The Unexpected Benefits and Challenges of Consolidation

Data centres used to simply be a place to store data. Vast aisles of servers and other storage devices would hum contentedly all day (although, it should be noted, not always efficiently). Then, the changing global economy demanded resourcefulness. Data centres were pressed to store information with greater efficiency and accountability. As a result, a whole new set of responsibilities became part of the functions a data centre was expected to perform. These include business compliance and energy management. In many ways, a data centre is now the control center of a business, and as such requires greater care and oversight than its previous iteration.

However, this has had some unexpected benefits, both for the centres and the businesses that have come to rely upon them. For one thing, the savings in energy are tremendous. On average, a business can expect to save between 15 to 50% on their energy expenditures, and start to see these returns within a 12-month period. This relatively short turn-around means that companies can invest more money into other areas of their organization while still reaping the full benefits of a professionally managed data centre in a much faster timeframe. In this case, consolidation has shifted some of the burden of management to the centres.

The good news is that the quality of the data and the speed of access remain unaffected by consolidation. Instead, the grouping has enabled centres to find quicker methods of both dissemination and storage. This is excellent news for any companies that plan to expand in the coming years or decades, and are worried about a corresponding ballooning in their outsourcing data costs. If trends are an indicator, the cost to store and manage data will not radically increase but rather remain at a steady, reliable rate. This will enable organizations to expand their efforts while comfortably meeting their budgetary goals, a proposition which can only aid the overall Canadian economy.

In many respects, competitiveness drives innovation. The resulting increase in savings in both energy and management costs proves that making the most of one’s resources can only result in advantages for all. Consolidation is an unexpected driver of economic health and vitality.

Christopher Smith. Canadian. CEO of We provide enterprise content management solutions for governments around the world.

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