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Develop a Co-location Strategy

Successful data center co-location strategies are a function of cost and vendor selection.

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Your Challenge

  • Organizations encounter significant capital expenditures, when building or updating their aging data center facilities, are faced with a difficult build vs. buy decision.
  • Many organizations are hesitant to outsource the data center because servers are housed outside the facility and not within their direct reach.
  • Co-location services have turned into a commodity where vendor offerings are underpinned by the same basic set of services.

Our Advice

Critical Insight
  • Mid-sized organizations generally achieve a Tier 2 data center environment, at most, due to cost and resources. Co-location facilities generally offer Tier 3 or higher facilities where organizations can realize benefits of higher reliability and availability.
  • A vendor’s engagement practices should be thoroughly examined during the selection process. Because basic services offered by co-location vendors are largely commoditized, vendor selection will often be based on price and service.
  • The decision to outsource often results in a significant decrease in both OPEX and CAPEX (when building or renovating the data center) for facility costs such as power, cooling, standby power, and fire protection.
Impact and Result
  • Justify the build vs. buy decision using business requirements and budget scenarios.
  • Maximize success by aligning business requirements and vendor offerings with predetermined criteria to aid in the selection process for a co-location vendor.
  • Validate decisions and perform due diligence on short-listed vendors by conducting site visits to vendor facilities.

Get to Action

  1. Determine if the organization is a fit for co-location.
  2. Understand the market and vendor offerings.
  3. Evaluate vendor offerings.
  4. Manage the vendor relationship.

    Construct comprehensive SLAs and assess the co-location relationship annually.

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Successful data center co-location strategies are a function of cost and vendor selection.

Companies Who Helped

  • Federal Air Transport Security Authority
  • United Way of Calgary and Area
  • Municipal Police Services
  • Siltronic Corporation
  • SSAB

Solution Road Map

Other Solution Sets in Outsourcing/Shared & Managed Services

  1. Develop a Co-location Strategy
    Successful data center co-location strategies are a function of cost and vendor selection.
  2. Manage SLAs with Co-location Providers
    The SLA is about communication, not penalties.
  3. Vendor Landscape: Canadian Co-location/Managed Services
    Sort through disguised differentiation to get back to an apples-to-apples comparison.
  4. Vendor Landscape: US Co-location/Managed Services
    Learn how to navigate the super-sized US market.
  5. Vendor Landscape: European Co-location/Managed Services
    Take the time to thoroughly evaluate the European market before making your decision.
View the full Solution Road Map