gardner, Principal Analyst at Interarbor Solutions, your host for this Gigamon-sponsored interview. Thanks again for listening. Please pass this along to your CloudOps, SecOps, NetworkOps, and NetSecOps communities -- and do come back next time.

Listen to the podcast. Find it on iTunesDownload the transcript. View the video. Sponsor: Gigamon.

Transcript of a discussion on gaining the best visibility into all aspects of the hybrid- and multi-cloud continuum to close the gap between daunting complexity and today’s performance and security requirements. Copyright Interarbor Solutions, LLC, 2005-2022. All rights reserved.

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