Savile Row or the High Street?

Do you offer highly customized or "Ready to Use" IT services? Let us help you define your IT Collection this Fall.

Are You Looking At Partial Outsourcing?

What happens with service and costs over time when you own the hardware and the Service Provider bears the cost for people, energy and premises?

At what level should we define service to make it practical?

What is the best way of providing chargeback in virtualized and shared environments?

Where should I start my orchestration and automation efforts?

Welcome to the Portman Consulting Group, PMCG

How Data Center Competitiveness Depends on Cost Allocation

Written by Torsten Wenell
Wednesday, 08 October 2008 00:00
A data center with a smaller share of energy cost and bigger share of hardware cost has a hidden competitive advantage. Reverse, a data center with a large share of people cost and a low share of hardware cost will have an increase in cost over time that necessitates rationalization just to stay at the current cost level.
Last Updated on Friday, 24 July 2009 15:09
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Data Center Cost Allocation and Effects on Partial Outsourcing

Written by Torsten Wenell
Wednesday, 08 October 2008 00:00
In my blog "How Data Center Competitiveness Depends on Cost Allocation" I discuss the importance of splitting data center costs into six groups; Hardware, Software, People, Energy, Premises and Other since they have different underlying cost development. While we continue to expect that price / performance improvement in hardware will keep lowering the cost of capacity the same cannot be said about People and Energy where we do not expect costs to go down. This means that the allocation of costs in the data center determines the future cost development.
Last Updated on Thursday, 30 July 2009 11:01
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Control the scope of services provided to ensure quality and efficient delivery.

Follow ITIL Best Practices for how to create and manage business and technical service catalogs.

Implement effective Chargeback processes to enable communication and feedback between the business and IT.

Let the business manage their IT use and spend to provide input for simplified and improved IT budgeting.

Uniformly create, apply and manage change across all infrastructure tiers.

Automate common, repeat processes for incident/alert diagnosis, resolution

Use ITIL definitions and best practices to better define roles and responsibilities between supplier and customer in outsourcing situations.

Choose the right strategy for your outsourcing to avoid common lock-in effects with regards to technology, use and cost.