Customer Success Story Details
Investment Client
Business Issue:
The client was facing a set of issues related to determining the best option for them for supporting their computer infrastructure. The client currently has two Data Center locations supporting multiple servers. The client desires to understand this environment and evaluate if there is an opportunity for future cost savings while maintaining or improving service to the business. To evaluate this environment, the client wanted to review three options or strategies for its future direction: (1) an Operational Review to understand the Data Center internal hardware, software, infrastructure and support needs; (2) a Facilities Review to understand the Data Center capacity, environmental and security requirements; and (3) understanding the Data Center Disaster Recovery (DR) capabilities, ensuring the future state meets the DR requirements.
The objectives of the analysis were as follows:
- Assist the client in identifying desired business requirements for each of the three Options for each of the designated locations.
- Review the servers, and Data Center in the designated locations.
- Determine to what degree each of the locations meets the business requirements.
- Determine potential future options for each location, and the organization.
- Identify, analyze and quantify the anticipated costs, benefits, and risks associated with implementing each of the future potential options to determine the range of financial outcomes.
Solution:
Lumen21 via its Risk Mitigation Strategy methodology and toolset provided the client with the following Four Stage process:
Phase I – Status Quo – Review of Current State
Lumen21 reviewed the current Data Center based on information and data provided. The baseline assessment covered the expected costs, support, and potential risks/benefits of the client operating status quo under the current locations. The Analysis included a review of the areas identified and benchmark comparisons for designated areas, identifying potential short term simple solutions.
Phase II – Data Center Operational Review
Lumen21 reviewed the future ability to optimize all existing hardware, software, support and the potential to reduce operating costs. To do this, Lumen21 evaluated the client infrastructure on five different levels both within each current location and across the Enterprise. In addition, where applicable, a review of the current processes and policies within the IT Organization, along with future recommendations were included in the assessment.
Overall the strategy involved reviewing and assessing the future state requirements on an Enterprise level, determine future required physical locations, internal future staffing requirements and support.
Component A - Operating System Review
Lumen21 reviewed operating systems in order to leverage the redundancy and maximize the resource utilization. Potential Operating systems for review included: Windows, 2000, 2003, Advanced Server, Datacenter, Linux, H/P–UX, UNIX, AIX, Solaris, Netware.
Component B – Application Review
Lumen21 reviewed applications of similar functionality in order to leverage the redundancy and maximize resource utilization. The review included current server applications in use, versions and the potential to consolidate different applications into server partitions on alternative or larger scale servers.
Component C - Technology (Server) Review
Lumen21 reviewed the current server environment including the potential strategy both within locations and based upon an Enterprise strategy. The review also included reviewing the potential of multiple servers being consolidated into larger servers utilizing multi-processor technologies. The goal here was to assess if the adoption more scalable technologies reduce operating costs.
Lumen21 reviewed the storage strategy across servers in order to leverage the redundancy and maximize the resource utilization. Storage analysis included local server drive storage, Data Back-up/Restoration, Data Retention, NAS and/or SAN options.
Component E - Infrastructure Review
Lumen21 reviewed the infrastructure across servers in order to evaluate and leverage the resource utilization and LAN/WAN connectivity requirements. This includes switches, routers and other connectivity points.
Phase III – Data Center Facilities
Lumen21 reviewed the current locations Data Center. This included a review of HVAC, Fire Suppression, Security, Wiring, Power, Redundancy, Sensors, Space Requirements, Utility Costs and other associated items. The baseline assessment covered the expected costs, support, and potential risks/benefits of client operating status quo under the current locations.
In addition, the assessment will also identified any long term recommendations as related to each Data Center location meeting the current and future business requirements.
Phase IV – Data Center Disaster Recovery
Lumen21 worked in concert with the client to evaluate the potential cost and benefits as related to the Disaster Recovery requirements for the client’s Data Center capabilities. This involved recommendations of specific improvements, changes and/or future scenarios identified by the parties to meet the client’s business requirements.
The key areas of potential failure that were reviewed include: Hardware, Data, Network, Applications and the Data Center. The proposed future Disaster Recovery state examined the projected total cost as related to maintaining the IT capabilities, including related Data Center costs, support, and any other costs associated with meeting the Business Disaster Recovery Requirements. In addition, the benefits and risks of any future recommendations were identified, along with risk mitigation strategies.
Benefits/Results:
The client received for each of the Four Phases analyzed received a detailed Economic Analysis document (utilizing a process for the expected deliverable) which outlined the assessment results, covering the following:
- Four different economic cases reviewing the potential recommendations within the Option detailed during the assessment – Base, Best, Worst, and Expected.
- Projected economic impact statements for each of (base, best, worst and expected) financial cases including financial components of Net Present Value, Internal Rate of Return, Statement of Cash Flows, Depreciation Schedule, and documented assumptions for each of the cases.
- Risk Assessment – identifying potential risk areas such as Capital at Risk, Capital Employed, potential financial tax implications, vendor performance, and technology risks.
- A base set of metrics to measure project performance during execution by client of any future client implementation.
Graphics and charts clearly articulating the expected payback period and spending breakdowns for each of the economic cases.
