IPMI is a hardware-level specification and Hewlett-Packard iLO is an embedded server management technology. Each of them describes and provides an interface for remotely monitoring and controlling computers.
You must perform the following procedure on each host.
Prerequisites
Both IPMI and iLO require a hardware Baseboard Management Controller (BMC) to provide a gateway for accessing hardware control functions, and allow the interface to be accessed from a remote system using serial or LAN connections. The BMC is powered-on even when the host itself is powered-off. If properly enabled, the BMC can respond to remote power-on commands.
If you plan to use IPMI or iLO as a wake protocol, you must configure the BMC. BMC configuration steps vary according to model. See your vendor’s documentation for more information. With IPMI, you must also ensure that the BMC LAN channel is configured to be always available and to allow operator-privileged commands. On some IPMI systems, when you enable "IPMI over LAN" you must configure this in the BIOS and specify a particular IPMI account.
vSphere DPM using only IPMI supports MD5- and plaintext-based authentication, but MD2-based authentication is not supported. vCenter Server uses MD5 if a host's BMC reports that it is supported and enabled for the Operator role. Otherwise, plaintext-based authentication is used if the BMC reports it is supported and enabled. If neither MD5 nor plaintext authentication is enabled, IPMI cannot be used with the host and vCenter Server attempts to use Wake-on-LAN.