Posted By John Rath On July 28, 2011 @ 8:00 am In Data Center Strategies | No Comments
Action –> Engage all stakeholders and apply appropriate cost modeling
The data center is a complex ecosystem of many different functions coexisting under one roof. As such, there are many important inputs to make a holistic data center strategy. Information Technology is the primary input and reason for the data center to exist. Its needs are aggregated and IT strategy and forecasts are studied for how to best accommodate its needs. Other areas to seek perspectives from include finance, infrastructure operations, facilities, support, real estate, security, GRC (governance, risk and compliance) and many others.
Total Cost of Ownership
Costs for operating the data center can be spread across many departments or divisions at a company , which reinforces the need for a data center strategy to include all of these areas. Numerous surveys have shown that managers responsible for the data center either did not have an understanding of the data center power bill, or the bill was sent to a different department.
Aside from ensuring that all costs are known, the TCO (Total Cost of Ownership) analysis must be a comprehensive look at all elements of operating a data center. While the best data center is the one that doesn’t have to be built, maintaining the one that does means it should be economically efficient.
TCO can be influenced by energy trends and prices, technology trends, the impact of efficiency gains in all parts of the data center, direct, indirect and overhead costs, use of renewable energy, and the cost of compliance with government regulations or other industry standards.
The Economics of Data Center Operations
The economics of operating a data center are comprised of many items that factor into the total cost of ownership:
An implicit value is derived from a data center strategy that is the coalescence of internal and financial perspectives. The misconception that going high-density in the rack equates to a higher cost is usually not founded with the realities of what efficient infrastructure is capable of. The new data center is equipped to handle and scale with high density servers and will ultimately save money through the power and cooling efficiencies gained. Examine all aspects of the economics of data center operations in order to understand the implications of risk assumption and true costs involved.
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 John Rath: http://www.datacenterknowledge.com/archives/author/johnr/
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