Reducing infrastructure cost has traditionally been the driver for adopting IaaS cloud-hosting. For companies where capabilities are spread across several environments because of a decentralized business strategy or intensive M&A activities, reducing operational costs via cloud migration makes great sense. But what if your organization has already consolidated its environment? Is there still an argument for cloud migration? According to Cutter Consortium Senior Consultant Vittorio Cretella (who until retiring a few months ago was CIO of Mars, Inc.), there is.
In a recent Cutter Consortium Advisor, “The CIO and the Holistic Business Case for Cloud Migration,” Cretella explained:
For many companies that have already consolidated their data processing assets into fewer facilities, often simultaneously implementing storage and server virtualization, operational cost benefits are likely to be minimal. That was my experience with a consolidated environment where more than 80% of data processing capacity was run out of two global, redundant data centers with extensive use of virtualization (60% of 3,200 servers were virtual using VMWare). The key argument I used for cloud adoption was cost avoidance, which resulted from the closure of one of the two facilities — thus saving capital investment for renovations/upgrades and future growth.”
In addition, Cretella considered the additional cost savings that would come from using cloud infrastructure as a way of automating IT operations, which fit well with Mars’ ongoing initiative to automate processes in the I/O area. One of Cretella’s key decisions here was to include a “sunset strategy” for legacy applications that were not suitable for cloud migration at a reasonable cost.
For More Tips on Cloud Migration
Research: Read Vittorio Cretella’s full Advisor, “The CIO and the Holistic Business Case for Cloud Migration”.
Cutter clients can get insight into sustainable cloud options in Looking at All the Sides of Sustainable Cloud.
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