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The pace Of Technology Changes Has Pushed Us To Rethink On The Data Centre Based Services And Applications

Building a data centre is a long-term investment. With it also comes management costs such as power, skilled manpower, infrastructure, etc.

The pace of technology changes has pushed us to rethink on the data centre based services and applications. Building a data centre is a long-term investment. With it also comes management costs such as power, skilled manpower, infrastructure, etc. These costs are not static and one has to provide for year on year increase. Also when any infrastructure is added in data centre, people tend to plan for over capacity, based on estimated growth of business. Such capacity lies unused for a considerable amount of time and the hidden cost of unused capacity management is generally overlooked. So the capex is generally higher when adding assets in data centre. The data centres are fortified for cyber security and the employees managing it are expected to be on premises. In cases of issues or tickets raised to AMC vendors, it becomes a nightmare to give them remote access to resolve the issue in time. But its not all cons, there are pros of having DC as well. Given the requirement of large databases and storage requirements plus applications like Core banking, it is pertinent to have a data centre to host such applications.

The cloud services, both public and private have brought in options for data centre managers. With cloud services, the applications can be rolled out faster with the minimum required infrastructure. As the business volume grows, the infrastructure can be added and that too for a specific period of time. let’s consider a situation where the online portal hosted on cloud gets a spurt in volumes for a season. The company can increase the resources for that period only. Significant opportunities exist for organisations to save costs, and become more efficient and agile, by hosting on cloud. The time to host is considerably lower than setting up the resources in data centre. The resources while implementing can be optimised for current usage and grow as and when necessary. In fact, the resource utilisation can also be paused when not in use. For e.g. an application that is used only in daytime can be scheduled to shut down for night saving on the resource time and cost. The cloud services are also beneficial in cost management as it saves on costs of skilled manpower, AMCs, power, wastage of idle capacity, real estate, etc.

Time has come for the organisations to rethink of their on premise data centres. As the infrastructure starts aging, the manageability becomes difficult and costlier. The replacement costs are also higher and its a time-consuming process.

Migrating to cloud will require a structured approach in capacity planning and prioritising in systems to be migrated. Thorough assessment of current systems and identifying the systems that can be taken to cloud is necessary. Decision should also be taken on the systems that cannot be taken to cloud, whether they can be colocated or should continue to run on-premise.

For CIOs and CTOs the cost and efficiency of cloud computing is compelling. At the same time caution needs to be exercised while migrating to cloud. As it should not result in exposing the business to risk and disruption. Meticulous planning is required in selecting the partner to host the services. the decision to go for private or public should be based on risk appetite of the organisation and business requirements.

Disclaimer: The views expressed in the article above are those of the authors' and do not necessarily represent or reflect the views of this publishing house. Unless otherwise noted, the author is writing in his/her personal capacity. They are not intended and should not be thought to represent official ideas, attitudes, or policies of any agency or institution.


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Milind Varerkar

My Professional career spans to 30 years as an integral part of IT Departments. Leading by example with self-development and maintain high quality standards have been my yardsticks, With these as my core competencies I have grown from level of Junior team member to Head of IT position.

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