Historically IT has been both the conscience of the company and the enforcer of capacity and service level allocation of compute resources. When deploying a private cloud, IT has the option to continue its enforcer role or move to a provider role and let free market economics govern resource consumption. The ideal approach is to establish prices for each level of compute services which reflect the costs to provide those services. With chargeback and departmental budgets in place, IT can move to a provider role and delegate the governance and control responsibilities to the business. Each business will have the responsibility to spend within their respective budgets.
The challenge is that most companies are still a ways away from deploying a chargeback system which actually charges for resource consumption. Until a chargeback process is in place, most IT departments are unwilling to give up their role as enforcers of resource consumption policies because they don’t want to run out of resources for truly important applications.
The good news is that VMware vCloud Automation Center can help enforce resource consumption policies automatically while at the same time provide a cost transparency and chargeback infrastructure that allows companies to move to a provider business model. The resources and service tiers that they provide can be a combination of internally (private) and externally (public) cloud resources. This two pronged approach can help companies better leverage tiered service levels and lower capital costs.
Like to learn more about Cloud Automation ROI and how automating cloud service delivery can save cost while accelerating access to IT resources and applications?
- Watch Building the Cloud Automation Business Case
- See how VMware IT saved 90% of time spent and 30% of costs through automated provisioning.
- Check out what some of our customers are saying in the customer case studies on our web site.
Need help deploying your private cloud infrastructure or developing your business justification? Contact us and our experts can help your team build the business case and the solution that will maximize your IT productivity.