Welcome!

Big Data Journal Authors: Carmen Gonzalez, Elizabeth White, Dana Gardner, Liz McMillan, Esmeralda Swartz

Related Topics: Cloud Expo, Java, SOA & WOA, Virtualization, Big Data Journal, SDN Journal

Cloud Expo: Blog Feed Post

IT Metrics Drive Enterprise IT Cost Visibility

The IT organization is moving toward a centralized internal IT service provider model

Many organizations are focusing on IT metrics and metering to generate IT cost savings. Here's a quick summary of how one organization is using metering of IT resource consumption to improve IT cost visibility and move from being a cost center to an internal service provider.

Company and IT Overview
The Company operates a 24-hour cable network that reaches about 100 million US homes and a web site that has more than 60 million users per month. The Company is divided into two primary business units, each with their own P&L.

The IT organization is moving toward a centralized internal IT service provider model that supports both lines of business. The IT infrastructure is owned and operated by the Company with approximately 400 physical servers and 700 virtual servers across the business. The majority of the virtual servers are running open source Xen Server, but the Company also uses VMware vSphere for virtualizing Windows workloads.

Challenges
The Company was challenged with a lack of accurate IT metrics, cost data and visibility into consumption across a highly diverse infrastructure, hypervisor, and application environment.

  • Limited IT resource metrics
  • Because the Company was running a highly virtualized infrastructure with multiple hypervisors, getting accurate and comprehensive data on how the IT resources were being consumed was extremely difficult. The IT group knew they could improve the business value they delivered to the Company through utility metering their infrastructures, but they didn't have a mechanism to get a complete view of how their IT resources were being consumed by virtual machines or even how much a particular department or user was consuming.

    • Inefficient project budgeting

    As an IT-intensive organization, the Company's business initiatives required a significant amount of IT resources - compute, storage, networking, etc. As projects were requested IT resources were provisioned. When a project was requested for which there wasn't sufficient resources, that project was saddled with the entire cost of the next infrastructure investment.

    • Inaccurate cost and profitability data

    After numerous iterations of project challenges because of IT cost misallocation, the Company recognized their methodology heavily skewed IT and business initiative costs, making accurate costing and project profitability determinations nearly impossible.

    Solutions
    The Company adopted 6fusion's innovative SaaS based UC6 platform and Cloud Resource Meter to meter all machines in the Company's IT environment, both physical and virtual across multiple hypervisors. Their infrastructure now includes Cloud Resource Meter for VMware and Cloud Resource Meter for Xen, and they plan to deploy Cloud Resource Meter for Linux on their physical machine environments to expand visibility across that infrastructure as well.

    Results

    • Shift to an Internal Service Provider

    Cloud Resource Meter has been a key component in the IT group's move from being a cost center to an internal service provider.

    • IT Project Budgeting Transformation

    Using this technology has enabled the Company to deliver accurate IT metrics, cost and business initiative profitability, transforming their business process and putting IT in a leadership role in the Company.

    • Detailed IT metric reporting

    The Company now has the ability to provide detailed real time and historical reports on IT resource consumption, from the department level down to the individual VM level.

    • Workload orchestration

    6fusion's platform gives the Company the ability to provide end-user self-service for deploying and managing workloads across private and public cloud environments.

    • Built-In Hybrid Cloud

    Because 6fusion provides access to a federated network of public cloud providers using the same technology, the Company now has the ability to leverage a hybrid or public cloud model when the Company is ready.

     

    The post IT metrics drive enterprise IT cost visibility appeared first on 6fusion.

    Read the original blog entry...

    More Stories By John Cowan

    John Cowan is co-founder and CEO of 6fusion. John is credited as 6fusion's business model visionary, bridging concepts and services behind cloud computing to the IT Service channel. In 2008, he along with his 6fusion collaborators successfully launched the industry's first single unit of meausurement for x86 computing, known as the Workload Allocation Cube (WAC). John is a 12 year veteran of business and product development within the IT and Telecommunications sectors and a graduate of Queen's University at Kingston.

    Latest Stories from Big Data Journal
    Having just joined a large technology company with 20 years of history, it would be suicidal to believe that I can immediately move the entire organization to the DevOps mindset and model. For those not familiar with the term, “Eventual Consistency” is a model used in distributed computing to ensure high availability. In this context, it’s a model for replicating best practices and automation across IT teams and business units. The logical place to start with automation is the on-boarding of a ...
    All major researchers estimate there will be tens of billions devices – computers, smartphones, tablets, and sensors – connected to the Internet by 2020. This number will continue to grow at a rapid pace for the next several decades. With major technology companies and startups seriously embracing IoT strategies, now is the perfect time to attend @ThingsExpo in Silicon Valley. Learn what is going on, contribute to the discussions, and ensure that your enterprise is as "IoT-Ready" as it can be!...
    Cloud computing is being adopted in one form or another by 94% of enterprises today. Tens of billions of new devices are being connected to The Internet of Things. And Big Data is driving this bus. An exponential increase is expected in the amount of information being processed, managed, analyzed, and acted upon by enterprise IT. This amazing is not part of some distant future it is happening today. One report shows a 650% increase in enterprise data by 2020. Other estimates are even higher....
    The Open Group and BriefingsDirect recently assembled a distinguished panel at The Open Group Boston Conference 2014 to explore the practical implications and limits of the Internet of Things. This so-called Internet of Things means more data, more cloud connectivity and management, and an additional tier of “things” that are going to be part of the mobile edge -- and extending that mobile edge ever deeper into even our own bodies. Yet the Internet of Things is more than the “things” – it me...
    The emergence of cloud computing and Big Data warrants a greater role for the PMO to successfully manage enterprise transformation driven by these powerful trends. As the adoption of cloud-based services continues to grow, a governance model is needed to orchestrate enterprise cloud implementations and harness the power of Big Data analytics. In his session at 15th Cloud Expo, Mahesh Singh, President of BigData, Inc., to discuss how the Enterprise PMO takes center stage not only in developing th...
    Fujitsu has a long and demonstrated history delivering world-class solutions that enable businesses to succeed in a highly competitive market and ever-evolving technology landscape. The Fujitsu Cloud ISV Partner Program is one more way we’re delivering exceptional value to our customers, where we focus on helping companies transform and deliver their solutions in an “as-a-service” model from our cloud. Our aim is to work closely with leading solution providers to take full advantage of not only ...
    General Electric (GE) has been a household name for more than a century, thanks in large part to its role in making households easier to run. Starting with the light bulb invented by its founder, Thomas Edison, GE has been selling devices (“things”) to consumers throughout its 122-year history. Last week, GE announced that it is officially leaving that job to others. While the lighting division will stay, GE will now turn its attention to selling industrial machinery and analytics as a service t...
    Come learn about what you need to consider when moving your data to the cloud. In her session at 15th Cloud Expo, Skyla Loomis, a Program Director of Cloudant Development at Cloudant, will discuss the security, performance, and operational implications of keeping your data on premise, moving it to the cloud, or taking a hybrid approach. She will use real customer examples to illustrate the tradeoffs, key decision points, and how to be successful with a cloud or hybrid cloud solution.
    For the last hundred years, the desk phone has been a staple of every business. The landline has been a lifeline to customers and colleagues as the primary means of communication – even as email threatened to render the telephone obsolete. For some purposes, like conference calling, there was simply no substitute. That is, until a few years ago. With all due respect and apologies to Mr. Alexander Graham Bell, the desk phone is becoming just one solution, out of many devices, used for the modern...
    Software is eating the world. Companies that were not previously in the technology space now find themselves competing with Google and Amazon on speed of innovation. As the innovation cycle accelerates, companies must embrace rapid and constant change to both applications and their infrastructure, and find a way to deliver speed and agility of development without sacrificing reliability or efficiency of operations. In her keynote DevOps Summit, Victoria Livschitz, CEO of Qubell, will discuss ho...