Leah Herman

Major: BBA MIS
Graduation: May 2018

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flash-research-assignment-2

Server Consolidation: Cloud Computing and Virtualization

I would recommend that our company upgrades from physical, traditional servers to virtualized, Vmware servers during the next server refresh period. Our company will face 3-year net benefit of $9.2 million with this new technology. The main technological feature of virtualization is the ability to consolidate these servers.

The key benefit of virtualization is the ability to consolidate servers. This will “deliver IT services on demand, independent of hardware, operating systems, applications or infrastructure providers” (Server Consolidation, NP). Virtualization will take 80% of our current servers and convert them into VMware servers which take up one-tenth of our current physical space. Consolidating our servers creates a decrease of 800 to 280 physical servers.

Currently, over a three-year time span, it costs the company $14 million for our current servers, and this is the perfect time to invest in the new technology because we are doing our server refresh which will benefit the company $4.8 million. This cost avoidance strategy will create a net benefit of $9.2 million over a 3-year time period, through the usage of server consolidation.

 

 

Current 3 Year Analysis:
Before Virtualization/Cloud Computing: Year 1 Year 2 Year 3 3-Year totals
Total number of Servers: 1,000 1,000 1,000 1,000
Cost of Server: $8,000 0 0 $8,000
Cost to Run: $2,000,000 $2,000,000 $2,000,000 $6,000,000
Total cost for Servers: $10,000,000 $2,000,000 $2,000,000 $14,000,000
Proposed 3-Year Analysis:
After Virtualization/Cloud Computing:
80% of Servers (Vmware): 800 800 800
20% of Servers (Traditional): 200 200 200
Number of Potential Virtual Machines: 80 80 80
Cost of Server:  $              16,000 0 0
Cost to Run:  $                3,000  $                3,000  $                  3,000
Cost of 80% of Servers:  $         1,280,000 0 0 $1,280,000
Additional Costs to run (80% of Servers):  $            240,000  $            240,000  $             240,000 $720,000
Cost of 20% of Servers:  $         1,600,000 0 0 $1,600,000
Additional Costs to run (20% of Servers):  $            400,000  $            400,000  $             400,000 $1,200,000
Total cost for Servers:  $         3,520,000  $            640,000  $             640,000  $            4,800,000
      Total Net Benefit:
Benefits: $6,480,000 $1,360,000 $1,360,000 $9,200,000

 

Works cited

“Reduce IT Costs and Increase Control with Server Virtualization.” Server Virtualization & Consolidation. N.p., n.d. Web. 10 Oct. 2016.

“What Is Server Consolidation? – Definition from WhatIs.com.” SearchDataCenter. N.p., n.d. Web. 10 Oct. 2016.

 

“What Is Server Virtualization? – Definition from WhatIs.com.” SearchServerVirtualization. N.p., n.d. Web. 10 Oct. 2016.

 

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Professional Achievements

  • WORK EXPERIENCE 1
  • PROJECTS 1
    • Class project Spring 2016

  • LEADERSHIP 2
    • AIS officerFall 2017, Spring 2018

  • PARTICIPATION 12
    • Fox IT Career FairFall 2017

    • Other Career FairSpring 2017

    • IBIT small group meeting with industryFall 2017, Fall 2017, Spring 2018, Spring 2018

    • IBIT/CDI Challenge or ConferenceFall 2016, Fall 2017

    • Active AIS memberFall 2016, Spring 2017, Fall 2017, Spring 2018

  • ATTENDANCE 6
    • Fox IT AwardsSpring 2016, Spring 2017, Spring 2018

    • AIS professional development workshopFall 2016, Spring 2017, Fall 2017

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