I Wouldn't Hire These Guys #
Posted Tuesday 6th January 2009 10:02 GMT
These are second-hand comments, based on the summary in this article rather than on the original but ...
1. Over the past four years, the companies that Compass studied saw a 5 per cent drop in the cost of PCs, but the number of machines they acquired rose by 18 per cent.
PCs have dropped more than 5% in price in the last 4 years. Where are these guys buying PCs?
2. Ditto for servers, which had a unit cost reduction on average of 66 per cent at these customers over four years, but volumes also more than tripled.
Any company I have analysed significantly underuses its Windows servers. Bear in mind that the penetration of virtualisation is still much less than 10% of servers. So companies are not looking for consolidation.
An 18% increase in PC numbers is not a capacity issue. It is a people issue.
3. Pacileo cited one Compass customer, a large commercial bank, that had a core banking system with 127 interfaces to a slew of applications; Compass recommended that the company stop adding their own interfaces to the software every time they added an ancillary application and buy a new core banking system, which required only 33 interfaces to be supported by the development staff.
Way to go. The most risky, costly, delayed and ultimately the type of projects than fail most are those involving the implementation of new core banking systems. With advice like that, these guys must be looking to offer a range of expensive project governance and other services that will fall out of such ill advised projects.
How about other options: SOA, message broking or other similar inexpensive options that will deliver real benefits more quickly?
4. "Organizations that effectively rationalize their application portfolios reduce overall spend by 20 to 40 per cent, enhance quality and organizational agility, and reallocate savings to implement more innovative and competitive solutions," Pacileo says.
Application consolidation relates to reducing the number of servers or server images on which applications run.
Using a large number or variety of applications can add unnecessary overhead to both application use and administration. Consolidating these applications can reduce this overhead by making applications more easily accessible to users and administrators, and also by decreasing the needed amount of resources, such as server time.
It differs from server virtualisation and consolidation because this retains the same number of server images but reduces the number of physical platforms on which the servers run by encapsulating the previously physical servers as virtual servers that run as applications managed by a virtualisation hypervisor.
Server virtualisation on its own may not be the best solution. It can mask underlying problems. The result is the same number of server images and applications, just not physical servers.
A comprehensive application and infrastructure consolidation view allows organisations see the bigger picture to identify wider set of cost savings opportunities. It identifies all the issues and can provide a business case for investment. It also provides a checkpoint before selecting implementation vendor.
Many of the approaches to application consolidation involve application and underlying business process changes:
• Replace old applications with newer one
• Consolidate many small applications with smaller number of more functional applications
• Replace existing individual applications with components of larger systems (such as SAP)
• Modify business processes to eliminate the use of applications
• Redevelop custom applications to use Web application server infrastructure and consolidate onto small number of shared Web application servers (WebSphere , WebLogic, etc.)
There is an cost associated with these changes that is probably substantial. Also, the timescale to implement application changes is long.
You can look at simpler options: SQL Server consolidation (using Polyserve), File and Print server consolidation using NAS (NetApp.IBM N Series, etc.), Citrix (use AppSense), etc. They all deliver benefits more quickly and incrementally rather than risky big bang projects.


