Shifting from existing on premise infrastructure models to cloud based models is all the rage in the Enterprise space today. The first generation of Enterprise buyers – the innovators – simply picked some apps, moved them, and then course corrected based on experiences and costs. As we move past those first incubator customers to more mainstream adoption, we are seeing a maturation in how the process is being handled. These follow on enterprises saw the challenges and surprises that the first flight migrations entailed, and want to take a more methodical process – to reduce stress, complexity, and most importantly, the pricing surprises.
6fusion is working with a multinational conglomerate that wants to standardize services across the entire organization, including a corporate IT organization and nine business units with their own IT departments. The office of the CIO is tasked with cost-effectively moving applications to the cloud, and then tracking those savings over time. They’re also responsible for calculating fair cost allocation and chargebacks for the shared infrastructure across all of the business units.
Determine organizational baseline to understand current cost state and optimize for future cost state, using a single unit of IT economic measure, the Workload Allocation Cube (WAC).
By translating the company’s infrastructure into a single unit of measure for an apples-to-apples comparison, consumption and cost data can be normalized across all of the business units. This provides a baseline on where an organization stands and where they can improve. The WAC offers an open, impartial, and consistent view of IT infrastructure resource consumption and the output yields a single representative unit value of actual consumption. This is particularly important in hybrid or cloud environments, where differing economic models are used, and consumption can be highly variable.
With a mandate to move more than a thousand applications to the cloud in 2015, one of the organization’s immediate needs is to understand which of the applications in their data center and on-premise make the most sense to shift to a public cloud. There are financial and technical challenges to the these shifts. An economic analysis must be completed first to prioritize the applications that yield the greatest savings. Then a technical analysis is made from a security, regulatory, compatibility and performance aspect.
Once the organization determines which applications and workloads to migrate, they will then have the ability to compare what savings were expected to the savings actually achieved, continually monitoring consumption.
In most situations, companies can expect to see between a 20-40% cost savings from moving to the cloud
– Visibility and cost transparency across business units
– Insight into which applications should be moved and when
– Tracking and managing application costs with a single unit of measure inside and outside the organization.
– The ability to make ongoing cost comparisons and analyze savings versus the expected.
To find out more about how 6fusion can help your organization effectively manage infrastructure shifts to the cloud, visit www.6fusion.com or follow us on twitter @6fusion.
6fusion empowers the world’s largest companies to buy, operate, and sell IT as a Utility, bridging the gap between the traditional silos of Finance, Technology, and Operations. Our technology enables data driven IT Infrastructure decision making based on real-time consumption metrics, and creates IT Financial Intelligence using the power of data standardization.
The foundation of 6fusion’s platform is the patented Workload Allocation Cube (kWAC). The Workload Allocation Cube (kWAC) is the vendor agnostic, market standard unit of measurement for IT. It works by comparing realtime utilization (workload) against a fixed baseline (allocation) spanning six vectors (cube) - CPU, Memory, Storage, Disk i/o, LAN i/o, and WAN i/o.