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8. IBM Z and Hybrid Cloud The Centers for Medicare and Medicaid Services The role of the IBM Z® in Hybrid Cloud Architecture Paul Giangarra – IBM Distinguished Engineer December 2020 © IBM Corporation 2020 The Centers for Medicare and Medicaid Services The Role of IBM Z in Hybrid Cloud Architecture White Paper, December 2020 1. Foreword ............................................................................................................................................... 3 2. Executive Summary .............................................................................................................................. 4 3. Introduction ........................................................................................................................................... 7 4. IBM Z and NIST’s Five Essential Elements of Cloud Computing ..................................................... 10 5. IBM Z as a Cloud Computing Platform: Core Elements .................................................................... 12 5.1. The IBM Z for Cloud starts with Hardware .............................................................................. 13 5.2. Cross IBM Z Foundation Enables Enterprise Cloud Computing .............................................. 14 5.3. Capacity Provisioning and Capacity on Demand for Usage Metering and Chargeback (Infrastructure-as-a-Service) ................................................................................................................... 17 5.4. Multi-Tenancy and Security (Infrastructure-as-a-Service) ........................................................ 19 6. IBM Z as a Cloud Computing Platform: Hybrid PaaS ....................................................................... 21 6.1. WebSphere Application Server z/OS (Platform-as-a-Service) ................................................. 21 6.2. CICS (Platform-as-a-Service) .................................................................................................... 25 6.3. Db2 for z/OS (Platform-as-a-Service) ....................................................................................... 27 6.4. Content Management (Platform/Software-as-a-Service) .......................................................... 29 7. Computing Infrastructure at CMS ....................................................................................................... 31 7.1. IBM Z Environments at CMS ................................................................................................... 31 7.2. Open and Distributed Systems at CMS ..................................................................................... 31 8. IBM Z and Hybrid Cloud .................................................................................................................... 32 8.1. Hyper Protect Services .............................................................................................................. 32 8.2. Data Privacy Passports .............................................................................................................. 39 8.3. Container Based Solutions with OpenShift on IBM Z .............................................................. 43 8.4. Resiliency (HA, DR) ................................................................................................................. 45 9. Extending the IBM Z - Hybrid Cloud at CMS .................................................................................... 48 9.1. Leveraging existing infrastructure and application assets in the transition to the Extended Hybrid Cloud ........................................................................................................................................... 48 9.2. Linux on IBM Z ......................................................................................................................... 49 9.3. PoC with Linux on IBM Z ......................................................................................................... 51 9.4. Public Cloud (IBM Cloud or Amazon AWS) ........................................................................... 51 10. Conclusion .......................................................................................................................................... 52 APPENDIX A: An Example of SaaS on the Mainframe: Walmart’s Mainframe Utility Services ............ 59 APPENDIX B: Cloud Computing Definitions and Terminology ............................................................... 61 APPENDIX C: Systems of Records and the Privacy Act ........................................................................... 65 © IBM Corporation 2020 2 The Centers for Medicare and Medicaid Services The Role of IBM Z in Hybrid Cloud Architecture White Paper, December 2020 1. Foreword Health care today represents approximately one-fifth of the U.S. economy with spending totaling more than $4.5 trillion annually. National health spending is projected to grow at an average annual rate of 5.4 percent for 2019-28 and to reach $6.2 trillion by 2028. With the growing prevalence of the Affordable Care Act (ACA), The Centers for Medicare & Medicaid Services (CMS) and the Children's Health Insurance Program (CHIP). has rapidly become the largest single payer of healthcare benefits in the United States. These programs rely on information technology as a critical resource for executing on this vital mission. To be truly effective, these resource investments must be fiscally managed and optimized to address the mounting costs associated with an increasingly rapid pace of change in CMS’ programs consistent with regulatory changes and growing beneficiary demands. Additionally, in light of the recent COVID-19 pandemic along with increased open season enrollment, business resiliency, security, remote virtual work and omni-channel delivery of services quickly advances to the forefront of CMS’s mission and IT challenges. In this dynamic environment, driving efficiencies become paramount, but can be gained and often accelerated when leveraging modernized information technology cloud architectures. This white paper is targeted at an area that can yield great savings and enormous efficiencies by creating a common hybrid cloud architecture that incorporates and leverages a modernized mainframe environment that will keep pace with the rapid changes and mounting costs in CMS programs. As a continuous evolution, IBM is creating ways to make the customer experience of using mainframes more like the experience of using and leveraging the benefits of cloud services. Referred to as the most powerful transaction processing system of the cloud era, handling more than 30 billion transactions a day, the IBM mainframe is at the center of any hybrid cloud strategy. However, it is often perceived as a monolithic necessity that is expensive to maintain and difficult to change. Pressure to reduce costs often leads to a desire and need to move service workloads off the mainframe; but the difficulty, cost and risk associated with migration often result in stagnation and minimal change. With a renewed value perspective, CMS can realize, like many of the leading commercial healthcare insurance payer companies and financial institutions worldwide, that the integration of their system of records into a common hybrid cloud architecture is very achievable, leveraging new microservices technologies, new open-source tools, and new AI processes offered by a modern hybrid cloud processing environment. In this paper, we hope to provide a fresh point of view that an optimized and modernized mainframe environment is, in fact, a critical centerpiece of a hybrid cloud strategy that supports microservices, containerized applications, and agile development methodologies. As a demonstrated commitment to this approach, IBM has made significant sustained investments in cloud technologies with its recent acquisition of Red Hat, the leading provider of Open Source and a catalyst for digital transformation- all of which have strengthened the mainframe’s traditional qualities of service in performance, resiliency and security. These strategic investments will enable a modernized CMS computing environment/platform that will serve as the centerpiece for a hybrid cloud migration strategy while realizing the business benefits from a flexible, cost-elastic and nimble IT infrastructure. © IBM Corporation 2020 3 The Centers for Medicare and Medicaid Services The Role of IBM Z in Hybrid Cloud Architecture White Paper, December 2020 2. Executive Summary We hope to provide some insight with this document into the various options that are available as CMS evolves its Hybrid Cloud estate and the role of the mainframe as a key component of that estate. We started by reviewing the NIST CCRA Definitions and Terminology, which we will use to provide a common language for the subsequent discussions. (See the Appendix of this paper for details.) With multiple cloud computing service models (IaaS, PaaS, and SaaS) as well as multiple deployment models (private, public, community, or hybrid) to be explored, this is a multi-faceted decision, and we appreciate the opportunity to share our thoughts to assist you in evaluating options. This paper will provide three main conclusions: a) The mainframe itself is a premier hybrid cloud as well as a core participant in a hybrid cloud estate The modern-day mainframe (IBM Z) continues to evolve to address changing business dynamics, advances in industry computing techniques and technological innovation. Exploiting the evolving technologies
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